Geoengineering prognoses are often based on data from a limited number of investigations of soil and rock mass. There is generally a desire to reduce the uncertainty in the prognoses while minimising the investigation costs. Value of Information Analysis (VOIA) is a support for decisions regarding investigation strategies and the aim of this paper is to present methodology for VOIA that takes into account four decision alternatives where the input data could be provided by experts. The methodology will be applied in a case study where the value of information related to an investigation borehole will be calculated. The results indicate that the value of information of the borehole is low compared with the realisation costs of the investigation. It was found that models for VOIA in underground construction projects are complex but that the analysis can be simplified with extensive use of expert knowledge and calculations of the value of perfect information as a benchmark for investigation strategies. 相似文献
Nearly every carbon price regulates the production of carbon emissions, typically at midstream points of compliance such as power plants, consistent with typical advice from the literature. Since the early 2010s however, policymakers in Australia, California, China, Japan and Korea have implemented carbon prices that regulate the consumption of carbon emissions, where points of compliance are further downstream, such as distributors or final consumers. This article identifies the pivot towards placing the point of compliance for carbon prices further downstream as an emerging international trend, describes the designs of different prices on carbon consumption around the world, and explains the various motivations of the policymakers implementing them. Findings reveal that policymakers tend to layer prices on carbon consumption on top of prices on carbon production in an effort to improve economic outcomes by addressing incomplete pass-through of the carbon price from producer to consumer, thereby facilitating more cost-effective abatement. Policymakers also use prices on carbon consumption to reduce emissions leakage or because large producers of carbon are not within their jurisdiction. The prevalence of prices on carbon consumption will likely increase as evidenced by proposals in China and Europe.
Key policy insights
The recent surge in the number of jurisdictions implementing prices on carbon consumption represents an emerging international trend.
Policymakers use prices on carbon consumption in an effort to improve economic outcomes and capture environmental benefits.
While this article offers insights that detail initial challenges and successes, whether these prices on carbon consumption actually achieve their intended goals is an academically rich topic that requires further research on individual policies.
Calculating the cost effectiveness of projects and policies with respect to reducing carbon emissions provides a simple way for local government agencies to consider the climate impacts of their actions. Yet, defining a metric for cost-effectiveness in relation to climate change is not straightforward for several reasons. In this paper, we focus primarily on dynamics, reflecting the time value of money and how the benefits of reducing carbon emissions may change over time. We define a cost-effectiveness metric called Levelized Cost of Carbon (LCC) that carefully accounts for these dynamics. We also investigate the theoretical and practical implications and limitations of using a cost-effectiveness metric as an approach to rank projects. We apply our metric to a set of transportation projects to illustrate the insights that can be gained by such a process.
Key policy insights:
Levelized Cost of Carbon (LCC) provides a simple way for local governments to consider climate change mitigation in decision making.
LCC is a cost-effectiveness metric that carefully accounts for the time value of money and possible changes in the value of reducing emissions through time, thus helping local governments to make better decisions.
LCC can be used to rank projects, with some caveats, even in the absence of a specific value for the benefits of reducing GHG emissions, thus providing flexibility in the face of uncertainty and political constraints.
Numerous hydropower facilities are under construction or planned in tropical and subtropical rivers worldwide. While dams are typically designed considering historic river discharge regimes, climate change is likely to induce large-scale alterations in river hydrology. Here we analyze how future climate change will affect river hydrology, electricity generation, and economic viability of > 350 potential hydropower dams across the Amazon, Earth’s largest river basin and a global hotspot for future hydropower development. Midcentury projections for the RCP 4.5 and 8.5 climate change scenarios show basin-wide reductions of river discharge (means, 13 and 16%, respectively) and hydropower generation (19 and 27%). Declines are sharper for dams in Brazil, which harbors 60% of the proposed projects. Climate change will cause more frequent low-discharge interruption of hydropower generation and less frequent full-capacity operation. Consequently, the minimum electricity sale price for projects to break even more than doubles at many proposed dams, rendering much of future Amazon hydropower less competitive than increasingly lower cost renewable sources such as wind and solar. Climate-smart power systems will be fundamental to support environmentally and financially sustainable energy development in hydropower-dependent regions. 相似文献