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HK: Fachverband Hadronen und Kerne

HK 20: Energy for the future

HK 20.3: Eingeladener Gruppenbericht

Montag, 16. März 2009, 17:45–18:30, H-ZO 50

Technology for Society's Energy and Climate Needs - Economic Analysis of Policy Options — •Gunnar Eskeland — Norwegian School of Economics and Business, Bergen, Norway

Taxes levied on energy and emissions (or alternatively tradable quotas, as in the Kyoto protocol or Europes Emission trading system) can do a lot for problems associated with emissions or energy security. Policy instruments such as support for renewables, feed-in-tariffs and energy efficiency support are not that easily understood or justified in basic economics textbooks. But issues of distribution - political feasibility - indicates that these supplementary policies will be prevalent. A consequence is that emission reduction initiatives will be rather short-sighted: since energy prices and emission prices will be lower than optimal, far-sighted research and development will be below what is socially optimal. We argue that public expenditures on energy research and technology is justified and unavoidable. Without it, Europe meets its goals for the short to intermediate term (2020), but fails to address longer term objectives.