Title of article :
Modelling CO2 policies for the Japanese iron and steel industry
Author/Authors :
Dolf Gielen، نويسنده , , Yuichi Moriguchi، نويسنده ,
Issue Information :
ماهنامه با شماره پیاپی سال 2002
Abstract :
This paper discusses the STEAP model (STeel Environmental Assessment Program). This model has been developed for analysis
of the interaction of CO2 taxes, technological change, market structure and trade effects for iron and steel. New elements compared
to previous techno–economic systems optimisation with linear programming models are global interregional trade and changing
market structure. The modelling approach is discussed and the model code is presented. This is followed by a discussion of results
for Japan. In the case of global taxation, trade effects are negligible. In the case where only Japan and Europe introduce a tax,
Japanese production will be reduced significantly and carbon leakage exceeds 50%. However, a CO2 tax of 2,500 Yen per ton of
CO2 (125 Yen is equal to 1 US$) in combination with an import tariff of 2,500–5,000 Yen per ton of steel can prevent carbon
leakage. Such a strategy results in a 41% CO2 reduction (50 Mt) in 2020. A strategy aiming for large monopolistic producers is
less attractive because industry will aim for lower production and increased prices, while the CO2 reduction effect is similar
Keywords :
CO2 , Iron and steel , Linear programming , policy analysis , Carbon leakage , Trade effects
Journal title :
Environmental Modelling and Software
Journal title :
Environmental Modelling and Software