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Cost-Effective Control Strategies for Energy-Related Transboundary Air Pollution in Western Europe

Heinz Welsch

Year: 1990
Volume: Volume 11
Number: Number 2
DOI: 10.5547/ISSN0195-6574-EJ-Vol11-No2-5
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Abstract:
In this paper a simulation model of the West European power plant industry, combined with transboundary source-receptor relationships, is used to determine cost-effective reduction rates for SO2 emissions in any one country so that certain, exogenously given, deposition reduction targets are attained. The overall costs implied by the proposed strategies, and their distribution among countries, are examined and compared to those associated with the traditional emission-standard approach. It is found that the cooperative and flexible strategies considered allow for overall cost savings of up to 60 percent, given the same degree of deposition reduction.



Global CO2 Agreements: A Cost-Effective Approach

Snorre Kverndokk

Year: 1993
Volume: Volume 14
Number: Number 2
DOI: 10.5547/ISSN0195-6574-EJ-Vol14-No2-5
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Abstract:
In this paper I specify CO2 abatement cost Junctions for five different world regions. A cost-effective CO2 agreement is defined by the emissions that follow from minimising the total abatement costs, given a specified CO2 emission limit. Under the cost-effective agreement, the industrialised countries bear all reductions, while developing countries are actually allowed to increase emissions compared to the 1990 level. The developing countries will, nevertheless, bear the highest burdens under this treaty. The agreement is also analysed under different tradeable permit regimes and compared to uniform percentage reductions. The transfers from tradeable permit systems are high, and may be difficult for political leaders to justify. An allocation based on historical CO2 emissions is the only simple rule which ensures every region is better off than under uniform percentage reductions.





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