What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece
In alignment with the European Union’s legislation, Greece submitted its final 10-year National Energy and Climate Plan (NECP) in December 2019, setting more ambitious energy and climate targets than those originally proposed in the draft version of the document. Apart from higher penetration of ren...
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| Format: | Article |
| Language: | English |
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MDPI AG
2021-04-01
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| Series: | Energies |
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| Online Access: | https://www.mdpi.com/1996-1073/14/8/2235 |
| _version_ | 1797537480731262976 |
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| author | Diamantis Koutsandreas Evangelos Spiliotis Haris Doukas John Psarras |
| author_facet | Diamantis Koutsandreas Evangelos Spiliotis Haris Doukas John Psarras |
| author_sort | Diamantis Koutsandreas |
| collection | DOAJ |
| description | In alignment with the European Union’s legislation, Greece submitted its final 10-year National Energy and Climate Plan (NECP) in December 2019, setting more ambitious energy and climate targets than those originally proposed in the draft version of the document. Apart from higher penetration of renewable energy sources (RES), the final NECP projects also zero carbon use in power generation till 2030. Although decarbonization has long been regarded beneficial for economies that base their energy production on coal, as it is the case with Greece, the macroeconomic and societal ramifications of faster transitions to carbon-free economies remain highly unexplored. Under this context, in this paper, we soft-link energy models, namely Times-Greece and Primes, with a macroeconomic model, namely Global Trade Analysis Project (GTAP), to measure the effects of the final and draft NECPs on the Greek economy and evaluate the impact of higher decarbonization speeds. We find that the faster transition scenario displays both economic and societal merits, increasing Gross Domestic Product (GDP) and household income by about 1% and 7%, respectively. |
| first_indexed | 2024-03-10T12:15:44Z |
| format | Article |
| id | doaj.art-bd3445a6afd4487f92aabd02f5383a79 |
| institution | Directory Open Access Journal |
| issn | 1996-1073 |
| language | English |
| last_indexed | 2024-03-10T12:15:44Z |
| publishDate | 2021-04-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Energies |
| spelling | doaj.art-bd3445a6afd4487f92aabd02f5383a792023-11-21T15:52:25ZengMDPI AGEnergies1996-10732021-04-01148223510.3390/en14082235What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of GreeceDiamantis Koutsandreas0Evangelos Spiliotis1Haris Doukas2John Psarras3Decision Support Systems Lab (EPU-NTUA), School of Electrical and Computer Engineering, National Technical University of Athens, 157 73 Athens, GreeceForecasting and Strategy Unit, School of Electrical and Computer Engineering, National Technical University of Athens, 157 73 Athens, GreeceDecision Support Systems Lab (EPU-NTUA), School of Electrical and Computer Engineering, National Technical University of Athens, 157 73 Athens, GreeceDecision Support Systems Lab (EPU-NTUA), School of Electrical and Computer Engineering, National Technical University of Athens, 157 73 Athens, GreeceIn alignment with the European Union’s legislation, Greece submitted its final 10-year National Energy and Climate Plan (NECP) in December 2019, setting more ambitious energy and climate targets than those originally proposed in the draft version of the document. Apart from higher penetration of renewable energy sources (RES), the final NECP projects also zero carbon use in power generation till 2030. Although decarbonization has long been regarded beneficial for economies that base their energy production on coal, as it is the case with Greece, the macroeconomic and societal ramifications of faster transitions to carbon-free economies remain highly unexplored. Under this context, in this paper, we soft-link energy models, namely Times-Greece and Primes, with a macroeconomic model, namely Global Trade Analysis Project (GTAP), to measure the effects of the final and draft NECPs on the Greek economy and evaluate the impact of higher decarbonization speeds. We find that the faster transition scenario displays both economic and societal merits, increasing Gross Domestic Product (GDP) and household income by about 1% and 7%, respectively.https://www.mdpi.com/1996-1073/14/8/2235Greeceenergy transitiondelignitizationenergy modelingcomputable general equilibrium modelingmacroeconomic impacts |
| spellingShingle | Diamantis Koutsandreas Evangelos Spiliotis Haris Doukas John Psarras What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece Energies Greece energy transition delignitization energy modeling computable general equilibrium modeling macroeconomic impacts |
| title | What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece |
| title_full | What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece |
| title_fullStr | What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece |
| title_full_unstemmed | What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece |
| title_short | What Is the Macroeconomic Impact of Higher Decarbonization Speeds? The Case of Greece |
| title_sort | what is the macroeconomic impact of higher decarbonization speeds the case of greece |
| topic | Greece energy transition delignitization energy modeling computable general equilibrium modeling macroeconomic impacts |
| url | https://www.mdpi.com/1996-1073/14/8/2235 |
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