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Economics of biofuels: an overview
Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). SLU.
Umeå University, Faculty of Social Sciences, Center for Environmental and Resource Economics (CERE). SLU.
2013 (English)In: Encyclopedia of energy, natural resources and environmental economics: Volume 1 / [ed] Jason F Shogren, Elsevier, 2013, p. 184-187Chapter in book (Refereed)
Abstract [en]

Biofuels are regarded as energy sources with the potential to solve a series of problems related to the climate and sustainability. Expectations are that pursuing policies supporting biofuels will be beneficial for welfare and sustainability in societies. It is convenient to divide the effects of such policies into four categories: Climate effects, other environmental effects, energy security effects, and net economic effects. Reviewing the literature to date reveals that the effects of converting from fossil fuels to biofuels do not necessarily have positive net welfare effects, and the argument to substitute biofuels for fossil fuels is not as obvious as it initially appears to be. Short-run stringent climate policy objectives are proposed to counteract global warming, and increasing the use of biofuels is promoted as an adequate strategy. One important conclusion drawn from recent studies is that biofuels are not entirely carbon neutral, as is commonly assumed. Therefore, the use of biofuels as an instrument in climate policy must be carefully scrutinized before set into play on a global scale.

Place, publisher, year, edition, pages
Elsevier, 2013. p. 184-187
National Category
Economics
Identifiers
URN: urn:nbn:se:umu:diva-101963DOI: 10.1016/B978-0-12-375067-9.00096-6ISBN: 978-0-12-375067-9 (print)ISBN: 978-0-08-096452-2 (print)OAI: oai:DiVA.org:umu-101963DiVA, id: diva2:805939
Available from: 2015-04-17 Created: 2015-04-17 Last updated: 2018-02-01Bibliographically approved

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CiteExportLink to record
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Citation style
  • apa
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  • nn-NB
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  • Other locale
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Output format
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  • asciidoc
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