Linking climate policy across economic sectors: A case for green growth in Nepal

While the energy sector is the largest global contributor to greenhouse gas (GHG) emissions, the agriculture, forestry, and other land use (AFOLU) sector account for up to 80% of GHG emissions in the least developed countries (LDCs). Despite this, the nationally determined contributions (NDCs) of LDCs, including Nepal, focus primarily on climate mitigation in the energy sector. This paper introduces green growth—a way to foster economic growth while ensuring access to resources and environmental services—as an approach to improving climate policy coherence across sectors. Using Nepal as a case country, this study models the anticipated changes in resource use and GHG emissions between 2015 and 2030, that would result from implementing climate mitigation actions in Nepal's NDC. The model uses four different scenarios. They link NDC and policies across economic sectors and offer policy insights regarding (1) energy losses that could cost up to 10% of gross domestic product (GDP) by 2030, (2) protection of forest resources by reducing the use of biomass fuels from 465 million gigajoules (GJ) in 2015 to 195 million GJ in 2030, and (3) a significant reduction in GHG emissions by 2030 relative to the business-as-usual (BAU) case by greater use of electricity from hydropower rather than biomass. These policy insights are significant for Nepal and other LDCs as they seek an energy transition towards using more renewable energy and electricity.     

Bulgaria Country Study to address climate change mitigation

Future developments of the Bulgarian economy, energy demand, energy supply, and greenhouse gas (GHG) emissions are projected and evaluated for baseline and mitigation scenarios. Different methods and approaches are used at different stages of the study with a tendency to incorporate them in a single integrated resource planning tool such as the MARKAL-MACRO model. The results obtained indicate that the aim of Framework Convention of Climate Change to have year 2000 GHG emissions below the base year 1988 emissions will be achieved without further mitigation steps. Reducing the expected increase of GHG emissions in the decade 2000 to 2010 requires a package of mitigation measures to be implemented in the next few years.

     

Estimating the potential of greenhouse gas mitigation in Kazakhstan

As part of the studies related to the obligations of the UN Framework Convention on Climate Change, the Republic of Kazakhstan started activities to inventory greenhouse gas (GHG) emissions and assess of GHG mitigation options. The objective of this paper is to present an estimate of the possibility of mitigating GHG emissions and determine the mitigation priorities. It presents a compilation of the possible options and their assessment in terms of major criteria and implementation feasibility. Taking into account the structure of GHG emissions in Kazakhstan in 1990, preliminary estimates of the potential for mitigation are presented for eight options for the energy sector and agriculture and forestry sector. The reference scenario prepared by expert assessments assumes a reduction of CO₂ emissions in 1996–1998 by about 26% from the 1990 level due to general economic decline, but then emissions increase. It is estimated that the total potential for the mitigation of CO₂ emissions for the year 2000 is 3% of the CO₂ emissions in the reference scenario. The annual reduction in methane emissions due to the estimated options can amount to 5%–6% of the 1990 level.

     

Transaction costs and the clean development mechanism

The emissions trading provisions of the Kyoto Protocol and its clean development mechanism (CDM) are designed to permit greenhouse gas (GHG) emission reductions at the lowest cost globally. However, to ensure climate integrity, these reductions must pass through vigilant approval, monitoring and evaluation procedures that create additional transaction costs unrelated to the physical process of eliminating GHGs. Moreover, the CDM's additionality criterion creates constraints that magnify the influence of these transaction costs on project viability. If these costs are extreme, they could undermine the success of the CDM, and possibly of the Kyoto Protocol itself. This article describes the trading provisions of the treaty, creates a working definition of transaction costs, and discusses their effects. It then analyzes the process of creating a CDM project to identify the sources of transaction costs, illustrated by an example of a fuel substitution project in Ghana. The conditions for project profitability are analyzed and compared with recent GHG emission credit prices in Europe. The specific Ghanaian results are not generalizable to all CDM projects, but the model does suggest a template that can be used to analyze the effects of project and transaction costs in other contexts.     

Mitigation paths for Chinese iron and steel industry to tackle global climate change

Based on a recognition of the essence of climate change and the pressure on China to reduce its greenhouse gas (GHG) emissions, this paper interprets the important role that the Chinese iron and steel industry may play in managing emissions. Through an investigation of the key sources of GHG emissions in the Chinese iron and steel industry, a comparison of the current Chinese and international situations, and a survey of the technology and methods available for reducing GHG emissions, and their application in China, the authors analyze the major issues currently faced by the Chinese iron and steel industry, and propose the following four approaches through which the industry might reduce its GHG emissions: (1) encouragement of clean development mechanism (CDM) projects, mainly involving secondary energy reuse, to provide capital and technology for GHG reduction activities in China; (2) stimulation of the social responsibility-based voluntary carbon market (VCM) to increase the long-term benefits for the Chinese iron and steel industry from emission reductions; (3) undertaking of strict energy auditing to help enterprises establish appropriate emission reduction targets and formulate reasonable plans; (4) promotion of emission reduction-oriented investment within the industry to obtain profits from project operation, while at the same time gaining extra compensation for emission reductions. More specifically, the design of each of these approaches should take into consideration the related economic factors and incentive mechanisms.     

Economic cost of mineral supply disruptions: Effects on a small, open economy

The potential impact of short-run disruptions in the minerals market on Israel's small, developed open economy is examined, showing that Israel is potentially capable of a smoother adjustment to external market disturbances. First, the analysis evaluates critical situations within the framework of a normative ‘general equilibrium model’, tracing the impacts of short-run developments in the resources market, and, second, it focuses on specific minerals within a partial equilibrium framework, using economic supply - demand relationships to assess economic damages. The potential damage estimates indicate that significant research and development outlays in the areas of material and process substitution and the capability for a quick build-up of contingent inventories would be justified to prevent the damages which supply disruption might inflict on the economy.     

Analysis of energy security and sustainability in future low carbon scenarios for Brazil

This study estimated a series of indicators to assess the energy security of supply and global and local environmental impacts under different mitigation scenarios through 2050 in Brazil, designed with the integrated optimization energy system model MESSAGE‐BRAZIL. The assessment of interactions between environmental impacts and energy security dimensions was complemented through the application of life cycle assessment (LCA) methodology. Overall results imply energy security establishes more synergies than trade‐offs in increasingly stringent mitigation scenarios, especially patent within the sustainability dimension, which increases energy security and provides additional benefits regarding climate change mitigation and air pollution emissions. It is still necessary to extend analysis to other energy sectors in addition to the power supply sector and to promote a better understanding of repercussions of energy scenario expansion in energy security.     

Two-stage vertex analysis method for planning electric power systems with greenhouse gas abatement consideration

This study presents a two-stage vertex analysis (TSVA) method for the planning of electric power systems (EPS) under uncertainty. TSVA has advantages in comparison to other optimization techniques. Firstly, TSVA can incorporate greenhouse gas (GHG) abatement policies directly into its optimization process, and, secondly, it can readily integrate inherent system uncertainties expressed as fuzzy sets and probability distributions directly into its modeling formulation and solution procedure. The TSVA method is applied to a case study of planning EPS and it is demonstrated how the TSVA efficiently identify optimal electricity-generation schemes that could help to minimize system cost under different GHG-abatement considerations. Different combinative considerations on the uncertain inputs lead to varied system costs and GHG emissions. Results reveal that the total electricity supply will rise up along with the time period due to the increasing demand and, at the same time, more non-fossil fuels should be used to satisfy the increasing requirement for GHG mitigation. Moreover, uncertainties in connection with complexities in terms of information quality (e.g., capacity, efficiency, and demand) result in changed electricity-generation patterns, GHG-abatement amounts, as well as system costs. Minimax regret (MMR) analysis technique is employed to identify desired alternative that reflects compromises between system cost and system-failure risk.     

Potential contribution of the forestry sector in Bangladesh to carbon sequestration

The Kyoto Protocol provides for the involvement of developing countries in an atmospheric greenhouse gas reduction regime under its Clean Development Mechanism (CDM). Carbon credits are gained from reforestation and afforestation activities in developing countries. Bangladesh, a densely populated tropical country in South Asia, has a huge degraded forestland which can be reforested by CDM projects. To realize the potential of the forestry sector in developing countries for full-scale emission mitigation, the carbon sequestration potential of different species in different types of plantations should be integrated with the carbon trading system under the CDM of the Kyoto Protocol. This paper discusses the prospects and problems of carbon trading in Bangladesh, in relation to the CDM, in the context of global warming and the potential associated consequences. The paper analyzes the effects of reforestation projects on carbon sequestration in Bangladesh, in general, and in the hilly Chittagong region, in particular, and concludes by demonstrating the carbon trading opportunities. Results showed that tree tissue in the forests of Bangladesh stored 92tons of carbon per hectare (tC/ha), on average. The results also revealed a gross stock of 190tC/ha in the plantations of 13 tree species, ranging in age from 6 to 23 years. The paper confirms the huge atmospheric CO(2) offset by the forests if the degraded forestlands are reforested by CDM projects, indicating the potential of Bangladesh to participate in carbon trading for both its economic and environmental benefit. Within the forestry sector itself, some constraints are identified; nevertheless, the results of the study can expedite policy decisions regarding Bangladesh's participation in carbon trading through the CDM.     

Greenhouse gas mitigation options in the Forest sector of Russia: National and project level assessments

Greenhouse gas (GHG) mitigation options in the Russian forest sector include: afforestation and reforestation of unforested/degraded land area; enhanced forest productivity; incorporation of nondestructive methods of wood harvesting in the forest industry; establishment of land protective forest stands; increase in stand age of final harvest in the European part of Russia; increased fire control; increased disease and pest control; and preservation of old growth forests in the Russian Far-East, which are presently threatened. Considering the implementation of all of the options presented, the GHG mitigation potential within the forest and agroforestry sectors of Russia is approximately 0.6–0.7 Pg C/yr or one half of the industrial carbon emissions of the United States. The difference between the GHG mitigation potential and the actual level of GHGs mitigated in the Russian forest sector will depend to a great degree on external financing that may be available. One possibility for external financing is through joint implementation (JI). However, under the JI process, each project will be evaluated by considering a number of criteria including also the difference between the carbon emissions or sequestration for the baseline (or reference) and the project case, the permanence of the project, and leakage. Consequently, a project level assessment must appreciate the near-term constraints that will face practitioners who attempt to realize the GHG mitigation potential in the forest and agroforestry sectors of their countries.     

Greenhouse gas mitigation options in the Forest sector of Russia: National and project level assessments

Greenhouse gas (GHG) mitigation options in the Russian forest sector include: afforestation and reforestation of unforested/degraded land area; enhanced forest productivity; incorporation of nondestructive methods of wood harvesting in the forest industry; establishment of land protective forest stands; increase in stand age of final harvest in the European part of Russia; increased fire control; increased disease and pest control; and preservation of old growth forests in the Russian Far-East, which are presently threatened. Considering the implementation of all of the options presented, the GHG mitigation potential within the forest and agroforestry sectors of Russia is approximately 0.6–0.7 Pg C/yr or one half of the industrial carbon emissions of the United States. The difference between the GHG mitigation potential and the actual level of GHGs mitigated in the Russian forest sector will depend to a great degree on external financing that may be available. One possibility for external financing is through joint implementation (JI). However, under the JI process, each project will be evaluated by considering a number of criteria including also the difference between the carbon emissions or sequestration for the baseline (or reference) and the project case, the permanence of the project, and leakage. Consequently, a project level assessment must appreciate the near-term constraints that will face practitioners who attempt to realize the GHG mitigation potential in the forest and agroforestry sectors of their countries.

     

The Potential Role for Management of U.S. Public Lands in Greenhouse Gas Mitigation and Climate Policy

Management of forests, rangelands, and wetlands on public lands, including the restoration of degraded lands, has the potential to increase carbon sequestration or reduce greenhouse gas (GHG) emissions beyond what is occurring today. In this paper we discuss several policy options for increasing GHG mitigation on public lands. These range from an extension of current policy by generating supplemental mitigation on public lands in an effort to meet national emissions reduction goals, to full participation in an offsets market by allowing GHG mitigation on public lands to be sold as offsets either by the overseeing agency or by private contractors. To help place these policy options in context, we briefly review the literature on GHG mitigation and public lands to examine the potential for enhanced mitigation on federal and state public lands in the United States. This potential will be tempered by consideration of the tradeoffs with other uses of public lands, the needs for climate change adaptation, and the effects on other ecosystem services.     

Energy Use and Sulphur Dioxide Emissions in Asia

This paper presents a review of energy use in 22 selected countries of Asia and estimates the anthropogenic emission of sulphur dioxide (SO₂) for the selected countries, both at national and disaggregated sub-country regional levels. The paper also makes a comparative assessment of the Asian countries in terms of SO₂emission intensity (i.e. emission per GDP), emission per capita and emission density (i.e. emission per unit area). Total SO₂emission in the region was estimated to be about 38 million tons in 1990. Five countries, China, India, South Korea, Japan and Thailand, accounted for over 91% of the regional SO₂emission. Coal use had the dominant share (81%) of the total emission from the region. Among the economic sectors, industry contributed the largest share (49%) to the total emissions of the selected countries as a whole, followed by the power sector (30%). These findings suggest the need for mitigation strategies focussed on the industry and power sectors of the major emitting countries in Asia.     

Consistent assessments of pathways toward sustainable development and climate stabilization

Many of the numerous difficult issues facing the world today involve relationships entailing trade‐offs and synergies. This study quantitatively assesses some alternative scenarios using integrated assessment models, and provides several indicators relating to sustainable development and climate change, such as indicators of income (per capita GDP), poverty, water stress, food access, sustainable energy use, energy security, and ocean acidification, with high consistencies among the indicators within a scenario. According to the analyses, economic growth helps improve many of the indicators for sustainable development. On the other hand, climate change will induce some severe impacts such as ocean acidification under a non‐climate intervention scenario (baseline scenario). Deep emission reductions, such as to 2°C above the pre‐industrial level, could cause some sustainable development indicators to worsen. There are complex trade‐offs between climate change mitigation levels and several sustainable development indicators. A delicately balanced approach to economic growth will be necessary for sustainable development and responses to climate change.     

The environmental life cycle assessment of agricultural sector in Thailand: EIO‐LCA approach

Agriculture is one of the major sectors in Thailand, with more than half of the population employed in agriculture‐related occupations. This study evaluated energy consumption and greenhouse gas (GHG) emissions of the Thai agricultural sector by applying the economic input–output life cycle assessment (EIO‐LCA) approach. The model evaluates the entire agricultural sector supply chain. Based on one million Thai baht (approximately $27,800 U.S. dollars) final demand of the rice paddy sector, the carbon dioxide (CO₂) emissions from the electricity sector are responsible for 27% (1,246 kilograms [kg] CO₂) of the total CO₂ emissions, whereas the emissions from paddy activities associated with the fertilizers and pesticides sector account for 16% (760 kg CO₂) and 11% (513 kg CO₂), respectively. The top three largest GHG emissions from the total agricultural sector supply chain are associated with the oil palm, the coffee and tea, and the fruit sectors. The government should promote and encourage sustainable agriculture by reducing the use of fertilizers and pesticides and by utilizing energy‐saving technologies.     

Policy,Institutional and Market Barriers to the Implementation of Clean Development Mechanisms (CDM) in China

China is the second largest emitter of greenhouse gases (GHG) in the world, with potentially about two thirds of total Certified Emission Reductions (CERs) for Asia on the world carbon market (). Since 68% of its primary energy is from coal, China's average energy intensity is 7.5 times higher than the EU and 4.3 times higher than the US (EU, 2003 The European Union on-line. (2003). (http://europa.eu.int/index_ns_en.htm accessed Oct 2003  [Google Scholar]). Therefore, introducing advanced clean technologies and management to China represents opportunities for Annex I countries to obtain low-cost CERs through CDM projects, and access to one of the largest potential energy conservation markets in the world.

CDM can provide a win-win solution for both China and Annex I countries, and the Chinese government considers that the introduction of CDM projects can bring advanced energy technologies and foreign investment to China, thereby helping China's sustainable economy and generating CERs. As energy efficiency is generally low and carbon intensity is high in both China's energy supply and demand sectors, numerous options exist for cost-effective energy conservation and GHG mitigation with CDM.

This paper reviews current Chinese policies and administrative and institutional settings for CDM cooperation, and discusses existing policy, institutional and other barriers in the energy market by drawing on observations and experience from previous initiatives such as Cleaner Production and energy efficiency. Some options to remove these barriers are addressed. In order to make CDM projects feasible, China's government needs to promote awareness, streamline administrative systems, and be more active in building a competitive edge in the world carbon market.     

环境政策评估：一个宏观经济分析框架的综述

环境动态随机一般均衡（E-DSGE）模型以其良好的扩展性和预测性逐渐被环境宏观经济学者接纳。环境因素的引入包括经济系统对环境系统的作用、环境系统的演化过程、环境系统对经济系统的反作用等方式。E-DSGE模型中的不确定性冲击包括经济不确定性冲击、政策不确定性冲击和环境不确定性冲击。E-DSGE模型中环境政策的讨论重点包括环境税、限额与交易、强度管制等。多重环境政策的组合效应、环境影响的国际传导以及环境政策与宏观经济政策的融合等是E-DSGE模型研究的重要前沿课题。加强新凯恩斯框架下E-DSGE模型的构建与应用,加强跨流域和跨界的环境问题、水的问题、碳的问题等研究是下一阶段E-DSGE建模的重点。     

Alternative energy balances for Bulgaria to mitigate climate change

Alternative energy balances aimed to mitigate greenhouse gas (GHG) emissions are developed as alternatives to the baseline energy balance. The section of mitigation options is based on the results of the GHG emission inventory for the 1987–1992 period. The energy sector is the main contributor to the total CO₂ emissions of Bulgaria. Stationary combustion for heat and electricity production as well as direct end-use combustion amounts to 80% of the total emissions. The parts of the energy network that could have the biggest influence on GHG emission reduction are identified. The potential effects of the following mitigation measures are discussed: rehabilitation of the combustion facilities currently in operation; repowering to natural gas; reduction of losses in thermal and electrical transmission and distribution networks; penetration of new combustion technologies; tariff structure improvement; renewable sources for electricity and heat production; wasteheat utilization; and supply of households with natural gas to substitute for electricity in space heating and cooking. The total available and the achievable potentials are estimated and the implementation barriers are discussed.

     

Making cities resilient to climate change: identifying “win–win” interventions

Urbanisation is truly a global phenomenon. Starting at 39% in 1980, the urbanisation level rose to 52% in 2011. Ongoing rapid urbanisation has led to increase in urban greenhouse gas (GHG) emissions. Urban climate change risks have also increased with increase in climate-induced extreme weather events and more low-income urban dwellers living in climate sensitive locations. Despite increased emissions, including GHGs and heightened climate change vulnerability, climate mitigation and adaptation actions are rare in the cities of developing countries. Cities are overwhelmed with worsening congestion, air pollution, crime, waste management, and unemployment problems. Lack of resources and capacity constraints are other factors that discourage cities from embarking on climate change mitigation and adaptation pathways. Given the multitude of problems faced, there is simply no appetite for stand-alone urban climate change mitigation and adaptation policies and programmes. Urban mitigation and adaptation goals will have to be achieved as co-benefits of interventions targeted at solving pressing urban problems and challenges. The paper identifies administratively simple urban interventions that can help cities solve some of their pressing service delivery and urban environmental problems, while simultaneously mitigating rising urban GHG emissions and vulnerability to climate change.     

Strategic Environmental Assessment of Greenhouse Gas Mitigation Options in the Canadian Agricultural Sector

This article presents a methodological framework for strategic environmental assessment (SEA) application. The overall objective is to demonstrate SEA as a systematic and structured policy, plan, and program (PPP) decision support tool. In order to accomplish this objective, a stakeholder-based SEA application to greenhouse gas (GHG) mitigation policy options in Canadian agriculture is presented. Using a mail-out impact assessment exercise, agricultural producers and nonproducers from across the Canadian prairie region were asked to evaluate five competing GHG mitigation options against 13 valued environmental components (VECs). Data were analyzed using multi-criteria and exploratory analytical techniques. The results suggest considerable variation in perceived impacts and GHG mitigation policy preferences, suggesting that a blanket policy approach to GHG mitigation will create gainers and losers based on soil type and associate cropping and on-farm management practices. It is possible to identify a series of regional greenhouse gas mitigation programs that are robust, socially meaningful, and operationally relevant to both agricultural producers and policy decision makers. The assessment demonstrates the ability of SEA to address, in an operational sense, environmental problems that are characterized by conflicting interests and competing objectives and alternatives. A structured and systematic SEA methodology provides the necessary decision support framework for the consideration of impacts, and allows for PPPs to be assessed based on a much broader set of properties, objectives, criteria, and constraints whereas maintaining rigor and accountability in the assessment process.