Article
Economics
Na Liu, Xilong Yao, Fang Wan, Yunfei Han
Summary: Based on a dynamic CGE model, this paper explores the impact of revenue recycling schemes based on industry-differentiated carbon taxes. The findings show that indirect revenue recycling schemes can effectively mitigate the negative economic impacts of carbon taxes, while direct recycling schemes may affect carbon reduction effects. Different industries should adopt different revenue recycling schemes, with reductions in corporate and personal income taxes being more beneficial for carbon emission reduction.
Article
Environmental Sciences
Jingtao Li, Qiang Du, Cheng Lu, Youdan Huang, Xiaoyan Wang
Summary: China's vision of achieving carbon peak and carbon neutrality has placed higher demands on low-carbon development in the transportation industry. Finding appropriate mitigation strategies for low-carbon transportation has become a crucial part of low-carbon economic development. This study uses a CGE model to analyze the impact of carbon tax implementation on the transportation industry. It explores different carbon tax-recycling scenarios and evaluates the potential double dividend effects of carbon tax policy. Additionally, it investigates the combination of improved energy efficiency and a carbon tax as suitable mitigation strategies. The study finds that while carbon tax leads to reduced carbon emissions, it also decreases sectoral outputs. However, carbon tax recycling can alleviate the negative impact on sectoral outputs, thus achieving both reduced carbon emissions and economic sustainability. Improved energy efficiency may result in an energy rebound effect that reduces the effectiveness of carbon emissions reduction. Yet, the implementation of a carbon tax can promote consumer awareness of emission reduction and reduce the energy rebound effect in the transportation industry. Hence, timely formulation of carbon tax policies alongside improvements in energy efficiency can better promote sustainable development in various transportation sectors.
ENVIRONMENTAL SCIENCE AND POLLUTION RESEARCH
(2023)
Article
Economics
Emil Dimanchev, Christopher R. Knittel
Summary: A matter of debate in climate policy is whether to prioritize carbon pricing or regulations like low-carbon standards for emission reductions. By examining various policy mixes, researchers find that increasing reliance on carbon pricing can enhance cost-effectiveness. However, the marginal returns decrease as more reliance is placed on pricing. The results show that combining stringent standards with modest pricing can significantly improve cost-effectiveness, but trading off more standards for pricing results in diminishing gains.
Article
Environmental Sciences
Simon Matti, Jonas Nassen, Jorgen Larsson
Summary: This study examines the impact of different revenue uses on public attitudes towards environmental taxation, and finds that both tax level and revenue use significantly influence policy acceptance. Interestingly, directing the revenues towards aviation biofuels generates the most positive attitudes towards the policy.
ENVIRONMENTAL SCIENCE & POLICY
(2022)
Article
Environmental Studies
Weijiang Liu, Min Liu, Yangyang Li, Tingting Liu
Summary: This article assesses the economic, energy, and environmental effects of consumption tax, carbon tax, and their combination in China from 2022 to 2035. The results show that lowering consumption tax boosts economic growth but does not reduce emissions, while a separate carbon tax reduces emissions but harms the economy. However, combining lower consumption taxes with a medium carbon tax rate could have a double dividend effect, promoting economic growth and consistently reducing pollution emissions.
ENERGY & ENVIRONMENT
(2022)
Article
Green & Sustainable Science & Technology
Susana Silva, Isabel Soares, Oscar Afonso
Summary: Taxes often face public opposition, but if emissions tax revenues are used to subsidize renewables and achieve a double dividend, public opposition may decrease. Focusing solely on total emissions and total output may be misleading, and a wider range of indicators can provide a better insight into the desirability of environmental policies.
ENVIRONMENT DEVELOPMENT AND SUSTAINABILITY
(2021)
Article
Environmental Sciences
Adam Finch, Jeroen van den Bergh
Summary: Many countries have implemented carbon pricing in the form of a tax or market, but the authenticity of the carbon prices is low. The carbon prices published by sources such as the World Bank provide a misleading representation of the actual national policy pressure on emissions. There are significant differences between the average carbon price and the advertised price, and implicit carbon prices dominate explicit ones for most countries.
GLOBAL ENVIRONMENTAL CHANGE-HUMAN AND POLICY DIMENSIONS
(2022)
Article
Economics
Andres Arcila, John D. Baker
Summary: Heralded as a groundbreaking experiment in carbon tax policy, the Canadian province of British Columbia implemented a carbon tax in 2008. However, new data suggests that CO2 emissions and fossil fuel consumption have actually increased in recent years. Using synthetic control analysis, we find that contrary to theoretical expectations, CO2 emissions and gasoline consumption rose in British Columbia compared to the synthetic control, but there was a reduced share of economic activity in the energy industry.
Article
Business, Finance
Hussein Abedi Shamsabadi, Imen Tebourbi, Mohammad Nourani, Byung S. Min
Summary: This study investigates the supply of Dividend Reinvestment Plans (DRPs) in Australia, finding that good corporate governance leads to higher DRP supply. However, the presence of franked dividends and heavily discounted DRPs weaken this positive association, highlighting the importance of institutional settings in influencing dividend policy decisions.
FINANCE RESEARCH LETTERS
(2021)
Article
Green & Sustainable Science & Technology
Huihuang Wu, Haozhe Yang, Xiurong Hu, Leyi Zheng, Jie Li, Yangfan Li, Xian Wang, Wendong Ge, Yuhan Zhou, Ying Liu, Junfeng Liu, Yuqing Wang, Jianmin Ma, Shu Tao
Summary: Building a low-carbon energy system is crucial for addressing global climate change and regional air pollution. This study shows that implementing a dynamic carbon tax and investing in renewable energy can significantly reduce coal consumption, decrease CO2 and air pollutant emissions, and mitigate the negative economic impacts of the carbon tax.
RENEWABLE & SUSTAINABLE ENERGY REVIEWS
(2024)
Article
Environmental Sciences
Qingjun Zhang, Jing Li, Juan Wang
Summary: This study uses the pilot policy of energy-consuming right trading in China as a quasi-natural experiment to investigate its impact on the economic performance and carbon emissions of firms. The empirical results show that energy-consuming right trading can significantly improve economic performance and reduce carbon emissions. The double dividend effect is more significant in high-carbon emission firms, non-state-owned firms, and prior to the COVID-19 pandemic. The study also finds that the policy has a Porter innovation mechanism, where innovation input contributes to the economic dividend effect and green technology innovation contributes to the environmental dividend effect.
ENVIRONMENTAL SCIENCE AND POLLUTION RESEARCH
(2023)
Article
Thermodynamics
Zhonglian Zhang, Xiaohui Yang, Li Yang, Zhaojun Wang, Zezhong Huang, Xiaopeng Wang, Linghao Mei
Summary: This study proposes an approach that integrates machine learning and the honey badger algorithm to examine the impact of climate change on integrated energy systems (IES) and explores strategies to achieve the double carbon goal in energy systems.
Article
Green & Sustainable Science & Technology
Pravesh Raghoo, Kalim U. Shah
Summary: The study indicates that carbon pricing policies mainly spread through learning from neighboring countries, and sometimes through imitation. Both carbon tax and cap-and-trade systems diffuse through the learning mechanism, with cap-and-trade also able to diffuse through coercion and normative pressure from EU member countries. Additionally, the adoption of carbon pricing policy by a country is driven by democratic political regimes and the level of coal production in the country.
JOURNAL OF CLEANER PRODUCTION
(2022)
Article
Green & Sustainable Science & Technology
Yuanyuan Sun, Xianqiang Mao, Xinan Yin, Gengyuan Liu, Jun Zhang, Yanwei Zhao
Summary: This study explores the impact of carbon tax rate and tax revenue recycling shares on the economy and carbon emissions through a computable general equilibrium model. A nonlinear optimization model is proposed to optimize both steps of carbon taxation synchronously, aiming to promote GDP and CO2 emission reduction. The optimized taxation scheme, applied in the Bohai Bay area in China, leads to lower carbon emissions and greater economic growth, showcasing a strong double dividend with cleaner air and energy structures.
JOURNAL OF CLEANER PRODUCTION
(2021)
Article
Energy & Fuels
Maike Venjakob, Oliver Wagner, Birte Schnurr
Summary: Rising energy costs in Germany have sparked discussions about the social impact of the energy transition. The introduction of a gradually increasing CO2 tax in 2021 has prompted an analysis on the social justice of such a tax. Data analysis and desk research reveal the correlation between income and energy consumption in Germany, and a short-term analysis examines the additional burdens different types of households may face due to the introduction of CO2 pricing. Introducing a per capita flat rate fed by CO2 tax revenues could be a suitable solution to alleviate the burden on low-income households.
Article
Economics
Marie-Louise Arlt, David Chassin, Claudio Rivetta, James Sweeney
Summary: This paper examines the impact of real-time pricing and load automation on residential distribution systems. The study finds that implementing real-time pricing can result in an aggregate welfare gain of 39 USD per customer and year. However, it also notes that RTP and load automation may significantly increase peak system load. Introducing a market-based demand management system can further enhance welfare gains and reduce grid investment.
Article
Economics
Javier Jorquera-Copier, Alvaro Lorca, Enzo Sauma, Stefan Lorenczik, Matias Negrete-Pincetic
Summary: As countries update their climate ambitions, low-carbon hydrogen production and use present opportunities for emissions reductions and economic development. A case study for Chile shows that integrating hydrogen and electricity networks can lower system costs and enhance renewable integration, but policy support is needed to address concerns related to water and land use.
Article
Economics
Dawit Guta, Hisham Zerriffi, Jill Baumgartner, Abhishek Jain, Sunil Mani, Darby Jack, Ellison Carter, Guofeng Shen, Jennifer Orgill-Meyer, Joshua Rosenthal, Katherine Dickinson, Rob Bailis, Yuta Masuda
Summary: Household solid fuel use is detrimental to health and the environment. The Indian government's PMUY subsidy has successfully promoted the adoption of LPG by millions of households. However, there is limited understanding of the decision-making process to reduce solid fuel use after transitioning to cleaner fuels. This study found that factors such as household wealth, social status, education level, and the prevalence of LPG use in the village are positively associated with LPG consumption and the discontinuation of solid fuel use. On the other hand, factors such as distance to LPG refill delivery, household size, and the PMUY subsidy are negatively associated with the share of LPG use.
Article
Economics
Nicolas Morell-Dameto, Jose Pablo Chaves-Avila, Tomas Gomez San Roman, Pablo Duenas-Martinez, Tim Schittekatte
Summary: This paper assesses the performance of differently implemented forward-looking network tariff designs and proposes an innovative coordination mechanism to increase predictability in a future with many flexible customers. The study reveals that if large shares of customers synchronize their responses to highly time-varying and locational-specific network charges, it can lead to unexpected reinforcements.
Article
Economics
Alexandra Gritz, Guntram Wolff
Summary: Russia's weaponization of gas supplies shook the energy security of Central and Eastern Europe in 2022. The region responded by increasing alternative energy supplies and developing new gas supply routes. Renewable energy, nuclear energy, and hydrogen play important roles in the long-term. Mitigating the impact of this shock requires the EU to prioritize the integrity of its energy market.
Article
Economics
Jaroslaw Kantorowicz, Marion Collewet, Matthew DiGiuseppe, Hendrik Vrijburg
Summary: Economic costs are a major political obstacle to investing in climate change mitigation and adaptation measures. The method of financing plays a crucial role in determining public opposition to government green investments, with debt financing being less opposed than broad-based taxes. This study suggests that credit market tools, such as green bonds and debt for climate swaps, can be politically efficient in increasing support for green financing. Carbon taxes and wealth taxes are found to be the most preferred options.
Article
Economics
Kun Guo, Liyuan Luan, Xiaoli Cai, Dayong Zhang, Qiang Ji
Summary: This paper investigates China's energy trade stability using a survival analysis approach. It finds that the energy trade linkages between China and 153 other countries are complex and unstable, with short periods of trade with many countries. Geopolitically risky regions, such as the Middle East and Africa, have the lowest trade stability. Climate risks have significant effects on energy trade stability. The paper proposes several policy options to improve energy trade stability in China, with special attention to increasing global climate risks.
Article
Economics
Simona Bigerna, Piyush Choudhary, Nikunj Kumar Jain, Silvia Micheli, Paolo Polinori
Summary: This study estimates the willingness to pay of Indian urban consumers for a continuous supply of electricity using contingent valuation method. The findings show that the amount consumers are willing to pay depends on the duration of power outages, with households preferring shorter outages. Income and environmental attitude also positively influence higher willingness to pay. These insights can inform policymakers in designing more reliable and customer-centric energy generation and distribution models.
Article
Economics
Temilade Sesan, Unico Uduka, Lucy Baker, Okechukwu Ugwu, Ewah Eleri, Subhes Bhattacharyya
Summary: This study examines the impact of the regulatory framework on rural electrification and universal energy access goals in Nigeria's mini-grid sector. The findings suggest that while the current framework has fostered sector growth, additional measures are necessary to ensure equitable distribution of access among rural populations.
Article
Economics
Rui Shan, Noah Kittner
Summary: Energy storage is a cornerstone in decarbonization planning as it reduces operational costs and greenhouse gas emissions, while enhancing resilience and renewables integration. However, storage developers in different regions have varying economic and environmental considerations, thereby requiring policy intervention to achieve long-term emission reductions.
Article
Economics
Tung Durmaz, Sevil Acar, Simay Kizilkaya
Summary: This study investigates the phenomenon of strategic capacity withholding in the Turkish electricity market and its relationship with the capacity remuneration mechanism. The empirical results provide strong evidence of strategic capacity withholding and show that the capacity mechanism contributes to the duration of failures. The study offers important insights for policymakers, including the implementation of a random verification mechanism and restructuring of the capacity mechanism in Turkey.
Article
Economics
Tii N. Nchofoung
Summary: The study finds that oil price shocks have a negative impact on Africa's energy transition, particularly in rural areas and net crude oil exporting countries. However, oil price shocks cannot explain the urban-rural differences in clean energy access. Therefore, increasing investment in clean energy and technologies in rural areas is necessary to enhance the resilience of the energy sector to oil price shocks.
Article
Economics
Najia Saqib, Muhammad Usman, Ilhan Ozturk, Arshian Sharif
Summary: This study examines the impact of environmental technologies, financial growth, and energy use on ecological footprint and green growth. Environmental innovation and renewable energy deployment contribute to green growth, while financial expansion and non-renewable energy use have negative effects on the environment. The study also identifies causal relationships between different factors.
Article
Economics
Yessica C. Y. Chung, Noxolo Kunene, Hung-Hao Chang
Summary: The Renewable Energy Certificate (REC) is considered an innovative technology for building a green society. This study investigates the impact of REC purchases on stock return and volume in Taiwan between 2017 and 2021. The findings suggest that REC purchases have a positive effect on stock returns of manufacturing firms but not service firms. The frequency of REC purchases is also an important factor in the relationship between REC purchase and firm value. Additionally, the study reveals that public attention to environmental pollution plays a crucial role in positive stock returns and volume, while ESG disclosure is negatively associated with returns and volume.
Article
Economics
Seife Ayele, Wei Shen, Yacob Mulugetta, Tadesse Kuma Worako
Summary: This paper addresses the challenges of governing energy procurement from a mix of non-hydropower renewable energy sources supplied by independent producers. Building on political economy analysis and five case studies of independent producer projects from Ethiopia, it seeks to understand the root causes of the protracted delays and limited extent of procurement by independent producers. The key contestations lie in managing long term contracts, risk, uncertainty and in developing the institutional and human capacity to transition.