• norsk
    • English
  • English 
    • norsk
    • English
  • Login
View Item 
  •   Home
  • Norges Handelshøyskole
  • Department of Economics
  • Discussion papers (SAM)
  • View Item
  •   Home
  • Norges Handelshøyskole
  • Department of Economics
  • Discussion papers (SAM)
  • View Item
JavaScript is disabled for your browser. Some features of this site may not work without it.

Do Fossil fuel Taxes Promote Innovation in Renewable Electricity Generation?

Lazkano, Itziar; Pham, Linh
Working paper
Thumbnail
View/Open
DP16.pdf (1.093Mb)
URI
http://hdl.handle.net/11250/2423519
Date
2016-11-29
Metadata
Show full item record
Collections
  • Discussion papers (SAM) [604]
Abstract
We evaluate the role of a fossil fuel tax and research subsidy in directing innovation

from fossil fuel toward renewable energy technologies in the electricity sector.

Using a global firm-level electricity patent database from 1978 to 2011, we find that

the impact of fossil fuel taxes on renewable energy innovation varies with the type of

fossil fuel. Specifically, a tax on coal reduces innovation in both fossil fuel and renewable

energy technologies while a tax on natural gas has no statistically significant

impact on renewable energy innovation. The reason is that easily dispatchable energy

sources like coal-fired power plants need to complement renewable energy technologies in the grid because renewables generate electricity intermittently. Our results suggest that a tax on natural gas, combined with research subsidies for renewable energy, may effectively shift innovation in the electricity sector towards renewable energy. In contrast, coal taxation or a carbon tax that increases coal prices has unintended negative consequences for renewable energy innovation.
Series
DP SAM;16/2016

Contact Us | Send Feedback

Privacy policy
DSpace software copyright © 2002-2019  DuraSpace

Service from  Unit
 

 

Browse

ArchiveCommunities & CollectionsBy Issue DateAuthorsTitlesSubjectsDocument TypesJournalsThis CollectionBy Issue DateAuthorsTitlesSubjectsDocument TypesJournals

My Account

Login

Statistics

View Usage Statistics

Contact Us | Send Feedback

Privacy policy
DSpace software copyright © 2002-2019  DuraSpace

Service from  Unit