Economics of Greenhouse Gas Limitations
Methodological Guidelines

ISBN: 87-550-2490-4

TABLE OF CONTENTS

INTRODUCTION

POLICY ISSUES
1    POLICY FRAMEWORK AND INTERNATIONAL INITIATIVES
1.1    International climate change policy developments
1.2    The national decision framework
1.3    Beyond national mitigation studies

ANALYTICAL STRUCTURE
1    BASIC COMMON COUNTRY STUDY APPROACH
1.1    Analytical steps
1.2    The common analytical structure
2    FORMALISATION OF THE NATIONAL MITIGATION OBJECTIVES
2.1    Timeframe of the national analysis
2.2    Mitigation policies and options
3    THE DEVELOPMENT OF BASELINE AND MITIGATION SCENARIOS AND PROJECTIONS
3.1    National scenario concepts
3.2    Baseline scenario and projections
3.3    Baseline typology
3.4    Discussion of major baseline assumptions
3.5    Sources for national baseline development
3.6    Mitigation scenarios

COST ASSESSMENT
1    COST CONCEPTS IN RELATION TO GHG MITIGATION
1.1    Introduction
1.2    Cost assessment approach
1.3    Incremental costs
1.4    Outline of the main cost concepts
1.5    Assessment of broader social and environmental impacts of mitigation policies
1.6    Measuring the benefits of reduced climate change
1.7    A framework for integrating quantitative and qualitative impact assessments
1.8    Reporting of quantitative project impacts
1.9    Multiattribute: two case examples
2    IMPLEMENTATION COSTS
2.1    Introduction
2.2    Examples of policies and instruments for their implementation
3    MACROECONOMIC ASSESSMENT
3.1    Background
3.2    Purpose of macroeconomic analysis
3.3    Essential macroeconomic variables
3.4    Economic modelling in relation to GHG emissions
3.5    Structure of a national CGE model for modelling the economy-emission interaction
3.6    Some alternatives to formalised economic modelling
3.7    Macroeconomic assessment: different assessment levels
3.8    Simplified macroeconomic assessment of GHG limitation (SMAG)
3.9    Elements of SMAG
3.10    Concluding remarks

SECTORAL ASSESSMENT
1    THE ENERGY SECTOR
1.1    System boundaries
1.2    GHG emission inventories
1.3    Analytical steps
1.4    Methodological issues
1.5    Data sources
1.6    Sample data for energy end-use and supply technologies
2    THE TRANSPORT SECTOR
2.1    System boundaries
2.2    Factors contributing to GHG emissions from the transportation sector
2.3    Overview of transportation mitigation options
2.4    Reduction of emissions from vehicles
3    THE FORESTRY SECTOR
3.1    Introduction
3.2    System boundaries
3.3    Mitigation options
3.4    Analytical steps
3.5    Sector specific issues
3.6    Dynamic and life cycle issues
3.7    Methods
4    THE AGRICULTURAL SECTOR
4.1    Overview
4.2    System boundaries
4.3    Overview of mitigation options
4.4    Analytical steps
4.5    Models and methods
5    WASTE MANAGEMENT
5.1    Solid waste disposals on land
5.2    Solid waste baseline
5.3    Solid waste mitigation options
5.4    Waste incineration of fossil fuel based products

POLICY INSTRUMENTS
1    POLICY INSTRUMENTS
1.1    Introduction
1.2    Taxes, pollution charges, and externality “adders”
1.3    Cost-based market mechanisms
1.4    Issues in policy implementation
1.5    Policy instruments and developing countries
1.6    Assessment of policy instruments
1.7    Criteria for selection of policy instruments

TECHNICAL ASSUMPTIONS
1    TECHNICAL INPUT ASSUMPTIONS
1.1    Introduction
1.2    Fuel prices
1.3    Prices of oil products
1.4    Energy units
1.5    GHG emission data
1.6    Emission factors
2    REPORTING FORMS

REFERENCES

ANNEXES
1    ESTIMATES OF DAMAGES FROM INDUSTRIALISED COUNTRIES
2    SUSTAINABILITY INDICATORS
3    CASE EXAMPLES: MIXED ENERGY SUPPLY AND DEMAND OPTIONS
3.1    Step 1: project baseline scenario emissions
3.2    Step 2: estimating emissions reductions and incremental costs of the mitigation options
3.3    Step 3: calculating supply curves for the options
3.4    Case example: assessment of energy sector mitigation options in Zimbabwe
4    ESTIMATION OF GHG FLUXES IN THE AGRICULTURAL SECTOR
5    TECHNOLOGY DATABASE REFERENCES