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Green CapitalA New Perspective on Growth$
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Christian de Perthuis and Pierre-André Jouvet

Print publication date: 2015

Print ISBN-13: 9780231171403

Published to Columbia Scholarship Online: May 2016

DOI: 10.7312/columbia/9780231171403.001.0001

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PRINTED FROM COLUMBIA SCHOLARSHIP ONLINE (www.columbia.universitypressscholarship.com). (c) Copyright University of Minnesota Press, 2021. All Rights Reserved. An individual user may print out a PDF of a single chapter of a monograph in CUPSO for personal use.date: 12 June 2021

The Inescapable Question of the Price of Energy

The Inescapable Question of the Price of Energy

Chapter:
(p.164) 15 The Inescapable Question of the Price of Energy
Source:
Green Capital
Author(s):

Christian de Perthuis

Pierre-André Jouvet

, Michael Westlake
Publisher:
Columbia University Press
DOI:10.7312/columbia/9780231171403.003.0016

To make the energy transition a success, prices must not only express the relative scarcity of different types of energy in conventional markets, but also the cost of their environmental and health hazards. For this shock to be beneficial to the economy, the rise in cost has to be absorbed by a pair of mechanisms: accelerating efficiency gains, thereby enabling the amount of primary energy consumed to be reduced, and a cumulative reduction in the cost of non-emitting sources. The winning economic equation of the transition is the one that reduces the bill for correctly priced energy through increased efficiency and the new competitiveness of non-fossil sources.

Keywords:   price of energy, rebound effect, Sleipner gas platform, biomass energy, energy powerty

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