TY - JOUR A1 - Döbbeling-Hildebrandt, Niklas A1 - Miersch, Klaas A1 - Khanna, Tarun M. A1 - Bachelet, Marion A1 - Bruns, Stephan B. A1 - Callaghan, Max A1 - Edenhofer, Ottmar A1 - Flachsland, Christian A1 - Forster, Piers M. A1 - Kalkuhl, Matthias A1 - Koch, Nicolas A1 - Lamb, William F. A1 - Ohlendorf, Nils A1 - Steckel, Jan Christoph A1 - Minx, Jan C. T1 - Systematic review and meta-analysis of ex-post evaluations on the effectiveness of carbon pricing JF - Nature Communications N2 - Today, more than 70 carbon pricing schemes have been implemented around the globe, but their contributions to emissions reductions remains a subject of heated debate in science and policy. Here we assess the effectiveness of carbon pricing in reducing emissions using a rigorous, machine-learning assisted systematic review and meta-analysis. Based on 483 effect sizes extracted from 80 causal ex-post evaluations across 21 carbon pricing schemes, we find that introducing a carbon price has yielded immediate and substantial emission reductions for at least 17 of these policies, despite the low level of prices in most instances. Statistically significant emissions reductions range between –5% to –21% across the schemes (–4% to –15% after correcting for publication bias). Our study highlights critical evidence gaps with regard to dozens of unevaluated carbon pricing schemes and the price elasticity of emissions reductions. More rigorous synthesis of carbon pricing and other climate policies is required across a range of outcomes to advance our understanding of “what works” and accelerate learning on climate solutions in science and policy. Y1 - 2024 U6 - https://doi.org/10.1038/s41467-024-48512-w SN - 2041-1723 VL - 15 PB - Springer Science and Business Media LLC ER - TY - JOUR A1 - Steckel, Jan Christoph A1 - Jakob, Michael A1 - Flachsland, Christian A1 - Kornek, Ulrike A1 - Lessmann, Kai A1 - Edenhofer, Ottmar T1 - From climate finance towards sustainable development finance JF - WIREs Climate Change N2 - Decarbonizing the global energy system requires large-scale investment flows, with a central role for international climate finance to mobilize private funds. The willingness to provide international finance in accordance with common but differentiated responsibilities was acknowledged by the broad endorsement of the Paris Agreement, and the Green Climate Funds in particular. The international community aims to mobilize at least USD 100 billion per year for mitigation and adaption in developing countries. In this article, we argue that too little attention has been paid on the spending side of climate finance, both in the political as well as the academic debate. To this end, we review the challenges encountered in project-based approaches of allocating climate finance in the past. In contrast to project-based finance, we find many advantages to spending climate finance in support of price-based national policies. First, the support for international climate cooperation is improved when efforts of successively rising domestic carbon pricing levels are compensated. Second, carbon pricing sets incentives for least-cost mitigation. Third, investing domestic revenues from emission pricing schemes could advance a country's individual development goals and ensure the recipient's ‘ownership’ of climate policies. We conclude that by reconciling the global goal of cost-efficient mitigation with national policy priorities, climate finance for carbon pricing could become a central pillar of sustainable development and promote international cooperation to achieve the climate targets laid down in the Paris Agreement. Y1 - 2016 U6 - https://doi.org/10.1002/wcc.437 VL - 8 IS - 1 ER - TY - JOUR A1 - Jakob, Michael A1 - Flachsland, Christian A1 - Steckel, Jan Christoph A1 - Urpelainen, Johannes T1 - Actors, objectives, context: A framework of the political economy of energy and climate policy applied to India, Indonesia, and Vietnam JF - Energy Research & Social Science N2 - Devising policies that facilitate a transition to low-carbon energy systems requires a close understanding of the country-specific political economy of energy and climate policy. We develop a generalized AOC (‘Actors, Objectives, Context’) political economy framework to inform and enable comparison of country-specific case studies of how economic structure, political institutions, and the political environment shape policy outcomes. Our actor-centered perspective is built on the assumption that those policies are implemented that best meet the objectives of actors with the greatest influence on policy decisions. Applying the framework in practice includes four basic steps: i) identifying the societal and political actors most relevant for the formulation, implementation and enforcement of energy and climate policies; ii) spelling out these actors’ underlying objectives; iii) assessing the economic, institutional, discursive and environmental context which determines how certain objectives matter for certain societal actors; and iv) analyzing the dynamic interactions among these factors leading to aggregate policy outcomes. Context factors determine how societal actors influence political actors engaged in formal public policy formulation, implementation and enforcement, and how the dynamic interplay of different political actors’ interests results in energy and climate policy outcomes. The framework can accommodate a wide range of theoretical perspectives. We illustrate how the framework enables conducting comparable energy and climate policy country case studies, using the example of coal use in India, Indonesia and Vietnam. Finally, we discuss how the framework can contribute to the identification of entry points that could bring about policy change. KW - Political economy KW - Policy design KW - Climate and energy policy KW - vested interests KW - Coal Y1 - 2020 U6 - https://doi.org/10.1016/j.erss.2020.101775 VL - 70 SP - 1 EP - 12 ER - TY - JOUR A1 - Jakob, Michael A1 - Lamb, William F. A1 - Steckel, Jan Christoph A1 - Flachsland, Christian A1 - Edenhofer, Ottmar T1 - Understanding different perspectives on economic growth and climate policy JF - WIREs Climate Change N2 - Should economic growth continue in a world threatened by the prospect of catastrophic climate change? The scientific and public debate has brought forth a broad spectrum of views and narratives on this question, ranging from neoclassical economics to degrowth. We argue that different positions can be attributed to underlying differences in views on (a) factors that determine human well‐being, (b) the feasibility and desirability of economic growth, (c) appropriate intervention points, and (d) preferences about governance and policy options. For each of these dimensions, we propose points of agreement on which a consensus between conflicting positions might be achieved. From this basis, we distill a sustainability transition perspective that could act as a basis for a renewed debate on how to align human well‐being with environmental sustainability. KW - Climate Economics KW - degrowth KW - sustainability KW - transformation KW - well-being Y1 - 2020 U6 - https://doi.org/https://doi.org/10.1002/wcc.677 SP - 1 EP - 17 ER - TY - JOUR A1 - Ohlendorf, Nils A1 - Flachsland, Christian A1 - Nemet, Gregory F. A1 - Steckel, Jan Christoph T1 - Carbon price floors and low-carbon investment: A survey of German firms JF - Energy Policy N2 - Introducing a price floor in emissions trading schemes (ETS) theoretically stabilizes expectations on future carbon prices and thus fosters low-carbon investment. Yet, ex post evidence on high carbon prices is scant and the relevance of carbon pricing for investment decisions is frequently contested. We provide empirical ex ante evidence on how a price floor in the EU ETS would impact the size and portfolio of energy firms’ investments. Analyzing survey responses of high-level managers in 113 German energy and industry companies, we find that the level of the price floor is crucial. A low price floor trajectory only provides insurance against downward price fluctuations and would leave investments largely unchanged except for industries receiving electricity price compensation, which reduce their investments. A high floor, significantly increasing the price level beyond current expectations, leads to higher investment by the majority of firms, especially by green firms, while investment in fossil energy would partially be abolished. Our studies implies that price floors can be important design components of ETS. However, policymakers need to ensure that they are at sufficiently high levels to affect investment decisions in a meaningful way. Y1 - 2022 U6 - https://doi.org/10.1016/j.enpol.2022.113187 SN - 0301-4215 VL - 169 IS - 113187 ER -