Template-Type: ReDIF-Article 1.0 Author-Name: Samuel Carrara Author-WorkPlace-Name: FEEM Author-Name: Enrica De Cian Author-WorkPlace-Name: FEEM Author-Name: Massimo Tavoni Author-WorkPlace-Name: FEEM Title: Nuclear Expansion or Phase-Out? Costs and Opportunities Abstract: Nuclear power lost significant credibility after the accident in Japan of 2011, leading to downward revisions about its development in the coming years. Yet, the British government has just approved the construction of a nuclear power plant in the UK, at a strike price which has puzzled many analysts for being close that of renewable alternatives today. In this article we explore future scenarios for nuclear power vis à vis with renewables for meeting climate mitigation policies, providing insights on technological progress in renewables and overall economic costs of reducing nuclear power. Classification-JEL: Q4, Q42, Q48 Keywords: Nuclear Power, Climate Mitigation Policies Journal: Review of Environment, Energy and Economics Year: 2014 Month: January File-URL: http://re3.feem.it/getpage.aspx?id=6044 Handle: RePEc:fem:femre3:2014.01-01 Template-Type: ReDIF-Article 1.0 Author-Name: Simone Tagliapietra Author-WorkPlace-Name: FEEM Title: Turkey as a Regional Natural Gas Hub: Myth or Reality? Abstract: This article summarizes the key results of a field study carried out in Istanbul and just published in the FEEM Note di Lavoro/working paper series. The study aims to explore Turkey's real potential to become a regional natural gas hub, by focusing on the current situation of gas producing countries around Turkey and then moving to the future prospects of gas cooperation in the region. To this end, the study provides an assessment of both the current situation and outlook of gas markets in Azerbaijan, Turkmenistan, Iraq, Iran, Israel and Cyprus, subsequently providing a discussion of the future prospects of the Southern Gas Corridor and of the potential Eastern Mediterranean Gas Corridor. This analysis demonstrates that Turkey will hardly have the potential to become a regional gas hub in the medium term (up to 2020-2025), while it could have the potential to play an important role in the regional gas markets in the longer term (after 2025-2030) if a number of infrastructural, commercial and political barriers are overcome and -last but not the least- if the EU gas demand recovers and the EU market actually needs more natural gas supplies. Classification-JEL: Q40, Q42, Q4 Keywords: Natural gas markets, Southern gas corridor, Eastern Mediterranean gas corridor, Turkey gas outlook, EU energy policy, EU security of gas supply Journal: Review of Environment, Energy and Economics Year: 2014 Month: January File-URL: http://re3.feem.it/getpage.aspx?id=6053 Handle: RePEc:fem:femre3:2014.01-02 Template-Type: ReDIF-Article 1.0 Author-Name: Sabah Abdullah Author-WorkPlace-Name: The University of Queensland Title: Benefits and Related Threats of Coral Reef Ecosystem Services Abstract: Understanding the impact of direct and indirect drivers of change on diverse marine ecosystems such as coral reefs implies that users as well as stakeholders and decision makers need to reconsider their strategies, roles and perceptions in meeting the challenges confronted by these ecosystems. The findings in this article, derived from distinct studies, imply that societies that are more exposed to threats like climate change are more likely to be vulnerable, particularly those that have low social adaptive capacity. Moreover, other results from primary valuation studies highlight that users such as recreational divers are supportive of paying towards the protection and/or restoration of coral reef ecosystems. However, what is urgently needed in benefit estimation of coral reef services is the interconnectedness of this ecosystem state to human welfare. Classification-JEL: Q51, Q54 Keywords: Coral reef, Restoration, Marine protected area, Vulnerability, Climate change Journal: Review of Environment, Energy and Economics Year: 2014 Month: January File-URL: http://re3.feem.it/getpage.aspx?id=6068 Handle: RePEc:fem:femre3:2014.01-03 Template-Type: ReDIF-Article 1.0 Author-Name: Francesco Bosello Author-WorkPlace-Name: FEEM Author-Name: Lorenza Campagnolo Author-WorkPlace-Name: FEEM Title: Trends and Challenges for Environmental-Ecologic Indicators and Assessments Abstract: Last December, within the framework of the FP7 project E-Frame, FEEM hosted the Environmental Indicators Workshop organized by FEEM with the support of the University of Siena. The workshop aimed to give an overview of the current state of the art of environmental indicators, presenting drawbacks of the past approaches, strengths of new methodologies and the challenges ahead. It was structured into three thematic sessions. The first focused on the technicalities in constructing environmental indicators with a particular emphasis on the ecological perspective; the second analysed environmental indicators as part of an integrated economic-environmental account and of the natural capital concept. The final session explored environmental indicators in the wider dimension of policy evaluation and policy making. Classification-JEL: Q01, Q56, Q57 Keywords: Environmental Ecological Indicators, Sustainable Development Journal: Review of Environment, Energy and Economics Year: 2014 Month: January File-URL: http://re3.feem.it/getpage.aspx?id=6109 Handle: RePEc:fem:femre3:2014.01-04 Template-Type: ReDIF-Article 1.0 Author-Name: Rachel T.A.Croson Author-WorkPlace-Name: University of Texas at Dallas, USA Title: Behavioral Economics for Environmental Decisions Abstract: The emerging field of behavioral and experimental economics has influenced our understanding of how individuals make environmental and resource allocation decisions. New research, however, investigates how those decisions might be influenced by subtle nudges. By strategically setting defaults, providing social information, and re-framing problems, policy makers can influence a wide variety of environmental and resource management decisions. Rachel Croson's talk at EAERE 2013 discussed the origins and current state of this behavioral policy research, and highlighted open questions and opportunities for new explorations. In this short video-interview granted to Re3, she gives a summary overview of this relatively new field of study for neophites. Keywords: Environment, Behavioural Economics Journal: Review of Environment, Energy and Economics Year: 2014 Month: February File-URL: http://re3.feem.it/getpage.aspx?id=6151 Handle: RePEc:fem:femre3:2014.02-01 Template-Type: ReDIF-Article 1.0 Author-Name: Nicola Genovese Author-WorkPlace-Name: Università di Messina Author-Name: Maria Grazia La Spada Author-WorkPlace-Name: Università di Messina Title: Money Creation: The Role of Trust for Public Happiness and Sustainable Growth Abstract: The principal topic of this article is the creation of money in primitive populations at the beginning of economic activity. This phenomenon was determined thanks to a particular social environment where interpersonal trust together with reciprocity and moral principles were prevalent. No other explanation obtained by historical studies and neoclassical equilibrium models is sufficient. Principally because they are based on the rationality of self interested individuals. Our analysis can be considered as a historical and theoretical example, which testifies to the necessity to create a social environment based on the above mentioned values for obtaining public happiness and sustainable development. Classification-JEL: Q01, A13, B15, E40 Keywords: Sustainable Development, Public Happiness, Origin of Money, Behavioral Economics, Exchanges Between Primitive Populations Journal: Review of Environment, Energy and Economics Year: 2014 Month: February File-URL: http://re3.feem.it/getpage.aspx?id=6179 Handle: RePEc:fem:femre3:2014.02-02 Template-Type: ReDIF-Article 1.0 Author-Name: Cristina Cattaneo Author-WorkPlace-Name: FEEM and University of Sussex Title: Educational Expenditure and Remittances: Is there a Link? Abstract: Are transfers from members living abroad a stimulus to a key sector such as schooling in Albania? In the present article I summarize results of a study investigating which factors are able to boost the household expenditure in education. Among these factors, a large emphasis is given to the amount of remittances sent to Albanian families from migrants living abroad. High rates of unemployment and the severe poverty in Albania have induced strong migration pressures. These large migration flows provide Albania with an important source of capital in terms of external remittances. The two main empirical findings are that the household income has a positive and well determined impact on education expenditure, whereas international transfers do not influence education spending. Classification-JEL: R, J Keywords: Migrant Remittances, Engel Curves, Education expenditure Journal: Review of Environment, Energy and Economics Year: 2014 Month: February File-URL: http://re3.feem.it/getpage.aspx?id=6191 Handle: RePEc:fem:femre3:2014.02-03 Template-Type: ReDIF-Article 1.0 Author-Name: Robert O. Mendelsohn Author-WorkPlace-Name: School of Forestry and Environmental Studies at Yale University Title: The Uneven Impacts of Climate Change Abstract: Interviewed by Re3, Professor Robert O. Mendelsohn, Yale School of Forestry and Environmental Studies, discusses the effects of climate change on sectors such as Agriculture, Heating & Cooling, Sea Level Rise and the Water Cycle. Journal: Review of Environment, Energy and Economics Year: 2014 Month: March File-URL: http://re3.feem.it/getpage.aspx?id=6196 Handle: RePEc:fem:femre3:2014.03-01 Template-Type: ReDIF-Article 1.0 Author-Name: Chiara D'Alpaos Author-WorkPlace-Name: University of Padua Author-Name: Sergio Vergalli Author-WorkPlace-Name: University of Brescia and FEEM Title: Time Overruns in Public Procurement and Concession contracts: penalty fee and option value to delay Abstract: Evidence from ongoing procurement and concession contracts shows that time overruns are widespread. Two key elements, among others, can affect the delays in the execution of the contracts: a) uncertainty over production costs; b) inefficiency in the judicial system. In this article we summarize a couple of works (D'Alpaos et al., 2013 and D'Alpaos and Moretto, 2013), in which the authors theoretically and empirically investigate some causes of time overruns in public procurement and concession contracts and determine the trade-off between the supplier’s option value to delay and the penalty fee to be paid in the event of delay. The main results are tested on Italian public procurement data and show that the supplier's incentive to delay is greater the higher the volatility of production costs and the lower the "efficiency" of the judicial system. Classification-JEL: D81, H54, H57, L51 Keywords: Procurement and Concession Contracts, Option Value to Delay, Strategic time overruns Journal: Review of Environment, Energy and Economics Year: 2014 Month: March File-URL: http://re3.feem.it/getpage.aspx?id=6222 Handle: RePEc:fem:femre3:2014.03-02 Template-Type: ReDIF-Article 1.0 Author-Name: Simone Tagliapietra Author-WorkPlace-Name: Fondazione Eni Enrico Mattei, Istanbul Policy Center, Università Cattolica del Sacro Cuore Title: The Future of Iran's Gas Market after the (potential) Nuclear Deal Abstract: Iran is the perennial “elephant in the room” of international gas trade. The country could well become, one day, a major game changer of international gas markets but today its potential still remains fundamentally untapped due to a number of geopolitical and commercial reasons. Iran owns the first largest proven gas reserves in the world, but since 1997 it is basically a net-importer of gas. This paradoxical situation is due to a number of internal and external factors, the main of which relates to the international isolation of the country due to the well-known international dispute over its nuclear program. For this reason, if the positive outcome of the recent nuclear talks turns into a complete nuclear deal, great opportunities will likely open up in Iran also with regard to the gas market. The aim of this article is to analyze the country’s gas outlook in the aftermath of a potential nuclear deal, looking at the potential production trends, at the potential export options, but also at the political and commercial barriers that such a development will likely have to face. In fact, a full resolution of the nuclear issue will unlikely automatically change the Iranian gas market in the short term, as a number of commercial issues will continue to remain on the table. In other words, the “elephant” will need a bit of time to move. However, it is sure that its movement will ultimately have a profound and long-lasting impact on international gas markets. Classification-JEL: Q40, Q42, Q4 Keywords: Iran gas market, International gas markets, World energy outlook, Nuclear talks Journal: Review of Environment, Energy and Economics Year: 2014 Month: March File-URL: http://re3.feem.it/getpage.aspx?id=6240 Handle: RePEc:fem:femre3:2014.03-03 Template-Type: ReDIF-Article 1.0 Author-Name: Yaella Depietri Author-WorkPlace-Name: United Nations University, Institute for Environment and Human Security (UNU-EHS) and Institut de Ciència i Tecnologia Ambientals (ICTA), Universitat Autonoma de Barcelona (UAB) Author-Name: Lorenzo Guadagno Author-WorkPlace-Name: International Organization for Migration (IOM) Author-Name: Margaretha Breil Author-WorkPlace-Name: Fondazione Eni Enrico Mattei (FEEM) and Euro-Mediterranean Center on Climate Change (CMCC) Title: Urban Areas and Watershed Services: Strategies for Ecosystem Management and Urban Risk Reduction Abstract: Under scenarios of increasing unplanned urban expansion, environmental degradation and hazard exposure, the vulnerability of urban populations needs to be tackled through novel, integrated solutions. Basing our analysis on the concept of ecosystem services, we suggest that urban areas would benefit from a shift in perspective recognizing the connections between urban areas and watersheds. By integrating an ecosystem approach into the management of water-related services, urban management policies could take a first step towards fostering an improvement of the health of upstream and downstream areas of the watershed, activating environmentally sound practices and economic strategies which aim at guaranteeing the sustainable and cost effective supply of services. From our analysis it results that, through the recognition of the primary role played by watershed ecosystems, cities can benefit from an enlarged set of policies, which can help strengthen the supply of essential environmental services, while reducing the vulnerability of its population and contributing to the maintenance of healthy ecosystems. Classification-JEL: I14, Q01, Q25, Q54, Q57 Keywords: Urban watersheds, Ecosystem services, Water supply and Sanitation, Disaster risk reduction, Valuation Journal: Review of Environment, Energy and Economics Year: 2014 Month: March File-URL: http://re3.feem.it/getpage.aspx?id=6259 Handle: RePEc:fem:femre3:2014.03-04 Template-Type: ReDIF-Article 1.0 Author-Name: Francesco Bosello Author-WorkPlace-Name: CMCC - FEEM - IPCC WG2 AR5 Contributing Author Author-Name: Sergio Castellari Author-WorkPlace-Name: CMCC - IPCC Focal Point for Italy Author-Name: Jonathan Lynn Author-WorkPlace-Name: IPCC - Head, Communications and Media Relations Author-Name: Riccardo Valentini Author-WorkPlace-Name: CMCC - IPCC WG2 AR5 Coordinating Leading Author Title: All You Need to Know about the IPCC Fifth Assessment Report. Impacts, Adaptation and Vulnerability Abstract: Italian authors of the IPCC Report Francesco Bosello, Sergio Castellari and Riccardo Valentini explain the main issues tackled by the second volume of the IPCC Fifth Assessment Report, dedicated to climate change impacts. The video is introduced by Jonathan Lynn Head of Communications and Media Relations at IPCC. Journal: Review of Environment, Energy and Economics Year: 2014 Month: April File-URL: http://www.feem.it/getpage.aspx?id=6263 Handle: RePEc:fem:femre3:2014.04-01 Template-Type: ReDIF-Article 1.0 Author-Name: David C. Major Author-WorkPlace-Name: Center for Climate Systems Research, Columbia University Author-Name: Daniel Bader Author-WorkPlace-Name: Center for Climate Systems Research, Columbia University Author-Name: Robin Leichenko Author-WorkPlace-Name: Department of Geography, Rutgers, The State University of New Jersey Author-Name: Katie Johnson Author-WorkPlace-Name: Ca’ Foscari University of Venice Author-Name: Megan Linkin Author-WorkPlace-Name: Swiss Re America Holding Corporation Title: Projecting Future Insured Coastal Flooding Damages with Climate Change Abstract: Estimates of future damages from climate change in coastal areas are of growing interest for climate change research and policy-making. A newly-developed methodology is applied to estimate total insured coastal damages with climate change for the period 2025-2085 in New York State, USA. Total damages without adaptation include future insured damages from economic growth and additional damages from climate change due to increases in flood frequency, based on two sea level rise scenarios. Data and methodological issues are discussed, and a comparison with the results of a metro New York City flood damage study using different data and methods is presented. Classification-JEL: O18, O21, O22, Q51, Q54 Keywords: Climate Change, Urban Flood Damage, Future Damage Scenarios, Coastal Zones, Adaptation Journal: Review of Environment, Energy and Economics Year: 2014 Month: April File-URL: http://www.feem.it/getpage.aspx?id=6296 Handle: RePEc:fem:femre3:2014.04-02 Template-Type: ReDIF-Article 1.0 Author-Name: Carlo Carraro Author-WorkPlace-Name: CMCC - FEEM - ICCG Director, Vice-Chair of the Working Group 3 and Member of the Bureau of the IPCC Author-Name: Alessandro Lanza Author-WorkPlace-Name: CMCC - IPCC WG3 Lead Author Author-Name: Massimo Tavoni Author-WorkPlace-Name: CMCC - FEEM - IPCC WG3 Lead Author Title: All You Need to Know About the IPCC 5th Assessment Report. Mitigation of Climate Change Abstract: In this new video, Italian Lead Authors Carlo Carraro, Alessandro Lanza and Massimo Tavoni summarise the main issues tackled by the third volume of the IPCC Fifth Assessment Report, dedicated to the mitigation of climate change. Journal: Review of Environment, Energy and Economics Year: 2014 Month: April File-URL: http://www.feem.it/getpage.aspx?id=6312 Handle: RePEc:fem:femre3:2014.04-03 Template-Type: ReDIF-Article 1.0 Author-Name: Jaime de Melo Author-WorkPlace-Name: FERDI, Fondation pour les Études et les Recherches sur le Développement International Author-Name: Mariana Vijil Author-WorkPlace-Name: FERDI, Fondation pour les Études et les Recherches sur le Développement International Title: The Relaunching of Negotiations on Green Goods and Services: Any Breakthrough in Sight? Abstract: The Bali agreement last December has given new hopes that the WTO is not dead.The recent announcement that negotiations on the reductions of tariffs on environmental goods are to resume starting from a list of goods identified by APEC members in September 2012 gives hope that the triple win outcome of the Doha round—for trade, for development and for the environment—might materialize, at least partly. Or does it? This note argues that unless the field of negotiations is widened, the initiative will not help much. Classification-JEL: F18, Q56 Keywords: Environmental Goods, Environmental Services, Doha Round, Tariff Reductions Journal: Review of Environment, Energy and Economics Year: 2014 Month: April File-URL: http://www.feem.it/getpage.aspx?id=6328 Handle: RePEc:fem:femre3:2014.04-04 Template-Type: ReDIF-Article 1.0 Author-Name: Thomas Longden Author-WorkPlace-Name: FEEM, Fondazione Eni Enrico Mattei Title: The Impact of Salary Cap Violations in the NRL Abstract: A salary cap has been in place in one of Australia’s most popular professional sports since 1990. Since 2001 there have been multiple cases where rugby league teams were found to have notably violated the salary cap. Separate incidents were found to have occurred at the Canterbury Bulldogs, the New Zealand Warriors and the Melbourne Storm. In recent research, these salary cap breach amounts have been attributed to an improved home team win record in the case of the Melbourne Storm and the Canterbury Bulldogs. This article discusses recent work conducted by Longden and Kannard (2014) to calculate the impact of these salary cap violations. Classification-JEL: J31, C23 Keywords: Sports economics, Salary cap, Rugby league Journal: Review of Environment, Energy and Economics Year: 2014 Month: May File-URL: http://www.feem.it/getpage.aspx?id=6356 Handle: RePEc:fem:femre3:2014.05-01 Template-Type: ReDIF-Article 1.0 Author-Name: Carlo Carraro Author-WorkPlace-Name: Fondazione Eni Enrico Mattei and University of Venice Author-Name: Marianne Fay Author-WorkPlace-Name: The World Bank Author-Name: Marzio Galeotti Author-WorkPlace-Name: University of Milan and IEFE; Bocconi University Title: Greening Economics: It is Time Abstract: The concept of environmental capital is thoroughly entrenched in policy dicussions but largely missing from mainstream economic curriculums. This article argues environmental externalities, climate change, and constraints on natural resources will constantly and deeply affect humankind’s future. The teaching of economics, especially growth economics, should stop ignoring them. Classification-JEL: E00, Q5 Keywords: Environmental Capital, Growth Economics Journal: Review of Environment, Energy and Economics Year: 2014 Month: May File-URL: http://www.feem.it/getpage.aspx?id=6369 Handle: RePEc:fem:femre3:2014.05-02 Template-Type: ReDIF-Article 1.0 Author-Name: Thomas Longden Author-WorkPlace-Name: FEEM, Fondazione Eni Enrico Mattei Title: Home Team Advantage in the NRL Abstract: The National Rugby League (NRL) competition provides an interesting example for an analysis of home team advantage as many of the Sydney teams in the NRL share stadiums. Recent research has found that there is a notable difference in the probability of a home team win depending upon the stadium and opponent type. This article discusses recent work conducted by Longden and Kannard (2014) that confirms that playing at a traditional Sydney stadium does provide an advantage to the home team even when team quality has been accounted for. Classification-JEL: C23 Keywords: Sports Economics, Home Team Advantage, Rugby League Journal: Review of Environment, Energy and Economics Year: 2014 Month: May File-URL: http://www.feem.it/getpage.aspx?id=6384 Handle: RePEc:fem:femre3:2014.05-03 Template-Type: ReDIF-Article 1.0 Author-Name: Bård Harstad Author-WorkPlace-Name: University of Oslo Title: Buy Coal to Solve Free Riding Abstract: Bård Harstad received the 2013 Erik Kempe Award for his novel and insightful contribution to the study of international environmental policy in his paper “Buy Coal! A Case for Supply-Side Environmental Policy". In a short video, he explains to Re3 the logics behind his theory, and possibly why the jury chose this paper for the award. Journal: Review of Environment, Energy and Economics Year: 2014 Month: June File-URL: http://www.feem.it/getpage.aspx?id=6403 Handle: RePEc:fem:femre3:2014.06-01 Template-Type: ReDIF-Article 1.0 Author-Name: John M. Deutch Author-WorkPlace-Name: Emeritus Institute Professor at the Massachusetts Institute of Technology Title: The Global Revolution of Unconventional Oil. New Markets, New Governances, New Policies. Abstract: John M. Deutch – Emeritus Institute Professor at the MIT - addresses the consequences related to the unconventional oil revolution, focusing on US foreign policy, the driving forces leading towards a new world energy balance, the role of new players in a renewed energy scenario and the political, sociological and geostrategic dynamics. Classification-JEL: O1, O13, Q4 Keywords: Energy Sources, Unconventional Oil Journal: Review of Environment, Energy and Economics Year: 2014 Month: June File-URL: http://www.feem.it/getpage.aspx?id=6422 Handle: RePEc:fem:femre3:2014.06-02 Template-Type: ReDIF-Article 1.0 Author-Name: Jacopo Crimi Author-WorkPlace-Name: FEEM Title: Can Research Support Climate Negotiation Processes and Policy? Abstract: How can we achieve international cooperation for enforceable treaties? How should such treaties be structured? How effective would polycentric approaches be in reaching solutions? These are among the topics discussed during the workshop on Climate Change and Public Goods on June 9-10 by Valentina Bosetti, Carlo Carraro, Astrid Dannenberg, Partha Dasgupta, Ottmar Edenhoffer, Michael Finus, Philipp M. Hannam, Bard Harstad, Michael Hoel, Simon Levin , and Alessandro Tavoni. Here is a brief recap of the main lessons learned. Journal: Review of Environment, Energy and Economics Year: 2014 Month: June File-URL: http://www.feem.it/getpage.aspx?id=6443 Handle: RePEc:fem:femre3:2014.06-03 Template-Type: ReDIF-Article 1.0 Author-Name: Mattia Amadio Author-WorkPlace-Name: FEEM and CMCC Title: Water Security Issue in the Caribbean Windward Islands Abstract: Water security is inextricably linked with sustainable development, as interacting with areas like human well-being, socio-economic development, energy, and natural resources management. Consistently, it has been identified as one among the top priorities to be included in the up-coming Sustainable Development Goals (SDG). However, water security acquires particular urgency in Small Islands Developing States (SIDS), given their limited human, economic and physical resources endowment. Such challenges, recognized by the UN declaration of 2014 as the International Year of SIDS, will be the focus of a special session organized by CMCC at the Society for Risk Analysis – Europe (SRA-E) Annual Meeting, to be held in Istanbul from 16 to 18 June 2014. The paper, to be presented at the special session, focuses on the issue of present and long-term freshwater availability in the Windward Caribbean island states. These countries are highly exposed to both prolonged periods of deficient precipitation and intense storm events, while the management of the freshwater resource is far from optimal. Climate change may pose additional strains to their development due to alteration of precipitation regimes. The study identify key drivers and stressors to both natural freshwater availability and national demand and evaluate how climate change and development may affect them. Classification-JEL: Q2, Q25 Keywords: Water Security, SIDS, Caribbean Islands Journal: Review of Environment, Energy and Economics Year: 2014 Month: July File-URL: http://re3.feem.it/getpage.aspx?id=6431 Handle: RePEc:fem:femre3:2014.07-01 Template-Type: ReDIF-Article 1.0 Author-Name: Thomas Longden Author-WorkPlace-Name: FEEM, Fondazione Eni Enrico Mattei Title: Light Duty Vehicle Battery Costs Abstract: Comparing the costs of batteries can be confusing and/or problematic. This article aims to clarify some of the issues that have led to confusion when discussing both the present and the future cost of batteries. The specification of a ‘break-through price’ of batteries in terms of dollars per kilowatt-hour (kWh) will need to allow for a variety of factors. This includes the type of vehicle that is envisioned to compete with traditional combustion passenger vehicles and the battery capacity of the battery pack that matches the dollar per kilowatt-hour price. As the IEA has provided an average approximation of the ‘Internal Combustion Engine Parity Target’ for both PHEV and EDV batteries, it is difficult to compare this target to the estimates discussed within this article and within Longden (2014). Classification-JEL: O39, D24 Keywords: Batteries, Light Duty Vehicles Journal: Review of Environment, Energy and Economics Year: 2014 Month: July File-URL: http://www.feem.it/getpage.aspx?id=6509 Handle: RePEc:fem:femre3:2014.07-02 Template-Type: ReDIF-Article 1.0 Author-Name: Anatol Lieven Author-WorkPlace-Name: King's College London Title: The Ukraine Debacle Abstract: From public riots to the fall of Viktor Yanukovych’s government, from Maidan’s uproar to the escalation in the East: shaped by ages of forced relations with its most powerful neighbour, the recent Ukrainian history suddenly quickened its pace towards an uncertain evolution. Torn apart by ethnic strains and nationalism, the country dramatically became a focal point of the international agenda, the real epicentre of European, United States and Russian negotiations. Far from diplomatic meetings and foreign ministers talks, behind roadblocks and ruins, the battle between the new Ukrainian government and the pro-Russian separatists still enrages. Classification-JEL: N4 Keywords: Ukraine, Ukrainian Crisis Journal: Review of Environment, Energy and Economics Year: 2014 Month: July File-URL: http://www.feem.it/getpage.aspx?id=6525 Handle: RePEc:fem:femre3:2014.07-03 Template-Type: ReDIF-Article 1.0 Author-Name: Daniel Atzori Author-WorkPlace-Name: Fondazione Eni Enrico Mattei Title: The Birth of a Jihadist Caliphate Abstract: The jihadist group formerly known as ISIS, which already controls vast areas of Syria and Iraq, has recently proclaimed the restoration of the caliphate. The presence of a jihadist state in the Middle East represents a formidable threat to the Arab state system. Classification-JEL: F51, N45 Keywords: Oil, Energy, Political Economy, MENA, Globalization, Arab Spring, Jihad, Terrorism, Islamism, ISIS, Islamic State, Al-Qaeda, Muslim Brotherhood Journal: Review of Environment, Energy and Economics Year: 2014 Month: July File-URL: http://www.feem.it/getpage.aspx?id=6561 Handle: RePEc:fem:femre3:2014.07-04 Template-Type: ReDIF-Article 1.0 Author-Name: Mirco Tonin Author-WorkPlace-Name: University of Southampton Author-Name: Michael Vlassopoulos Author-WorkPlace-Name: University of Southampton Title: Are Government Workers really more Public-Spirited than those in the Private Sector? Abstract: There is a commonly held belief that those working in the public sector are more socially oriented than those in the private sector. In this article we report findings that indeed show how workers in the public sector are more likely to engage in socially motivated activities than their private sector counterparts. However, this is so just because the public services employ people with higher education and skills, characteristics that increase the likelihood of being socially engaged. Classification-JEL: D64, H83, J45 Keywords: Public sector, Public service motivation, Volunteering Journal: Review of Environment, Energy and Economics Year: 2014 Month: July File-URL: http://www.feem.it/getpage.aspx?id=6576 Handle: RePEc:fem:femre3:2014.07-05 Template-Type: ReDIF-Article 1.0 Author-Name: Sabrina Dekker Author-WorkPlace-Name: University College Dublin Title: Focusing Climate Change Policy on Health in Cities Abstract: Can using the social determinants of health to develop climate change policy ‘build’ resilient cities? Current climate change policy focused on resilience, while effective, can acquire more depth with a health focus. How though, is the question? The social determinants of health can act as a guide for resilience-focused policy. The SDH with their focus on the causes of the causes may assist with the strengthening of policy aimed at mitigating the impacts of climate change. The paper emerges from the findings of a content analysis and a survey of 51 cities to identify policy areas with potential for growth based on a policy matrix developed using the social determinants of health. Classification-JEL: Q5, Q59, I18 Keywords: Climate Change, Health, Cities Journal: Review of Environment, Energy and Economics Year: 2014 Month: September File-URL: http://www.feem.it/getpage.aspx?id=6626 Handle: RePEc:fem:femre3:2014.09-01 Template-Type: ReDIF-Article 1.0 Author-Name: Simone Tagliapietra Author-WorkPlace-Name: Fondazione Eni Enrico Mattei Title: After the 2014 Ukraine Crisis: What's Next for the EU-Turkey Energy Relations? Abstract: Over the last two decades energy has emerged as an increasingly important component of the overall EU-Turkey relations. In particular, the Southern Gas Corridor (SGC) and its flagship project, Nabucco, soon became the pivotal element of the EU-Turkey energy relations. After years of strong cooperation, the failure of Nabucco and the emergence of TANAP have ultimately outlined a divergence in the way the EU and Turkey perceive not only the SGC but also their energy relations. This divergence represents a serious risk for the strategic interests of both the EU and Turkey, and for this reason there is a need to rethink the EU-Turkey energy relations. This need is now particularly urgent, as the market and political environment on which Nabucco was conceptualized is rapidly changing, potentially opening up new opportunities of energy cooperation for the EU and Turkey. If in the aftermath of the 2014 Ukraine crisis the EU will seriously embark on a natural gas supply diversification path, the SGC could gain a new momentum, with the gas reserves of the Kurdistan Region of Iraq and Israel as primary target. However, after the failure of Nabucco the support of Turkey should not be taken for granted by the EU, as the country might prefer to secure its own energy supply on a bilateral basis with gas producing countries. In order to avoid the risk of a further fragmentation of the SGC, a new EU-Turkey Natural Gas Initiative -such as the one proposed in this paper- is thus urgently needed, for the benefit of both the EU and Turkey. Classification-JEL: Q40, Q42, Q4 Keywords: EU-Turkey relations, Southern Gas Corridor, Eastern Mediterranean, KRG Journal: Review of Environment, Energy and Economics Year: 2014 Month: September File-URL: http://www.feem.it/getpage.aspx?id=6692 Handle: RePEc:fem:femre3:2014.09-02 Template-Type: ReDIF-Article 1.0 Author-Name: Yuting Li Author-WorkPlace-Name: Graduate School of Chinese Academy of Social Sciences Title: The Debate of the Green Paradox Abstract: The theory of the “Green Paradox” subverts the traditional theoretical foundation of the environmental policies. The crucial question is whether the green paradox holds and how large the impact is in reality, which has provoked heated debate among economists. This article identifies and reveals the virtues and weaknesses of the green paradox theory through a comparative literature review. Both theoretical studies and empirical work are covered. It is found that the theory is at least logically sound, though it can be extended and modified in different ways. In addition, the evidence from data and empirical studies is mixed. Classification-JEL: F18, Q31, Q38, Q42, Q54, Q58 Keywords: Environmental Polices, Carbon Leakage, Green Paradox, Resource Extraction, Greenhouse Gas Mitigation Journal: Review of Environment, Energy and Economics Year: 2014 Month: September File-URL: http://www.feem.it/getpage.aspx?id=6712 Handle: RePEc:fem:femre3:2014.09-03 Template-Type: ReDIF-Article 1.0 Author-Name: Francesco Bosello Author-WorkPlace-Name: Fondazione Eni Enrico Mattei, Euro-Mediterranean Center on Climate Change and University of Milan Author-Name: Ramiro Parrado Author-WorkPlace-Name: Fondazione Eni Enrico Mattei and Euro-Mediterranean Center on Climate Change Title: Climate Change Impacts and Limited Market-driven Adaptation Abstract: This article addresses one specific criticism that can be raised against economic climate change impact assessments conducted with Computable General Equilibrium (CGE) models: that of overly optimistic assumptions about markets’ ability to react to climate change induced shocks, i.e. market-driven adaptation. These models indeed usually assume frictionless and instantaneous adjustments to a new equilibrium. We demonstrate that these frictions could increase climate change costs from 0.64% to 0.87% of Gross World Product (GWP). Classification-JEL: C68, Q54 Keywords: Climate Change Costs, Adaptation, Computable General Equilibrium Models Journal: Review of Environment, Energy and Economics Year: 2014 Month: September File-URL: http://www.feem.it/getpage.aspx?id=6722 Handle: RePEc:fem:femre3:2014.09-04 Template-Type: ReDIF-Article 1.0 Author-Name: Francisco H.G. Ferreira Author-WorkPlace-Name: World Bank Chief Economist for the Africa Region and a Research Fellow at the Institute for the Study of Labor (IZA, Bonn) Title: Growth and Poverty Reduction in Africa Abstract: Interviewed by Re3, Francisco H. G. Ferreira - World Bank Chief Economist Africa Region and Research Fellow at the Institute for the Study of Labor (IZA, Bonn) - discusses development policies in Africa, human capital empowerment and how to deal with religious and cultural conflicts and promote nation-building processes. Journal: Review of Environment, Energy and Economics Year: 2014 Month: October File-URL: http://www.feem.it/getpage.aspx?id=6748 Handle: RePEc:fem:femre3:2014.10-01 Template-Type: ReDIF-Article 1.0 Author-Name: Grammenos Mastrojeni Author-WorkPlace-Name: Ministry of Foreign Affairs, Rome, Italy Title: Climate Change Calls for Global, Comprehensive and Integrative Risk Management Abstract: An unbalance in nature, caused by mankind, could trigger an unbalance in human society that will re-impact nature and paralyze rational human response, initiating a potentially global, growing, catastrophic cycle. This article intends to contribute to the conception of a standard analysis approach or to the definition of a “standard tool” that is now acutely needed in order to harness the complexity of global warming. Classification-JEL: Q5, Q54, Q58 Keywords: Climate Change, Systemic Instability, Adaptation, Matrix of Complexity Journal: Review of Environment, Energy and Economics Year: 2014 Month: October File-URL: http://www.feem.it/getpage.aspx?id=6759 Handle: RePEc:fem:femre3:2014.10-02 Template-Type: ReDIF-Article 1.0 Author-Name: Massetti Emanuele Author-WorkPlace-Name: Fondazione Eni Enrico Mattei and School of Public Policy, Georgia Institute of Technology Author-Name: Ricci, Elena Claire Author-WorkPlace-Name: Department of Economics, Management and Quantitative Methods, University of Milan Title: Rethinking African Solar Power for Europe Abstract: Concentrated solar power generation in Northern African and Middle Eastern deserts could potentially supply up to 20% of European power demand. This column evaluates the technological, economic, and political feasibility of this idea. Although concentrated solar power is a proven technology that can work at scale, it is currently four or five times more expensive than fossil fuels. Concentrated solar power could play an important role in Europe’s energy mix after 2050, but only if geo-political challenges can be overcome. Classification-JEL: Q4, Q42, Q54 Keywords: Energy, Africa, Solar, Europe, Supergrid Journal: Review of Environment, Energy and Economics Year: 2014 Month: October File-URL: http://www.feem.it/getpage.aspx?id=6773 Handle: RePEc:fem:femre3:2014.10-03 Template-Type: ReDIF-Article 1.0 Author-Name: Thomas Stocker Author-WorkPlace-Name: University of Berne, Switzerland Title: Is it Too Late for 2°C? Abstract: In this short interview, Swiss climate scientist Thomas Stocker discusses basic but important aspects of the physics of climate, which are often misunderstood by the public at large, focusing in particular on the 2°C target for global temperature rise. Journal: Review of Environment, Energy and Economics Year: 2014 Month: October File-URL: http://www.feem.it/getpage.aspx?id=6820 Handle: RePEc:fem:femre3:2014.10-04 Template-Type: ReDIF-Article 1.0 Author-Name: Bonan Jacopo Author-WorkPlace-Name: Catholic University of the Sacred Heart and LabExpo, Giangiacomo Feltrinelli Foundation Title: Universal Access to Energy: a Reachable Target? Abstract: Jacopo Bonan, Catholic University of Milan and LabExpo, Giangiacomo Feltrinelli Foundation, comments a selection of interviews to leading experts Ujjayant Chakravorty, Shonali Pachauri, Carlo Carraro, Stefano Bologna and Lucius Mayer-Tasch, collected during the International Workshop “Energy Poverty and Energy Access: Global Challenges and Goals" held in Milan on July 10, 2014. Journal: Review of Environment, Energy and Economics Year: 2014 Month: October File-URL: http://www.feem.it/getpage.aspx?id=6878 Handle: RePEc:fem:femre3:2014.10-05 Template-Type: ReDIF-Article 1.0 Author-Name: Franklin Allen Author-WorkPlace-Name: The Wharton School of the University of Pennsylvania Title: Illiquidity and all its Friends. A Discussion by Franklin Allen Abstract: This discussion by Franklin Allen was published as an appendix to Jean Tirole's paper "Illiquidity and all its Friends" when the paper was originally published as FEEM Nota di Lavoro 78.2010, prior to its publication in the Journal of Economic Literature in 2011, where the appendix no longer appears. Links to FEEM Nota di Lavoro 78.2010 and to all the other papers published by Jean Tirole in our working papers series are provided in the Links section at the bottom of the page, including an interview published in FEEM’s journal “Equilibri” and the FEEM lecture “New Finance, New Rules” delivered by Jean Tirole in 2009. Journal: Review of Environment, Energy and Economics Year: 2014 Month: November File-URL: http://www.feem.it/getpage.aspx?id=6771 Handle: RePEc:fem:femre3:2014.11-01 Template-Type: ReDIF-Article 1.0 Author-Name: Simone Tagliapietra Author-WorkPlace-Name: Fondazione Eni Enrico Mattei Title: Building Tomorrow's Europe. The Role of an "EU Energy Union" Abstract: Energy has been at the core of the EU integration since its inception. However, following the path of a shooting star, the key role of energy gradually declined over time, to the level of being basically left out from the Treaties, at least up to Lisbon. The EU has struggled to circumnavigate this “energy-gap” of the Treaties by legislating on energy-related issues by making use of its shared competences in the areas of internal market and environment. However, this effort has resulted in a very fragmented EU energy policy, also characterized by the absence of a major element: security of energy supply. After the 2014 Ukraine crisis a new momentum has emerged in the EU about the urgent need of creating a truly European energy policy, with both the new President of the EU Council and the new EU Commission calling for the creation of a EU Energy Union. This paper argues that the EU should seize this historical opportunity to fill the main long-lasting gap of its energy policy: security of energy supply. To this end, the paper proposes a set of new actions that might be undertaken in this field, also outlying that the most feasible option to the development of a new EU Energy Union seems to be the formation -through a scheme of differentiated integration- of a smaller coalition of Member States committed to quickly advance the integration of their energy policies under the principle that only by acting together the EU will be able to meet the growing energy challenges of the future. Classification-JEL: Q40, Q42, Q48 Keywords: EU Energy Policy, EU Energy Security, EU Energy Union Journal: Review of Environment, Energy and Economics Year: 2014 Month: November File-URL: http://www.feem.it/getpage.aspx?id=6925 Handle: RePEc:fem:femre3:2014.11-02 Template-Type: ReDIF-Article 1.0 Author-Name: Alessandro Tavoni Author-WorkPlace-Name: Grantham Research Institute of the London School Economics and Fondazione Eni Enrico Mattei Title: Experimental Games and Climate Coalitions Abstract: How can games be used to solve the climae stalemate? In this short interview Alessandro Tavoni, research fellow at the Grantham Research Institute of the LSE and associate researcher at FEEM, gives practical examples on how experimental games can be integrated into more traditional lines of research on coalition formation and stability. Journal: Review of Environment, Energy and Economics Year: 2014 Month: November File-URL: http://www.feem.it/getpage.aspx?id=6943 Handle: RePEc:fem:femre3:2014.11-03 Template-Type: ReDIF-Article 1.0 Author-Name: Félix Muñoz-García Author-WorkPlace-Name: School of Economic Sciences,Washington State University Author-Name: Sherzod B. Akhundjanov Author-WorkPlace-Name: School of Economic Sciences,Washington State University Title: Firm Preferences for Environmental Regulation Abstract: This paper summarizes the findings of two papers that examine the effect of environmental regulation on the production decisions and profits of polluting and green firms. Using a game-theoretic framework, we find conditions under which the green firm favors regulation (a standard finding), but also derive conditions for the opposite –and more surprising– scenario, whereby the green firm opposes environmental regulation, while the brown firm favors it. We also show that similar preference reversals can occur towards uniform and fine-tuned regulation. Our study highlights the role that firm heterogeneity plays in determining firm preferences towards environmental regulation. Classification-JEL: L13, D62, H23, Q50 Keywords: Cost asymmetry, Cost disadvantage, Emission fees, Green firms Journal: Review of Environment, Energy and Economics Year: 2014 Month: November File-URL: http://re3.feem.it/getpage.aspx?id=6972 Handle: RePEc:fem:femre3:2014.11-04 Template-Type: ReDIF-Article 1.0 Author-Name: Manfred Hafner Author-WorkPlace-Name: Fondazione Eni Enrico Mattei Author-Name: Simone Tagliapietra Author-WorkPlace-Name: Fondazione Eni Enrico Mattei Title: New Challenges and Opportunities for European Gas Markets Abstract: FEEM "Gas Talks" are closed-door brainstorming Workshops gathering high-level international experts (from the academia, international organizations, industry) to discuss mid- to long-term challenges and opportunities for European gas markets. The third edition of the FEEM "Gas Talks" was held in Milan on 20-21 November 2014. In what follows FEEM researchers Manfred Hafner and Simone Tagliapietra comment the main highlights of the event with interviews to some of the leading energy experts who participated in the debate. Classification-JEL: Q4 Keywords: Gas Markets Journal: Review of Environment, Energy and Economics Year: 2014 Month: December File-URL: http://re3.feem.it/getpage.aspx?id=7048 Handle: RePEc:fem:femre3:2014.12-01 Template-Type: ReDIF-Article 1.0 Author-Name: Lucas Bretschger Author-WorkPlace-Name: ETH University, Zurich Author-Name: Barbara Buchner Author-WorkPlace-Name: Climate Policy Initiative Author-Name: Carlo Carraro Author-WorkPlace-Name: University of Venice and FEEM Author-Name: Phoebe Koundouri Author-WorkPlace-Name: International Centre for Research on the Environment & the Economy, Athens Author-Name: Anastasios Xepapadeas Author-WorkPlace-Name: Athens University of Economics and Business Title: FEEM and CMCC Annual Convention Abstract: Re3 is pleased to report the latest on the Annual Convention of FEEM and the Euro-Mediterranean Centre for Climate Change (CMCC). View the 2-minute video for a quick overview or listen to the interviews for a summary of the topics addressed in the keynote speeches. Journal: Review of Environment, Energy and Economics Year: 2014 Month: December File-URL: http://re3.feem.it/getpage.aspx?id=7083 Handle: RePEc:fem:femre3:2014.12-02 Template-Type: ReDIF-Article 1.0 Author-Name: Massimo Tavoni Author-WorkPlace-Name: Fondazione Eni Enrico Mattei, Centro Euromediterraneo sui Cambiamenti Climatici, Politecnico di Milano Author-Name: Elmar Kriegler Author-WorkPlace-Name: Potsdam Institute for Climate Impact Research Author-Name: Keywan Riahi Author-WorkPlace-Name: International Institute for Applied Systems Analysis Author-Name: Detlef P. van Vuuren Author-WorkPlace-Name: Netherlands Environmental Assessment Agency Title: From Lima to Paris 2015: challenges on the road to 2°C Abstract: Nature Climate Change releases today one of the most comprehensive assessments of the timing and amount of greenhouse gas emissions for each of the world's major economies, considering both currently discussed pledges and scenarios that limit future temperature rise to 2°C. Main key messages of the study led by FEEM are presented in a set of three short videos. Journal: Review of Environment, Energy and Economics Year: 2014 Month: December File-URL: http://re3.feem.it/getpage.aspx?id=7098 Handle: RePEc:fem:femre3:2014.12-03