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Marginal abatement cost estimates for non-CO 2 greenhouse gases: lessons from RECLAIM

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  • ROBERT C. ANDERSON
  • RICHARD D. MORGENSTERN

Abstract

Recognizing the potential for over- as well as under-estimating the mitigation costs of non-CO 2 greenhouse gases in an offset programme, this article examines the accuracy of cost estimates prepared by government agencies for the control of other types of emissions from small/medium sources via an offset programme. Specifically, analogy is made to the control of SO x and NO x controlled by California's Regional Clean Air Incentives Market (RECLAIM) Program. Even allowing for the energy crisis in 2000-2001 that drove up NO x emissions and control costs, it appears that the engineering cost methods used turned out to be generally accurate, defined as ±25%. Although such a finding does not ensure that the same results will apply to the case of non-CO 2 GHGs, it certainly reinforces the growing literature on ex ante-ex post cost comparisons of environmental controls.

Suggested Citation

  • Robert C. Anderson & Richard D. Morgenstern, 2009. "Marginal abatement cost estimates for non-CO 2 greenhouse gases: lessons from RECLAIM," Climate Policy, Taylor & Francis Journals, vol. 9(1), pages 40-55, January.
    • Handle: RePEc:taf:tcpoxx:v:9:y:2009:i:1:p:40-55
    DOI: 10.3763/cpol.2008.0398
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