The impact of CO2 taxation on the configuration of new refineries: An application to Brazil
Abstract
This article evaluates the impact of pricing CO2 emissions over the configuration of new refinery complexes in their conceptual phase. Two refineries' schemes were simulated through a linear programming optimization model in order to compare the optimum configuration obtained before and after the input of different CO2 prices. The cases analyzed represent refining projects to be located in Brazil, a growing market for fuels and petrochemical feedstocks, as well as an oil producing country with rising crude exports. After 2012, emerging countries, such as Brazil, may adopt carbon emission reduction targets. Therefore, it is worth analyzing the impact of pricing CO2 emissions in these countries, where the majority of new refining projects will be located. Our findings indicate that the initial refinery configurations proposed are quite rigid technologically for CO2 prices up to US$ 100/t CO2. For CO2 prices higher than US$ 100/t CO2, refineries reduced their emissions by increasing the consumption of natural gas used to produce hydrogen, and through changes in the original configurations towards less-energy consuming process units. Promising technological advances, such as carbon capture and storage (CCS), can also diminish the rigidity of the model and facilitate actions to curb carbon emissions.Download Info
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic Info
Article provided by Elsevier in its journal Energy Policy.
Volume (Year): 37 (2009)
Issue (Month): 12 (December)
Pages: 5519-5529
Contact details of provider:
Web page: http://www.elsevier.com/locate/enpol
Related research
Keywords: Oil refinery CO2 taxation Brazil;Find related papers by JEL classification:
- Oil - Economic Development, Technological Change, and Growth - - - - -
- ref - - - - - -
- CO2 - Mathematical and Quantitative Methods - - - - -
- tax - - - - - -
- Bra - Schools of Economic Thought and Methodology - - - - -
References
No references listed on IDEASYou can help add them by filling out this form.
Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Castelo Branco, David A. & Gomes, Gabriel L. & Szklo, Alexandre S., 2010. "Challenges and technological opportunities for the oil refining industry: A Brazilian refinery case," Energy Policy, Elsevier, vol. 38(6), pages 3098-3105, June.
Lists
This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.Statistics
Access and download statisticsCorrections
When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:37:y:2009:i:12:p:5519-5529For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wendy Shamier).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.