@article{LilliestamPattBersalli2020, author = {Lilliestam, Johan and Patt, Anthony and Bersalli, German}, title = {The effect of carbon pricing on technological change for full energy decarbonization}, series = {Wiley interdisciplinary reviews : Climate change}, volume = {12}, journal = {Wiley interdisciplinary reviews : Climate change}, number = {1}, publisher = {Wiley}, address = {Hoboken}, issn = {1757-7780}, doi = {10.1002/wcc.681}, pages = {21}, year = {2020}, abstract = {In order to achieve the temperature goals of the Paris Agreement, the world must reach net-zero carbon emissions around mid-century, which calls for an entirely new energy system. Carbon pricing, in the shape of taxes or emissions trading schemes, is often seen as the main, or only, necessary climate policy instrument, based on theoretical expectations that this would promote innovation and diffusion of the new technologies necessary for full decarbonization. Here, we review the empirical knowledge available in academic ex-post analyses of the effectiveness of existing, comparatively high-price carbon pricing schemes in the European Union, New Zealand, British Columbia, and the Nordic countries. Some articles find short-term operational effects, especially fuel switching in existing assets, but no article finds mentionable effects on technological change. Critically, all articles examining the effects on zero-carbon investment found that existing carbon pricing scheme have had no effect at all. We conclude that the effectiveness of carbon pricing in stimulating innovation and zero-carbon investment remains a theoretical argument. So far, there is no empirical evidence of its effectiveness in promoting the technological change necessary for full decarbonization. This article is categorized under: Climate Economics > Economics of Mitigation}, language = {en} } @article{LilliestamPattBersalli2022, author = {Lilliestam, Johan and Patt, Anthony and Bersalli, Germ{\´a}n}, title = {On the quality of emission reductions}, series = {Environmental and Resource Economics}, volume = {83}, journal = {Environmental and Resource Economics}, number = {3}, publisher = {Springer}, address = {Dordrecht}, issn = {0924-6460}, doi = {10.1007/s10640-022-00708-8}, pages = {733 -- 758}, year = {2022}, abstract = {To meet the Paris Agreement targets, carbon emissions from the energy system must be eliminated by mid-century, implying vast investment and systemic change challenges ahead. In an article in WIREs Climate Change, we reviewed the empirical evidence for effects of carbon pricing systems on technological change towards full decarbonisation, finding weak or no effects. In response, van den Bergh and Savin (2021) criticised our review in an article in this journal, claiming that it is "unfair", incomplete and flawed in various ways. Here, we respond to this critique by elaborating on the conceptual roots of our argumentation based on the importance of short-term emission reductions and longer-term technological change, and by expanding the review. This verifies our original findings: existing carbon pricing schemes have sometimes reduced emissions, mainly through switching to lower-carbon fossil fuels and efficiency increases, and have triggered weak innovation increases. There is no evidence that carbon pricing systems have triggered zero-carbon investments, and scarce but consistent evidence that they have not. Our findings highlight the importance of adapting and improving climate policy assessment metrics beyond short-term emissions by also assessing the quality of emission reductions and the progress of underlying technological change.}, language = {en} } @article{SchaeppiRutzDaehleretal.2021, author = {Sch{\"a}ppi, Remo and Rutz, David and D{\"a}hler, Fabian and Muroyama, Alexander and Haueter, Philipp and Lilliestam, Johan and Patt, Anthony and Furler, Philipp and Steinfeld, Aldo}, title = {Drop-in fuels from sunlight and air}, series = {Nature : the international weekly journal of science}, volume = {601}, journal = {Nature : the international weekly journal of science}, number = {7891}, publisher = {Macmillan Publishers Limited, part of Springer Nature}, address = {Berlin}, issn = {0028-0836}, doi = {10.1038/s41586-021-04174-y}, pages = {63 -- 80}, year = {2021}, abstract = {Aviation and shipping currently contribute approximately 8\% of total anthropogenic CO2 emissions, with growth in tourism and global trade projected to increase this contribution further(1-3). Carbon-neutral transportation is feasible with electric motors powered by rechargeable batteries, but is challenging, if not impossible, for long-haul commercial travel, particularly airtravel(4). A promising solution are drop-in fuels (synthetic alternatives for petroleum-derived liquid hydrocarbon fuels such as kerosene, gasoline or diesel) made from H2O and CO2 by solar-driven processes(5-7).Among the many possible approaches, the thermochemical path using concentrated solar radiation as the source of high-temperature process heat offers potentially high production rates and efficiencies(8), and can deliver truly carbon-neutral fuels if the required CO2 is obtained directly from atmospheric air(9) . If H2O is also extracted from air(10), feedstock sourcing and fuel production can be colocated in desert regions with high solar irradiation and limited accessto water resources. While individual steps of such a scheme have been implemented, here we demonstrate the operation of the entire thermochemical solar fuel production chain, from H2O and CO2 captured directly from ambient air to the synthesis of drop-in transportation fuels (for example, methanol and kerosene), with a modular 5 kW(thermal) pilot-scale solar system operated under field conditions. We further identify the research and development efforts and discuss the economic viability and policies required to bring these solar fuels to market.}, language = {en} }