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Search Results (584)

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24 pages, 2803 KiB  
Article
AKI2ALL: Integrating AI and Blockchain for Circular Repurposing of Japan’s Akiyas—A Framework and Review
by Manuel Herrador, Romi Bramantyo Margono and Bart Dewancker
Buildings 2025, 15(15), 2629; https://doi.org/10.3390/buildings15152629 - 25 Jul 2025
Viewed by 588
Abstract
Japan’s 8.5 million vacant homes (Akiyas) represent a paradox of scarcity amid surplus: while rural depopulation leaves properties abandoned, housing shortages and bureaucratic inefficiencies hinder their reuse. This study proposes AKI2ALL, an AI-blockchain framework designed to automate the circular repurposing of Akiyas into [...] Read more.
Japan’s 8.5 million vacant homes (Akiyas) represent a paradox of scarcity amid surplus: while rural depopulation leaves properties abandoned, housing shortages and bureaucratic inefficiencies hinder their reuse. This study proposes AKI2ALL, an AI-blockchain framework designed to automate the circular repurposing of Akiyas into ten high-value community assets—guesthouses, co-working spaces, pop-up retail and logistics hubs, urban farming hubs, disaster relief housing, parking lots, elderly daycare centers, exhibition spaces, places for food and beverages, and company offices—through smart contracts and data-driven workflows. By integrating circular economy principles with decentralized technology, AKI2ALL streamlines property transitions, tax validation, and administrative processes, reducing operational costs while preserving embodied carbon in existing structures. Municipalities list properties, owners select uses, and AI optimizes assignments based on real-time demand. This work bridges gaps in digital construction governance, proving that automating trust and accountability can transform systemic inefficiencies into opportunities for community-led, low-carbon regeneration, highlighting its potential as a scalable model for global vacant property reuse. Full article
(This article belongs to the Special Issue Advances in the Implementation of Circular Economy in Buildings)
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31 pages, 1708 KiB  
Systematic Review
Circular Economy and Water Sustainability: Systematic Review of Water Management Technologies and Strategies (2018–2024)
by Gary Christiam Farfán Chilicaus, Luis Edgardo Cruz Salinas, Pedro Manuel Silva León, Danny Alonso Lizarzaburu Aguinaga, Persi Vera Zelada, Luis Alberto Vera Zelada, Elmer Ovidio Luque Luque, Rolando Licapa Redolfo and Emma Verónica Ramos Farroñán
Sustainability 2025, 17(14), 6544; https://doi.org/10.3390/su17146544 - 17 Jul 2025
Viewed by 441
Abstract
The transition toward a circular water economy addresses accelerating water scarcity and pollution. A PRISMA-2020 systematic review of 50 peer-reviewed articles (January 2018–April 2024) mapped current technologies and management strategies, seeking patterns, barriers, and critical bottlenecks. Bibliometric analysis revealed the following three dominant [...] Read more.
The transition toward a circular water economy addresses accelerating water scarcity and pollution. A PRISMA-2020 systematic review of 50 peer-reviewed articles (January 2018–April 2024) mapped current technologies and management strategies, seeking patterns, barriers, and critical bottlenecks. Bibliometric analysis revealed the following three dominant patterns: (i) rapid diffusion of membrane bioreactors, constructed wetlands, and advanced oxidation processes; (ii) research geographically concentrated in Asia and the European Union; (iii) industry’s marked preference for by-product valorization. Key barriers—high energy costs, fragmented regulatory frameworks, and low social acceptance—converge as critical constraints during scale-up. The following three practical action lines emerge: (1) adopt progressive tariffs and targeted tax credits that internalize environmental externalities; (2) harmonize water-reuse regulations with comparable circularity metrics; (3) create multi-actor platforms that co-design projects, boosting local legitimacy. These findings provide policymakers and water-sector practitioners with a clear roadmap for accelerating Sustainable Development Goals 6, 9, and 12 through circular, inclusive, low-carbon water systems. Full article
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27 pages, 1677 KiB  
Article
The Impact of IMO Market-Based Measures on Korean Shipping Companies: A Focus on the GHG Levy
by Hanna Kim and Sunghwa Park
Sustainability 2025, 17(14), 6524; https://doi.org/10.3390/su17146524 - 16 Jul 2025
Viewed by 497
Abstract
This study examines the effects of the International Maritime Organization’s (IMO) market-based measures, with a particular focus on the greenhouse gas (GHG) levy and on the financial and operational performance of Korean shipping companies. The analysis estimates that these companies, which play a [...] Read more.
This study examines the effects of the International Maritime Organization’s (IMO) market-based measures, with a particular focus on the greenhouse gas (GHG) levy and on the financial and operational performance of Korean shipping companies. The analysis estimates that these companies, which play a vital role in global trade, consume approximately 9211 kilotons of fuel annually and emit 28.5 million tons of carbon dioxide. Under the lowest proposed carbon tax scenario, the financial burden on these companies is estimated at approximately KRW 1.07 trillion, resulting in an 8.8% reduction in net profit, a 2.4% decrease in return on equity (ROE), and a 1.1% decline in return on assets (ROA). Conversely, under the highest carbon tax scenario, costs rise to KRW 4.89 trillion, leading to a significant 40.2% decrease in net profit, thereby posing a serious threat to the financial stability and competitiveness of these firms. These findings underscore the urgent need for strategic policy interventions to mitigate the financial impact of carbon taxation while promoting both environmental sustainability and economic resilience in the maritime sector. Full article
(This article belongs to the Special Issue Sustainable Management of Shipping, Ports and Logistics)
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23 pages, 8224 KiB  
Article
Green Port Collection and Distribution System in Low-Carbon Development: Scenario-Based System Dynamics
by Qingzhou Wang, Mengfan Li, Yuning Zhang and Yanan Kang
Sustainability 2025, 17(14), 6516; https://doi.org/10.3390/su17146516 - 16 Jul 2025
Viewed by 302
Abstract
This study aims to explore the factors and mechanisms influencing the low-carbon development of Green Port Collection and Distribution Systems (GPCDSs) and to identify effective pathways and policy approaches to promote such development. Given the limited prior research integrating low-carbon policies, energy structure, [...] Read more.
This study aims to explore the factors and mechanisms influencing the low-carbon development of Green Port Collection and Distribution Systems (GPCDSs) and to identify effective pathways and policy approaches to promote such development. Given the limited prior research integrating low-carbon policies, energy structure, and transportation systems, this study combines these three dimensions into a unified analytical framework. A scenario-based system dynamics model of GPCDS low-carbon development is established, incorporating factors such as low-carbon policies, energy structure, and transportation structure. The control variable method is employed to examine system behavior under 13 scenarios. The results indicate that freight subsidy policies and the internalization of carbon emission costs make the most substantial contributions to low-carbon development in GPCDS, yielding CO2 emission reductions of 14.3% and 15.7%, respectively. Additionally, improvements in port railway infrastructure contribute to a 6.4% reduction in CO2 emissions. In contrast, carbon taxes and energy structure adjustments have relatively limited effects, likely due to the delayed responsiveness of fossil fuel-dependent transportation sectors to pricing signals and the inherent inertia in transitioning energy systems. Full article
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31 pages, 6172 KiB  
Article
Shipping Decarbonisation: Financial and Business Strategies for UK Shipowners
by Eleni I. Avaritsioti
J. Risk Financial Manag. 2025, 18(7), 391; https://doi.org/10.3390/jrfm18070391 - 16 Jul 2025
Viewed by 330
Abstract
The maritime sector faces urgent decarbonisation pressures due to regulatory instruments, such as the International Maritime Organization’s (IMO) Carbon Intensity Indicator (CII), which mandates reductions in greenhouse gas emissions per transport work. This paper investigates the challenge of identifying CII-compliant strategies that are [...] Read more.
The maritime sector faces urgent decarbonisation pressures due to regulatory instruments, such as the International Maritime Organization’s (IMO) Carbon Intensity Indicator (CII), which mandates reductions in greenhouse gas emissions per transport work. This paper investigates the challenge of identifying CII-compliant strategies that are also financially viable for UK shipowners. To address this, operational and technical data from UK-flagged vessels over 5000 GT are analysed using a capital budgeting framework. This includes scenario-based evaluation of speed reduction, payload limitation, and retrofitting with dual-fuel LNG and methanol engines. The analysis integrates carbon taxation, and pilot fuel use to assess impacts on emissions and profitability. The findings reveal that while the short-term operational measures examined offer modest gains, long-term compliance and financial performance are best achieved through targeted retrofitting supported by carbon taxes and favourable market conditions. The study provides actionable insights for shipowners and policymakers seeking to align commercial viability with regulatory obligations under the evolving CII framework. Full article
(This article belongs to the Special Issue Featured Papers in Climate Finance)
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23 pages, 2581 KiB  
Article
Tripartite Evolutionary Game Analysis of Waste Tire Pyrolysis Promotion: The Role of Differential Carbon Taxation and Policy Coordination
by Xiaojun Shen
Sustainability 2025, 17(14), 6422; https://doi.org/10.3390/su17146422 - 14 Jul 2025
Viewed by 290
Abstract
In China, the recycling system for waste tires is characterized by high output but low standardized recovery rates. This study examines the environmental and health risks caused by non-compliant treatment by individual recyclers and explores the barriers to the large-scale adoption of Pyrolysis [...] Read more.
In China, the recycling system for waste tires is characterized by high output but low standardized recovery rates. This study examines the environmental and health risks caused by non-compliant treatment by individual recyclers and explores the barriers to the large-scale adoption of Pyrolysis Technology. A Tripartite Evolutionary Game Model involving pyrolysis plants, waste tire recyclers, and government regulators is developed. The model incorporates pollutants from pretreatment and pyrolysis processes into a unified metric—Carbon Dioxide Equivalent (CO2-eq)—based on Global Warming Potential (GWP), and designs a Differential Carbon Taxation mechanism accordingly. The strategy dynamics and stability conditions for Evolutionary Stable Strategies (ESS) are analyzed. Multi-scenario numerical simulations explore how key parameter changes influence evolutionary trajectories and equilibrium outcomes. Six typical equilibrium states are identified, along with the critical conditions for achieving environmentally friendly results. Based on theoretical analysis and simulation results, targeted policy recommendations are proposed to promote standardized waste tire pyrolysis: (1) Establish a phased dynamic carbon tax with supporting subsidies; (2) Build a green market cultivation and price stabilization system; (3) Implement performance-based differential incentives; (4) Strengthen coordination between central environmental inspections and local carbon tax enforcement. Full article
(This article belongs to the Section Economic and Business Aspects of Sustainability)
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22 pages, 986 KiB  
Article
Promoting Freight Modal Shift to High-Speed Rail for CO2 Emission Reduction: A Bi-Level Multi-Objective Optimization Approach
by Lin Li
Sustainability 2025, 17(14), 6310; https://doi.org/10.3390/su17146310 - 9 Jul 2025
Viewed by 330
Abstract
This paper investigates the optimal planning of high-speed rail (HSR) freight operations, pricing strategies, and government carbon tax policies. The primary objective is to enhance the market share of HSR freight, thereby reducing carbon dioxide (CO2) emissions associated with freight activities. [...] Read more.
This paper investigates the optimal planning of high-speed rail (HSR) freight operations, pricing strategies, and government carbon tax policies. The primary objective is to enhance the market share of HSR freight, thereby reducing carbon dioxide (CO2) emissions associated with freight activities. The modal shift problem is formulated as a bi-level multi-objective model and solved using a specifically designed hybrid algorithm. The upper-level model integrates multiple objectives of the government (minimizing tax while maximizing the emission reduction rate) and HSR operators (maximizing profits). The lower-level model represents shippers’ transportation mode choices through network equilibrium modeling, aiming to minimize their costs. Numerical analysis is conducted using a transportation network that includes seven major central cities in China. The results indicate that optimizing HSR freight services with carbon tax policies can achieve a 56.97% reduction in CO2 emissions compared to air freight only. The effectiveness of the government’s carbon tax policy in reducing CO2 emissions depends on shippers’ emphasis on carbon reduction and the intensity of the carbon tax. Full article
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28 pages, 1221 KiB  
Article
Energy Efficiency and Environmental Technologies in Carbon Emissions Reduction Strategies for a Sustainable Future: Estimation Through Simultaneous Equation Systems
by Sabiha Oltulular
Energies 2025, 18(14), 3596; https://doi.org/10.3390/en18143596 - 8 Jul 2025
Viewed by 410
Abstract
Energy is at the center of economic growth and environmental sustainability. Increasing energy efficiency and turning to environmentally friendly technologies are indispensable elements not only in reducing carbon emissions but also in supporting the transition to a green future. This study aims to [...] Read more.
Energy is at the center of economic growth and environmental sustainability. Increasing energy efficiency and turning to environmentally friendly technologies are indispensable elements not only in reducing carbon emissions but also in supporting the transition to a green future. This study aims to deeply examine the simultaneous dynamic interactions between energy, environmental technologies, and economic growth by focusing on the environment and analyzing the transformative effects of these factors on environmental sustainability from a broad perspective. The models were estimated via simultaneous equation systems with two-stage and three-stage least squares methods with monthly data for Organization for Economic Cooperation and Development (OECD) countries between 1990 and 2021. As a result of the analyses, the estimation results of the two methods generally support each other. Notably, economic growth causes carbon emissions, and when tax revenues on energy are added to the model, the negative effect of economic growth on carbon emissions turns positive. Another significant result shows that energy efficiency does not reduce carbon emissions. Even an increase in energy efficiency causes an increase in carbon emissions, and the rebound effect is valid. Population and energy density do not have a negative impact on carbon emissions. Full article
(This article belongs to the Special Issue Research on Energy, Environment, and Sustainable Development)
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22 pages, 1200 KiB  
Article
Carbon Capture and Storage as a Decarbonisation Strategy: Empirical Evidence and Policy Implications for Sustainable Development
by Maxwell Kongkuah, Noha Alessa and Ilham Haouas
Sustainability 2025, 17(13), 6222; https://doi.org/10.3390/su17136222 - 7 Jul 2025
Viewed by 473
Abstract
This paper examines the impact of carbon capture and storage (CCS) deployment on national carbon intensity (CI) across 43 countries from 2010 to 2020. Using a dynamic common correlated effects (DCCE) log–log panel, we estimate the elasticity of CI with respect to sectoral [...] Read more.
This paper examines the impact of carbon capture and storage (CCS) deployment on national carbon intensity (CI) across 43 countries from 2010 to 2020. Using a dynamic common correlated effects (DCCE) log–log panel, we estimate the elasticity of CI with respect to sectoral CCS facility counts within four income-group panels and the full sample. In the high-income panel, CCS in direct air capture, cement, iron and steel, power and heat, and natural gas processing sectors produces statistically significant CI declines of 0.15%, 0.13%, 0.095%, 0.092%, and 0.087% per 1% increase in facilities, respectively (all p < 0.05). Upper-middle-income countries exhibit strong CI reductions in direct air capture (–0.22%) and cement (–0.21%) but mixed results in other sectors. Lower-middle- and low-income panels show attenuated or positive elasticities—reflecting early-stage CCS adoption and infrastructure barriers. Robustness checks confirm these patterns both before and after the 2015 Paris Agreement and between emerging and developed economy panels. Spatial analysis reveals that the United States and United Kingdom achieved 30–40% CI reductions over the decade, whereas China, India, and Indonesia realized only 10–20% declines (relative to a 2010 baseline), highlighting regional deployment gaps. Drawing on these detailed income-group insights, we propose tailored policy pathways: in high-income settings, expand tax credits and public–private infrastructure partnerships; in upper-middle-income regions, utilize blended finance and technology-transfer programs; and in lower-income contexts, establish pilot CCS hubs with international support and shared storage networks. We further recommend measures to manage CCS’s energy and water penalties, implement rigorous monitoring to mitigate leakage risks, and design risk-sharing contracts to address economic uncertainties. Full article
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13 pages, 4107 KiB  
Article
Game Analysis Between Manufacturer and Retailer Under Carbon Tax Policy
by Jun Yu, Shihui Yang and Zongxian Feng
Sustainability 2025, 17(13), 6183; https://doi.org/10.3390/su17136183 - 5 Jul 2025
Viewed by 282
Abstract
Considering consumers’ low-carbon preferences, this article analyzes a manufacturer’s price and carbon abatement strategies, as well as a retailer’s price and promotion strategies, in a centralized game, where the manufacturer and the retailer jointly make decisions, and a decentralized game, where the two [...] Read more.
Considering consumers’ low-carbon preferences, this article analyzes a manufacturer’s price and carbon abatement strategies, as well as a retailer’s price and promotion strategies, in a centralized game, where the manufacturer and the retailer jointly make decisions, and a decentralized game, where the two parties each make decisions simultaneously. This study discusses the impact of the carbon abatement cost coefficient, promotion cost coefficient, sensitivity coefficient of consumer demand to carbon abatement rate or promotion rate, or carbon tax rate on the manufacturer’s carbon abatement rate, commodity’s retail price, and retailer’s promotion rate. This article also discusses the impact of any one of the main parameters on supply chain profit. Through comparisons of the above two games, this article concludes that the former is better than the latter for firms, consumers, and the environment. This article also concludes that a reduction in the carbon abatement cost coefficient, a rise in the sensitivity coefficient of consumer demand to the carbon abatement rate, or a rise in the carbon tax rate increases the manufacturer’s optimal carbon abatement rate. A relatively high carbon abatement rate means relatively low CO2 emissions, which are environmentally friendly and conducive to sustainable development at the ecological level. The foregoing conclusions provide governments with references for making carbon tax policies and also offer firms references for making decisions. Full article
(This article belongs to the Special Issue Sustainable Operations, Logistics and Supply Chain Management)
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39 pages, 5325 KiB  
Article
Optimal Sizing and Techno-Economic Evaluation of a Utility-Scale Wind–Solar–Battery Hybrid Plant Considering Weather Uncertainties, as Well as Policy and Economic Incentives, Using Multi-Objective Optimization
by Shree Om Bade, Olusegun Stanley Tomomewo, Michael Maan, Johannes Van der Watt and Hossein Salehfar
Energies 2025, 18(13), 3528; https://doi.org/10.3390/en18133528 - 3 Jul 2025
Viewed by 449
Abstract
This study presents an optimization framework for a utility-scale hybrid power plant (HPP) that integrates wind power plants (WPPs), solar power plants (SPPs), and battery energy storage systems (BESS) using historical and probabilistic weather modeling, regulatory incentives, and multi-objective trade-offs. By employing multi-objective [...] Read more.
This study presents an optimization framework for a utility-scale hybrid power plant (HPP) that integrates wind power plants (WPPs), solar power plants (SPPs), and battery energy storage systems (BESS) using historical and probabilistic weather modeling, regulatory incentives, and multi-objective trade-offs. By employing multi-objective particle swarm optimization (MOPSO), the study simultaneously optimizes three key objectives: economic performance (maximizing net present value, NPV), system reliability (minimizing loss of power supply probability, LPSP), and operational efficiency (reducing curtailment). The optimized HPP (283 MW wind, 20 MW solar, and 500 MWh BESS) yields an NPV of $165.2 million, a levelized cost of energy (LCOE) of $0.065/kWh, an internal rate of return (IRR) of 10.24%, and a 9.24-year payback, demonstrating financial viability. Operational efficiency is maintained with <4% curtailment and 8.26% LPSP. Key findings show that grid imports improve reliability (LPSP drops to 1.89%) but reduce economic returns; higher wind speeds (11.6 m/s) allow 27% smaller designs with 54.6% capacity factors; and tax credits (30%) are crucial for viability at low PPA rates (≤$0.07/kWh). Validation via Multi-Objective Genetic Algorithm (MOGA) confirms robustness. The study improves hybrid power plant design by combining weather predictions, policy changes, and optimizing three goals, providing a flexible renewable energy option for reducing carbon emissions. Full article
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33 pages, 1372 KiB  
Article
A Conceptual Approach to Defining a Carbon Tax in the Transport Sector in Indonesia: Economic, Social, and Environmental Aspects
by Diaz Pranita and Sri Sarjana
Energies 2025, 18(13), 3493; https://doi.org/10.3390/en18133493 - 2 Jul 2025
Viewed by 509
Abstract
The implementation of a carbon tax in the transportation sector aims to reduce carbon emissions and encourage the transition to sustainable mobility amid increasing urbanization. The transportation sector is one of the largest contributors of carbon emissions in Indonesia, requiring effective policies to [...] Read more.
The implementation of a carbon tax in the transportation sector aims to reduce carbon emissions and encourage the transition to sustainable mobility amid increasing urbanization. The transportation sector is one of the largest contributors of carbon emissions in Indonesia, requiring effective policies to reduce its environmental impacts. Therefore, this study aims to find a more optimal carbon tax formula that is in accordance with Indonesia’s socio-economic conditions. The approach used includes analysis of transportation emission data, the economic impact of different carbon tax schemes, and tax revenue allocation strategies to support green infrastructure and sustainable transportation. The results of the study indicate that an adaptive carbon tax formula in the transportation sector is able to balance the economic burden, emission reduction targets, social justice, behavioral changes, and revenue allocation for green infrastructure, thus ensuring a just and sustainable transition. A progressive carbon tax, based on vehicle emission levels and fuel types, can encourage the transition to low-emission vehicles without excessively burdening low-income communities. With this approach, carbon tax policy functions not only as a fiscal instrument but also as a transformative strategy in creating an environmentally friendly and equitable transportation system. Full article
(This article belongs to the Section B: Energy and Environment)
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26 pages, 14647 KiB  
Article
Coordinated Dispatch Between Agricultural Park and Distribution Network: A Stackelberg Game Based on Carbon Emission Flow
by Jiahao Gou, Hailong Cui and Xia Zhao
Processes 2025, 13(7), 2102; https://doi.org/10.3390/pr13072102 - 2 Jul 2025
Viewed by 283
Abstract
With the acceleration of global climate warming and agricultural modernization, the energy and carbon emission issues of agricultural parks (APs) have drawn increasing attention. An AP equipped with biogas-based combined heat and power (CHP) generation and photovoltaic systems serves as a prosumer terminal [...] Read more.
With the acceleration of global climate warming and agricultural modernization, the energy and carbon emission issues of agricultural parks (APs) have drawn increasing attention. An AP equipped with biogas-based combined heat and power (CHP) generation and photovoltaic systems serves as a prosumer terminal in a distribution network (DN). This paper introduces carbon emission flow (CEF) theory into the coordinated dispatch of APs and DNs. First, a CEF model for APs is established. Then, based on this model, a carbon–energy coordinated dispatch is carried out under bidirectional CEF interaction between the park and DN. A bidirectional carbon tax mechanism is adopted to explore the low-carbon synergy potential between them. Finally, the Stackelberg game approach is employed to address the pricing of electricity purchase/sale and carbon taxes in a DN, and the particle swarm optimization algorithm is used for rapid generating solutions. The case study shows that the proposed CEF model can effectively determine CEF distribution in the park. Moreover, the proposed bidirectional carbon tax mechanism significantly enhances the low-carbon economic benefits of both the AP and the DN. Full article
(This article belongs to the Special Issue Modeling, Optimization, and Control of Distributed Energy Systems)
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26 pages, 1444 KiB  
Article
The Path to Environmental Sustainability: How Circular Economy, Natural Capital, and Structural Economic Changes Shape Greenhouse Gas Emissions in Germany
by Hanyu Chen, Guanbing Zhao and Muhammad Ramzan
Sustainability 2025, 17(13), 5982; https://doi.org/10.3390/su17135982 - 29 Jun 2025
Viewed by 418
Abstract
Environmental sustainability constitutes a strategic priority for Germany, with the circular economy serving a crucial function in its realization. Circular practices foster sustainable development by decreasing reliance on finite resources, minimizing waste, and reducing greenhouse gas (GHG) emissions. The circular economy provides ecological [...] Read more.
Environmental sustainability constitutes a strategic priority for Germany, with the circular economy serving a crucial function in its realization. Circular practices foster sustainable development by decreasing reliance on finite resources, minimizing waste, and reducing greenhouse gas (GHG) emissions. The circular economy provides ecological advantages and strengthens economic resilience through the promotion of innovation, enhancement of supply chain efficiency, and creation of green jobs. Complementary measures, including the preservation of natural capital, the enactment of structural economic reforms, and the implementation of environmental taxes, enhance sustainability objectives. Ecosystem conservation enhances carbon absorption, structural changes facilitate low-emission industries, and environmental taxes incorporate environmental costs. In contrast, industrial activity continues to be a significant contributor to GHG emissions, necessitating policy examination. This study analyzes the relationships between the circular economy, natural capital, structural change, environmental taxation, and industrial activities on GHG emissions in Germany from the first quarter of 2010 to the fourth quarter of 2022. The study employs wavelet coherence analysis (WCA), fully modified ordinary least squares (FMOLS), and dynamic ordinary least squares (DOLS), demonstrating that circular economy practices, natural capital, structural changes, and environmental taxes significantly reduce GHG emissions. Conversely, industrial activities continually elevate GHG emissions in Germany. Moreover, WCA further reveals the time–frequency dynamics and co-movement patterns between key variables and GHG emissions, enabling the detection of both short-term and long-term dependencies. The results indicate that enhancing environmental sustainability in Germany could be effectively achieved by mandating the integration of recycled materials within key industrial sectors to improve environmental sustainability, which would help lower resource extraction and related GHG emissions. Full article
(This article belongs to the Section Air, Climate Change and Sustainability)
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17 pages, 732 KiB  
Review
A Review of Carbon Pricing Mechanisms and Risk Management for Raw Materials in Low-Carbon Energy Systems
by Hongbo Sun, Xinting Zhang and Cuicui Luo
Energies 2025, 18(13), 3401; https://doi.org/10.3390/en18133401 - 27 Jun 2025
Viewed by 500
Abstract
The global shift to low-carbon energy systems has significantly increased demand for critical raw materials like lithium, cobalt, nickel, rare earth elements, and copper. These materials are essential for renewable technologies and energy storage. However, their extraction and processing produce significant carbon emissions [...] Read more.
The global shift to low-carbon energy systems has significantly increased demand for critical raw materials like lithium, cobalt, nickel, rare earth elements, and copper. These materials are essential for renewable technologies and energy storage. However, their extraction and processing produce significant carbon emissions and face challenges from supply chain vulnerabilities and price volatility. This review examines the complex relationship between carbon pricing mechanisms—such as carbon markets and taxes—and raw material markets. It explores the strategic importance of these materials, recent policy developments, and the transmission of carbon pricing impacts through supply chains. The review also analyzes the systemic risks created by carbon pricing, including regulatory uncertainty, market volatility, and geopolitical tensions. We then discuss financial tools and corporate strategies for managing these risks, such as carbon-linked derivatives and supply chain diversification. Finally, this review identifies key challenges and suggests future research to improve the resilience and sustainability of raw material supply chains. Here, resilience is defined as the capacity to adapt to carbon pricing volatility, geopolitical disruptions, and regulatory shocks, while maintaining operations. The paper concludes that coordinated policies and flexible risk management are urgently needed to support a reliable and sustainable energy transition. Full article
(This article belongs to the Collection Energy Transition Towards Carbon Neutrality)
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