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on Environmental Economics |
| By: | Lassi Ahlvik; Inge van den Bijgaart |
| Abstract: | Green innovation is essential for climate change mitigation, but not all innovative projects deliver equal social value. We consider innovator heterogeneity in a model where the policy maker cannot observe innovation quality and directly subsidize the socially most valuable green innovations. We find that carbon pricing works as an innovation screening device; this creates a premium on the optimal carbon price, raising it above the Pigouvian level. We identify conditions for perfect screening and generalize results to screening policies under alternative intellectual property regimes and complementary policies. |
| Keywords: | carbon pricing, green innovation, optimal policy, R&D, screening |
| JEL: | O30 H23 Q55 Q58 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9931&r= |
| By: | Bas Smeets; Guan Schellekens; Thomas Bauwens; Harry Wilting |
| Abstract: | The environmental externalities of economic activities, such as anthropogenic climate change and pollution, have major social, environmental and economic consequences. Monetary valuation of these externalities is a widely acclaimed approach to better account for them in economic decisions, as it provides an appropriate price level for charging a Pigouvian tax. Yet, little research exists on the monetary valuation of the environmental externalities associated with Dutch economic activities and the impact of pricing them on the profitability of different sectors. To address this gap, this paper estimates the monetary value of 30 environmental externalities associated with the activities of 13 sectors and 163 subsectors for the year 2015, based on a global environmentally extended input-output model. It then compares these environmental costs with the financial performance of the sectors to provide an appraisal of potential profit at risk. The findings show that total environmental damage costs associated with the Dutch economy amount to EUR 50 Bn or 7.3% of Dutch GDP in 2015. They also demonstrate that some sectors (energy production, waste and sewage treatment, manufacturing, transport and agriculture) do not generate sufficient profit to cover their natural resource use and pollution costs. These sectors are particularly exposed to the transition risks associated with the internalization of these costs through, for instance, taxation or stricter regulation. It is especially important for financial institutions to be aware of the presence of these risks. The analysis within this research could help to introduce and improve standards and systems, including relevant regulations aimed at internalizing the external costs of production, extraction and consumption. Moreover, these tools can also support financial institutions to inform their heat mapping exercises, the assessment of materiality and/or measurement of environmental transition risks more broadly. |
| Keywords: | Externalities, Environment; Environmental Taxes and Subsidies; Valuation of Environmental Effects; Environmental Accounts and Accounting |
| JEL: | H23 F64 Q51 Q56 |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:dnb:dnbwpp:719&r= |
| By: | Mikaël J.A. Maes (OECD); Abel Gonzales-Hishinuma (OECD); Ivan Haščič (OECD); Claire Hoffmann (OECD); Alexandre Banquet (OECD); Paolo Veneri (OECD); Alexandre Bizeul (International Energy Agency); Arnau Risquez Martin (International Energy Agency); Roberta Quadrelli (International Energy Agency) |
| Abstract: | This paper supports countries in understanding the potential impact of climate-related natural hazards by assessing the exposure of people and assets to these hazards. It develops indicators of climate-related hazards and exposures for seven hazard types (extreme temperature, extreme precipitation, drought, wildfire, wind threats, river flooding and coastal flooding) and four exposure variables (cropland, forests, urban areas and population density). The paper presents the associated methodologies and discusses the global geospatial datasets used to construct the indicators. It shows that it is possible to develop exposure indicators for climate-related hazards with a global geographic coverage at the national and subnational levels. The results, presented for 52 IPAC countries, suggest that all countries are exposed to one or more climate-related natural hazards, but with significant differences in the occurrence and intensity of such hazards. The empirical evidence presented here points to the urgency to take strong climate change mitigation measures. It also highlights the need to accelerate efforts towards the global goal on adaptation to strengthen resilience and reduce vulnerability to climate change in the context of the Paris Agreement. |
| JEL: | Q15 Q2 Q54 R11 |
| Date: | 2022–10–07 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:201-en&r= |
| By: | Stephane Hallegatte; Rubaina Anjum; Paolo Avner; Ammara Shariq; Michelle Winglee; Camilla Knudsen |
| Keywords: | Environment - Climate Change Impacts Environment - Coastal and Marine Environment Environment - Drylands & Desertification Environment - Environmental Economics & Policies Environment - Forests and Forestry Environment - Natural Disasters Environment - Water Resources Management |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35751&r= |
| By: | World Bank |
| Keywords: | Energy - Hydro Power Environment - Climate Change Impacts Environment - Water Resources Management Water Resources - Dams and Reservoirs Water Resources - Flood Control Water Resources - Hydrology Water Resources - River Basin Management Water Resources - Watershed Management |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35488&r= |
| By: | David Freestone; Duygu Cicek |
| Keywords: | Environment - Climate Change Impacts Environment - Climate Change and Environment Environment - Coastal and Marine Environment Environment - Environmental Disasters & Degradation Law and Development - International Law |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35881&r= |
| By: | Dominik Englert; Andrew Losos |
| Keywords: | Transport - Transport Economics Policy and Planning Energy - Energy and Environment Energy - Fuels Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Marine Environment |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35436&r= |
| By: | World Bank |
| Keywords: | Environment - Adaptation to Climate Change Environment - Climate Change Mitigation and Green House Gases Urban Development - City Development Strategies Urban Development - Municipal Financial Management Urban Development - Transport in Urban Areas Urban Development - Urban Economic Development Urban Development - Urban Environment |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35929&r= |
| By: | Eskedar Bahru Gessesse |
| Keywords: | Energy - Energy and Environment Environment - Climate Change Impacts Environment - Environment and Energy Efficiency Environment - Natural Disasters |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35665&r= |
| By: | World Bank |
| Keywords: | Energy - Hydro Power Environment - Environmental Protection Environment - Water Resources Management Water Resources - Dams and Reservoirs Water Resources - Hydrology Water Resources - Watershed Management Water Supply and Sanitation - Waste Disposal & Utilization Energy - Energy and Mining |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35491&r= |
| By: | Justin Andrew Johnson; Giovanni Ruta; Uris Baldos; Raffaello Cervigni; Shun Chonabayashi; Erwin Corong; Olga Gavryliuk; James Gerber; Thomas Hertel; Christopher Nootenboom; Stephen Polasky |
| Keywords: | Environment - Biodiversity Environment - Climate Change Impacts Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Ecosystems and Natural Habitats Environment - Environmental Economics & Policies Environment - Natural Resources Management |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35882&r= |
| By: | World Bank |
| Keywords: | Energy - Energy Policies & Economics Energy - Energy and Environment Energy - Energy and Natural Resources Environment - Air Quality & Clean Air Environment - Environment and Energy Efficiency Environment - Environmental Economics & Policies Environment - Environmental Management Private Sector Development - Enterprise Development & Reform Private Sector Development - Private Sector Economics |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36215&r= |
| By: | Dominik Englert; Andrew Losos; Carlo Raucci; Tristan Smith |
| Keywords: | Transport - Transport Economics Policy and Planning Energy - Energy and Environment Energy - Fuels Environment - Air Quality & Clean Air Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Marine Environment |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35437&r= |
| By: | Ernesto Sánchez-Triana |
| Keywords: | Environment - Environmental Disasters & Degradation Environment - Environmental Economics & Policies Environment - Environmental Governance Environment - Environmental Management Environment - Environmental Protection Environment - Natural Resources Management Environment - Pollution Management & Control Environment - Sustainable Land Management Environment - Water Resources Management |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36266&r= |
| By: | Greg Browder; Ana Nunez Sanchez; Brenden Jongman; Nathan Engle; Eelco van Beek; Melissa Castera Errea; Stephen Hodgson |
| Keywords: | Environment - Climate Change Impacts Environment - Natural Disasters Environment - Water Resources Management Water Resources - Drought Management Water Resources - Flood Control Water Resources - Hydrology |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35754&r= |
| By: | Dominik Englert; Andrew Losos; Carlo Raucci; Tristan Smith |
| Keywords: | Transport - Transport Economics Policy and Planning Energy - Fuels Environment - Air Quality & Clean Air Environment - Climate Change Mitigation and Green House Gases Environment - Marine Environment |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35435&r= |
| By: | World Bank |
| Keywords: | Energy - Energy Consumption Energy - Energy and Environment Environment - Carbon Policy and Trading Environment - Climate Change Mitigation and Green House Gases Environment - Environmental Economics & Policies Macroeconomics and Economic Growth - Taxation & Subsidies |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35862&r= |
| By: | Arame Tall; Sarah Lynagh; Candela Blanco Vecchi; Pepukaye Bardouille; Felipe Montoya Pino; Elham Shabahat; Vladimir Stenek; Fiona Stewart; Samantha Power; Cindy Paladines; Philippe Neves; Lori Kerr |
| Keywords: | Environment - Adaptation to Climate Change Environment - Climate Change and Environment Environment - Environmental Economics & Policies Macroeconomics and Economic Growth - Climate Change Economics |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35203&r= |
| By: | World Bank |
| Keywords: | Environment - Carbon Policy and Trading Environment - Climate Change Impacts Environment - Climate Change Mitigation and Green House Gases Environment - Coastal and Marine Environment Environment - Ecosystems and Natural Habitats Environment - Environmental Economics & Policies Environment - Marine Environment |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35663&r= |
| By: | World Bank |
| Keywords: | Agriculture - Forestry Management Environment - Coastal and Marine Environment Environment - Environmental Protection Environment - Forests and Forestry Environment - Sustainable Land Management |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36140&r= |
| By: | World Bank Group |
| Keywords: | Environment - Biodiversity Environment - Climate Change and Environment Environment - Ecosystems and Natural Habitats Environment - Forests and Forestry Environment - Sustainable Land Management Environment - Water Resources Management |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36047&r= |
| By: | World Bank |
| Keywords: | Environment - Climate Change and Environment Environment - Environmental Economics & Policies Environment - Green Issues Finance and Financial Sector Development - Finance and Development Finance and Financial Sector Development - Financial Regulation & Supervision |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35705&r= |
| By: | World Bank Group |
| Keywords: | Environment - Carbon Policy and Trading Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Environmental Economics & Policies |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36080&r= |
| By: | Willi Semmler; Joao Paulo Braga; Andreas Lichtenberger; Marieme Toure; Erin Hayde |
| Keywords: | Public Sector Development - Public Sector Economics Environment - Carbon Policy and Trading Environment - Climate Change Mitigation and Green House Gases Environment - Environmental Economics & Policies Environment - Green Issues |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35795&r= |
| By: | World Bank |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Environment - Environmental Protection Environment - Water Resources Management Water Resources - Dams and Reservoirs Water Resources - Irrigation and Drainage |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35487&r= |
| By: | World Bank |
| Keywords: | Agriculture - Climate Change and Agriculture Agriculture - Livestock & Animal Husbandry Environment - Carbon Policy and Trading Environment - Climate Change Mitigation and Green House Gases Industry - Agricultural Industry |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35495&r= |
| By: | World Bank |
| Keywords: | Energy - Hydro Power Energy - Renewable Energy Environment - Environmental Protection Environment - Natural Disasters Environment - Water Resources Management Water Resources - Dams and Reservoirs |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35486&r= |
| By: | World Bank |
| Keywords: | Environment - Pollution Management & Control Environment - Water Resources Management Water Resources - River Basin Management Water Resources - Water Policy & Governance |
| Date: | 2021–09 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36270&r= |
| By: | Oumaima Idrissi; Yasemin Orucu; Elin Hallgrimsdottir; Almudena Mateos Merino; Serhat Akin; Oumaima Idrissi |
| Keywords: | Energy - Energy and Environment Energy - Renewable Energy Energy - Thermal Energy Environment - Climate Change Mitigation and Green House Gases Environment - Environment and Energy Efficiency |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36083&r= |
| By: | World Bank |
| Keywords: | Agriculture - Climate Change and Agriculture Agriculture - Forestry Management Environment - Climate Change Mitigation and Green House Gases Environment - Sustainable Land Management |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35923&r= |
| By: | World Bank |
| Keywords: | Environment - Carbon Policy and Trading Environment - Climate Change Mitigation and Green House Gases Environment - Climate Change and Environment Environment - Environmental Economics & Policies Environment - Forests and Forestry |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35806&r= |
| By: | World Bank |
| Keywords: | Public Sector Development - Regulatory Regimes Public Sector Development - Public Financial Management Environment - Climate Change and Environment Environment - Environmental Governance Environment - Environmental Strategy Governance - National Governance |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35438&r= |
| By: | Christine Dupuy (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Hélène Agogué (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Benjamin Amann (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Frédéric Azémar (ECOLAB - Laboratoire Ecologie Fonctionnelle et Environnement - INEE - Institut Ecologie et Environnement - CNRS - Centre National de la Recherche Scientifique - UT3 - Université Toulouse III - Paul Sabatier - Université Fédérale Toulouse Midi-Pyrénées - OMP - Observatoire Midi-Pyrénées - IRD - Institut de Recherche pour le Développement - INSU - CNRS - Institut national des sciences de l'Univers - CNES - Centre National d'Études Spatiales [Toulouse] - CNRS - Centre National de la Recherche Scientifique - Université Fédérale Toulouse Midi-Pyrénées - Météo-France - CNRS - Centre National de la Recherche Scientifique - Toulouse INP - Institut National Polytechnique (Toulouse) - Université Fédérale Toulouse Midi-Pyrénées); Nicolas Becu (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Lauriane Bergeon (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Xavier Bertin (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Pierrick Bocher (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Emilie Bout (CDA La Rochelle - Communauté d'Agglomération de La Rochelle); Isabelle Brenon (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Alexandre Carpentier (BOREA - Biologie des Organismes et Ecosystèmes Aquatiques - UNICAEN - Université de Caen Normandie - NU - Normandie Université - MNHN - Muséum national d'Histoire naturelle - IRD - Institut de Recherche pour le Développement - SU - Sorbonne Université - CNRS - Centre National de la Recherche Scientifique - UA - Université des Antilles, UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes); Serge Ceaux (CDA La Rochelle - Communauté d'Agglomération de La Rochelle); Eric Chaumillon (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Catherine Choquet (MIA - Mathématiques, Image et Applications - EA 3165 - ULR - La Rochelle Université); Béatrice Colin (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Jonathan Deborde (LERPC - Laboratoire Environnement Ressources des Pertuis Charentais - LITTORAL - LITTORAL - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer, IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer); Emmanuel Dubillot (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Emery Claire (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Sylvie Ferrari (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique); Cédric Gaucherel (UMR AMAP - Botanique et Modélisation de l'Architecture des Plantes et des Végétations - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - CNRS - Centre National de la Recherche Scientifique - IRD [France-Sud] - Institut de Recherche pour le Développement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - UM - Université de Montpellier); Philippe Geairon (LERPC - Laboratoire Environnement Ressources des Pertuis Charentais - LITTORAL - LITTORAL - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer, IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer); Stéphane Gilbert (CDA La Rochelle - Communauté d'Agglomération de La Rochelle); Marc Jeannin (LaSIE - Laboratoire des Sciences de l'Ingénieur pour l'Environnement - UMR 7356 - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); J. Jourde (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Dimitri Kalenitchenko (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Nicolas Lachaussée (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Thomas Lacoue-Labarthe (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Isabelle Lanneluc (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Laura Lavaud (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Sébastien Lavaud (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique); Christel Lefrançois (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Vincent Le Fouest (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Inès Le Fur (LERPC - Laboratoire Environnement Ressources des Pertuis Charentais - LITTORAL - LITTORAL - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer); Nathalie Long (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Pierre-Yves Mahieux (LaSIE - Laboratoire des Sciences de l'Ingénieur pour l'Environnement - UMR 7356 - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Jérémy Mayen (LERPC - Laboratoire Environnement Ressources des Pertuis Charentais - LITTORAL - LITTORAL - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer); Caroline Marais (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique, LaSIE - Laboratoire des Sciences de l'Ingénieur pour l'Environnement - UMR 7356 - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Édouard Metzger (LPG - Laboratoire de Planétologie et Géosciences [UMR_C 6112] - UA - Université d'Angers - INSU - CNRS - Institut national des sciences de l'Univers - CNRS - Centre National de la Recherche Scientifique - Nantes univ - UFR ST - Nantes université - UFR des Sciences et des Techniques - Nantes Université - pôle Sciences et technologie - Nantes Univ - Nantes Université); Raphaël Moncelon (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Vincent Ouisse (UMR MARBEC - MARine Biodiversity Exploitation and Conservation - IRD - Institut de Recherche pour le Développement - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique - UM - Université de Montpellier); Jean-Christophe Péreau (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique); Julien Pétillon (ECOBIO - Ecosystèmes, biodiversité, évolution [Rennes] - UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes - INEE - Institut Ecologie et Environnement - CNRS - Centre National de la Recherche Scientifique - OSUR - Observatoire des Sciences de l'Univers de Rennes - UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes - INSU - CNRS - Institut national des sciences de l'Univers - UR2 - Université de Rennes 2 - UNIV-RENNES - Université de Rennes - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - CNRS - Centre National de la Recherche Scientifique, Institute for Coastal and Marine Research and Department of Zoology [South Africa] - Nelson Mandela University [Port Elizabeth]); Olivier Philippine (UNIMA - Union des marais de la Charente-Maritime); Philippe Pineau (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Cécilia Pignon-Mussaud (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Pierre Polsenaere (LERPC - Laboratoire Environnement Ressources des Pertuis Charentais - LITTORAL - LITTORAL - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer); René Sabot (LaSIE - Laboratoire des Sciences de l'Ingénieur pour l'Environnement - UMR 7356 - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Philippe Refait (LaSIE - Laboratoire des Sciences de l'Ingénieur pour l'Environnement - UMR 7356 - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Elodie Réveillac (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); François-Xavier Robin (UNIMA - Union des marais de la Charente-Maritime); Hélène Rouquette (DDAF LA ROCHELLE - Partenaires IRSTEA - IRSTEA - Institut national de recherche en sciences et technologies pour l'environnement et l'agriculture); Sophie Sablé (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Pierre-Guy Sauriau (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Michèle Tackx (ECOLAB - Laboratoire Ecologie Fonctionnelle et Environnement - INEE - Institut Ecologie et Environnement - CNRS - Centre National de la Recherche Scientifique - UT3 - Université Toulouse III - Paul Sabatier - Université Fédérale Toulouse Midi-Pyrénées - OMP - Observatoire Midi-Pyrénées - IRD - Institut de Recherche pour le Développement - INSU - CNRS - Institut national des sciences de l'Univers - CNES - Centre National d'Études Spatiales [Toulouse] - CNRS - Centre National de la Recherche Scientifique - Université Fédérale Toulouse Midi-Pyrénées - Météo-France - CNRS - Centre National de la Recherche Scientifique - Toulouse INP - Institut National Polytechnique (Toulouse) - Université Fédérale Toulouse Midi-Pyrénées); Philippe Turcry (LaSIE - Laboratoire des Sciences de l'Ingénieur pour l'Environnement - UMR 7356 - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Marie Vagner (LEMAR - Laboratoire des Sciences de l'Environnement Marin (LEMAR) - IRD - Institut de Recherche pour le Développement - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - UBO - Université de Brest - IUEM - Institut Universitaire Européen de la Mer - IRD - Institut de Recherche pour le Développement - INSU - CNRS - Institut national des sciences de l'Univers - UBO - Université de Brest - CNRS - Centre National de la Recherche Scientifique - CNRS - Centre National de la Recherche Scientifique); Julia Vincent (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique); Natacha Volto (LIENSs - LIttoral ENvironnement et Sociétés - UMR 7266 - INSU - CNRS - Institut national des sciences de l'Univers - ULR - La Rochelle Université - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Rising greenhouse gas emissions are causing increasing worldwide impacts and changes on climate patterns, sea level, food production, human lives and livelihoods. Maintaining or improving the ability of coastal aquatic ecosystems and oceans to remove CO2 from the atmosphere is a crucial aspect for climate mitigation. The vegetated coastal ecosystems are able to catch and to sequestrate carbon, the so-called Blue Carbon. These ecosystems are key exchange zones that mediate the biogeochemical cycles across the continent, the ocean and the atmosphere. Given the importance of these ecosystems in biogeochemical cycles and their sensitivity to natural and anthropogenic pressures, the carbon cycle within and between compartments (e.g. pelagos, benthos…) and across the interfaces (e.g. atmosphere, ocean…) need to be addressed. On a regional scale, in the extended urban area of La Rochelle located on the French Atlantic coast (La Rochelle metropolitan area), lack in situ measurements within the wetlands and littoral zone make very uncertain their role as a sink or a source of CO2 to the atmosphere. We will first present a vast research project "La Rochelle Territoire Zéro Carbone" project (https://www.agglo-larochelle.fr/projet-de-territoire/territoire-zero-carbone), that target the ambition of carbon neutrality in La Rochelle metropolitan area by 2040 through a holistic approach (from measuring CO2 to raising people's awareness and assessing the impact of exogenous natural factors). Second, we will present some first results on the Blue Carbon dynamics within the freshwater and salt marshes, and seagrasses. |
| Keywords: | Blue Carbon,Climate mitigation,Vegetated aquatic ecosystems,Holistic approach |
| Date: | 2022–09–05 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03777579&r= |
| By: | Ajayi, V.; Pollitt, M .G. |
| Abstract: | This paper discusses some of the fundamental issues related to the future growth of productivity under net zero climate change policies. The aim of the paper is to discuss just how challenging it will be for an advanced economy with a net zero target to grow total factor productivity. The paper proceeds as follows. We begin by discussing the concept of green growth and a green industrial revolution. The focus of economic development here is on growth with minimal environmental impact. We then relate the green economy to the circular economy. The circular economy emphasises reduced material consumption and increased material recycling. We then discuss GDP measurement and how this relates to productivity growth under climate policies. Finally, we use a worked example of the projected growth under net zero of the electricity sector in Great Britain to show just how challenging raising even maintaining the level of TFP will be in that sector in the years out to 2050. |
| Keywords: | Green growth, net zero, circular economy, future energy scenarios, productivity. |
| JEL: | D24 O44 Q53 Q54 |
| Date: | 2022–10–05 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:2255&r= |
| By: | Jolien Noels (OECD); Raphaël Jachnik (OECD) |
| Abstract: | This paper analyses existing methodologies developed by commercial services providers, research institutes or civil society organisations for investors and financial institutions, to assess the alignment of their assets and portfolios with the Paris Agreement temperature goal. The analysis is based on four main analytical dimensions: coverage of financial asset classes, choice of greenhouse gas (GHG) performance metrics, selection of climate change mitigation scenarios, and approach for aggregating alignment assessment for a given asset class and at portfolio level. Within these dimensions, the analysis highlights that a range of different and complex methodological choices, as well as current scope and data limitations, impact the environmental integrity and policy relevance of alignment or misalignment results. The paper provides suggestions for improved and more comprehensive financial sector alignment assessment. These include the development of different complementary methodologies to cover a broader range of financial asset classes than the current main focus on listed corporate equity, the development of more tailored mitigation scenarios by climate policy and science communities, better communication of uncertainties by all stakeholders, and the need for a series of indicators to assess progress and impacts that include but are not limited to GHG based alignment assessments. |
| Keywords: | climate alignment assessment methodologies, climate change mitigation scenarios, finance, greenhouse gas emissions, Investment |
| JEL: | G23 G24 Q54 Q56 |
| Date: | 2022–10–04 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:200-en&r= |
| By: | World Bank |
| Keywords: | Environment - Brown Issues and Health Environment - Coastal and Marine Environment Environment - Marine Environment Environment - Pollution Management & Control Urban Development - Urban Water & Waste Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35607&r= |
| By: | World Bank |
| Keywords: | Energy - Hydro Power Environment - Environmental Protection Environment - Water Resources Management Water Resources - Dams and Reservoirs |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35490&r= |
| By: | World Bank |
| Keywords: | Environment - Brown Issues and Health Environment - Pollution Management & Control Urban Development - Urban Water & Waste Management Water Supply and Sanitation - Urban Solid Waste Management Water Supply and Sanitation - Waste Disposal & Utilization |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35703&r= |
| By: | World Bank |
| Keywords: | Agriculture - Forestry Management Environment - Coastal and Marine Environment Environment - Forests and Forestry Environment - Sustainable Land Management |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36139&r= |
| By: | D'Arcangelo, Maria Filippo; Galeotti, Marzio |
| Abstract: | This paper empirically investigates the effect of the European Emission Trading Scheme (EU ETS) on cross-country investments. To avoid carbon leakage, the scheme allocates a number of free allowances to firms at risk of relocating investments in areas outside the EU ETS. To study this problem, we employ a model of the firm’s investment decision in conjunction with novel firm-level data. In contrast with most previous literature, we stress the importance of firms’ heterogeneity in the analysis and leverage it. We derive conditions for the firm’s optimal emissions to construct a measure of investment sensitivity to carbon pricing from observed pollution data. This allows to identify the effect of the EU ETS on international investments by comparing the expected profits from investing in several different countries. We find that investments react to carbon pricing and that the effect is stronger for more polluting investments. However, the aggregate amount of diverted investments is small. We moreover show that the lost investments do not justify, alone, the generous compensations scheme aimed at retaining investments. |
| Keywords: | Environmental Economics and Policy, Financial Economics |
| Date: | 2022–10–06 |
| URL: | http://d.repec.org/n?u=RePEc:ags:feemwp:327158&r= |
| By: | Bettina Meinhart |
| Abstract: | International climate targets have far-reaching implications for all areas of the economy and life, including trade policy. To reach the target of the Paris Agreement, it may be necessary to link trade and environmental policy, whereby one way of linking the two policy areas is to include environmental provisions (EPs) in trade agreements. Several motives for including environmental concerns in trade agreements exist, ranging from promoting environmental cooperation and ensuring a level playing field to pursuing protectionist interests. In principle, the inclusion of environmental aspects is not a new development. Since the 1990s, EPs have been frequently integrated into trade agreements, for example on issues such as hazardous waste, deforestation or biodiversity protection. In recent years, as climate initiatives have gained prominence at the EU level, the number of EPs in trade agreements has steadily increased. Thereby, the inclusion of these concerns is very heterogeneous in terms of the subject matter and enforceability. A closer look at the enforceability indicator is crucial, because if EPs are not legally enforceable, addressing environmental concerns may not have an impact on trade and the environment. The European Commission is aware of this issue and therefore published the review of its policy chapter on trade and sustainable development in June 2022. This identifies how the contribution of EU trade agreements to promoting environmental protection can be improved, mentioning, among other actions, the strengthening of enforcement through trade sanctions as a last resort. Whether the current changes are effective in terms of environmental and trade impacts will be seen in further research. |
| Date: | 2022–10 |
| URL: | http://d.repec.org/n?u=RePEc:wsr:pbrief:y:2022:i:055&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Climate Change Impacts Environment - Natural Disasters Urban Development - Hazard Risk Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36293&r= |
| By: | Nicolas Piluso (CERTOP - Centre d'Etude et de Recherche Travail Organisation Pouvoir - UT2J - Université Toulouse - Jean Jaurès - UT3 - Université Toulouse III - Paul Sabatier - Université Fédérale Toulouse Midi-Pyrénées - CNRS - Centre National de la Recherche Scientifique, UT3 - Université Toulouse III - Paul Sabatier - Université Fédérale Toulouse Midi-Pyrénées); Edwin Le Heron (CED - Centre Émile Durkheim - IEP Bordeaux - Sciences Po Bordeaux - Institut d'études politiques de Bordeaux - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique, Institut d'Études Politiques [IEP] - Bordeaux) |
| Abstract: | The paper analyzes the effects of introducing a corporate carbon tax on GDP and the effectiveness of this macroeconomic policy. The study is based on constructing a simple Keynesian model with flexible prices. It shows that the carbon tax can have a double beneficial effect on the economy in addition to its favorable effect on the environment: i.e., an increase in GDP and employment. The initial values (y = 100; C = 60; I = 18; G = 16; g(A) = 6) was used to simulate a positive shock of the carbon tax T, increasing from 1.75 to 1.9. The paper considers three different cases depending on the low (Case 1), medium (Case 2), or high (Case 3) sensitivity of the marginal propensity to consume in response to an increase in the prices of goods. In addition, case 4 is considered: stimulus policy associated with climate policy; and case 5 is: policy to increase nominal wages. The results show that the carbon tax can lead to an increase in prices. Although the tax does not excessively negatively affect consumption, it has a positive effect on GDP via the increase in green investments and the induced increase in public spending. Households are, therefore, not necessarily penalized because they benefit from the multiplier effects of the increase in public spending due to the introduction of the ecological tax. Furthermore, stimulus policy is even more effective when combined with an emissions tax. |
| Keywords: | pollution,carbon tax,inflation,fiscal policy,employment,GDP |
| Date: | 2022–09–14 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03777346&r= |
| By: | Silpa Kaza; Siddarth Shrikanth; Sarur Chaudhary |
| Keywords: | Environment - Brown Issues and Health Environment - Pollution Management & Control Water Supply and Sanitation - Urban Solid Waste Management Water Supply and Sanitation - Waste Disposal & Utilization Urban Development - Urban Economic Development Urban Development - Urban Water & Waste Management |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35998&r= |
| By: | World Bank |
| Keywords: | Environment - Brown Issues and Health Environment - Pollution Management & Control Urban Development - Urban Water & Waste Management Water Supply and Sanitation - Urban Solid Waste Management Water Supply and Sanitation - Waste Disposal & Utilization |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35704&r= |
| By: | World Bank |
| Keywords: | Agriculture - Climate Change and Agriculture Environment - Natural Resources Management Environment - Sustainable Land Management Macroeconomics and Economic Growth - Economic Growth Macroeconomics and Economic Growth - Fiscal & Monetary Policy Poverty Reduction - Inequality |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35689&r= |
| By: | Stergiou, Eirini |
| Abstract: | Green growth is recognized as the fundamental development strategy in Europe due to the immense pressure of environmental pollution, economic growth and energy usage. In this study, a non-radial directional distance function is used to measure environmental efficiency (ENE) of 54 industries from 28 European countries across the three sectors of an economy over the 2000-2014 period. The complexity of heterogeneity is examined by incorporating the metafrontier approach under distinct group frontiers. The results reveal that industries present higher levels of environmental efficiency within their sectors while manufacturing industries achieved the lowest progress in environmental efficiency. Thus, it is critical to introduce and implement sector-oriented policies rather than common guidelines for all European countries. |
| Keywords: | Environmental efficiency, Directional distance function, Metafrontier, Heterogeneity, European industries |
| JEL: | C44 D29 L23 Q01 Q53 Q56 Q57 |
| Date: | 2022–09–20 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:114635&r= |
| By: | World Bank |
| Keywords: | Energy - Hydro Power Energy - Renewable Energy Environment - Water Resources Management Water Resources - Dams and Reservoirs Water Resources - Water and Energy |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35485&r= |
| By: | Berg-Andersson, Birgitta; Kulvik, Martti; Lintunen, Jussi; Kunttu, Janni; Orfanidou, Timokleia |
| Abstract: | Abstract Forests can be seen as a source of wood raw material and bioenergy, a recreational area with health benefits, a carbon sink, and a source of biodiversity. This report examines how different shifts in perceptions and in the wider forest sector environment affect forest sector production, wood use, and the development of workforce skills needs. The forward-looking analysis is based on a projection up to 2026 and scenario work up to 2040. Combined with today’s views on changes in forest ownership and management practices, technological developments and policy measures already agreed and planned, the foresight work creates a broad vision of the future of the forest sector. Although the outlook for the forest-based industries is relatively stable for the coming years, significant changes are foreseen by 2040. Changes in forestry will be driven by changes in forest management practices and forest ownership, climate and biodiversity targets for land use, and changes in the risk of natural disturbances due to climate change. In production, development paths depend more strongly on how society, and hence demand for final products, evolves. Value added in the forest industry can increase, in particular if the by-products of production can be diverted from energy production to high value-added products. This development will be limited by the energy needs of the production processes themselves, which will have to be met by other means if the energy from the by-products is abandoned in significant quantities. Supplementary-material |
| Keywords: | Scenarios, Foresight, Forest sector, Wood uses, Forest management practices |
| JEL: | L73 C53 P18 |
| Date: | 2022–09–28 |
| URL: | http://d.repec.org/n?u=RePEc:rif:report:131&r= |
| By: | Tommaso Colussi; Matteo Romagnoli; Elena Villar |
| Abstract: | This paper investigates the economic and environmental effects of pay-as-you-throw (PAYT) waste programs. Using a newly constructed longitudinal dataset of Italian municipalities and a staked-by-event design, we obtain three main findings: (i) PAYT programs significantly reduce total waste production; (ii) they further decrease waste management costs and leave municipal finances unaffected; (iii) they generate positive spillover effects on pro-environmental behaviors not directly targeted by the program. Survey evidence suggests that PAYT increases environmental awareness and concerns of the population in treated municipalities. |
| Keywords: | waste management, taxation, difference-in-differences, variation in treatment timing |
| JEL: | C21 H23 Q53 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9946&r= |
| By: | World Bank Group |
| Keywords: | Agriculture - Forestry Management Environment - Forests and Forestry Environment - Natural Resources Management Environment - Sustainable Land Management Private Sector Development - Enterprise Development & Reform Private Sector Development - Legal Regulation and Business Environment |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35650&r= |
| By: | Camille Hainnaux (Aix Marseille Univ, CNRS, AMSE, Marseille, France.); Thomas Seegmuller (Aix Marseille Univ, CNRS, AMSE, Marseille, France.) |
| Abstract: | In this paper, we investigate the impact of redistribution and polluting commodity taxation on inequality and pollution in a dynamic setting. We build a two-sector Ramsey model with a green and a polluting good. Households are heterogeneous, which allows for income inequality, and have a level of subsistence consumption for the polluting commodity, modeled by non-homothetic preferences. Increasing the tax rate has a mixed effect depend on the level of subsistence consumption. A low level allows to tackle both the pollution and inequality issues. Under a high level of it, pollution increases: if inequality can be reduced through redistribution, taxation does not allow to solve for environmental degradation. Looking at the stability properties of the economy, we find that the level of subsistence consumption and the externality matter. A high subsistence level of polluting consumption leads to instability or indeterminacy of the steady-state, while the environmental externality plays a stabilizing role in the economy. This leaves room for taxation and redistribution: increasing the tax rate and redistributing more towards workers play a key role in the occurrence of indeterminacy and instability. |
| Keywords: | externalities; heterogeneous agents; inequality; pollution; redistribution; taxation |
| JEL: | E62 H23 Q52 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:aim:wpaimx:2221&r= |
| By: | Elizabeth M. White; Bilal Rahill |
| Keywords: | Environment - Coastal and Marine Environment Environment - Environmental Protection Environment - Tourism and Ecotourism Private Sector Development - Emerging Markets Private Sector Development - Private Sector Economics Private Sector Development - Small and Medium Size Enterprises |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35476&r= |
| By: | World Bank |
| Keywords: | Environment - Brown Issues and Health Environment - Environmental Protection Environment - Pollution Management & Control Health, Nutrition and Population - Health Monitoring & Evaluation Industry - Mining & Extractive Industry (Non-Energy) |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36237&r= |
| By: | Ghorpade,Yashodhan |
| Abstract: | As climate change results in recurrent and more frequent natural disasters, each calamityproves instructional for the future. The author summarizes the lessons learned from the social protection and widerdisaster response in the 2010 floods in Pakistan and discuss how they can benefit ongoing efforts to recover from thefloods in the country in 2022, and other settings. |
| Date: | 2022–08–31 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:hdnspu:176248&r= |
| By: | Rupayan Pal (Indira Gandhi Institute of Development Research); Preksha Jain (Indira Gandhi Institute of Development Research); Prasenjit Banerjee (University of Manchester) |
| Abstract: | This paper analyses environmental regulation under corruption and explores the possibility to attain the first best - `no corruption and no pollution', with a special focus on implications of non-monetary incentives for firms to adapt green technology. It first demonstrates that (a) the effect of corruption control policies on the environment is not always positive, and (b) stricter environmental regulation intensifies the problem of corruption - implying a trade-off between environmental protection and corruption control. Next, it characterizes the `minimum environmental regulation', involving least-subsidy to green technology seller and minimum-tax on brown production, which implements the first best outcome in the equilibrium. Interestingly, by allowing for firm heterogeneity in terms of preferences for social reputation, it demonstrates that introduction of non-monetary incentives in a corrupt environment increases the burden on the government's exchequer, unlike as in absence of corruption possibilities. These results are robust, regardless of (a) whether corrupt transaction is initiated by bribee or briber and (b) whether bribe rate is exogenous or endogenous. |
| Keywords: | Green Technology Subsidy, Brown Tax, Social Status, Non-monetary Incentives, Reputation, Bribe, The first best |
| JEL: | H23 Q52 D73 Q58 K42 |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:ind:igiwpp:2022-011&r= |
| By: | Chimere O. Iheonu (Research Analyst, Kwakol, Abuja, Nigeria); Simplice A. Asongu (Yaoundé, Cameroon); Ekene T. Emeka (University of Nigeria, Nsukka, Nigeria); Ebuka C. Orjiakor (University of Nigeria, Nsukka, Nigeria) |
| Abstract: | Agriculture remains one of the major sources of livelihood in West Africa. The sector accounts for a significant share of output and employment in the sub-region. However, extreme weather events have been signaled to affect the sector’s productivity in recent times. In this study, we investigate the heterogeneous long-run relationship between climate change and agricultural productivity in West Africa from 1990 to 2020. Using the Augmented Mean Group (AMG) and the Common Correlated Effect Mean Group (CCEMG) estimators, we show that rising temperatures significantly reduce agricultural productivity in Gambia, Mali, Niger, and Togo. However, after accounting for endogeneity, we find that the negative relationship between temperature and agricultural productivity becomes insignificant for Niger while the positive relationship between rising temperature and agricultural productivity becomes significant for Ghana. Also, the results show that temperature Granger cause agricultural productivity in West Africa. We discussed some policy implications based on these findings. |
| Keywords: | Climate Change, Temperature, Agricultural Productivity, West Africa, Augmented Mean Group, Common Correlated Effect Mean Group |
| Date: | 2022–01 |
| URL: | http://d.repec.org/n?u=RePEc:agd:wpaper:22/065&r= |
| By: | Bruno Conte |
| Abstract: | This paper estimates the impacts of climate change in sub-Saharan Africa (SSA) on migration and other economic outcomes. I develop a quantitative spatial model that captures the role of trade networks, migration barriers, and agricultural yields on the geography of the economy. I combine the model with forecasts of future crop yields to find that climate change, by the end of the century, reduces SSA real GDP per capita by 1.8 percent and displaces 4 million individuals. Migration barriers in SSA are very stringent: if absent, climate-induced migration exceeds 100 million individuals. Still, migration and trade are powerful adaptation mechanisms. Reducing migration barriers to the European Union (EU) standards eliminates the aggregate economic losses of climate change in SSA, but at the cost of more climate migration and higher regional inequality. Also reducing trade frictions to the EU levels attenuates this cost and makes SSA better off on aggregate and distributional terms. |
| Keywords: | climate change, migration, economic geography |
| JEL: | O15 Q54 R12 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9948&r= |
| By: | Eric Bouye; Daniela Klingebiel; Marco Ruiz |
| Keywords: | Public Sector Development - Public Investment Management Environment - Green Issues Finance and Financial Sector Development - Finance and Development Finance and Financial Sector Development - Financial Sector and Social Assistance Finance and Financial Sector Development - Financial Structures |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36285&r= |
| By: | Sebastien Boitreaud; Teal Emery; Luis Gonzales; Bryan Gurhy; Felipe Larrain; Cindy Paladines |
| Keywords: | Environment - Climate Change and Environment Environment - Green Issues Finance and Financial Sector Development - Debt Markets Finance and Financial Sector Development - Finance and Development Finance and Financial Sector Development - Financial Structures Finance and Financial Sector Development - Strategic Debt Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35683&r= |
| By: | Marcus J. Wishart; Satoru Ueda; John D. Pisaniello; Joanne L. Tingey-Holyoak; Kimberly N. Lyon; Esteban Boj Garcia |
| Keywords: | Energy - Hydro Power Water Resources - Dams and Reservoirs Water Resources - Transboundary Water Management Water Resources - Water Policy & Governance |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35999&r= |
| By: | Sam Johnston |
| Abstract: | Sustainability initiatives are set to benefit greatly from the growing involvement of venture capital, in the same way that other technological endeavours have been enabled and accelerated in the post-war period. With the spoils increasingly being shared between shareholders and other stakeholders, this requires a more nuanced view than the finance-first methodologies deployed to date. Indeed, it is possible for a venture-backed sustainability startup to deliver outstanding results to society in general without returning a cent to investors, though the most promising outcomes deliver profit with purpose, satisfying all stakeholders in ways that make existing 'extractive' venture capital seem hollow. To explore this nascent area, a review of related research was conducted and social entrepreneurs & investors interviewed to construct a questionnaire assessing the interests and intentions of current & future ecosystem participants. Analysis of 114 responses received via several sampling methods revealed statistically significant relationships between investing preferences and genders, generations, sophistication, and other variables, all the way down to the level of individual UN Sustainable Development Goals (SDGs). |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2209.10518&r= |
| By: | Rodolphe Desbordes; Markus Eberhardt |
| Abstract: | The climate damage function used to assess the economic impact of secular changes in temperature and precipitation is one of the most speculative components of integrated assessment models of climate change. Whether detrimental effects of temperature change on economic prosperity are most significant for countries with low incomes or those with high temperatures is still an unresolved question in the literature, while changes in precipitation are widely regarded as not having any significant productivity effects. Existing work informing this debate is based on pooled empirical models incorporating simple interaction terms with ‘low income’ or ‘high temperature’, which further give little regard to long-term dynamics. We use aggregate and agricultural data for 154 countries over the past six decades to estimate dynamic heterogeneous models which (a) allow the weather-output nexus to differ freely across countries, (b) help distinguish short-run from long-run effects, and (c) account for unobserved time-varying heterogeneity. Our preferred specifications suggest that a temporary (permanent) 1?C rise in temperature is associated with a reduction in income per capita of 1.3% (14%) in high-temperature countries, with the long-run effects substantially larger than those commonly suggested in the literature. We find weaker differential effects by income-group. We further highlight that changes in precipitation levels can influence short-run and long-run agricultural output per worker in high-temperature or low-income countries, albeit to a very modest extent. |
| Keywords: | temperature, weather, climate change, economic development, economic growth |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:not:notgep:2022-06&r= |
| By: | Susan Holliday; Inna Remizova; Fiona Stewart |
| Keywords: | Environment - Climate Change Impacts Finance and Financial Sector Development - Insurance & Risk Mitigation Poverty Reduction - Achieving Shared Growth |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36353&r= |
| By: | Jakob Vestergaard (Roskilde University, Denmark.) |
| Abstract: | Central banks can potentially influence the investment decisions of private financial institutions, which in turn will create incentives towards green technology adoption and development of lower emission business models. This paper examines how monetary policies can be deployed to promote a greening of finance. To guide the efforts, the paper mobilizes the Money View literature. This enables a comparative assessment of different monetary policy options. The main finding is that a promising way forward for green monetary policy is to adopt a strategy of expanding collateral eligibility through positive screening and widening haircut spreads to change relative incentives in favor of green over brown assets. |
| Keywords: | Climate change, green central banking, monetary policy, collateral policy, haircuts. |
| JEL: | E42 E52 E58 G18 G28 |
| Date: | 2022–07–02 |
| URL: | http://d.repec.org/n?u=RePEc:thk:wpaper:inetwp188&r= |
| By: | World Bank Group |
| Keywords: | Agriculture - Forestry Management Environment - Forests and Forestry Environment - Natural Resources Management Environment - Sustainable Land Management Private Sector Development - Enterprise Development & Reform Private Sector Development - Legal Regulation and Business Environment |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35651&r= |
| By: | World Bank |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Agriculture - Livestock & Animal Husbandry Environment - Water Resources Management Water Resources - Irrigation and Drainage Water Resources - Water Economics Water Resources - Water Policy & Governance |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35994&r= |
| By: | Benedikt Maciosek; Mehdi Farsi; Sylvain Weber; Martin Jakob |
| Abstract: | The split incentive problem leads to under-investment in energy improvements of rental buildings. This prevents the large CO2 savings potential from being achieved and leads to disadvantages for tenants. New investment opportunities and a willingness of tenants to pay for investments made by the landlord have the potential to solve the problem. Against this background, the aim of this research project is to find out how the situation is perceived by tenants and what preferences and trade-offs affect their decision-making. To answer this, we conduct a discrete choice experiment (DCE) and analyse the choice behaviour of 680 Swiss tenants. Finally, we calculate their respective willingness to pay (WTP).The results show that tenants are really interested in energy investments, especially when it comes to renewable energy. Moreover, the willingness to pay for such improvements indicates that they consider the current situation to be in need of improvement. Interestingly, however, they do not value collective investment opportunities that can circumvent the split incentive problem, but are more willing to pay part of the investment costs if the landlord invests. However, they also value the purchase of renewable electricity to contribute to more sustainable consumption without the landlord’s action. Their choice is also affected by net-metering and subsidy treatments, which shows that targeted policies can help to promote the willingness to contribute to such investments and ultimately reach CO2 reduction goals. |
| Keywords: | Energy efficiency, Renewable energy, Choice experiment, Conditional logit models |
| JEL: | D12 L94 Q41 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:irn:wpaper:22-08&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Natural Disasters Urban Development - Hazard Risk Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35714&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Natural Disasters Urban Development - Hazard Risk Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35715&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Natural Disasters Urban Development - Hazard Risk Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35717&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Natural Disasters Urban Development - Hazard Risk Management |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35716&r= |
| By: | Raouf Boucekkine (ESC Rennes School of Business - ESC [Rennes] - ESC Rennes School of Business); Carmen Camacho (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Weihua Ruan (Purdue University Northwest); Benteng Zou (University of Luxembourg [Luxembourg]) |
| Abstract: | We consider a group of players initially members of a coalition managing cooperatively a public bad, in this case, the stock of pollution. Countries are technologically heterogeneous but the pollution damage is uniform. We essentially attempt to characterize the conditions under which a country may eventually split and when it splits within an infinite horizon multi-stage differential game. In contrast to the existing literature, we do not assume that after splitting, the splitting player and the remaining coalition will adopt Markovian strategies. Instead, we assume that the latter will remain committed to the collective control of pollution and play open-loop, while the splitting player plays Markovian. Within a full linear-quadratic model, we characterize the optimal strategies. We later compare with the outcomes of the case where the splitting player and the "remaining" coalition play both Markovian. We highlight several interesting results in terms of the implications for longterm pollution levels and the duration of coalitions with heterogenous strategies. |
| Keywords: | Coalition splitting,environmental agreements,differential games,multistage optimal control,precommitment vs Markovian |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-03770401&r= |
| By: | Olivier Chanel (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This article offers an approach incorporating latency into the process for evaluating long‑term mortality and into its economic valuation, following a temporary impact. It is applied to the effects of COVID‑19 activity restrictions, in the spring of 2020, on ambient air pollution in France. These effects are evaluated in terms of Life Years Gained (LYG) and in monetary terms for two air pollution indicators. This approach is compared to a standard estimate on the basis of difference. It gives results that are lower by a factor of 3.7 to 5.5 for LYG and, on account of the additional effect of discounting, gives an economic valuation that is lower by a factor of 4.7 to 6.9. These results show that an adapted valuation of the long‑term health benefits, then their translation into monetary terms, is essential in order to compare the long‑term consequences of temporary exogenous impacts or policies. |
| Abstract: | Cet article propose une approche intégrant le temps de latence dans le processus d'évaluation de la mortalité de long terme et dans sa valorisation économique, suite à un choc transitoire. Il l'applique aux conséquences des restrictions d'activité en lien avec la Covid‑19 au printemps 2020 sur la pollution de l'air ambiant en France. Ces conséquences sont évaluées en termes d'années de vie gagnées (AVG) ainsi qu'en termes monétaires pour deux indicateurs de pollution de l'air. Cette approche est comparée à une estimation standard par différence. Elle conduit à des résultats inférieurs d'un facteur 3.7 à 5.5 pour les AVG et, du fait de l'influence additionnelle de l'actualisation, à une valorisation économique inférieure d'un facteur 4.7 à 6.9. Ces résultats indiquent qu'une évaluation adaptée des bénéfices sanitaires de long terme, puis leur traduction en termes monétaires, est essentielle pour comparer les conséquences à long terme de politiques ou de chocs exogènes transitoires. |
| Keywords: | COVID‑19,long‑term mortality,activity restrictions,air pollution,economic valuation,Covid‑19,mortalité de long terme,restrictions d’activité,pollution de l’air,évaluation économique |
| Date: | 2022–09–15 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03778336&r= |
| By: | Philippe Benoit; Silvia Zinetti; Joerie De Wit; Aditya Lukas |
| Keywords: | Energy - Electric Power Energy - Energy Conservation & Efficiency Energy - Energy Consumption Energy - Energy and Environment Water Supply and Sanitation - Town Water Supply and Sanitation Water Supply and Sanitation - Water Supply and Sanitation Economics |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35474&r= |
| By: | Kasper, Leonie Kea |
| Abstract: | Vor dem Hintergrund des künftig häufigeren und intensiveren Auftretens sowie der längeren Dauer von Extremwetterereignissen, die dem Klimawandel zugeschrieben werden, steigt die Relevanz von Extremwetterereignissen auch für Industrienationen. Gleichzeitig gilt die allgemeine Bereitschaft für Klimaschutzmaßnahmen als eher gering. Insofern knüpft dieser Beitrag1 einerseits an die politische Frage nach einem effektiven globalen Klimaschutz und andererseits an das gesellschaftliche Problembewusstsein für den Klimawandel an. Konkret wird der Frage nachgegangen, ob die Einschätzung des Klimawandels als Gefährdung in Form von Extremwetterereignissen eine Rolle bei der Unterstützung politischer Maßnahmen zum Klimaschutz wie einem Preis für Treibhausgasemissionen spielt. Die zur Beantwortung verwendeten Konzepte basieren auf denen der Risikowahrnehmung und der Betroffenheit im Rahmen der Vulnerabilitätsanalyse. Empirisch wurde eine Sekundäranalyse mit mehreren binären, logistischen Regressionsmodellen auf Basis der Mikrodaten aus der 2. Welle der Umweltbewusstseinsstudie 2016 durchgeführt. Diese zeigten, dass (1) die generelle Unterstützung politischer Maßnahmen zum Klimaschutz in Deutschland ungewöhnlich hoch ist, und dass (2) eine stärkere wahrgenommene Gefährdung durch den Klimawandel eher zur Unterstützung politischer Maßnahmen zum Klimaschutz führt. |
| Keywords: | Klimawandel,Extremwetterereignisse,Risikowahrnehmung,Vulnerabilität,climate change,extreme weather events,risk perception,vulnerability |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:udesoz:202201&r= |
| By: | Christian Cordes; Joshua Henkel |
| Abstract: | This paper relates channels of cultural transmission to "green nudging". It studies the effectiveness of this behavioral policy measure as to the promotion of sustainable consumption. The impact of "green nudges" is constrained for it is subject to decay and temporary behavioral adjustments. We argue that "enhanced green nudges" incorporating social learning biases that are based on humans' evolved capacity for culture are more likely to entail persistent behavioral changes due to the inducement of preference learning. We consider biases based on norm psychology, conformity, self-similarity, and the influence of role models. Moreover, these biases' effectiveness in cultural transmission hinges on whether the learning environment resembles the one in which they evolved during human phylogeny. Hence, "enhanced green nudges" are instruments to lastingly introduce environmentally begin consumption patterns. Several scenarios based on a model of cultural evolution illustrate our arguments. |
| Keywords: | Nudging, Cultural evolution theory, Consumption, Social learning, Sustainability |
| JEL: | A12 B52 D00 Q01 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:atv:wpaper:2208&r= |
| By: | Ekaterina M. Gratcheva; Bryan Gurhy; Teal Emery; Dieter Wang; Luis Oganes; Jarrad K. Linzie; Lydia Harvey; Katherine Marney; Jessica Murray; Rupert Rink |
| Keywords: | Environment - Climate Change and Environment Finance and Financial Sector Development - Finance and Development Governance - Governance and the Financial Sector Private Sector Development - Corporate Social Responsibility |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35753&r= |
| By: | World Bank |
| Keywords: | Environment - Water Resources Management Infrastructure Economics and Finance - Infrastructure Finance Water Resources - Water Policy & Governance Water Supply and Sanitation - Water Supply and Sanitation Economics Water Supply and Sanitation - Water Utility Services to the Poor |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36204&r= |
| By: | Chandrasekar Govindarajalu; Fernando de Sisternes; Sandra Chavez |
| Keywords: | Energy - Electric Power Energy - Energy Conservation & Efficiency Energy - Energy and Environment Energy - Renewable Energy |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35666&r= |
| By: | World Bank |
| Keywords: | Energy - Energy Consumption Energy - Hydro Power Energy - Renewable Energy Energy - Solar Energy Energy - Windpower |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35981&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Natural Disasters Urban Development - Hazard Risk Management |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35686&r= |
| By: | World Bank |
| Keywords: | Agriculture - Fisheries & Aquaculture Environment - Coastal and Marine Environment International Economics and Trade - International Trade and Trade Rules |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36132&r= |
| By: | Fédoua Kasmi (ERPI - Equipe de Recherche sur les Processus Innovatifs - UL - Université de Lorraine); Ferney Osorio (ERPI - Equipe de Recherche sur les Processus Innovatifs - UL - Université de Lorraine); Laurent Dupont (ERPI - Equipe de Recherche sur les Processus Innovatifs - UL - Université de Lorraine); Brunelle Marche (ERPI - Equipe de Recherche sur les Processus Innovatifs - UL - Université de Lorraine); Mauricio Camargo (ERPI - Equipe de Recherche sur les Processus Innovatifs - UL - Université de Lorraine) |
| Abstract: | This paper explores the way in which academics address the role of innovation spaces in the development of circular economy. Considering their characteristics, objectives and functioning, we assume that innovation spaces can be favorable environments for eco-innovations facilitating the implementation of circular economy strategies. To examine this hypothesis, this paper mobilizes a mixed research method based on bibliometric analysis of keywords and content analysis. The results show that these collaborative environments can: foster sustainable experimental learning, provide methodologies and tools for the co-creation of circular solutions, drive the transition towards sustainable smart cities, foster the creation of new sustainable business models, promote sustainable urban entrepreneurship and facilitate knowledge exchange on circular solutions. However, most of the reviewed literature focuses mainly on their impacts on sustainability and less on the concept of circular economy per se. Consequently, this work provides insights on the potential of these spaces in the circular strategies' implementation. |
| Keywords: | Systematic Literature Review,Sustainability,Innovation Spaces,Eco-Innovation,Circular Economy |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03590438&r= |
| By: | My Dam (EPEE - Centre d'Etudes des Politiques Economiques - UEVE - Université d'Évry-Val-d'Essonne - Université Paris-Saclay); Thai Ha-Huy (EPEE - Centre d'Etudes des Politiques Economiques - UEVE - Université d'Évry-Val-d'Essonne - Université Paris-Saclay, TIMAS - Institute of Mathematics and Applied Science); Cuong Le Van (IPAG Business School, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, TIMAS - Institute of Mathematics and Applied Science); Thi Tuyet Mai Nguyen (Thuongmai University - Partenaires INRAE, UP1 - Université Paris 1 Panthéon-Sorbonne) |
| Abstract: | This article considers a two-sector economy with externalities. In particular, the analysis involves an industrial sector whose polluting production activities have negative effects on the regeneration of a natural resource in the other sector. Without convexity or supermodularity, we prove that the economy evolves to increase the net gain of stock (a similar notion to the net gain of investment in Kamihigashi and Roy (2007)), and establish the conditions ensuring the convergence of the economy in the long run. |
| Keywords: | Two-sector economy,Renewable resources,Pollution externality,Ramsey model |
| Date: | 2020–11 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03261262&r= |
| By: | Daniel de Wolf (TVES - Territoires, Villes, Environnement & Société - ULR 4477 - ULCO - Université du Littoral Côte d'Opale - Université de Lille); Ngagne Diop (TVES - Territoires, Villes, Environnement & Société - ULR 4477 - ULCO - Université du Littoral Côte d'Opale - Université de Lille); Moez Kilani (LEM - Lille économie management - UMR 9221 - UA - Université d'Artois - UCL - Université catholique de Lille - Université de Lille - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | The model, which is described in detail in Kilani et al. covers the North of France and includes both urban and intercity trips. It is a multi-agents simulation based on the MATsim framework and calibrated on observed traffic flows. We find that the decrease in emissions of pollutant gases decreases in comparable proportion to the market share of the electric vehicles. When only users with shorter trips switch to electric vehicles the impact is limited and demand for charging stations is small since most users will charge by night at home. When the government is able to target users with longer trips, the impact can be higher by more than a factor of two. But, in this case, our model shows that it is important to increase the number of charging stations with an optimized deployment for their accessibility. |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03763391&r= |
| By: | Peter Christensen; Paul Francisco; Erica Myers; Hansen Shao; Mateus Souza |
| Abstract: | Building energy efficiency has been a cornerstone of greenhouse gas mitigation strategies for decades. However, impact evaluations have revealed that energy savings typically fall short of engineering model forecasts that currently guide funding decisions. This creates a resource allocation problem that impedes progress on climate change. Using data from the largest U.S. energy efficiency program, we demonstrate that a data-driven approach to predicting retrofit impacts based on previously realized outcomes is more accurate than the status quo engineering models. Targeting high-return interventions based on these predictions dramatically increases net social benefits, from $0.93 to $1.23 per dollar invested. |
| JEL: | H50 Q4 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:30467&r= |
| By: | Alain‐désiré Nimubona; Jean‐christophe Pereau (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This paper proposes and examines the economic efficiency of novel payment schemes for the provision of wetland ecosystem services. By definition, payments for ecosystem services typically involve voluntary transactions between the beneficiaries and providers of ecosystem services. We develop a theoretical model that addresses the role that a third party—such as a social planner or government agency, acting in the interest of society—can play to ensure the optimal provision of ecosystem services. We consider different regulatory frameworks combining payments for ecosystem services with a subsidy that the third party grants to the beneficiaries or providers of ecosystem services. We compare the outcomes of the different policy mixes characterized by different levels of involvement of the third party. Of particular interest is the comparison between the outcomes of payments for ecosystem services subsidy arrangements in which the third party plays decentralized and centralized roles. Our results show, among other things, that the third party is indifferent between a negotiated payment for ecosystem services combined with a subsidy scheme and the constrained first-best payments for ecosystem services subsidy scheme, in the presence of transaction and administrative costs. However, beneficiaries and providers may have conflicting preferences over the two payments for ecosystem services scheme |
| Date: | 2022–07 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03773091&r= |
| By: | Lyndsey L.K. Tanabe; Marion Steenacker; Mohd Uzair Rusli; Michael M.L. Berumen |
| Abstract: | Sea turtle scute abnormalities are observed in higher proportion in hatchlings compared to adults, suggesting that hatchlings with a non-modal scute pattern (NMSP) have a lower chance of surviving to adulthood. In this study, we collected 732 newly emerged hatchlings from Redang Island, Malaysia, and compared their scute classification, size, and mass to fitness correlates (self-righting ability, crawling speed, and swimming speed). We investigated the proportion of hatchlings from each nest with NMSP to determine if there was a correlation with incubation duration or clutch relocation. We found relocated clutches at Chagar Hutang Turtle Sanctuary had a significantly shorter incubation duration with a higher proportion of NMSP compared to in situ clutches. Hatchlings’ mass were significantly heavier from in situ clutches compared to relocated clutches, although there were no significant differences of hatchling speed based on scute classification or clutch type. The difference of hatchling mass between in situ and relocated clutches could affect predation and mortality rates on recently emerged hatchlings. These findings have important conservation implications, suggesting that relocation should only be implemented on clutches with a high potential to be disrupted or with a low chance of survival if left in situ. Our findings highlight the need for a standard procedure when clutch relocation is used as a conservation strategy. Relocation should replicate natural nest dimensions by duplicating both nest width and depth, and clutches should be relocated to similar shade conditions as the natural nest. |
| Keywords: | Endangered species; Hatchling fitness; Incubation method; Scute pattern; South China Sea |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:ulb:ulbeco:2013/349985&r= |
| By: | Anil Cabraal; William A. Ward; V. Susan Bogach; Amit Jain |
| Keywords: | Energy - Energy Conservation & Efficiency Energy - Energy Consumption Energy - Energy Technology & Transmission Energy - Renewable Energy Energy - Solar Energy |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35311&r= |
| By: | World Bank |
| Keywords: | Agriculture - Agricultural Sector Economics Agriculture - Climate Change and Agriculture Agriculture - Food Markets Agriculture - Food Security |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35982&r= |
| By: | Stefania Lovo; Samantha B. Rawlings |
| Abstract: | This paper examines the effect of e-waste dumping sites on early child health. We focus on two major dumping sites in West Africa, in Ghana and Nigeria. We observe children born before and after the creation of these dumps, and estimate a difference-in-difference specification in which we compare outcomes of those born within the vicinity of the dump to those farther away, before and after e-waste sites were created. We find that the e-waste sites increase neonatal and infant mortality, for children living in the proximity of the site. Event studies suggest that the negative effects emerge 2-3 years after the existence of the sites, consistent with the gradual and systematic build up of contaminants in the environment. By exploring routes of exposure, we find that the contamination of water and urban farming produce are among the drivers of the observed effects. |
| Keywords: | E-waste, health, infant mortality, dumping sites, West Africa |
| JEL: | I10 Q53 Q56 O10 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_9916&r= |
| By: | World Bank |
| Keywords: | Energy - Hydro Power Water Resources - Dams and Reservoirs Water Resources - Flood Control |
| Date: | 2021–04 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35489&r= |
| By: | Marc Germain (LEM - Lille économie management - UMR 9221 - UA - Université d'Artois - UCL - Université catholique de Lille - Université de Lille - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | This paper examines the path of an economy constrained by bio-physical limits, due to (i) limited natural capital availability and (ii) compliance with the postulate of strong sustainability. The economy tends towards a stationary state characterized by lower and higher endowments of natural capital and human factors respectively than in the initial state. But this evolution is not monotonous in the sense that GDP and consumption have a path in four phases: growth, reversal, decrease and a quasi-stationary phase leading to steady state. On the contrary, the natural capital stock is declining almost monotonically, involving increasing natural capital operating costs. This results in a structural change by which the human factors share devoted to exploitation increases continuously at the expense of that devoted to final production. Taking pollution into account results in a peak of GDP less pronounced and advanced over time compared to the pollution-free situation. |
| Keywords: | Limits to growth,Strong sustainability,Structural change |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03129992&r= |
| By: | Mireille Chiroleu-Assouline (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | Reprendre en France la trajectoire de la taxe carbone suppose de surmonter les nombreux obstacles à son acceptation par la population. Cet article recense d'abord les arguments propres à convaincre le public de l'efficacité de la tarification du carbone pour réduire les émissions. Puis, sur la base de la littérature et à la lumière d'expériences internationales, il expose des propositions de mesures d'accompagnement propres à combattre les effets potentiellement défavorables sur l'emploi, à traiter les questions d'équité, à répondre au besoin de justice sociale, et à permettre de restaurer la confiance politique indispensable à l'acceptation de politiques climatiques efficaces. |
| Keywords: | Politique climatique – Taxe carbone – Contribution climat-énergie – Acceptabilité – Inégalités |
| Date: | 2022–08 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:halshs-03757114&r= |
| By: | Kastoryano, Stephen (University of Reading); Vollaard, Ben (Tilburg University) |
| Abstract: | We uncover a hidden illegal fishing practice: the use of fishing nets with illegally small mesh size. The small mesh prevents nearly all fish of saleable size from escaping the net, but also traps a large number of fish which are too small to be sold on the market and are therefore discarded at sea. Our approach relies on readily available data on reported fish landings rather than on data from inspections, which are rare, and which tend to be anticipated by fishermen. We focus on bottom trawling, the world's most widely used fishing method. We exploit the fact that using illegally small mesh size strongly increases the share of small fish in the catch. Using quasi-random variation in nautical patrol as a source of variation in the incentive to comply, we show that in weeks without patrol the share of small fish in the landed catch is systematically larger than in adjacent weeks with patrol. Our results are in line with widespread use of illegally small mesh. |
| Keywords: | enforcement, regulation, environmental economics, fisheries |
| JEL: | D22 K42 Q22 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp15543&r= |
| By: | Goran Durakovic; Pedro Crespo del Granado; Asgeir Tomasgard |
| Abstract: | Hydrogen will be a central cross-sectoral energy carrier in the decarbonization of the European energy system. This paper investigates how a large-scale deployment of green hydrogen production affects the investments in transmission and generation towards 2060, analyzes the North Sea area with the main offshore wind projects, and assesses the development of an offshore energy hub. Results indicate that the hydrogen deployment has a tremendous impact on the grid development in Europe and in the North Sea. Findings indicate that total power generation capacity increases around 50%. The offshore energy hub acts mainly as a power transmission asset, leads to a reduction in total generation capacity, and is central to unlock the offshore wind potential in the North Sea. The effect of hydrogen deployment on power prices is multifaceted. In regions where power prices have typically been lower than elsewhere in Europe, it is observed that hydrogen increases the power price considerably. However, as hydrogen flexibility relieves stress in high-demand periods for the grid, power prices decrease in average for some countries. This suggests that while the deployment of green hydrogen will lead to a significant increase in power demand, power prices will not necessarily experience a large increase. |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2209.10389&r= |
| By: | Dávila, Eduardo; Walther, Ansgar |
| Abstract: | This paper studies optimal second-best corrective regulation, when some agents/activities cannot be perfectly regulated. We show that policy elasticities and Pigouvian wedges are sufficient statistics to characterize the marginal welfare impact of regulatory policies in a large class of environments. We show that a subset of policy elasticities, leakage elasticities, determine optimal second-best policy, and characterize the marginal value of relaxing regulatory constraints. We apply our results to scenarios with unregulated agents/activities, uniform regulation across agents/activities, and costly regulation. We illustrate our results in applications to financial regulation with environmental externalities, shadow banking, behavioral distortions, asset substitution, and fire sales. JEL Classification: H23, Q58, G28, D62 |
| Keywords: | corrective regulation, environmental externalities, financial regulation, leakage elasticities, Pigouvian taxation, policy elasticities, regulatory arbitrage, second-best policy |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:srk:srkasc:20220&r= |
| By: | Camilo Lombana Cordoba; Luis A. Andres; Lucrecio A.M. Da Costa; Crystal Fenwick |
| Keywords: | Water Supply and Sanitation - Town Water Supply and Sanitation Water Supply and Sanitation - Water Pricing and Subsidies Water Supply and Sanitation - Water Supply and Sanitation Economics Water Supply and Sanitation - Water Supply and Sanitation Finance Water Supply and Sanitation - Water Utility Services to the Poor |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35591&r= |
| By: | Julia de Frutos Cachorro (Universitat de Barcelona and BEAT); Guiomar Martín-Herrán (IMUVA and Universidad de Valladolid); Mabel Tidball (CEE-M and University of Montpellier) |
| Abstract: | We study a problem of exploitation of a groundwater resource, mainly used for irrigation, in which a water agency is needed in order to manage an exceptional and priority extraction of water for an alternative/new use (e.g. domestic water). To this goal, we build a two-stage discrete Stackelberg game in which the leader (the water agency) just intervenes when the new use takes place (in the second stage) and the follower is a representative agent of the regular users of the aquifer, i.e. the agricultural users. We study two types of Stackelberg equilibrium, which can arise depending on the agents' commitment behavior, namely openloop (commitment) equilibrium and feedback (non-commitment) equilibrium. We analyze and compare extraction behaviors of the different agents for the different equilibria and the consequences of these extraction behaviors for the final state of the resource and the agents' profits. For some hypotheses on the parameters, theoretical results show that commitment strategies lead to higher stock levels than non-commitment strategies when the leader's weight assigned to the profits from the agricultural use is lower or equal than the one assigned to the profits from the non-agricultural use. However, performing numerical simulations relaxing previous economic assumptions, we show that there are situations in which non-commitment strategies could be more favorable than commitment strategies not only in terms of final stock of the resource but also in terms of users' profits. |
| Keywords: | Groundwater resource, multiple uses, Stackelberg dynamic game, information structures. |
| JEL: | Q25 C72 |
| Date: | 2022 |
| URL: | http://d.repec.org/n?u=RePEc:ewp:wpaper:431web&r= |
| By: | Benedikt Maciosek; Mehdi Farsi; Sylvain Weber; Martin Jakob |
| Abstract: | Various energy investments are possible in residential buildings. Owners’ opportunities are moreover extending with smart technologies and optimisation options, as well as with the rise of collective investment projects. In this context, we investigate owners’ investment decisions by conducting a discrete choice experiment that includes all these elements. Our experiment allows to evaluate the willingness-to- pay (WTP) for investing in energy efficiency and for purchasing renewable energy. The effect of several energy policies is also investigated using treatment information messages displayed to randomly selected respondents. The results based on our sample of 1,451 Swiss homeowners suggest that WTP for energy investments is positive but marginally decreasing, so that it may be insufficient for very sophisticated and expensive investments. A general paradigm shift is not evident from our results, as the respondents prefer investing alone rather than collectively. Also, load management and storage appear to be valued only in combination but not separately. Amongst all policies, only for a binding CO2 cap per square meter of the accommodation a significant effect can be detected. |
| Keywords: | Energy efficiency, Renewable energy, Choice experiment, Conditional logit models |
| JEL: | D12 L94 Q41 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:irn:wpaper:22-06&r= |
| By: | Kendra Walker; Ben Moscona; Kelsey Jack; Seema Jayachandran; Namrata Kala; Rohini Pande; Jiani Xue; Marshall Burke |
| Abstract: | Crop residue burning is a major source of air pollution in many parts of the world, notably South Asia. Policymakers, practitioners and researchers have invested in both measuring impacts and developing interventions to reduce burning. However, measuring the impacts of burning or the effectiveness of interventions to reduce burning requires data on where burning occurred. These data are challenging to collect in the field, both in terms of cost and feasibility. We take advantage of data from ground-based monitoring of crop residue burning in Punjab, India to explore whether burning can be detected more effectively using accessible satellite imagery. Specifically, we used 3m PlanetScope data with high temporal resolution (up to daily) as well as publicly-available Sentinel-2 data with weekly temporal resolution but greater depth of spectral information. Following an analysis of the ability of different spectral bands and burn indices to separate burned and unburned plots individually, we built a Random Forest model with those determined to provide the greatest separability and evaluated model performance with ground-verified data. Our overall model accuracy of 82-percent is favorable given the challenges presented by the measurement. Based on insights from this process, we discuss technical challenges of detecting crop residue burning from satellite imagery as well as challenges to measuring impacts, both of burning and of policy interventions. |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2209.10148&r= |
| By: | Innocent Nzeyimana |
| Keywords: | Agriculture - Agricultural Irrigation and Drainage Water Resources - Irrigation and Drainage |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35798&r= |
| By: | World Bank |
| Keywords: | Public Sector Development - Public Sector Expenditure Policy Agriculture - Agricultural Sector Economics Agriculture - Climate Change and Agriculture Agriculture - Food Security |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35907&r= |
| By: | World Bank |
| Keywords: | Transport - Transport Economics Policy & Planning Urban Development - Hazard Risk Management Urban Development - Transport in Urban Areas Water Resources - Flood Control |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35983&r= |
| By: | World Bank |
| Keywords: | Water Supply and Sanitation - Water Supply and Sanitation Economics Water Supply and Sanitation - Water Supply and Sanitation Finance Water Supply and Sanitation - Water Supply and Sanitation Governance and Institutions Water Supply and Sanitation - Water Supply and Sanitation Policy, Legislation and Regulation Water Supply and Sanitation - Water Utility Services to the Poor |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35854&r= |
| By: | Alejandro Ome; Gerson Javier Pérez-Valbuena |
| Abstract: | We study the impact of natural resource royalties on educational outcomes in Colombia. We analyze a reform enacted in 2012 that made the distribution of these royalties more equitable. Before the reform, most royalties were assigned to the regions where the natural resources were exploited; with the reform non-producing regions started to receive royalties. We estimate the impact of the reform on regions that most benefited from it, using the international price of oil as an instrument in a difference-in-differences framework. We found positive impacts on enrollment in primary, secondary, and high schools, but no conclusive evidence on academic achievement at any of these levels. **** RESUMEN: En este documento estudiamos para Colombia el impacto de las regalías recibidas por la explotación de los recursos naturales en la educación. Para ello, analizamos la reforma promulgada en 2012 la cual pasó a distribuir los recursos en forma más equitativa. Antes de la reforma, la mayoría de regalías se asignaban a las regiones en donde se llevaba a cabo la explotación de los recursos naturales; con la reforma, los territorios no-productores comenzaron a recibir parte de estos recursos. Mediante un modelo de diferencia en diferencias, y utilizando el precio internacional del petróleo como instrumento, estimamos el impacto de la reforma en las regiones que más se beneficiaron de estos recursos. Los resultados muestran efectos positivos en el número de matriculados en educación primaria y secundaria, pero no se evidencian resultados concluyentes en los puntajes de las pruebas estandarizadas para ninguno de los niveles. |
| Keywords: | Royalties, education, public finance, instrumental variables, regalías, educación, finanzas públicas, variables instrumentales |
| JEL: | C43 D11 E21 E31 |
| Date: | 2022–10 |
| URL: | http://d.repec.org/n?u=RePEc:bdr:region:313&r= |
| By: | Seka Vranic; Ruvejda Aliefendié; Tarik Sahovié; Imeldin Radaslié |
| Keywords: | Macroeconomics and Economic Growth - Investment and Investment Climate Macroeconomics and Economic Growth - Regional Economic Development Macroeconomics and Economic Growth - Spatial and Local Economic Development Macroeconomics and Economic Growth - Subnational Economic Development Private Sector Development - Business Environment Private Sector Development - Small and Medium Size Enterprises |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35932&r= |
| By: | Pablo Bra\~nas-Garza; Antonio Cabrales; Mar\'ia Paz Espinosa; Diego Jorrat |
| Abstract: | We experimentally study a game in which success requires a sufficient total contribution by members of a group. There are significant uncertainties surrounding the chance and the total effort required for success. A theoretical model with max-min preferences towards ambiguity predicts higher contributions under ambiguity than under risk. However, in a large representative sample of the Spanish population (1,500 participants) we find that the ATE of ambiguity on contributions is zero. The main significant interaction with the personal characteristics of the participants is with risk attitudes, and it increases contributions. This suggests that policymakers concerned with ambiguous problems (like climate change) do not need to worry excessively about ambiguity. |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2209.11079&r= |
| By: | Ann Wolverton; Ronald Shadbegian; Wayne B. Gray |
| Abstract: | While several papers examine the effects of renewable portfolio standards (RPS) on electricity prices, they mainly rely on state-level data and there has been little research on how RPS policies affect manufacturing activity via their effect on electricity prices. Using plant-level data for the entire U.S. manufacturing sector and all electric utilities from 1992 – 2015, we jointly estimate the effect of RPS adoption and stringency on plant-level electricity prices and production decisions. To ensure that our results are not sensitive to possible pre-existing differences across manufacturing plants in RPS and non-RPS states, we implement coarsened exact covariate matching. Our results suggest that electricity prices for plants in RPS states averaged about 2% higher than in non-RPS states, notably lower than prior estimates based on state-level data. In response to these higher electricity prices, we estimate that plant electricity usage declined by 1.2% for all plants and 1.8% for energy-intensive plants, broadly consistent with published estimates of the elasticity of electricity demand for industrial users. We find smaller declines in output, employment, and hours worked (relative to the decline in electricity use). Finally, several key RPS policy design features that vary substantially from state-to-state produce heterogeneous effects on plant-level electricity prices. |
| JEL: | Q48 Q52 |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:30502&r= |
| By: | Edgar Battand Towa Kouokam; Vanessa Zeller; Wouter Achten |
| Date: | 2021–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:ulb:ulbeco:2013/332186&r= |
| By: | Dongwei Zhao; Hao Wang; Jianwei Huang; Xiaojun Lin |
| Abstract: | The increasing penetration of renewable energy poses significant challenges to power grid reliability. There have been increasing interests in utilizing financial tools, such as insurance, to help end-users hedge the potential risk of lost load due to renewable energy variability. With insurance, a user pays a premium fee to the utility, so that he will get compensated in case his demand is not fully satisfied. A proper insurance design needs to resolve the following two challenges: (i) users' reliability preference is private information; and (ii) the insurance design is tightly coupled with the renewable energy investment decision. To address these challenges, we adopt the contract theory to elicit users' private reliability preferences, and we study how the utility can jointly optimize the insurance contract and the planning of renewable energy. A key analytical challenge is that the joint optimization of the insurance design and the planning of renewables is non-convex. We resolve this difficulty by revealing important structural properties of the optimal solution, using the help of two benchmark problems: the no-insurance benchmark and the social-optimum benchmark. Compared with the no-insurance benchmark, we prove that the social cost and users' total energy cost are always no larger under the optimal contract. Simulation results show that the largest benefit of the insurance contract is achieved at a medium electricity-bill price together with a low type heterogeneity and a high renewable uncertainty. |
| Date: | 2022–09 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2209.10363&r= |
| By: | Joe Phillips; Armando Heilbron; Priyanka Kher |
| Keywords: | International Economics and Trade - Foreign Direct Investment Macroeconomics and Economic Growth - Investment and Investment Climate |
| Date: | 2021–07 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36024&r= |
| By: | World Bank |
| Keywords: | Conflict and Development - Disaster Management Environment - Natural Disasters Finance and Financial Sector Development - Finance and Development Finance and Financial Sector Development - Public & Municipal Finance Finance and Financial Sector Development - Strategic Debt Management Public Sector Development - Public Financial Management |
| Date: | 2021–08 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36256&r= |
| By: | World Bank |
| Keywords: | Energy - Oil & Gas Environment - Water Resources Management |
| Date: | 2021–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:36214&r= |
| By: | UNESCO; World Bank |
| Keywords: | Culture and Development - Cultural Assets for Poverty Reduction Culture and Development - Cultural Heritage & Preservation Culture and Development - Culture in Sustainable Development Urban Development - City Development Strategies Urban Development - Urban Economic Development |
| Date: | 2021–05 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:35621&r= |