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Global Warming Damages and Canadas Oil Sands

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  • Leslie M. Shiell

    ()
    (Department of Economics, University of Ottawa)

  • Suzanne Loney

    (Department of Economics, University of Ottawa)

Abstract

The social net benefit of energy investments differs from private profitability by the value of environmental damages, among other things. Estimates of damages associated with greenhouse gas emissions are obtained from the literature, ranging from $15 to $64 ($C 2004) per tonne of carbon. These values are shown to be equivalent to $2 - $8 per barrel of crude oil obtained from Canada’s oil sands, based on emissions intensities of Suncor Energy Inc. It is estimated that taking these costs into account would lower the social net benefit of Suncor’s oil sands production for 2004-2005 by a central value of 18 %.

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Bibliographic Info

Paper provided by University of Ottawa, Department of Economics in its series Working Papers with number 0601E.

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Length: 33 pages
Date of creation: 2006
Date of revision:
Handle: RePEc:ott:wpaper:0601e

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Keywords: environmental damages; greenhouse gas emissions; oil sands;

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