{"title":"The decoupling dilemma: Examining economic growth and carbon emissions in emerging economic blocs","authors":"Farah Naz , Arifa Tanveer , Sitara Karim , Michael Dowling","doi":"10.1016/j.eneco.2024.107848","DOIUrl":"10.1016/j.eneco.2024.107848","url":null,"abstract":"<div><p>This study explores whether emerging economic blocs can decouple economic growth from carbon emissions amidst global climate change concerns, integrating Environmental Kuznets Curve (EKC) theory, Stakeholder theory, and Ecological Modernization Theory (EMT). Using fuzzy-set qualitative comparative analysis (fsQCA), it examines the relationship between monetary policy and carbon emissions in two key blocs: ASEAN and GCC. Findings reveal that robust GDP growth in ASEAN correlates with higher ecological footprints, underscoring the environmental cost of rapid expansion. Conversely, the GCC region highlights renewable energy consumption as crucial for managing ecological footprints, despite challenges in energy mix adequacy. These insights offer region-specific understandings, challenging conventional views and guiding policymakers in aligning economic growth with environmental sustainability. The research underscores the need for tailored strategies to develop sustainable economic models that decouple growth from environmental degradation.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107848"},"PeriodicalIF":13.6,"publicationDate":"2024-08-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0140988324005565/pdfft?md5=b8af9347643f968c9dd121c32bfb64c7&pid=1-s2.0-S0140988324005565-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142043625","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-20DOI: 10.1016/j.eneco.2024.107838
Chien-Chiang Lee , Tianhui Wang
{"title":"The impact of renewable energy policies on the energy transition -– An empirical analysis of Chinese cities","authors":"Chien-Chiang Lee , Tianhui Wang","doi":"10.1016/j.eneco.2024.107838","DOIUrl":"10.1016/j.eneco.2024.107838","url":null,"abstract":"<div><p>Amidst the intensifying global energy crisis, the advancement of renewable energy stands as a critical element in China's strategy for energy transition (ET) and efforts to mitigate climate change. This paper aims to offer fresh insights into the determinants of ET from the renewable energy policy (REP) perspective. By employing panel data from 280 Chinese cities covering the period from 2003 to 2019, and applying the text-mining methodology, this analysis initially explores the impact of REP on the ET. Our empirical findings demonstrate that REP significantly promotes ET, with our proposed hypotheses successfully enduring a series of robustness tests. This acceleration is predominantly through two mechanisms: the stimulation of green technology innovation and the enhancement of ET readiness. However, the influence of energy system performance on this transition is insignificant. This investigation reveals a pronounced regional heterogeneity in the effects that REP on ET. Specifically, the positive impact of these policies is stronger in the eastern cities of China, also in small and medium-sized cities, and cities with high levels of economic development, human capital, finance development, lower environmental pollution levels, and old industry areas. These findings provide valuable references for China and other countries pursuing similar objectives.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107838"},"PeriodicalIF":13.6,"publicationDate":"2024-08-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142040072","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-20DOI: 10.1016/j.eneco.2024.107852
So Young Yang , JongRoul Woo , Wonjong Lee
{"title":"Assessing optimized time-of-use pricing for electric vehicle charging in deep vehicle-grid integration system","authors":"So Young Yang , JongRoul Woo , Wonjong Lee","doi":"10.1016/j.eneco.2024.107852","DOIUrl":"10.1016/j.eneco.2024.107852","url":null,"abstract":"<div><p>The expansion of electric vehicles (EVs) and renewable energy (RE) are the two major strategies countries are adopting to achieve energy transition. However, the discrepancy between intermittent RE generation and EV charging load may impose burden on the RE-dominant power grid of the future. For the issue, Time-of-Use (ToU) pricing for EV charging has been widely discussed or adopted as its potential is well acknowledged by previous studies. While ToU mechanism has been primarily based on drivers' price-responsive behavior, this research highlights that EV charging decisions are influenced by various factors beyond price, such as time of a day, charger accessibility and waiting time. Here, we conducted the discrete choice experiment to measure drivers' preferences for EV charging, and developed an EV charging behavior model which incorporated drivers' situational-responsiveness as well as price-responsiveness. Also, the model was used to design optimal ToU tariffs to minimize net-load variation. The results showed that strategic ToU tariffs can shift EV charging load, but achieving desirable load shifts requires a significant price gap. Additionally, combining ToU pricing with strategic deployment of charging infrastructure can effectively shift EV charging load, reducing RE curtailments by 22.14%, and LNG generation and carbon emissions by 10.12%, compared to the Business-as-Usual (BaU) scenario with current tariff rates. Thus, this study highlights the importance of flexible EV charging pricing and the importance of considering charging infrastructure deployment when designing EV ToU pricing.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107852"},"PeriodicalIF":13.6,"publicationDate":"2024-08-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142043630","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-20DOI: 10.1016/j.eneco.2024.107841
Marie Petitet, Frank A. Felder, Amro M. Elshurafa
{"title":"Finding opportunity in economic power dispatch: Saving fuels without impacting retail electricity prices in fuel-producing countries","authors":"Marie Petitet, Frank A. Felder, Amro M. Elshurafa","doi":"10.1016/j.eneco.2024.107841","DOIUrl":"10.1016/j.eneco.2024.107841","url":null,"abstract":"<div><p>In many oil- and natural gas-producing countries, fuels are allocated to the electricity sector at administratively set prices below international market prices for domestic policy reasons. This article shows that dispatching power units based on the opportunity costs of domestically used fuels can yield significant efficiencies, while end-user electricity prices can continue to reflect administratively set fuel prices. In addition, opportunity cost dispatch can bring environmental benefits when it results in switching the priority of oil and gas units in the merit order and facilitating investments in renewable energy. Therefore, this approach can support long-term net-zero emission targets. It can also resolve cross-border electricity trading issues faced by fuel-rich countries, which are reluctant to base their electricity exports on domestic fuel prices.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107841"},"PeriodicalIF":13.6,"publicationDate":"2024-08-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0140988324005498/pdfft?md5=c553dcbd8d2870b0ea47cb1042bec2e7&pid=1-s2.0-S0140988324005498-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142117609","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-17DOI: 10.1016/j.eneco.2024.107824
Gianluca Iannucci , Alessandro Tampieri
{"title":"The persistence of environmental and social strategies under emission permits","authors":"Gianluca Iannucci , Alessandro Tampieri","doi":"10.1016/j.eneco.2024.107824","DOIUrl":"10.1016/j.eneco.2024.107824","url":null,"abstract":"<div><p>In this paper, we analyse the long-run industry configuration of an oligopoly where profit-seeking (PS) and environmentally socially responsible (ECSR) firms compete in quantities. We adopt an evolutionary setting to determine the firms’ endogenous choice of statute (PS or ECSR). Pollution is regulated through an Emission Trading System (ETS) scheme that allocates emissions rights to firms. Firms may also invest in emission abatement technology to reduce the cost of emission rights. Our findings show that the introduction of an ETS favours the persistence of the ECSR strategy by reducing the share of PS firms in the industry. In contrast, an increase in the stringency of the ETS policy makes the PS strategy more competitive.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107824"},"PeriodicalIF":13.6,"publicationDate":"2024-08-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"https://www.sciencedirect.com/science/article/pii/S0140988324005322/pdfft?md5=a35a8746818f3bed294570f2428d553c&pid=1-s2.0-S0140988324005322-main.pdf","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142006541","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-14DOI: 10.1016/j.eneco.2024.107827
Shafik Hebous , Nate Vernon-Lin
{"title":"Cryptocarbon: How much is the corrective tax?","authors":"Shafik Hebous , Nate Vernon-Lin","doi":"10.1016/j.eneco.2024.107827","DOIUrl":"10.1016/j.eneco.2024.107827","url":null,"abstract":"<div><p>With increasing awareness of past environmental damage from crypto mining, questions arise as to how persistent the problem will be in the future and how taxation can help in addressing this negative externality. We estimate that the global demand for electricity by crypto miners reached that of Australia or Spain, resulting in 0.28% of global CO<sub>2</sub> emissions in 2022. Projections suggest sustained future electricity demand and indicate further increases in CO<sub>2</sub> emissions if crypto prices significantly increase and the energy efficiency of mining hardware is low. To address global warming damages, we estimate the corrective excise on the electricity used by crypto miners to be USD 0.045 per kWh, on average. Considering also air pollution costs raises the tax to USD 0.085 per kWh. Country-specific estimates vary depending on their electricity sources. Other new electricity reliant technologies are also driving up CO<sub>2</sub> emissions. In our calculation, the corrective tax on electricity used by data centers is USD 0.048, on average.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107827"},"PeriodicalIF":13.6,"publicationDate":"2024-08-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141998761","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-13DOI: 10.1016/j.eneco.2024.107836
Yuhan Zhu , Yan Zheng , Zhiyuan Ren
{"title":"Household welfare loss from energy price crisis: Evidence from China","authors":"Yuhan Zhu , Yan Zheng , Zhiyuan Ren","doi":"10.1016/j.eneco.2024.107836","DOIUrl":"10.1016/j.eneco.2024.107836","url":null,"abstract":"<div><p>The war in Ukraine and associated 2022 energy crisis had far-reaching effects. The energy price crisis causes varying degrees of households' welfare losses by directly increasing energy prices and indirectly increasing product costs along the supply chain. This impact is particular significant for developing countries and emerging economies with a large concentration of middle and low-income groups. In this study, we utilize a multiregional input-output (MRIO) model and micro-household consumption spending figures to simulate the effects of rising fuel costs, both directly and indirectly, on 24 expenditure segments in China. According to the energy prices schema, we find increased energy burdens deteriorate household welfare. In a dire scenario of a 50% increase in energy prices, 11.35% of households will fall into energy poverty because of a disproportionately high share of visible energy consumption, raising China's energy poverty rate from 11.61% to 22.96%. Residual impacts are passed on to households by raising the cost of producing goods, resulting in higher indirect energy consumption, and ultimately leading to a significant increase in the inequality of households' real incomes excluding energy consumption. Further analysis shows that it is more cost-effective to provide subsidies to relatively poor households for the consumption of various commodities, with subsidies for food, healthcare and medical services, and housing expenses being the most effective, than direct subsidization of energy prices by the government to reduce household welfare losses. The major findings of this study emphasize the impact of energy security challenges in household sector, that helps to assess the negative impact of the Russian-Ukrainian conflict on energy securities of emerging economies.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107836"},"PeriodicalIF":13.6,"publicationDate":"2024-08-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142002348","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-13DOI: 10.1016/j.eneco.2024.107833
Wen-Jun Chu, Li-Wei Fan, P. Zhou
{"title":"Extreme spillovers across carbon and energy markets: A multiscale higher-order moment analysis","authors":"Wen-Jun Chu, Li-Wei Fan, P. Zhou","doi":"10.1016/j.eneco.2024.107833","DOIUrl":"10.1016/j.eneco.2024.107833","url":null,"abstract":"<div><p>The complexity of carbon market mechanisms and the uncertainty in market conditions raise questions on how carbon and energy markets interact. The majority of existing studies focused on the lower-order moment spillover across carbon and energy markets, thereby posing limitations on carbon risk management and carbon market efficiency. This paper analyzes multiscale skewness and kurtosis spillovers across carbon and energy markets under different market conditions. It is found that carbon market is a short-term net skewness spillover receiver, but becomes a medium-term risk source under all market conditions, capable of transmitting skewness risk to the natural gas market. The carbon market acts as a short- and medium-term kurtosis risk source for the natural gas and electricity markets in the lower probability of extreme returns, but bears the kurtosis risk from the natural gas and coal markets when the extreme risk is high. These results indicate that policymakers should take measures to adjust carbon prices when facing long-term skewness risk and a lower probability of extreme returns in the carbon market, to prevent further spread of risk to the energy markets.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107833"},"PeriodicalIF":13.6,"publicationDate":"2024-08-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142077061","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-13DOI: 10.1016/j.eneco.2024.107835
Xiyong Dong , John F. Zhang
{"title":"Heterogeneity of regional carbon emission markets in China: Evidence from multidimensional determinants","authors":"Xiyong Dong , John F. Zhang","doi":"10.1016/j.eneco.2024.107835","DOIUrl":"10.1016/j.eneco.2024.107835","url":null,"abstract":"<div><p>The Chinese carbon markets are heterogeneously distributed with different regional economies and natural resource endowments. This paper examines how carbon prices behave across regional emission markets in China using the dynamic model averaging (DMA) approach. The results show that the Beijing, Guangdong, and Hubei markets are increasingly affected by various factors. In contrast, the Shanghai market gradually becomes less affected after 2020, both in the current and forecast periods. Moreover, geopolitical risk and new energy price are important variables for the concurrent relation, and domestic oil price and geopolitical risk are important variables for predicting carbon prices. Nevertheless, there are significant differences in intensity and signs among the four carbon markets affected by various factors, as well as large differences between the results for the current and forecast periods. These results indicate the heterogeneity of regional carbon markets; therefore, caution should be taken when using a single carbon market to represent the entire Chinese market.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107835"},"PeriodicalIF":13.6,"publicationDate":"2024-08-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"141998488","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Energy EconomicsPub Date : 2024-08-13DOI: 10.1016/j.eneco.2024.107828
Zhijiu Yang , Hai Ding
{"title":"Turning a blind eye: How local government fiscal distress affects the entry of energy-intensive enterprises","authors":"Zhijiu Yang , Hai Ding","doi":"10.1016/j.eneco.2024.107828","DOIUrl":"10.1016/j.eneco.2024.107828","url":null,"abstract":"<div><p>This study explores the impact of local fiscal distress on energy-intensive entrepreneurial ventures. We theoretically establish a conceptual framework between government fiscal distress and energy-intensive entrepreneurial activity through the lens of environmental regulation. Using the newly available firm registration data, we employ the Poisson regression model and find that the falling fiscal condition of county governments triggered by an exogenous tax reform significantly leads to more entry of energy-intensive enterprises. We uncover that the increased entry of energy-intensive enterprises is primarily driven by relaxing environmental regulation rather than other policy changes. Delving into firm nature, we find that these energy-intensive entrants are usually large firms and privately owned firms. Further evidence suggests that industrial agglomeration, regional marketization levels, and legal environments negatively moderate the impact of fiscal distress on the entry of energy-intensive enterprises. This paper sheds light on the potential environmental consequences of governments' fiscal distress.</p></div>","PeriodicalId":11665,"journal":{"name":"Energy Economics","volume":"138 ","pages":"Article 107828"},"PeriodicalIF":13.6,"publicationDate":"2024-08-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"142013061","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}