Regional Emission Caps (41_emicapregi)
Description
This module computes reginal emission caps both in absolute terms and as share of global emissions. In a setting with emissions trading these caps represent allocated permits and permit shares, respectively. The allocation of caps and permits is based on different burden sharing rules.
Interfaces
Input
| Description | Unit | A | B | C | D | E | F | G | |
|---|---|---|---|---|---|---|---|---|---|
| cm_emiscen | policy scenario choice | x | x | x | |||||
| cm_permittradescen | scenario on permit trade | x | x | ||||||
| pm_budgetCO2eq (all_regi) |
budget for regional energy-emissions in period 1 | x | |||||||
| pm_emicapglob (tall) |
global emission cap | x | x | x | x | x | x | ||
| pm_gdp (tall, all_regi) |
GDP data | \(trn US\$ 2005\) | x | ||||||
| pm_gdp_gdx (tall, all_regi) |
GDP path from gdx, updated iteratively. | x | |||||||
| pm_pop (tall, all_regi) |
population data | \(bn people\) | x | x | x | x | |||
| pm_shPerm (tall, all_regi) |
emission permit shares | x | x | x | x | x | x | x | |
| pm_shPPPMER (all_regi) |
PPP ratio for calculating GDP|PPP from GDP|MER | x | |||||||
| sm_budgetCO2eqGlob | budget for global energy-emissions in period 1 | x | |||||||
| vm_co2eqGlob (ttot) |
global emissions to be balanced by allowances. | \(GtCeq\) | x | x | x | ||||
| vm_dummyBudget (ttot, all_regi) |
auxiliary variable that helps to meet permit allocation equation in nash case | x | |||||||
| vm_Mport (tall, all_regi, all_enty) |
Import of traded commodity. | x | x | x | |||||
| vm_perm (ttot, all_regi) |
emission allowances | x | x | x | x | x | x | x | |
| vm_Xport (tall, all_regi, all_enty) |
Export of traded commodity. | x | x | x |
Output
Realizations
(A) AbilityToPay
Emission caps/permits are allocated according to the ability to pay principle
Limitations There are no known limitations.
(B) CandC
Emission caps/permits are allocated according to the contraction and convergence rule (transition towards equal per capita allocation; with reference years 2005 and 2050)
\[\begin{multline*} vm\_perm(t,regi) = pm\_shPerm(t,regi) \cdot \left(vm\_co2eqGlob(t) \$\left(cm\_emiscen ne 4\right) + pm\_emicapglob(t) \$\left(cm\_emiscen eq 4\right)\right) \end{multline*}\]
Limitations There are no known limitations.
(C) exog
Emission caps/permits are allocated from an exogenous emission path that have to be provided “manually”
Limitations There are no known limitations.
(D) GDPint
Emission caps/permits are allocated according to GDP intensity
\[\begin{multline*} vm\_perm(t,regi) = pm\_shPerm(t,regi) \cdot \left(vm\_co2eqGlob(t) \$\left(cm\_emiscen ne 4\right) + pm\_emicapglob(t) \$\left(cm\_emiscen eq 4\right)\right) \end{multline*}\]
Limitations There are no known limitations.
(E) none
No allocation of regional emission caps/permits - applies to tax scenarios and no-tax scenarios without permit trading
Limitations There are no known limitations.
(F) PerCapitaConvergence
Emission caps/permits are allocated according to the contraction and convergence rule (transition towards equal per capita allocation; with reference years 2020 and 2050)
Limitations There are no known limitations.
(G) POPint
Emission caps/permits are allocated according to each region’s share on cumulated population
\[\begin{multline*} vm\_perm(t,regi) = pm\_shPerm(t,regi) \cdot \left(vm\_dummyBudget(t,regi) \$\left(cm\_emiscen eq 6\right) + vm\_co2eqGlob(t) \$\left(cm\_emiscen ne 4\right) + pm\_emicapglob(t) \$\left(cm\_emiscen eq 4\right)\right) \end{multline*}\]
Limitations There are no known limitations.
Limitations Permit allocation and emissions trading yield less robust results under Nash (decentralized optimization) compared to Negishi (Social planner optimization).
Definitions
Objects
| Description | Unit | A | B | C | D | E | F | G | |
|---|---|---|---|---|---|---|---|---|---|
| p41_co2eq (ttot, all_regi) |
emissions from cost-optimal reference run | x | x | x | |||||
| p41_co2eq_bau (ttot, all_regi) |
emissions from no-policy baseline run | x | |||||||
| p41_convergenceyear | year of convergence of per-capita-emissions | x | |||||||
| p41_correct_factor (tall) |
correction factor so that global pathway matches | x | |||||||
| p41_emicapregi (tall, all_regi) |
exogenous regional emission cap | x | |||||||
| p41_lambda (tall) |
share parameter | x | x | x | |||||
| p41_precorrection_reduction (tall, all_regi) |
reduction as calculated from 3rd root calculation, uncorrected | x | |||||||
| p41_shEmi2005 (all_regi) |
emission shares in 2005 | x | |||||||
| p41_shEmi2020 (all_regi) |
emission shares in 2020 | x | |||||||
| q41_perm_alloc_cap (ttot, all_regi) |
emission permit allocation | x | x | x |
Sets
| description | |
|---|---|
| all_enty | all types of quantities |
| all_regi | all regions |
| in(all_in) | All inputs and outputs of the CES function |
| modules | all the available modules |
| regi(all_regi) | all regions used in the solution process |
| run | iterator for performance test iterations |
| t(ttot) | modeling time, usually starting in 2005, but later for fixed delay runs |
| tall | time index |
| ttot(tall) | time index with spin up |
Authors
Marian Leimbach, Christoph Bertram