Carbon taxes and the petroleum wealth
A global carbon tax may have considerable impact on the petroleum wealth of fossil fuel producers. However, it is not clear to what extent such a tax eventually will decrease the producer prices, rather than increase the consumer prices. Thus, an interesting question is: How will the tax burden be shared between producers and consumers? This question is of course of major importance for countries with relatively large petroleum reserves, like for instance the OPEC-countries as well as Norway. In this study we are addressing this question, trying to reveal how different carbon taxes may change the petroleum wealth, both for the average producer and for Norway in particular. Even if a global climate treaty at present seems a bit distant, several OECD-countries are or have been discussing a carbon tax to restrict their emissions of CO{sub 2}. Hence, there is a fair possibility that such a tax, or eventually some quota restrictions, will be imposed in at least the main countries of the OECD-area, which stands for almost 60 percent of the worlds oil consumption. The size of this tax is difficult to foresee, and in addition, the tax may not be constant over time. However, some concrete proposals of a carbon tax have been put forward in e.g. the EU and the US, and several research projects have come up with appropriate suggestions (see e.g. Manne and Richels and Oliveira Martins et al.).
- Research Organization:
- International Association for Energy Economics, Cleveland, OH (United States)
- OSTI ID:
- 416359
- Report Number(s):
- CONF-9507139-; TRN: 96:006517-0054
- Resource Relation:
- Conference: 18. International Association for Energy Economics (IAEE) international conference, Washington, DC (United States), 5-8 Jul 1995; Other Information: PBD: 1995; Related Information: Is Part Of Into the Twenty-First Century: Harmonizing energy policy, environment, and sustainable economic growth. Proceedings; PB: 528 p.
- Country of Publication:
- United States
- Language:
- English
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