Results 1 - 10 of 773
Results 1 - 10 of 773. Search took: 0.019 seconds
|Sort by: date | relevance|
[en] Clean energy technologies that cost more than fossil fuel technologies require support through research and development (R&D). Learning-by-doing relates historical cost decreases to accumulation of experience. A learning investment is the amount of subsidy that is required to reach cost parity between a new technology and a conventional technology. We use learning investments to compare the relative impacts of two stylized types of R&D. We define curve-following R&D to be R&D that lowers costs by producing knowledge that would have otherwise been gained through learning-by-doing. We define curve-shifting R&D to be R&D that lowers costs by producing innovations that would not have occurred through learning-by-doing. We show that if an equal investment in curve-following or curve-shifting R&D would produce the same reduction in cost, the curve-shifting R&D would be more effective at reducing the learning investment needed to make the technology competitive. The relative benefit of curve-shifting over curve-following R&D is greater with a high starting cost and low learning rate. Our analysis suggests that, other things equal, investments in curve-shifting R&D have large benefits relative to curve-following R&D. In setting research policy, governments should consider the greater benefits of cost reductions brought about by transformational rather than incremental change. - Highlights: • A stylized analysis of two types of R&D investment provided. • Other things equal, curve-shifting R&D is more effective than curve-following R&D. • Governments should consider the benefits of transformational change in setting research priorities.
[en] While the potential adverse effects of fossil fuel subsidy reform are well documented for households, the literature has largely ignored the effect of subsidy reform on firms’ competitiveness. This paper discusses how firms are affected by, and respond to, energy price increases caused by subsidy reforms. It highlights that cost increases (both direct and indirect) do not necessarily reflect competitiveness losses, since firms have various ways to mitigate and pass on price shocks. This paper presents and discusses direct and indirect transmission channels for price shocks, and firms’ response measures: absorbing cost shocks into profits, inter-fuel substitution, increasing energy and material efficiency, and passing on price increases. It argues that further micro-econometric studies using enterprise surveys are essential for quantifying the role of these mechanisms, and for designing policy measures that ensure that competitiveness losses due to subsidy reforms are minimised. - Highlights: • Concerns about competitiveness can be a key political obstacle to subsidy reform. • Net impacts are determined by (in-)direct price shocks, and four response measures. • Policy makers need to understand impacts on firms to design effective reforms. • Enterprise surveys are key for understanding and quantifying impacts on firms.
[en] This study offers Organization of Petroleum Exporting Countries (OPEC) member nations a crude oil pricing currency basket based on currency liquidity, in contrast with prior emphasis on OPEC trading patterns. Motivating the search for an alternative US dollar pricing of crude oil is the significant and inverse relationship (r=-0.82, p<0.01) between the US dollar major currencies index and crude oil price over the period January 1999-March 2009. A dynamically weighted petro-dollar currency basket is proposed based on the five currency claims (US dollar, Euro, British pound, Japanese yen and Swiss franc) and their varying proportions of foreign exchange reserves held by central banks. The major currencies US dollar index is compared against the proposed petro-dollar index to reveal an average US$8.1 billion annual gain in favor of the petro-dollar currency basket, offering OPEC members a revenue stream of diversified and highly liquid currencies to transition away from complete dependence on the US dollar crude oil pricing. The proposed petro-dollar crude oil pricing schema offers OPEC a crude oil price dynamically denominated in currencies reflecting the global use and importance of crude oil. This paper concludes with implementation issues facing a move toward the dynamically weighted petro-dollar crude oil pricing schema.
[en] Current US policies have failed to significantly reduce the country's enormous gasoline consumption. A new multipronged approach comprising a gasoline tax, attribute based CAFE standards, and other supplementary initiatives such as alternative fuels and public transit is required. In combination, these policies can achieve a far greater reduction in gasoline consumption than any one could alone. Only through such a broad range of policies can serious headway be made to reduce the current overdependence. (Author)
[en] William Hogan introduced financial transmission rights as a tool to hedge the locational risk inherent in locational marginal prices. FTRs are claimed to serve four main purposes: (1) provide a hedge for nodal price differences, (2) provide revenue sufficiency for contracts for differences, (3) distribute the merchandizing surplus an RTO accrues in market operations, and (4) provide a price signal for transmission and generation developers. This paper examines the hedging and redistributional properties of FTRs. It argues that FTR allocation has important distributional impacts and related implications for retail rates. This observation adds an additional explanation for rate increases in light of decreased production costs due to restructuring. This paper also shows that RTO practices have important implications for the hedging characteristics of FTRs. It further shows, via counterexample, that, even in theory, FTRs may not serve as a perfect hedge against congestion charges. The paper concludes with a series of recommendations for FTR allocation and the functions that FTRs should serve.
[en] This paper questions whether current renewable support schemes and electricity market designs are well-suited to host a significant amount of wind energy. Our analysis aims at finding the right equilibrium between market signals received by wind generators and their intrinsic risks. More market signals are needed to give the right incentives for reducing wind integration costs but should not undermine the effectiveness of support schemes. Although several alternatives combining support schemes and market signals could improve the current situation in terms of market signals and risks, feed-in premium support scheme seems actually to be the more balanced option. Furthermore, an adequate sharing of wind generation technical responsibility between the system operator and wind power producers can help to control wind integration costs even in the absence of accurate market signals. (author)
[en] This article introduce the development of China solar water heater industry .Gives an overview of stages, market, manufacturing, application and testing about China solar water heater industry. Show the market data from 1998 to 2009. Analyze the experiences and features about the industry. The article also introduces the policy for solar hot water industry in China. These policies have accelerated the development of industry in which the main two incentive policies have the greatest influence on solar water heater industry. First one is the policy of mandatory installation of solar water heater implemented since 2007 by some local governments at provincial and municipal levels. Second is the subsidy policy for solar water heaters in the household appliances going to the countryside scheme implemented since 2009. At last the article gives the reason why China solar water heater industry have so rapid growth. From technology research, industrialization, prices and policy environment gives analysis. - Highlights: ► We compared International and China market about solar thermal products. ► The reason for rapid development of China solar water heater is explained. ► The experience of China solar water heater industry would give reference to other develop country. ► “Meet the demands of customer” is the main driver for the solar water heater industry development. ► The policy framework about China solar thermal industry was introduced. The industry achieved commercial operation without subsidy.
[en] Environmental problems in the energy system often originate from everyday activities and choices. Everyday activities in the home are part of the private sphere that can be contested in relation to energy policies. This article discusses the public-private divide in energy policies and how Swedish municipal energy consultants understand the divide. By analyzing the actions of energy consultants and their efforts to influence households, as well as how households perceive this guidance, I will discuss the public-private discourse in relation to energy policy and how this discourse can be a restriction for the energy consultants to reach their full potential. The consultants found it problematic to discuss behavioral issues because they did not know how to relate to people's everyday life activities without intruding on private and personal matters. For the households tailored information and feedback was not perceived as the consultant trespassing in the private sphere. Instead, the householders highlight the possibilities of such mapping. Lessoned learned from Sweden is that state subsidies to local energy consultants is a good way to reach households, but that they need to develop their methods and use more tailored information.
[en] A sample of 896 Norwegian households participating in a subsidy programme was surveyed in order to evaluate the success of the programme. The programme subsidised investments in new heating technologies, including heat pumps and pellet stoves. The success of the programme was measured by the degree of overall satisfaction with the investment by the sampled households. Theories on diffusion of innovations and planned behaviour motivate the empirical modelling of the investment satisfaction. The economic return on the investment varied substantially both within and between the two heating technologies, with heat pumps outperforming pellet stoves in this respect. Still, the economic return showed no explanatory power toward the investment satisfaction of the household. Among the economic variables, only the electricity price had any influence on investment satisfaction. Technical quality, indoor climate and heat comfort, and the availability of the supplier of the heating equipment were the most important explanatory variables. - Highlights: ► Investments in heat pumps and pellet stoves were subsidized over a public programme. ► Heat pumps showed a strong economic return, pellet stoves performed much more poorly. ► This difference in economic return does not influence the investment satisfaction. ► Technical quality, indoor climate and heat comfort are important benefits. ► Service availability and electricity price also influence satisfaction.
[en] The objective of this paper is to study the oil prices-macroeconomy relationship by the analysis of the role of subsidy policy. The vector autoregression (VAR) method was employed to analyze the data over the period 1993 Q1 2007 Q3. The results of the model using both linear and non-linear specifications indicate that there is no direct impact of oil price shock on the economic activity. The shock of oil prices affects economic activity indirectly. The most significant channel by which the effects of the shock are transmitted is the government's spending