Climate policies for road transport revisited (I): Evaluation of the current framework

The global rise of greenhouse gas (GHG) emissions and its potentially devastating consequences require a comprehensive regulatory framework for reducing emissions, including those from the transport sector. Alternative fuels and technologies have been promoted as a means for reducing the carbon intensity of the transport sector. However, the overall transport policy framework in major world economies is geared towards the use of conventional fossil fuels. This paper evaluates the effectiveness and efficiency of current climate policies for road transport that (1) target fuel producers and/or car manufacturers, and (2) influence use of alternative fuels and technologies. With diversifying fuel supply chains, carbon intensity of fuels and energy efficiency of vehicles cannot be regulated by a single instrument. We demonstrate that vehicles are best regulated across all fuels in terms of energy per distance. We conclude that price-based policies and a cap on total emissions are essential for alleviating rebound effects and perverse incentives of fuel efficiency standards and low carbon fuel standards. In tandem with existing policy tools, cap and price signal policies incentivize all emissions reduction options. Design and effects of cap and trade in the transport sector are investigated in the companion article (Flachsland et al., in this issue).     

Using energy scenarios to explore alternative energy pathways in California

This paper develops and analyzes four energy scenarios for California that are both exploratory and quantitative. The business-as-usual scenario represents a pathway guided by outcomes and expectations emerging from California's energy crisis. Three alternative scenarios represent contexts where clean energy plays a greater role in California's energy system: Split Public is driven by local and individual activities; Golden State gives importance to integrated state planning; Patriotic Energy represents a national drive to increase energy independence. Future energy consumption, composition of electricity generation, energy diversity, and greenhouse gas emissions are analyzed for each scenario through 2035. Energy savings, renewable energy, and transportation activities are identified as promising opportunities for achieving alternative energy pathways in California. A combined approach that brings together individual and community activities with state and national policies leads to the largest energy savings, increases in energy diversity, and reductions in greenhouse gas emissions. Critical challenges in California's energy pathway over the next decades identified by the scenario analysis include dominance of the transportation sector, dependence on fossil fuels, emissions of greenhouse gases, accounting for electricity imports, and diversity of the electricity sector. The paper concludes with a set of policy lessons revealed from the California energy scenarios.     

Comparison of CO2 emission scenarios and mitigation opportunities in China's five sectors in 2020

This study has been created in order to better inform climate policy recommendations for China through the study of emissions reduction potential and mitigation opportunities in the major emission sectors in the country. The LEAP model along with three scenarios has been employed in this study. The study has projected that under all scenarios, China's emissions in major sectors will increase. However, through the current sustainable development strategy and even more aggressive emission reduction policies, an annual average of 201–486 million metric tons (MMT) of emissions could be reduced. The cost analysis shows that opportunities are available to achieve significant additional emission reductions at reasonable rates. Besides the results on mitigation opportunities in each sector, this research also explores sectoral preference when determining policies from different perspectives. This study concludes that China's “unilateral actions” since 2000 should be recognized and encouraged. If further emission reduction were required, sector-based mitigation policies would be a very good option and selecting proper policy-making perspective(s) and identifying the most cost-effective mitigation measures within sector and across sectors would be the key information needed to devise these policies.     

燃煤电厂转型路径研究综述

能源问题是实现全球温升2℃目标的重要方面,引导和推进相关技术发展有助于实现零碳社会.能源转型是目前全球的热点问题之一.本文回顾并总结在能源转型方面的相关政策及趋势预测,并对一些主要国家在能源领域特别是煤炭发电领域的政策和发展趋势进行了回顾和总结,详细讨论了各国为实现零碳目标所采取的重要政策支持和技术方法;能源转型推进过...     

Energy efficiency policy impact in India: case study of investment in industrial energy efficiency

The objective of this paper is to identify the effectiveness of energy policy and capital investment in energy efficiency technologies in the industrial sector in India. Indian energy policies relating to industrial energy efficiency over the past 25 years are briefly reviewed, and a comparison study of these energy efficiency policies and strategies in India and China has been carried out. Interviews were conducted with a number of government policy-making institutions and a national industrial development bank. The accounts of 26 industrial enterprises which applied and used a loan of the Asian Development Bank were audited for data collection. Field-visits to seven industrial entrepreneurs were undertaken in a case study. Methodologies used in this study include documentation, cross-country reviews on energy policies, questionnaire design and distribution in the industrial sector, and on-site auditing of energy efficiency technologies. This paper concludes that current energy policies and strategies in India need further improvement to promote energy efficiency investment and energy efficiency technology development in the industrial sector. This paper will interest those policy makers and industrial entrepreneurs who are willing to finance energy efficiency projects and improve energy efficiency in the industrial sector.     

Energy policy and standard for built environment in China

Trends in China's energy future will have considerable consequences for both China and the global environment. Though China's carbon emissions are low on a per capita basis, China is already ranked the world's second largest producer of carbon, behind only America. China's buildings sector currently accounts for 23% of China's total energy use and is projected to increase to one-third by 2010. Energy policy plays an important role in China's sustainable development. The purpose of this study is to provide a broad overview of energy efficiency issues in the built environment in China. This paper, firstly briefly, reviews the key national policies related to the built environment and demonstrates the government's environmental concern. Secondly, the authors introduce recent energy policies in the built environment. Energy efficiency and renewable energy in the built environment, which are the key issues of the national energy policy, have been reviewed. Discussion of the implementation of energy policy has been carried out.     

A state-of-the-art review of the sustainability and energy efficiency of buildings in Saudi Arabia

Sustainable buildings have an important role in achieving sustainable development by improving energy utilization and environmental performance. Buildings are considered as the biggest single contributor to world energy consumption and greenhouse gas emissions. In Saudi Arabia, the significance of the building sector can be described on the basis of per capita electricity consumption, per capita carbon dioxide emissions, and the increasing number of buildings because of economic and population growth. Therefore, the country should consider establishing energy-efficient buildings to promote sustainable development. Efforts in developing energy-efficient technologies should increase for the national energy policy. This article comprehensively describes the current challenges and opportunities of energy consumption and various energy conservation options that are viable for the Saudi building sector. Current policy efforts for improving energy efficiency in Saudi buildings have been analyzed to enhance the sustainable development in the country. The study reveals that the energy conservation policy of the country has fairly improved in the past decades. However, the country has to focus on this area and perform urgent measures to adopt energy-efficient technologies in the building sector.     

Scenarios for the evolution of the Spanish electricity sector: Is it on the right path towards sustainability?

The Spanish energy and electricity models are clearly unsustainable: the large increase in electricity demand, a huge dependency on energy imports, and significant environmental impacts are clear reasons for concern. In this paper we take a look at the possible evolution of the Spanish electricity sector under different policy scenarios, and try to identify which are the policies that may help to achieve the desired goal, as well as the role that the different technologies may play. Results are quite optimistic in that, under the appropriate policy measures, carbon emissions of the electricity sector may be reduced in 2020 up to 37% compared to 1990, and energy imports may be also much reduced, at reasonable costs. However, this may only be achieved by strongly pursuing energy efficiency improvements and other energy conservation measures, which should then become a must for all energy plans in Spain, together with renewable energy promotion and stronger carbon reduction policies.     

Review on Malaysia's national energy developments: Key policies,agencies, programmes and international involvements

This paper aims to present a review on Malaysia's national energy developments by looking at various angles in terms of renewable energy and energy efficiency. Energy demand and consumption by sectors are presented as well as the fuel mix in electricity generation. Key energy policies implemented from the incorporation of Malaysia's national oil company, Petronas in 1974 until the National Green Technology Policy 2009 and a future policy will be addressed. The roles of key players as well as important agencies in energy development are briefly presented. Key programmes in energy development such as Malaysian Industrial Energy Efficiency Improvement Project, Small Renewable Energy Power Programme and Building Energy Efficiency Programme are discussed as well as successful initiatives from the programmes. Malaysia's international involvements towards reduction of greenhouse gas emissions and carbon emissions especially Montreal Protocol and Kyoto Protocol are highlighted. As a conclusion, Malaysia is aware of its role in formulating its national energy development policies, sensitive towards the country's development towards the environment and utilization of energy resources as well as conscientious and responsive towards the call for sustainable development in promoting renewable energy and energy efficiency.     

Modelling the UK residential energy sector under long-term decarbonisation scenarios: Comparison between energy systems and sectoral modelling approaches

The UK government has set a groundbreaking target of a 60% reduction in carbon dioxide (CO₂) emissions by 2050. Scenario and modelling assessment of this stringent target consistently finds that all sectors need to contribute to emissions reductions. The UK residential sector accounts for around 30% of the total final energy use and more than one-quarter of CO₂ emissions. This paper focuses on modelling of the residential sector in a system wide energy–economy models (UK MARKAL) and key UK sectoral housing stock models. The UK residential energy demand and CO₂ emission from the both approaches are compared. In an energy system with 60% economy-wide CO₂ reductions, the residential sector plays a commensurate role. Energy systems analysis finds this reduction is primarily driven by energy systems interactions notably decarbonisation of the power sector combined with increased appliance efficiency. The stock models find alternate decarbonisation pathways based on assumptions related to the future building stock and behavioural changes. The paper concludes with a discussion on the assumptions and drivers of emission reductions in different models of the residential energy sector.     

Prediction of greenhouse gas reduction potential in Japanese residential sector by residential energy end-use model

A model is developed that simulates nationwide energy consumption of the residential sector by considering the diversity of household and building types. Since this model can simulate the energy consumption for each household and building category by dynamic energy use based on the schedule of the occupants’ activities and a heating and cooling load calculation model, various kinds of energy-saving policies can be evaluated with considerable accuracy. In addition, the average energy efficiency of major electric appliances used in the residential sector and the percentages of housing insulation levels of existing houses is predicted by the “stock transition model.” In this paper, energy consumption and CO₂ emissions in the Japanese residential sector until 2025 are predicted. For example, as a business – as-usual (BAU) case, CO₂ emissions will be reduced by 7% from the 1990 level. Also evaluated are mitigation measures such as the energy efficiency standard for home electric appliances, thermal insulation code, reduction of standby power, high-efficiency water heaters, energy-efficient behavior of occupants, and dissemination of photovoltaic panels.     

An energy development strategy for the USSR Minimizing greenhouse gas emissions

The second largest national consumer of commercial energy in the world, the USSR also emits large quantities of energy-related CO₂. This study uses four long-term scenarios of energy use and related emissions to investigate opportunities for reducing the USSR's greenhouse gas emissions over the next 30 years. This paper shows that if no measures are taken to control these emissions, CO₂ and methane will increase by 1.5 to 2 times the 1990 level by the year 2020. However, this growth can be restrained dramatically through structural changes in the Soviet economy, improved energy efficiency and interfuel substitutions. Abating emissions of carbon in the USSR would entail the widespread implementation of energy policies and, for more substantial reductions, higher investments from the Soviet economy. Achieving these goals would also require broad support from the international community.     

Electricity consumption and associated GHG emissions of the Jordanian industrial sector: Empirical analysis and future projection

In this paper, an empirical model is developed for electricity consumption of the Jordanian industrial sector based on multivariate linear regression to identify the main drivers behind electricity consumption. In addition, projection of electricity consumption for the industrial sector based on time series forecasting is presented. It was found that industrial production outputs and capacity utilization are the two most important variables that affect demand on electrical power and the multivariate linear regression model can be used adequately to simulate industrial electricity consumption with very high coefficient of determination. To illustrate the importance of integrating energy efficiency within national energy plans, the impact of implementing high-efficiency motors was investigated and found to be significant. Without such basic energy conservation and management programs, electricity consumption and associated GHG emissions for the industrial sector are predicted to rise by 63% in the year 2019. However, if these measures are implemented on a gradual basis, over the same period, electricity consumption and GHG emissions are forecasted to ascend at a lower rate with low/no cost actions.     

German and Norwegian policy approach to residential buildings’ energy efficiency—a comparative assessment

Buildings in private and domestic use are responsible for about 30% of the global greenhouse gas emissions attributable mainly to their need for heating and cooling energy. This corresponds to about 40% of the global final energy consumption. Therefore, a viable implementation of building energy efficiency policies is inevitable to realize a transformation of the energy system to mitigate climate change. Within the building sector lies a huge potential for emission reduction consisting in the renovation of the existing building stock and climate-friendly building guidelines applicable to new constructions, both adapting CO₂-neutral technology solutions. However, as there are several different pathways leading to a decarbonized energy system, there is always the question which political and technological solutions are most efficient, effective, and feasible. This paper aims to analyze building efficiency policy measures and instruments and the related technological solutions in two front-runner countries of the energy transition, possessing different structural conditions: Germany and Norway. We hence apply a comparative approach which allows us to present and assess the policies in place. The paper answers three research questions: (1) Which policies prevail in Germany and Norway to foster the deployment of energy efficient and decarbonized solutions for residential buildings? (2) How do these policies respond to country-specific barriers to the energy transition in the building sector, and (3) What effects do they have on the actual implementation of technological and societal solutions? This research provides a new insight to the highly relevant topic of energy efficiency in buildings in the context of international Intended Nationally Determined Contribution benchmarking and discusses some unsolved trade-offs in the translation of the global climate governance into the national building sector.     

Analysis and decomposition of energy consumption in the Chilean industry

With rising energy costs and climate change concerns, energy efficiency will be important in maintaining competitiveness and reducing the environmental impact of industrial activities. In this paper we study the Chilean industrial sector, which is the largest consumer of energy within the country. Energy demand and CO₂ emissions in Chile have grown rapidly in recent years while energy supply is mostly imported and subject to disruption. Therefore, it is important to understand energy consumption in this sector and determine which sub-sectors have the greatest potential to reduce energy consumption. We used the Index Decomposition Analysis (IDA), applying the Logarithmic Mean Divisia Index method I (LMDI-I), to quantify the impact of diverse driving factors on energy consumption. Furthermore, a panel data analysis was used to determine whether there are differences in energy intensity across firms with different characteristics. Our results show that energy intensity has risen over time although energy consumption remains stable. This fact supports the idea that energy efficiency policies could play an important role for the industrial sector. Additionally, energy consumption and energy intensity follow different patterns in each sub-sector; therefore we conclude that the application of differentiated sectoral policies is preferable over a single global policy.     

Model projections and policy reviews for energy saving in China's service sector

Energy efficiency of buildings in the service sector is becoming increasingly important in China due to the structural shift of the economy from industry to services. This paper employs a bottom-up cohort model to simulate current energy saving policies and to make projections for future energy use and CO₂ emissions for the period 2000–2030 in the Chinese service sector. The analysis shows that energy demand in the service sector will approximately triple in 2030, far beyond the target of quadrupling GDP while only doubling energy use. However, it is feasible to achieve the target of emission reduction by 40% in 2020 even under the poor state of compliance rate of building standard. This paper also highlights four crucial aspects of designing optimal energy saving policies for China's service sector based on the model results.     

Designing a climate change policy for the international maritime transport sector: Market-based measures and technological options for global and regional policy actions

The international maritime transport sector has a significant abatement potential and some technical improvements that reduce GHG emissions would already be profitable without any policy in place. This paper analyses in-depth the limits and opportunities of policy options currently under consideration at the international level to stimulate the sector to reduce its GHG emissions. In particular, in order for the maritime transport sector to become more environmentally friendly, the flexible nature of international market-based measures and the European Union Emission Trading Scheme provide a definite window of opportunity without placing unnecessary high burden on the sector. However, the development of a regional policy, such as at European level, for the international maritime transport sector faces several obstacles: allocation of emissions, carbon leakage, permit allocation, treatment of the great variety in ship type, size and usage, and transaction cost. Global market-based policies could overcome most of these challenges.     

Interactions and implications of renewable and climate change policy on UK energy scenarios

As a response to the twin challenges of climate change mitigation and energy security, the UK government has set a groundbreaking target of reducing the UK’s economy-wide carbon emissions by 80% from 1990 levels by 2050. A second key UK energy policy is to increase the share of final energy consumption from renewables sources to 15% by 2020, as part of the wider EU Renewable Directive. The UK’s principle mechanisms to meet this renewable target are the Renewable Obligation (RO) in the electricity sector, the Renewable Transport Fuel Obligation (RTFO), and most recently the Renewable Heat Programme (RHP) for buildings. This study quantifies a range of policies, energy pathways, and sectoral trade-offs when combining mid- and long-term UK renewables and CO₂ reduction policies. Stringent renewable policies are the binding constraints through 2020. Furthermore, the interactions between RO, RTFO, and RHP policies drive trade-offs between low carbon electricity, bio-fuels, high efficiency natural gas, and demand reductions as well as resulting 2020 welfare costs. In the longer term, CO₂ reduction constraints drive the costs and characteristics of the UK energy system through 2050.     

Modeling the CO2 emissions, energy use, and economic growth in Russia

This paper applies the co-integration technique and causality test to examine the dynamic relationships between pollutant emissions, energy use, and real output during the period between 1990 and 2007 for Russia. The empirical results show that in the long-run equilibrium, emissions appear to be energy use elastic and output inelastic. This elasticity suggests high energy use responsiveness to changes in emissions. The output exhibits a negative significant impact on emissions and does not support EKC hypothesis. These indicate that both economic growth and energy conservation policies can reduce emissions and no negative impact on economic development. The causality results indicate that there is a bidirectional strong Granger-causality running between output, energy use and emissions, and whenever a shock occurs in the system, each variable makes a short-run adjustment to restore the long-run equilibrium. The average speed of adjustment is as low as just over 0.26 years. Hence, in order to reduce emissions, the best environmental policy is to increase infrastructure investment to improve energy efficiency, and to step up energy conservation policies to reduce any unnecessary waste of energy. That is, energy conservation is expected to improve energy efficiency, thereby promoting economic growth.     

Road transport-related energy consumption: Analysis of driving factors in Tunisia

The rapid growth of urban population and the development of road infrastructures in Tunisian cities have brought about many environmental and economic problems, including the rise scored in energy consumption and the increase in the quantity of gas emissions arising from road transport. Despite the critical nature of such problems, no policies have yet been adopted to improve energy efficiency in the transport sector. This paper aims to determine driving factors of energy consumption change for the road mode. It uses decomposition analysis to discuss the effects of economic, demographic and urban factors on the evolution of transport energy consumption. The main result highlighted in the present work is that vehicle fuel intensity, vehicle intensity, GDP per capita, urbanized kilometers and national road network are found to be the main drivers of energy consumption change in the road transport sector during 1990–2006 period. Consequently, several strategies can be elaborated to reduce road transport energy. Economic, fiscal and regulatory instruments can be applied in order to make road transport more sustainable.