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"Intensity" targets: pathway or roadblock to preventing climate change while enhancing economic growth?

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  • D. Dudek
  • A. Golub

Abstract

After establishing the operative definitions of greenhouse gas emissions "intensity" targets and "absolute" targets for greenhouse gas emissions limits, we identify examples of these approaches in current laws and policies. We focus in particular on the US experience with the sulfur dioxide emissions "cap and trade" program as an example of the use of an "absolute" target approach. We compare and contrast this example with "performance standard" programs under the US Clean Air Act and the Corporate Average Fuel Economy standards for motor vehicles, which embody the emissions rate or "intensity" concept. These case studies give us insights into the pros and cons of the intensity versus absolute approaches.Moving from retrospective to prospective, we consider the possible application of alternative absolute and intensity targets (IT) to global, national and firm-level emissions. We then identify criteria for evaluating the use of "intensity" targets as a tool for achieving both environmental and economic goals. These include success in limiting climate change, achieving cost certainty and manageability, providing flexibility for public and private sector decision-makers in responding to new information, stimulating technological progress and sustaining a global climate regime.© 2003 Elsevier Ltd. All rights reserved.

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  • D. Dudek & A. Golub, 2003. ""Intensity" targets: pathway or roadblock to preventing climate change while enhancing economic growth?," Climate Policy, Taylor & Francis Journals, vol. 3(sup2), pages 21-28, December.
    • Handle: RePEc:taf:tcpoxx:v:3:y:2003:i:sup2:p:s21-s28
    DOI: 10.1016/j.clipol.2003.09.010
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    Citations

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    Cited by:

    1. Frank Jotzo & John C. V. Pezzey, 2005. "Optimal intensity targets for emissions trading under uncertainty (now replaced by EEN0605)," Economics and Environment Network Working Papers 0504, Australian National University, Economics and Environment Network.
    2. Frank Jotzo & John Pezzey, 2007. "Optimal intensity targets for greenhouse gas emissions trading under uncertainty," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 38(2), pages 259-284, October.
    3. Zhiqing Yan & Zisheng Yang, 2022. "How the Marketization of Land Transfer under the Constraint of Dual Goals Affects the High-Quality Development of Urban Economy: Empirical Evidence from 278 Prefecture-Level Cities in China," Sustainability, MDPI, vol. 14(22), pages 1-23, November.
    4. Frank Jotzo & John C. V. Pezzey, 2006. "Optimal Intensity Targets for Greenhouse Emissions Trading Under Uncertainty," Economics and Environment Network Working Papers 0605, Australian National University, Economics and Environment Network.
    5. Edvardsson Björnberg, Karin, 2013. "Rational climate mitigation goals," Energy Policy, Elsevier, vol. 56(C), pages 285-292.
    6. Mariana Conte Grand, 2016. "GDP-related emission targets weaknesses: the case of Argentina," CEMA Working Papers: Serie Documentos de Trabajo. 599, Universidad del CEMA.
    7. Hossa Almutairi & Samir Elhedhli, 2014. "Carbon tax based on the emission factor: a bilevel programming approach," Journal of Global Optimization, Springer, vol. 58(4), pages 795-815, April.
    8. Meunier, Guy & Montero, Juan-Pablo & Ponssard, Jean-Pierre, 2017. "Using output-based allocations to manage volatility and leakage in pollution markets," Energy Economics, Elsevier, vol. 68(S1), pages 57-65.
    9. Frédéric Branger & Philippe Quirion, 2014. "Price versus Quantities versus Indexed Quantities," Working Papers 2014.09, FAERE - French Association of Environmental and Resource Economists.
    10. Rietbergen, Martijn G. & Blok, Kornelis, 2010. "Setting SMART targets for industrial energy use and industrial energy efficiency," Energy Policy, Elsevier, vol. 38(8), pages 4339-4354, August.
    11. Bang, Guri & Froyn, Camilla Bretteville & Hovi, Jon & Menz, Fredric C., 2007. "The United States and international climate cooperation: International "pull" versus domestic "push"," Energy Policy, Elsevier, vol. 35(2), pages 1282-1291, February.

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