Tradeable permits for global warming control; Implications for regional economies and public utilities

Conference · Tue Jan 01 04:00:00 EST 1991 · Proceedings of the American Power Conference; (United States)

OSTI ID:6015408

Kosobud, R F; Quinn, K G ^[1]; Daly, T A ^[2]

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1. Illinois Univ., Chicago, IL (United States). Dept. of Economics
2. Argonne National Lab., IL (United States)

In this paper, the authors investigate a cumulative emission permit system (CEPS), both within a theoretical and empirical framework, to explore these questions. A key feature of this system is that the total volume of emissions leading to the ultimate acceptable gas concentrations is embodied in permits placed on the market immediately. The author's analysis of resulting initial and intertemporal permit prices yields strong reasons for ranking this policy above carbon or other taxes, direct regulation, or other measures. Economic theory provides a way to project how regional decision makers, including public utilities, would adjust abatement costs to prices. These implications are tested with a mathematical programming model that provides estimates of global and regional time paths of permit prices, energy use, and trace gas emissions.

• DOE Contract Number: W-31109-ENG-38
• OSTI ID: 6015408
• Report Number(s): CONF-9104106--
• Conference Information: Journal Name: Proceedings of the American Power Conference; (United States) Journal Volume: 53
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290300* -- Energy Planning & Policy-- Environment
Health
& Safety
54 ENVIRONMENTAL SCIENCES
540120 -- Environment
Atmospheric-- Chemicals Monitoring & Transport-- (1990-)
ADMINISTRATIVE PROCEDURES
CLIMATIC CHANGE
COMPUTER CALCULATIONS
DECISION MAKING
ECONOMIC ANALYSIS
ECONOMICS
ELECTRIC UTILITIES
EMISSION
ENVIRONMENTAL POLICY
FLUIDS
GASES
GOVERNMENT POLICIES
GREENHOUSE EFFECT
MATHEMATICAL MODELS
PERMITS
PUBLIC POLICY
PUBLIC UTILITIES
REGIONAL ANALYSIS