Integrated cost-effectiveness analysis of greenhouse gas emission abatement

The case of Finland

Antti Lehtilä, Sami Tuhkanen

Research output: Book/ReportReportProfessional

7 Citations (Scopus)

Abstract

In Finland greenhouse gas emissions are expected to increase during the next decades due to economic growth, particularly in the energy intensive industrial sectors. The role of these industries is very central in the national economy. The emission control according to the Kyoto Protocol will therefore be quite difficult and costly. The study analyses the cost-effectiveness of different technical options for reducing the emissions of carbon dioxide, methane, and nitrous oxide in Finland. The analysis is performed with the help of a comprehensive energy system model for Finland, which has been extended to cover all major sources of methane and nitrous oxide emissions in the energy sector, industry, waste management and agriculture. The focus being on technical options, no consi-deration is given to possible policy measures, emission trading or joint implementation in the study. Under the boundary conditions given for the development of the Finnish energy economy, cost-effective technical measures in the energy system include increases in the use of wood biomass, natural gas and wind energy, increases in the contribution of CHP to the power supply, and intensified energy conservation in all end use sectors. Additional cost-effective measures are landfill gas recovery, utilisation of the combustible fraction of waste and catalytic conversion of N2O in nitric acid production. With baseline assumptions, the direct annual costs of emission abatement are calculated to be about 2000 MFIM (330 MÎ) in 2010. The marginal costs are estimated to be about 230 FIM (40 Î) per tonne of CO2-equivalent in 2010. The cost curve derived from the analysis could be used in further analyses concerning emissions trading.
Original languageEnglish
Place of PublicationEspoo
PublisherVTT Technical Research Centre of Finland
Number of pages160
ISBN (Electronic)951-38-5358-6
ISBN (Print)951-38-5357-8
Publication statusPublished - 1999
MoE publication typeD4 Published development or research report or study

Publication series

NameVTT Publications
PublisherVTT
No.374
ISSN (Print)1235-0621
ISSN (Electronic)1455-0849

Fingerprint

cost analysis
greenhouse gas
cost
energy
emissions trading
nitrous oxide
methane
joint implementation
industry
national economy
Kyoto Protocol
emission control
energy conservation
nitric acid
waste management
economic growth
natural gas
boundary condition
carbon dioxide
agriculture

Keywords

  • greenhouse effect
  • emissions
  • abatement
  • carbon dioxide
  • methane
  • nitrogen oxide
  • environments
  • environmental effects

Cite this

Lehtilä, A., & Tuhkanen, S. (1999). Integrated cost-effectiveness analysis of greenhouse gas emission abatement: The case of Finland. Espoo: VTT Technical Research Centre of Finland. VTT Publications, No. 374
Lehtilä, Antti ; Tuhkanen, Sami. / Integrated cost-effectiveness analysis of greenhouse gas emission abatement : The case of Finland. Espoo : VTT Technical Research Centre of Finland, 1999. 160 p. (VTT Publications; No. 374).
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Lehtilä, A & Tuhkanen, S 1999, Integrated cost-effectiveness analysis of greenhouse gas emission abatement: The case of Finland. VTT Publications, no. 374, VTT Technical Research Centre of Finland, Espoo.

Integrated cost-effectiveness analysis of greenhouse gas emission abatement : The case of Finland. / Lehtilä, Antti; Tuhkanen, Sami.

Espoo : VTT Technical Research Centre of Finland, 1999. 160 p. (VTT Publications; No. 374).

Research output: Book/ReportReportProfessional

TY - BOOK

T1 - Integrated cost-effectiveness analysis of greenhouse gas emission abatement

T2 - The case of Finland

AU - Lehtilä, Antti

AU - Tuhkanen, Sami

PY - 1999

Y1 - 1999

N2 - In Finland greenhouse gas emissions are expected to increase during the next decades due to economic growth, particularly in the energy intensive industrial sectors. The role of these industries is very central in the national economy. The emission control according to the Kyoto Protocol will therefore be quite difficult and costly. The study analyses the cost-effectiveness of different technical options for reducing the emissions of carbon dioxide, methane, and nitrous oxide in Finland. The analysis is performed with the help of a comprehensive energy system model for Finland, which has been extended to cover all major sources of methane and nitrous oxide emissions in the energy sector, industry, waste management and agriculture. The focus being on technical options, no consi-deration is given to possible policy measures, emission trading or joint implementation in the study. Under the boundary conditions given for the development of the Finnish energy economy, cost-effective technical measures in the energy system include increases in the use of wood biomass, natural gas and wind energy, increases in the contribution of CHP to the power supply, and intensified energy conservation in all end use sectors. Additional cost-effective measures are landfill gas recovery, utilisation of the combustible fraction of waste and catalytic conversion of N2O in nitric acid production. With baseline assumptions, the direct annual costs of emission abatement are calculated to be about 2000 MFIM (330 MÎ) in 2010. The marginal costs are estimated to be about 230 FIM (40 Î) per tonne of CO2-equivalent in 2010. The cost curve derived from the analysis could be used in further analyses concerning emissions trading.

AB - In Finland greenhouse gas emissions are expected to increase during the next decades due to economic growth, particularly in the energy intensive industrial sectors. The role of these industries is very central in the national economy. The emission control according to the Kyoto Protocol will therefore be quite difficult and costly. The study analyses the cost-effectiveness of different technical options for reducing the emissions of carbon dioxide, methane, and nitrous oxide in Finland. The analysis is performed with the help of a comprehensive energy system model for Finland, which has been extended to cover all major sources of methane and nitrous oxide emissions in the energy sector, industry, waste management and agriculture. The focus being on technical options, no consi-deration is given to possible policy measures, emission trading or joint implementation in the study. Under the boundary conditions given for the development of the Finnish energy economy, cost-effective technical measures in the energy system include increases in the use of wood biomass, natural gas and wind energy, increases in the contribution of CHP to the power supply, and intensified energy conservation in all end use sectors. Additional cost-effective measures are landfill gas recovery, utilisation of the combustible fraction of waste and catalytic conversion of N2O in nitric acid production. With baseline assumptions, the direct annual costs of emission abatement are calculated to be about 2000 MFIM (330 MÎ) in 2010. The marginal costs are estimated to be about 230 FIM (40 Î) per tonne of CO2-equivalent in 2010. The cost curve derived from the analysis could be used in further analyses concerning emissions trading.

KW - greenhouse effect

KW - emissions

KW - abatement

KW - carbon dioxide

KW - methane

KW - nitrogen oxide

KW - environments

KW - environmental effects

M3 - Report

SN - 951-38-5357-8

T3 - VTT Publications

BT - Integrated cost-effectiveness analysis of greenhouse gas emission abatement

PB - VTT Technical Research Centre of Finland

CY - Espoo

ER -

Lehtilä A, Tuhkanen S. Integrated cost-effectiveness analysis of greenhouse gas emission abatement: The case of Finland. Espoo: VTT Technical Research Centre of Finland, 1999. 160 p. (VTT Publications; No. 374).