Climate policy impacts on the competitiveness of energy-intensive manufacturing sectors
AbstractThis study examines the impacts of energy price changes resulting from different carbon-pricing policies on the competitiveness of selected US energy-intensive industries. It further examines possible industry responses, and identifies and provides a preliminary evaluation of potential opportunities to mitigate these impacts. The industry sectors investigated - steel, aluminum, chemicals and paper - are among the largest industrial users of fossil fuels in the US economy. The results of this examination show that climate policies that put a price on carbon could have substantial impacts on the competitiveness of US energy-intensive manufacturing sectors over the next two decades, if climate regulations are applied only in the United States, and no action is taken to invest in advanced low- and no-carbon technologies. The extent of these impacts will vary across industries, depending on their energy intensities, the mix of energy sources they rely on and how energy is used in production activities (heat and power, feedstock). Of relevance is also the speed and rigor with which industries adopt new technologies and retire (or replace) old ones. Other factors affecting these impacts include an industry's vulnerability to foreign imports and its ability to pass through cost increases to its customers in the face of international market competition.
Download InfoIf 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 InfoArticle provided by Elsevier in its journal Energy Policy.
Volume (Year): 37 (2009)
Issue (Month): 8 (August)
Contact details of provider:
Web page: http://www.elsevier.com/locate/enpol
Energy policy Industry model Climate policy;
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- S. Paltsev & J. Reilly & H. Jacoby & A. Gurgel & G. Metcalf & A. Sokolov & J. Holak, 2007.
"Assessment of U.S. Cap-and-Trade Proposals,"
0705, Massachusetts Institute of Technology, Center for Energy and Environmental Policy Research.
- Morgenstern, Richard D. & Ho, Mun & Shih, J.-S.Jhih-Shyang & Zhang, Xuehua, 2004.
"The near-term impacts of carbon mitigation policies on manufacturing industries,"
Elsevier, vol. 32(16), pages 1825-1841, November.
- Morgenstern, Richard & Shih, Jhih-Shyang & Ho, Mun & Zhang, Xuehua, 2002. "The Near-Term Impacts of Carbon Mitigation Policies on Manufacturing Industries," Discussion Papers dp-02-06-, Resources For the Future.
- Holtbrügge, Dirk & Dögl, Corinna, 2012. "How international is corporate environmental responsibility? A literature review," Journal of International Management, Elsevier, vol. 18(2), pages 180-195.
- Bassi, Andrea M. & Yudken, Joel S., 2011. "Climate policy and energy-intensive manufacturing: A comprehensive analysis of the effectiveness of cost mitigation provisions in the American Energy and Security Act of 2009," Energy Policy, Elsevier, vol. 39(9), pages 4920-4931, September.
- Webster, Allan & Ayatakshi, Sukanya, 2013. "The effect of fossil energy and other environmental taxes on profit incentives for change in an open economy: Evidence from the UK," Energy Policy, Elsevier, vol. 61(C), pages 1422-1431.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
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.