1,721,076 research outputs found
Biofuels and climate change mitigation : a CGE analysis incorporating land-use change
Full text linkThe question of whether biofuels help mitigate climate change has attracted much debate in the literature. Using a global computable general equilibrium model that explicitly represents land-use change impacts due to the expansion of biofuels, this study attempts to shed some light on this question. The study shows that if biofuel mandates and targets currently announced by more than 40 countries around the world are implemented by 2020 using crop feedstocks, and if both forests and pasture lands are used to meet the new land demands for biofuel expansion, this would cause a net increase of greenhouse gas emissions released to the atmosphere until 2043, since the cumulative greenhouse gas emissions released through land-use change would exceed the reduction of emissions due to replacement of gasoline and diesel until then. However, if the use of forest lands is avoided by channeling only pasture lands to meet the demand for new lands, a net increase of cumulative greenhouse gas emissions would occur but would cease by 2021, only a year after the assumed full implementation of the mandates and targets. The study also shows, contrary to common perceptions, that the rate of deforestation does not increase with the rate of biofuel expansion; instead, the marginal rate of deforestation and corresponding land-use emissions decrease even if the production of biofuels increases.Climate Change Mitigation and Green House Gases,Climate Change Economics,Energy and Environment,Environment and Energy Efficiency,Climate Change and Environment
Economy-wide Impacts of Biofuels in Argentina
Full text linkArgentina is one of the world's largest biodiesel producers and the largest exporter, using soybeans as feedstock. Using a computable general equilibrium model that explicitly represents the biofuel industry, this study carries out several simulations on two sets of issues: (i) international markets for biofuel and feedstock, such as an increase in prices of soybean, soybean oil, and biodiesel, and (ii) domestic policies related to biofuels, such as an introduction of biofuel mandates. Both sets of issues can have important consequences to the Argentinean economy. The simulations indicate that increases in international prices of biofuels and feedstocks would increase Argentina's gross domestic product and social welfare. Increases in international prices of ethanol and corn also can benefit Argentina, but to a lesser extent. The domestic mandates for biofuels, however, would cause small losses in economic output and social welfare because they divert part of biodiesel and feedstock from exports to lower-return domestic consumption. An increase in the export tax on either feedstock or biodiesel also would lead to a reduction in gross domestic product and social welfare, although government revenue would rise.Fil: Timilsina, Govinda R.. The World Bank; Estados UnidosFil: Chisari, Omar Osvaldo. Universidad Arg.de la Empresa. Facultad de Ciencias Economicas. Instituto de Economia; Argentina. Consejo Nacional de Investigaciones Científicas y Técnicas; ArgentinaFil: Romero, Carlos A.. Universidad Argentina de la Empresa. Facultad de Ciencias Economicas. Instituto de Economia; Argentin
Would There Be Surplus Grains for Biofuels? An Assessment of Agro-economic Factors and Biofuel Production Potential at the Global Level
No full textPaper removed for editing by author 10/19/11.biofuel, land resources, productivity increase, food supply, Crop Production/Industries, Resource /Energy Economics and Policy, Q0, Q42, Q18,
A general equilibrium analysis of demand side management programs under the clean development mechanism of the kyoto protocol
Full text linkThis paper analyzes the economic and environmental consequences of a potential demand side management program in Thailand using a general equilibrium model. The program considers replacement of less efficient electrical appliances in the household sector with more efficient counterparts. The study further examines changes in the economic and environmental effects of the program if it is implemented under the clean development mechanism of the Kyoto Protocol, which provides carbon subsidies to the program. The study finds that the demand side management program would increase economic welfare if the ratio of unit costof electricity savings to price of electricity is 0.4 or lower even in the absence of the clean development mechanism. If the program's ratio of unit cost of electricity savings to price of electricity is greater than 0.4, registration of the program under the clean development mechanism would be needed to achieve positive welfare impacts. The level of welfare impacts would, however, depend on the price of carbon credits the program generates. For a given level of welfare impacts, the registration of the demand side management program under the clean development mechanism would increase the volume of emission reductions.Energy Production and Transportation,Environmental Economics&Policies,Economic Theory&Research,Environment and Energy Efficiency,Energy and Environment
A General Equilibrium Analysis of Demand Side Management Programs under the Clean Development Mechanism of the Kyoto Protocol
Full text linkThis paper analyzes the economic and
environmental consequences of a potential demand side
management program in Thailand using a general equilibrium
model. The program considers replacement of less efficient
electrical appliances in the household sector with more
efficient counterparts. The study further examines changes
in the economic and environmental effects of the program if
it is implemented under the clean development mechanism of
the Kyoto Protocol, which provides carbon subsidies to the
program. The study finds that the demand side management
program would increase economic welfare if the ratio of unit
cost of electricity savings to price of electricity is 0.4
or lower even in the absence of the clean development
mechanism. If the program's ratio of unit cost of
electricity savings to price of electricity is greater than
0.4, registration of the program under the clean development
mechanism would be needed to achieve positive welfare
impacts. The level of welfare impacts would, however, depend
on the price of carbon credits the program generates. For a
given level of welfare impacts, the registration of the
demand side management program under the clean development
mechanism would increase the volume of emission reductions
Atmospheric Stabilization of CO2 Emissions : Near-term Reductions and Intensity-based Targets
Full text linkThis study analyzes CO2 emissions
reduction targets for various countries and geopolitical
regions by the year 2030 in order to stabilize atmospheric
concentrations of CO2 at the level of 450 ppm (550 ppm
including non CO2 greenhouse gases). It also determines CO2
intensity cuts that would be needed in those countries and
regions if the emission reductions were achieved through
intensity-based targets while assuming no effect on
forecasted economic growth. Considering that the
stabilization of CO2 concentrations at 450 ppm requires the
global trend of CO2 emissions to reverse before 2030, this
study develops two scenarios: reversing the global CO2 trend
in (i) 2020 and (ii) 2025. The study shows that global CO2
emissions would be 42 percent above the 1990 level in 2030
if the increasing trend of global CO2 emissions is reversed
by 2020. If reversing the trend is delayed by 5 years, the
2030 global CO2 emissions would be 52 percent higher than
the 1990 level. The study also finds that to achieve these
targets while maintaining assumed economic growth, the
global average CO2 intensity would require a 68 percent drop
from the 1990 level or a 60 percent drop from the 2004 level
by 2030
The Role of Revenue Recycling Schemes in Environmental Tax Selection : A General Equilibrium Analysis
No full textThis study examines the roles of revenue
recycling schemes for the selection of alternative tax
instruments (i.e., carbon-, sulphur-, energy- and
output-tax) to reduce CO2 emissions to a specified level in
Thailand. A static, single period, multi-sectoral computable
general equilibrium (CGE) model of the Thai economy has been
developed for this purpose. This study finds that the
selection of a tax instrument to reduce CO2 emissions would
be significantly influenced by the scheme to recycle the tax
revenue to the economy. If the tax revenue is recycled to
finance cuts in the existing labour or indirect tax rates,
carbon tax would be more efficient than the sulphur-,
energy- and output-taxes to reduce CO2 emissions. On the
other hand, if the tax revenue is recycled to households
through a lump-sum transfer, sulphur and carbon taxes would
be more efficient than energy and output taxes. The ranking
between the sulphur and carbon taxes under the lump sum
transfer scheme depends on substitution possibility of
fossil fuels. Sulphur tax is found superior over carbon tax
at the higher substitution possibility between fossil fuels;
the reverse is found true at the lower substitution
possibility. In all schemes of revenue recycling considered,
the output tax is found to be the most costly (i.e., in
welfare terms) despite the fact that it generates two to
three times higher revenue than the other tax instruments
How Much Does an Increase in Oil Prices Affect the Global Economy? Some Insights from a General Equilibrium Analysis
No full textA global computable general equilibrium
model is used to analyze the economic impacts of rising oil
prices with endogenously determined availability of biofuels
to mitigate those impacts. The negative effects on the
global economy are comparable to those found in other
studies, but the impacts are unevenly distributed across
countries/regions or sectors. The agricultural sectors of
high-income countries, which are relatively energy
intensive, would suffer more from rising oil prices than
would those in lower-income countries, whereas the reverse
is true for the impacts across manufacturing sectors. The
impacts are especially strong for oil importers with
relatively energy-intensive manufacturing and trade, such as
India and China. Although the availability of biofuels does
mitigate some of the negative impacts of rising oil prices,
the benefit is small because the capacity of biofuels to
economically substitute for fossil fuels on a large scale
remains limited
What Underlies the Poor Financial Performance of Electric Utilities in Sub-Saharan Africa?
Full text linkThis study investigates the factors responsible for the poor performance of 67 electric utilities in 47 countries, using descriptive data from the World Bank, the International Energy Agency, the U.S. Energy Information Administration, and national sources. The findings show that both cost-side and revenue-side factors are responsible for the poor financial performance of electric utilities. More than two-thirds of vertically integrated utilities and electricity distribution utilities are unable to cover their operational and debt service costs by their revenues. The main causes of the poor financial performance are high fuel costs (particularly oil), low capacity factors, low capital and labor productivity, high transmission and distribution losses, and leakage in electricity bill collections. The study finds that in these countries, despite their much lower per capita income, consumers face relatively higher electricity tariffs than in many countries around the world. The study also finds that if the transmission and distribution losses were reduced to the current level of South Africa (11 percent) and the leakages in bill collection were eliminated, several electric utilities that are currently operating at a loss would have higher revenue than their operational cost. The findings indicate that policy makers in the region should focus on a portfolio of policies, including switching from expensive generation to emerging cheaper options, improving factor productivities, having efficient institutions and governance, reducing transmission and distribution losses, improving bill collection, and reforming tariffs. The policy priorities could vary across countries, depending on the roles of various factors contributing to poor financial performance
Climate Policy
No full textThis study examines the economic and environmental implications of a unique Clean Development Mechanism (CDM) scheme in which a non-Annex B country (Thailand) introduces a carbon tax and exports the resulting emission mitigation as certified emission reductions (CERs). A general equilibrium model for Thailand has been developed for analysing this carbon tax-cum-CDM (CT-CDM) policy. The study finds that, unlike a carbon tax policy, the CT-CDM policy could increase economic welfare in Thailand, depending on CER price and schemes of recycling carbon tax- and CER-revenue to the economy. The CT-CDM policy is found to increase economic welfare at a very low CER price (US$55/tCO2)
- …
