The relevance of carbon free production processes for carbon leakage and carbon border adjustment
Karl Steininger (),
Wolf Grossmann and
No 5482, EcoMod2013 from EcoMod
Climate policy arrangements of partial regional coverage, as they seem to emerge from the UNFCCC process, might lead to carbon leakage and hence a broad literature has developed to quantify global leakage rates. While most of these analyses, are confined to consider combustion emissions only, Bednar-Friedl et al. (2012b) have pointed out the particular relevance of process emissions for both leakage rates and effectiveness of border carbon adjustment. We use this expanded framework in considering both combustion and process emissions in a multi-sectoral multi-regional Computable General Equilibrium model and analyze the implications of carbon free processinnovations. As a medium-term alternative to border carbon adjustment, we find that such a technological switch, for example in the European steel industry towards low-carbon electrowinning, can effectively reduce global carbon leakage. For border carbon adjustment considerations this implies their setting including a phase-out, such that incentivesfor carbon free innovations are preserved. Note from admin: See full paper Note from admin: See full paper
Keywords: Note from admin: See full paper; Energy and environmental policy; General equilibrium modeling (CGE) (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-ene, nep-env and nep-res
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
http://ecomod.net/system/files/submission_ecomod_s ... s_electrowinning.pdf
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:ekd:004912:5482
Access Statistics for this paper
More papers in EcoMod2013 from EcoMod Contact information at EDIRC.
Bibliographic data for series maintained by Theresa Leary ().