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Consumer-Based Carbon Reduction Incentives: A Proposed Mixed Incentive Scheme for Reducing CO2 Emissions from Transport

Author

Listed:
  • Niemeyer, S. J.

    (Griffith University)

  • Tisdell, J. G.

    (Griffith University)

Abstract

To be cost effective the abatement greenhouse gases should be spread across the spectrum of emission sources. While energy production generates the largest share of greenhouse gases, emissions produced by vehicular transport in Australia is still a significant contributor and should bear at least some burden of abatement. Approaches to reducing greenhouse gases have tended thus far to focus on industry. In the transport sector, this industry-based approach has focussed on emission standards. But to be truly cost effective, incentives to reduce emissions need to be targeted at the point of use, by both industry and the private individuals. This paper explores the benefits and limitations of adopting a mixed incentive scheme applied to fuel consumers to reduce greenhouse gas emissions from transport. The proposed consumer-based carbon reduction incentive scheme (CBCRI) incorporates elements of tradeable permits, carbon taxes and emissions reduction subsidies.

Suggested Citation

  • Niemeyer, S. J. & Tisdell, J. G., 1998. "Consumer-Based Carbon Reduction Incentives: A Proposed Mixed Incentive Scheme for Reducing CO2 Emissions from Transport," Economic Analysis and Policy, Elsevier, vol. 28(1), pages 53-67, March.
    • Handle: RePEc:eee:ecanpo:v:28:y:1998:i:1:p:53-67
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    Cited by:

    1. Halkos, George E. & Papageorgiou, George J., 2017. "A dynamic game with feedback strategies for internalizing externalities," Economic Analysis and Policy, Elsevier, vol. 55(C), pages 147-157.
    2. Alva González, Miguel Ángel, 2008. "Environmentally Unfriendly Consumption Behaviour: Theoretical and Empirical Evidence from Private Motorists in Mexico City," MPRA Paper 18019, University Library of Munich, Germany.

    More about this item

    Keywords

    Abatement; CO2; Emissions;
    All these keywords.

    JEL classification:

    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water

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