The raw material basis of global value chains: allocating environmental responsibility based on value generation |
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Authors: | Pablo Piñero Martin Bruckner Hanspeter Wieland Eva Pongrácz Stefan Giljum |
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Institution: | 1. Energy and Environmental Engineering, Faculty of Technology, University of Oulu, Oulu, Finland;2. Institute for Ecological Economics, Vienna University of Economics and Business, Vienna, Austria |
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Abstract: | A new approach to allocate environmental responsibility, the ‘value added-based responsibility’ allocation, is presented in this article. This metric allocates total environmental pressures occurring along an international supply chain to the participating sectors and countries according to the share of value added they generate within that specific supply chain. We show that – due to their position in global value chains – certain sectors (e.g. services) and countries (e.g. Germany) receive significantly greater responsibility compared to other allocation approaches. This adds a new perspective to the discussions concerning a fair distribution of mitigation costs among nations, companies and consumers. |
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Keywords: | Material flow accounting material footprint raw materials shared responsibility value added |
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