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ENERGY POLICY 2023-03 174 (38) answer(s).
 
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1
ID:   191250


Adoption of Renewable Energy Systems in common properties of multi-owned buildings: Introduction of ‘Energy Entitlement’ / Poshnath, Aravind   Journal Article
Energy Policy Vol. 174 ; Mar 2023: p. Journal Article
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Summary/Abstract Renewable Energy Systems (RES) adoption in Multi-Owned Buildings (MOBs) is inferior due to ownership disagreements and social disputes. The multiple ownership of the RES in common properties of MOBs develops energy and benefit allocation concerns among the apartment owners. Accordingly, there is a need for a postulation that encapsulates the energy ownership and land administration aspects, extendable for policy implications. This paper aims to position the ‘Energy Entitlement’ of apartment owners as a critical research concept to promote the adoption of RES in MOBs. For positioning the concept, we holistically scrutinise the factors influencing the adoption of RES in MOBs and the existing energy allocation frameworks proposed in the literature while emphasising the necessity of ‘Energy Entitlement’. We find that available literature predominantly focuses on the barriers and enablers to adopting RES in MOBs. However, the synergy between the ‘RES’ and ‘Land Administration’ is among the least focused. The research on the energy-spatial conundrum in MOBs is in its nascent stage, with debatable energy allocation principles proposed by a few studies. We conclude by highlighting the implication of ‘Energy Entitlement’ across industry, academia and policy regimes that calls for an equitable delineation of energy ownership integrated with land administration principles.
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2
ID:   191244


Alternative carbon border adjustment mechanisms in the European Union and international responses:: Aggregate and within-coalition results / Clora, Francesco   Journal Article
Clora, Francesco Journal Article
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Summary/Abstract The European Union (EU) recently declared its intention to implement a carbon border adjustment mechanism (CBAM) to address carbon leakage and competitiveness concerns associated with elevated climate ambitions in its Green Deal. Current literature points to uncertainties regarding the CBAM’s effectiveness and compatibility with international trade rules. This study numerically evaluates how alternative EU CBAM designs under various international reactions affect global and regional GHG emissions, outputs and trade flows.
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3
ID:   191229


Applying multilevel structural equation modeling to energy-saving behavior: the interaction of individual- and city-level factors / Long, Ruyin   Journal Article
Long, Ruyin Journal Article
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Summary/Abstract Most studies that explain differences in energy-saving behavior focus on individual psychological influences. Yet, energy-saving behavior is likely to be nested within individual and regional contexts and shaped by multi-level interactions. Therefore, this study constructs a multilevel analysis framework of energy-saving behavior. We use multilevel structural equation modeling to examine the interaction between individual psychological factors and city contextual factors related to energy-saving behavior based on city-level statistics and surveys of residents in representative Chinese cities. The results show the following: (1) Usage-reduction behavior is mainly influenced by individual psychological factors, while energy-efficiency promotion behavior is influenced by both individual psychological and city contextual factors. Specifically, city-level factors explain 9.9% of the variance of energy-efficiency promotion behavior. (2) At the city level, environmental pollution, economic development, and public transportation penetration can positively predict energy-efficiency promotion behavior. (3) The cross-level interaction results indicate that economic development inhibits the influence of environmental pollution perceptions on environmental attitudes. These findings point to the need to consider regional contextual forces when studying environmental behavior, and they provide a scientific basis for developing targeted policies for cities at different economic development levels.
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4
ID:   191221


Are there preferable capacity combinations of renewables and storage? Exploratory quantifications along various technology deplo / Michas, Serafeim   Journal Article
Michas, Serafeim Journal Article
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Summary/Abstract The decarbonization of the electricity sector is at the core of the European agenda, with renewable energy sources playing a leading role. A major challenge emerging with increasing shares of intermittent renewables is their efficient integration. To overcome this challenge, electricity storage systems are identified as components which will be inseparable from renewable generation in the following years. However, what are the available pathways for the capacity evolution of each generating technology? How do different capacity combinations perform in terms of pledged renewable penetration targets and investment costs? Is there an optimal capacity combination of renewables and storage? This article presents a modelling framework featuring detailed storage operation simulation and adaptive policy design, assessing these inquiries. To demonstrate its applicability, it is used to explore plausible wind, solar, and storage configurations in Greece. The results suggest that the proportion of wind and solar power is significantly affecting the timing and required capacity for storage, the potential for renewable electricity integration, as well as the costs needed for their achievement. Overall, the study demonstrates feasible pathways leading from the current status quo in Greece and towards the milestone horizon of 2030, concluding with key implications for policy and practice.
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5
ID:   191224


Auctions to phase out coal power: Lessons learned from Germany / Tiedemann, Silvana   Journal Article
Tiedemann, Silvana Journal Article
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Summary/Abstract This study assesses the extent to which auctions for compensation payments are a suitable policy instrument for ending coal-fired power generation at minimum cost and thus achieving national climate targets. Germany is the first country to apply such a market-based mechanism. Evaluating the effectiveness and efficiency of the auction, we find that the first five of seven auction rounds will retire 10 GW of coal-fired capacity at a cost of 68 ± 5 EUR/kW, corresponding to an additional carbon price of 2.4 ± 0.2 EUR/tCO2. The possibility of administratively shutting down power plants from 2024 and a decreasing ceiling price have ensured that average compensation payments are well below the ceiling price, and low compared to other policies, even though there was no competition in two of five auction rounds. As the government cancels the freed emission allowances, the policy will result in lower emissions, even though the carbon intensity of the German coal power fleet increased slightly by 2%. Thus, the German auctions can serve as a model for national phase-out strategies in countries with similar institutional frameworks and provide a reference case for integrating conflicting policy objectives into auctions.
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6
ID:   191237


Beyond energy efficiency: do consumers care about life-cycle properties of household appliances? / Olsthoorn, Mark   Journal Article
Olsthoorn, Mark Journal Article
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Summary/Abstract Legislative proposals intend to require that manufacturers provide consumers with information on product life-cycle impacts. Yet, little is known about how consumers value such life-cycle information and who would be most sensitive to it. In this paper, we employ data from a demographically representative household survey among the adult population in Germany (N = 404), which elicits individuals’ preferences for energy-related attributes of refrigerators. Based on mixed logit analysis of a discrete choice experiment, we find that consumers, on average, dislike refrigerators with much higher embodied energy, value the highest energy class, and prefer refrigerators with longer warranty periods. Latent class models distinguish three consumer classes: 'price sensitives' (36%), 'quality seekers' (24%) and 'energy savers' (40%). 'Energy savers' are characterized by a higher environmental identity, energy literacy, and more patience than the other classes. Rating scales reveal that consumers consider life-cycle properties with direct, private benefits much more strongly than properties with mainly indirect, social benefits. Results from ordered logit models suggest that women with more patience and high environmental identity consider all life-cycle properties more strongly, while durability appears to also be valued more by low-income and more energy literate consumers. The results support ongoing policy initiatives that require the provision of life-cycle information and call for instruments to help consumers select appliances based on life-cycle costs.
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7
ID:   191242


Building sector emission reduction assessment from a developing European economy: a bottom-up modelling approach / Sarıca, Kemal   Journal Article
Sarıca, Kemal Journal Article
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Summary/Abstract In this study, as a developing European economy, the Turkish building sector is assessed for potential CO2 emission reduction with a bottom-up modelling framework with a time horizon starting from 2015 until 2050. Three emission mitigation policies are studied for their emission reduction potentials, namely, increasing the usage rate of energy-efficient appliances, improving the energy performance of the building envelope in existing buildings, and increasing the use of energy-efficient heating and cooling systems. Based on these potentials, three emission reduction scenarios for 5%, 10%, and 21% compared to reference cases are designed and implemented. It is shown that much higher energy savings levels, 6%, 12%, and 28%, are achieved. It has been found that the cost-effectiveness of emission reduction scenarios depends on the policy mix as well as the future emission intensity of the electrical energy consumed, which can reduce the cost of mitigation down to the range of 100–200 USD/tonne CO2.
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8
ID:   191243


Can fossil energy make a soft landing?— the carbon-neutral pathway in China accompanying CCS / Hu, Yingying   Journal Article
Hu, Yingying Journal Article
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Summary/Abstract Carbon capture and storage (CCS) is an essential technology in the portfolio of emission mitigation solutions. The trade-off between fossil energy substitution and CCS has essential implications for achieving carbon-neutral at an affordable cost. This study couples the technology cost curve of CCS with a dynamic computable general equilibrium (DCGE) model and explores the carbon emission scale, energy structure, and emission abatement cost in the path of carbon neutrality under different CCS penetration scenarios. The results illustrate that the emission abatement cost increases fast if only relying on the emission trading scheme (ETS). Even at a high carbon price (3500 CNY/Ton), the net carbon dioxide emission will remain at 1.5 Gt in 2060, and the average emission abatement cost is 1211 CNY/Ton. The realization of net-zero emission requires synergy between ETS and CCS. The integration of CCS can significantly alleviate the economic cost when the emission mitigation scale is more remarkable than 5.2 Gt/year. The average emission abatement cost in 2060 is 557CNY/Ton under the high CCS penetration (4.3 Gt/year) and low carbon price (700CNY/Ton) carbon-neutral scenario.
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9
ID:   191247


Can renewable energy portfolio standards and carbon tax policies promote carbon emission reduction in China's power industry? / Meng, Xin   Journal Article
Meng, Xin Journal Article
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Summary/Abstract The carbon emissions of the power industry in China rank the highest among all industries. There is an urgent need to explore the development path of the power industry under carbon peaking and carbon neutrality. Renewable portfolio standards (RPS) and carbon tax policy are effective policy instruments for realizing the low-carbon transition in the power industry. When both RPS and carbon tax policy are implemented, can they drive carbon reduction in the power industry? This paper constructs an electricity market equilibrium model and a system dynamics (SD) model to analyse the impact of multiple policies in electricity markets to address this question. There were several important results. (1) The increase in quota ratio and carbon tax price negatively impacts the generation of thermal power firms, which raises their willingness to invest in renewable energy. (2) The intensity of emissions reduction has a significant influence on the effectiveness of emissions reduction. The greater the emissions reduction intensity, the better the carbon emissions reduction effect, but the power supply declines. (3) Under multiple policies, green power firms choose cost padding to achieve profit maximization goals, which reduces green power generation and leads to market inefficiency.
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10
ID:   191240


Climate change vs energy security? the conditional support for energy sources among Western Europeans / Arndt, Christoph   Journal Article
Arndt, Christoph Journal Article
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Summary/Abstract The decarbonisation of Western societies requires a fundamental reorganisation of energy supply and fierce debates around the future energy mix have begun in many countries. However, we still know little about how concerns about energy security affect the public's energy preferences in view of the critique that renewable energies might compromise energy security. This paper argues that there is a perceived trade-off between energy security and climate protection that affects energy supply preferences in Western Europe. Using the European Social Survey's ‘Public Attitudes to Climate Change’ module, the findings from multilevel regressions demonstrate that there is indeed a perceived trade-off in energy preferences among Western Europeans. People concerned about energy security prefer coal, gas, and nuclear power over renewable energies. People worried about climate change prefer solar and wind energy over nuclear and fossil forms of energy. The analysis further identifies four different groups representing the trade-off between energy security and climate protection among Western Europeans. The paper thus identifies why energy preferences might collide and why some countries observe a polarisation of views around energy supply that policymakers need to address to realise a successful and publicly acceptable transformation of energy supply.
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11
ID:   191239


Cooling is hotting up in the UK / Khosravi, Fatemeh   Journal Article
Khosravi, Fatemeh Journal Article
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Summary/Abstract The cooling of buildings is currently responsible for about 20% of total electricity use worldwide. It is estimated that the electricity needed for cooling will more than triple by 2050. Despite this concerning outlook, little attention has been paid to cooling demand in policy and research in the United Kingdom (UK). The demand for space cooling in the UK’s domestic and non-domestic buildings is currently small—about 10% of total electricity use. However, this has the potential to increase as the climate warms and expectations of comfort grow. This paper reviews UK cooling demand and how this has been considered in energy policy. Following a thorough review of the existing literature using a cooling decarbonisation framework (Avoid, Improve and Shift), it is clear there is a limited understanding of the future UK cooling demand for domestic buildings in a warmer future as well as how policy makers and households should act. More importantly, this sector appears under-represented in the UK research and policy landscape compared to heating despite obvious technological crossovers associated with electrification. Several policy and research recommendations have been made based on these findings.
Key Words Climate Change  Energy Policy  Domestic  Cooling  Decarbonisation 
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12
ID:   191220


Development prospects for energy communities in the EU identifying best practice and future opportunities using a morphological / Lowitzsch, Jens   Journal Article
Lowitzsch, Jens Journal Article
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Summary/Abstract The 2018/19 Clean Energy Package of the European Union introduced a wide range of policy measures to further advance the Energy Transition, with one focus being low-carbon, renewable energy (RE) to replace fossil-based sources. RE production is typically disaggregated locally, legally, and in terms of ownership of the production facilities. Moreover, RE production technologies are various, and so are their respective usage, investment schemes, investors, geographic and financial properties, and, as a result, their support measures. With a focus on the new regulatory framework of the Directive on the Internal Energy Market (IEMD) and the recast of the Renewable Energy Directive (RED II), we analyse best practice business models for Energy Communities (ECs). To capture the multitude of pluri-dimensional design perspectives for ECs we develop and employ a new morphological approach, i.e., a morphological box for ECs (https://kelso-institute-europe.de/projects/energy-communities). This approach enables researchers and policy makers to identify the constellations for participation models that best fit the new EU policy strategy and to show opportunities with regard to combinations underused or not at all exploited yet. Based on this assessment we formulate policy recommendations and suggestions for the further development of Energy Transition participation models in general and ECs in particular.
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13
ID:   191241


Do solar photovoltaic clean development mechanism projects contribute to sustainable development in Latin America? Prospects for / Ottonelli, Janaina   Journal Article
Ottonelli, Janaina Journal Article
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Summary/Abstract Clean Development Mechanism (CDM) projects must include intended contributions to sustainable development in their scope, in addition to promoting the reduction of greenhouse gas emissions (GHG). Previous studies have identified expected co-benefits in CDM projects, nevertheless, they have not focused on solar photovoltaic energy. Although there is high solar irradiation in Latin American countries, there were only 25 registered solar photovoltaic CDM projects. In this study, we examine the intended co-benefits for sustainable development of solar photovoltaic CDM projects in Latin American countries and investigate the climate and energy policies that may have led to the low number of registrations for these projects in the region. The analysis was performed using the T-Lab software program through its Dictionary-Based Classification tool applied to the outlined indicators and criteria. The results indicate gaps in project contributions, for example, the technology transfer was mentioned as equipment and knowledge importation from other countries, which does not imply the development of the local solar industry; community engagement and equal gender opportunities continue to remain challenges, water quality and conservation of biodiversity issues were underscored, and the reducing the overuse competition between cropland and solar panel installation was overlooked. CDM was important to promote diversification in electricity generation in most Latin American countries, but not sufficient to improve the solar photovoltaic market. The main barriers to implementing these projects have been regulation and lack of incentives. The national energy and climate policies in the region should set guidelines/standards for assessing the co-benefits for the sustainable development of GHG reduction projects, aligned with the new carbon market mechanism rules and the UN-Agenda 2030.
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14
ID:   191228


Does financial inclusion index and energy performance index co-move? / Chang, Lei   Journal Article
Chang, Lei Journal Article
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Summary/Abstract Financing strategies and energy performance have been extensively studied previously, and researchers frequently overlook the co-movements of integration of financial inclusion and energy performance index in the E7 Context. To address this gap, current research estimates the co-movement between the financial inclusion index and sustainable energy performance index to reflect the consequences of the COVID-19 crisis. Our findings show that in E7 economies, China exceeds the other nations in terms of energy performance. With a steady score, Russia is second in the group. Indonesia and Turkey are respectively fourth and fifth, and their total results show excellent prospective performances for sustainability. Mexico and Brazil follow this ranking with bad results and the lowest scores reported in the study results. The study findings are helpful for policy formulation and assessment. The study presented recommendations about financial inclusion and energy management practices in COVID-19 and delivered insights about the energy performance index in E7 economies.
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15
ID:   191215


Does regional natural gas supply produce a shortfall under transition from coal to gas? Case study in Jing-Jin-Ji Region / Zhao, Xu   Journal Article
Zhao, Xu Journal Article
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16
ID:   191223


Dynamics of the gas retail market under China's price cap regulation / Cui, Jian   Journal Article
Cui, Jian Journal Article
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Summary/Abstract To stabilise gas prices and safeguard consumer interests, China introduced a new price cap regulation for the gas retail market in 2013. This study is the first to evaluate the impact of this price cap regulation on the dynamics of retail gas prices. By using an asymmetric error correction model and Markov-switching regression based on daily gas-station-level price data from Inner Mongolia, China, we establish that retail prices respond asymmetrically to price caps, rather than crude oil prices, implying that price caps may serve as focal points for gas stations to collude tacitly. Additionally, the cyclic nature of retail prices is not obvious under the price cap regulation, which provides some evidence for the buffering effect of price caps on price cycles. Finally, we establish that price cycle characteristics differ by gas station and brand. These results may provide a better understanding of retail price dynamics in a price-cap-regulated market and guide policymakers and planners in optimising regulatory policies.
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17
ID:   191231


Effects of COVID-19 on civil society voices in European energy and climate policy / Nosko, Andrej   Journal Article
Nosko, Andrej Journal Article
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Summary/Abstract Civil society plays an important role in European energy and climate policymaking. This paper poses the questions of how organized civil society handled the opportunities and challenges presented by the lockdown to its access to the climate and energy policymaking within the European Commission (EC)? How has the balance between organized civil society groups and businesses in Europe been affected by pandemic-related travel restrictions? Moreover, what role has the EC played in creating such opportunities and affecting the legitimacy of democratic policymaking? This research sheds light on the changing role of the EC in democratic governance and policy formation in the European Union (EU) by examining the relationship between funding received by CSOs active in the policy areas of environment and climate, the number of meetings attended, and the importance of coalitions and networks. This research revealed a possible relationship between level of participation in policymaking and the operational support received from the EC. Despite the resources invested, opportunities for interest representation in the energy and climate policy areas disproportionately favor businesses and organizations with long-term relationships with and proximity to Brussels. Increased number of virtual meetings only marginally increased share of participation of NGOs in these meetings. Thus, a physical presence in Brussels and resource investment remain important factors in access to the EU policymaking.
Key Words Civil Society  NGOs  EU Energy Policy  CSOs  EU Climate Policy  Policy Influence 
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18
ID:   191227


Energy transition scenarios in the transportation sector in Brazil: Contributions from the electrical mobility / Grangeia, Carolina   Journal Article
Grangeia, Carolina Journal Article
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Summary/Abstract During COP 21, the Paris Declaration on Electro-Mobility and Climate Change & Call to Action defined the global goal of reaching 100 million electric vehicles (EV) and 400 million two- or three-wheel vehicles by 2030. As a result, several countries have set national targets for implementing EV as an integral part of low-carbon energy transition. In Brazil, the technological route of biofuels has stood out from the National Alcohol Program (PROALCOOL) in the 1970s to the current National Biofuels Policy (RenovaBio). However, in recent years, the EV market has been gaining a prominent role in business, governmental and academic debates. Thus, this study seeks to analyse the main factors that drive electric mobility in Brazil, from the definition of technical, economic and fiscal parameters, in addition to evaluating hypotheses on the evolution of public policies and prices of EV in the country. Some scenarios were developed to identify the behaviour of the market penetration of EV in the country, based on Bass' technological diffusion model and dynamic systems. Results indicate that the EV purchase price is consolidated as the most relevant variable for the diffusion of electric mobility in Brazil. From the gains derived from economies of scale, a reduction in the price of vehicles is expected given the decrease in the production costs, as well as in price of batteries. We also concluded that the establishment of a regulatory framework and the development of public policies are fundamental to the promotion of electric mobility in the country.
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19
ID:   191238


Expansion of social networks and household carbon emissions: Evidence from household survey in China / Meng, Weilu   Journal Article
Meng, Weilu Journal Article
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Summary/Abstract As a factor influencing household consumption behavior, the expansion of social networks has an important impact on household carbon emissions (HCEs). Based on survey data from the China Family Panel Studies from 2014 to 2018, we explored the impacts of the expansion of social networks on HCEs and its mechanism. We further analyzed the heterogeneous effects of household income level and characteristics of household heads on HCEs, including age and education level. Our results show that the expansion of social networks can increase HCEs through enlarging consumption quantity and upgrading consumption structure, which is motivated by the comparison behavior based on status-seeking. In addition, the expansion of social networks has a bigger impact on HCEs when the head of household is younger, the head of household has a higher level of education, and the per capita income of the household is higher. These findings suggest that adjusting consumer behavior through the expansion of social networks, cultivating green consumption concepts, and promoting the consumption of low-carbon products may become important strategies to mitigate HCEs.
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20
ID:   191216


Exploring the participation willingness and potential carbon emission reduction of Chinese residential green electricity market / Lin, Boqiang; Qiao, Qiao   Journal Article
Lin, Boqiang Journal Article
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Summary/Abstract China officially established a green electricity trading market in 2021. This study investigated the intention of Chinese households to participate in the green electricity tariff and surveyed their acceptable maximum premium; afterwards, the corresponding potential carbon emission reduction is evaluated. The survey shows that 82% of Chinese households support the additional willingness-to-pay (WTP) for green electricity. The mean willingness-to-pay values without protest-zeros are evaluated as RMB14.6 with a gender differential that men prefer to pay more than women. Relative impact factors analysis shows that household' intention of using green-e significantly impacts their participation in extra WTP, but households' income does not show a significant effect. On the other hand, the model for extra expenditure shows the opposite effect of these two factors. Last, the study conducted a scenario analysis to evaluate the potential emission reduction and related welfare transformation efficiency. The scenario analysis reveals that households’ green electricity trading potentially contributes to 30%–54% of the carbon reduction and a reasonable trading mechanism could achieve emission reductions goal with less welfare loss. Finally, some policy implications are proposed, providing theoretical support for policy-makers.
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