Cost-effectiveness analysis of algae energy production in the EU
Today's society relies heavily on fossil fuels as a main energy source. Global energy demand increase, energy security and climate change are the main drivers of the transition towards alternative energy sources. This paper analyses algal biodiesel production for the EU road transportation and compares it to the fossil fuels and 1st generation biofuels. A cost-effectiveness analysis was used to aggregate private and external costs and derive the social cost of each fuel. The following externalities were internalized: emissions (GHG and non-GHG), food prices impact, pesticides/fertilizers use and security of supply. Currently the social cost of producing algal biodiesel at 52.3Â [euro]Â GJ-1 is higher than rapeseed biodiesel (36.0Â [euro]Â GJ-1) and fossil fuels (15.8Â [euro]Â GJ-1). Biotechnology development, high crude oil prices and high carbon value are the key features of the scenario where algal biodiesel outcompetes all other fuels. A substantial investment into the biotechnology sector and comprehensive environmental research and policy are required to make that scenario a reality.
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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
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.:
- Rajagopal, Deepak & Zilberman, David, 2007. "Review of environmental, economic and policy aspects of biofuels," Policy Research Working Paper Series 4341, The World Bank.
- David Pimentel, 2005. "‘Environmental and Economic Costs of the Application of Pesticides Primarily in the United States’," Environment, Development and Sustainability, Springer, vol. 7(2), pages 229-252, 06.
- Wesseler, Justus, 2007. "Opportunities (`costs) matter: A comment on Pimentel and Patzek "Ethanol production using corn, switchgrass, and wood; biodiesel production using soybean and sunflower"," Energy Policy, Elsevier, vol. 35(2), pages 1414-1416, February.
- Pretty, J. N. & Brett, C. & Gee, D. & Hine, R. E. & Mason, C. F. & Morison, J. I. L. & Raven, H. & Rayment, M. D. & van der Bijl, G., 2000. "An assessment of the total external costs of UK agriculture," Agricultural Systems, Elsevier, vol. 65(2), pages 113-136, August.
- Wesseler, Justus & Scatasta, Sara & Nillesen, Eleonora, 2007. "The maximum incremental social tolerable irreversible costs (MISTICs) and other benefits and costs of introducing transgenic maize in the EU-15," MPRA Paper 33229, University Library of Munich, Germany.
- Tsoskounoglou, Miltos & Ayerides, George & Tritopoulou, Efi, 2008. "The end of cheap oil: Current status and prospects," Energy Policy, Elsevier, vol. 36(10), pages 3797-3806, October.
- Delucchi, Mark, 2005. "A Multi-Country Analysis Of Lifecycle Emissions From Transportation Fuels And Motor Vehicles," Institute of Transportation Studies, Working Paper Series qt5x20v080, Institute of Transportation Studies, UC Davis.
- Delucchi, Mark, 2005. "A Multi-Country Analysis of Lifecycle Emissions From Transportation Fuels and Motor Vehicles," Institute of Transportation Studies, Working Paper Series qt1z392071, Institute of Transportation Studies, UC Davis.
- Delucchi, Mark, 2005. "A Multi-Country Analysis of Lifecycle Emissions From Transportation Fuels and Motor Vehicles," Institute of Transportation Studies, Working Paper Series qt8nf3606c, Institute of Transportation Studies, UC Davis.
- Zachariadis, Theodoros, 2006. "On the baseline evolution of automobile fuel economy in Europe," Energy Policy, Elsevier, vol. 34(14), pages 1773-1785, September.
- David J. EVANS, 2006. "Social discount rates for the European Union," Departmental Working Papers 2006-20, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
- Jotzo, Frank & Michaelowa, Axel, 2001. "Estimating the CDM market under the Bonn Agreement," HWWA Discussion Papers 145, Hamburg Institute of International Economics (HWWA).
- Hamelinck, Carlo N & Faaij, Andre P.C., 2006. "Outlook for advanced biofuels," Energy Policy, Elsevier, vol. 34(17), pages 3268-3283, November.
When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:38:y:2010:i:10:p:5749-5757. 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: (Zhang, Lei)
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.