Public purchases can make a valuable contribution to decarbonizing the economy – Despite an upward trend, only 2.4 percent of public contracts in Germany include green criteria – Policy action is needed in order to fully exploit the potential Green public procurement, by which public authorities choose their suppliers of goods and services not only based on price but also according to ...
Due to increasing shares of renewable energies in electricity production, the cost-effective system integration of these installations is becoming more and more important. Technologies and locations are viewed as system-friendly when they are more cost-efficient and easier to integrate because they, unlike other installations, produce at times when electricity is more valuable. This report shows that ...
The workshop aims to advance analytical research on economic processes and policies for low-carbon transformation: policies meaning the role and tools of government and governance, and transformation as involving significant changes and innovation in (organizational) behaviour, technologies and systems, investment and financing. The main objective is to incorporate in analytic models lessons...
Production of basic materials like steel, cement or aluminium is responsible for the majority of industrial GHG emissions. Yet so far national policies provide very limited support for climate friendly material production and efficient use of materials. In principle, Emission Trading Systems were implemented to provide the desired incentives. In practice, carbon leakage concerns trigger free...
Greenhouse gas emission benchmarks are widely implemented as a policy tool, as more countries move to implement carbon pricing mechanisms for industrial emissions. In particular, benchmarks are used to determine the level of free allowance allocation in emission trading schemes, which are distributed as a measure to prevent carbon leakage. This paper analyses how benchmark designs impact firms’ production ...
In this paper we show that carbon pricing is subject to time-inconsistency and we investigate solutions to improve on the problem and restore the incentive for the private sector to invest in low-carbon innovation. We show that a superior price- investment equilibrium can be sustained in the long-term, if the policy-maker is enough forward looking and allowed to build reputation. In the short-term, ...
This paper proposes a measurement framework that explicitly accounts for the role of natural capital in productivity measurement. It is applied to aggregate economy data from the OECD Productivity Database, with natural capital data from the World Bank. It is shown that the direction of the adjustment to productivity growth depends on the rate of change of natural capital extraction relative to the ...
This paper investigates the impact of changes in environmental policy stringency on industry- and firm-level productivity growth in a panel of OECD countries. To test the strong version of the Porter Hypothesis (PH), we extend a neo-Schumpeterian productivity model to allow for effects of environmental policies. We use a new environmental policy stringency (EPS) index and let the effect of countries׳ ...