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Abstract Given the need to reduce the CO2 emissions coming from the manufacturing sector, it is important, for planning purposes, to know which countries and which manufacturing sub-sectors have the greatest potential for reducing energy use. Using data from the International Atomic Energy Agency and the United Nations Industrial Development Organization, the authors estimate trends in global decoupling of energy use and manufacturing value added, compare energy-use intensity in six country groups and estimate the potential for reducing energy use and CO2 emissions under two scenarios and compare selected sub-sector energy intensity and estimate the potential for reducing energy use CO2 emissions. The comparison of energy intensities across country groups and among countries suggests that there still remains significant potential to reduce energy use and associated CO2 emissions. The analysis of four sub-sectors in developing and transition economies also shows similar but varied potential for reducing energy use and associated CO2 emissions.

Abstract Energy efficiency improvement will reduce the effective price of energy services, and hence at least partially mitigate original expected energy conservation. Therefore, the magnitude of rebound effect is important for the design and timing of an effective energy conservation policy. Under the framework of translog cost share equations, we estimates the direct rebound effect for heavy industry in China for the first time by conducting an empirical research on the relationship between the direct rebound effect and the ease with which energy services can substitute for other inputs. Additionally, asymmetric price responses are specified in the model for the rebound effect estimation. Empirical results in our paper indicate that the rebound effect for heavy industry in China is about 74.3%. This reveals that energy efficiency improvement can save energy to a certain degree since the rebound effect is less than 100% (“back-fire”), but most of the expected reduction in heavy industry energy consumption is mitigated. These findings prove that energy pricing reforms and energy taxes should be further implemented to achieve effective energy conservation in China’s 12th Five Years Plan.

Abstract In modern developed economies, one of the primary objectives is to manage the transition from polluting to cleaner technologies as efficiently as possible. By now, in the current empirical literature, one can identify technological spillovers from environmental innovations as a major driver of this process. Specific energy policy aspects connected with industry behaviour have yet to be explored. The aim of this paper is to investigate energy efficiency via environmental innovation and the resulting degree of resilience and adaptation of both developed and developing countries. The work applies the non-parametric DEA (Data Envelopment Analysis) framework and Tobit analysis. For this scope, it is built a panel dataset made of some 5000 observations based on energy policy and sustainable development variables for 136 OECD and non-OECD countries. The results show that knowledge spillovers from environmental innovations reduce inefficiency and therefore strengthen the resilience of economies that decide and manage to invest adequately in the transition to more sustainable technologies. Besides, OECD countries improve their energy efficiency scores over time, whilst non-OECD countries do not. This implies that sustainable technologies transition is made more efficient by environmental innovation but the process is fostered by disposing of a resilient economic system – hence, vulnerability can affect the transition. These hypotheses lead to important economic, social and environmental implications for energy policy modelling.

Abstract Transition towards a renewable energy supply initiates a physical (re)shaping of places and a social transformation of communities into renewable energy communities. Although socio-cultural challenges of energy transition have been recognised ( Field, 2015 , IPCC, 2011 , Teske et al., 2015 ), understandings about socio-geographic places of energy transition and their underlying social processes and structures are insufficiently studied and often remain underestimated. To close this gap, we theoretically and empirically analysed the multifaceted interplay between place, local entrepreneurship and ‘community renewable energy’. Our study is based on an analysis of regional documents and policy reports, and on qualitative interviews undertaken with inhabitants in the case-study municipality of Reusenkoge (Germany). Our findings reveal two important aspects: Firstly, people's individual and shared place meanings which materialised in social, physical, historical and climate-related place-attachments and meanings of contested and innovative place are important ingredients bearing an impact on processes of adopting or rejecting renewables. Secondly, differentiated characteristics of entrepreneurs, namely grounded, collaborative, innovative, change-making, economic, communicating, networking and political aspects, appeared to be relevant for the acceptance and support in community-based renewable energy projects. Our findings reveal that energy policies, funding schemes and administrative structures should recognise local socio-geographic important elements in the context of a sustained and decentralised energy transition.

© 2014 Elsevier Ltd.The Nigerian government proposed the use of compressed natural gas (CNG) as an automotive fuel in 1997 as part of the initiatives to harness natural gas (NG) resources but progress has been slow. This paper examines the natural gas vehicle (NGV) implementation approaches and outcomes in seven countries with diverse experiences in order to gain an understanding of the barriers to the NGV market development in Nigeria. The analysis employs hermeneutic principles to secondary data derived from academic literature, published reports from a variety of international agencies, grey literature, and text from online sources and identifies eight success factors for NGV market development namely: strategic intent, legal backing, learning and adaptation, assignment of responsibilities, financial incentives, NG pricing, consumer confidence, and NG infrastructure. The paper concludes that the principal impediment to NGV market development in Nigeria is the uncoordinated implementation approach and that greater government involvement is required in setting strategic goals, developing the legal and regulatory frameworks, setting of clear standards for vehicles and refuelling stations as well as assigning responsibilities to specific agencies. Short-term low cost policy interventions identified include widening the existing NG and gasoline price gap and offering limited support for refuelling and retrofitting facilities.

Abstract Transformation of Asia's transport sector has vital implications for climate change, sustainable development and energy indicators. Papers in this special issue show how transport transitions in Asia may play out in different socio-economic and policy scenarios, including a low carbon scenario equivalent to 2 °C stabilization. Accounting for heterogeneity of national transport systems, these papers use diverse methods, frameworks and models to assess the response of the transport system to environmental policy, such as a carbon tax, as well as to a cluster of policies aimed at diverse development indicators. The analysis shows that CO2 mitigation in a transport system is achieved more effectively by aligning mitigation policies with sustainable development policies and measures such as mandates for mode share and choices such as urban design, information and communication systems, and behavioral measures. Authors therefore advocate policies that target multiple dividends vis-a-vis carbon mitigation, energy security and local air quality. Whereas four papers focus on emissions mitigation policies, one paper examines challenges to adapt fast growing transport infrastructures to future climate change induced risks. Collectively, the papers exemplify a set of policies and measures that can deliver co-benefits, and, also, demonstrate the use of methods, frameworks and models to delineate the optimal mix of such policies and measures.

Abstract This paper studies how the vertical structure of the electricity industry affects the social welfare when the incumbent has a cost advantage in generation relative to the entrants. The model consists of a generation sector and a transmission sector. In the generation sector the incumbent and entrants compete in a Cournot fashion taking as given the access charge to the transmission network set in advance by the regulator to maximize the social welfare. Two vertical structures, integration and separation , are considered. Under vertical separation the transmission network is established as an organization independent of every generator, whereas under vertical integration it is a part of the incumbent's organization. The optimal vertical structure is shown to depend on the number of entrants. If the number of entrants is smaller than a certain threshold, vertical separation is superior in welfare to vertical integration, and vice versa. This is because the choice of vertical structure produces a trade-off in the effects on competition promotion and production efficiency. If a break-even constraint is imposed in the transmission sector, however, vertical integration is shown to be always superior in welfare.

Abstract In India, most initiatives to increase energy efficiency in the small scale industry units have achieved little in terms of enhanced efficiency or environment improvements. This paper argues that (i) conceptually the perspective of these initiatives is narrow; and (ii) their top-down approach and the associated methodology are inappropriate. Combustion-related pollution is closely linked to inefficient resource use, absence of waste management, poor work practices and housekeeping. These factors have to be addressed to prepare the ground for technological change. The paper concludes that an energy-led initiative with the scope to address these related issues is necessary. It also notes that the present top-down, technocratic approach will not be a pertinent mode of implementation of such and initiative. The paricipatory approach to environmental management offers greater scope for its execution.

Abstract Long time series of the IEA and international patent offices offer a huge potential for scientific investigations of the energy innovation process. Thus, this paper deals with a broad literature review on innovation drivers and barriers, and an analysis of the knowledge induced by public research and development expenditures (R&D) and patents in the energy sector. The cumulative knowledge stock induced by public R&D expenditures in 14 investigated IEA-countries is 102.3 bn EUR in 2013. Nuclear energy has the largest share of 43.9 bn EUR, followed by energy efficiency accounting for 14.9 bn EUR, fossil fuels with 13.5 bn EUR, and renewable energy with 12.1 bn EUR. A regression analysis indicates a linear relation between the GDP and the cumulative knowledge, with each billion EUR of GDP leading to an additional knowledge of 3.1 mil EUR. However, linearity is not given for single energy technologies. Further, the results show that appropriate public R&D funding for research and development associated with a subsequent promotion of the market diffusion of a niche technology may lead to a breakthrough of the respective technology.