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Energy from waste: generation potential and mitigation opportunity

  • Francesco Bosello

    ()

  • Lorenza Campagnolo
  • Fabio Eboli
  • Ramiro Parrado

The present research proposes a macroeconomic assessment of the role of waste incineration with energy recovery (WtE) and controlled landfill biogas to electricity generation and their potential contribution to a CO 2 emission reduction policy, within a recursive-dynamic computable general equilibrium model. From the modeling viewpoint, introducing these energy sectors in such a framework required both the extension of the GTAP7 database and the improvement of the ICES production nested function. We focus our analysis on Italy as a signatory of the GHG reduction commitment of 20 % by 2020 with respect to 1990 levels proposed by the European Community; the rest of the world is represented by 21 geo-political countries/regions. It is shown that albeit in the near future WtE and landfill biogas will continue to represent a limited share of energy inputs in electricity sector (in Italy, around 2 % for WtE and 0.6 % for biogas in 2020), and they could play a role in a mitigation policy context. The GDP cost of the EU emission reduction target for the Italian economy can indeed be reduced by 1 % when the two energy generating options are available. In absolute terms, this translates into an annuitized value of 87–122 million €. Copyright Springer 2012

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File URL: http://hdl.handle.net/10.1007/s10018-012-0043-5
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Article provided by Society for Environmental Economics and Policy Studies - SEEPS in its journal Environmental Economics and Policy Studies.

Volume (Year): 14 (2012)
Issue (Month): 4 (October)
Pages: 403-420

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Handle: RePEc:spr:envpol:v:14:y:2012:i:4:p:403-420
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  1. Burniaux, Jean-Marc & Truong Truong, 2002. "GTAP-E: An Energy-Environmental Version of the GTAP Model," GTAP Technical Papers 923, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
  2. Sue Wing, Ian, 2008. "The synthesis of bottom-up and top-down approaches to climate policy modeling: Electric power technology detail in a social accounting framework," Energy Economics, Elsevier, vol. 30(2), pages 547-573, March.
  3. Eboli, Fabio & Parrado, Ramiro & Roson, Roberto, 2010. "Climate-change feedback on economic growth: explorations with a dynamic general equilibrium model," Environment and Development Economics, Cambridge University Press, vol. 15(05), pages 515-533, October.
  4. Gottinger, Hans W., 1998. "Greenhouse Gas Economics and Computable General Equilibrium," Journal of Policy Modeling, Elsevier, vol. 20(5), pages 537-580, October.
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