Reducing carbon emissions through improved household energy efficiency in the UK

A number of schemes to increase household energy efficiency have operated in the UK over the last 5–10 years. This paper evaluates their effectiveness in terms of reducing household energy use, carbon emissions and fuel poverty. It then draws on the quantitative results of these schemes, and published plans for their continuation, to model an extended and expanded Household Energy Efficiency Scenario to 2020, using an integrated economy–energy–environment model of the UK. The results suggest that while such schemes can play a significant role in reducing carbon emissions from households, much more ambitious schemes than those currently implemented will be necessary to offset the underlying growth in these emissions. Finally, the results are compared with the UK government's own estimates, in its Climate Change Programme, of carbon emission reductions from such schemes to 2010. The paper concludes that the government's estimates are somewhat optimistic, and that it will need substantial new policy measures beyond those already announced if its carbon reduction targets in this area are to be met. Copyright © 2002 John Wiley & Sons, Ltd.     

Measuring agricultural sustainability in terms of efficiency: the case of Dutch sugar beet growers

Sustainability embraces socio-economic and bio-ecological dimensions or attributes. This paper presents a conceptual framework for quantifying sustainability on the basis of efficiency theory commonly used in economics. The conceptual model is implemented using Data Envelopment Analysis (DEA). Sustainability is measured for a sample of Dutch sugar beet growers. The average technical efficiency was only 50%. A positive correlation was found between technical efficiency and sustainable efficiency. Differences in efficiency among farmers were persistent within and between years. We conclude that there is considerable scope for improving the sustainability of arable farming by better management.     

Estimating the value of improved wastewater treatment: The case of River Ganga,India

In this paper we employ a stated preference environmental valuation technique, namely the choice experiment method, to estimate local public’s willingness to pay (WTP) for improvements in the capacity and technology of a sewage treatment plant (STP) in Chandernagore municipality, located on the banks of the River Ganga in India. A pilot choice experiment study is administered to 150 randomly selected Chandernagore residents and the data are analysed using the conditional logit model with interactions. The results reveal that residents of this municipality are willing to pay significant amounts in terms of higher monthly municipality taxes to ensure the full capacity of the STP is used for primary treatment and the technology is upgraded to enable secondary treatment. Overall, the results reported in this paper support increased investments to improve the capacity and technology of STPs to reduce water pollution, and hence environmental and health risks that are currently threatening the sustainability of the economic, cultural and religious values this sacred river generates.     

Environmental regulation, productive efficiency and cost of pollution abatement: a case study of the sugar industry in India

In this paper the input distance function is estimated for the Indian Sugar industry under alternative assumptions of weak and strong disposability of bad outputs. The estimated distance function is used to make the estimates of environmental efficiency, Malmquist productivity index and shadow prices of pollutants. The technical efficiency measure estimated under the assumption of weak disposability of bad outputs is utilized to test the Porter hypothesis. Marginal costs of pollution abatement functions are estimated for different pollutants of water. Pollutant specific taxes are computed using the tax-standards method.     

Renewable energy programmes in India

Efforts towards the development and deployment of technologies based on renewable energy sources in India are described. A brief review of renewable energy programmes with an emphasis on the specific strengths of the different programmes in the context of India's renewable energy programme is presented. Renewable energy systems which appear to have a significant role to play in the sustainable energy programme of India are identified and their implementation discussed .     

Renewable energy programmes in India

There is increasing optimism regarding the possible role that renewable energy technologies can play in the coming decade in the energy sector in India. Some recent developments and trends within the renewable energy sector that are responsible for this optimism, and the likely investments of the order of US$1210 million in the next four to five years, are discussed. The paper includes discussion of the recent changes in the implementing institutions, innovation in financing renewable technology investments, and a shift from financial to fiscal incentives. In addition, wind power generation, small hydro, photovoltaic and gasifier programmes are analysed in some detail.     

Re-evaluating energy efficiency in China

Energy efficiency is a sensible scheme for saving money, conserving natural resources and reducing CO2 emissions. However, incentives for energy conservation vary greatly between different nations. Energy prices are the key to energy conservation, many observers argue. This paper focuses on one of the world's most rapidly developing energy consumers -- China -- and contemplates the current and future impact of energy prices on China's energy-efficient behaviour.     

Making a stronger case for industrial energy efficiency by quantifying non-energy benefits

This paper describes a more compelling case for industry to promote the non-energy benefits of energy efficiency investments. We do this in two ways to actively appeal to chief executive officers (CEOs) and chief financial officers (CFOs) primary responsibility: to enhance shareholder value. First, we describe the use of a project-by-project corporate financial analysis approach to quantify a broader range of productivity benefits that stem from investments in energy-efficient technologies, including waste reduction and pollution prevention. Second, and perhaps just as important, we present such information in corporate financial terms. These standard, widely-accepted analysis procedures are more credible to industry than the economic modeling done in the past because they are structured in the same way corporate financial analysts perform discounted cashflow investment analyses on individual projects. Case studies including such financial analyses, which quantify both energy and non-energy benefits from investments in energy-efficient technologies, are presented. Experience shows that energy efficiency projects’ non-energy benefits often exceed the value of energy savings, so energy savings should be viewed more correctly as part of the total benefits, rather than the focus of the results. Quantifying the total benefits of energy efficiency projects helps companies understand the financial opportunities of investments in energy-efficient technologies. Making a case for investing in energy-efficient technologies based on energy savings alone has not always proven successful. Evidence suggests, however, that industrial decision makers will understand energy efficiency investments as part of a broader set of parameters that affect company productivity and profitability.     

The contribution of energy efficiency to sustainable development in developing countries

The demand for energy services is growing rapidly in developing countries. Low levels of energy efficiency in electric power supply and in energy use mean that the energy sector threatens to absorb an intolerably high share of available financial resources. Energy inefficiency also contributes to local and global environmental problems. A strategy of vigorously improving energy efficiency is thus a key element of a sustainable development path. Results reported in this paper show that there is considerable room for efficiency improvement in both existing and new capital stocks, but a much larger effort than presently underway is essential if the potential is to be realized. Assistance from the industrialized countries can play a major role in such an effort.     

Challenges to liberalism: The case of Australian energy policy

This paper considers liberal and nationalist economic policy approaches to the ownership and development of Australian energy resources (oil, gas, coal and uranium). In the two decades prior to 1983, Australia pursued economic policies in relation to its energy resources which could broadly be described as ‘nationalist’. Governments of the day intervened in development decisions in an effort to enhance the ‘national interest’. From 1983, along with the deregulation of the Australian economy as a whole, policy relating to energy resources was liberalised. Development of energy reserves henceforth occurred according to the dictates of the market. This paper argues that recent Australian energy policy initiatives reflect an increase in nationalist influences and a retreat from the liberalisation agenda that dominated energy policy making in the 1980s and 1990s. Three examples are discussed where policy has been influenced by a nationalist framework: (1) the domestic gas reservation policy in Western Australia; (2) Australian government efforts to promote a ‘value adding’ nuclear processing industry and (3) Australian Labor Party policy giving preferential financial incentives for gas to liquids projects. The re-emergence of nationalism in Australia is occurring either because policy makers now favour it as a path to energy security or in some cases because they believe that appeals to nationalism will generate political support.     

Deregulation of petroleum product prices: the case of India

Deregulation of petroleum product prices has been considered for quite some time in India. Such a policy is compatible with the idea of a liberalized economy and reduced government intervention. However, little progress has been made so far, due to various issues that loom over the deregulation process. This paper analyses issues related to deregulation of petroleum product prices, clarifies certain conceptions or misconceptions, and studies the options available for a deregulated price environment. It is argued that the equity and environmental effects of kerosene use need to be borne in mind, and a simple cross-subsidy system to this effect is proposed. For all other products, a deregulated system with some safeguards may be feasible. The success of any such attempt, however, needs some institutional rearrangements.     

The impact of the electricity tariff reform on renewable energies and energy efficiency investments: The case of the Italian residential market

This article investigates the impact that the electricity tariff reform is likely to have on investments in renewable energies (i.e., photovoltaics) and the adoption of energy efficiency measures (i.e., installation of heat pumps and efficient home appliances) in the residential market in Italy. The study develops detailed cost comparisons and simulations considering two different investment scenarios (before and after the reform) to conclude that the reform will: (i) have a negative impact on investments in photovoltaic systems; (ii) favor the adoption of energy efficiency measures, such as efficient home appliances.     

Market power and cost efficiency: the case of the US aluminum industry

The purpose of this paper is to construct and empirically test a model designed to determine the link between market concentration and price with separate effects of market-power and cost-efficiency in change of industrial concentration. The analysis is conducted within the context of a single oligopoly, specifically, the US primary aluminum industry. Using time-series data, the model indicates that both market-power and cost-efficiency effects are significant resulting in unwavering prices despite diminishing market concentration in the industry throughout the sample period.     

Spatial cost efficiency in waste paper handling: the case of corrugated board in Sweden

This paper analyzes the spatial cost efficiency of the Swedish legislation regarding waste disposal handling. We focus on the case of corrugated board and recognize that the different counties in Sweden possess different economic prerequisites in terms of waste paper recovery and utilization potential. We employ data for six corrugated board mills and 20 counties and a non-linear programming model to identify the least cost strategy for reaching the politically specified recycling target of a 65% recovery rate for corrugated board. That is, the total costs of recovering a minimum of 65% in each county are calculated and compared with the case when the country as a whole recovers 65% of all old corrugated board is collected but there exist no uniform target for each county. The conclusion is that from an efficiency point of view the recovery efforts should be concentrated to the highly populated and urbanized counties, and not be uniformly divided throughout the country. In the base case, the results suggest that the cost efficient county-specific recovery rates should range from 51 to 72%.     

Managing carbon emissions in China through building energy efficiency

This paper attempts to analyse the role of building energy efficiency (BEE) in China in addressing climate change mitigation. It provides an analysis of the current situation and future prospects for the adoption of BEE technologies in Chinese cities. It outlines the economic and institutional barriers to large-scale deployment of the sustainable, low-carbon, and even carbon-free construction techniques. Based on a comprehensive overview of energy demand characteristics and development trends driven by economic and demographic growth, different policy tools for cost-effective CO₂ emission reduction in the Chinese construction sector are described. We propose a comprehensive approach combining building design and construction, and the urban planning and building material industries, in order to drastically improve BEE during this period of rapid urban development. A coherent institutional framework needs to be established to ensure the implementation of efficiency policies. Regulatory and incentive options should be integrated into the policy portfolios of BEE to minimise the efficiency gap and to realise sizeable carbon emissions cuts in the next decades. We analyse in detail several policies and instruments, and formulate relevant policy proposals fostering low-carbon construction technology in China. Specifically, Our analysis shows that improving building energy efficiency can generate considerable carbon emissions reduction credits with competitive price under the CDM framework.     

Disruption to place attachment and the protection of restorative environments: A wind energy case study

Deepening understanding of public responses to large-scale renewable energy projects is of academic and practical importance, given policies to lessen fossil fuel use in many countries. Although the NIMBY (Not In My Back Yard) concept is commonly used to explain public opposition, the concept has been extensively critiqued. This study applies an alternative approach based upon the notion of disruption to place attachment, and the theory of social representations, with a focus upon the symbolic meanings associated with a proposed project and the places affected by it. Empirical data is provided from a case study of a proposed 750 MW offshore wind farm in North Wales, using group discussions and questionnaires distributed to local residents in two coastal towns (n = 488). Results indicate significant differences between each town's residents in their responses to the project, and how opposition arises from nature/industry symbolic contradictions: between a place represented in terms of scenic beauty that provides a restorative environment for residents and visitors, and a wind farm that will industrialise the area and ‘fence’ in the bay. In one of the towns, the data suggests that contradiction between project and place was experienced as a threat to identity for those with strong place attachment, leading to negative attitudes and oppositional behaviour. Levels of trust in key actors moderated the relation between place attachment and negative attitudes to the wind farm. The results provide further evidence of the role of place attachment in shaping so-called ‘NIMBY’ responses to development proposals, and challenge the assumption that offshore wind farms will prove less controversial than those onshore.