• Energy Research

This paper analyses the cross-sectoral integration of the water-energy nexus in Brazil. Recent droughts resulted in unprecedented water scarcity. This caused water shortages for population and agriculture, as well as for electricity production (hydropower being the main source of electricity production). As a result, the system became more vulnerable to blackouts. To alleviate the problem, fossil fuels were used as a back up. Droughts, floods and other water-related problems will not dissipate as time goes by in Brazil. The dependency on one single predominant source (hydropower) makes Brazil’s electricity supply vulnerable. This study shows through data analysis, flow diagrams and metrics the interrelation between water and energy. Based on historical data, the analysis shows the importance of the water demand for hydropower, cooling for thermal plants, and the extraction and production of biofuels, as well as of the energy demand of water services (water supply, wastewater treatment).

This paper analyses the cross-sectoral integration of the water-energy nexus in Brazil. Recent droughts resulted in unprecedented water scarcity. This caused water shortages for population and agriculture, as well as for electricity production (hydropower being the main source of electricity production). As a result, the system became more vulnerable to blackouts. To alleviate the problem, fossil fuels were used as a back up. Droughts, floods and other water-related problems will not dissipate as time goes by in Brazil. The dependency on one single predominant source (hydropower) makes Brazil’s electricity supply vulnerable. This study shows through data analysis, flow diagrams and metrics the interrelation between water and energy. Based on historical data, the analysis shows the importance of the water demand for hydropower, cooling for thermal plants, and the extraction and production of biofuels, as well as of the energy demand of water services (water supply, wastewater treatment).

Abstract Supply chain effectiveness and general societal prosperity, as well as economic and ecological productivity will be highly affected in the next decades, entailing challenges for the supply chain and logistics sector. Thereby this sector plays a significant role within the transformation process of economic systems, yet the capacities of it remain up till now underestimated. This paper suggests a holistic approach to assess transformation potential of the supply chain and logistics sector towards more sustainable economic systems while defining innovative business strategies to meet future macroeconomic developments. This is achieved through an integrated assessment of production and consumption systems, considering the interests of the key stakeholders. Moreover, the paper combines advanced methods to develop future macroeconomic scenarios and to assess the strategic business opportunities of the supply chain and logistics sector addressing societal developments, e.g. new consumption patterns. The analysis relies on modern theories of Environmental and Ecological Economics, contributing to transformation theories. Moreover, the innovative role of supply chain and logistics management in achieving sustainable macroeconomic goals at regional and international levels is addressed.

Abstract Supply chain effectiveness and general societal prosperity, as well as economic and ecological productivity will be highly affected in the next decades, entailing challenges for the supply chain and logistics sector. Thereby this sector plays a significant role within the transformation process of economic systems, yet the capacities of it remain up till now underestimated. This paper suggests a holistic approach to assess transformation potential of the supply chain and logistics sector towards more sustainable economic systems while defining innovative business strategies to meet future macroeconomic developments. This is achieved through an integrated assessment of production and consumption systems, considering the interests of the key stakeholders. Moreover, the paper combines advanced methods to develop future macroeconomic scenarios and to assess the strategic business opportunities of the supply chain and logistics sector addressing societal developments, e.g. new consumption patterns. The analysis relies on modern theories of Environmental and Ecological Economics, contributing to transformation theories. Moreover, the innovative role of supply chain and logistics management in achieving sustainable macroeconomic goals at regional and international levels is addressed.

Decarbonising the power system contributes to carbon emission reductions and synergetic air pollution reductions, but these co-benefits may be unevenly distributed across regions. These distributional consequences from national policies may lead to conflict of interests at subnational levels, which has often been overlooked. This study assesses provincial economic impacts and synergetic air pollutant reductions of power system decarbonisation in China, achieved by two different national policies, namely a mandatory phaseout policy and an Emissions Trading System (ETS). To this end, a multi-regional dynamic Computable General Equilibrium (CGE) model is developed and adopted. The scenario analysis shows that the mandatory phaseout policy is more effective in reducing air pollutant emissions from the power sector, while leading to greater GDP losses at the national level. At provincial levels, the ETS mitigates the trade-off between economic growth and air pollutant reductions, but the mandatory phaseout policy would be more favourable to the majority of provinces no matter whether the GDP growth or air pollution reduction is prioritised.

Decarbonising the power system contributes to carbon emission reductions and synergetic air pollution reductions, but these co-benefits may be unevenly distributed across regions. These distributional consequences from national policies may lead to conflict of interests at subnational levels, which has often been overlooked. This study assesses provincial economic impacts and synergetic air pollutant reductions of power system decarbonisation in China, achieved by two different national policies, namely a mandatory phaseout policy and an Emissions Trading System (ETS). To this end, a multi-regional dynamic Computable General Equilibrium (CGE) model is developed and adopted. The scenario analysis shows that the mandatory phaseout policy is more effective in reducing air pollutant emissions from the power sector, while leading to greater GDP losses at the national level. At provincial levels, the ETS mitigates the trade-off between economic growth and air pollutant reductions, but the mandatory phaseout policy would be more favourable to the majority of provinces no matter whether the GDP growth or air pollution reduction is prioritised.

Abstract It is critical to adapt to climate change and reduce the overall carbon emissions. China announced its Nationally Determined Contributions (NDC) at the Paris climate conference in 2015. The carbon cap-and-trade scheme, which plays a key role in carbon emissions abatement, is an effective policy for China to achieve its NDC. This study focuses on the allocation of regional and sectoral initial carbon emission allowances in Shanghai. An impact evaluation on the macro-economy, carbon trading markets and participating sectors for the year 2030 was conducted by applying a computable general equilibrium (CGE) model. The results show that the carbon cap-and-trade scheme would cause a 3.4% GDP loss and an 8.9% welfare loss in 2030. The carbon price would be 161.2 USD/t and 147.2 USD/t under the two representative scenarios. The allocation of initial allowances would have a significant impact on both carbon market scale and sectoral trading behaviors. The power generation sector and the petrol oil sector would undertake the greatest output loss, while the metal smelting sector would become the main seller. Furthermore, the initial allowances allocation under a certain abatement target would hardly affect sectoral production but remarkably affect trade behaviors at the carbon trading markets.