They assume there will be an extensive effort towards climate protection, including a complete coal phase-out, the massive expansion of power generation from solar and wind, a national carbon price of 40 US dollars per ton for private households and companies, and the abolition of energy subsidies. This yields an important finding for central government: without compensatory measures, the gap between poor and wealthy regions threatens to widen significantly.'įor its scenario study, the researchers use an input-output model fed with empirical data to map the direct distributional effects of policy measures. 'We determine the scenario of an ambitious climate transition for the individual geographical units, and examine the combined effect on income distribution, employment and industrial competitiveness. 'This huge country with its 29 federal states and seven union territories already has large regional wealth disparities,' explains Jose Ordonez, who led the study as part of his doctoral thesis at MCC and is currently working at the EU Commission's Joint Research Centre in Seville. The study has now published in the journal Energy Policy. This is the subject of a study led by the Berlin-based climate research institute MCC (Mercator Research Institute on Global Commons and Climate Change). But the costs and benefits of climate protection are very unevenly distributed across regions, so policy instruments are urgently needed to compensate for this.

Gumroad after effects transitions