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Survival of the cleanest? Evidence from a plant-level analysis of pollutant emissions in Canadian pulp and paper industry, 2005–2013

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Listed:
  • Jean-Thomas Bernard

    (University of Ottawa)

  • Jakir Hussain

    (University of Ottawa
    Government of Canada)

  • Mishaal Masud Sinha

    (University of Ottawa)

Abstract

We capitalize on access to plant-level data in examining the changes in emissions of biochemical oxygen demand (BOD), total suspended solids (TSS), and greenhouse gas (GHG) for a set of Canadian pulp and paper mills from 2005 to 2013. In particular, we investigate the roles played by changes in output, emission intensity, allocation of production among surviving plants, and plant closures. Output change is the main factor and improvement of emission intensity by surviving plants—the so-called technique effect—brings a small, yet positive contribution. However, there are no indications that market operations determining plant output and plant survival lead to lower emissions.

Suggested Citation

  • Jean-Thomas Bernard & Jakir Hussain & Mishaal Masud Sinha, 2020. "Survival of the cleanest? Evidence from a plant-level analysis of pollutant emissions in Canadian pulp and paper industry, 2005–2013," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 22(2), pages 109-126, April.
    • Handle: RePEc:spr:envpol:v:22:y:2020:i:2:d:10.1007_s10018-019-00254-6
    DOI: 10.1007/s10018-019-00254-6
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    References listed on IDEAS

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    1. Arik Levinson, 2015. "A Direct Estimate of the Technique Effect: Changes in the Pollution Intensity of US Manufacturing, 1990-2008," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 2(1), pages 43-56.
    2. Hailu, Atakelty & Hailu, Atakelty, 2003. "Pollution abatement and productivity performance of regional Canadian pulp and paper industries," Journal of Forest Economics, Elsevier, vol. 9(1), pages 5-25.
    3. Joseph S. Shapiro & Reed Walker, 2018. "Why Is Pollution from US Manufacturing Declining? The Roles of Environmental Regulation, Productivity, and Trade," American Economic Review, American Economic Association, vol. 108(12), pages 3814-3854, December.
    4. Michael Greenstone & John A. List & Chad Syverson, 2011. "The Effects of Environmental Regulation on the Competiveness of U.S. Manufacturing," Working Papers 11-03, Center for Economic Studies, U.S. Census Bureau.
    5. Arik Levinson, 2009. "Technology, International Trade, and Pollution from US Manufacturing," American Economic Review, American Economic Association, vol. 99(5), pages 2177-2192, December.
    6. William F. Sinclair, 1991. "Controlling Effluent Discharges from Canadian Pulp and Paper Manufacturers," Canadian Public Policy, University of Toronto Press, vol. 17(1), pages 86-105, March.
    7. Claire Brunel, 2017. "Pollution Offshoring and Emission Reductions in EU and US Manufacturing," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 68(3), pages 621-641, November.
    8. Julie Adès & Jean-Thomas Bernard & Patrick González, 2012. "Energy Use and GHG Emissions in the Quebec Pulp and Paper Industry, 1990-2006," Canadian Public Policy, University of Toronto Press, vol. 38(1), pages 71-90, March.
    9. Joseph E. Aldy, 2017. "Frameworks for Evaluating Policy Approaches to Address the Competitiveness Concerns of Mitigating Greenhouse Gas Emissions," National Tax Journal, National Tax Association;National Tax Journal, vol. 70(2), pages 395-420, June.
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    Cited by:

    1. Furszyfer Del Rio, Dylan D. & Sovacool, Benjamin K. & Griffiths, Steve & Bazilian, Morgan & Kim, Jinsoo & Foley, Aoife M. & Rooney, David, 2022. "Decarbonizing the pulp and paper industry: A critical and systematic review of sociotechnical developments and policy options," Renewable and Sustainable Energy Reviews, Elsevier, vol. 167(C).

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    More about this item

    Keywords

    Biochemical oxygen demand (BOD); Total suspended solids (TSS); Greenhouse gas (GHG) emissions; Technique effect; Pulp and paper industry;
    All these keywords.

    JEL classification:

    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation

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