Studying the environmental pollution of industries in Iran using an input-output approach (Special Ccase: CO2)
Subject Areas : environmental management
Taghi Torabi
1
(
Faculty of Economics and Management, Science and Research Branch, Islamic Azad University
)
Mohsen Varesi
2
(
Faculty of Economics and Management, Science and Research Campus ,Azad University of Tehran
)
Keywords: Input-output analysis, carbon dioxide intensity, direct and indirect energy req, manufacturing industries,
Abstract :
Current patterns of production and energy consumption depend heavily on combustion of fossil fuels. All the services and commodities produced in an economy are related -- directly or indirectly -- to energy consumption and therefore to the emission of air pollutants such as carbon dioxide (the main cause of greenhouse effect and climatic changes). Generally speaking, the amount of CO2 emission depends on such factors as CO2 intensity, energy intensity, interactions between and among economy sectors, production-technology nexus, and the structure and level of final demand for the commodities of different sectors. The aim of this article is to identify the interactions between productive activities of the country’s industries in a given period of time (year 2001), intensity of energy consumption by these activities, and the resulting environmental impacts (specifically CO2 emissions). To this end, the input-output approach has been used to formulate a model for the calculation of the energy vector and CO2 intensity of industries so that one can rank industries by their level of pollution. The findings of the present article can be used for policy making regarding energy conservation, pollution control, and choice of appropriate production technique(s) for industries, considering environmental impacts. Furthermore, suitable prices could be set to control the final demand for the products of more pollutant sectors and thereby control air pollution with CO2.