High oil prices are not a substitute for effective climate policies, according to a paper by a Franco-Swiss academic team partly supported by the French environment ministry. Despite some price-induced energy conservation the impact on greenhouse gas emissions will be "far lower" than expected due to switching from oil to coal and gas. In addition, reductions will be inequitably distributed across regions and sectors. And they will be achieved at a very high global welfare cost compared with the cost of a similar reduction through an efficient climate policy. See paper.
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