The private and social consequences of purchasing an electric vehicle and solar panels: Evidence from California

Rising greenhouse gas emissions raise the risk of severe climate change. The household sector׳s greenhouse gas emissions have increased over time as more people drive gasoline cars and consume electricity generated using coal and natural gas. The household sector׳s emissions would decline if more households drove electric vehicles and owned solar panels. In recent years automobile manufacturers have been producing high-performance electric vehicles, and solar panels are becoming more efficient and less expensive. Using several data sets from California, we document evidence of the growth of the joint purchase of electric and hybrid vehicles and solar panels. We discuss pricing and quality trends for these green durable goods.     

Halo effect or fallen angel effect? Firm value consequences of greenhouse gas emissions and reputation for corporate social responsibility

Greenhouse gas (GHG) emissions are perceived to have negative consequences for society at large by contributing to potential climate change and represent a potential cash drain from firms from exposure to future regulatory, abatement, and compliance costs. Beginning in 2010, US companies are required to report their GHG emissions to the Environmental Protection Agency (EPA). We utilize these data for 2010–2014 to examine whether the possible adverse firm value impact of these GHG emissions is alleviated or exacerbated by the firm’s reputation for corporate social responsibility. Our findings suggest that there is no halo effect, i.e., a firm’s reputation for social responsibility (as reflected in its CSR score) does not protect the firm from the adverse firm value effects of GHG emissions. Rather, our findings suggest a fallen angel effect, i.e., for any given level of GHG emissions, the higher the firm’s CSR score, the greater the adverse impact on firm value. In other words, the decline in firm value due to the adverse impact of GHG emissions is compounded by the hit to the firm’s reputation for corporate social performance. Our paper contributes to the sparse prior US literature on the firm value effects of GHG emissions. Further, by providing scholarly evidence on the existence of a fallen angel effect, our findings suggest that boards and managers of firms that provide voluntary CSR disclosures cannot afford to be complacent about their GHG emissions.     

Forest land consolidation and its effect on climate

Land use changes and forests both play an important role in combating climate change. The climate effects of forest land consolidation have, however, not been studied in detail. As such, this study identifies a number of possible climate effects of forest land consolidation. To specify these, the increased carbon storage in the Pahkakoski land consolidation project (Finland) due to increased forest growth is valued through substitution costs. The results show that the value of the increased carbon storage in the project area is approximately 750 000 euros, or €153/ha. This emanates from the increased growth due to remedial drainage and from the increased forested area. The result is, however, sensitive to changes in the shadow price of carbon. Likewise, the study recognises a need for studies concerning the total climate effect of measures, such as remedial drainage that may also release carbon from the ground. While the overall effects of forest land consolidation are difficult to estimate with current knowledge, this article highlights the potential of land consolidation to combat climate change.     

Analysis of greenhouse gas emissions of freight transport sector in China

Due to the increasing commercial activities in China, the rapid growth of energy consumption and greenhouse gas (GHG) emissions in the freight transport sector has alarmed the Chinese central government. However, there is a lack of standard measure for evaluating GHG emissions generated from freight transport operations. To improve this situation, Chinese policy makers need to evaluate GHG emissions for energy saving and pollution reduction. This background leads us to examine the GHG emission trajectories and features of Chinese freight transport patterns in the last decade, i.e. between 2000 and 2011. In this study, we examine different regions’ freight turnover and energy consumption by various transport modes (i.e. railway, highway, waterway, aircraft, and oil pipeline) in China. Our results show that the total amount of GHG emissions caused by the Chinese freight transport sector reached 978 million tons in 2011, indicating an average annual growth of 74 million tons CO₂e for the last decade. Shandong, Anhui, and Henan are the main provinces producing GHG emissions, representing 11.7%, 10.3%, and 10% of total emissions generated from the freight transport sector in China, respectively. This study also compares the regional GHG emissions from different freight transport modes including railway, highway, waterway, air transport, and oil pipeline. Based on the findings, policy implications are provided on how to mitigate freight transport emissions among different Chinese regions.     

The economics of climate change impacts à la Stern: Novel and nuanced or rhetorically restricted?

The Stern report conducts an estimation of Greenhouse Gas control costs weighed against the benefits of avoiding damages at the global scale. As I show, Stern and colleagues are aware of the limits to CBA, although they chose to ignore the considerable literature on the subject, the many contributions by ecological economists, and especially work specific to the enhanced Greenhouse Effect. Various problems are raised or mentioned in the report including: strong uncertainty, incommensurability, plural values, non-utilitarian ethics, rights, distributional inequity, poverty, and treatment of future generations. How then can this report, acknowledging so many of those aspects of climate change that render CBA an unsuitable tool for generating policy recommendations, go ahead to conduct a global CBA and make policy recommendations? I explain how issues are suppressed and sidelined in a careful and methodical manner, with the pretence they have been addressed by ‘state of the art’ solutions. Meanwhile, the authors maintain allegiance to an economic orthodoxy which perpetuates the dominant political myth that traditional economic growth can be both sustained and answer all our problems. Besides perpetuating myths, this diverts attention away from alternative approaches, away from ethical debates over harming the innocent, the poor and future generations, and away from the fundamental changes needed to tackle the very real and serious problems current economic systems pose for environmental systems.     

PowerPlay: Exploring decision making behaviors in energy efficiency markets

Computer models are widely used to analyze decisions about energy efficiency improvements in the residential and commercial sectors. Few models exist that can actually be run interactively by decision makers to play out alternative future scenarios. None are available that interactively capture the dynamics, subtleties and complexities of interdependent decisions by utilities, households and firms in an ever-changing technological and economic environment.This paper presents the features and experiences of PowerPlay, a computer-facilitated game which fills that gap and does more: it is a game to be played by at least a dozen player groups who interact with each other, make deals (or break them), plan for the future and revise decisions. The computer model functions like a game board to trace actions and offer choices. The observed behaviors can be analyzed to advance understanding of investment strategies and consumer choices; to generate experimentally-based data on energy efficiency changes; and to provide the basis for analyses that can substantiate or complement historical, time-series driven specifications of energy models.     

欧洲排放交易体系下的中国民航低碳策略研究

随着近几十年来旅客周转量的大幅增加,民航业迎来了快速发展的黄金时期。民航运输过程中产生的二氧化碳对环境的影响也日渐突出。本文介绍了航空排放对全球变暖的影响,分析了欧洲排放交易体系下中国民航业的优势、劣势以及机遇与挑战,提出了旨在节能环保的低碳策略。     

AN ENVIRONMENTAL/INPUT–OUTPUT LINEAR PROGRAMMING MODEL TO REACH THE TARGETS FOR GREENHOUSE GAS EMISSIONS SET BY THE KYOTO PROTOCOL

The Kyoto Protocol contains legally binding targets for greenhouse gas (GHG) emissions for industrialized countries. The importance of this agreement and the elaboration of a climate change policy make it necessary to define and establish national policy measures and to bring into force environmental regulations that will reduce GHG emissions. Extending our knowledge of the economic-ecologic relationships that exist within the production sphere can assist in defining and implementing successful environmental policies. In this paper, an Environmental/Input–Output linear programming model is proposed. To develop the model we consider the input–output model as a linear programming problem combining two types of restrictions: environmental restrictions establishing GHG emission targets, and economic restrictions. The model shows how targets for the emissions of GHGs may be reached and can affect production activity composition.     

Mitigation potential and costs for global agricultural greenhouse gas emissions1

Agricultural activities are a substantial contributor to global greenhouse gas (GHG) emissions, accounting for about 58% of the world's anthropogenic non‐carbon dioxide GHG emissions and 14% of all anthropogenic GHG emissions, and agriculture is often viewed as a potential source of relatively low‐cost emissions reductions. We estimate the costs of GHG mitigation for 36 world agricultural regions for the 2000–2020 period, taking into account net GHG reductions, yield effects, livestock productivity effects, commodity prices, labor requirements, and capital costs where appropriate. For croplands and rice cultivation, we use biophysical, process‐based models (DAYCENT and DNDC) to capture the net GHG and yield effects of baseline and mitigation scenarios for different world regions. For the livestock sector, we use information from the literature on key mitigation options and apply the mitigation options to emission baselines compiled by EPA.     

美国区域温室气体减排行动的运作机制及其对电力市场的影响

作为温室气体排放大国之一,美国在联邦政府层面尚未实施强制性的温室气体减排政策,但是国内部分地区正在积极探索建立区域性的温室气体减排计划及交易体系.其中,美国东北部和大西洋中部10个州共同参与、在火电行业率先开展的＂区域温室气体减排行动＂,已经运行了近1年半时间,取得了良好的效果.介绍了美国区域温室气体减排行动的运作机制及实施情况,分析了其对电力市场的影响,并对我国有序推行碳减排计划提出建议.