Simulating emissions intensity targets with energy economic models: algorithm and application

Date

2015

Authors

Cai, Yiyong
Lu, Yingying
Stegman, Alison
Newth, David

Journal Title

Journal ISSN

Volume Title

Publisher

Kluwer Academic Publishers

Abstract

Pressure on developing economies to make quantifiable emissions reduction commitments has led to the introduction of intensity based emissions targets, where reductions in emissions are specified with reference to some measure of economic output. The Copenhagen commitments of China and India are two prominent examples. Intensity targets substantially increase the complexity of policy simulation and analysis, because a given emissions intensity target could be satisfied with a range of emissions and output combinations. Here, a simple algorithm, the Iterative Method, is proposed for an energy economic model to find a unique policy solution that achieves an emissions intensity target at minimum economic loss. We prove the mathematical properties of the algorithm, and compare its numerical performance with other methods’ in the existing literature.

Description

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Citation

Source

Annals of Operations Research

Type

Journal article

Book Title

Entity type

Access Statement

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Restricted until

2037-12-31