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Content archived on 2024-04-30

Climate technology strategy within competitive energy markets : towards new and sustainable growth



The main objective of the project is to prepare a study and publications on global analysis for energy RTD strategy. The project addresses the general issues of the prospects and the optimal policy mix that could ensure sustainable economic growth, in particular the reduction of CO2 emissions, and technological development in the energy sector.

The project will also attempt to estimate the likely potential contribution of energy technologies under different economic and energy system conditions and under different market structures, considering in particular the internal energy market of the EU. Conclusions will be drawn about the robustness of technology strategy priorities and the market forces that may facilitate any accelerated penetration of new technologies.

Technical approach

The project will integrate the analysis in terms of complete economy, energy, environment projections for the EU and the World regions. It will combine engineering-economic analysis of the energy system with economic equilibrium evaluations.

All projections and assessment activities will be realized by using the computable general equilibrium model GEM-E3, the partial equilibrium model of the energy sector PRIMES, the World energy model POLES and the technico-economic model for new technology prospects SAFIRE. Complementing runs will be provided also by the models WARM, MEGAPESTE and HERMES.

Main issues to be examined within the project include: EU economic issues (general tax reform, internalisation of externalities, endogenous growth,...) EU energy issues (energy efficiency, decentralisation of energy systems, new fuel cycles and renewables,...) and World energy issues (energy resources, oil and gas rents, world allocation of investments,...).
The project will select the technologies that are most important and highly feasible for the climate change strategy. Among others, the following will be considered: clean coal technologies (IGCC for coal, waste or biomass,...) and new thermodynamic cycles, renewable energy technologies (wind, photovoltaics, solar thermal, hydro, energy crops, liquid bio-fuels,...) and new decentralised technologies (co-generation using natural gas, fuel cells for cars and stationary applications, electric cars,...).
Expected achievements and exploitation

The project plans to publish a multi-volume book ("Clima-Tech in Competitive Energy Markets") on the new economic conditions that integrate climate policy and technology strategy and a special publication on technology characterisation and prioritisation for the climate change problem. It is expected to serve as background material to the preparation of European Commission's policy and R&D Framework Programme.

Call for proposal

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EU contribution
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Participants (15)