Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces

China’s Twelfth Five-Year Plan (2011–2015) aims to achieve a national carbon intensity reduction of 17 % through differentiated targets at the provincial level. Allocating the national target among China’s provinces is complicated by the fact that more than half of China’s national carbon emissions...

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Main Authors: Springmann, Marco, Zhang, Da, Karplus, Valerie Jean
Other Authors: Massachusetts Institute of Technology. Joint Program on the Science & Policy of Global Change
Format: Article
Language:English
Published: Springer Netherlands 2016
Online Access:http://hdl.handle.net/1721.1/105784
https://orcid.org/0000-0002-9792-508X
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author Springmann, Marco
Zhang, Da
Karplus, Valerie Jean
author2 Massachusetts Institute of Technology. Joint Program on the Science & Policy of Global Change
author_facet Massachusetts Institute of Technology. Joint Program on the Science & Policy of Global Change
Springmann, Marco
Zhang, Da
Karplus, Valerie Jean
author_sort Springmann, Marco
collection MIT
description China’s Twelfth Five-Year Plan (2011–2015) aims to achieve a national carbon intensity reduction of 17 % through differentiated targets at the provincial level. Allocating the national target among China’s provinces is complicated by the fact that more than half of China’s national carbon emissions are embodied in interprovincial trade, with the relatively developed eastern provinces relying on the center and west for energy-intensive imports. This study develops a consistent methodology to adjust regional emissions-intensity targets for trade-related emissions transfers and assesses its economic effects on China’s provinces using a regional computable-general-equilibrium (CGE) model of the Chinese economy. This study finds that in 2007 China’s eastern provinces outsource 14 % of their territorial emissions to the central and western provinces. Adjusting the provincial targets for those emissions transfers increases the reduction burden for the eastern provinces by 60 %, while alleviating the burden for the central and western provinces by 50 % each. The CGE analysis indicates that this adjustment could double China’s national welfare loss compared to the homogenous and politics-based distribution of reduction targets. A shared-responsibility approach that balances production-based and consumption-based emissions responsibilities is found to alleviate those unbalancing effects and lead to a more equal distribution of economic burden among China’s provinces.
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spelling mit-1721.1/1057842022-09-27T19:09:05Z Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces Springmann, Marco Zhang, Da Karplus, Valerie Jean Massachusetts Institute of Technology. Joint Program on the Science & Policy of Global Change MIT Energy Initiative Zhang, Da Karplus, Valerie Jean China’s Twelfth Five-Year Plan (2011–2015) aims to achieve a national carbon intensity reduction of 17 % through differentiated targets at the provincial level. Allocating the national target among China’s provinces is complicated by the fact that more than half of China’s national carbon emissions are embodied in interprovincial trade, with the relatively developed eastern provinces relying on the center and west for energy-intensive imports. This study develops a consistent methodology to adjust regional emissions-intensity targets for trade-related emissions transfers and assesses its economic effects on China’s provinces using a regional computable-general-equilibrium (CGE) model of the Chinese economy. This study finds that in 2007 China’s eastern provinces outsource 14 % of their territorial emissions to the central and western provinces. Adjusting the provincial targets for those emissions transfers increases the reduction burden for the eastern provinces by 60 %, while alleviating the burden for the central and western provinces by 50 % each. The CGE analysis indicates that this adjustment could double China’s national welfare loss compared to the homogenous and politics-based distribution of reduction targets. A shared-responsibility approach that balances production-based and consumption-based emissions responsibilities is found to alleviate those unbalancing effects and lead to a more equal distribution of economic burden among China’s provinces. Massachusetts Institute of Technology. Joint Program on the Science & Policy of Global Change MIT Energy Initiative China. Ministry of Science and Technology China. National Development and Reform Commission Rio Tinto (Group) 2016-12-09T19:42:03Z 2016-12-09T19:42:03Z 2014-07 2014-06 2016-08-18T15:20:24Z Article http://purl.org/eprint/type/JournalArticle 0924-6460 1573-1502 http://hdl.handle.net/1721.1/105784 Springmann, Marco, Da Zhang, and Valerie J. Karplus. “Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces.” Environ Resource Econ 61, no. 4 (July 10, 2014): 615–640. https://orcid.org/0000-0002-9792-508X en http://dx.doi.org/10.1007/s10640-014-9809-5 Environmental and Resource Economics Creative Commons Attribution-Noncommercial-Share Alike http://creativecommons.org/licenses/by-nc-sa/4.0/ Springer Science+Business Media Dordrecht application/pdf Springer Netherlands Springer Netherlands
spellingShingle Springmann, Marco
Zhang, Da
Karplus, Valerie Jean
Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces
title Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces
title_full Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces
title_fullStr Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces
title_full_unstemmed Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces
title_short Consumption-Based Adjustment of Emissions-Intensity Targets: An Economic Analysis for China’s Provinces
title_sort consumption based adjustment of emissions intensity targets an economic analysis for china s provinces
url http://hdl.handle.net/1721.1/105784
https://orcid.org/0000-0002-9792-508X
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