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Global Climate Change Digest
A Guide to Information on Greenhouse Gases and Ozone Depletion
Published July 1988 through June 1999

FROM VOLUME 5, NUMBER 7, JULY 1992

PROFESSIONAL PUBLICATIONS...
ENERGY POLICY AND ECONOMICS

Item #d92jul25

"An Improved Shadow Price for CO₂," J. Haraden (149 11th St., Del Mar CA 92014), Energy, 17(5), 419-426, May 1992.

Suggests an improvement to the 1980 model of Nordhaus for calculating the shadow price of CO₂. The price of damages from a CO₂ doubling due to sea level rise alone is estimated at 0.0003-0.5% of world GNP per year.

Item #d92jul26

Two items from Energy Econ., 14(2), Apr. 1992:

"Measuring the Consumer Welfare Effects of Carbon Penalties--Theory and Applications to Household Energy Demand," J.C. Dumagan (Econ. Res. Service, U.S. Dept. Agric., Washington, D.C.), T.D. Mount, 82-93.

Implements a money metric approximation to the Hicksian equivalent variation based on observable demand functions, and implements a generalized logit demand system that conforms better to the theory of consumer behavior than do standard flexible functional forms. While the techniques are applied here specifically to household electricity and fuel consumption in New York State, they have wider application.

"Economic Effects of a Carbon Tax," S. Proost (Ctr. Econ. Studies, Catholic Univ., Van Evenstr., 2 B, 3000 Leuven, Belg.), D. Van Regemorter, 136-149.

Analyzes the feasibility and efficiency arguments of international or national carbon taxes. Internationally agreed national CO₂ emission objectives are less efficient than an international carbon tax, but more likely to be implemented (through the use of national taxes).

Item #d92jul27

Five items from Energy Policy, 20(3), Mar. 1992:

"The Commercialization of New Technologies," W.C. Patterson (10 Chesham Rd., Amersham, Bucks HP6 5ES, UK), 186-189. The problem of commercializing new energy technologies will confront governments everywhere until we have a global energy market that can deal equitably in both supply and end-use of energy, valuing not only sources but sinks. The marketplace alone will not solve the problem in the near future.

"Forum: People in Greenhouses...," T. Jackson (Ctr. Study Environ. Change, Lancaster Univ., Lancaster, UK), 190-191. Addresses the relative effectiveness of greenhouse abatement options.

"Energy Investments and Environmental Implications--Key Policy Issues in Developing Countries," C.M. Siddayao (Econ. Develop. Inst., World Bank, 1818 H St. NW, Washington DC 20433), 223-232. Discusses general conceptual and policy issues, the measurement of costs and benefits and the role of opportunity costs in a country's energy investment strategies, and macroeconomic and institutional factors relating to environmental concerns.

"Global Warming and Electricity Demand: A Study of California," L.W. Baxter (Energy Forecasting Div., California Energy Comm., 1516 Ninth St., Sacramento CA 95814), K. Calandri, 233-244. An analysis focusing on the heating and cooling of buildings and on transport of water for farms and cities shows that global warming would have a moderate effect on electricity demand. Discusses implications for energy forecasters and resource planners.

"Policies for a Solar Economy," C. Flavin (Worldwatch Inst., 1776 Massachusetts Ave. NW, Washington DC 20036), N. Lessen, 245-256. Recommends energy pricing that internalizes the environmental and security costs of fossil fuels, a major shift in energy research and development spending, and creation of an international renewable energy agency.

Item #d92jul28

Special issue: "Energy and the Third World," Energy Policy, 20(2), Feb. 1992. An introduction by guest editors P. Pearson and P. Stevens (pp. 90-93) is followed by eight papers, including:

"Biomass Energy, Forests and Global Warming," F. Rosillo-Calle (Biomass Users' Network, King's College, London W8 7AH, UK), D.O. Hall, 124-136. Examines biomass energy use, devegetation, biomass burning, the implications for global warming and the ability of biomass to sequester CO₂ and substitute for fossil fuels. Discusses socioeconomic and political issues.

Item #d92jul29

"Greenhouse Ranking of Gas-Fuelling," M. Wallis (Univ. Wales, Cardiff, UK), ibid., 174-176. Domestic energy efficiency measures and renewal of leaky gas mains and of domestic boilers fired by gas or coal will be more effective in the UK than building new gas-fired power stations, contrary to earlier claims.

Item #d92jul30

"Leaking Methane from Natural Gas Vehicles: Implications for Transportation Policy in the Greenhouse Era," D.G. Victor (Dept. Political Sci., Mass. Inst. Technol., Cambridge MA 02139), Clim. Change, 20(2), 113-141, Feb. 1992. Switching from gasoline to natural gas will not appreciably lower future greenhouse forcing; constraints on miles traveled and efficiency improvements will make a much larger contribution.

Item #d92jul31

"CETA: A Model for Carbon Emissions Trajectory Assessment," S.C. Peck (Elec. Power Res. Inst., POB 10412, Palo Alto CA 94303), T.J. Teisberg, Energy J., 13(1), 55 ff., 1992.

Presents an economic growth and energy use model incorporating representations of greenhouse gas accumulation and global mean temperature rise and its consequent damage costs. Finds that the optimum carbon tax would rise over time, in contrast to the "hump-shaped" carbon taxes implied by CO₂ reduction policies currently being discussed.

Item #d92jul32

"Perspectives of the Energy Supply in the United Germany," F. Gieske (RWE AG, Essen, Ger.), Brennstoff-Warme-Kraft, 44(1-2), 13-17, Jan.-Feb. 1992. In German.

Global climate concerns and the restoration of the East German energy supply are tremendous challenges facing the German energy economy. Possible approaches are discussed.

Item #d92jul33

Two items from Energy Policy, 20(1), Jan. 1992:

"Biomass Energy: Lessons from Case Studies in Developing Countries," D.O. Hall (King's College, Div. Biosphere Sci., Univ. London, London W8 7AH, UK), F. Rosillo-Calle, P. de Groot, 62-73.

The last two decades have witnessed numerous proclamations of failure and success of biomass schemes. The socioeconomic and technological implications of four case studies are discussed, based on long-term direct evaluation: ethanol from sugarcane in Brazil and in Zimbabwe; community biogas in an Indian village; and land rehabilitation for fuel and fodder in Kenya.

"Can the Black Stuff Turn Green?" W. Patterson (10 Chesham Rd., Amersham, Bucks, UK), 78-81. Report of Coal in the Environment: World Coal Institute Conference (London, Apr. 1991).

Item #d92jul34

Special section: World Clean Energy Conference (Geneva, Nov. 1991). Environ. Conserv., 18(4), Winter 1991-92, contains brief texts of several major addresses to this conference by ministers and other officials, and a "Global Energy Charter" for sustainable energy development. One of the main conclusions of the meeting, summarized by conference Secretary-General G.R. Grob (p. 359), is that technical knowledge clearly exists for cleaning up energy systems and for replacing them with more sustainable technologies. What is lacking is commitment by the industrialized countries to reduce consumption and emissions, to set performance standards based on agreed limits, and to introduce clean technologies.

Item #d92jul35

"Planning for Future Uncertainties in Electric Power Generation--An Analysis of Transitional Strategies for Reduction of Carbon and Sulfur Emissions," R.D. Tabors (Technol. & Policy Prog., Mass. Inst. Technol., Cambridge MA 02139), B.L. Monroe, IEEE Trans. Power Systems, 6(4), 1500-1507, Nov. 1991.

Uses a utility optimization model to compare several strategies available to U.S. utilities for simultaneously reducing emissions that contribute to acid rain and greenhouse warming: fuel switching, mandated emission limits, and a carbon tax. A major conclusion is that conservation will always benefit carbon emissions, but may or may not benefit acid rain emissions.

Item #d92jul36

"Effets macroéconomiques d'une hausse de la fiscalité sur l'énergie fossile" ("Macroeconomic Effects of a Tax Increase on Fossil Fuels"), A. Epaulard (Univ. Paris 1, Paris, France), M. Vielle, Rev. de l'Énergie (France), 42(431), 381-387, June 1991. In French.

Examines the impact on the French economy of a tax applied within France alone, describes accompanying measures that might reduce the depressive effects of the tax, then discusses the simultaneous adoption of a tax by France and its main commercial partners.