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Norwegian

The green transition: Instrument design, employment and long-lived capital

Number3196
Project managerSnorre Kverndokk
ClientNFR via SSB
Client project no.334552
Participants
Period2023 - 2025

Project description

Main objective: Investigate environmental policy instruments for facilitating the green transition, given long-lived capital, labor market dynamics and capacity constraints.

Secondary objectives:
- How should environmental policy instruments be designed to avoid increased unemployment during the transition?
- Are there combinations of policy instruments that can obtain cost efficient emission reductions and maintain overall employment?
- How will the replacement of free emissions allowances and compensation for high electricity prices with carbon tariffs affect EITE industries?
- How does combining current support schemes with a consumption tax on emission intensive and trade exposed (EITE) goods compare to carbon tariffs?
- Which environmental policy instruments are best suited to achieve phasing out of existing emission-intensive production capacity and investment in cleaner alternatives? Are there cases where a combination of instruments is appropriate?

Publications

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