Research shows that municipalities that face more risk from climate change have higher financing costs than municipalities that face less risk. However, to our best knowledge, it is unknown whether the adaptive capacity of a municaplity is rewarded in terms of lower financing costs. We study municipal bonds issued by U.S. municipalities that are known…
Key Fuel Poverty Indicators and Variables: A Systematic Literature Review
Fuel poverty is a condition associated with the inability to afford sufficient energy services in a home, especially heating. There is no single standardised process for defining or measuring fuel poverty. Each different method used in research or policy presents biases, resulting in different numbers of affected households with implications for interventions. This systematic literature…
Household Environmental Kuznets Curves: Evidence from Passenger Transport Emissions
This paper uses detailed survey microdata to test whether a non-monotonic relationship exists between income and carbon dioxide emissions at the household level for passenger transport in the United States. Although the literature on economy-wide Environmental Kuznets Curves (EKCs) is vast, sector-specific analysis of household transport emissions is less common, is subject to considerable controversy,…
Marginal Emissions Pathways: Drivers and Implications
Governments frequently use policies that target the expansion of a clean technology to achieve greenhouse gas emissions mitigation goals, such as those submitted by countries under the Paris Agreement. As a result of direct and indirect market adjustments induced by a particular policy, marginal emissions from expanding a clean technology may vary in the amount…
The Impact of Renewable Energy Forecasts on Intraday Electricity Prices
In this paper we study the impact of errors in wind and solar power forecasts on intraday electricity prices. We develop a novel econometric model which is based on day-ahead wholesale auction curves data and errors in wind and solar power forecasts. The model shifts day-ahead supply curves to calculate intraday prices. We apply our…
Fossil Fuel Subsidies, the Green Paradox and the Fiscal Paradox
Fossil fuel subsidies amounted to about 0.4% of global GDP in 2015, and there is an active call worldwide for eliminating them. The main argument in favor of removing subsidies is that it will lead to a reduction in global carbon emissions and a decrease in fiscal deficits. This paper shows that there are also…
How Do Low Gas Prices Affect Costs and Benefits of US New Vehicle Fuel Economy Standards?
In their initial benefit-cost analysis of the 2012-2016 passenger vehicle fuel economy standards, the U.S. regulatory agencies estimated that the benefits of the standards would be three times greater than the costs. However, their analysis was based on the high gasoline prices forecasted at the time; after their analysis, expected gasoline prices fell by 25…
How Renewable Energy is Reshaping Europe’s Electricity Market Design
We present a systematic review of the challenges to the regulation of electricity markets that are posed by the integration of variable renewable energy sources. System integration is the key to developing the required flexibility, because flexibility options exist at all system levels and within the competitive as well as in the regulated (network) domains….
Winners and Losers of EU Emissions Trading: Insights from the EUTL Transfer Dataset
This paper analyses distributional effects between participants of the EU Emissions Trading System (EU ETS) during its first trading period. To this end, a selection model is formulated and applied to a dataset based on account information and transfer data from the EU Transaction Log (EUTL). Four different ways of adding carbon prices to the…
Determinants of energy poverty: Trends in Spain in times of economic change (2006–2021)
The debate concerning energy affordability in Europe is more pressing than ever, not solely as an energy issue but also as a broader social concern related to climate change, poverty, and health deprivation. This paper empirically investigates the factors leading to household energy vulnerability and identifies new dimensions and profiles affected by this structural problem….