IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v38y2010i3p1566-1577.html
   My bibliography  Save this article

Optimizing production with energy and GHG emission constraints in Greece: An input-output analysis

Author

Listed:
  • Hristu-Varsakelis, D.
  • Karagianni, S.
  • Pempetzoglou, M.
  • Sfetsos, A.

Abstract

Under its Kyoto and EU obligations, Greece has committed to a greenhouse gas (GHG) emissions increase of at most 25% compared to 1990 levels, to be achieved during the period 2008-2012. Although this restriction was initially regarded as being realistic, information derived from GHG emissions inventories shows that an increase of approximately 28% has already taken place between 1990 and 2005, highlighting the need for immediate action. This paper explores the reallocation of production in Greece, on a sector-by-sector basis, in order to meet overall demand constraints and GHG emissions targets. We pose a constrained optimization problem, taking into account the Greek environmental input-output matrix for 2005, the amount of utilized energy and pollution reduction options. We examine two scenarios, limiting fluctuations in sectoral production to at most 10% and 15%, respectively, compared to baseline (2005) values. Our results indicate that (i) GHG emissions can be reduced significantly with relatively limited effects on GVP growth rates, and that (ii) greater cutbacks in GHG emissions can be achieved as more flexible production scenarios are allowed.

Suggested Citation

  • Hristu-Varsakelis, D. & Karagianni, S. & Pempetzoglou, M. & Sfetsos, A., 2010. "Optimizing production with energy and GHG emission constraints in Greece: An input-output analysis," Energy Policy, Elsevier, vol. 38(3), pages 1566-1577, March.
    • Handle: RePEc:eee:enepol:v:38:y:2010:i:3:p:1566-1577
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301-4215(09)00889-1
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sporri, C. & Borsuk, M. & Peters, I. & Reichert, P., 2007. "The economic impacts of river rehabilitation: A regional Input-Output analysis," Ecological Economics, Elsevier, vol. 62(2), pages 341-351, April.
    2. Hsu, George J. Y. & Chou, Feng-Ying, 2000. "Integrated planning for mitigating CO2 emissions in Taiwan: a multi-objective programming approach," Energy Policy, Elsevier, vol. 28(8), pages 519-523, July.
    3. Hondroyiannis, George & Lolos, Sarantis & Papapetrou, Evangelia, 2002. "Energy consumption and economic growth: assessing the evidence from Greece," Energy Economics, Elsevier, vol. 24(4), pages 319-336, July.
    4. Roca, Jordi & Serrano, Monica, 2007. "Income growth and atmospheric pollution in Spain: An input-output approach," Ecological Economics, Elsevier, vol. 63(1), pages 230-242, June.
    5. Oliveira, Carla & Antunes, Carlos Henggeler, 2004. "A multiple objective model to deal with economy-energy-environment interactions," European Journal of Operational Research, Elsevier, vol. 153(2), pages 370-385, March.
    6. Diakoulaki, D. & Mavrotas, G. & Orkopoulos, D. & Papayannakis, L., 2006. "A bottom-up decomposition analysis of energy-related CO2 emissions in Greece," Energy, Elsevier, vol. 31(14), pages 2638-2651.
    7. Mark De Haan, 2001. "A Structural Decomposition Analysis of Pollution in the Netherlands," Economic Systems Research, Taylor & Francis Journals, vol. 13(2), pages 181-196.
    8. Polemis, Michael. L., 2007. "Modeling industrial energy demand in Greece using cointegration techniques," Energy Policy, Elsevier, vol. 35(8), pages 4039-4050, August.
    9. Tarancón Morán, Miguel Ángel & del Ri­o, Pablo & Albiñana, Fernando Callejas, 2008. "Tracking the genealogy of CO2 emissions in the electricity sector: An intersectoral approach applied to the Spanish case," Energy Policy, Elsevier, vol. 36(6), pages 1915-1926, June.
    10. Sanchez-Choliz, Julio & Duarte, Rosa, 2005. "Water pollution in the Spanish economy: analysis of sensitivity to production and environmental constraints," Ecological Economics, Elsevier, vol. 53(3), pages 325-338, May.
    11. Maenpaa, Ilmo & Siikavirta, Hanne, 2007. "Greenhouse gases embodied in the international trade and final consumption of Finland: An input-output analysis," Energy Policy, Elsevier, vol. 35(1), pages 128-143, January.
    12. Ipek Tunc, G. & Turut-Asik, Serap & Akbostanci, Elif, 2007. "CO2 emissions vs. CO2 responsibility: An input-output approach for the Turkish economy," Energy Policy, Elsevier, vol. 35(2), pages 855-868, February.
    13. Salta, Myrsine & Polatidis, Heracles & Haralambopoulos, Dias, 2009. "Energy use in the Greek manufacturing sector: A methodological framework based on physical indicators with aggregation and decomposition analysis," Energy, Elsevier, vol. 34(1), pages 90-111.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wenlan Ke & Jinghua Sha & Jingjing Yan & Guofeng Zhang & Rongrong Wu, 2016. "A Multi-Objective Input–Output Linear Model for Water Supply, Economic Growth and Environmental Planning in Resource-Based Cities," Sustainability, MDPI, vol. 8(2), pages 1-18, February.
    2. He, Peijun & Ng, Tsan Sheng & Su, Bin, 2019. "Energy-economic resilience with multi-region input–output linear programming models," Energy Economics, Elsevier, vol. 84(C).
    3. Tarancon, Miguel Angel & Del Río, Pablo, 2012. "Assessing energy-related CO2 emissions with sensitivity analysis and input-output techniques," Energy, Elsevier, vol. 37(1), pages 161-170.
    4. Song, Junnian & Yang, Wei & Higano, Yoshiro & Wang, Xian’en, 2015. "Dynamic integrated assessment of bioenergy technologies for energy production utilizing agricultural residues: An input–output approach," Applied Energy, Elsevier, vol. 158(C), pages 178-189.
    5. Boglioni, Michele & Zambelli, Stefano, 2018. "Specialization patterns and reduction of CO2 emissions. An empirical investigation of environmental preservation and economic efficiency," Energy Economics, Elsevier, vol. 75(C), pages 134-149.
    6. Singh, Vivek Kumar & Henriques, Carla Oliveira & Martins, António Gomes, 2018. "Fostering investment on energy efficient appliances in India–A multi-perspective economic input-output lifecycle assessment," Energy, Elsevier, vol. 149(C), pages 1022-1035.
    7. Taseska, V. & Markovska, N. & Causevski, A. & Bosevski, T. & Pop-Jordanov, J., 2011. "Greenhouse gases (GHG) emissions reduction in a power system predominantly based on lignite," Energy, Elsevier, vol. 36(4), pages 2266-2270.
    8. Cortés-Borda, D. & Ruiz-Hernández, A. & Guillén-Gosálbez, G. & Llop, M. & Guimerà, R. & Sales-Pardo, M., 2015. "Identifying strategies for mitigating the global warming impact of the EU-25 economy using a multi-objective input–output approach," Energy Policy, Elsevier, vol. 77(C), pages 21-30.
    9. Guerra, Ana-Isabel & Sancho, Ferran, 2018. "Positive and normative analysis of the output opportunity costs of GHG emissions reductions: A comparison of the six largest EU economies," Energy Policy, Elsevier, vol. 122(C), pages 45-62.
    10. C. Oliveira & D. Coelho & C. H. Antunes, 2016. "Coupling input–output analysis with multiobjective linear programming models for the study of economy–energy–environment–social (E3S) trade-offs: a review," Annals of Operations Research, Springer, vol. 247(2), pages 471-502, December.
    11. Soares, N. & Martins, A.G. & Carvalho, A.L. & Caldeira, C. & Du, C. & Castanheira, É. & Rodrigues, E. & Oliveira, G. & Pereira, G.I. & Bastos, J. & Ferreira, J.P. & Ribeiro, L.A. & Figueiredo, N.C. & , 2018. "The challenging paradigm of interrelated energy systems towards a more sustainable future," Renewable and Sustainable Energy Reviews, Elsevier, vol. 95(C), pages 171-193.
    12. Carvalho, Ariovaldo Lopes de & Antunes, Carlos Henggeler & Freire, Fausto & Henriques, Carla Oliveira, 2015. "A hybrid input–output multi-objective model to assess economic–energy–environment trade-offs in Brazil," Energy, Elsevier, vol. 82(C), pages 769-785.
    13. Kênia Barreiro de Souza & Luiz Carlos de Santana Ribeiro & Fernando Salgueiro Perobelli, 2016. "Reducing Brazilian greenhouse gas emissions: scenario simulations of targets and policies," Economic Systems Research, Taylor & Francis Journals, vol. 28(4), pages 482-496, October.
    14. Ribeiro, Luiz Carlos de Santana & Leão, Eder Johnson de Area & Freitas, Lúcio Flávio da Silva, 2018. "Greenhouse Gases Emissions and Economic Performance of Livestock, an Environmental Input-Output Analysis," Revista de Economia e Sociologia Rural (RESR), Sociedade Brasileira de Economia e Sociologia Rural, vol. 56(2), January.
    15. Maria Markaki & Stelios Papadakis & Anna Putnová, 2021. "A Modern Industrial Policy for the Czech Republic: Optimizing the Structure of Production," Mathematics, MDPI, vol. 9(23), pages 1-20, November.
    16. de Carvalho, Ariovaldo Lopes & Antunes, Carlos Henggeler & Freire, Fausto, 2016. "Economic-energy-environment analysis of prospective sugarcane bioethanol production in Brazil," Applied Energy, Elsevier, vol. 181(C), pages 514-526.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hatzigeorgiou, Emmanouil & Polatidis, Heracles & Haralambopoulos, Dias, 2011. "CO2 emissions, GDP and energy intensity: A multivariate cointegration and causality analysis for Greece, 1977-2007," Applied Energy, Elsevier, vol. 88(4), pages 1377-1385, April.
    2. Chen, G.Q. & Zhang, Bo, 2010. "Greenhouse gas emissions in China 2007: Inventory and input-output analysis," Energy Policy, Elsevier, vol. 38(10), pages 6180-6193, October.
    3. Zhang, Bo & Chen, G.Q., 2010. "Methane emissions by Chinese economy: Inventory and embodiment analysis," Energy Policy, Elsevier, vol. 38(8), pages 4304-4316, August.
    4. Tarancon, Miguel Angel & Del Río, Pablo, 2012. "Assessing energy-related CO2 emissions with sensitivity analysis and input-output techniques," Energy, Elsevier, vol. 37(1), pages 161-170.
    5. Cortés-Borda, D. & Ruiz-Hernández, A. & Guillén-Gosálbez, G. & Llop, M. & Guimerà, R. & Sales-Pardo, M., 2015. "Identifying strategies for mitigating the global warming impact of the EU-25 economy using a multi-objective input–output approach," Energy Policy, Elsevier, vol. 77(C), pages 21-30.
    6. Liu, Lan-Cui & Wu, Gang, 2013. "Relating five bounded environmental problems to China's household consumption in 2011–2015," Energy, Elsevier, vol. 57(C), pages 427-433.
    7. Polemis, Michael L., 2016. "New evidence on the impact of structural reforms on electricity sector performance," Energy Policy, Elsevier, vol. 92(C), pages 420-431.
    8. Yoann Verger, 2018. "First steps for a Sraffian ecological economics. An answer to Martins' “The Classical Circular Economy, Sraffian Ecological Economics and the Capabilities Approach”," Working Papers hal-01700228, HAL.
    9. Mazzanti, Massimiliano & Montini, Anna, 2010. "Embedding the drivers of emission efficiency at regional level -- Analyses of NAMEA data," Ecological Economics, Elsevier, vol. 69(12), pages 2457-2467, October.
    10. Wiedmann, Thomas, 2009. "A first empirical comparison of energy Footprints embodied in trade -- MRIO versus PLUM," Ecological Economics, Elsevier, vol. 68(7), pages 1975-1990, May.
    11. Hermannsson, Kristinn & McIntyre, Stuart G., 2014. "Local consumption and territorial based accounting for CO2 emissions," Ecological Economics, Elsevier, vol. 104(C), pages 1-11.
    12. Michael L. Polemis & Thanasis Stengos, 2017. "Electricity Sector Performance: A Panel Threshold Analysis," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3).
    13. Henriques, C. Oliveira & Antunes, C. Henggeler, 2012. "Interactions of economic growth, energy consumption and the environment in the context of the crisis – A study with uncertain data," Energy, Elsevier, vol. 48(1), pages 415-422.
    14. Tarancón, Miguel Angel & del Río, Pablo & Callejas Albiñana, Fernando, 2010. "Assessing the influence of manufacturing sectors on electricity demand. A cross-country input-output approach," Energy Policy, Elsevier, vol. 38(4), pages 1900-1908, April.
    15. J., Pablo Muñoz & Hubacek, Klaus, 2008. "Material implication of Chile's economic growth: Combining material flow accounting (MFA) and structural decomposition analysis (SDA)," Ecological Economics, Elsevier, vol. 65(1), pages 136-144, March.
    16. de Carvalho, Ariovaldo Lopes & Antunes, Carlos Henggeler & Freire, Fausto, 2016. "Economic-energy-environment analysis of prospective sugarcane bioethanol production in Brazil," Applied Energy, Elsevier, vol. 181(C), pages 514-526.
    17. Soares, N. & Martins, A.G. & Carvalho, A.L. & Caldeira, C. & Du, C. & Castanheira, É. & Rodrigues, E. & Oliveira, G. & Pereira, G.I. & Bastos, J. & Ferreira, J.P. & Ribeiro, L.A. & Figueiredo, N.C. & , 2018. "The challenging paradigm of interrelated energy systems towards a more sustainable future," Renewable and Sustainable Energy Reviews, Elsevier, vol. 95(C), pages 171-193.
    18. Duarte, Rosa & Mainar, Alfredo & Sánchez-Chóliz, Julio, 2013. "The role of consumption patterns, demand and technological factors on the recent evolution of CO2 emissions in a group of advanced economies," Ecological Economics, Elsevier, vol. 96(C), pages 1-13.
    19. Misato Sato, 2014. "Embodied Carbon In Trade: A Survey Of The Empirical Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 831-861, December.
    20. Hatzigeorgiou, Emmanouil & Polatidis, Heracles & Haralambopoulos, Dias, 2008. "CO2 emissions in Greece for 1990–2002: A decomposition analysis and comparison of results using the Arithmetic Mean Divisia Index and Logarithmic Mean Divisia Index techniques," Energy, Elsevier, vol. 33(3), pages 492-499.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:38:y:2010:i:3:p:1566-1577. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.