Economy-wide benefits and costs of local-level energy transition in Austrian Climate and Energy Model Regions

16316 9 89620 2 257688 document 89620 2020-05.pdf application/pdf 54484a69c8265f364be245c4646481b0 MD5 997172 2020-02-26 12:30:40 https://pure.iiasa.ac.at/id/eprint/16316/1/2020-05.pdf 16316 1 1 application/pdf text en public arr

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http://eprints.org/relation/isVersionOf https://pure.iiasa.ac.at/id/document/89620 http://eprints.org/relation/isVolatileVersionOf https://pure.iiasa.ac.at/id/document/89620 http://eprints.org/relation/issmallThumbnailVersionOf https://pure.iiasa.ac.at/id/document/89620 archive 353 disk0/00/01/63/16 2020-02-26 12:32:34 2021-08-27 17:32:40 2020-02-26 12:32:34 other show 1 Schinko T. 8847 0000-0003-1156-7574 Bednar-Friedl B. Truger B. Bramreiter R. Komendantova N. 1880 0000-0003-2568-6179 Hartner M. Economy-wide benefits and costs of local-level energy transition in Austrian Climate and Energy Model Regions pub prog_asa prog_risk energy transition; computable general equilibrium (CGE); national support policies; regional energy To achieve a low-carbon transition in the electricity sector, countries combine national-scale policies with regional renewable electricity (RES-E) initiatives. Taking Austria as an example, we investigate the economy-wide effects of implementing national-level feed-in tariffs alongside local-level ‘climate and energy model (CEM) regions’, taking account of policy externalities across the two governance levels. We distinguish three types of CEM regions by means of a cluster analysis and apply a sub-national Computable General Equilibrium (CGE) model to investigate two RES-E scenarios. We find that whether the net economic effects are positive or negative depends on three factors: (i) RES-E potentials, differentiated by technology and cluster region; (ii) economic competitiveness of RES-E technologies relative to each other and to the current generation mix; and (iii) support schemes in place which translate into policy costs. We conclude that the focus should mainly be on economically competitive technologies, such as PV and wind, to avoid unintended macroeconomic side-effects. To achieve that, national support policies for RES-E have to be aligned with regional energy initiatives. 2020 published Graz Economics Papers, University of Graz, Department of Economics https://ideas.repec.org/p/grz/wpaper/2020-05.html 272 161 public technicalreport Graz, Austria University of Graz, Department of Economics FALSE no info:eu-repo/semantics/other