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Incentives for investment in energy efficiency: an econometric evaluation and policy implications

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  • Jan Velthuijsen
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    Abstract

    Technical studies suggest that there exist many opportunities to improve energy efficiency, and that a substantial proportion is profitable by current business standards. This study deals with the question why so many of these profitable opportunities are not used. Reasons for not implementing profitable opportunities are idetified, and their effect is estimated on the basis ofa survey among Dutch firms, designed specifically for this study. The reasons that prevail indicate what policy measures may accompany energy taxes in the pursuit of energy efficiency improvement. In addition, energy efficiency elasticities are estimated, as well as the factors that determine the elasticities. These too indicate opportunities for government policy, if it wants to improve the effectiveness of energy taxes. Copyright Kluwer Academic Publishers 1993

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    Bibliographic Info

    Article provided by European Association of Environmental and Resource Economists in its journal Environmental & Resource Economics.

    Volume (Year): 3 (1993)
    Issue (Month): 2 (April)
    Pages: 153-169

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    Handle: RePEc:kap:enreec:v:3:y:1993:i:2:p:153-169

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    Web page: http://www.springerlink.com/link.asp?id=100263

    Related research

    Keywords: energy efficiency; investment behaviour of the firm; energy price elasticities; energy saving protentials;

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    1. Bovenberg, A.L. & Mulder, R.J. & Oudshoorn, C. & Sinderen, J. van, 1991. "Instrumenten voor het energiebesparingsbeleid," Open Access publications from Tilburg University urn:nbn:nl:ui:12-153694, Tilburg University.
    2. Deaton, Angus, 1974. "A Reconsideration of the Empirical Implications of Additive Preferences," Economic Journal, Royal Economic Society, vol. 84(334), pages 338-48, June.
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    Cited by:
    1. Fleiter, Tobias & Worrell, Ernst & Eichhammer, Wolfgang, 2011. "Barriers to energy efficiency in industrial bottom-up energy demand models--A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(6), pages 3099-3111, August.
    2. Spyros Arvanitis & Ley Marius, 2010. "Factors Determining the Adoption of Energy-saving Technologies in Swiss Firms – An Analysis based on Micro Data," KOF Working papers 10-257, KOF Swiss Economic Institute, ETH Zurich.
    3. Ziesemer ,Thomas, 1995. "Reconciling environmental policy with employment, international competitiveness and participation requirements," Research Memorandum 016, Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT).
    4. repec:dgr:uvatin:2099031 is not listed on IDEAS
    5. Kounetas, Kostas & Tsekouras, Kostas, 2008. "The energy efficiency paradox revisited through a partial observability approach," Energy Economics, Elsevier, vol. 30(5), pages 2517-2536, September.
    6. Bjorner, Thomas Bue & Jensen, Henrik Holm, 2002. "Energy taxes, voluntary agreements and investment subsidies--a micro-panel analysis of the effect on Danish industrial companies' energy demand," Resource and Energy Economics, Elsevier, vol. 24(3), pages 229-249, June.
    7. Thierry Bréchet & Olivier Beaumais, 1995. "La stratégie communautaire de régulation de l'effet de serre : quels enjeux pour la France ?," Économie et Prévision, Programme National Persée, vol. 117(1), pages 155-174.
    8. Henri L.F.M. de Groot & Erik T. Verhoef & Peter Nijkamp, 1999. "Energy Saving by Firms: Decision-Making, Barriers and Policies," Tinbergen Institute Discussion Papers 99-031/3, Tinbergen Institute.
    9. Joel Swisher, 1996. "Regulatory and Mixed Policy Options for Reducing Energy Use and Carbon Emissions," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 1(1), pages 23-49, January.
    10. Kim, Jihyo & Heo, Eunnyeong, 2013. "Asymmetric substitutability between energy and capital: Evidence from the manufacturing sectors in 10 OECD countries," Energy Economics, Elsevier, vol. 40(C), pages 81-89.
    11. de Groot, Henri L. F. & Verhoef, Erik T. & Nijkamp, Peter, 2001. "Energy saving by firms: decision-making, barriers and policies," Energy Economics, Elsevier, vol. 23(6), pages 717-740, November.
    12. Ahmed, Rasha & Segerson, Kathleen, 2011. "Collective voluntary agreements to eliminate polluting products," Resource and Energy Economics, Elsevier, vol. 33(3), pages 572-588, September.
    13. Tobias Fleitera & Joachim Schleich & Ployplearn Ravivanpong, 2012. "Adoption of energy-efficiency measures in SMEs - An empirical analysis based on energy audit data," Grenoble Ecole de Management (Post-Print) hal-00805748, HAL.

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