Search Results (88)

This study evaluates the current Spanish insurance framework for catastrophic flood risk, administered by the Consorcio de Compensación de Seguros (CCS), based on nationwide loss data reported by the CCS for the period 1996–2020. The analysis of historical claims data enables a clear differentiation between frequent, low-cost events and infrequent, high-impact catastrophes. While the CCS has fulfilled a critical role in post-disaster compensation, the findings highlight the parallel need for ex ante risk mitigation strategies. The study proposes a more efficient, two-tier risk coverage model. Events whose impacts can be managed through standard insurance mechanisms should be underwritten by private insurers using actuarially fair premiums. In contrast, events with catastrophic implications—due to their scale or financial impact—should be addressed through general solidarity mechanisms, centrally managed by the CCS. Such a risk segmentation would improve the financial sustainability of the system and create fiscal space for prevention-oriented incentives. The current design of the CCS scheme may generate moral hazard, as flood exposure is not explicitly priced into the premium structure. Empirical findings support a shift towards a more transparent, incentive-aligned model that combines collective risk sharing with individual risk responsibility—an essential balance for effective climate adaptation and long-term resilience. Full article

The economic downturns in South Africa present a significant threat, with the potential to disrupt the nation’s notable advances in addressing the persistent challenges of high unemployment, widespread poverty and stark inequality. In the absence of substantial and extensive structural transformation, South Africa’s aspirations to achieve its ambitious development goals may remain unattainable. Building on the precedent of a blend of literature review, comprehensive ex post analysis, and applied general equilibrium modelling tailored for ex ante assessments, this paper assesses options and impacts of alternative ambitious developmental interventions. The results indicate that, despite implementing a variety of strategies, there remains a disheartening underperformance in economic indicators. However, ex ante evaluations indicate that with targeted interventions and supportive government policies, the country can achieve economic growth and job creation. Simulation results identify sectors of personal and social service activities, transport, finance, and insurance as having the most formidable potential to significantly reduce unemployment while simultaneously catalysing robust economic growth. These pivotal sectors, nestled within the broader services and industries, are uniquely poised to bolster overall productivity and diminish unemployment, while adeptly absorbing a considerable influx of highly educated and skilled labour. This suggests that South Africa can decisively accelerate its economic progress by embracing a dual-pronged approach: fostering structural shifts towards manufacturing and services, while steadfastly advancing the upskilling of its dynamic workforce. Full article

We build two multiple-stage game-theoretical models to capture how a ride-hailing platform’s ex-ante and ex-post pricing strategies induce show-up drivers’ strategic inter-area relocations. In both models, the platform operates its ride-hailing service in a two-area city, where the realizations of ride-hailing demand and supply are spatially asynchronous. Based on the subgame perfect equilibria, we show that show-up drivers’ relocation equilibria induced by the platform’s pricing strategy are not unique but that the equilibrium multiplicity does not affect the platform’s profit. Further, we find that the commission rate has non-monotonic discontinuous impacts on the platform’s profitability, drivers’ welfare, and pollutant emission under both pricing strategies. The continuous impact of an increase in the commission rate leads to a win–loss outcome for the platform and drivers without any effect on the environment, while the jumps result in a loss–win–win outcome for the platform, drivers, and the environment. We finally reveal that, relative to the ex-ante pricing strategy, the ex-post pricing strategy always benefits the platform at the cost of environmental pollution and enhances (reduces) drivers’ welfare when the relocation cost is sufficiently low (high). Managerial insights are also discussed. Full article

The European Union has been trying to adjust its tourism policy in response to the challenges posed by the recent COVID-19 pandemic. The funding of the EU Cohesion Policy has been one of the primary mechanisms guaranteeing that all regions can be prepared to receive tourists and cope with the sustainability challenges the pandemic has raised. The recovery and resilience plan (PRR) is the most recent instrument created to help economic growth in most European Union countries. The implementation of the PRR in Algarve and Alentejo has been fundamental to understanding the Portuguese tourism sector, as these regions are heavily dependent on tourism sector revenue and were hit hard by the consecutive lockdowns in recent years. Therefore, this policy, in brief, critically assesses the tourism-related projects that received funding from the PRR until November 2023 (ex ante) and their potential to guarantee long-term tourism sustainability in Algarve and Alentejo. Despite not achieving the expected efficiency results due to delays in project execution and low investment, the PRR is still a positive upgrade for tourism-related policy in Algarve and Alentejo. Full article

Decision making in city logistics (CL) is complex due to the numerous concepts and alternatives, as well as the intricate relationships between measures and effects. This study introduces a novel approach to evaluating urban freight transport (UFT) by combining multi-criteria decision making (MCDM) and social cost–benefit analysis (SCBA). This combination aims to improve decision making for sustainable CL concepts, particularly in reducing externalities in last-mile delivery. The model assesses various CL initiatives and urban consolidation center (UCC) concepts for their impact on UFT externalities. It uses the MCDM for ex ante scenarios assessment and prioritization. Input data were collected through a survey of experts from various sectors, and the Analytic Hierarchy Process (AHP) was applied in the case study of Novi Sad, Serbia. The prioritization highlighted the significance of implementing restrictive regulatory measures, alternative transport modes, and operational optimization within UCC concepts. By estimating capital, operational, and external costs, SCBA was applied to the prioritized UCC concepts, which were then further evaluated using the SCBA outputs. Sensitivity analysis was employed to assess the robustness of the proposed model. This paper offers valuable insights into the potential use of existing tools within a hybrid model to enhance decision making in CL. Full article

Numerous studies address the estimation of energy consumption at intermodal terminals, with a primary focus on existing facilities. However, a significant research gap lies in the lack of reliable methods and tools for the ex ante estimation of energy consumption in transshipment systems. Such tools are essential for assessing the energy demand and intensity of intermodal terminals during the design phase. This gap presents a challenge for intermodal terminal designers, power grid operators, and other stakeholders, particularly in an era of growing energy needs. The authors of this paper identified this issue in the context of a real business case while planning potential intermodal terminal locations along new railway lines. The need became apparent when power grid designers requested energy consumption forecasts for the proposed terminals, highlighting the necessity to formulate and mathematically solve this problem. To address this challenge, a three-stage model was developed based on a pre-designed intermodal terminal. Stage I focused on establishing the fundamental assumptions for intermodal terminal operations. Key parameters influencing energy intensity were identified, such as the size of the transshipment yard, the types of loading operations, the number of containers handled, and the selection of handling equipment. These parameters formed the foundation for further analysis and modeling. Stage II focused on determining the optimal number of machines required to handle a given throughput. This included determining the specific parameters of the equipment, such as speed, span, and efficiency coefficients, as well as ensuring compliance with installation constraints dictated by the terminal layout. Stage III focused on estimating the energy consumption of both individual handling cycles and the total consumption of all handling equipment installed at the terminal. This required obtaining detailed information about the operational parameters of the handling equipment, which directly influence energy consumption. Using these parameters and the equations outlined in Stage III, the energy consumption for a single loading cycle was calculated for each type of handling equipment. Based on the total number of loading operations and model constraints, the total energy consumption of the terminal was estimated for various workload scenarios. In this phase of the study, numerous test calculations were performed. The analysis of testing parameters and the specified terminal layout revealed that energy consumption per cycle varies by equipment type: rail-mounted gantry cranes consume between 5.23 and 8.62 kWh, rubber-tired gantry cranes consume between 3.86 and 7.5 kWh, and automated guided vehicles consume approximately 0.8 kWh per cycle. All handling equipment, based on the adopted assumptions, will consume between 2200 and 13,470 kWh per day. Based on the testing results, a methodology was developed to aid intermodal terminal designers in estimating energy consumption based on variations in input parameters. The results closely align with those reported in the global literature, demonstrating that the methodology proposed in this article provides an accurate approach for estimating energy consumption at intermodal terminals. This method is also suited for use in ex ante cost–benefit analysis. A sensitivity analysis revealed the key variables and parameters that have the greatest impact on unit energy consumption per handling cycle. These included the transshipment yard’s dimensions, the mass of the equipment and cargo, and the nominal specifications of machinery engines. This research is significant for present-day economies heavily reliant on electricity, particularly during the energy transition phase, where efficient management of energy resources and infrastructure is essential. In the case of Poland, where this analysis was conducted, the energy transition involves not only switching handling equipment from combustion to electric power but, more importantly, decarbonizing the energy system. This study is the first to provide a methodology fully based on the design parameters of a planned intermodal terminal, validated with empirical data, enabling the calculation of future energy consumption directly from terminal technical designs. It also fills a critical research gap by enabling ex ante comparisons of energy intensity across transport chains, an area previously constrained by the lack of reliable tools for estimating energy consumption within transshipment terminals. Full article

Consideration of the future fate of brownfields in urban environments has driven a complex ‘season’ of decisions, planning, and implementation that has seen the emergence of different approaches and actions for their reuse. Among the various experiences of brownfield redevelopment, some projects have also promoted the partial renaturalisation of areas through soil desealing and demolition of existing buildings. These greening initiatives have provided new public facilities, e.g., parks and green areas, helping to improve the conditions of urban environments both from ecological and social perspectives. This article adopts ex ante and ex post methods to analyse two Italian case studies of brownfield regeneration involving desealing interventions and investigates two key aspects: (i) the planning process and tools that were put in place to implement the projects and (ii) the impacts for human wellbeing that were produced in terms of cooling effects. The analyses conducted show the real effectiveness of renaturation interventions especially related to reforestation measures in terms of temperature reduction. The examination of the two case studies also revealed the importance and potential success of traditional planning and implementation tools in promoting interventions that can now be considered innovative in terms of their actual contribution to current urban challenges. The results therefore allow us to emphasize the fundamental importance of the philosophy and basic principles of a transformation process, even guided by traditional planning tools, for the improvement of the environmental conditions of an urban context and the successful implementation of nature-based solutions. Full article

Photovoltaic energy (PV) is considered one of the pillars of the energy transition. However, this energy source is limited by a power density per unit surface lower than 200 W/m², depending on the latitude of the installation site. Compared to fossil fuels, such low power density opens a sustainability issue for this type of renewable energy in terms of its competition with other land uses, and forces us to consider areas suitable for the installation of photovoltaic arrays other than farmlands. In this frame, floating PV plants, installed in internal water basins or even offshore, are receiving increasing interest. On the other hand, this kind of installation might significantly affect the water ecosystem environment in various ways, such as by the effects of solar shading or of anchorage installation. As a result, monitoring of floating PV (FPV) plants, both during the ex ante site evaluation phase and during the operation of the PV plant itself, is therefore necessary to keep such effects under control. This review aims to examine the technical and academic literature on FPV plant monitoring, focusing on the measurement and discussion of key physico-chemical parameters. This paper also aims to identify the additional monitoring features required for energy assessment of a floating PV system compared to a ground-based PV system. Moreover, due to the intrinsic difficulty in the maintenance operations of PV structures not installed on land, novel approaches have introduced autonomous solutions for monitoring the environmental impacts of FPV systems. Technologies for autonomous mapping and monitoring of water bodies are reviewed and discussed. The extensive technical literature analyzed in this review highlights the current lack of a cohesive framework for monitoring these impacts. This paper concludes that there is a need to establish general guidelines and criteria for standardized water quality monitoring (WQM) and management in relation to FPV systems. Full article

In large-scale projects, such as transport infrastructures, the cost-planning phase stands out as one of the most crucial for the project’s success. Cost and time overruns, during the construction phase, are often the cause of project failure. A meticulous, conscious, and accurate ex-ante analysis of cost and time assessment can greatly contribute to the efficient and effective completion of a project. Various approaches have been developed to estimate and mitigate cost overruns. Such mitigation is subject to careful analysis of project risks, encompassing construction, environmental, social acceptance, and market risks. In this contribution, we propose the implementation of the risk-assessment tool, suggested by the National Anti-Corruption Authority (ANAC), using fuzzy logic to enhance its effectiveness. Thanks to the implementation of fuzzy prioritizations, the risk matrix and the associated risk levels, which are obtained by combining the event’s probability of occurrence and its expected impact on costs, have been clearly and structurally defined. This tool can facilitate risk ranking and, therefore, the implementation of their management strategies during the design and construction phases as well as the consensus-creation process. This application can therefore be used by public authorities as a transparent and manageable tool to assess expected risk during the design and implementation phases of the project. Full article

Enterprises are not only the main source of energy consumption and pollution emissions but also a key force in environmental governance. There is no doubt that the positive impact of enterprise environmental protection investment (EPI) on other stakeholders, but the impact on its own economic performance is the key to determining the scale of EPI and increasing the motivation for Eco-autonomy. This paper selects 691 companies listed on China’s A-share market from 2012 to 2022 as research samples, introducing the equity balance degree as the moderator variable, and empirically investigating the impact of the relationship by using a panel multivariate regression model. The results show that the relationship between EPI and its economic performance is a U-shaped curve, and it is related to Eco-autonomy. The equity balance degree can mitigate the negative influence of the relationship, but it is significantly different between state-owned enterprises and private enterprises. Accordingly, it prompts the following policy implementation: the Chinese government should develop differentiated environmental incentives and regulatory policies. It should focus on private enterprises with high-equity balance degrees and high pollution levels, and it should encourage state-owned enterprises to increase the scale of ex ante preventive investment through policy incentives. Full article

Recent events, such as the financial crisis, oil price shocks or fluctuations, Brexit, the US–China trade war, the COVID-19 pandemic, the Russia–Ukraine conflict and the subsequent energy crisis, have surged global economic policy uncertainty. As climate change has recently been more pronounced around the globe, discussions about climate policies and related uncertainties have also become a major concern. This study investigates the role of economic policy uncertainty (EPU) and climate policy uncertainty (CPU) on climate change (environmental degradation) for selected emerging and developed economies, expanding the IPAT framework and merging it with the Environmental Kuznets Curve (EKC) hypothesis. The IPAT framework examines the impact (I) of population (P), affluence (A), and technology (T) on the environment, whereas the EKC hypothesis proposes an inverted U-shaped curve between affluence and environmental degradation. Two models were created and tested for emerging and developed countries, namely Model 1 with EPU and Model 2 with CPU. A Pooled Mean Group (PMG) estimator is employed to investigate the interrelation between carbon dioxide (CO₂) emissions and selected variables; namely the real Gross Domestic Product (GDP) per capita, squared real GDP per capita, renewable share in consumption, the EPU, the CPU and population. Test results indicate that the EKC hypothesis is verified only in Model 1 and for emerging countries, whereas population escalates climate change in both country groups. Furthermore, in line with the consumption effect theorized earlier in the literature, EPU is negatively related to carbon emissions in emerging countries. Thus, the EPU leads to a decrease in the use of energy and pollution-intensive commodities and mitigates climate change in EMEs. Compatible with our ex-ante expectations, renewable energy consumption alleviates climate change in both country groups in the short term. In Model 2, with CPU, we find no evidence supporting the EKC hypothesis for any country groups. However, we reaffirm that renewable energy consumption decreases CO₂ emissions in developed countries, which is in support of the argument that energy transition holds the key to tackling climate change. Finally, CPU is associated with a decrease in CO₂ emissions in emerging countries in the short term, potentially leading to a reduction in overall economic activity and alleviating climate change. This might also be attributable to the fact that the decisions of economic agents substantially rely on current and future policy (both economic and climate) expectations. Overall, verifying the EKC hypothesis for emerging countries in Model 1, we might argue that there is good potential for emerging countries to save money and time on environmental costs via the adoption of clean technologies and related policies. Last but not least, on a global scale, energy transition with better utilization of renewable sources holds the key to tackling climate change and reducing emissions. Full article

Process digitization as a means to enhance innovation performance has garnered increasing attention from researchers and firms. Digital-driven innovation helps businesses achieve sustainable development. Following the job demands–resources model, we argue that process digitization contributes to job resources and job demands simultaneously, both of which are related to innovation performance. Process digitization offers additional job resources that contribute to enhanced work engagement and foster innovation performance at lower levels, whereas increasing job demands results in exhaustion and hinders innovation performance at higher levels. Therefore, we propose that firms with moderate levels of process digitization are more likely to have higher innovation performance. We further propose that employee training and pay can buffer the negative impact of process digitization on innovation performance. Training serves as an ex ante measure that enables knowledge-based employees to effectively respond to job demands without becoming exhausted. Conversely, pay serves as an ex post measure that compensates for resource depletion caused by excessive job demands, thereby alleviating the adverse effect of exhaustion on innovation performance. Our empirical results based on data from 3823 Chinese firms strongly support our hypotheses. Full article

With the expression “Just transition”, the European Commission refers to a new development model to bring in the environmental and digital transition “leaving no one behind”. From an investment law perspective, it implies the adoption of several incentives to support new green economy activities or the reconversion of old ones into green and energy-neutral production models. Starting from an analysis of the EU just transition strategy, the paper focuses on the Italian case, investigating the interconnection between just transition funds and other measures (the Single Special Economic Zone and National Recovery and Resilience Program) to verify their effectiveness in terms of investment retention and attraction and their effects in terms of strategic industrial planning. Concerning retention, the Sider Alloys and Acciaierie d’Italia case studies are analyzed. Concerning attraction, as the incentives may appeal to aggressive activities dangerous to the EU and Member States’ strategic autonomy, the paper offers an overview of the instruments available for screening and preventing creeping economic operations, especially the proposed reform of the investment screening mechanism and the anti-coercion instrument. In conclusion, the paper proposes the adoption of an ex ante impact assessment, including citizen consultation, aimed at verifying investment concrete capacity to contribute to the just transition process. Full article

This paper investigates grid export constraints applicable to photovoltaic (PV) and wind farm (WF) installations, both with and without behind-the-meter storage, aimed at enhancing grid hosting capacity. The study focuses on static output power limitations, i.e., simple export constraints that are preventively imposed on renewable energy source (RES) plants regardless of the prevailing network congestion conditions. These constraints are easy to apply, implemented ex ante and out of market, and do not require additional investments in energy storage or advanced devices. They also yield a measurable increase in hosting capacity and grid utilization, with their impact on RES plant operation and return of investment straightforwardly calculable. Analysis defines the level and shape of these constraints assuming an indicative acceptable curtailment level of 5% for each RES technology attributed to the preventing action of the imposed limitations, while the respective implications for RES energy yield and investment viability are explored. The findings indicate that an export power limitation of ca. 68% is effective for stand-alone PVs, while a stepwise static limitation is necessary for stand-alone WFs and WFs with integrated storage to manage midday solar generation peaks. PV plants tightly coupled with storage facilities can handle static limitations as low as 35% with minimal impact on the economic feasibility of the investments. Full article

This article describes a part of the POTENTIALS project promoted by the Research Fund for Coal and Steel (RFCS) of the EU, which, in general, has aimed to develop business models for the reuse of former industrial and mining sites in different European regions. The goal of this project focused on the creation of so-called eco-industrial parks to enable sustainable energy production and reduce waste and pollution on coal sites in transition. A key aspect was the development of a suitable territorial impact assessment (TIA), a new and complex policy tool for the assessment of the territorial impacts of EU policies and projects on territorial cohesion. Therefore, the special TEQUILA (Territorial Efficiency, Quality and Identity Layer Assessment) approach is used to describe the TIA for this case and emphasizes its application in assessing ex ante the impacts of the transition from a coal site to an eco-industrial park. It underlines the need for a differentiated understanding of the regional characteristics and potential impacts of transition policies or projects. Furthermore, the process and results of applying the TEQUILA methodology, a multicriteria analysis, in the context of regionalized impact models has shown how important it is to select well-defined, expert-based criteria, but at the same time, to establish a system that is flexible and adaptable to the needs of political decision makers and stakeholders considering the normative weights of the criteria. This has been illustrated by some examples. Full article