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Trade in Services Related to Climate Change: An Exploratory Analysis

Author

Listed:
  • Ronald Steenblik

    (OECD)

  • Massimo Geloso Grosso

    (OECD)

Abstract

The deployment of technologies for the mitigation of greenhouse-gases (GHGs) is dependent on a wide range of services, including those that are imported. Business services, telecommunications services, and construction and related engineering services figure prominently. This paper aims to develop a better understanding of the specific roles that these services play in helping to mitigate GHG emissions, and to identify the major suppliers and consumers. It presents examples and mini-case studies that explore how particular services complement the deployment of GHG mitigating technologies. With respect to the four modes of services trade, instances of mode 1 (cross-border trade) trade taking place over the Internet appear to be more commonplace, often complementing movement of personnel. Examples of mode 2 trade (consumption abroad) typically involve training of a client’s personnel. Mode 3 trade (commercial presence) is critical for the provision of services that entail construction and operation of production facilities. The temporary movement of natural persons (mode 4) is also common, especially where expert judgement or supervision is required for a short period of time.

Suggested Citation

  • Ronald Steenblik & Massimo Geloso Grosso, 2011. "Trade in Services Related to Climate Change: An Exploratory Analysis," OECD Trade and Environment Working Papers 2011/3, OECD Publishing.
    • Handle: RePEc:oec:traaaa:2011/3-en
    DOI: 10.1787/5kgc5wtd9rzw-en
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    Citations

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    Cited by:

    1. Hongze Liang & Xiaoli Hao, 2023. "Can Service Trade Effectively Promote Carbon Emission Reduction?—Evidence from China," Sustainability, MDPI, vol. 15(17), pages 1-23, August.
    2. Pelli, Päivi, 2018. "Services and industrial development: analysis of industrial policy, trends and issues for the forest-based sector," Journal of Forest Economics, Elsevier, vol. 31(C), pages 17-26.
    3. Hu, Hui & Xie, Nan & Fang, Debin & Zhang, Xiaoling, 2018. "The role of renewable energy consumption and commercial services trade in carbon dioxide reduction: Evidence from 25 developing countries," Applied Energy, Elsevier, vol. 211(C), pages 1229-1244.
    4. de Melo, Jaime & Solleder, Jean-Marc, 2020. "Barriers to trade in environmental goods: How important they are and what should developing countries expect from their removal," World Development, Elsevier, vol. 130(C).
    5. Algieri, Bernardina & Aquino, Antonio & Succurro, Marianna, 2011. "Going “green”: trade specialisation dynamics in the solar photovoltaic sector," Energy Policy, Elsevier, vol. 39(11), pages 7275-7283.

    More about this item

    Keywords

    Business service; climate change; environmental goods; environmental services; trade and environment; trade policy;
    All these keywords.

    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment
    • L84 - Industrial Organization - - Industry Studies: Services - - - Personal, Professional, and Business Services
    • L86 - Industrial Organization - - Industry Studies: Services - - - Information and Internet Services; Computer Software
    • N50 - Economic History - - Agriculture, Natural Resources, Environment and Extractive Industries - - - General, International, or Comparative
    • Q42 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Alternative Energy Sources
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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