Carbon Tax Implementation in the Energy Sector: A Comparative Study in G20 and ASEAN Member States (AMS)

2021 ◽  
Author(s):  
Filda C. Yusgiantoro ◽  
◽  
I Dewa Made Raditya Margenta ◽  
Haryanto Haryanto ◽  
Felicia Grace Utomo
Keyword(s):  
Energy Demand ◽  
Carbon Tax ◽  
Ghg Emissions ◽  
Energy Sector ◽  
Tax Revenue ◽  
Government Revenue ◽  
Low Carbon ◽  
Member States ◽  
Asean Member ◽  
Tax Exemptions

1. This report shows that six G20 countries (Japan, South Africa, Argentina, France, Ireland, and Mexico) and one ASEAN Member States (Singapore) have implemented a carbon tax. 2. The energy sector is the primary GHG emissions contributor in most member states, except Indonesia. However, the energy sector in Indonesia will highly contribute to the national GHG emissions considering the rise of energy demand due to economic and population growth. 3. The effectiveness of carbon tax is specific to which sectors are taxed and which sectors are exempt to a country member. Specifically, a higher emissions price may not cover a large share of emissions in the country. The high carbon tax in France only covers 35% of total emissions in its jurisdiction. Meanwhile, Japan and Singapore’s low carbon tax covers 75% and 80% of total emissions in their jurisdiction, respectively. 4. The numbers of sectoral coverage by emissions price will impact the level of revenues generated from the carbon tax. France obtained the most significant carbon tax revenue for more than USD 9.6 billion. Meanwhile, Argentina generated less than USD 1 million, likely due to tax exemptions in natural gas commodities. 5. The contribution level of carbon tax revenue to the government’s total revenue varies for each country. France and Ireland’s carbon tax revenue contributes 0.71% and 0.53% of their total government revenue, respectively. Meanwhile, the rest of the countries’ carbon tax revenue contributed less than 0.3% each to their government revenue.

scholarly journals IMPORTANCE OF THE CARBON TAX FOR THE ENERGY SECTOR AND REDUCTION OF GREENHOUSE GAS EMISSIONS IN UKRAINE

2020 ◽  
Author(s):  
V. Pekkoiev
Keyword(s):  
Greenhouse Gas Emissions ◽  
Greenhouse Gas ◽  
Development Strategy ◽  
Carbon Tax ◽  
Ghg Emissions ◽  
Energy Sector ◽  
Low Carbon ◽  
Gas Emissions ◽  
Increase Energy Efficiency ◽  
Low Carbon Development

The article analyzes the current state of the energy sector of Ukraine, identifies key issues that need urgent consideration. Trends in greenhouse gas emissions in Ukraine are analyzed. The urgency of the carbon tax for Ukraine is higher than ever, as we have made a number of climate commitments (the Paris Agreement) to the EU. We strive to follow European values and significantly reduce GHG emissions by 2050. At the same time, Ukraine is focused on low-carbon development, which is reflected in the Low-Carbon Development Strategy until 2050 and the Energy Strategy until 2035. The rational use of carbon taxation can accumulate funds to modernize the energy sector and increase energy efficiency. Using an instrument such as the general equilibrium model for Ukraine, the economic impact of implementing various low-carbon policies to curb global warming at 1.5 and 2 ° C was assessed. The results show that the carbon tax plays an important role in increasing Ukraine's GDP in 2050 by 12-15% in 2050.

scholarly journals Abatement cost for selectivity negative emissions technology in power plant Indonesia with aim/end-use model

2021 ◽  
Vol 894 (1) ◽  
pp. 012011
Author(s):  
Z D Nurfajrin ◽  
B Satiyawira
Keyword(s):  
Emission Reduction ◽  
Energy Demand ◽  
Reduction Potential ◽  
Abatement Cost ◽  
Energy Sector ◽  
Cost Curve ◽  
Baseline Scenario ◽  
Low Carbon ◽  
Ghg Emission ◽  
End Use

Abstract The Indonesian government has followed up the Paris Agreement with Law No. 16 of 2016 by setting an ambitious emission reduction target of 29% by 2030, and this figure could even increase to 41% if supported by international assistance. In line with this, mitigation efforts are carried out in the energy sector. Especially in the energy sector, it can have a significant impact when compared to other sectors due to an increase in energy demand, rapid economic growth, and an increase in living standards that will push the rate of emission growth in the energy sector up to 6. 7% per year. The bottom-up AIM/end-use energy model can select the technologies in the energy sector that are optimal in reducing emissions and costs as a long-term strategy in developing national low-carbon technology. This model can use the Marginal Abatement Cost (MAC) approach to evaluate the potential for GHG emission reductions by adding a certain amount of costs for each selected technology in the target year compared to the reference technology in the baseline scenario. In this study, three scenarios were used as mitigation actions, namely CM1, CM2, CM3. The Abatement Cost Curve tools with an assumed optimum tax value of 100 USD/ton CO2eq, in the highest GHG emission reduction potential, are in the CM3 scenario, which has the most significant reduction potential, and the mitigation costs are not much different from other scenarios. For example, PLTU – supercritical, which can reduce a significant GHG of 37.39 Mtoe CO2eq with an emission reduction cost of -23.66 $/Mtoe CO2eq.

scholarly journals A Review of Geothermal Technologies and Their Role in Reducing Greenhouse Gas Emissions in the USA

2020 ◽  
Vol 143 (1) ◽  
Author(s):  
Philip J. Ball
Keyword(s):  
Greenhouse Gas ◽  
Power Plants ◽  
Carbon Tax ◽  
Ghg Emissions ◽  
Abatement Cost ◽  
Combined Cycle ◽  
Low Carbon ◽  
Geothermal Heat ◽  
The Cost

Abstract A review of conventional, unconventional, and advanced geothermal technologies highlights just how diverse and multi-faceted the geothermal industry has become, harnessing temperatures from 7 °C to greater than 350 °C. The cost of reducing greenhouse emissions is examined in scenarios where conventional coal or combined-cycle gas turbine (CCGT) power plants are abated. In the absence of a US policy on a carbon tax, the marginal abatement cost potential of these technologies is examined within the context of the social cost of carbon (SCC). The analysis highlights that existing geothermal heat and power technologies and emerging advanced closed-loop applications could deliver substantial cost-efficient baseload energy, leading to the long-term decarbonization. When considering an SCC of $25, in a 2025 development scenario, geothermal technologies ideally need to operate with full life cycle assessment (FLCA) emissions, lower than 50 kg(CO2)/MWh, and aim to be within the cost range of $30−60/MWh. At these costs and emissions, geothermal can provide a cost-competitive low-carbon, flexible, baseload energy that could replace existing coal and CCGT providing a significant long-term reduction in greenhouse gas (GHG) emissions. This study confirms that geothermally derived heat and power would be well positioned within a diverse low-carbon energy portfolio. The analysis presented here suggests that policy and regulatory bodies should, if serious about lowering carbon emissions from the current energy infrastructure, consider increasing incentives for geothermal energy development.

SADC’s response to climate change – the role of harmonised law and policy on mitigation in the energy sector

2014 ◽  
Vol 25 (1) ◽  
pp. 26-32 ◽  
Author(s):  
M. Barnard
Keyword(s):  
Climate Change ◽  
Global Climate Change ◽  
Global Climate ◽  
Action Plan ◽  
Ghg Emissions ◽  
Energy Sector ◽  
Literature Study ◽  
Member States ◽  
Law And Policy

The negligible levels of energy-related GHG emissions attributable to the Southern African sub-region translates into the sub-region contributing relatively little towards global climate change. Notwithstanding, the member states comprising the Southern African Development Community (SADC) are among the most vulnerable to the trans boundary effects of global climate change. Existing SADC climate change policy documents highlight the important role of the energy sector in climate change mitigation. Furthermore, various international, African Union and SADC legal instruments stress the crucial role of harmonised law and policy as climate change adaptive measure. It is the central hypothesis of this paper that harmonised sub-regional law and policy aimed at regulating SADC member states’ mitigation efforts in the energy sector is a crucial climate change adaptive strategy. This hypothesis is based on the mandates for the formulation of a SADC climate change action plan and for mitigation in the energy sector. These mandates are contained in the texts of the SADC-CNGO Climate Change Agenda, 2012 and the Southern Africa Sub - Regional Framework on Climate Change, 2010 respectively. It is the main aim of this paper to investigate recent developments in the formulation of harmonised SADC law and policy on climate change in general and law and policy pertaining to mitigation in the energy sector specifically. In achieving the stated aim, themes to be investigated by means of a literature study are those of energy-related greenhouse gas emissions and global climate change and harmonised sub-regional policy on mitigation in the energy sector as adaptive measure in the SADC.

India’s New Stance on Global Warming

2016 ◽  
Vol 3 (1) ◽  
Author(s):  
Neha Arora
Keyword(s):  
Climate Change ◽  
Global Warming ◽  
Carbon Tax ◽  
Ghg Emissions ◽  
Low Carbon ◽  
Corporate Sector ◽  
Indian Government ◽  
Project Report ◽  
Low Carbon Development ◽  
Policy Mechanisms

India ratified the United Nations Framework Convention on Climate Change (UNFCCC) in November, 1993 and is a non-Annex party to the UNFCCC. Accordingly, as a Non Annex Party, India is not liable to legally reduce its Greenhouse gases under the convention. However India has taken a responsible stance towards Global warming and Climate change. Recent measures and developments at the governmental front and initiatives undertaken by the private sector have paved the way for sustainable development. The present paper studies the recent financial and market based mechanisms and the underlying policy environment for low carbon development in India undertaken by Indian government and the Indian corporate sector. The various policy mechanisms initiated include the Coal Cess, Carbon tax, Issuance of Masala bonds and Subsidies on solar enabled appliances. The Indian corporate sector has attracted commendable admiration by the Global leaders owing to the integration of sustainability into business activities. The issuance of Green bonds, voluntary GHG emissions disclosure in the Carbon Disclosure Project Report and establishment of Greenex are the various recent sustainable steps taken by industry leaders to fight global warming.

scholarly journals Framework for Developing a Low-Carbon Energy Demand in Residential Buildings Using Community-Government Partnership: An Application in Saudi Arabia

Energies ◽  
2021 ◽  
Vol 14 (16) ◽  
pp. 4954
Author(s):  
Mohammad AlHashmi ◽  
Gyan Chhipi-Shrestha ◽  
Kh Md. Nahiduzzaman ◽  
Kasun Hewage ◽  
Rehan Sadiq
Keyword(s):  
Saudi Arabia ◽  
Energy Demand ◽  
Energy Use ◽  
Residential Buildings ◽  
Ghg Emissions ◽  
Clean Energy ◽  
Building Energy ◽  
Energy Performance ◽  
Low Carbon ◽  
Geographical Regions

Rapid population growth has led to significant demand for residential buildings around the world. Consequently, there is a growing energy demand associated with increased greenhouse gas (GHG) emissions. The residential building energy demand in arid countries such as Saudi Arabia is supplied with fossil fuel. The existing consumption pattern of fossil fuels in Saudi Arabia is less sustainable due to the depletion of fossil fuel resources and resulting environmental impacts. Buildings built in hot and arid climatic conditions demand high energy for creating habitable indoor environments. Enormous energy is required to maintain a cool temperature in hot regions. Moreover, climate change may have different impacts on hot climatic regions and affect building energy use differently. This means that different building interventions may be required to improve the performance of building energy performance in these geographical regions, thereby reducing the emissions of GHGs. In this study, this framework has been applied to Saudi Arabia, a hot and arid country. This research proposes a community–government partnership framework for developing low-carbon energy in residential buildings. This study focuses on both the operational energy demand and a cost-benefit analysis of energy use in the selected geographical regions for the next 30 years (i.e., 2050). The proposed framework primarily consists of four stages: (1) data collection on energy use (2020 to 2050); (2) setting a GHG emissions reduction target; (3) a building intervention approach by the community by considering cost, energy, and GHG emissions using the Technique for Order of Performance by Similarity to the Ideal Solution (TOPSIS) to select the best combinations in each geographical region conducting 180 simulations; and (4) a clean energy approach by the government using grey relational analysis (GRA) to select the best clean energy system on the grid. The clean energy approach selected six different renewable power generation systems (i.e., PV array, wind turbine, hybrid system) with two storage systems (i.e., battery bank and a combination of electrolyte, fuel cell, and hydrogen tank storage). This approach is designed to identify the best clean energy systems in five geographical regions with thirty scenario analyses to define renewable energy-economy benefits. This framework informs through many engineering tools such as residential building energy analysis, renewable energy analysis, multi-criteria decision analysis (MCDA) techniques, and cost-benefit analysis. Integration between these engineering tools with the set of energy policies and public initiatives is designed to achieve further directives in the effort to reach greater efficiency while downsizing residential energy demands. The results of this paper propose that a certain level of cooperation is required between the community and the government in terms of financial investments and the best combinations of retrofits and clean energy measures. Thus, retrofits and clean energy measures can help save carbon emissions (enhancing the energy performance of buildings) and decrease associated GHG emissions, which can help policy makers to achieve low-carbon emission communities.

scholarly journals Energy greenhouse gas emission inventory in Batu City

2021 ◽  
Vol 916 (1) ◽  
pp. 012003
Author(s):  
K E Sari
Keyword(s):  
Energy Demand ◽  
Emission Inventory ◽  
Greenhouse Gas Emission ◽  
Ghg Emissions ◽  
Energy Sector ◽  
Emission Sources ◽  
Average Increase ◽  
Ghg Emission ◽  
Land Use Pattern ◽  
Household Sector

Abstract The development of the tourism sector in Batu City is in line with the development of non-agricultural activities in Batu City that dominates 66.7% of Batu City’s land use pattern. This pattern is related to the energy demand in Batu City and contributes to the increasing GHG emissions from the energy sector. The energy sector contributes 24-25% of GHG emissions and it will increase along with further development of activities. The GHG emission inventory is an important step related to GHG emission reduction, and, due to the uncertainty of GHG emission distribution, the inventory was based on the sources of emission. The main purpose of this research is to make an inventory of the amount of GHG emission from the energy sector in Batu City from 3 main emission sources in Batu, namely transportation, commercial, and household. The analytical method used is the Tier 1 approach using a database of energy consumption and the number of activities as an emission source. The results show that the total amount of GHG emissions from the energy sector in Batu City is 2,562,159,822,007.89 kg/year with an average increase of 0.75% per year and is dominated by emission sources from the household sector. The average increase in GHG emissions from the transportation sector is 58.83% with a significant increase in 2015. In the commercial sector, the average annual increase in GHG emissions is 3.83%, and the household sector—as the largest energy consumer—has an average increase in GHG emissions each year of 0.75%.

scholarly journals Low-carbon development strategy of Russia considering the impact on the economy

2020 ◽  
Vol 209 ◽  
pp. 05005
Author(s):  
Andrey Kolpakov
Keyword(s):  
Economic Growth ◽  
Development Strategy ◽  
Structural Changes ◽  
Ghg Emissions ◽  
Energy Sector ◽  
Necessary Condition ◽  
Low Carbon ◽  
Gdp Growth Rate ◽  
Price Growth ◽  
The Impact

The article considers the impact of national climate policy on the development of the Russian economy and energy sector. Implementation of an aggressive scenario (which is aimed at containing at any cost the rise in global temperature within 1.5 °C compared to the pre-industrial era) is unacceptable to Russia from socioeconomic perspective given it leads to lowering the average annual GDP growth rate by 1.8 percentage points by 2050. Effective long-term development strategy with low GHG emissions level should focus on structural and technological modernization of the economy; improve the absorption potential of the LULUCF sector; stimulate only those structural changes in the energy sector that involve production and technological chains within the country and do not provide for excessive price growth. Russia retains a significant potential for energy efficiency growth, and the necessary condition for activating this process is sustainable economic growth as it involves modernization of the production facilities and using available and competitive industrial capacities. The implementation of a reasonable scenario, based on these principles, would allow Russia to fulfil the nationally determined contributions within the Paris Agreement while ensuring economic growth at the rate not less than the global average one.

Impacts of COVID-19 induced energy demand changes on emissions and mitigation challenges 

2021 ◽  
Author(s):  
Adriano Vinca ◽  
Jarmo S. Kikstra ◽  
Francesco Lovat ◽  
Benigna Boza-Kiss ◽  
Bas van Ruijven ◽  
...  
Keyword(s):  
Energy Demand ◽  
Energy Use ◽  
Ghg Emissions ◽  
Low Energy ◽  
Climate Mitigation ◽  
Economic Downturn ◽  
Demand Side ◽  
Low Carbon ◽  
Energy Technologies ◽  
Long Run

<p>The COVID-19 pandemic is causing radical temporary breaks with past energy use and GHG emissions trends. However, how a post-pandemic recovery will impact longer-term transformations to a low-carbon society is unclear. Here, we present different global COVID-19 shock-and-recovery scenarios that systematically explore economic uncertainty and the demand-side effect on emissions. We consider changes in the residential, industry and transport energy sub-sectors under diverging cases that might lead to a more carbon intensive and individualistic way of consumption, or to a policy-advised new future that supports the emission reduction opportunities seen during the pandemic. The resulting impact on cumulative CO2 emissions over the coming decade can range from 28 to 53 GtCO2 reduction depending on the depth and duration of the economic downturn and the extent and persistence of demand-side changes. Recovering from the pandemic with low energy demand practices - embedded in new patterns of travel, work, consumption, and production – reduces climate mitigation challenges in the long run. We show that a low energy demand recovery reduces carbon prices for a 1.5°C consistent pathway by 19%, saves energy supply investments until 2030 by 2.1 trillion USD, and lessens pressure on the upscaling of renewable energy technologies.  </p>

scholarly journals THE IMPACTS OF IMPLEMENTING THE CARBON TAX ON FOSSIL FUELS: A HYBRID CGE ANALYSIS FOR INDONESIA

2018 ◽  
Vol 40 (2) ◽  
pp. 91-105
Author(s):  
Herbert Wibert Victor Hasudungan
Keyword(s):  
Fossil Fuels ◽  
Carbon Tax ◽  
Action Plan ◽  
Ghg Emissions ◽  
Tax Revenue ◽  
Tax Rate ◽  
Revenue Recycling ◽  
Energy Economy ◽  
Ministry Of Finance ◽  
The Government

This paper investigates the environmental and economic impacts of introducing the CO2 taxation on carbon-based fuels using a detailed disaggregation of energy-economy-environmental CGE model for Indonesia. The carbon tax has yet to be implemented in Indonesia. However, this instrument has been considered in the Ministry of Finance report as one of the governments fiscal strategic framework to finance the countrys action plan in commitments to reduce the GHG emissions. Suppose that the government levies the tax of Rp. 100,000/ton CO2e under two possible revenue-recycling scenarios: the carbon tax revenue is recycled through a reduction of labour income tax rate or an increase of government spending on commodities. For comparison purpose, we also implement the non-compensated scenario of which the additional revenue from carbon tax is kept as government savings to run budget surplus. Overall, the results suggested that the carbon tax reduces the national emissions but adding more costs to the economy,resulting a fall in GDP. In terms of income distribution, the carbon tax tends to be progressive in both scenarios of revenue-recycling. However, when there is no compensating mechanism, the carbon tax tends to be regressive - the poorer households carry a higher share of the carbon tax burden.

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