scholarly journals Abatement Strategies and the Cost of Environmental Regulation: Emission Standards on the European Car Market

Author(s):  
Mathias Reynaert
Author(s):  
Mathias Reynaert

Abstract This article studies the introduction of an EU-wide emission standard on the automobile market. Using panel data from 1998 to 2011, I find that firms decreased emission ratings by 14%. Firms use technology adoption and gaming of emission tests to decrease emissions, rather than shifting the sales mix or downsizing. I find that the standard missed its emission target, and from estimating a structural model, I find that the standard was not welfare improving. The political environment in the EU shaped the design and weak enforcement and resulted in firms’ choices for abatement by technology adoption and gaming.


1998 ◽  
Vol 30 (9) ◽  
pp. 1585-1602 ◽  
Author(s):  
D M W N Hitchens ◽  
J E Birnie ◽  
A McGowan ◽  
U Triebswetter ◽  
A Cottica

The authors use a method of matched-plant comparisons between food processing firms in Germany, Italy, Northern Ireland, and the Republic of Ireland to investigate the relationship between environmental regulation and company competitiveness across the European Union. Comparative competitiveness was indicated by measures of value-added per employee, physical productivity, export share, and employment growth. The cost of water supply (public or well), effluent treatment (in-plant treatment and/or sewerage system), and disposal of sludge and packaging were also compared. Total environmental costs in Germany, Italy, and Ireland were small: usually less than 1% of turnover. Compared with the Irish firms, German companies had relatively high environmental costs as well as productivity levels. There was, however, a lack of a clear relationship between company competitiveness and the size of regulation costs: in Ireland and Italy environmental costs were similar but German firms had much higher productivity; compared with German counterparts, Italian firms had lower environmental costs but higher productivity.


2021 ◽  
Vol 850 (1) ◽  
pp. 012010
Author(s):  
S Yuvaraj ◽  
C J Thomas Renald ◽  
A P Senthil Kumar ◽  
K Sadesh ◽  
D Naveen Promoth

Abstract In the current age drones are broadly utilized for different applications in pretty much every field. Because of the disturbing expense of the glow fuel utilized in the RC motors, utilization of the equivalent includes a ton of capital. Adding to it, the current fuel brings about intermittent combustion is in demand of alternate fuel. This paper manages the investigation of existing fuel synthesis and discovering the cost required to dispose of the high capital included, so that considerably more tests and study utilizing the RC Engines 2.5 cc can be completed easily. Methanol and Castor oil Combination is considered as an alternate fuel. The approach includes testing of the fuel to decipher the substance parts and their individual pieces through a progression of tests. Followed by the study of possible additives to enhance the performance of the engine without actually altering the timing intervals. The new creation of the fuel showed up is blended in with extraordinary hardware and the equivalent is tried for essential fuel properties viz., Density, Flash point, Fire point, Calorific value, and so forth The productivity arrangement is made utilizing a pulley instrument and the equivalent is tried for both the energizes. Performance of the R/C aircraft engine was tested with existing glow fuel and the new blend. Results are compared and concluded that the designed blend is a potent alternate fuel for R/C aircraft engines. *Future scope: It can be further tested for its SFC and emission standards. The outcome shows that the new fuel is exceptionally cost productive and the essential substance properties are profoundly improved.


2014 ◽  
Vol 5 (2) ◽  
pp. 285-314 ◽  
Author(s):  
Elizabeth Kopits

Abstract:While the need to update EPA benefit-cost analysis to reflect the most recent science is broadly acknowledged, little work has been done examining how well ex ante BCAs estimate the actual benefits and costs of regulations. This paper adds to the existing literature on ex post cost analyses by examining EPA’s analysis of the 1998 Locomotive Emission Standards. Due to data limitations and minimal ability to construct a reasonable counterfactual for each component of the cost analysis, the assessment relies mainly on industry expert opinion, augmented with ex post information from publicly available data sources when possible. The paper finds that the total cost of bringing line-haul locomotives into compliance with the 1998 Locomotive Emission Standards rule remains uncertain. Even though the initial per-unit locomotive compliance costs were higher than predicted by EPA, total costs also depend on the number of locomotives affected by the regulation. Over 2000–2009, the number of newly built line-haul locomotives was higher but the number of remanufactured line-haul locomotives was lower than EPA’s estimate.


2017 ◽  
Vol 81 (3) ◽  
pp. 80-95 ◽  
Author(s):  
Subramanian Balachander ◽  
Esther Gal-Or ◽  
Tansev Geylani ◽  
Alex Jiyoung Kim

Competing brands differ in the extent to which they offer a given feature as standard or optional in their product lines. In this article, the authors study the competitive basis for this difference in brands’ product line strategies. Specifically, they analyze the relationship between a brand's quality image and its propensity to offer a wider product line, from a relatively stripped-down base model to a more feature-rich model. They develop a conceptual framework and hypotheses by considering an analytical model with two vertically differentiated firms: They show that a low-quality firm would offer a feature as optional—that is, it would offer both a feature-added product and a stripped-down base product—if it chose to add the feature to its product. In contrast, a high-quality firm would offer the feature as a standard component unless the cost of the feature was high. This asymmetry in the propensity of high- and low-quality firms to offer optional and standard features with their products is tested using data from the U.S. passenger car market; the authors find empirical support for their model.


2021 ◽  
Vol 13 (16) ◽  
pp. 8961
Author(s):  
Shiqi Xu ◽  
Hui Liu ◽  
Guangye Xu

The influence of government policies on the selection of recycling channels has been widely discussed, but there are few studies from the perspective of product Eco-design. This paper examines the recycling channel options for a manufacturer applying Eco-design under government environmental regulation. We consider a system that includes a retailer, a manufacturer, and a government, and develop a three-stage Stackelberg game model. The government firstly decides whether to impose environmental regulations. Next, the manufacturer decides whether to recycle by himself or delegate the recycling task to the retailer, deciding both the wholesale price of the product and the collected price (recycled by the manufacturer) or the recycling compensation to the retailer (recycled by the retailer), and the retailer decides the retail price of new products and the collection price (recycled by the retailer). Our study finds that for the regulator, the optimal policy is not to implement environmental regulation because the manufacturer has implemented the product Eco-design. For the manufacturer, the choice of recycling channel depends on the recycling cost of the manufacturer and the retailer. When the manufacturer’s recycling cost is below a certain threshold, he will prefer to recycle the waste products by himself, and when the cost increases beyond this threshold, the manufacturer will transfer the recycling task to the retailer.


2017 ◽  
Vol 20 (2) ◽  
pp. 105-120 ◽  
Author(s):  
BEATRIZ EUGENIA CID AGUAYO ◽  
JOSÉ MANUEL BARRIGA PARRA

Abstract This text analyses the regulation and certification process of Chilean salmon farming based on the discourse of its actors. First we will show how new governance structures in the neoliberal context are a result of negotiation processes between diverse actors. Secondly, we will argue how said governance manages to articulate environmental rationalities and interests of a variety of actors from industry and civil society, however at the cost of minimizing socio-labor issues and suppressing the question of who has access to the use of nature. This implies privatizing common marine resources and contributes towards excluding several organized actors.


Energies ◽  
2020 ◽  
Vol 13 (7) ◽  
pp. 1626
Author(s):  
Nima Mirzaei Alavijeh ◽  
David Steen ◽  
Zack Norwood ◽  
Le Anh Tuan ◽  
Christos Agathokleous

This paper investigates the cost-effectiveness of operation strategies which can be used to abate CO 2 emissions in a local multi-energy system. A case study is carried out using data from a real energy system that integrates district heating, district cooling, and electricity networks at Chalmers University of Technology. Operation strategies are developed using a mixed integer linear programming multi-objective optimization model with a short foresight rolling horizon and a year of data. The cost-effectiveness of different strategies is evaluated across different carbon prices. The results provide insights into developing abatement strategies for local multi-energy systems that could be used by utilities, building owners, and authorities. The optimized abatement strategies include: increased usage of biomass boilers, substitution of district heating and absorption chillers with heat pumps, and higher utilization of storage units. The results show that, by utilizing all the strategies, a 20.8% emission reduction can be achieved with a 2.2% cost increase for the campus area. The emission abatement cost of all strategies is 36.6–100.2 (€/tCO 2 ), which is aligned with estimated carbon prices if the Paris agreement target is to be achieved. It is higher, however, than average European Emission Trading System prices and Sweden’s carbon tax in 2019.


2008 ◽  
Vol 18 (1) ◽  
pp. 45-54
Author(s):  
Jean Le Roux ◽  
Evan Williams ◽  
Andrew Staines ◽  
Ariel Bergmann

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