nep-env New Economics Papers
on Environmental Economics
Issue of 2015‒06‒27
47 papers chosen by
Francisco S. Ramos
Universidade Federal de Pernambuco

  1. Environmental Benefits from Driving Electric Vehicles? By Stephen P. Holland; Erin T. Mansur; Nicholas Z. Muller; Andrew J. Yates
  2. A Study on the Factors Impacting Managers’ Green IT Perceptions By Serkan Ada; Sümeyra Ceyhan
  3. Does collective action sequester carbon ? the case of the Nepal community forestry program By Bluffstone,Randy; Somanathan,Eswaran; Jha,Prakash; Luintel,Harisharan; Bista,Rajesh; Paudel,Naya; Adhikari,Bhim
  4. Community managed forest groups and preferences for REDD+ contract attributes: a choice experiment survey of communities in Nepal By Dissanayake,Sahan T. M.; Jha,Prakash; Adhikari,Bhim; Bista,Rajesh; Bluffstone,Randall; uintel,Harisharan; Martinsson,Peter; Paudel,Naya Sharma; Somanathan,E.; Toman,Michael A.
  5. China?s Carbon Emissions Report 2015 By Zhu Liu
  6. Cooperative behavior and common pool resources : experimental evidence from community forest user groups in Nepal By Bluffstone,Randy; Dannenberg,Astrid; Martinsson,Peter; Jha,Prakash; Bista,Rjesh
  7. Green Cities? Urbanization, Trade and the Environment By Borck, Rainald; Pflüger, Michael P.
  8. Climate policy: Steps to China's carbon peak By Zhu Liu; Dabo Guan; Moore, Scott; Henry Lee; Su, Jun; Qiang Zhang
  9. Do improved biomass cookstoves reduce fuelwood consumption and carbon emissions ? evidence from rural Ethiopia using a randomized treatment trial with electronic monitoring By Beyene,Abebe; Bluffstone,Randy; Gebreegzhiaber,Zenebe; Martinsson,Peter; Mekonnen,Alemu; Vieider,Ferdinand
  10. Economic Incentives for Carbon Dioxide Storage under Uncertainty: A Real Options Analysis By Daiju Narita; Gernot Klepper
  11. Pushing the Tipping in International Environmental Agreements By Lorenzo Cerda Planas
  12. Adoption of Voluntary Environmental Practices: Evidence from the Textile and Apparel Industry in Sri Lanka By D. W. Kinkini Hemach; ra
  13. The effects of climate change on internal and international migration: implications for developing countries By Maria Waldinger
  14. Private forest owners facing climate change in Wallonia: Adaptive capacity and practices By Valentine van Gameren; Edwin Zaccai
  15. Equitable and effective climate policy: Integrating less developed countries into a global climate agreement By Lucas Bretschger; Alexandra Vinogradova
  16. What do we learn from public good games about voluntary climate action? Evidence from an artefactual field experiment By Goeschl, Timo; Kettner, Sara Elisa; Lohse, Johannes; Schwieren, Christiane
  17. Braving the Tempest: Methodological foundations of policy-making in sustainability transitions By J. -F. Mercure; H. Pollitt; A. M. Bassi; J. E Vi\~nuales; N. R. Edwards
  18. How Natural Disasters Can Affect Environmental Concerns, Risk Aversion, and Even Politics: Evidence from Fukushima and Three European Countries By Jan Goebel; Christian Krekel; Tim Tiefenbach; Nicolas R. Ziebarth
  19. Can monetary valuation undermine nature conservation? Evidence from a decision experiment By Rode, Julian; Le Menestrel, Marc; Cornelissen, Gert
  20. Cournot Competition and “Green” Innovation: An Inverted-U Relationship By Luca Lambertini; Joanna Poyago-Theotoky; Alessandro Tampieri
  21. The Role of the 2015 Agreement in Mobilising Climate Finance By Takayoshi Kato; Jane Ellis; Christa Clapp
  22. Understanding the demand for REDD+ credits By Tim Laing; Luca Taschini; Charles Palmer; Johanna Wehkamp; Sabine Fuss; Wolf Heinrich Reuter
  23. Identifying and inducing breakthrough inventions: An application related to climate change mitigation By Florian Egli; Nick Johnstone; Carlo Menon
  24. Predicted Increases in Heat related Mortality under Climate Change in Urban India By Dholakia, Hem H.; Mishra, Vimal; Garg, Amit
  25. International transfer of technologies for climate adaptation: The case of membrane bio-reactors By Sartorius, Christian; Strauch, Manuel; Gandenberger, Carsten
  26. An Indicator for Ecosystem Externalities in Fishing By Lars Ravn-Jonsen; Ken H. Andersen; Niels Vestergaard
  27. Self-Protection Investment Exacerbates Air Pollution Exposure Inequality in Urban China By Siqi Zheng; Cong Sun; Matthew E. Kahn
  28. Joint Design of Emission Tax and Trading Systems By Caillaud, Bernard; Demange, Gabrielle
  29. Labor Market Distortions and Welfare-Decreasing International Emissions Trading By Shiro Takeda; Toshi H. Arimura; Makoto Sugino
  30. The Use of Patent Statistics for International Comparisons and Analysis of Narrow Technological Fields By Ivan Haščič; Jérôme Silva; Nick Johnstone
  31. Climate stories: why do climate scientists and sceptical voices participate in the climate debate? By Amelia Sharman
  32. On taxes and subsidies with private eco-labeling By Barry, I.; Bonroy, O.; Garella, P.G.
  33. Financing for Development in Support of Biodiversity and Ecosystem Services By Anna Drutschinin; Stephanie Ockenden
  34. Deciphering Corporate Governance and Environmental Commitments among Southeast Asian Transnationals: Uptake of Sustainability Certification By Jean-Marc Roda; Norfaryanti Kamaruddin; Rafael Palhiarim Tobias
  35. The international transfer of wind power technology to Brazil and China By Gandenberger, Carsten; Unger, Daniel; Strauch, Manuel; Bodenheimer, Miriam
  36. Deciphering Corporate Governance and Environmental Commitments among Southeast Asian Transnationals: Uptake of Sustainability Certification By Roda Jean-Marc
  37. Sustainable energy for Development: Access to finance on renewable energy and energy efficiency technologies for Bangladesh By Kundu, Nobinkhor
  38. Discounting disentangled: an expert survey on the determinants of the long-term social discount rate By Moritz Drupp; Mark Freeman; Ben Groom; Frikk Nesje
  39. To Consume or to Conserve: Examining Water Conservation Model for Wheat Cultivation in India By Zareena Begum Irfan; Bina Gupta
  40. Cross-border electricity cooperation in South Asia By Singh,Anoop; Jamasb,Tooraj; Nepal,Rabindra; Toman,Michael A.
  41. Are Community Forestry Institutions Appropriate for Implementing REDD+? Lessons from Nepal By Bishnu Prasad Sharma et al.
  42. Measuring progress in eco-innovation By Rizos, Vasileios; Behrens, Arno; Taranic, Igor
  43. Impact of Sustainability Performance on Financial Performance: An Empirical Study of Global Fortune (N100) Firms By Nazim Hussain
  44. An Indicator for Ecosystem Externalities in Fishing - Supporting Material By Lars Ravn-Jonsen; Ken H. Andersen; Niels Vestergaard
  45. A quarter century effort yet to come of age : a survey of power sector reforms in developing countries By Jamasb,Tooraj; Nepal,Rabindra; Timilsina,Govinda R.
  46. The effect of nonbinding agreements on cooperation among forest user groups in Nepal and Ethiopia By Dannenberg,Astrid; Martinsson,Peter
  47. Gesundheit – Effekte des Klimawandels By Britta Stöver

  1. By: Stephen P. Holland; Erin T. Mansur; Nicholas Z. Muller; Andrew J. Yates
    Abstract: Electric vehicles offer the promise of reduced environmental externalities relative to their gasoline counterparts. We combine a theoretical discrete-choice model of new vehicle purchases, an econometric analysis of the marginal emissions from electricity, and the AP2 air pollution model to estimate the environmental benefit of electric vehicles. First, we find considerable variation in the environmental benefit, implying a range of second-best electric vehicle purchase subsidies from $3025 in California to -$4773 in North Dakota, with a mean of -$742. Second, over ninety percent of local environmental externalities from driving an electric vehicle in one state are exported to others, implying that electric vehicles may be subsidized locally, even though they may lead to negative environmental benefits overall. Third, geographically differentiated subsidies can reduce deadweight loss, but only modestly. Fourth, the current federal purchase subsidy of $7500 has greater deadweight loss than a no-subsidy policy.
    JEL: D62 H23 Q53 Q54
    Date: 2015–06
  2. By: Serkan Ada (Selcuk University); Sümeyra Ceyhan (Bingöl University)
    Abstract: Recently, concerns with environmental issues enabled businesses to transform their practices to become more environmentally sensitive. It is widely accepted that carbon emissions have an increasing impact on the climate and environmental problems. It is further known that information technology (IT) makes a significant contribution to carbon emissions, albeit not being directly perceptible to the general public. That’s why, a new term called green IT emerged recently to create a positive and environmentally sensitive movement in IT field. Green IT is defined as the practices and technologies for designing, manufacturing, using, and disposing of computers, servers, and associated devices such as monitors, printers, storage devices, and networking and communication systems to minimize impact on the environment. Businesses have recently become aware of the issues related to green IT, as practicing green IT has a positive impact not only on the environment and global warming, but also on the profits through decreasing energy consumption costs. For this reason, it is necessary to study green IT practices and perceptions of businesses and managements as well as the factors influencing it. This study examines the impact of environmentally sensitive management and human resources on green IT practices. The current study used the data collected via a structured survey conducted in Kahramanmara
    Keywords: Green IT, environment, environmental sensitivity, environmentally sensitive management, environmentally sensitive human resources
    JEL: M15 C12 C83
    Date: 2015–06
  3. By: Bluffstone,Randy; Somanathan,Eswaran; Jha,Prakash; Luintel,Harisharan; Bista,Rajesh; Paudel,Naya; Adhikari,Bhim
    Abstract: This paper estimate the effects of collective action in Nepal?s community forests on four ecological measures of forest quality. Forest user group collective action is identified through membership in the Nepal Community Forestry Programme, pending membership in the program, and existence of a forest user group whose leaders can identify the year the group was formed. This last, broad category is important, because many community forest user groups outside the program show significant evidence of important collective action. The study finds that presumed open access forests have only 21 to 57 percent of the carbon of forests governed under collective action. In several models, program forests sequester more carbon than communities outside the program. This implies that paying new program groups for carbon sequestration credits under the United Nations Collaborative Programme on Reducing Emissions from Deforestation and Degradation in Developing may be especially appropriate. However, marginal carbon sequestration effects of program participation are smaller and less consistent than those from two broader measures of collective action. The main finding is that within the existing institutional environment, collective action broadly defined has very important, positive, and large effects on carbon stocks and, in some models, on other aspects of forest quality.
    Keywords: Common Property Resource Development,Forestry Management,Wildlife Resources,Climate Change Mitigation and Green House Gases,Climate Change and Environment
    Date: 2015–06–22
  4. By: Dissanayake,Sahan T. M.; Jha,Prakash; Adhikari,Bhim; Bista,Rajesh; Bluffstone,Randall; uintel,Harisharan; Martinsson,Peter; Paudel,Naya Sharma; Somanathan,E.; Toman,Michael A.
    Abstract: A significant portion of the world?s forests that are eligible for Reducing Emission from Deforestation and Forest Degradation, known as REDD+, payments are community managed forests. However, there is little knowledge about preferences of households living in community managed forests for REDD+ contracts, or the opportunity costs of accepting REDD+ contracts for these communities. This paper uses a choice experiment survey of rural communities in Nepal to understand respondents? preferences toward the institutional structure of REDD+ contracts. The sample is split across communities with community managed forests groups and those without community managed forest groups to see how prior involvement in community managed forest groups affects preferences. The results show that respondents care about how the payments are divided between households and communities, the severity of restrictions on firewood use, the restrictions on grazing, and the fairness of access to community managed forest resources as well as the level of payments. The preferences for REDD contracts are in general similar between community managed and non-community managed forest resource respondents, but there are differences, in particular with regard to how beliefs influence the likelihood of accepting the contracts. Finally, the paper finds that the opportunity cost of REDD+ payments, although cheaper than many other carbon dioxide abatement options, is higher than previously suggested in the literature.
    Keywords: Forestry Management,Wildlife Resources,Climate Change Mitigation and Green House Gases,Climate Change and Environment,Environmental Economics&Policies
    Date: 2015–06–22
  5. By: Zhu Liu
    Abstract: In 2012 China was the largest contributor to carbon emissions from fossil fuel burning and from cement production. With 8.50 Gt CO2 in in carbon emissions from fossil burning and cement production in 2012, China was responsible for 25% of global carbon emissions. China?s cumulative emissions from fossil fuel burning and cement production from 1950-2012 were 130 Gt CO2. The magnitude and growing annual rate of growth of China?s carbon emissions make this country the major driver of global carbon emissions and thus a key focus for efforts in emissions mitigation. This report presents independent data on China?s carbon emissions from 1950-2012, and provides a basis to support mitigation efforts and China?s low-carbon development plan.
    Date: 2015–01
  6. By: Bluffstone,Randy; Dannenberg,Astrid; Martinsson,Peter; Jha,Prakash; Bista,Rjesh
    Abstract: This paper examines whether cooperative behavior by respondents measured as contributions in a one-shot public goods game correlates with reported pro-forest collective action behaviors. All the outcomes analyzed are costly in terms of time, land, or money. The study finds significant evidence that more cooperative individuals (or those who believe their group members will cooperate) engage in collective action behaviors that support common forests, once the analysis is adjusted for demographic factors, wealth, and location. Those who contribute more in the public goods experiment are found to be more likely to have planted trees in community forests during the previous month and to have invested in biogas. They also have planted more trees on their own farms and spent more time monitoring community forests. As cooperation appears to be highly conditional on beliefs about others? cooperation, these results suggest that policies to support cooperation and strengthen local governance could be important for collective action and economic outcomes associated with forest resources. As forest management and quality in developing countries is particularly important for climate change policy, these results suggest that international efforts such as the United Nations Collaborative Programme on Reducing Emissions from Deforestation and Forest Degradation should pay particular attention to supporting governance and cooperation at the local level.
    Keywords: Common Property Resource Development,Forestry Management,Wildlife Resources,Climate Change Mitigation and Green House Gases,Environmental Economics&Policies
    Date: 2015–06–22
  7. By: Borck, Rainald (University of Potsdam); Pflüger, Michael P. (University of Würzburg)
    Abstract: This paper establishes a simple theoretical framework which comprises key forces that shape the structure and interrelation of cities to study the interdependencies between urban evolution and the environment. We focus on the potential of the unfettered market forces to economize on emissions. A key finding is that these forces alone may suffice to generate an urban Environmental Kuznets Curve. In particular, reducing trade costs increases per capita incomes and generates a U-shaped evolution of emissions in the process of agglomeration and redispersion. Another key result is that agglomeration per se is typically not a boon for the environment, as total emissions in the total city system are likely to rise.
    Keywords: city structure, city systems, environmental pollution, global warming, Environmental Kuznets Curve, trade costs, commuting costs, housing
    JEL: F18 Q50 R11 R12
    Date: 2015–06
  8. By: Zhu Liu; Dabo Guan; Moore, Scott; Henry Lee; Su, Jun; Qiang Zhang
    Abstract: Regional targets and improved market mechanisms could enable the nation's carbon dioxide emissions to peak by 2030, say Zhu Liu and colleagues
  9. By: Beyene,Abebe; Bluffstone,Randy; Gebreegzhiaber,Zenebe; Martinsson,Peter; Mekonnen,Alemu; Vieider,Ferdinand
    Abstract: This paper uses a randomized experimental design with real-time electronic stove temperature measurements and controlled cooking tests to estimate the fuelwood and carbon dioxide savings from an improved cookstove program in the process of being implemented in rural Ethiopia. Knowing more about how households interact with improved cookstoves is important, because cooking uses a majority of the fuelwood in the country and therefore is an important determinant of greenhouse gas emissions and indoor air pollution. Creating local networks among stove users generally appears to increase fuelwood savings, and among monetary treatments the most robust positive effects come from free distribution. The paper estimates that on average one improved stove saves approximately 634 kilograms of fuelwood per year or about 0.94 tons of carbon dioxide equivalent per year, which is about half of previous estimates. Using the May 2015 California auction price of $13.39/ton, the carbon sequestration from each stove deployed is worth about $12.59. Such carbon market offset revenues would be sufficient to cover the cost of the stove within one year.
    Keywords: Oil Refining&Gas Industry,Urban Environment,Energy Production and Transportation,Energy Conservation&Efficiency,Climate Change Mitigation and Green House Gases
    Date: 2015–06–22
  10. By: Daiju Narita; Gernot Klepper
    Abstract: Carbon dioxide capture and storage (CCS) is considered to be an important option for reducing carbon dioxide (CO2) emissions. However, there are still concerns about its economic viability, especially if the risk of leakage in the storage site is taken into account. We use a real options approach for assessing the impact of uncertainty on the timing and the profitability of CO2 storage projects. We model an investment decision for a storage site under uncertainty about CO2 leaking from the storage site, about the development of carbon prices, and about the cost of investment. The numerical model results show that investment under these uncertainties requires a much larger price for carbon credits for storage than an investment plan ignoring uncertainty would suggest. We also show under reasonable parameter assumptions that the risk for investing in CO2 storage is dominated by the uncertain development of carbon prices, whereas the risk of carbon leakage has little influence on the investment decision
    Keywords: Carbon dioxide capture and storage (CCS), real options analysis, climate policy
    JEL: D81 Q49 Q54
    Date: 2015–06
  11. By: Lorenzo Cerda Planas (CES - Centre d'économie de la Sorbonne - UP1 - Université Panthéon-Sorbonne - CNRS, EEP-PSE - Ecole d'Économie de Paris - Paris School of Economics)
    Abstract: This paper intends to provide an alternative approach to the formation of International Environmental Agreements (IEA). The existing consensus within the literature is that there are either too few signatories or that the emissions of signatories are almost the same as business as usual (BAU). I start from a well-known model (Barrett 1997), adding heterogeneity in countries' marginal abatement costs (low and high) and in damages suffered (or corresponding environmental concern). I also allow for technological transfers and border taxes. I show that using either mechanism one at a time, does not change the results. But if both are used in a strategic manner, a grand (and abating) coalition can be reached, while minimizing transfers.
    Date: 2015–03
  12. By: D. W. Kinkini Hemach; ra
    Abstract: This study examines voluntary adoption of environmental management practices in the textile and apparel sector in Sri Lanka. The textile and apparel industry contributes to 58% of total industrial export earnings and 52% of industrial employment in the country. Factories in this sector undertake different production activities and the Sri Lankan Central Environmental Authority identifies washing and dyeing factories as significant contributors to water pollution. In this study, we review existing environmental rules and regulations that apply to the textile and apparel sector and follow up with an econometric analysis of data from a factory survey and a set of detailed case studies. Our sample covers factories that are registered with the Sri Lankan Board of Investment, which primarily gathers large-scale export-oriented companies operating in the apparel sector. Study findings show that 96% of the factories surveyed voluntarily implemented at least one environmental management practice such as water recycling, material re-use and environmental audits and certification. 69% adopted more than two practices. Most of the surveyed factories had been inspected by regulators, but had never been fined. Our analyses suggest that while factories are responsive to existing regulations, market pressure from international buyers may be the dominant reason why Sri Lankan firms adopt good environmental practices. The analyses also suggest that firm's size and type of activities undertaken are the most significant factors that influence decisions to voluntarily adopt environmental management practices.
    Keywords: Environmental Management Practices, Apparel and Textile industry, Sri Lanka.
  13. By: Maria Waldinger
    Abstract: This synthesis paper informs the development community about the effects of climate change on migration patterns within and out of developing countries, concentrating on the economic aspects of migration. Empirical evidence shows that people in developing countries respond to climatic change by migrating internally. Evidence on the relationship between climate change and international migration is limited. The effect of climate change on migration decisions depends crucially on socio-economic, political, and institutional conditions. These conditions affect vulnerability to climate change and hence how important climate change is in determining migration decisions. Migration has been an effective response to climate variability and change in the past and might be one in the future, but only under certain pre-conditions. Access to information on the economic and social costs of migration, on advantage and disadvantages of potential destination locations, and the absence of credit constraints and other barriers can help potential migrants to make decisions that will improve livelihoods. Policy intervention is also required to reduce potential negative impacts in both the sending and receiving region. Badly managed migration is associated with high economic, social and psychological costs.
    Date: 2015–05
  14. By: Valentine van Gameren; Edwin Zaccai
    Abstract: To understand and guide present and future adaptation to climate change, in-depth field studies are required in many sectors. The forestry sector, with its long time laps between decisions to plant and harvesting stands, is among the most relevant to investigate in this respect. This contribution analyzes the results of a survey conducted in Wallonia (Belgium) among private forest owners (PFO) and an array of organizations, both public and private, that influence these owners' actions. The objective of our research is to investigate already implemented or envisaged practices of climate change adaptation as well as the adaptive capacity of these PFOs. In this respect, adaptive capacity is defined as ". the ability of systems, institutions, humans and other organisms to adjust to potential damage, to take advantage of opportunities, or to respond to consequences (of climate change)" (. IPCC, 2014, p. 2).The results show that different ways of (not) integrating climate change in forest management are visible in the sample of PFOs that can be divided into different profiles of (non) adapters. Analyzing these profiles reveals the influence of multiple objective and sociocognitive factors contributing to the PFOs adaptive capacity. The way climate change adaptation is conceived and implemented by other forest and timber actors has also repercussions on adaptive capacity as some adaptive measures are promoted and facilitated while others are hindered. These results bring fruitful aspects for understanding concrete adaptive processes and are relevant for decision-making as they point out some strengths or weaknesses in terms of adaptive capacity.
    Keywords: Adaptive capacity; Adaptive practice; Climate change; Forest management; Wallonia
    Date: 2015–10
  15. By: Lucas Bretschger (ETH Zurich, Switzerland); Alexandra Vinogradova (ETH Zurich, Switzerland)
    Abstract: The paper derives general rules for equitable burden sharing in international climate policy. The focus is on a new social climate contract between developed and less developed countries (LDCs) which preserves competitiveness of the former and the ”right to development” of the latter. We formally derive conditions under which an LDC keeps the ”right to development” but voluntarily agrees to participate in stringent international climate policy. Two types of policies are analyzed, one with a predefined transfer and the other with a transfer that is tied to emissions-control efforts. We show that offering only one or the other option is inefficient. Chances for a comprehensive agreement are higher when a menu of policy options is available. The number and diversity of LDCs willing to join a global climate treaty is higher when a variety of policy alternatives is available.
    Keywords: Climate policy, less developed countries, equitable burden sharing, right to development, international climate agreement.
    JEL: Q43 O47 Q56 O41
    Date: 2015–06
  16. By: Goeschl, Timo; Kettner, Sara Elisa; Lohse, Johannes; Schwieren, Christiane
    Abstract: Evidence from public good game experiments holds the promise of instructive and cost-effective insights to inform environmental policy-making, for example on climate change mitigation. To fulfill the promise, such evidence needs to demonstrate generalizability to the specific policy context. This paper examines whether and under which conditions such evidence generalizes to voluntary mitigation decisions. We observe each participant in two different decision tasks: a real giving task in which contributions are used to directly reduce CO2 emissions and a public good game. Through two treatment variations, we explore two potential shifters of generalizability in a within-subjects design: the structural resemblance of contribution incentives between the tasks and the role of the subject pool, students and non-students. Our findings suggest that cooperation in public good games is linked to voluntary mitigation behavior, albeit not in a uniform way. For a standard set of parameters, behavior in both tasks is uncorrelated. Greater structural resemblance of the public goods game leads to sizable correlations, especially for student subjects.
    Date: 2015–06–19
  17. By: J. -F. Mercure; H. Pollitt; A. M. Bassi; J. E Vi\~nuales; N. R. Edwards
    Abstract: Policy-makers currently face unprecedented challenges and uncertainty when taking decisions that simultaneously affect economic development, technology and the environment. It is not clear to policy-makers how to reconcile economic policy supporting growth with climate change mitigation, and it is not clear how effective policies are likely to be. This paper argues that informing policy-making using conventional equilibrium or optimisation modelling of technology and economics is not fine-grained enough to capture the complexities of real-world human behaviour and its diversity, leaving a wide uncertainty gap for policy-making. We suggest that the use of a dynamical methodology involving complexity science coupled to behavioural science with sophisticated uncertainty analysis can provide appropriate tools to better understand policy issues in sectors that involve a high degree of interaction (collective effects) or differentiation (agent heterogeneity/diversity) between agents. We argue that a better representation in models of these complex feedbacks between three critical interrelated areas could enable a paradigm shift for our understanding of how these aspects work together: technological change, the macroeconomy, and the natural environment. We identify four areas of environmental policy where the high degree of agent interactions and/or behavioural diversity makes their analysis impractical/inconsistent. These are (1) the effectiveness of policy for emissions reductions in consumer based sectors (2) the analysis of green growth, (3) cascading uncertainty across models and (4) cross-sectoral impacts of sector specific policies (e.g. biofuels). We suggest how a wider adoption of this approach could lead to a step change in our ability to address the complex policy problems raised by sustainability transitions.
    Date: 2015–06
  18. By: Jan Goebel; Christian Krekel; Tim Tiefenbach; Nicolas R. Ziebarth
    Abstract: We study the impact of the Fukushima disaster on environmental concerns, well-being, risk aversion, and political preferences in Germany, Switzerland, and the UK. In these countries, overall life satisfaction did not significantly decrease, but the disaster significantly increased environmental concerns among Germans. One underlying mechanism likely operated through the perceived risk of a similar meltdown of domestic reactors. After Fukushima, more Germans considered themselves as “very risk averse”. However, drastic German policy action shut down the oldest reactors, implemented the phaseout of the remaining ones, and proclaimed the transition to renewables. This shift in energy policy contributed to the subsequent decrease in environmental concerns, particularly among women, Green party supporters, and people living in close distance to the oldest reactors. In Germany, political support for the Greens increased significantly, whereas in Switzerland and the UK, this increase was limited to people living close to reactors.
    Keywords: Fukushima, nuclear phase-out, environmental concerns, well-being, risk aversion, Green party
    JEL: I18 I31 Q54
    Date: 2015
  19. By: Rode, Julian; Le Menestrel, Marc; Cornelissen, Gert
    Abstract: Nature conservation scientists and practitioners have voiced the concern that a conservation discourse based on economic arguments and monetary valuation may undermine conservation efforts by eroding ("crowding out") the influence of other arguments for nature conservation. This paper presents the results of a decision experiment in which nature conservation is framed using an economic, a non-economic, or a combined discourse before participants take hypothetical decisions on the construction of hydropower dams in the Bolivian Amazon. We find that an economic discourse with monetary valuation framing leads to significantly fewer pro-conservation decisions, that is, decisions against dam construction. This is the case when a cost-benefit analysis inclusive of environmental costs reveals that the dam is economically viable (i.e., there remains a trade-off between economics and conservation), but also when such a costs-benefit analysis indicates that the dam is not viable (i.e., no trade-off). The results suggest that an economic discourse with monetary valuation framing can indeed undermine nature conservation efforts. They also suggest that the effect can be avoided, however, by presenting non-economic arguments side by side with an economic rationale.
    Keywords: nature conservation,policy discourse,framing,monetary valuation,crowding out
    JEL: D61 D63 D81 H41 O13 Q01 Q34 Q51 Q56 Q57
    Date: 2015
  20. By: Luca Lambertini (Department of Economics, University of Bologna, Italy; The Rimini Centre for Economic Analysis, Italy); Joanna Poyago-Theotoky (School of Economics, La Trobe University, Australia; The Rimini Centre for Economic Analysis, Italy); Alessandro Tampieri (Faculty of Law, Economics and Finance, University of Luxembourg, Luxembourg)
    Abstract: We examine the relationship between competition and innovation in an industry where production is polluting and R&D aims to reduce emissions (“green” innovation). We present an n-firm oligopoly where firms compete in quantities and decide their investment in “green” R&D. When environmental taxation is exogenous, aggregate R&D investment always increases with the number of firms in the industry. Next we analyse the case where the emission tax is set endogenously by a regulator (committed or time-consistent) with the aim to maximize social welfare. We show that an inverted-U relationship exists between aggregate R&D and industry size under reasonable conditions, and is driven by the presence of R&D spillovers.
    Date: 2015–06
  21. By: Takayoshi Kato; Jane Ellis; Christa Clapp
    Abstract: Shifting public and private investment from “brown” to “green” is an essential part of climate change. The post-2020 climate agreement to be agreed at COP 21 in December 2015 has the potential to play a significant role in signalling the importance of such a shift. This paper explores how the 2015 agreement could spur further mobilisation of climate finance by examining the current state of play regarding existing financing environments and mechanisms. These include examining the existing international institutional arrangements under the UNFCCC to see how balanced financing, co-ordination, streamlining and complementarity between institutions could be achieved. The paper also highlights the key role that in-country enabling environments can play in further mobilising public and private climate finance, and discusses how the 2015 agreement could enhance both “pull” and “push” factors for mobilisation. In addition, the paper also discusses how the agreement could facilitate the broad use of a spectrum of financial instruments and the further development of an enhanced system for measurement, reporting and verification of climate finance.<P>Le rôle de l'accord de 2015 dans la mobilisation de financements climatiques<BR>Faire passer les investissements publics et privés du « brun » au vert » est un aspect essentiel de la lutte contre le changement climatique. L’accord sur le climat post-2020 qui doit être adopté à la COP21, en décembre 2015, peut jouer un grand rôle dans ce contexte en mettant en lumière l’importance d’une telle réorientation des investissements. Ce rapport étudie comment l’accord de 2015 pourrait stimuler une mobilisation accrue de financements climatiques. Pour ce faire, il dresse un état des lieux des environnements et des mécanismes de financement existants, en passant en revue les dispositifs institutionnels internationaux en vigueur dans le cadre de la CCNUCC afin de déterminer comment obtenir des financements équilibrés, une coordination, une organisation efficace et une complémentarité entre les institutions. Le rapport met également en évidence l’importance d’un environnement propice à l’intérieur des pays pour intensifier la mobilisation de financements climatiques publics et privés, et examine dans quelle mesure l’accord de 2015 pourrait renforcer les facteurs d’attraction et d’incitation en matière de mobilisation des capitaux. Le rapport décrit également comment l’accord pourrait faciliter un large recours à toute une panoplie d’instruments financiers et faire progresser la mise au point d’un système amélioré de mesure, de notification et de contrôle des financements climatiques.
    Keywords: climate change, UNFCCC, 2015 agreement, mobilisation, climate finance, accord de 2015, mobilisation, financement climatique, CCNUCC, changement climatique
    JEL: F53 O44 Q54 Q56 Q58
    Date: 2014–11
  22. By: Tim Laing; Luca Taschini; Charles Palmer; Johanna Wehkamp; Sabine Fuss; Wolf Heinrich Reuter
    Abstract: REDD (Reducing emissions from deforestation and forest degradation), broadened to REDD+, has recently emerged as a potentially important component of the global policy mix to mitigate climate change. In this context, it has been the hope of policy-makers that private sector stakeholders will turn into novel and active actors in many of the different components of REDD+ such as forest conservation and many have expected them to play a central role in providing funding for forest protection. However, even as REDD+ credits have become increasingly available on the voluntary market – private sector stakeholders seem to have lost interest REDD+ carbon credits. In order to better understand possible models of private sector engagement in REDD+ in the future, this report analyzes the motivation of a sample of private sector stakeholders to engage in REDD+, the perception of the potential of REDD+, the critical obstacles to making REDD+ functional and finally how private sector actors perceive themselves as part of future REDD+ scenarios. Based on a range of qualitative engagements with a wide grouping of private sector actors, we find that few seem to expect a regulatory market for REDD+ to emerge and that credits from the voluntary market have to be more tailor-made to their specific needs (ranging from demands based on Corporate Social Responsibility, to portfolio diversification and hedging strategies against stranded assets). The carbon value alone is currently not sufficient for many private actors. For REDD+ to become more attractive for most surveyed private sector stakeholders, the main problem is the uncertainty about how REDD+ will be designed in the future, along with building understanding of the values, barriers and risks that accompany REDD+.
    Date: 2015–05
  23. By: Florian Egli; Nick Johnstone; Carlo Menon
    Abstract: Most of the projections of the cost of meeting climate change mitigation targets hinge crucially upon assumptions made about the cost and timing of the development of breakthrough technologies. However, very little is known about the conditions which are likely to give rise to breakthrough technologies. This paper seeks to uncover attributes of inventions – as reflected in patent data – which serve as “leading indicators” of subsequent technological and market development in climate change mitigation technologies. The role of industrial generality emerges as being robustly correlated with subsequent technological diffusion, whether measured as subsequent patent counts, commercial applicability, or attractiveness to risk finance. The indicator of closeness to science shows also a positive association with later technological diffusion. Originality and radicalness have more ambiguous results. This work can be seen as a foundation for the future development of a methodology providing guidance to policymakers in the choices made with respect to public support for different technological fields.
    Keywords: green growth, climate change mitigation policy
    JEL: O31 O33 Q54 Q55
    Date: 2015–06–24
  24. By: Dholakia, Hem H.; Mishra, Vimal; Garg, Amit
    Abstract: Mapping mortality impacts of the projected climate in urban areas of developing countries will play a crucial role in instituting planned adaptation measures to protect public health. We provide a comprehensive assessment of mortality in 52 urban areas (population >1 million) that are located in diverse climactic regimes in India. To understand implications of the climate warming on heat wave mortality in the urban India, we used downscaled and bias corrected temperature projections from the Coupled Model Inter-comparison Project Phase 5 (CMIP5) models. Using the observed data for the period of 2005-2012, we developed temperature-mortality relationships using Poisson regression models for the selected urban areas in India. These relationships were applied to future temperature projections from the 23 CMIP5 models for the summer and winter seasons for the Representative Concentration Pathway 4.5 and 8.5 scenarios. Here we show that urban areas in India are projected to witness two-fold or more increases (p <0.05) in heat related mortality (i.e. summer season) under the projected future climate. Mortality is projected to increase 71and 140% in the late 21st century under the RCP 4.5 and 8.5 scenarios, respectively. Moreover, we find that increases in the heat related mortality will overshadow declines in the cold related mortality (winter season). Moreover, urban areas of Delhi, Ahmedabad, Bangalore, Mumbai and Kolkata are projected to experience the highest absolute increases in the heat related mortality in 2080s under the RCP 8.5 scenario. Our findings underscore the need for Indian policy makers to anticipate, plan and respond to the challenge of climate change.
  25. By: Sartorius, Christian; Strauch, Manuel; Gandenberger, Carsten
    Abstract: Existing research on the international transfer of climate technologies has so far largely concentrated on the transfer of mitigation technologies. However, the UNFCCC's decision to adopt the Cancún Adaptation Framework reflects the increasing political priority that is given to climate adaptation in general, as well as to the development and transfer of adaptation technologies. Given this situation, the objective of this case study is to explore the specific drivers and barriers pertaining to the international transfer and diffusion of membrane bio-reactors (MBR), a water treatment technology that enables the reclamation and reuse of water and helps to reduce the negative impacts of climate change. While this technology has largely been developed in industrialized countries, many of those countries that are most vulnerable to draughts and water scarcity belong to the developing world. Therefore, this case study analyzes the international transfer of MBR technology to two emerging economies, Brazil and China. Methodologically, the case study combines quantitative evidence, e.g. trade and patent data, with qualitative evidence gained from the analysis of the relevant legal and political framework in Brazil and China, as well as from insights gained from eight personal interviews with experts representing MBR companies and policy makers.
    Keywords: International Technology Transfer,Climate Adaptation,Membrane Bio-Reactors
    Date: 2015
  26. By: Lars Ravn-Jonsen (Department of Environmental and Business Economics, University of Southern Denmark); Ken H. Andersen (Center for Ocean Life, Natl. Inst. of Aquatic Resources, Technical University of Denmark); Niels Vestergaard (Department of Environmental and Business Economics, University of Southern Denmark)
    Abstract: Ecosystem externalities arise when one use of an ecosystem affects its other uses through the production functions of the ecosystem.We use simulations from a size-spectrum ecosystem model to investigate the ecosystem externality created by fishing of multiple species. The model is based upon general ecological principles and is calibrated to the North Sea. Two fleets are considered: a “forage fish” fleet targeting species that mature at small sizes and a “large fish” fleet targeting large piscivorous species. Based on the marginal analysis of the present value of the rent, we develop a benefit indicator that explicitly divides the consequences of fishing into internal and external benefits. This analysis demonstrates that the forage fish fleet has a notable economic impact on the large fish fleet, but the reverse is not true. The impact can be either negative or positive, which entails that for optimal economic exploitation, the forage fishery has to be adjusted according to the large fish fishery. With the present large fish fishery in the North Sea, the two fisheries are well adjusted; however, the present combined exploration level is too high to achieve optimal economic rents.
    Keywords: Ecosystem Externalities, Forage Fish, Benefit Indicator, Marine Ecosystems, Fisheries management, Size-based, North Sea
    Date: 2015–06
  27. By: Siqi Zheng; Cong Sun; Matthew E. Kahn
    Abstract: Urban China’s high levels of ambient air pollution both lowers quality of life and raises mortality risk. China’s wealthy have the purchasing power to purchase private products such as air filters that allows them to offset some of the pollution exposure risk. Using a unique data set of Internet purchases, we document that households invest more in masks and air filter products when ambient pollution levels exceed key alert thresholds. Richer people are more likely to invest in air filters, which are much more expensive than masks. Our findings have implications for trends in inequality in human capital accumulation and in quality of life inequality in urban China.
    JEL: Q53 Q55 R21
    Date: 2015–06
  28. By: Caillaud, Bernard; Demange, Gabrielle
    Abstract: This paper analyzes the joint design of fiscal and cap-and-trade instruments in climate policies under uncertainty. Whether the optimal mechanism is a mixed policy (with some firms subject to a tax and others to a cap-and-trade) or a uniform one (with all firms subject to the same instrument) depends on parameters reflecting preferences, production, and, most importantly, the stochastic structure of the shocks affecting the economy. This framework is then used to address the issue of the non-cooperative design of ETS in various areas worldwide and to characterize the resulting inefficiency and excess in emission. We provide a strong Pareto argument in favor of merging ETS of different regions in the world and evaluate the welfare gains in each region.
    Keywords: cap-and-trade mechanisms; climate policies; tax
    JEL: D62 H23 Q54
    Date: 2015–06
  29. By: Shiro Takeda (Kyoto Sangyo University); Toshi H. Arimura (Waseda University); Makoto Sugino (Yamagata University)
    Abstract: International emissions trading (IET) has been widely recognized as a preferred approach for tackling the climate change because it would equalize total abatement costs and generates gains for all participants. However, this argument is heavily premised on the notion of partial equilibrium and ignores general equilibrium effects of IET. Using a multi-region, multi-sector CGE model, this paper analyzes effects of IET with focus on labor market distortions. We construct four separate models with several different labor market specifications: i) a model without labor market distortions (i.e. where the labor supply is determined exogenously and wages are flexible); ii) a model with tax-interaction effects in the labor market (i.e. where the labor supply is endogenously determined and a labor tax exists); iii) a model with a minimum wage; and iv) the final model is one in which a wage curve determines wages. We use these models to analyze how the effects of IET change according to model specification. The main results from the analysis are as follows. First, we found that IET generates gains for all participants in the model without labor market distortions. Second, even in the models with labor market distortions, importers of emissions permits are highly likely to benefit. Conversely, we show that the possibility of a welfare loss from IET is not as small for exporters of permits. In particular, in the minimum wage and wage curve models, we found that the exporters of emissions permits are likely to be disadvantaged. However, this also depends on the region in question. For example, China is likely to suffer under IET, whereas Russia, also an exporter, is likely to benefit. We also make clear that if policies are employed to correct (i.e. reduce) labor market distortions when emissions regulation is introduced, all participants will benefit from IET in almost all cases. It is generally recognized that IET is a desirable policy that benefits all participating regions. However, we show that an analysis that does not take account of such labor market distortions will likely overestimate the benefits of IET for permit exporters.
    Keywords: international emissions trading, labor market, computable general equilibrium analysis, tax-interaction effect, minimum wage, wage curve
    Date: 2015–03
  30. By: Ivan Haščič; Jérôme Silva; Nick Johnstone
    Abstract: Patent data provide an increasingly used means to analyse innovation performance worldwide including in countries with incomplete data coverage, such as some developing countries. This paper discusses the specific issues associated with using patent data for measuring and analysing innovation in narrow technological fields, such as many environment-related technologies. To improve cross-country comparability of patent statistics, the paper advocates the use of indicators based on patent family size because they are more flexible and can be adapted to various applications. The paper also examines certain idiosyncratic characteristics of patent databases and proposes approaches to mitigate potential biases in empirical cross-country analyses. While doing so is particularly important for analyses of narrow technological fields such as many environment- and climate-related technologies, some of these issues are relevant for patent analysis more broadly.
    Keywords: innovation, indicators, environmental technologies
    JEL: O3 O31 O34 Q2 Q4 Q5
    Date: 2015–06–24
  31. By: Amelia Sharman
    Abstract: Public perceptions of a polarised climate debate predominantly frame the key actors as climate scientists (CSs) versus sceptical voices (SVs); however it is unclear why CSs and SVs choose to participate in this hostile and antagonistic public battle. This research uses a narrative interview approach to better understand the underlying rationales behind 22 CSs and SVs engagement in the climate debate. It focuses in particular on potential overlaps between previously polarised individuals as well as each actor’s ability to be critically self-reflexive about their own opinions about climate change, as well as of the opinions of those who hold different views. Several overlapping rationales are identified such as a sense of duty to publicly engage, agreement that complete certainty about the complex assemblage of climate change is an unattainable prospect, and that political factors are a key topic of interest in the climate debate. The paper concludes that a focus on potential overlaps in perceptions and rationales as well as the ability to be critically self-reflexive may encourage constructive discussion even amongst actors who had previously engaged in purposefully antagonistic exchange.
    Date: 2015–04
  32. By: Barry, I.; Bonroy, O.; Garella, P.G.
    Abstract: Taxes and subsidies on products embodying environmental qualities often coexist with certified private labels---like Ecocert, Scientific Certification System, or OEKO-TEX. Their interaction is yet quite unexplored. We analyze a duopoly where consumers value an environmental quality, with an externality. A certifier sets the quality standard for a label. The fee for granting the label is either set by the certifier (certifier power), or in a noncooperative bidding game (firm power). Taxes and subsidies then affect the fee, depending upon how this is set, and the standard. This channel can produce distorted or even reversed effects. If firm power exists, for instance, a subsidy to the labeled good ends up decreasing the environmental quality and welfare. Conversely, absence of firm power nullifies the effects of ad valorem taxing the unlabeled "dirty" product. Only a per unit tax has similar, but always worsening, effects.
    JEL: L13 L15 L5 Q5
    Date: 2015
  33. By: Anna Drutschinin; Stephanie Ockenden
    Abstract: This paper considers the key financing challenges and opportunities for realising both biodiversity conservation and sustainable development objectives. It considers the full range of possible sources, from public and private, domestic and international sources, but has a focus on public resources. The first part of this paper examines trends in bilateral commitments of official development assistance (ODA) targeting biodiversity objectives, drawing on OECD development assistance committee (DAC) creditor reporting system (CRS) statistics. The paper also discusses the effectiveness of these finance flows in achieving long-lasting results. The second part of the paper explores how development co-operation can support partner countries to mobilise and access other sources of finance for biodiversity, through mechanisms such as environmental fiscal reform, payments for ecosystem services, market creation mechanisms for green products, and conservation trust funds. Support can target the development of knowledge, technical skills, and strengthen governance and legal institutions. The paper concludes with suggested areas for further research to gain a deeper understanding of biodiversity-related development finance.
    Keywords: development finance, development co-operation, natural resources management, biodiversity, ecosystem services
    JEL: O2 Q
    Date: 2015–06–20
  34. By: Jean-Marc Roda (CESSMA - Centre d'Etudes en Sciences Sociales sur les Mondes Africains, Américains et Asiatiques - UP7 - Université Paris Diderot - Paris 7 - Institut de Recherche pour le Développement - IRD (FRANCE), UR Valorisation des bois tropicaux - Centre de Coopération Internationale en Recherche Agronomique pour le Développement, INTROP - Institute of Tropical Forestry & Forest Products - University of Putra Malaysia, FRIM - Forest Research Institute of Malaysia - FRIM, CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - CIRAD - Centre de coopération internationale en recherche agronomique pour le développement); Norfaryanti Kamaruddin (INTROP - Institute of Tropical Forestry & Forest Products - University of Putra Malaysia); Rafael Palhiarim Tobias (UR Valorisation des bois tropicaux - Centre de Coopération Internationale en Recherche Agronomique pour le Développement, CIRAD - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - CIRAD - Centre de coopération internationale en recherche agronomique pour le développement)
    Abstract: Promoting tropical forest sustainability among corporate players is a major challenge. Many tools have been developed, but without much success. Southeast Asia has become a laboratory of globalization processes, where the development and success of agribusiness transnationals raises questions about their commitment to environmental concerns. An abundance of literature discusses what determines the behavior of Asian corporations, with a particular emphasis on cultural factors. Our hypothesis is that financial factors, such as ownership structure, may also have a fundamental role. We analyzed the audited accounts of four major Asian agribusiness transnationals. Using network analysis, we deciphered how the 931 companies relate to each other and determine the behavior of the transnationals to which they belong. We compared various metrics with the environmental commitment of these transnationals. We found that ownership structures reflect differences in flexibility, control and transaction costs, but not in ethnicities. Capital and its control, ownership structure, and flexibility explain 97% of the environmental behavior. It means that existing market-based tools to promote environmental sustainability do not engage transnationals at the scale where most of their behavior is determined. For OPEN ACCESS Forests 2015, 6 1455 the first time, the inner mechanisms of corporate governance are unraveled in agricultural and forest sustainability. New implications such as the convergence of environmental sustainability with family business sustainability emerged.
    Date: 2015–04–29
  35. By: Gandenberger, Carsten; Unger, Daniel; Strauch, Manuel; Bodenheimer, Miriam
    Abstract: Enhancing developing countries' access to climate technologies is an important contribution to effectively addressing climate change at the global level. In this study, we analyses the drivers and barriers for the transfer of wind power technology from the perspective of multinational technology suppliers. The findings and comparison of two case studies on the transfer of wind power technology to China and Brazil are presented, focusing on which transfer channels were chosen and why, as well as what kind of impact this choice had on the local diffusion of the transferred technology. While the case study on China arrives at the conclusion that a variety of transfer channels are used and hybrid governance modes, such as licensing and joint ventures, are favored in particular, the Brazilian case revealed that transfers within multinational companies to their subsidiaries are by far the dominant transfer channel. Both case studies revealed that government restrictions have a considerable impact on the choice of transfer channel, which is due both to the strong involvement of the receiving countries' governments in market creation activities for renewable energies and to their control over energy markets and infrastructures. [...]
    Keywords: International Technology Transfer,Transfer Channel,Wind Power,Knowledge Spillover,Transaction Costs Economics
    Date: 2015
  36. By: Roda Jean-Marc
    Abstract: Promoting tropical forest sustainability among corporate players is a major challenge. Many tools have been developed, but without much success. Southeast Asia has become a laboratory of globalization processes, where the development and success of agribusiness transnationals raises questions about their commitment to environmental concerns. An abundance of literature discusses what determines the behavior of Asian corporations, with a particular emphasis on cultural factors. Our hypothesis is that financial factors, such as ownership structure, may also have a fundamental role. We analyzed the audited accounts of four major Asian agribusiness transnationals. Using network analysis, we deciphered how the 931 companies relate to each other and determine the behavior of the transnationals to which they belong. We compared various metrics with the environmental commitment of these transnationals. We found that ownership structures reflect differences in flexibility, control and transaction costs, but not in ethnicities. Capital and its control, ownership structure, and flexibility explain 97% of the environmental behavior. It means that existing market-based tools to promote environmental sustainability do not engage transnationals at the scale where most of their behavior is determined. For the first time, the inner mechanisms of corporate governance are unraveled in agricultural and forest sustainability. New implications such as the convergence of environmental sustainability with family business sustainability emerged.
    Keywords: Southeast Asia, oil palm, forest, transnationals, investment strategy, emerging markets, competitiveness, network analysis, network metrics, ethnic business, ownership structure, family business. agribusiness
    JEL: D85 F02 F23 G32 L14 L73 Q01 Q13 Q23
    Date: 2014
  37. By: Kundu, Nobinkhor
    Abstract: Bangladesh will achieve considerable success in acceleration of economic growth of course need for sustainable energy for development (SED). Renewable or ‘green’ energy is now at forefront of the country’s priorities for environmentally sustainable economic progress. The Power Division under the Ministry of Power, Energy & Mineral Resources (MPEMR) has declared a “Renewable Energy Policy of Bangladesh” and under the Companies Act, 1994, the GoB, is establishing an institution named “Sustainable Energy Development Authority” (SEDA). At present Bangladesh takes the different financing models that have been developed and tested for renewable energy projects in urban and rural communities and energy efficiency improvement projects. Bangladesh Bank (BB) has developed an incentive scheme for concessional refinancing for small solar energy, bio-gas plants and Effluent Treatment Plants (ETP). These are recent initiatives on their part and Banks are yet to take full advantage of such concessional refinance. To analysis primary data collected for used cross sectional study to be considered about allied factors for renewable energy especially solar energy. A structured questionnaire was prepared in the light of the objectives of the study that was filled up by direct interview. The multivariate techniques viz., multiple logistic regression models, will be used to identify the inputs significant for sustainable energy for development in Bangladesh that is accelerating economic growth of a nation. Software packages Eviews - 5.1 have built-in routines to estimate the logit model at the individual level. Logistic regressions have been presented with the dependent variable as an indicator of the probability of being in generate RE and EE. Dependent variables dummy of RE and EE (= 1, if a generate RE and EE is full, otherwise under) have been included. The expected sign of explanatory variables coefficients are positive and or negative respectively. Thus, other things remaining same, if high cost RE/EE technologies up to become low cost, each stakeholder will purchase RE/EE technologies. However, together all the regressors have a significant impact on the log of RE/EE, whose p-value is about 0.0000, which is statistically significant. We are looking at different sources of financing on both RE and EE investment decisions. Overall, financial institutions will aim to create a package that includes the total finance amount and the repayment terms, the interest rate, the repayment schedule and any guarantees or securities. When successful, these new approaches could be capable of triggering the involvement of commercial banks. Point of view of banking and financing institutions and risks associated with renewable energy (RE) and energy efficiency (EE) technologies for sustainable energy for development (SED).
    Keywords: Renewable Energy, Energy Efficiency, Sustainable Development
    JEL: Q26 Q56
    Date: 2014–03–12
  38. By: Moritz Drupp; Mark Freeman; Ben Groom; Frikk Nesje
    Abstract: We present evidence from a survey of 197 experts on the determinants of the long-term social discount rate (SDR). The survey disentangles central discounting concepts and components. Alongside forecasts of real risk-free interest rates and experts’ recommended SDRs, we elicit responses on the individual parameters of the Ramsey Rule’s social rate of time preference: the elasticity of marginal utility of consumption, the pure rate of time preference, and a prediction of long-term per capita consumption growth. Obtaining disentangled data such as these is crucial because appropriate guidance on the SDR depends on how heterogeneous recommendations and forecasts on the SDR’s determinants are combined. We find a mean (median) recommended long-term SDR of 2.25% (2%) and characterise empirical distributions of all other determinants. Besides providing this necessary raw data, which may also prove useful in other fields, we obtain three key results. First, while there is considerable disagreement on point SDRs, 92% of experts are comfortable with SDRs somewhere in the interval of 1% to 3%. Second, we find that the simple Ramsey Rule cannot predict the responses of the majority of experts. In fact, 81% of experts do not recommend a SDR equal to the Ramsey Rule’s social rate of time preference. Furthermore, the SDR responses of only 25% of experts match their forecasted interest rates. This indicates that the prominence of the Ramsey Rule in policy guidance should be revisited. Finally, the rich body of qualitative responses we received underscores the more complex nature of social discounting. Among others, experts point to issues such as uncertainty, heterogeneity, relative price effects and alternative ethical approaches that policy guidance on social discounting should consider. Overall, our findings lead us to the conclusion that current policy guidance concerning social discounting and the evaluation of long-term public projects needs to be updated. This applies among others to the UK Treasury’s Green Book and the Assessments of the Intergovernmental Panel on Climate Change.
    Date: 2015–05
  39. By: Zareena Begum Irfan (Madras School of Economics); Bina Gupta (Department of Environmental Science, Indian Institute of Technology Roorkee, Roorkee, Uttarakhand)
    Abstract: Constitutionally in India, the individual states have responsibility for water, forests, and agriculture. Major canal irrigation accounts for over 80 percent of India's irrigation. The intensive wheat irrigated system in Haryana and Uttar Pradesh states of India is observed to analyze the impact of incentive mechanism favoring the crop yield and water use. The regions selected for the present study are built on a long tradition of canal irrigation. Findings from farm surveys are used to examine water management and water productivity in the Haryana and Uttar Pradesh state. Attributes of the irrigation sources help explain the widespread interest in groundwater use and the relative demise of canal water use. Sole consumption of groundwater as irrigation source was altered by the initiation of conjunctive water of both surface and ground through the incentive pathway by municipal level irrigation managers. A combination of technological, land use and market based approaches is likely to be most effective in achieving sustainable water management in these intensive cereal systems. Based on the data set for the Indo-Gangetic Plain, the overall goal of this paper was to examine how the irrigation management reform has proceeded since the early stages of implementation and what the impacts are of the incentive mechanisms on water use and crop yields. The results show that irrigation management reform has accelerated in the study sites. The econometric model results indicate that using incentive mechanisms to promote water savings is effective under the arrangement of contracting management. However, if incentives are provided to the irrigation managers, the wheat yield declines significantly. The results imply that at the later stage of the reform, the cost of reducing water use by providing incentives to managers includes negative impacts on crop yields. Therefore, the design of win–win supporting policies is aimed to be achieved from the present study to ensure the healthy development of the irrigation management reform.
    Keywords: Canal Irrigation, Incentive, Water Use, Crop yield
    JEL: Q15 Q25 Q18
    Date: 2015–04
  40. By: Singh,Anoop; Jamasb,Tooraj; Nepal,Rabindra; Toman,Michael A.
    Abstract: South Asian countries, facing challenges in efficiently meeting growing electricity demand, can benefit from increased cross-border electricity cooperation and trade by harnessing complementarities in electricity demand patterns, diversity in resource endowments for power generation, and gains from larger market access. The region has witnessed slow progress in expanding regional electricity cooperation and trade, and undertaking needed domestic sector reforms. Although bilateral electricity sector cooperation in the region is increasing, broader regional cooperation and trade initiatives have lagged in the face of regional barriers and domestic sector inefficiencies. Deeper electricity market reforms are not a necessity for further development of cross-border electricity trade, but limited progress in overcoming regional and domestic barriers will limit the scope of the regional market and the benefits it can provide.
    Keywords: Energy Production and Transportation,Energy Technology&Transmission,Climate Change Mitigation and Green House Gases,Energy and Poverty Alleviation,Electric Power
    Date: 2015–06–23
  41. By: Bishnu Prasad Sharma et al.
    Abstract: This paper examines the role of national and sub-national institutions in managing carbon sequestration and trade in Nepal. It first asks whether it is feasible and advantageous to implement REDD+ in Nepal's community managed forests. Then, using a pilot experimental program, it assesses whether community institutions can serve both existing needs and meet international demand for carbon. The review ofsecondary evidence suggests that community forestry can effectively and equitably manage REDD+ activity. However, there may be higher carbons returns to converting forests currently directly managed by the government to more efficient regimes. At the sub-national level, available evidence suggests that REDD+ activities can be successfully implemented, if, in addition to rent, communities receive technical mentoring that contributes to institutional strengthening.
  42. By: Rizos, Vasileios; Behrens, Arno; Taranic, Igor
    Abstract: Eco-innovation has been identified as one of the key drivers of change that need to be harnessed for a sustainable future. Given the complexity of eco-innovation as a concept, there are various challenges to measuring its progress. This CEPS Working Document briefly explores the evolution of the concept of eco-innovation and emphasises its role in the EU 2020 strategy. It then gives an overview of the different measurement approaches and challenges associated with identifying and using indicators for measuring progress in eco-innovation. Within this context, the paper describes the added value and key features of the web tool, which aims to improve the way in which policy-makers and others involved in the policy process can access, understand and use green economy and eco-innovation indicators. The web tool was developed as part of a systematic overview by the NETGREEN project research team of the large and fragmented body of work in the field of green economy indicators. The paper concludes with a number of messages for policy-makers in this field.
    Date: 2015–06
  43. By: Nazim Hussain (Dept. of Management, Università Ca' Foscari Venice)
    Abstract: Last three decades have witnessed a huge amount of research trying to establish how companyÕs sustainability performance (SP) is related with financial performance (FP). Researchers have applied various methods and theoretical frameworks to investigate this relationship but results are still fragmented and competing. In this article, we analyze the relationship between SP measures (Economic, Environmental, and Social) and FP. Data for the for all SP dimensions are obtained by applying manual content analysis technique on the sustainability reports of Global Fortune N100 firms from 2007 to 2011. Differently from previous contributions, in this article sustainability disclosure (SD) and SP are considered jointly through a composite index. To best of our knowledge, the time series is the longest in this field of research. Finally, the compliance of sustainability report with Global Reporting Initiative (GRI) guidelines ensures a high degree of comparability and quality of information provided by the companies. Results obtained from fixed effect regression models reveal that the economic performance information is not relevant, while the impact of environmental and social dimensions of sustainability remains relevant and significant across different measures of FP. No evidence shows any relation between SP and ownership structure. The use of control sample further corroborates the relevance of sustainability dimension to explain changes in FP.
    Keywords: Corporate Social Responsibility, Sustainability Disclosure, Global Reporting Initiative, G3 Guidelines, Firm Performance.
    JEL: M40
    Date: 2015–06
  44. By: Lars Ravn-Jonsen (Department of Environmental and Business Economics, University of Southern Denmark); Ken H. Andersen (Center for Ocean Life, Natl. Inst. of Aquatic Resources, Technical University of Denmark); Niels Vestergaard (Department of Environmental and Business Economics, University of Southern Denmark)
    Abstract: This supporting material for An Indicator for Ecosystem Externalities in Fishing provides the estimations of the cost model parameters, establishes a price model, performs sensitivity analyses of the cost model parameters and analyzes sensitivity with respect to the control variable.
    Keywords: Production function, Price model, Sensitivity analyses
    Date: 2015–06
  45. By: Jamasb,Tooraj; Nepal,Rabindra; Timilsina,Govinda R.
    Abstract: It has been more than two decades since the widespread initiation of global power sector reforms and restructuring. However, empirical evidence on the intended microeconomic, macroeconomic, and quality-related impacts of reforms across developing countries is lacking. This paper comprehensively reviews the empirical and theoretical literature on the linkages between power sector reforms, economic and technical efficiency, and poverty reduction. The review finds that the extent of power sector reforms has varied across developing countries in terms of changes in market structures, the role of the state, and the regulation of the sector. Overall, the reforms have improved the efficiency and productivity in the sector among many reforming countries. However, the efficiency gains have not always reached the end consumers because of the inability of sector regulators and inadequate regulatory frameworks. Reforms alleviate poverty and promote the welfare of the poor only when the poor have access to electricity. From a policy-making perspective, this implies that the reforms need to be supplemented with additional measures for accelerating electrification to help the poor.
    Keywords: Energy Production and Transportation,Infrastructure Regulation,Climate Change Mitigation and Green House Gases,Electric Power,Infrastructure Economics
    Date: 2015–06–23
  46. By: Dannenberg,Astrid; Martinsson,Peter
    Abstract: This paper summarizes the results from public goods experiments investigating the effect of nonbinding agreements on cooperation. Unlike previous studies, this experimental study was conducted among members of forest user groups in Ethiopia and Nepal with long histories of social interdependence. These countries are also characterized by a high degree of collectivism. Overall, the results show a weak effectof nonbinding agreements on cooperation in the two locations. The main reason for this is that the cooperation level is relatively high even without an agreement and only a small proportion of subjects change their behavior when the agreement option is introduced. Nonetheless, the research indicates that the willingness to enter an agreement varies between subjects and strongly correlates with their cooperativeness.
    Keywords: Post Conflict Reconstruction,Rules of Origin,Economic Theory&Research,Public Sector Corruption&Anticorruption Measures,Literature&Folklore
    Date: 2015–06–22
  47. By: Britta Stöver (GWS - Institute of Economic Structures Research)
    Abstract: Die Verbindungen zwischen Gesundheit und Klimawandel sind vielfältig. Das Discussion Paper gibt einen Überblick über die Wirkungszusammenhänge zwischen Klimaveränderungen und dem Gesundheitssektor und diskutiert negative und positive Rückwirkungen auf verschiedene Branchen. Es kann festgestellt werden, dass der Gesamteffekt nicht eindeutig ist. Modellrechnung könnten die Effekte und die Höhe von Einflussparametern aufzeigen.
    Keywords: Gesundheit, Klimawandel, Gesundheitswirtschaft, Effekte, Wirkungskanäle
    JEL: Q54 I10
    Date: 2015

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