To satisfy new legislation, the Norwegian Public Roads Administration implemented a national façade insulation program encompassing 2,500 dwellings exposed to high levels of road traffic noise. Thereby, the road owner brought the equivalent noise levels from road traffic in compliance with a new indoor limit of 42dB. Cost-effectiveness analyses show that façade insulation was the least expensiv...

We compare auctioning and grandfathering as allocation mechanisms of emission permits when there is a secondary market with market power and the firms have private information. Based on real-life cases such as the EU ETS, we consider a multi-unit, multi-bid uniform auction, modelled as a Bayesian game of incomplete information. At the auction each firm anticipates his role in the secondary mark...

Geosequestration is currently promoted by some in industry and government as the only realistic option to achieve major reductions in the Australian electricity sector’s greenhouse gas emissions. However its technical feasibility, cost effectiveness, theoretical abatement potential and possible environmental risks are not yet known. While there is clearly value in supporting development of this...

This paper develops a methodology for estimating potential cost savings from the use of market-based instruments (MBIs) when local emissions and abatement cost data are not available. The paper provides estimates of the cost savings for a 50% reduction of particulate emissions in India’s five main industrial states, as well as estimates of the benefits from doing so. The estimates are developed...

The evaluation of the cost of reduction for the different region and the resulting emission permit prices is a typical model application. The usual approach to analyze emission trading is to obtain marginal emission reduction cost curves from the models and subsequently carry out a static, expost analysis of emission trading based on these cost curves. The drawback of this approach is that effe...

Abstract Economists have adopted the Pigouvian approach to climate policy, which sets carbon price social cost of carbon. We adjust this for macroeconomic uncertainty and disasters by deriving risk-adjusted discount rate. highlight ethics- versus market-based calibrations discuss effects a falling term structure Given wide range estimates used marginal damages rate, it is unsurprising that nego...

The evaluation of water bodies “at risk” of not achieving the Water Framework Directives goal of “good status” begs the question of how big a risk is acceptable before a programme of measures should be implemented. Adequate documentation of expert judgement and statistical uncertainty in pollution budgets and water quality modeling combined with Monte Carlo simulation and Bayesian belief networ...

Helcom's recently revised Baltic Sea Action Plan (BSAP) aims to reduce eutrophication in the, Baltic Sea by reducing nutrient loads from all discharging drainage basins. The BALTCOST costminimisation, model, featuring abatement cost and effect functions which utilise spatial data down to, 10 10 km grid cell resolution, is used to identify a cost-effective distribution of nutrient abatement, mea...

This paper develops a methodology for estimating potential cost savings from the use of market-based instruments (MBIs) when local emissions and abatement cost data are not available. The paper provides estimates of the cost savings for a 50% reduction of particulate emissions in India’s five main industrial states, as well as estimates of the benefits from doing so. The estimates are developed...

Discounting the value of emission credits has been proposed as a possible approach for addressing some of the shortcomings of the Clean Development Mechanism (CDM). It could be used to compensate for non-additional CDM projects; to increase the incentive for advanced developing countries to move from the CDM to own mitigation commitments; and to improve the competitiveness of less developed cou...