IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v38y2010i4p1900-1908.html
   My bibliography  Save this article

Assessing the influence of manufacturing sectors on electricity demand. A cross-country input-output approach

Author

Listed:
  • Tarancón, Miguel Angel
  • del Río, Pablo
  • Callejas Albiñana, Fernando

Abstract

The production and consumption of electricity is a major source of CO2 emissions in Europe and elsewhere. In turn, the manufacturing sectors are significant end-users of electricity. In contrast to most papers in the literature, which focus on the supply-side, this study tackles the demand-side of electricity. An input-output approach combined with a sensitivity analysis has been developed to analyse the direct and indirect consumptions of electricity by eighteen manufacturing sectors in fifteen European countries, with indirect electricity demand related to the purchase of industrial products from other sectors which, in turn, require the consumption of electricity in their manufacturing processes. We identify the industrial transactions and sectors, which account for a greater share of electricity demand. In addition, the impact of an electricity price increase on the costs and prices of manufacturing products is simulated through a price model, allowing us to identify those sectors whose manufacturing costs are most sensitive to an increase in the electricity price.

Suggested Citation

  • Tarancón, Miguel Angel & del Río, Pablo & Callejas Albiñana, Fernando, 2010. "Assessing the influence of manufacturing sectors on electricity demand. A cross-country input-output approach," Energy Policy, Elsevier, vol. 38(4), pages 1900-1908, April.
  • Handle: RePEc:eee:enepol:v:38:y:2010:i:4:p:1900-1908
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301-4215(09)00920-3
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    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. Ferng, Jiun-Jiun, 2003. "Allocating the responsibility of CO2 over-emissions from the perspectives of benefit principle and ecological deficit," Ecological Economics, Elsevier, vol. 46(1), pages 121-141, August.
    2. Lenzen, Manfred, 1998. "Primary energy and greenhouse gases embodied in Australian final consumption: an input-output analysis," Energy Policy, Elsevier, vol. 26(6), pages 495-506, May.
    3. Liddle, Brantley, 2009. "Electricity intensity convergence in IEA/OECD countries: Aggregate and sectoral analysis," Energy Policy, Elsevier, vol. 37(4), pages 1470-1478, April.
    4. Henning, Dag & Trygg, Louise, 2008. "Reduction of electricity use in Swedish industry and its impact on national power supply and European CO2 emissions," Energy Policy, Elsevier, vol. 36(7), pages 2330-2350, July.
    5. Thijs ten Raa & José Manuel Rueda-Cantuche, 2009. "The Construction of Input–Output Coefficients Matrices in an Axiomatic Context: Some Further Considerations," World Scientific Book Chapters, in: Input–Output Economics: Theory And Applications Featuring Asian Economies, chapter 6, pages 77-101, World Scientific Publishing Co. Pte. Ltd..
    6. Manfred Lenzen & Lise-Lotte Pade & Jesper Munksgaard, 2004. "CO2 Multipliers in Multi-region Input-Output Models," Economic Systems Research, Taylor & Francis Journals, vol. 16(4), pages 391-412.
    7. Mette Wier, 1998. "Sources of Changes in Emissions from Energy: A Structural Decomposition Analysis," Economic Systems Research, Taylor & Francis Journals, vol. 10(2), pages 99-112.
    8. Roca, Jordi & Serrano, Monica, 2007. "Income growth and atmospheric pollution in Spain: An input-output approach," Ecological Economics, Elsevier, vol. 63(1), pages 230-242, June.
    9. Graham Treloar, 1997. "Extracting Embodied Energy Paths from Input-Output Tables: Towards an Input-Output-based Hybrid Energy Analysis Method," Economic Systems Research, Taylor & Francis Journals, vol. 9(4), pages 375-391.
    10. Mongelli, I. & Tassielli, G. & Notarnicola, B., 2006. "Global warming agreements, international trade and energy/carbon embodiments: an input-output approach to the Italian case," Energy Policy, Elsevier, vol. 34(1), pages 88-100, January.
    11. Sanchez-Choliz, Julio & Duarte, Rosa, 2004. "CO2 emissions embodied in international trade: evidence for Spain," Energy Policy, Elsevier, vol. 32(18), pages 1999-2005, December.
    12. Rutger Hoekstra & Marco Janssen, 2006. "Environmental responsibility and policy in a two-country dynamic input-output model," Economic Systems Research, Taylor & Francis Journals, vol. 18(1), pages 61-84.
    13. Tarancón Morán, Miguel Ángel & del Ri­o, Pablo & Albiñana, Fernando Callejas, 2008. "Tracking the genealogy of CO2 emissions in the electricity sector: An intersectoral approach applied to the Spanish case," Energy Policy, Elsevier, vol. 36(6), pages 1915-1926, June.
    14. Munksgaard, Jesper & Pedersen, Klaus Alsted, 2001. "CO2 accounts for open economies: producer or consumer responsibility?," Energy Policy, Elsevier, vol. 29(4), pages 327-334, March.
    15. Machado, Giovani & Schaeffer, Roberto & Worrell, Ernst, 2001. "Energy and carbon embodied in the international trade of Brazil: an input-output approach," Ecological Economics, Elsevier, vol. 39(3), pages 409-424, December.
    16. Chang, Yih F & Lin, Sue J, 1998. "Structural decomposition of industrial CO2 emission in Taiwan: an input-output approach," Energy Policy, Elsevier, vol. 26(1), pages 5-12, January.
    17. Miguel angel Tarancon & Fernando Callejas & Erik Dietzenbacher & Michael Lahr, 2008. "A Revision of the Tolerable Limits Approach: Searching for the Important Coefficients," Economic Systems Research, Taylor & Francis Journals, vol. 20(1), pages 75-95.
    18. Butnar, Isabela & Llop, Maria, 2007. "Composition of greenhouse gas emissions in Spain: An input-output analysis," Ecological Economics, Elsevier, vol. 61(2-3), pages 388-395, March.
    19. Alcantara, Vicent & Duarte, Rosa, 2004. "Comparison of energy intensities in European Union countries. Results of a structural decomposition analysis," Energy Policy, Elsevier, vol. 32(2), pages 177-189, January.
    20. Liang, Qiao-Mei & Fan, Ying & Wei, Yi-Ming, 2007. "Multi-regional input-output model for regional energy requirements and CO2 emissions in China," Energy Policy, Elsevier, vol. 35(3), pages 1685-1700, March.
    21. Christoph Weber & Hermann Schnabl, 1998. "Environmentally Important Inter sectoral Flows: Insights from Main Contributions Identification and Minimal Flow Analysis," Economic Systems Research, Taylor & Francis Journals, vol. 10(4), pages 337-356.
    22. Llop, Maria & Pié, Laia, 2008. "Input-output analysis of alternative policies implemented on the energy activities: An application for Catalonia," Energy Policy, Elsevier, vol. 36(5), pages 1642-1648, May.
    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. Alcántara, Vicent & Tarancón, Miguel-Angel & del Río, Pablo, 2013. "Assessing the technological responsibility of productive structures in electricity consumption," Energy Economics, Elsevier, vol. 40(C), pages 457-467.
    2. Valeria Di Cosmo & Marie Hyland, 2015. "Decomposing patterns of emission intensity in the EU and China: how much does trade matter?," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 58(12), pages 2176-2192, December.
    3. Akkemik, K. Ali, 2011. "Potential impacts of electricity price changes on price formation in the economy: a social accounting matrix price modeling analysis for Turkey," Energy Policy, Elsevier, vol. 39(2), pages 854-864, February.
    4. Buñuel González, Miguel, 2011. "El precio de la electricidad y la política de cambio climático: ¿qué papel puede jugar un impuesto sobre el carbono en España? /The Price of Electricity and Climate Change Policy: What Role May a Carb," Estudios de Economia Aplicada, Estudios de Economia Aplicada, vol. 29, pages 663(18.)-66, Agosto.
    5. Abiola John Asaleye & Adedoyin Isola Lawal & Henry Egbezien Inegbedion & Adenike Omowumi Oladipo & Akinyomade O. Owolabi & Olayemi Moses Samuel & Chisaa Onyekachi Igbolekwu, 2021. "Electricity Consumption and Manufacturing Sector Performance: Evidence from Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 11(4), pages 195-201.

    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. Tarancón Morán, Miguel Ángel & del Ri­o, Pablo & Albiñana, Fernando Callejas, 2008. "Tracking the genealogy of CO2 emissions in the electricity sector: An intersectoral approach applied to the Spanish case," Energy Policy, Elsevier, vol. 36(6), pages 1915-1926, June.
    2. Tarancon, Miguel Angel & Del Río, Pablo, 2012. "Assessing energy-related CO2 emissions with sensitivity analysis and input-output techniques," Energy, Elsevier, vol. 37(1), pages 161-170.
    3. Valeria Di Cosmo & Marie Hyland, 2015. "Decomposing patterns of emission intensity in the EU and China: how much does trade matter?," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 58(12), pages 2176-2192, December.
    4. Wiedmann, Thomas & Lenzen, Manfred & Turner, Karen & Barrett, John, 2007. "Examining the global environmental impact of regional consumption activities -- Part 2: Review of input-output models for the assessment of environmental impacts embodied in trade," Ecological Economics, Elsevier, vol. 61(1), pages 15-26, February.
    5. Tarancon Moran, Miguel Angel & del Rio Gonzalez, Pablo, 2007. "A combined input-output and sensitivity analysis approach to analyse sector linkages and CO2 emissions," Energy Economics, Elsevier, vol. 29(3), pages 578-597, May.
    6. Turner, Karen & Lenzen, Manfred & Wiedmann, Thomas & Barrett, John, 2007. "Examining the global environmental impact of regional consumption activities -- Part 1: A technical note on combining input-output and ecological footprint analysis," Ecological Economics, Elsevier, vol. 62(1), pages 37-44, April.
    7. Tarancon, Miguel Angel & del Rio, Pablo, 2007. "CO2 emissions and intersectoral linkages. The case of Spain," Energy Policy, Elsevier, vol. 35(2), pages 1100-1116, February.
    8. Cadarso, María-Ángeles & López, Luis-Antonio & Gómez, Nuria & Tobarra, María-Ángeles, 2010. "CO2 emissions of international freight transport and offshoring: Measurement and allocation," Ecological Economics, Elsevier, vol. 69(8), pages 1682-1694, June.
    9. Tarancón, Miguel Ángel & del Río, Pablo & Callejas, Fernando, 2011. "Determining the responsibility of manufacturing sectors regarding electricity consumption. The Spanish case," Energy, Elsevier, vol. 36(1), pages 46-52.
    10. Chen, G.Q. & Zhang, Bo, 2010. "Greenhouse gas emissions in China 2007: Inventory and input-output analysis," Energy Policy, Elsevier, vol. 38(10), pages 6180-6193, October.
    11. Wiedmann, Thomas, 2009. "A first empirical comparison of energy Footprints embodied in trade -- MRIO versus PLUM," Ecological Economics, Elsevier, vol. 68(7), pages 1975-1990, May.
    12. Alcántara, Vicent & Padilla, Emilio, 2009. "Input-output subsystems and pollution: An application to the service sector and CO2 emissions in Spain," Ecological Economics, Elsevier, vol. 68(3), pages 905-914, January.
    13. Li, You & Hewitt, C.N., 2008. "The effect of trade between China and the UK on national and global carbon dioxide emissions," Energy Policy, Elsevier, vol. 36(6), pages 1907-1914, June.
    14. Misato Sato, 2014. "Embodied Carbon In Trade: A Survey Of The Empirical Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 831-861, December.
    15. McGregor, Peter G. & Swales, J. Kim & Turner, Karen, 2008. "The CO2 'trade balance' between Scotland and the rest of the UK: Performing a multi-region environmental input-output analysis with limited data," Ecological Economics, Elsevier, vol. 66(4), pages 662-673, July.
    16. Vinicius A. Vale & Fernando S. Perobelli & Ariaster B. Chimeli, 2018. "International trade, pollution, and economic structure: evidence on CO2 emissions for the North and the South," Economic Systems Research, Taylor & Francis Journals, vol. 30(1), pages 1-17, January.
    17. Serrano, Mònica & Dietzenbacher, Erik, 2010. "Responsibility and trade emission balances: An evaluation of approaches," Ecological Economics, Elsevier, vol. 69(11), pages 2224-2232, September.
    18. Zhang, Bo & Chen, G.Q., 2010. "Methane emissions by Chinese economy: Inventory and embodiment analysis," Energy Policy, Elsevier, vol. 38(8), pages 4304-4316, August.
    19. Ghertner, D. Asher & Fripp, Matthias, 2007. "Trading away damage: Quantifying environmental leakage through consumption-based, life-cycle analysis," Ecological Economics, Elsevier, vol. 63(2-3), pages 563-577, August.
    20. Serrano, Monica, 2007. "The Production and Consumption Accounting Principles as a Guideline for Designing Environmental Tax Policy," Climate Change Modelling and Policy Working Papers 12032, Fondazione Eni Enrico Mattei (FEEM).

    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:enepol:v:38:y:2010:i:4:p:1900-1908. 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: . General contact details of provider: http://www.elsevier.com/locate/enpol .

    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/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.