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(How) does sectoral detail affect the robustness of policy insights from energy system models? The refining sector's example

Author

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  • Claire Nicolas
  • Valérie Saint-Antonin
  • Stéphane Tchung-Ming

Abstract

In this research, we rekindle an old debate by questioning the impact on mitigating policy evaluation of detailing a subsector in a global energy-transportation model. We chose the refining sector because it is a relevant case of a sector for which representation widely differs across models and because it offers a unique set of complex joint production in the energy sector. To investigate whether the level of detail in the description of the refinery impacts optimal mitigation options, we take the example of a long-term, national, linear programming based, energy-transport system model (TIMES based). We found that the refinery description used in the energy system model matters when trying to evaluate energy or climate policy applied to the transportation sector. It impacts the policy costs but also the technology trajectories chosen at the optimum. Essentially, the balance between energy efficiency and carbon intensity of transport may be affected by the accuracy of the description of the pivotal refining sector. Consequently, increasing this sector accuracy level should not only be motivated by the wish to gain wider quantitative insights on potential evolution of the energy system but also by the wish to improve the robustness of the model outcomes.

Suggested Citation

  • Claire Nicolas & Valérie Saint-Antonin & Stéphane Tchung-Ming, 2014. "(How) does sectoral detail affect the robustness of policy insights from energy system models? The refining sector's example," EconomiX Working Papers 2014-56, University of Paris Nanterre, EconomiX.
  • Handle: RePEc:drm:wpaper:2014-56
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    References listed on IDEAS

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    1. Daphné Lorne & Stéphane Tchung-Ming, 2012. "The French biofuels mandates under cost uncertainty - an assesment based on robust optimization," Working Papers hal-03206367, HAL.
    2. Baumol, William J, 1972. "On Taxation and the Control of Externalities," American Economic Review, American Economic Association, vol. 62(3), pages 307-322, June.
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    Cited by:

    1. Claire Nicolas & Stéphane Tchung-Ming & Emmanuel Hache, 2016. "Energy transition in transportation under cost uncertainty, an assessment based on robust optimization," Working Papers hal-02475943, HAL.
    2. Albers, Ariane & Collet, Pierre & Lorne, Daphné & Benoist, Anthony & Hélias, Arnaud, 2019. "Coupling partial-equilibrium and dynamic biogenic carbon models to assess future transport scenarios in France," Applied Energy, Elsevier, vol. 239(C), pages 316-330.
    3. Anthony Paris, 2016. "The Effect of Biofuels on the Link between Oil and Agricultural Commodity Prices: A Smooth Transition Cointegration Approach," Working Papers hal-02475518, HAL.
    4. Dupoux, Marion, 2019. "The land use change time-accounting failure," Ecological Economics, Elsevier, vol. 164(C), pages 1-1.
    5. Emmanuel Hache, 2018. "Do renewable energies improve energy security in the long run?," International Economics, CEPII research center, issue 156, pages 127-135.

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    More about this item

    Keywords

    Energy modeling; Refinery modeling; Parsimony; Level of details.;
    All these keywords.

    JEL classification:

    • C60 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - General
    • Q47 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy Forecasting
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming

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