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A decomposition analysis of the emission of CO2

  • Alex R. Hoen

    ()

  • Machiel Mulder

In 1997 many countries, including the Netherlands, signed the Kyoto treaty. According to this protocol, the emission of CO2 in the Netherlands in the years 2008-2012 should be on average 6% below the level of 1990. However, the emission still shows an increasing pattern. Part of the increase may be compensated by supporting projects abroad, hence the goals may still be reached if domestic emission does not increase too far. All in all, it is not sure whether the Netherlands will meet the goals of this protocol. Several factors contribute to changes in the emission of CO2. The figures of CO2 emission only show the net effect. In order to see whether technological changes decreases the emission of CO2 and whether the increase in CO2 is mainly due to economic growth, this paper uses a decomposition analysis to compute the effect of these factors. In order not to complicate the analysis too much, it was decided to focus on the emissions of CO2 and ignore the other greenhouse gasses. The emission of CO2 is the most important issue, because CO2 is the most important greenhouse gas and because the emission of the other greenhouse gasses is decreasing whereas the emission of CO2 is increasing. Policy is therefore likely to be most effective if it focuses on CO2. Further, the decomposition method can only be used to analyse the emission of producers. Emission by consumers is therefore ignored.

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File URL: http://www-sre.wu-wien.ac.at/ersa/ersaconfs/ersa03/cdrom/papers/151.pdf
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Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa03p151.

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Date of creation: Aug 2003
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Handle: RePEc:wiw:wiwrsa:ersa03p151
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  1. Ang, B.W., 1995. "Decomposition methodology in industrial energy demand analysis," Energy, Elsevier, vol. 20(11), pages 1081-1095.
  2. Skolka, Jiri, 1989. "Input-output structural decomposition analysis for Austria," Journal of Policy Modeling, Elsevier, vol. 11(1), pages 45-66.
  3. B. W. Ang & Ki-Hong Choi, 1997. "Decomposition of Aggregate Energy and Gas Emission Intensities for Industry: A Refined Divisia Index Method," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3), pages 59-73.
  4. Albrecht, Johan & Francois, Delphine & Schoors, Koen, 2002. "A Shapley decomposition of carbon emissions without residuals," Energy Policy, Elsevier, vol. 30(9), pages 727-736, July.
  5. Hoekstra, Rutger & van den Bergh, Jeroen C. J. M., 2003. "Comparing structural decomposition analysis and index," Energy Economics, Elsevier, vol. 25(1), pages 39-64, January.
  6. Lee Schipper & Scott Murtishaw & Fridtjof Unander, 2001. "International Comparisons of Sectoral Carbon Dioxide Emissions Using a Cross-Country Decomposition Technique," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2), pages 35-75.
  7. Ang, B. W., 1999. "Is the energy intensity a less useful indicator than the carbon factor in the study of climate change?," Energy Policy, Elsevier, vol. 27(15), pages 943-946, December.
  8. Erik Dietzenbacher & Bart Los, 1998. "Structural Decomposition Techniques: Sense and Sensitivity," Economic Systems Research, Taylor & Francis Journals, vol. 10(4), pages 307-324.
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