Advanced Search
MyIDEAS: Login to save this paper or follow this series

Carbon Emission Values in Cost Benefit Analyses

Contents:

Author Info

  • Mandell, Svante

    ()
    (vti – Swedish National Road and Transport Research Institute)

Abstract

New infrastructure projects may affect CO2 emissions and, thus, cost benefit analyses for these projects require a value to apply for CO2. The value may be based on the marginal social cost associated with emissions or on the shadow price resulting from present and future policies geared towards CO2 emissions. In the present paper it is argued that the social cost approach should be seen as preceding the shadow price approach. Both are thus necessary, but for cost benefit analysis of infrastructure projects we argue for the shadow price approach as the primary tool. There is a series of complications involved when applying this principle in practice. Several of these are discussed in the paper, including non-marginal projects that affect permit prices, non-transparent permit markets, different instruments capturing different aspects of a CO2-value, multiple policies present simultaneously etc.

Download Info

If 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.
File URL: http://www.transportportal.se/SWoPEc/Carbon%20emission%20values%20in%20CBA%20WP.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Swedish National Road & Transport Research Institute (VTI) in its series Working Papers with number 2010:4.

as in new window
Length: 20 pages
Date of creation: 20 Jan 2010
Date of revision:
Handle: RePEc:hhs:vtiwps:2010_004

Contact details of provider:
Postal: VTI, Transport Economics, P.O. Box 6056, SE-171 06 Solna, Sweden
Phone: +46-13-20 40 00
Fax: +46-13-14 14 36
Email:
Web page: http://www.vti.se/tek
More information through EDIRC

Related research

Keywords: Climate change; policy; cost-benefit analysis; carbon value;

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
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.:
as in new window
  1. Pizer, William A., 2002. "Combining price and quantity controls to mitigate global climate change," Journal of Public Economics, Elsevier, Elsevier, vol. 85(3), pages 409-434, September.
  2. Mandell, Svante, 2008. "Steering the European transport greenhouse gas emissions under uncertainty," Working Papers, Swedish National Road & Transport Research Institute (VTI) 2008:4, Swedish National Road & Transport Research Institute (VTI).
  3. Mandell, Svante, 2008. "Optimal mix of emissions taxes and cap-and-trade," Journal of Environmental Economics and Management, Elsevier, vol. 56(2), pages 131-140, September.
  4. Tol, Richard S. J., 2008. "The Social Cost of Carbon: Trends, Outliers and Catastrophes," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy, vol. 2(25), pages 1-22.
  5. Pearce, David W, 1991. "The Role of Carbon Taxes in Adjusting to Global Warming," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 101(407), pages 938-48, July.
  6. Lori Bennear & Robert Stavins, 2007. "Second-best theory and the use of multiple policy instruments," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 37(1), pages 111-129, May.
  7. Tol, Richard S. J., 2005. "The marginal damage costs of carbon dioxide emissions: an assessment of the uncertainties," Energy Policy, Elsevier, Elsevier, vol. 33(16), pages 2064-2074, November.
  8. David Pearce, 2003. "The Social Cost of Carbon and its Policy Implications," Oxford Review of Economic Policy, Oxford University Press, Oxford University Press, vol. 19(3), pages 362-384.
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 in new window

Cited by:
  1. Mandell, Svante & Nilsson, Jan-Eric & Vierth, Inge, 2014. "Freight transport, policy instruments and climate," Working Paper Series 14/3, Department of Real Estate and Construction Management & Centre for Banking and Finance (cefin), Royal Institute of Technology.
  2. Mouter, Niek & Annema, Jan Anne & van Wee, Bert, 2013. "Ranking the substantive problems in the Dutch Cost–Benefit Analysis practice," Transportation Research Part A: Policy and Practice, Elsevier, Elsevier, vol. 49(C), pages 241-255.
  3. Mandell, Svante & Nilsson , Jan-Eric & Vierth , Inge, 2014. "Freight transport, policy instruments and climate," Working papers in Transport Economics, CTS - Centre for Transport Studies Stockholm (KTH and VTI) 2014:5, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
  4. Huse, Cristian & Lucinda, Claudio, 2013. "The Market Impact and the Cost of Environmental Policy: Evidence from the Swedish Green Car Rebate," MPRA Paper 48905, University Library of Munich, Germany.
  5. Yu-Ling Chen & Yi-Hsuan Shih & Chao-Heng Tseng & Sy-Yuan Kang & Huang-Chin Wang, 2013. "Economic and health benefits of the co-reduction of air pollutants and greenhouse gases," Mitigation and Adaptation Strategies for Global Change, Springer, Springer, vol. 18(8), pages 1125-1139, December.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:hhs:vtiwps:2010_004. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mats Berggren).

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.