IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v194y2017icp635-647.html
   My bibliography  Save this article

Investigating carbon tax pilot in YRD urban agglomerations—Analysis of a novel ESER system with carbon tax constraints and its application

Author

Listed:
  • Fang, Guochang
  • Tian, Lixin
  • Fu, Min
  • Sun, Mei
  • Du, Ruijin
  • Liu, Menghe

Abstract

This paper attempts to explore carbon tax pilot in Yangtze River Delta (YRD) urban agglomerations based on a novel energy-saving and emission-reduction (ESER) system with carbon tax constraints, which has not yet been discussed in present literature. A novel carbon tax attractor is achieved through the discussion of the dynamic behavior of the new system. Based on the genetic algorithm-back propagation neural network, the quantitative coefficients of the actual system are identified. The scenario analysis results show that, under the same tax rate and constraint conditions, the ESER system in YRD urban agglomerations is superior to the average case in China, in which the impacts on economic growth are almost the same. The former’s energy intensity is lower and the shock resistance is stronger. It is found that economic property of YRD urban agglomerations is the main cause for the ESER system of YRD urban agglomerations being superior. In the current YRD urban agglomerations’ ESER system, energy intensity cannot be adjusted to an ideal level by commercialization management and government control; however, it is under effective control of carbon tax incentives. Therefore, strengthening the economic property of YRD urban agglomerations and effective utilization of carbon tax incentives could perfectly control energy intensity, without obvious potential negative impact on economic growth.

Suggested Citation

  • Fang, Guochang & Tian, Lixin & Fu, Min & Sun, Mei & Du, Ruijin & Liu, Menghe, 2017. "Investigating carbon tax pilot in YRD urban agglomerations—Analysis of a novel ESER system with carbon tax constraints and its application," Applied Energy, Elsevier, vol. 194(C), pages 635-647.
    • Handle: RePEc:eee:appene:v:194:y:2017:i:c:p:635-647
    DOI: 10.1016/j.apenergy.2016.02.041
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261916301647
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.apenergy.2016.02.041?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 search for a different version of it.

    References listed on IDEAS

    as
    1. Yoon, Hae-Sung & Kim, Eun-Seob & Kim, Min-Soo & Lee, Jang-Yeob & Lee, Gyu-Bong & Ahn, Sung-Hoon, 2015. "Towards greener machine tools – A review on energy saving strategies and technologies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 48(C), pages 870-891.
    2. Gerbelová, Hana & Amorim, Filipa & Pina, André & Melo, Mário & Ioakimidis, Christos & Ferrão, Paulo, 2014. "Potential of CO2 (carbon dioxide) taxes as a policy measure towards low-carbon Portuguese electricity sector by 2050," Energy, Elsevier, vol. 69(C), pages 113-119.
    3. Wang, Qunwei & Su, Bin & Sun, Jiasen & Zhou, Peng & Zhou, Dequn, 2015. "Measurement and decomposition of energy-saving and emissions reduction performance in Chinese cities," Applied Energy, Elsevier, vol. 151(C), pages 85-92.
    4. Fang, Guochang & Tian, Lixin & Fu, Min & Sun, Mei, 2013. "The impacts of carbon tax on energy intensity and economic growth – A dynamic evolution analysis on the case of China," Applied Energy, Elsevier, vol. 110(C), pages 17-28.
    5. Beck, Marisa & Rivers, Nicholas & Wigle, Randall & Yonezawa, Hidemichi, 2015. "Carbon tax and revenue recycling: Impacts on households in British Columbia," Resource and Energy Economics, Elsevier, vol. 41(C), pages 40-69.
    6. Cheng, Yung-Hsiang & Chang, Yu-Hern & Lu, I.J., 2015. "Urban transportation energy and carbon dioxide emission reduction strategies," Applied Energy, Elsevier, vol. 157(C), pages 953-973.
    7. Stram, Bruce Nels, 2014. "A new strategic plan for a carbon tax," Energy Policy, Elsevier, vol. 73(C), pages 519-523.
    8. Favoino, Fabio & Overend, Mauro & Jin, Qian, 2015. "The optimal thermo-optical properties and energy saving potential of adaptive glazing technologies," Applied Energy, Elsevier, vol. 156(C), pages 1-15.
    9. Alton, Theresa & Arndt, Channing & Davies, Rob & Hartley, Faaiqa & Makrelov, Konstantin & Thurlow, James & Ubogu, Dumebi, 2014. "Introducing carbon taxes in South Africa," Applied Energy, Elsevier, vol. 116(C), pages 344-354.
    10. Almansoori, Ali & Betancourt-Torcat, Alberto, 2015. "Design optimization model for the integration of renewable and nuclear energy in the United Arab Emirates’ power system," Applied Energy, Elsevier, vol. 148(C), pages 234-251.
    11. Bristow, Abigail L. & Wardman, Mark & Zanni, Alberto M. & Chintakayala, Phani K., 2010. "Public acceptability of personal carbon trading and carbon tax," Ecological Economics, Elsevier, vol. 69(9), pages 1824-1837, July.
    12. Chiu, Fan-Ping & Kuo, Hsiao-I. & Chen, Chi-Chung & Hsu, Chia-Sheng, 2015. "The energy price equivalence of carbon taxes and emissions trading—Theory and evidence," Applied Energy, Elsevier, vol. 160(C), pages 164-171.
    13. Rashidi, Kamran & Farzipoor Saen, Reza, 2015. "Measuring eco-efficiency based on green indicators and potentials in energy saving and undesirable output abatement," Energy Economics, Elsevier, vol. 50(C), pages 18-26.
    14. Behboodi, Sahand & Chassin, David P. & Crawford, Curran & Djilali, Ned, 2016. "Renewable resources portfolio optimization in the presence of demand response," Applied Energy, Elsevier, vol. 162(C), pages 139-148.
    15. Fang, Guochang & Tian, Lixin & Fu, Min & Sun, Mei, 2014. "Government control or low carbon lifestyle? – Analysis and application of a novel selective-constrained energy-saving and emission-reduction dynamic evolution system," Energy Policy, Elsevier, vol. 68(C), pages 498-507.
    16. Singh, Anuraj & Gakkhar, Sunita, 2015. "Controlling chaos in a food chain model," Mathematics and Computers in Simulation (MATCOM), Elsevier, vol. 115(C), pages 24-36.
    17. Li, Yuan & Zhu, Lei, 2014. "Cost of energy saving and CO2 emissions reduction in China’s iron and steel sector," Applied Energy, Elsevier, vol. 130(C), pages 603-616.
    18. Benedetti, Miriam & Cesarotti, Vittorio & Introna, Vito & Serranti, Jacopo, 2016. "Energy consumption control automation using Artificial Neural Networks and adaptive algorithms: Proposal of a new methodology and case study," Applied Energy, Elsevier, vol. 165(C), pages 60-71.
    19. Fang, Guochang & Tian, Lixin & Sun, Mei & Fu, Min, 2012. "Analysis and application of a novel three-dimensional energy-saving and emission-reduction dynamic evolution system," Energy, Elsevier, vol. 40(1), pages 291-299.
    20. Yue-Jun Zhang & Ya-Bin Da, 2013. "Decomposing the changes of energy-related carbon emissions in China: evidence from the PDA approach," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 69(1), pages 1109-1122, October.
    21. Charles Raux & Yves Croissant & Damien Pons, 2015. "Would personal carbon trading reduce travel emissions more effectively than a carbon tax?," Post-Print halshs-01099917, HAL.
    22. Narayan, Paresh Kumar & Sharma, Susan Sunila, 2015. "Is carbon emissions trading profitable?," Economic Modelling, Elsevier, vol. 47(C), pages 84-92.
    23. Zhang, Yue-Jun & Da, Ya-Bin, 2015. "The decomposition of energy-related carbon emission and its decoupling with economic growth in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 41(C), pages 1255-1266.
    24. Mathur, Aparna & Morris, Adele C., 2014. "Distributional effects of a carbon tax in broader U.S. fiscal reform," Energy Policy, Elsevier, vol. 66(C), pages 326-334.
    25. Zhang, Yue-Jun & Peng, Hua-Rong & Liu, Zhao & Tan, Weiping, 2015. "Direct energy rebound effect for road passenger transport in China: A dynamic panel quantile regression approach," Energy Policy, Elsevier, vol. 87(C), pages 303-313.
    26. Allan, Grant & Lecca, Patrizio & McGregor, Peter & Swales, Kim, 2014. "The economic and environmental impact of a carbon tax for Scotland: A computable general equilibrium analysis," Ecological Economics, Elsevier, vol. 100(C), pages 40-50.
    27. Ferrari, Alessandro & Paolicelli, Federica & Pizzo, Pietro, 2015. "The new-generation of solenoid injectors equipped with pressure-balanced pilot valves for energy saving and dynamic response improvement," Applied Energy, Elsevier, vol. 151(C), pages 367-376.
    28. Chang, Kai & Chang, Hao, 2016. "Cutting CO2 intensity targets of interprovincial emissions trading in China," Applied Energy, Elsevier, vol. 163(C), pages 211-221.
    29. Longfei He & Daozhi Zhao & Liangjie Xia, 2015. "Game Theoretic Analysis of Carbon Emission Abatement in Fashion Supply Chains Considering Vertical Incentives and Channel Structures," Sustainability, MDPI, vol. 7(4), pages 1-30, April.
    30. Yue-Jun Zhang & Zhao Liu & Huan Zhang & Tai-De Tan, 2014. "The impact of economic growth, industrial structure and urbanization on carbon emission intensity in China," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 73(2), pages 579-595, September.
    31. Karan, Ebrahim & Mohammadpour, Atefeh & Asadi, Somayeh, 2016. "Integrating building and transportation energy use to design a comprehensive greenhouse gas mitigation strategy," Applied Energy, Elsevier, vol. 165(C), pages 234-243.
    32. Hamamoto, Mitsutsugu, 2013. "Energy-saving behavior and marginal abatement cost for household CO2 emissions," Energy Policy, Elsevier, vol. 63(C), pages 809-813.
    33. Dissou, Yazid & Siddiqui, Muhammad Shahid, 2014. "Can carbon taxes be progressive?," Energy Economics, Elsevier, vol. 42(C), pages 88-100.
    34. Panepinto, Deborah & Fiore, Silvia & Zappone, Mariantonia & Genon, Giuseppe & Meucci, Lorenza, 2016. "Evaluation of the energy efficiency of a large wastewater treatment plant in Italy," Applied Energy, Elsevier, vol. 161(C), pages 404-411.
    35. Deng, Qianli & Jiang, Xianglin & Cui, Qingbin & Zhang, Limao, 2015. "Strategic design of cost savings guarantee in energy performance contracting under uncertainty," Applied Energy, Elsevier, vol. 139(C), pages 68-80.
    36. Liu, Yu & Lu, Yingying, 2015. "The Economic impact of different carbon tax revenue recycling schemes in China: A model-based scenario analysis," Applied Energy, Elsevier, vol. 141(C), pages 96-105.
    37. Yang, Guangfei & Li, Wenli & Wang, Jianliang & Zhang, Dongqing, 2016. "A comparative study on the influential factors of China's provincial energy intensity," Energy Policy, Elsevier, vol. 88(C), pages 74-85.
    38. Chen, Shaoqing & Chen, Bin, 2015. "Urban energy consumption: Different insights from energy flow analysis, input–output analysis and ecological network analysis," Applied Energy, Elsevier, vol. 138(C), pages 99-107.
    39. Clancy, J.M. & Gaffney, F. & Deane, J.P. & Curtis, J. & Ó Gallachóir, B.P., 2015. "Fossil fuel and CO2 emissions savings on a high renewable electricity system – A single year case study for Ireland," Energy Policy, Elsevier, vol. 83(C), pages 151-164.
    40. Fahimnia, Behnam & Sarkis, Joseph & Choudhary, Alok & Eshragh, Ali, 2015. "Tactical supply chain planning under a carbon tax policy scheme: A case study," International Journal of Production Economics, Elsevier, vol. 164(C), pages 206-215.
    41. Wu, Libo & Qian, Haoqi & Li, Jin, 2014. "Advancing the experiment to reality: Perspectives on Shanghai pilot carbon emissions trading scheme," Energy Policy, Elsevier, vol. 75(C), pages 22-30.
    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


    Cited by:

    1. Liu, Lirong & Huang, Guohe & Baetz, Brian & Zhang, Kaiqiang, 2018. "Environmentally-extended input-output simulation for analyzing production-based and consumption-based industrial greenhouse gas mitigation policies," Applied Energy, Elsevier, vol. 232(C), pages 69-78.
    2. Shuchao Wang & Peishu Chen & Weicai Peng, 2023. "Environmental assessment of regional cooperative elderly care: a case study of the Yangtze River Delta," Economic Change and Restructuring, Springer, vol. 56(6), pages 3979-4007, December.
    3. Tian, Lixin & Pan, Jianglai & Du, Ruijin & Li, Wenchao & Zhen, Zaili & Qibing, Gao, 2017. "The valuation of photovoltaic power generation under carbon market linkage based on real options," Applied Energy, Elsevier, vol. 201(C), pages 354-362.
    4. Freyre, Alisa & Klinke, Sandra & Patel, Martin K., 2020. "Carbon tax and energy programs for buildings: Rivals or allies?," Energy Policy, Elsevier, vol. 139(C).
    5. Xinghua Fan & Ying Zhang & Jiuli Yin, 2018. "Evolutionary Analysis of a Three-Dimensional Carbon Price Dynamic System," Sustainability, MDPI, vol. 11(1), pages 1-15, December.
    6. Fang, Guochang & Tian, Lixin & Fu, Min & Sun, Mei & He, Yu & Lu, Longxi, 2018. "How to promote the development of energy-saving and emission-reduction with changing economic growth rate—A case study of China," Energy, Elsevier, vol. 143(C), pages 732-745.
    7. Yuan Zeng & Wengang Zhang & Jingwen Sun & Li’ao Sun & Jun Wu, 2023. "Research on Regional Carbon Emission Reduction in the Beijing–Tianjin–Hebei Urban Agglomeration Based on System Dynamics: Key Factors and Policy Analysis," Energies, MDPI, vol. 16(18), pages 1-20, September.
    8. Feng Liu & Tao Lv & Yuan Meng & Xiaoran Hou & Jie Xu & Xu Deng, 2022. "Low-Carbon Transition Paths of Coal Power in China’s Provinces under the Context of the Carbon Trading Scheme," Sustainability, MDPI, vol. 14(15), pages 1-14, August.
    9. Munguía-López, Aurora del Carmen & González-Bravo, Ramón & Ponce-Ortega, José María, 2019. "Evaluation of carbon and water policies in the optimization of water distribution networks involving power-desalination plants," Applied Energy, Elsevier, vol. 236(C), pages 927-936.
    10. Liu, Lirong & Huang, Charley Z. & Huang, Guohe & Baetz, Brian & Pittendrigh, Scott M., 2018. "How a carbon tax will affect an emission-intensive economy: A case study of the Province of Saskatchewan, Canada," Energy, Elsevier, vol. 159(C), pages 817-826.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wang, Qian & Hubacek, Klaus & Feng, Kuishuang & Wei, Yi-Ming & Liang, Qiao-Mei, 2016. "Distributional effects of carbon taxation," Applied Energy, Elsevier, vol. 184(C), pages 1123-1131.
    2. Fang, Guochang & Tian, Lixin & Fu, Min & Sun, Mei & He, Yu & Lu, Longxi, 2018. "How to promote the development of energy-saving and emission-reduction with changing economic growth rate—A case study of China," Energy, Elsevier, vol. 143(C), pages 732-745.
    3. Freyre, Alisa & Klinke, Sandra & Patel, Martin K., 2020. "Carbon tax and energy programs for buildings: Rivals or allies?," Energy Policy, Elsevier, vol. 139(C).
    4. Fang, Guochang & Tian, Lixin & Liu, Menghe & Fu, Min & Sun, Mei, 2018. "How to optimize the development of carbon trading in China—Enlightenment from evolution rules of the EU carbon price," Applied Energy, Elsevier, vol. 211(C), pages 1039-1049.
    5. Wesseh, Presley K. & Lin, Boqiang, 2018. "Optimal carbon taxes for China and implications for power generation, welfare, and the environment," Energy Policy, Elsevier, vol. 118(C), pages 1-8.
    6. Wesseh, Presley K. & Lin, Boqiang & Atsagli, Philip, 2017. "Carbon taxes, industrial production, welfare and the environment," Energy, Elsevier, vol. 123(C), pages 305-313.
    7. Fang, Guochang & Tian, Lixin & Fu, Min & Sun, Mei & Du, Ruijin & Lu, Longxi & He, Yu, 2017. "The effect of energy construction adjustment on the dynamical evolution of energy-saving and emission-reduction system in China," Applied Energy, Elsevier, vol. 196(C), pages 180-189.
    8. Zhang, Yue-Jun & Peng, Hua-Rong & Su, Bin, 2017. "Energy rebound effect in China's Industry: An aggregate and disaggregate analysis," Energy Economics, Elsevier, vol. 61(C), pages 199-208.
    9. Hong, Jingke & Shen, Qiping & Xue, Fan, 2016. "A multi-regional structural path analysis of the energy supply chain in China's construction industry," Energy Policy, Elsevier, vol. 92(C), pages 56-68.
    10. Zhang, Yue-Jun & Liu, Zhao & Qin, Chang-Xiong & Tan, Tai-De, 2017. "The direct and indirect CO2 rebound effect for private cars in China," Energy Policy, Elsevier, vol. 100(C), pages 149-161.
    11. Zhang, Kun & Wang, Qian & Liang, Qiao-Mei & Chen, Hao, 2016. "A bibliometric analysis of research on carbon tax from 1989 to 2014," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 297-310.
    12. Wesseh, Presley K. & Lin, Boqiang, 2016. "Modeling environmental policy with and without abatement substitution: A tradeoff between economics and environment?," Applied Energy, Elsevier, vol. 167(C), pages 34-43.
    13. Chiu, Fan-Ping & Kuo, Hsiao-I. & Chen, Chi-Chung & Hsu, Chia-Sheng, 2015. "The energy price equivalence of carbon taxes and emissions trading—Theory and evidence," Applied Energy, Elsevier, vol. 160(C), pages 164-171.
    14. Macdonald, Kevin & Patrinos, Harry Anthony, 2021. "Education Quality, Green Technology, and the Economic Impact of Carbon Pricing," GLO Discussion Paper Series 955, Global Labor Organization (GLO).
    15. Li, Wei & Jia, Zhijie, 2016. "The impact of emission trading scheme and the ratio of free quota: A dynamic recursive CGE model in China," Applied Energy, Elsevier, vol. 174(C), pages 1-14.
    16. Gevrek, Z.Eylem & Uyduranoglu, Ayse, 2015. "Public preferences for carbon tax attributes," Ecological Economics, Elsevier, vol. 118(C), pages 186-197.
    17. Nils Ohlendorf & Michael Jakob & Jan Christoph Minx & Carsten Schröder & Jan Christoph Steckel, 2021. "Distributional Impacts of Carbon Pricing: A Meta-Analysis," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 78(1), pages 1-42, January.
    18. Mireille Chiroleu-Assouline, 2022. "Rendre acceptable la nécessaire taxation du carbone. Quelles pistes pour la France ?," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(1), pages 15-53.
    19. Yan-Qing Kang & Tao Zhao & Peng Wu, 2016. "Impacts of energy-related CO 2 emissions in China: a spatial panel data technique," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 81(1), pages 405-421, March.
    20. Tian, Xu & Dai, Hancheng & Geng, Yong & Huang, Zhen & Masui, Toshihiko & Fujita, Tsuyoshi, 2017. "The effects of carbon reduction on sectoral competitiveness in China: A case of Shanghai," Applied Energy, Elsevier, vol. 197(C), pages 270-278.

    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:appene:v:194:y:2017:i:c:p:635-647. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc 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 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.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description .

    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.