|
on Energy Economics |
| By: | Mayssa Mhadhbi; Mohamed Gallali; Stéphane Goutte (Cemotev - Centre d'études sur la mondialisation, les conflits, les territoires et les vulnérabilités - UVSQ - Université de Versailles Saint-Quentin-en-Yvelines, VNU - Vietnam National University [Hanoï]); Khaled Guesmi |
| Abstract: | It has been widely documented in the literature that financial development drives up the impact of CO2 emissions through increases in real economic activities and the consumption of polluting fossil fuel energy. However, when dealing with stock market development, such upward effects on economic growth, energy efficiency, and carbon emissions seems to give away to a positive impact especially in emerging markets. This paper contributes to this debate by exploring both the symmetric and asymmetric responses of CO2 emission to changes in stock market development indicators. In particular, using both the panel linear and nonlinear ARDL, our results demonstrate the asymmetric effects of stock market development indicators on carbon emissions in the context of emerging markets. In particular, the long-run elasticities results suggest that positive and negative shocks on stock market indicator decreases environmental quality by increasing carbon emissions. Based on these empirical findings, this study offers some crucial policy implications. |
| Keywords: | Stock market development,Carbon emissions,Energy efficiency,Asymmetric relationship,NARDL model,JEL Classification: Q 43,G28,E44,F64 |
| Date: | 2021–03–15 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-03169689&r=all |
| By: | Cyril Bourgeois (CIRED - Centre international de recherche sur l'environnement et le développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique); Louis-Gaëtan Giraudet (ENPC - École des Ponts ParisTech, CIRED - Centre international de recherche sur l'environnement et le développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique); Philippe Quirion (CIRED - Centre international de recherche sur l'environnement et le développement - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - AgroParisTech - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Empirical evidence suggests that carbon taxes are best accepted when their revenue is used to finance abatement measures. This revenue recycling option has however received little attention in modelling assessments. With the aim of filling this gap, we assess the impact of the French carbon tax on energy use for residential heating and compare the cost-effectiveness and distributional impacts of two revenue recycling options: lump-sum payment and subsidies for home energy retrofits. We do so using Res-IRF, an energy-economy model that provides a highly detailed description of housing features (single vs. multi-family, energy efficiency, heating fuel) and key household characteristics (tenancy status, income). We find that the two recycling options offset the regressive impacts of the tax in comparable ways. Lump-sum recycling is particularly effective in reducing inequalities between owner-occupiers and tenants. In turn, subsidy recycling saves energy and increases comfort more cost-effectively. In the discussion, we further point to some advantages of subsidy recycling from both a political and administrative perspective. |
| Keywords: | carbon tax,revenue-recycling,building sector,fuel poverty,energy efficiency subsidies |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-02073964&r=all |
| By: | Ian Parry |
| Abstract: | The United States has pledged to become carbon neutral by 2050, meet sectoral objectives (e.g., for carbon free power, electric vehicles) and encourage greater mitigation among large emitting countries and of international transportation emissions. Fiscal policies at the national, sectoral, and international level could play a critical role in implementing these objectives, along with investment, regulatory, and technology policies. Fiscal instruments are cost-effective, can enhance political acceptability, and do not worsen, or could help alleviate, budgetary pressures. Domestically, a fiscal policy package could contain a mix of economy-wide carbon pricing and revenue-neutral feebates (i.e., tax-subsidy schemes) with the latter reinforcing mitigation in the transport, power, industrial, building, forestry, and agricultural sectors. Internationally, a carbon price floor among large emitters (with flexibility to implement equivalent measures) could effectively scale up global mitigation, while levies/feebates offer a practical approach for reducing maritime and aviation emissions. |
| Keywords: | Carbon tax;Greenhouse gas emissions;Non-renewable resources;Natural gas sector;Fuel prices;Climate change,carbon neutrality,US climate mitigation,carbon pricing,feebates,carbon price floor,international aviation and maritime.,WP,efficiency cost o n,feebate variant,fuel economy,mitigation cost |
| Date: | 2021–03–03 |
| URL: | http://d.repec.org/n?u=RePEc:imf:imfwpa:2021/057&r=all |
| By: | Clulow, Z.; Ferguson, M.; Ashworth, P; Reiner, D. |
| Abstract: | We explore the relationship between political ideology and public attitudes towards a range of energy technologies (namely: biomass, coal, shale (or coal seam) gas, natural gas, carbon capture and storage, hydroelectricity, nuclear, solar thermal and photovoltaic, wave and wind energy). Our empirical analysis draws on the results of two similar nationally representative public surveys that were conducted in Australia and the UK in 2017. Our findings suggest that political ideology is significantly associated with public attitudes towards energy technologies. Specifically, supporters of left-leaning political parties tend to be more supportive of renewables and opposed to biomass, shale (coal seam) gas, nuclear and fossil fuel energies compared to right-leaning individuals. We also create an alternative ideological proxy to capture the relative emphasis that parties place on the environment and economy and find that supporters of environmentally focused parties generally express similar energy preferences to left-leaning individuals and economy-focused respondents align with right-leaning attitudes. Our findings are robust to different choices of proxy. |
| Keywords: | Political parties, public opinion, climate policy, energy policy |
| JEL: | D72 P18 Q42 Q48 |
| Date: | 2021–03–17 |
| URL: | http://d.repec.org/n?u=RePEc:cam:camdae:2126&r=all |
| By: | Stefan Ambec (TSE - Toulouse School of Economics - UT1 - Université Toulouse 1 Capitole - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement); Claude Crampes (TSE - Toulouse School of Economics - UT1 - Université Toulouse 1 Capitole - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement) |
| Abstract: | The presence of consumers able to respond to changes in wholesale electricity prices facilitates the penetration of renewable intermittent sources of energy such as wind or sun power. We investigate how adapting demand to intermittent electricity supply by making consumers price-responsive - thanks to smart meters and home automation appliances - impacts the energy mix. We show that it almost always reduces carbon emissions. Furthermore, when consumers are not too risk-averse, demand response is socially beneficial because the loss from exposing consumers to volatile prices is more than offset by lower production and environmental costs. However, the gain is decreasing when the proportion of reactive consumers increases. Therefore, depending on the costs of the necessary smart hardware, it may be non-optimal to equip the whole population. |
| Keywords: | Electricity,Intermittency,Renewables,Dynamic pricing,Demand response,Smart meters |
| Date: | 2021–02 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03153425&r=all |
| By: | Qi Zhang (China University of Petroleum); Peng Di (China University of Petroleum, IFP School); Arash Farnoosh (IFP School) |
| Abstract: | In the present study, the daily settlement data of Shanghai crude oil futures and world's major crude oils are selected. The role of Shanghai crude oil futures is studied regarding its pricing power and hedging risk. The dynamic relation analysis between Shanghai crude oil futures and international oil market is conducted by using rolling window causality test. The vector error correction model (VECM) and directed acyclic graph (DAG) are used to explore the long-term relationship and identify the contemporaneous causality structure respectively. Then Shanghai crude oil futures' impacts on other oil price fluctuations are analyzed by using variance decomposition method. The obtained analysis results show that the pricing power of Shanghai crude oil futures is limited compared with the international benchmark oil price, but it has begun to have a contemporaneous influence in the Asian oil market price transmission and better reflect oil supply and demand. Moreover, Shengli crude oil has stronger impact on the pricing mechanism after the listing of Shanghai crude oil futures. Furthermore, it also establishes an effective hedging tool for oil importers and refineries. Therefore, although the Shanghai crude oil futures is still in its initial development stage at present, it provides an important basis for becoming a regional benchmark in Asia and a useful instrument for energy market participants, influencing China's oil industry in import price and consumption. |
| Keywords: | Shanghai crude oil futures,price transmission,vector error correction model,directed acyclic graph,hedging risk |
| Date: | 2021–05–15 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-03151102&r=all |
| By: | Isermeyer, Folkhard; Heidecke, Claudia; Osterburg, Bernhard |
| Abstract: | In this working paper we examine whether it would be possible and reasonable to integrate the agricultural sector into CO2 pricing. CO2 pricing has been practiced in Europe for years. The EU Emissions Trading System (ETS) regulates emissions from approximately 12,000 large-scale plants in the energy and energy-intensive industries, as well as emissions from intra-European aviation. The ETS thus comprises almost half of Europe's greenhouse gas emissions. The politically defined mitigation targets are achieved in the ETS area (albeit with the participation of various other climate policy instruments), whereas they have so far been missed in the non-ETS area. In Autumn 2019, the German federal government presented a climate protection law that provides a comprehensive set of measures. One of the most important measures here is the inclusion of fossil heating and fuel in emissions trading. Initially, only a nationally-based trading system is planned for these sectors, and CO2 prices are to be kept low in the initial phase. The long-term effect of this system change can, however, be considerable: approximately 85 percent of Germa-ny's greenhouse gas emissions will soon be included in emission trading. This means that emissions can be gradually reduced along an initially agreed upon reduction path without the policymakers constantly having to fight for new decisions. Besides certain emissions from industrial processes, emission trading then only misses the areas of agriculture and land use. Against this background, it is the aim of this working paper to comprehensively examine whether these areas could also be integrated. First, based on economic theory and political experience, we show that the advantages of CO2 pricing compared to other climate policy options are the following: (1) Emission reduction targets are achieved along the politically-determined savings path. (2) All companies and all consumers are supplied with scarcity signals via prices, so that all people constantly participate in the “reduction and innovation competition”. (3) Emission reductions ultimately take place where they cause the lowest economic costs. (4) The system is based on market principles and is therefore particularly well-connected to a globally coordinated climate mitigation policy. However, two major challenges can be derived from the theoretical discussion, which can make it more difficult to integrate agriculture and land use into emissions trading: (1) Agricultural emissions come from many diffuse sources. It is therefore not easy to find starting points for climate mitigation measures that can be administered legally and with reasonable effort. (2) Agricultural and forestry products are traded internationally on a large scale. CO2 pricing in Europe can therefore lead to emissions-intensive production branches being relocated to third countries and thus lead to higher greenhouse gas emissions elsewhere (leakage effects). Theoretically, the best policy concept would be to use the “individual greenhouse gas balance” of each individual farm (i.e., an aggregate of all farm emissions minus the long-term carbon seques-tration on its land) as a control parameter. In practice, however, it is not possible to determine the data required for the many farms in a justifiable and reasonable manner. Therefore, in the further course of the article we will investigate how the different groups of greenhouse gases (nitrous oxide, methane, carbon dioxide) could be integrated into CO2 pricing. |
| Keywords: | Agricultural and Food Policy, Environmental Economics and Policy |
| Date: | 2021–03–19 |
| URL: | http://d.repec.org/n?u=RePEc:ags:jhimwp:310017&r=all |
| By: | Raphaël Jachnik; Alexander Dobrinevski |
| Abstract: | This paper explores data and methods to assess the alignment or misalignment with climate mitigation objectives of investments in the construction and refurbishment of residential and non-residential buildings. It takes the United Kingdom (UK) as a case study, where such investments reached GBP 162 billion (EUR 184 billion) in 2019 or 39% of UK gross fixed capital formation. The analysis trials different reference points that lead to varying results and each currently come with limitations in terms of coverage or granularity. Sector-level greenhouse gas (GHG) trajectories indicate that, in aggregate, investments in UK buildings have been insufficient, delayed or not aligned enough with caps set by UK Carbon Budgets, but such trajectories currently lack disaggregation for a more granular and insightful matching with investment data. Energy performance certificates (EPCs) allow for asset-level analyses: for instance, 79% of 2010-2019 investments in new built residential were in relatively energy efficient buildings but only 1% were consistent with more demanding recommendations towards the UK’s objective of reaching net-zero GHG in 2050. The coverage and reliability of EPCs, however, needs to be improved for older buildings, whose deep retrofitting is a major financing challenge. Applying Climate Bonds Initiative criteria for low-carbon buildings identifies investments eligible for green bond financing, but such criteria have partial sectoral coverage and are based on currently most efficient buildings within the existing stock, which makes them relatively easy to meet for investments in new built.Producing more complete and policy relevant assessments of aligned and misaligned investments at national and sectoral levels requires the availability of and access to comparable and granular data on decarbonisation targets and pathways consistent with the Paris Agreement temperature goals, GHG performance of assets, corporate and household investments, as well as underlying sources of financing. |
| Keywords: | buildings, capital expenditure, climate change, emissions, energy efficiency, finance, investment, low-greenhouse gas development, measurement, scenarios, taxonomy, tracking, United Kingdom |
| JEL: | E01 E22 G31 G32 H54 Q56 Q54 R31 R33 |
| Date: | 2021–03–29 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:172-en&r=all |
| By: | Arlan Brucal (London School of Economics); Antoine Dechezleprêtre (OECD) |
| Abstract: | This paper provides an empirical analysis of the impact of energy price increases – induced notably by the removal of fossil fuel subsidies – on the joint environmental and economic performance of Indonesian plants in the manufacturing industry for the period 1980-2015. The paper shows that a 10% increase in energy prices causes a a reduction in energy use by 5.2% and a reduction in CO2 emissions by 5.8% on average, with more energy-intensive sectors responding more to the shocks. At the same time, energy price increases increase the probability of plant exit and reduce employment of large and energy intensive plants, but the estimated effect is very small (-0.2% for a 10% increase in energy prices). Morevoer, energy price changes have no significant influence on net job creation at the industry-wide level, suggesting that jobs are not lost but reallocated from energy-intensive to energy-efficient firms. Overall, the empirical evidence demonstrates that environmental fiscal reforms in emerging economies like Indonesia can bring about large environmental benefits with little to no effect on employment. |
| Keywords: | carbon emissions reductions, competitiveness, energy price, firm performance, fossil fuel subsidy reform |
| JEL: | Q54 Q58 Q52 |
| Date: | 2021–03–25 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaaa:170-en&r=all |
| By: | Minh Ha-Duong (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Université Paris-Saclay - AgroParisTech - EHESS - École des hautes études en sciences sociales - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | Analysts often divide wind power projects into two categories: onshore and offshore. A third category recently emerged: nearshore projects, built on the intertidal flats. We observe a quasi cross-sectional sample of Vietnam's wind power projects, exhaustive regarding projects at the operating and building stages, comprising projects in the three categories. The median investment for onshore wind power projects in Vietnam is 1 680 USD/kW. It is 2 174 USD/kW for nearshore projects. We computed the relative extra investment distribution for intertidal projects compared to onshore projects in our sample. On average, a MW of generation capacity requires about 50% more investment nearshore than onshore. But variation is considerable, the interquartile range 20%-70% represents the extra cost better. It does not follow that electricity from nearshore stations costs more. Annual generation depends on the capacity factor. Projects developers are paying extra for better wind nearshore. |
| Keywords: | Wind power,Vietnam,Investment cost,Energy transition |
| Date: | 2021–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03127371&r=all |
| By: | Emma Jagu (LGI - Laboratoire Génie Industriel - CentraleSupélec - Université Paris-Saclay, IFP School, IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles); Olivier Massol (IFP School, IFPEN - IFP Energies nouvelles - IFPEN - IFP Energies nouvelles, City University London) |
| Abstract: | This paper examines the deployment of a shared CO2 transportation infrastructure needed to support the combined emergence of Bio-energy with Carbon Capture and Storage (BECCS) and Fossil energy with Carbon Capture and Storage (CCS). We develop a cooperative game-theoretic approach to: (i) examine the conditions needed for its construction to be decided, and (ii) determine the break-even CO2 value needed to build such a shared infrastructure. In particular, we highlight that, as biogenic emissions are overlooked in currently-implemented carbon accounting frameworks, BECCS and CCS emitters face asymmetric conditions for joining a shared infrastructure. We thus further examine the influence of these carbon accounting considerations by assessing and comparing the break-even CO2 values obtained under alternative accounting rules. We apply this modeling framework to a large contemporary BECCS/CCS case-study in Sweden. Our results indicate that sustainable and incentive-compatible cooperation schemes can be implemented if the value of CO2 is high enough and show how that value varies depending on the carbon accounting framework retained for negative emissions and the nature of the infrastructure operators. In the most advantageous scenario, the CO2 value needs to reach 112€/tCO2, while the current Swedish carbon tax amounts to 110€/tCO2. Overall, these findings position pragmatic policy recommendations for local BECCS deployment. |
| Date: | 2021–01–22 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03118399&r=all |
| By: | Fiona Burlig; James B. Bushnell; David S. Rapson; Catherine Wolfram |
| Abstract: | We provide the first at-scale estimate of electric vehicle (EV) home charging. Previous estimates are either based on surveys that reach conflicting conclusions, or are extrapolated from a small, unrepresentative sample of households with dedicated EV meters. We combine billions of hourly electricity meter measurements with address-level EV registration records from California households. The average EV increases overall household load by 2.9 kilowatt-hours per day, less than half the amount assumed by state regulators. Our results imply that EVs travel 5,300 miles per year, under half of the US fleet average. This raises questions about transportation electrification for climate policy. |
| JEL: | Q4 R4 |
| Date: | 2021–02 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28451&r=all |
| By: | Afsal Najeeb (Indian Institute of Management Kozhikode); Mohammed Shahid Abdulla (Indian Institute of Management Kozhikode) |
| Abstract: | Backed down power in Renewable Energy (RE) production plants refers to the power that has been declined by the evacuating agency. In effect, this power is wasted as the power producer does not earn any revenue. It leads to sub optimal capacity utilisation, affecting the financial viability of the RE generation plant. We propose a novel business model for effective utilisation of backed-down power that maximises benefits for all stakeholders. The backed-down power is proposed to be stored in commercially available Vanadium Redox Flow Batteries at plant site and transmitted for powering multiple electric vehicle charging stations located at demand centres. Analysis of the Return on Investment shows that with policy support like Viability Gap Funding and preferential Open Access rates, the model would allow delivery of green power which is currently wasted at a competitive rate of around ? 6 per unit. The model would create an alternate channel of revenue for the RE project developer, improving financial viability. Distribution Companies would be released from the pressure of legal action against them or from punitive measures for unscheduled curtailment. Instead, they stand to earn a portion of the revenue as Open Access charges. The model has untapped business potential as a green enterprise in the sunrise sector of electric mobility. |
| Keywords: | Renewable Energy (RE), RE generation, Business model, Electric vehicle |
| Date: | 2020–06 |
| URL: | http://d.repec.org/n?u=RePEc:iik:wpaper:384&r=all |
| By: | Clay, Karen (Carnegie Mellon University); Severnini, Edson R. (Carnegie Mellon University); Sun, Xiaochen (Carnegie Mellon University) |
| Abstract: | In the absence of first-best climate policy, energy efficiency has figured prominently among strategies to reduce carbon emissions. One of the most sought-after green certification in the building sector is the internationally recognized Leadership in Energy & Environmental Design (LEED). This paper examines the effects of LEED certification on energy efficiency in federally owned buildings. Using propensity score matching and difference in differences models, we find no effect of LEED certification on average energy consumption. This reflects the fact that energy use is one of a number of attributes that receives scores under the LEED program. Buildings with above average energy scores have greater energy efficiency post-certification. Some other attributes, notably higher water scores, decrease energy efficiency post-certification. Trade-offs across LEED attributes account for the absence of energy savings on average. If energy efficiency is the primary policy goal, LEED certification may not be the most effective means to reach that goal. |
| Keywords: | energy efficiency, LEED certification, energy savings, federal buildings, trade-off across LEED attributes |
| JEL: | O31 Q41 Q48 Q52 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp14211&r=all |
| By: | Rottner, Elisa; von Graevenitz, Kathrine |
| Abstract: | Carbon emissions from German manufacturing have increased over the past decade, while carbon intensity (emissions per Euro of gross output) has declined only slightly. We decompose changes in emissions between 2005 and 2017 into scale, composition (changes in the mix of goods produced) and technology (emission factors of production) effects. We find evidence that the production composition in the German manufacturing sector is increasingly shifting towards less carbonintensive products. However, we also find evidence to suggest that the energy intensity of production has increased. These results are largely driven by a few energy intensive sectors. |
| Keywords: | Carbon emissions,Climate Policy,Statistical Decomposition,Manufacturing |
| JEL: | D22 L60 Q41 Q48 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewdip:21027&r=all |
| By: | Dorn, Franziska; Maxand, Simone; Kneib, Thomas |
| Abstract: | High levels of carbon emissions and rising income inequality are interconnected challenges for the global society. Commonly-applied linear regression models fail to unravel the complexity of potential bi-directional transmission channels. Specifically, consumption, energy sources and the political system are potential determinants of the strength and direction of the dependence between emissions and inequality. To capture their impact, this study investigates the conditional dependence between income inequality and emissions by applying distributional copula models on an unbalanced panel data set of 154 countries from 1960 to 2019. A comparison of high-, middle-, and low-income countries contradicts a linear relationship and sheds light on heterogeneous dependence structures implying synergies, trade-offs and decoupling between income inequality and carbon emissions. Based on the conditional distribution, we can identify determinants associated with higher/lower probabilities of a country falling in an area of potential social and environmental sustainability. |
| Keywords: | Bivariate distributional copula model,income inequality,carbon emission,social sustainability,ecological sustainability |
| JEL: | C14 C46 D63 Q56 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:cegedp:413&r=all |
| By: | Minh Ha-Duong (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Université Paris-Saclay - AgroParisTech - EHESS - École des hautes études en sciences sociales - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique); Lan Nguyễn |
| Abstract: | This dataset an historical list of wind power projects in Vietnam, updated 2021-01-21. The list contains 473 records, among which 381 refer to active projects. It includes the generation capacity, the project's location at the commune level, its stage classified on the Preliminary / Development / Implementation / Operation / Decommission scale, and wether it is onshore, nearshore or offshore. The sample is comprehensive for Implementation and Operation projects. We cover the total project investment cost for 162 records. We obtained the dataset by reviewing only public sources: national power development plan updates, provincial investment plans decisions ; the press and the professional literature. This dataset can be used for energy system research and modeling, for policy analysis at the provincial and national levels, and to better understand the market conditions. It provides an inspirational example of how fast it is possible to switch to renewable energy on a national scale. Climate change mitigation requires more stories like this one. |
| Keywords: | Wind power,Vietnam,Investment cost,Energy transition |
| Date: | 2021–02–01 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03127376&r=all |
| By: | Jean-Henry Ferrasse (M2P2 - Laboratoire de Mécanique, Modélisation et Procédés Propres - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique); Nandeeta Neerunjun (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, M2P2 - Laboratoire de Mécanique, Modélisation et Procédés Propres - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique); Hubert Stahn (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: | We analyze the integration of intermittent renewables-based technologies into an electricity mix comprising of conventional energy. Intermittency is modeled by a contingent electricity market and we introduce demand-side flexibility through the retailing structure. Retailers propose diversified electricity contracts at different prices allowing consumers to choose their optimal electricity consumption. These contracts are modeled by a set of state-contingent electricity delivery contracts. We show existence and uniqueness of a competitive equilibrium of the contingent wholesale and retail markets. We provide a welfare analysis and only obtain constraint efficiency due to a limited number of delivery contracts. Finally, we discuss the conditions under which changing the set of delivery contracts improves penetration of renewables and increases welfare. This provides useful policy insights for managing intermittency and achieving renewable capacity objectives. |
| Keywords: | electricity market,renewables,intermittency,demand flexibility |
| Date: | 2021–02–27 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-03154612&r=all |
| By: | Martin Higgins |
| Abstract: | Nothing has done more to empower the free market, enterprise, and meritocracy than the spread of electricity and power to everyone. The power system has been the precursor to the greatest period of innovation in our history and has meant that visionaries with revolutionary ideas can compete with those with capital, political power, and means. Electricity, therefore, has been the great equalising force of the last 150 years, enhancing the productivity of the masses and granting prosperity to whole swathes of our nation. Whilst electricity has been one of the single largest innovations in enhancing the power of free markets, it is somewhat ironic that the way power is sold to consumers is largely unfree. The market is highly regulated, centralised, and is often used for political football by cynical politicians on both sides of the political spectrum. Introducing Locational Marginal Pricing into the UK grid system will increase economic freedom in the consumer markets for power, reduce prices for the poorest in the UK, decrease transmission losses, increase the permeation of low carbon generation in the grid, and incentivise investment in the UK's Northern Powerhouse initiative. |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2103.10937&r=all |
| By: | Josean Garrués-Irurzun (University of Granada, Spain); Juan A. Rubio-Mondéjar (University of Granada, Spain) |
| Abstract: | The commercial use of nuclear electricity represented an economic opportunity that adopted different national varieties. In Spain, the change from an “autarchic†to a “liberal†model of nuclear management consolidated the old interests of the national electric oligopoly. The objective of this article is to explain this process through a mesoeconomic perspective (inter-institutional dialectic). The main conclusion reached is that, in the face of a general hypothesis that defends the existence of a weak “reciprocal instrumentation†between political and economic interests during the transition from Francoist autarky to developmentalism, the theory of the regulatory capture is more convincing. That is, the capture of the State by the electric companies. Finally, the article should induce reflection regarding the importance that the assumption of past risks by Governments and companies may have in the assumption of current responsibilities (moratorium, dismantling, etc.). |
| Keywords: | regulation, nuclear energy, utilities, business history, institutions, Spain |
| JEL: | N24 L52 B15 L94 L98 |
| Date: | 2021–03 |
| URL: | http://d.repec.org/n?u=RePEc:ahe:dtaehe:2102&r=all |
| By: | Andrea La Nauze |
| Abstract: | I test whether economic incentives dampen peer effects in public-good settings. I study how a visible and subsidized contribution to a public good (installing solar panels) affects peer contributions that are neither subsidized nor visible (electing green power). Exploiting spatial variation in the feasibility of installing solar panels, I find that panels increase voluntary purchases of green power by neighbors. However, using sharp changes in government incentives over time, I find that the magnitude of the spillover depends on the level of subsidies to solar. The results support the hypothesis that signals drive peer responses to visible public-good contributions and that economic incentives blur those signals. |
| Keywords: | motivation, public goods contribution, solar panels, green energy, environmental public goods |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8940&r=all |
| By: | Ahmed Ayadi; Marjène Gana; Stéphane Goutte (VNU - Vietnam National University [Hanoï], Cemotev - Centre d'études sur la mondialisation, les conflits, les territoires et les vulnérabilités - UVSQ - Université de Versailles Saint-Quentin-en-Yvelines); Khaled Guesmi |
| Abstract: | This study considers the findings of previous research concerning the volatility and correlation transmission between equity and commodity markets and attempts to document evidence of contagion between these markets during four crises using the International Capital Asset Pricing Model (ICAPM). We study existence of contagion transmission mechanism between regional equity markets (USA, Western Europe and the BRICS) and sixteen categories of commodities |
| Keywords: | Metals,Natural Gas,Electricity,Crude Oil,Precious Metals,Agricultural Oils,Chemicals,Feeds,Fibers,Forestry Products,Grains,Live Stocks,Oil Seeds,Equity-commodity contagion,Three-factor CAPM,Financial crises |
| Date: | 2021–03–15 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-03169699&r=all |
| By: | Minh Ha-Duong (CIRED - Centre International de Recherche sur l'Environnement et le Développement - Université Paris-Saclay - AgroParisTech - EHESS - École des hautes études en sciences sociales - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique); Nguyen Son (NEU - National Economics University (Ha Noi, Vietnam), ABIES Doctoral School - ABIES Doctoral School) |
| Abstract: | We estimate the reduction of electricity poverty in Vietnam from 2008 to 2018 using national household surveys. We find that in 2018, the fraction of households with access to electricity was over 98%, the median level of electricity usage was 139 kWh per month per household, and the electricity bill weighted less than 6% of income for 92% of households. The macroeconomic inequality in electricity consumption was lower than income inequality. In 2014, the fraction of households declaring unsatisfied electricity needs was below three per cent. This indicator indicates that Vietnam has mostly reached the Sustainable Development Goal 7 Affordable and clean energy for all (SDG7). We find that the electricity subsidy mechanism contributes more to alleviating poverty (SDG1) than to SDG7. While there remains households who cannot afford to turn on fans or air conditioner during a heatwave, the engineering, economic and socio-political perspectives converge to indicate that electricity poverty was not an acute social issue in 2018. |
| Keywords: | Electricity poverty,Vietnam,Sustainable Development Goals |
| Date: | 2021–03–05 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03160911&r=all |
| By: | Vásquez Cordano, Arturo Leonardo; Rojas, Pedro; Aurazo, José |
| Abstract: | This paper aims to assess the degree of market power in the Peruvian retail market for Vehicular Natural Gas (VNG) using a generalized spatial competition model proposed by Capozza and Van Order (1978). This model nests Loschian, Hotelling-Smithies, and Greenhut-Ohta models through a single coefficient, so-called the spatial conjectural variation parameter. This paper exploits the fact that the marginal cost of natural gas is known and constant for all VNG stations due to the regulatory treatment in Peru, which ensures the proper identification of the conjectural variation parameter and gives information about the behavior of pricing coordination among firms. Our database contains information on retail VNG prices, sold VNG quantities, and other characteristics of 34 counties in Metropolitan Lima and Callao in Peru from 2011 to 2015. The results suggest the existence of some degree of coordination in prices associated with spatial collusion. This result is consistent with the Peruvian Antitrust Authority verdict that determined the existence of a case of price collusion in this retail market in 2019. |
| Keywords: | Vehicular Natural Gas, Market Power Measurement, Spatial Competition, Peru, Oligopoly, Generalized Method of Moments, Collusive Behavior, Energy Cartel. |
| JEL: | L11 L95 Q4 L41 C31 C36 |
| Date: | 2021–02 |
| URL: | http://d.repec.org/n?u=RePEc:ger:dtrabj:006&r=all |
| By: | François Belle-Larant (LGI - Laboratoire Génie Industriel - CentraleSupélec - Université Paris-Saclay); Hugo Mauron (LGI - Laboratoire Génie Industriel - CentraleSupélec - Université Paris-Saclay); Pascal da Costa (LGI - Laboratoire Génie Industriel - CentraleSupélec - Université Paris-Saclay) |
| Abstract: | This article introduces within the DICE Model a new class of consumers with the political or philosophical opinion of "degrowth", so-called deep green consumers (DGC), whose discount rate will endogenously decrease with the economic growth. A new utility function is assumed, using the Ramsey equation, to compute the social discount rate (SDR) in this new way. New paths of consumption and greenhouse gases (GHGs) emissions thus arise for both this social rate time of pure preference and the absolute value of the elasticity of intertemporal substitution of the consumption. In this framework, the SDR is a decreasing function with respect to the share of DGC in the total population. The integral of intertemporal utility proves an increasing function with respect to it. This article assesses the impact of an increase in the share of DGC in the population and shows that, under a certain threshold of DGC around 40%, no significant difference in the temperature decrease before 2100 is found. Above this threshold, the trend of increasing temperatures is inverted, within a time frame of one century: A share of 50% of DGC shows a peak for temperature in 2120, with an increase of +3°C., below Nordhaus' optimal path. These assessments show that changes in public opinion, such as the emerging movement in favor of reduced material consumption, or even degrowth, could lead to significant effects in favor of the climate when reaching a certain threshold. This is due to the inertia of both the natural climate systems and capital investment, arguing for strong complementary economic policy measures to reduce GHGs emissions, in addition to preference changes. |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03146625&r=all |
| By: | ITF |
| Abstract: | This paper reviews opportunities and challenges for mitigating greenhouse gas emissions from Azerbaijan’s transport sector. It provides an overview of Azerbaijan’s transport system and reviews the country’s existing policies and future plans for reducing CO2 emissions from transport. The paper also provides an overview of the data on transport activity and emissions available for Azerbaijan, and the tools used by government agencies for assessing them. Finally, it proposes options for further action in the context of ITF’s “Decarbonising Transport in Emerging Economies” (DTEE) project. |
| Date: | 2020–12–24 |
| URL: | http://d.repec.org/n?u=RePEc:oec:itfaac:87-en&r=all |
| By: | Britto, Anthony; Dehler-Holland, Joris; Fichtner, Wolf |
| Abstract: | Despite the vast literature on the energy-efficiency gap, there is a general dearth of investment models which incorporate the consumer's temporal freedom in the investment decision. Focusing on the building sector, we formulate optimal investment in energy efficiency as a problem of wealth growth-rate maximisation under uncertainty, subject to the diminishing marginal utility of retrofitting. The resulting model provides an unambiguous answer to the question of how much, and at what point in time, consumers with given wealth dynamics and parameters should invest in energy-efficiency measures for their particular dwelling. We treat in detail two foundational wealth dynamics: consumers who solely earn a fixed income, and those whose wealth grows multiplicatively. The differences in decision-making between these cases is seen to be substantial, with the latter group exhibiting further significant heterogeneity. All of this has profound implications for the social planner: on the one hand, we show how he must work harder to influence wealthier consumers; on the other, the model provides a methodology for crafting highly targeted policy interventions. |
| Keywords: | the energy-efficiency gap,energetic building retrofits,diminishing marginal utility,investment under uncertainty,growth-rate maximisation,social planning,retrofit incentives |
| JEL: | D01 D04 D11 D15 G11 G51 O33 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:kitiip:56&r=all |
| By: | ITF |
| Abstract: | This report presents policies and private sector initiatives for the electrification of urban delivery vehicles. Electric vehicles have low operational costs and the high mileage of delivery vehicles maximises net savings from converting a fleet. Insights on the total cost of ownership and the environmental footprint of electric fleets highlight broader benefits of electrification programmes for commercial vehicles. |
| Date: | 2020–12–10 |
| URL: | http://d.repec.org/n?u=RePEc:oec:itfaac:81-en&r=all |
| By: | Hodur, Nancy M.; Bangsund, Dean A. |
| Keywords: | Environmental Economics and Policy, Resource /Energy Economics and Policy |
| Date: | 2020–12–31 |
| URL: | http://d.repec.org/n?u=RePEc:ags:nddaae:310042&r=all |
| By: | Chi L. Ta |
| Abstract: | Rebates that reward economic agents if they meet a minimum conservation threshold are a popular policy to encourage energy conservation. However, most threshold-based rebates are structured such that they do not encourage reduction beyond the threshold. In this paper, I show theoretically that programs with the additional feature that households compete to win rebates can effectively encourage further conservation among those who can meet the threshold reduction. The theory also identifies factors that determine the effectiveness of the program. I then exploit a unique confidential dataset of monthly residential electricity use with over 45 million observations to estimate the overall effect of a Vietnamese electricity rebate program with this competitive element. Next, I empirically test the model’s predictions. I find that the program reduces electricity consumption by 18%, nearly double the threshold level of 10%. Interestingly, the program's effect persists for at least twelve months after it ends, which has important implications for the cost-effectiveness of such interventions. |
| Keywords: | energy conservation |
| JEL: | D12 L94 L98 Q48 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8948&r=all |
| By: | Bangsund, Dean A.; Hodur, Nancy M. |
| Keywords: | Environmental Economics and Policy, Resource /Energy Economics and Policy |
| Date: | 2021–02–28 |
| URL: | http://d.repec.org/n?u=RePEc:ags:nddaae:310041&r=all |
| By: | David Anthoff; Richard S. J. Tol |
| Abstract: | Weitzman's Dismal Theorem has that the expected net present value of a stock problem with a stochastic growth rate with unknown variance is unbounded. Cost-benefit analysis can therefore not be applied to greenhouse gas emission control. We use the Generalized Central Limit Theorem to show that the Dismal Theorem can be tested, in a finite sample, by estimating the tail index. We apply this test to social cost of carbon estimates from three commonly used integrated assessment models, and to previously published estimates. Two of the three models do not support the Dismal Theorem, but the third one does for low discount rates. The meta-analysis cannot reject the Dismal Theorem. |
| Keywords: | climate policy, dismal theorem, fat tails, social cost of carbon |
| JEL: | C46 D81 Q54 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8939&r=all |
| By: | Afsal Najeeb (Indian Institute of Management Kozhikode); Mohammed Shahid Abdulla (Indian Institute of Management Kozhikode) |
| Abstract: | The global automotive industry is on the cusp of major disruptions like electrification, shared mobility, connectivity and autonomous driving. While the need for rapid shift to electric mobility has near-unanimous support, the large and segmented market makes such a transition slow and complicated. The paper proposes an innovative business model which can provide one-touch electric mobility as a service for metro travellers taking them from doorstep to destination. Last mile connectivity would be realised using electric autos (e-autos) with the entire journey integrated through an application or software platform. It presents an enterprise opportunity in ownership and management of the fleet of e autos with the support of respective Metro Rail Authorities (MRA). At the scale of an individual metro station, the model provides an attractive annual ROI (Rate of Return) on investment of 32.10% and an IRR (Internal rate of Return) of 27%, while the values at the scale of the entire network are 31% and 45% respectively |
| Keywords: | Electric vehicle, Automotive industry, EV public transport |
| Date: | 2020–07 |
| URL: | http://d.repec.org/n?u=RePEc:iik:wpaper:386&r=all |
| By: | Sosson Tadadjeu (University of Dschang , Cameroon); Henri Njangang (University of Dschang , Cameroon); Simplice A. Asongu (Yaoundé, Cameroon); Yann Nounamo (University of Douala, Douala, Cameroon) |
| Abstract: | This study investigates the impact of natural resources on wealth inequality as a first attempt on a panel of 45 developed and developing countries over the period 2000-2014. Using the Generalized Method of Moments, the results provide stong evidence that natural resources increase wealth inequality within a linear empirical framework. These results are robust to the use of alternative natural resources and wealth inequality measures. Additionnaly, a nonlinear analysis provides evidence of an inverted U shaped relationship between natural resources and wealth inequality. The net effect of enhancing natural resources on wealth inequality is positive and building on the corresponding conditional negative effect, the attendant natural resource thresholds for inclusive development are provided. It follows that while natural resources increase wealth inequality, some critical levels of natural resources are needed for natural resources to reduce wealth inequality. |
| Keywords: | Oil wealth; Natural resources; Wealth inequality; Sustainable development |
| JEL: | F21 F54 L71 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:exs:wpaper:21/019&r=all |
| By: | Bondy, Malvina; Roth, Sefi; Sager, Lutz |
| Abstract: | Many empirical studies have examined the various determinants of crime. However, the link between crime and air pollution has been largely overlooked. In this paper we study whether exposure to ambient air pollution affects crime using daily administrative data for London in 2004-05. For identification, we estimate models with ward fixed effects and implement two instrumental variable strategies, using atmospheric inversions and wind direction as exogenous shocks to local pollution. We find that air pollution has a positive and statistically significant impact on overall crime and on several major crime categories, including those with economic motives. Importantly, the effect also occurs at pollution levels which are well below current regulatory standards and appears to be unevenly distributed across income groups. Our results suggest that reducing air pollution in urban areas may be an effective measure to reduce crime and that air pollution forecasts can be used to improve predictive policing. |
| Keywords: | air pollution; crime; economic incentives |
| JEL: | H23 K42 Q53 |
| Date: | 2020–03–20 |
| URL: | http://d.repec.org/n?u=RePEc:ehl:lserod:102198&r=all |
| By: | Apostolou, Apostolos; Papaioannou, Michael |
| Abstract: | It is increasingly realized that financial-asset investors individually are not likely able to affect climate developments significantly, while the financial sector collectively cannot hedge all climate-related risks. Nevertheless, the financial sector could help channel savings into green projects through both equity and bond markets, and thus facilitate divestment from heavy carbon-footprint producers. This paper provides a novel framework for understanding climate-related adaptation, mitigation, and transition risks and outlines a method for valuing these risks in investors’ portfolios. Our proposed comprehensive set up can serve as a call for action to longer-term institutional investors to obtain accurate information on climate-related risks, develop appropriate frameworks for understanding these risks, and regularly value them. We maintain that through improvements in the assessment of risks, financial stakeholders would be able to help better manage climate-related risks and facilitate an easier transition from brown to sustainable green finance. |
| Keywords: | Green Finance, Climate, Investors Portfolios |
| JEL: | G32 M2 Q54 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:106779&r=all |
| By: | Gaurav Khanna; Wenquan Liang; Ahmed Mushfiq Mobarak; Ran Song |
| Abstract: | Migration and pollution are two defining features of China's impressive growth performance over the last 30 years. In this paper we study the migration response to pollution in Chinese cities, and its consequences for productivity and welfare. We document a robust pattern in which skilled workers emigrate more in response to pollution than the unskilled. Their greater sensitivity to air quality holds up in cross-sectional variation across cities, panel variation with individual fixed-effects, and when instrumenting for pollution using distant power-plants upwind of cities, or thermal inversions that trap pollution. Pollution therefore changes the spatial distribution of skilled and unskilled workers, which results in higher returns to skill in cities that the educated migrate away from. We quantify the loss in aggregate productivity due to this re-sorting by estimating a model of demand and supply of skilled and unskilled workers across Chinese cities. Counterfactual simulations from the estimated model show that reducing pollution would increase productivity through spatial re-sorting by approximately as much as the direct health benefits of clean air. Physical and institutional restrictions on mobility exacerbate welfare losses. People's dislike of pollution explains a substantial portion of the wage gap between cities. |
| JEL: | E24 J61 O18 Q52 R12 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28401&r=all |
| By: | Afsal Najeeb (Indian Institute of Management Kozhikode); Mohammed Shahid Abdulla (Indian Institute of Management Kozhikode) |
| Abstract: | Availability of space is a major hurdle in expansion of solar energy harvesting systems. The paper proposes a novel orientation of solar panels to effectively use available space for solar generation. Vertical space is sought to be used to incorporate a second solar PV panel within confined ground area to increase the index of space utilization. Both panels would be mounted on pivots with continuous tracking. The amount of incidence has been calculated considering a sample latitudinal position and day of the year. Results show that the arrangement could generate up to 82% more power from a given land footprint. The economic tradeoff between the increased capital cost in the form of a second panel, mounting structures and the increased power generation has also been considered. |
| Keywords: | Solar Energy Harvesting System, Solar PV Panel System |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:iik:wpaper:401&r=all |
| By: | Jean-Claude Berthélemy (UP1 - Université Paris 1 Panthéon-Sorbonne, FERDI - Fondation pour les Etudes et Recherches sur le Développement International); Mathilde Maurel (CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, FERDI - Fondation pour les Etudes et Recherches sur le Développement International) |
| Abstract: | This paper proposes a new methodology for evaluating off-grid electrification projects, based upon Nighttime Light (NTL) observations, obtained by a combination of Defense Meteorological Satellite Program (DMSP) data and Visible Infrared Imaging Radiometer Suite (VIIRS) data. The methodology consists of comparing NTL data before and after the implementation of the projects. The projects are selected from FERDI's Collaborative Smart Mapping of Mini-grid Action (CoSMMA) analysis, which documents existing project evaluations reported in published papers. Such reported evaluations are of uneven quality, with few evaluations which meet scientific standards. Our results suggest that our new methodology can contribute to fill this gap. For each project, we compute the NTL deviation with respect to its counterfactual, which provides us a proxy for the off-grid electricity-induced rate of NTL growth. |
| Keywords: | Decentralized electrification,sustainable development,impact assessment,Nighttime Light,DMSP,VIIRS |
| Date: | 2021–03–02 |
| URL: | http://d.repec.org/n?u=RePEc:hal:wpaper:hal-03164719&r=all |
| By: | Arrouna Keita (University of Orléans); Camelia Turcu (University of Orléans) |
| Abstract: | We analyze the impact of natural resource discoveries on fiscal policy, focussing on the effects of expectations due to the discovery of large oil and gas deposits. The response of fiscal policy to resource discoveries is analyzed through changes in its cyclicality. To do this, we use a Local Projection method on two country-groups: high- and upper-middle-income countries (HMICs) and low- and lower-middle-income countries (LMICs) over the period 1984-2012. Our results show that natural resource discoveries do drive a fiscal policy response in HMICs and LMICs. Indeed, following the announcement of a natural resource discovery, we observe, around the first year after the discovery, the beginning of an increasing contracyclicality in total public spending in the HMICs. This contracyclicality is stronger in the presence of fiscal rules, and the response of fiscal policy is faster in the presence of good institutions. Overall HMICs have a disciplined response to a shock of natural resource discoveries. However, for LMICs, discovery shocks have different effects depending on the type of public spending: for public consumption expenditure, there is an increasing procyclicality starting from the first year after discovery, whereas for public investment expenditure, this procyclicality begins in the second year after discovery, after a slight contracyclicality before. These results are robust to different sample sizes, different specifications and various measures of the cyclicality coefficient. |
| Keywords: | Natural resources discoveries, Fiscal policy, Institutions, Fiscal rules, Local projections |
| JEL: | E |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:inf:wpaper:2020.07&r=all |
| By: | Afsal Najeeb (Indian Institute of Management Kozhikode); Mohammed Shahid Abdulla (Indian Institute of Management Kozhikode) |
| Abstract: | Room sized cabins and kiosks are used for many purposes such as help desks, verification counters, traffic management cabins, offices in remote work locations etc. Commercially available air conditioners are the most commonly available solution for provision of air conditioning and thermal comfort for such units. But they are often not preferred due to various factors like oversizing, high initial cost, temporary nature of kiosk usage etc. As an example of ‘jugaad’, we design here a domestic refrigeration compressor based system for such units with available off the shelf components and off-grid energy provision. The cooling system has been designed much like a conventional refrigeration system so that it can be assembled and maintained by locally available expertise. The sizing and costing of components has been done. |
| Keywords: | Outdoor kiosks, Assembled air condition |
| Date: | 2020–08 |
| URL: | http://d.repec.org/n?u=RePEc:iik:wpaper:388&r=all |
| By: | Gianluca Orsatti; Francesco Quatraro; Alessandra Scandura |
| Abstract: | This paper investigates the association between region-level recombinant capabilities and the generation of green technologies (GTs), together with their interplay with the intensity of academic involvement in innovation dynamics. The analysis focuses on Italian NUTS 3 regions, over the period 1998-2009. We show that the local capacity to introduce novel combinations is positively and strongly associated to the generation of GTs, while the involvement of academic inventors in local innovation dynamics shows an interesting compensatory role when local contexts lack such capacity. |
| Keywords: | green technologies, academic inventors, recombinant novelty. |
| JEL: | O33 R11 |
| Date: | 2020 |
| URL: | http://d.repec.org/n?u=RePEc:cca:wpaper:617&r=all |
| By: | Zeebari, Zangin (Jönköping University); Månsson, Kristofer (Jönköping University); Sjölander, Pär (Jönköping University); Söderberg, Magnus (The Ratio Institute) |
| Abstract: | The practical value of Stochastic Frontier Analysis (SFA) is positively related to the level of accuracy at which it estimates unit-specific inefficiencies. Conventional SFA unit inefficiency estimation is based on the mean/mode of the inefficiency, conditioned on the estimated composite error. This approach shrinks the inefficiency towards its mean/mode, which generates a distribution that is different from the distribution of the unconditional inefficiency; thus, the accuracy of the estimated inefficiency is negatively correlated with the distance the inefficiency is located from its mean/mode. We propose a regularized estimator based on Bayesian risk (expected loss) that restricts the unit inefficiency to satisfy the underlying theoretical mean and variation assumptions. We analytically investigate some properties of the maximum a posteriori probability estimator under mild assumptions and derive a regularized conditional mode estimator for three different inefficiency densities commonly used in SFA applications. Extensive simulations show that, under common empirical situations, e.g., regarding sample size and signal-to-noise ratio, the regularized estimator outperforms the conventional (unregularized) approach when the inefficiency is greater than its mean/mode. With real data from electricity distribution sector in Sweden, we demonstrate that the conventional conditional estimators and our regularized conditional estimators give substantially different results for highly inefficient companies. |
| Keywords: | Electricity Distribution; Productivity; Regularized Posterior Likelihood; Stochastic Frontier Analysis |
| JEL: | C21 D24 L94 |
| Date: | 2021–03–24 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ratioi:0345&r=all |
| By: | Berta, Nathalie |
| Abstract: | In the late 1960s, new environmental policies emerged which attempted to reach predetermined pollution standards in a cost-effective way: i.e., the ‘standard-and-tax’ approach proposed by William J. Baumol and Wallace E. Oates and the permits market approach proposed by John Dales. This paper describes the early history of the two approaches, and compares them. Although they flow from different traditions, namely Pigovian versus Coasean, and are often contrasted in the literature, these cost-effective solutions emerged at the same time and for the same reasons. First, they both tried to promote incentives-based policies against traditional regulations; second, they criticized the optimal Pigovian tax, which raised the contentious issue of measuring pollution damage. More broadly, they emerged as a kind of pragmatic compromise, fed by a common attempt to move toward more practical policies: reaching efficiency without optimality, while relying on standards whose setting is a matter for political decision. |
| Date: | 2020–12–01 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:wp2xf&r=all |
| By: | Charles F. Manski; Alan H. Sanstad; Stephen J. DeCanio |
| Abstract: | Numerical simulations of the global climate system provide inputs to integrated assessment modeling for estimating the impacts of greenhouse gas mitigation and other policies to address global climate change. While essential tools for this purpose, computational climate models are subject to considerable uncertainty, including inter-model “structural” uncertainty. Structural uncertainty analysis has emphasized simple or weighted averaging of the outputs of multi-model ensembles, sometimes with subjective Bayesian assignment of probabilities across models. However, choosing appropriate weights is problematic. To use climate simulations in integrated assessment, we propose instead framing climate model uncertainty as a problem of partial identification, or “deep” uncertainty. This terminology refers to situations in which the underlying mechanisms, dynamics, or laws governing a system are not completely known and cannot be credibly modeled definitively even in the absence of data limitations in a statistical sense. We propose the min-max regret (MMR) decision criterion to account for deep climate uncertainty in integrated assessment without weighting climate model forecasts. We develop a theoretical framework for cost-benefit analysis of climate policy based on MMR, and apply it computationally with a simple integrated assessment model. We suggest avenues for further research. |
| JEL: | D81 Q54 Q58 |
| Date: | 2021–02 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28449&r=all |
| By: | Steve Cicala |
| Abstract: | This paper uses monthly zip code-level data on electricity disconnections to document the socioeconomic correlates of extreme economic distress among 5 million customers in Illinois. In 2018-2019, customers in Black and Hispanic zip codes were about 4 times more likely to be disconnected for non-payment, 2-3 times more likely to be on deferred payment plans, and 70% more likely to participate in utility-based low-income assistance programs, controlling for zip code distributions of income and other demographic characteristics. During the COVID-19 pandemic, there has been a nine-fold expansion in low-income assistance to pay utility bills, but disconnections were double and deferred payment plans triple their historical averages in October 2020. Disconnection notices were served to 2.5% of commercial and industrial accounts, and 3.4% of residential accounts each month in late 2020. About 20% of all accounts were charged late fees. The odds for each of these measures were multiples higher in minority and low-income zip codes. |
| JEL: | G51 I30 L94 Q40 |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28422&r=all |