IDEAS home Printed from https://ideas.repec.org/a/eee/inteco/v155y2018icp8-18.html
   My bibliography  Save this article

Social value of mitigation activities and forms of carbon pricing

Author

Listed:
  • Hourcade, Jean-Charles
  • Pottier, Antonin
  • Espagne, Etienne

Abstract

In the Decision accompanying the Paris Agreement, the Conference of the Parties “recog-nizes the social, economic and environmental value of voluntary mitigation actions and their co-benefits to adaptation, health and sustainable development”. This paper argues that this Social Value of Mitigation Activities (SVMA) can lay the ground to a new set of tools in climate policies, complementary to more traditional carbon pricing strategies. It first proposes a summary of the economic and political reasons which lead to this article 108 of the Paris Agreement, and the follow-up that emerged since December 2015. It then gives a theoretical back-up to this necessity of SVMA as a climate policy tool by deriving it from the more usual concepts of Social Cost of Carbon (SCC) and Shadow Price of Carbon (SPC). The use of such a value to help fund projects at the micro-level is proposed in a specific institutional arrangement, especially when carbon pricing strategies fail to be implemented at the optimal level. Its potential to bridge the macro-level funding gap between developed and developing or emerging countries is also developed. The last section concludes on the perspectives opened by the recent Stern-Stiglitz report and its corridor of carbon prices to the local and global implementation of SVMAs.

Suggested Citation

  • Hourcade, Jean-Charles & Pottier, Antonin & Espagne, Etienne, 2018. "Social value of mitigation activities and forms of carbon pricing," International Economics, Elsevier, vol. 155(C), pages 8-18.
  • Handle: RePEc:eee:inteco:v:155:y:2018:i:c:p:8-18
    DOI: 10.1016/j.inteco.2018.06.001
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2110701717302561
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.inteco.2018.06.001?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

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

    Other versions of this item:

    Citations

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


    Cited by:

    1. Antonina Ivanova Boncheva, 2022. "Finance for Climate Action: Postcovid-19 Recovery Challenges," Remef - Revista Mexicana de Economía y Finanzas Nueva Época REMEF (The Mexican Journal of Economics and Finance), Instituto Mexicano de Ejecutivos de Finanzas, IMEF, vol. 17(2), pages 1-20, Abril - J.
    2. Antonina Ivanova & Rodrigo Serrano, 2022. "Climate change, human rights and sustainability," Remef - Revista Mexicana de Economía y Finanzas Nueva Época REMEF (The Mexican Journal of Economics and Finance), Instituto Mexicano de Ejecutivos de Finanzas, IMEF, vol. 17(4), pages 1-20, Octubre -.

    More about this item

    Keywords

    Social value of mitigation activities; Paris Agreement; Climate finance; Carbon pricing; Climate club;
    All these keywords.

    JEL classification:

    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • H4 - Public Economics - - Publicly Provided Goods
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics

    Statistics

    Access and download statistics

    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:inteco:v:155:y:2018:i:c:p:8-18. 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.

    We have no bibliographic references for this item. You can help adding them by using 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.sciencedirect.com/science/journal/21107017 .

    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.