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18

CenSES annual report 2015

RA 3 consists of three work packages:

• WP1 Electricity market design and economic incentives

• WP2 National policy: Regulation, incentives and

efficiency

• WP3 Regional economic implications of energy policies

The three work packages of RA 3 Economic Analysis,

all proceeded well in 2015. WP1 Electricity market

design and economic incentives, and INTREPED

(Intermittent Renewables, Balancing Power and Electricity

Market Design) did a joined efforts. Some activities

are also further pursued as sole CenSES activities.

InWP2, work on sectors such as transport and energy are still

proceeding. In WP3 models with Regional Dimensions, work

on urban, renewables, forestry, and transport has reached

fruition, and new activities are initiated.

A major undertaking for NHH/SNF as a CenSES partner and

for the RA 3 team, is the international conference of the

International Association of Energy Economics, from June

19th to the 22nd 2016, consisting of both workshops and

summer schools.

RA 3 Economic Analysis

Research in 2015

Postdoc Johannes Mauritzen’s position was completed at

the end of 2015. Mauritzen is a true product of CenSES and

ENE at NHH, first as a PhD, then as a postdoc, and he is now

established as a reputed and well-published researcher. He

writes op-eds in newspapers and publishes in international

refereed journals on topics such as energy, climate change

and policy.

Victoria Gribovskaya, Sahar Babri and Tunc Durmaz also

finished their PhDs in 2015. Gribovskaya and Babri have

both published on transport and logistics, and Durmaz has

written papers about energy technology and change on the

economy wide level, on energy storage and intermittency,

and on environmental policy.

Among ongoing PhDs are Shiyu Yan, who is working on

policy instruments and changes of the Norwegian vehicle

stock. Lisa Assmann works on maritime shipping and

emissions, Evangelos Kyritsis works on energy markets and

Yuanming Ni on forestry and natural resources. She had also

a paper published in 2015 about global carbon storage in

forestry.

The domination of road transport in different country’s energy use

One highly motivating finding, based on IEA data,

is that domestic transport represents as much as

a quarter of countries’ energy use (see table 1).

Road transport dominates in the domestic transport’s

share in different country’s energy use. Countries with a

high percentage of the population living in poverty and/or

countries with coastlines, also use more energy because of it.

Likewise was the situation if the population lived in more

wealthy conditions; the energy use for aviation rose.

Countries whowere small, poor and/or agricultural had lower

energy use. Transnational transport would add a couple of

percentage points for aviation and maritime globally, where

aviation was important for passenger movements, maritime

transport important for goods (especially bulk commodities

such as oil, coal, ore, grains, and more valuable cargo in

container vessels).

Eskeland and Lindstads findings emphasize that in the

broader picture of transport and environment, it is not

only alternative technologies, such as fuels and filters

that matter: it also helps when goods and passengers

are transported in larger ‘vehicles’, such as buses, trucks,

vessels, trains and planes. Higher capacity utilization

(fuller trucks, buses, etc), and slower speeds in more

slender hulls – especially at sea, also contributes.

These broader aspects of environmentally friendly responses

– broader than brought about by emission standards, for

instance – lend support to the role of policy instruments

such as fuel taxes, vehicle taxes, differentiated toll rings. For

co2 emission reductions (see table 2 ) it will be important

to bring transport from air to surface, from road to rail and

from rail to sea. In maritime shipping, where much reliance

presently is on standards for new vessels, one risk to do little

with the size distribution, little to slow down transport, and

in addition one risks to slow down vessel renovation and

modernization. Low emission technologies and initiatives

which are reasonable in costs and meet market needs can

be more important to reduce emissions than more radical

changes, since environmental contributions to a great extent

will depend on commercial success.