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Keywords = environmental taxation and subsidies

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20 pages, 6273 KiB  
Review
A Comprehensive Review of Urban Expansion and Its Driving Factors
by Ming Li, Yongwang Cao, Jin Dai, Jianxin Song and Mengyin Liang
Land 2025, 14(8), 1534; https://doi.org/10.3390/land14081534 - 26 Jul 2025
Viewed by 250
Abstract
Urban expansion has a profound impact on both society and the environment. In this study, VOSviewer 1.6.16 and CiteSpace 6.3.R1 were used to conduct a bibliometric analysis of 2987 articles published during the period of 1992–2022 from the Web of Science database in [...] Read more.
Urban expansion has a profound impact on both society and the environment. In this study, VOSviewer 1.6.16 and CiteSpace 6.3.R1 were used to conduct a bibliometric analysis of 2987 articles published during the period of 1992–2022 from the Web of Science database in order to identify the research hotspots and trends of urban expansion and its driving factors. The number of articles significantly increased during the period of 1992–2022. The spatiotemporal characteristics and driving forces of urban expansion, urban growth models and simulations, and the impacts of urban expansion were the main research topics. The rate of urban expansion showed regional differences. Socioeconomic factors, political and institutional factors, natural factors, path effects, and proximity effects were the main driving factors. Urban expansion promoted economic growth, occupied cultivated land, and affected ecological environments. Big data and deep learning techniques were recently applied due to advancements in information techniques. With the increasing awareness of environmental protection, the number of studies on environmental impacts and spatial planning regulations has increased. Some political and institutional factors, such as subsidies, taxation, spatial planning, new development strategies, regulation policies, and economic industries, had controversial or unknown impacts. Further research on these factors and their mechanisms is needed. A limitation of this study is that articles which were not indexed, were not included in bibliometric analysis. Further studies can review these articles and conduct comparative research to capture the diversity. Full article
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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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19 pages, 379 KiB  
Article
Agricultural Value Added, Renewable Energy, and the Environmental Kuznets Curve: Evidence from Turkey
by Neslihan Koç, Özgür Emre Koç, Florina Oana Virlanuta, Orhan Orçun Bıtrak, Uğur Çiçek, Radu Octavian Kovacs, Valentina-Alina Vasile (Dobrea) and Tincuta Vrabie
Energies 2025, 18(13), 3291; https://doi.org/10.3390/en18133291 - 23 Jun 2025
Viewed by 621
Abstract
In this study, the relationship between economic growth and carbon emissions for the period 1968–2022 in Turkey was evaluated within the framework of the EKC (Environmental Kuznets Curve) hypothesis. In addition, the impacts of renewable energy consumption and agricultural value added on carbon [...] Read more.
In this study, the relationship between economic growth and carbon emissions for the period 1968–2022 in Turkey was evaluated within the framework of the EKC (Environmental Kuznets Curve) hypothesis. In addition, the impacts of renewable energy consumption and agricultural value added on carbon emissions were analyzed using the ARDL bounds testing approach. The validity of the results was also tested using the FMOLS and DOLS methods. The findings confirmed the existence of a cointegration relationship between carbon emissions and per capita income, renewable energy consumption, and agricultural value added. Long-term analyses indicate that renewable energy consumption reduces carbon emissions, whereas growth in agricultural value added leads to an increase in emissions. In addition, it has been determined that the EKC hypothesis is valid in both the long and short terms and that increases in per capita income raise emissions up to a certain threshold and have a mitigating effect when this threshold is exceeded. The results of the short-term analysis showed that the effects of renewable energy consumption vary across periods, and that agricultural value added increases emissions in the short term. This study provides empirical evidence for Turkey by incorporating sectoral variables within the EKC framework and offers meaningful insights for policymakers regarding the environmental impacts of agricultural value added and renewable energy use in the context of a developing country. Accordingly, fiscal policy instruments such as green taxation, carbon credit trading mechanisms, and financial and agricultural subsidies should be more effectively utilized in Turkey to support structural transformation in agriculture and promote the use of clean energy, in line with the findings that suggest the need for targeted agricultural and energy policies aligned with Turkey’s SDG commitments. Full article
(This article belongs to the Special Issue Environmental Sustainability and Energy Economy)
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23 pages, 1916 KiB  
Article
Energy Taxation Reform with an Environmental Focus in Portugal
by Alfredo Marvão Pereira and Rui Marvão Pereira
Energies 2023, 16(3), 1232; https://doi.org/10.3390/en16031232 - 23 Jan 2023
Cited by 5 | Viewed by 1794
Abstract
Climate change has made the decarbonization of the different domestic economies a widely accepted and urgent priority. Yet, this is a very challenging task in a largely uncharted territory. In this context, in this paper, we address the issue of energy taxation reform [...] Read more.
Climate change has made the decarbonization of the different domestic economies a widely accepted and urgent priority. Yet, this is a very challenging task in a largely uncharted territory. In this context, in this paper, we address the issue of energy taxation reform with an environmental focus in Portugal. We do so using a multi-sector and multi-household dynamic computable general equilibrium model of the Portuguese economy. We analyze the environmental, macroeconomic, and distributional effects of different policies replacing current energy taxation with carbon taxation and, then, extend the carbon taxation to the levels necessary to achieve the IPCC 2018 emissions reduction targets. Our analysis indicates a clear path in the quest for decarbonization. First, replace energy taxes with a carbon tax; second, adopt the levels of carbon taxation necessary to achieve the emissions goals; third, use extra tax revenues from the carbon tax to reverse any potential adverse macroeconomic and distributional effects of carbon taxation. In the process, this would be a way around the pervasive problem of perverse fossil fuel subsidies, which would effectively disappear and, as such, would improve the efficiency of the tax system. Full article
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21 pages, 2314 KiB  
Article
Determining Factors of Consumers’ Choice of Sport Utility Vehicles in an Isolated Energy System: How Can We Contribute to the Decarbonization of the Economy?
by Alfredo J. Ramírez-Díaz, Francisco J. Ramos-Real, María Gracia Rodríguez-Brito, María Carolina Rodríguez-Donate and Andrés Lorente de las Casas
Energies 2022, 15(17), 6454; https://doi.org/10.3390/en15176454 - 3 Sep 2022
Cited by 4 | Viewed by 2839
Abstract
This paper analyses the profile of individuals who decide to purchase a Sport Utility Vehicle (SUV) in a medium-sized isolated island system such as Tenerife Island. To achieve this objective, we used a survey conducted in 2017 to identify the characteristics of the [...] Read more.
This paper analyses the profile of individuals who decide to purchase a Sport Utility Vehicle (SUV) in a medium-sized isolated island system such as Tenerife Island. To achieve this objective, we used a survey conducted in 2017 to identify the characteristics of the individuals most likely to choose an SUV or another type of vehicle or be undecided. Subsequently, a discrete choice model was estimated to assess the probability that an individual chooses one of the three options as a function of their socio-economic characteristics, mobility routines, vehicle attributes and psychosocial traits. The results show the need to adopt energy policy measures related to vehicle choice, as they put the fulfilment of the decarbonization objectives for the energy transition in the Canary Islands at risk. Firstly, the authorities should carry out campaigns to achieve a more environmentally conscious behaviour by highlighting the higher consumption and emission levels of this type of vehicle. Secondly, subsidies for more efficient new vehicles and taxation should promote the purchase of low-emission vehicles to compensate for the greater willingness to pay of SUV buyers. In particular, purchase taxation should be linked to emission levels rather than only considering power, engine characteristics or labelling. Full article
(This article belongs to the Special Issue Recent Advances in Isolated Power Systems)
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14 pages, 1248 KiB  
Article
Assessment of Changes in Environmental Factors Affecting Aquaculture Production and Fisherfolk Incomes in China between 2010 and 2020
by Peiwen Wang and Isabel Mendes
Fishes 2022, 7(4), 192; https://doi.org/10.3390/fishes7040192 - 5 Aug 2022
Cited by 9 | Viewed by 3242
Abstract
The vast expanse of China’s land surface results in the country’s environment varying from region to region. Environmental changes impact on China’s industries, markets, and trade, indirectly affecting not only the country’s economy but also the people who depend on aquaculture resources. Regional [...] Read more.
The vast expanse of China’s land surface results in the country’s environment varying from region to region. Environmental changes impact on China’s industries, markets, and trade, indirectly affecting not only the country’s economy but also the people who depend on aquaculture resources. Regional differentiation leads to an imbalance that severely affects social fairness and equity, which becomes a key factor limiting the sustainable development of the economy and society. Analysis and assessment of the changes in environmental factors affecting aquaculture production and fisherfolk’s income in 31 regions of China between 2010 and 2020 aim to provide a reference for regional differentiation in the economic development of aquaculture in the different regions in China, representing an essential step towards achieving the coordinated development of rural regional areas. This study’s assessment and analysis procedures adopted the principal component analysis method. The findings suggest that regional differences in Chinese fisherfolk’s income and the environmental factors affecting China’s aquaculture production are veritable. There have been subtle changes in regional differentiation over a decade. It is necessary to implement contextualized environmental management measures, concessionary taxation, and additional subsidies to address the different characteristics of China’s different regions for the future development of environmental management and narrowing the income gap, to address both the income disparities in Chinese fisherfolk’s income and environmental factors affecting Chinese aquaculture production, to achieve the harmonious development of rural regional areas. Full article
(This article belongs to the Section Fishery Economics, Policy, and Management)
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16 pages, 1011 KiB  
Article
Measuring the Policy Effectiveness of China’s New-Energy Vehicle Industry and Its Differential Impact on Supply and Demand Markets
by Di Wang and Yuman Li
Sustainability 2022, 14(13), 8215; https://doi.org/10.3390/su14138215 - 5 Jul 2022
Cited by 16 | Viewed by 5417
Abstract
To promote the precise governance of China’s new-energy vehicle (NEV) industry, this paper quantitatively analyzes 204 policy texts on the NEV industry in China since 2007 and constructs an evaluation system of policy effectiveness from three dimensions of policy attributes, policy objectives, and [...] Read more.
To promote the precise governance of China’s new-energy vehicle (NEV) industry, this paper quantitatively analyzes 204 policy texts on the NEV industry in China since 2007 and constructs an evaluation system of policy effectiveness from three dimensions of policy attributes, policy objectives, and policy measures to reveal the effectiveness and evolutionary trends of China’s NEV industry policies. In addition, this paper explores the two-way effects of different types of policy measures on the NEV supply and demand markets through an econometric model to reveal the differential impact effectiveness of various policy instruments in China’s NEV industry. The results indicate that China’s NEV industry has changed from “government-driven” to “government-driven + market-driven”, and the multi-sectoral policy coordination needs to be further improved; the dynamic evolution over the years reveals a similar pattern of change in the total effectiveness of policy issuance as influenced by the number of policies; the quantity of patents in China is large but the quality of patents is insufficient, and an overall problem of low level of core technology is being faced; taxation and subsidy measure, technical innovation measures, social guidance measures, and environmental support measures all effectively promote the development of the supply-side market, while taxation and subsidy measures, social guidance measures and legal regulation measures can better promote the development of the demand-side market; the impact of financial support measures on both supply and demand-side markets is not significant. Full article
(This article belongs to the Special Issue Environmental Impact Assessment and Renewable Energy Technologies)
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16 pages, 1780 KiB  
Article
Decoupling and Decomposition Analysis of Agricultural Carbon Emissions: Evidence from Heilongjiang Province, China
by Qinyi Huang and Yu Zhang
Int. J. Environ. Res. Public Health 2022, 19(1), 198; https://doi.org/10.3390/ijerph19010198 - 24 Dec 2021
Cited by 24 | Viewed by 3683
Abstract
Ensuring food security and curbing agricultural carbon emissions are both global policy goals. The evaluation of the relationship between grain production and agricultural carbon emissions is important for carbon emission reduction policymaking. This paper took Heilongjiang province, the largest grain-producing province in China, [...] Read more.
Ensuring food security and curbing agricultural carbon emissions are both global policy goals. The evaluation of the relationship between grain production and agricultural carbon emissions is important for carbon emission reduction policymaking. This paper took Heilongjiang province, the largest grain-producing province in China, as a case study, estimated its grain production-induced carbon emissions, and examined the nexus between grain production and agricultural carbon emissions from 2000 to 2018, using decoupling and decomposition analyses. The results of decoupling analysis showed that weak decoupling occurred for half of the study period; however, the decoupling state and coupling state occurred alternately, and there was no definite evolving path from coupling to decoupling. Using the log mean Divisia index (LMDI) method, we decomposed the changes in agricultural carbon emissions into four factors: agricultural economy, agricultural carbon emission intensity, agricultural structure, and agricultural labor force effects. The results showed that the agricultural economic effect was the most significant driving factor for increasing agricultural carbon emissions, while the agricultural carbon emission intensity effect played a key inhibiting role. Further integrating decoupling analysis with decomposition analysis, we found that a low-carbon grain production mode began to take shape in Heilongjiang province after 2008, and the existing environmental policies had strong timeliness and weak persistence, probably due to the lack of long-term incentives for farmers. Finally, we suggested that formulating environmental policy should encourage farmers to adopt environmentally friendly production modes and technologies through taxation, subsidies, and other economic means to achieve low-carbon agricultural goals in China. Full article
(This article belongs to the Special Issue Future and Feature Paper in Environment and Applied Ecology)
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16 pages, 368 KiB  
Article
Influence Mechanism on Supplier Emission Reduction Based on a Two-Level Supply Chain
by Lina Ma, Xinran Zhang and Yushen Du
Int. J. Environ. Res. Public Health 2021, 18(23), 12439; https://doi.org/10.3390/ijerph182312439 - 26 Nov 2021
Cited by 2 | Viewed by 1987
Abstract
The purpose of this paper is to investigate environmental performance of a supply chain which consists of an upstream supplier and a downstream firm. A mathematical model considering both downstream firm’s monitoring and governmental intervention is developed. Afterwards, a numerical example is presented [...] Read more.
The purpose of this paper is to investigate environmental performance of a supply chain which consists of an upstream supplier and a downstream firm. A mathematical model considering both downstream firm’s monitoring and governmental intervention is developed. Afterwards, a numerical example is presented to show the equilibriums of these models and the optimal choices of firms and government. The results show that when customers’ environmental awareness increases, both total environmental impact and social welfare decrease. The downstream firm’s monitoring will certainly reduce the total environmental impact. In most cases, it does not matter whether the downstream firm chooses to monitor the supplier or not, the total environmental impact and social welfare would not be affected when the government chooses subsidy. If a subsidy is present, firms and environment will be better than those without subsidy. Hence, the government is more likely to choose to provide subsidy and the downstream firm will not monitor the supplier’s greenhouse gas (GHG) emissions reduction effort. In a few cases when environmental impact is too large, taxation may be the optimal choice for the government and the downstream firm will choose to monitor the supplier’s GHG emissions reduction investment. Full article
(This article belongs to the Section Anthropogenic Circularity)
27 pages, 1782 KiB  
Article
A Free-Market Environmentalist Transition toward Renewable Energy: The Cases of Germany, Denmark, and the United Kingdom
by William Hongsong Wang, Vicente Moreno-Casas and Jesús Huerta de Soto
Energies 2021, 14(15), 4659; https://doi.org/10.3390/en14154659 - 31 Jul 2021
Cited by 33 | Viewed by 9139
Abstract
Renewable energy (RE) is one of the most popular public policy orientations worldwide. Compared to some other countries and continents, Europe has gained an early awareness of energy and environmental problems in general. At the theoretical level, free-market environmentalism indicates that based on [...] Read more.
Renewable energy (RE) is one of the most popular public policy orientations worldwide. Compared to some other countries and continents, Europe has gained an early awareness of energy and environmental problems in general. At the theoretical level, free-market environmentalism indicates that based on the principle of private property rights, with fewer state interventionist and regulation policies, entrepreneurs, as the driving force of the market economy, can provide better services to meet the necessity of offering RE to protect the environment more effectively. Previous studies have revealed that Germany, Denmark, and the United Kingdom have made some progress in using the market to develop RE. However, this research did not analyze the three countries’ RE conditions from the perspective of free-market environmentalism. Based on our review of the principles of free-market environmentalism, this paper originally provides an empirical study of how Germany, Denmark, and the United Kingdom have partly conducted free-market-oriented policies to successfully achieve their policy goal of RE since the 1990s on a practical level. In particular, compared with Germany and Denmark, the UK has maintained a relatively low energy tax rate and opted for more pro-market measures since the Hayekian-Thatcherism free-market reform of 1979. The paper also discovers that Fredrich A. Hayek’s theories have strongly impacted its energy liberalization reform agenda since then. Low taxes on the energy industry and electricity have alleviated the burden on the electricity enterprises and consumers in the UK. Moreover, the empirical results above show that the energy enterprises play essential roles in providing better and more affordable RE for household and industrial users in the three sampled countries. Based on the above results, the paper also warns that state intervention policies such as taxation, state subsidies, and industrial access restrictions can impede these three countries’ RE targets. Additionally, our research provides reform agendas and policy suggestions to policymakers on the importance of implementing free-market environmentalism to provide more efficient RE in the post-COVID-19 era. Full article
(This article belongs to the Special Issue Energy Security and the Transition toward Green Energy Production)
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9 pages, 826 KiB  
Communication
Neoliberalism and the Environment: Are We Aware of Appropriate Action to Save the Planet and Do We Think We Are Doing Enough?
by Ellie-Anne Jones and Rick Stafford
Earth 2021, 2(2), 331-339; https://doi.org/10.3390/earth2020019 - 21 Jun 2021
Cited by 7 | Viewed by 6354
Abstract
We currently face several interlinked environmental crises, including climate change, habitat destruction and biodiversity loss. However, many governments seem unwilling to take strong and immediate action to address these threats, preferring to promote neoliberal approaches to allow consumers and the general public to [...] Read more.
We currently face several interlinked environmental crises, including climate change, habitat destruction and biodiversity loss. However, many governments seem unwilling to take strong and immediate action to address these threats, preferring to promote neoliberal approaches to allow consumers and the general public to make environmentally friendly choices. This is despite neoliberal approaches being much less likely to be successful than government leadership, taxation, subsidies, and legislation in addressing environmental issues. In this study, we examine public perception of environmental threats and solutions to these threats in a survey mainly completed in the UK. Climate change is seen as the biggest issue, likely due to recent activist campaigns and subsequent media attention on the issue. Neoliberal attitudes, such as green consumer choices to environmental concerns, do still dominate in a series of possible presented solutions, and they score more highly than lifestyle changes, such as changing diet. However, when questioned specifically about plastic pollution, government intervention to ban all unnecessary plastic scored very strongly, indicating a shift from a consumer-driven response. Furthermore, most participants think they are at best only partly “doing their bit” to protect the environment. The results demonstrate that the public is aware that not enough is happening to protect the environment and provide evidence that there is willingness for stronger government intervention to address environmental issues; however, there is potential resistance to major lifestyle changes. Full article
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20 pages, 1111 KiB  
Review
Strategies for Sustainable Substitution of Livestock Meat
by Guihun Jiang, Kashif Ameer, Honggyun Kim, Eun-Jung Lee, Karna Ramachandraiah and Geun-Pyo Hong
Foods 2020, 9(9), 1227; https://doi.org/10.3390/foods9091227 - 3 Sep 2020
Cited by 61 | Viewed by 14949
Abstract
The consequences of climate change are becoming increasingly discernible everywhere, and initiatives have been taken worldwide to mitigate climate change. In agriculture, particularly meat production from the livestock sector is known to contribute to greenhouse gas emissions (GHG) that drive climate change. Thus, [...] Read more.
The consequences of climate change are becoming increasingly discernible everywhere, and initiatives have been taken worldwide to mitigate climate change. In agriculture, particularly meat production from the livestock sector is known to contribute to greenhouse gas emissions (GHG) that drive climate change. Thus, to mitigate climate impact, strategies that include a shift in consumption patterns, technological advancements and reduction in food wastes/losses have been discussed. In this review, strategies that focus on meat consumption patterns are evaluated from the technological feasibility, environmental impact and consumer acceptance viewpoints. While plant-based substitutes have efficient nutrient conversion and lower GHG emissions, consumer perception, cost, and other trade-offs exist. Although cultured meat precludes the need of any animals and large land areas, its environmental impact is not clear and is contingent upon production systems and the achievement of decarbonization. Reducing wastes and the re-use of meat processing by-products have the potential to lower the environmental impact. Valuable proteins, heat, electricity and biofuels extracted from wastes and by-products not only reduce the disposal of wastes but also offset some GHG emissions. Perception related challenges that exist for all substitution strategies require specific consumer target marketing strategies. Policy measures such as taxation of meat products and subsidies for alternatives are also met with challenges, thereby requiring reforms or new policies. Full article
(This article belongs to the Special Issue Climate Changes and Global Warming—the Future of Foods)
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17 pages, 3461 KiB  
Article
The Distributional Effect of A Carbon Tax on Income in Taiwan
by Chun-Chiang Feng, Kuei-Feng Chang, Jin-Xu Lin and Shih-Mo Lin
Sustainability 2020, 12(4), 1530; https://doi.org/10.3390/su12041530 - 18 Feb 2020
Cited by 6 | Viewed by 4015
Abstract
Environmental issues have become more important worldwide. A carbon tax is a strong tool for cutting carbon emissions directly through the internalization of the external costs of pollution. To mitigate the impact of carbon taxation, it is necessary to recycle the tax revenue [...] Read more.
Environmental issues have become more important worldwide. A carbon tax is a strong tool for cutting carbon emissions directly through the internalization of the external costs of pollution. To mitigate the impact of carbon taxation, it is necessary to recycle the tax revenue into other taxes, subsidies, and transfers. In Taiwan, carbon tax policy has been under consideration. To analyze the effect of carbon tax and tax revenue recycling, this paper adopts a recursive dynamic computable general equilibrium (CGE) model—General Equilibrium Model for Energy, Environment, and Technology (GEMEET)—under a comprehensive economic systems framework. The results show that a suitable recycling mechanism is a key factor for the success of green tax reform for a significant improvement in the economy, environment, and in income distribution, simultaneously. Full article
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19 pages, 1918 KiB  
Article
Environmental and Economic Evaluation of Fuel Choices for Short Sea Shipping
by Kirsi Spoof-Tuomi and Seppo Niemi
Clean Technol. 2020, 2(1), 34-52; https://doi.org/10.3390/cleantechnol2010004 - 22 Jan 2020
Cited by 31 | Viewed by 7861
Abstract
The shipping industry is looking for strategies to comply with increasingly stringent emission regulations. Fuel has a significant impact on emissions, so a switch to alternative fuels needs to be evaluated. This study investigated the emission performances of liquefied natural gas (LNG) and [...] Read more.
The shipping industry is looking for strategies to comply with increasingly stringent emission regulations. Fuel has a significant impact on emissions, so a switch to alternative fuels needs to be evaluated. This study investigated the emission performances of liquefied natural gas (LNG) and liquefied biogas (LBG) in shipping and compared them to conventional marine diesel oil (MDO) combined with selective catalytic reduction (SCR). For assessing the complete global warming potential of these fuels, the life-cycle approach was used. In addition, the study evaluated the local environmental impacts of combustion of these fuels, which is of particular importance for short sea shipping operations near coastal marine environment and residential areas. All three options examined are in compliance with the most stringent emission control area (ECA) regulations currently in force or entering into force from 2021. In terms of local environmental impacts, the two gaseous fuels had clear advantages over the MDO + SCR combination. However, the use of LNG as marine fuel achieved no significant CO2-equivalent reduction, thus making little progress towards the International Maritime Organization’s (IMO’s) visions of decarbonizing shipping. Major life cycle GHG emission benefits were identified by replacing fossil fuels with LBG. The most significant challenge facing LBG today is fuel availability in volumes needed for shipping. Without taxation or subsidies, LBG may also find it difficult to compete with the prices of fossil fuels. Full article
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14 pages, 264 KiB  
Article
Sustainable Development Economic Strategy Model for Reducing Carbon Emission by Using Real Options Approach
by Chuan-Chuan Ko, Chien-Yu Liu, Zan-Yu Chen and Jing Zhou
Sustainability 2019, 11(19), 5498; https://doi.org/10.3390/su11195498 - 4 Oct 2019
Cited by 7 | Viewed by 2721
Abstract
This paper is aimed at the call of the United Nations Intergovernmental Panel on Climate Change (IPCC) for the need to maintain global warming within a controllable range. The goal is to target carbon emissions to achieve “net-zero” emissions, along with constructing a [...] Read more.
This paper is aimed at the call of the United Nations Intergovernmental Panel on Climate Change (IPCC) for the need to maintain global warming within a controllable range. The goal is to target carbon emissions to achieve “net-zero” emissions, along with constructing a green energy investment strategy model for firms in response to government’s environmental protection policies. The paper uses the real options approach of dynamic investment decision to construct an investment decision model. Considerations include government taxation of carbon emissions, subsidies to reduce carbon emission policies, and incentives for firms to renew their investments in green energy equipment. Assuming that there is uncertainty in government carbon emission taxes and a reduction of carbon emission subsidies, the changes follow the joint geometric Brownian movement. We used this model to solve the optimum of the threshold for carbon emission taxes and of carbon emission reduction subsidies ratio. If carbon emission taxes and carbon emission reduction subsidies ratio are higher than the threshold, a firm suspends investment in green energy equipment because government subsidies are insufficient. If carbon emission taxes and the carbon emission reduction-subsidy ratio are less than or equal to the threshold, then a firm is qualified for the government’s subsidies for reducing carbon emissions, and the firm invests in green energy equipment. The results of this study can provide reference for firms to invest in green energy equipment, and for government control of carbon emission policies. This policy can effectively reduce carbon emissions and achieve co-construction, co-governance, and the sharing of innovative social governance patterns. Finally, it can create a win–win situation between the government, firms, and society. Full article
(This article belongs to the Section Economic and Business Aspects of Sustainability)
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