Energy Economics
Mostafa Gholami; Zeinolabedin Sadeghi; Seyyed Abdul Majid Jalaee Esfandabadi; Mehdi Nejati
Abstract
Iran relies on fossil fuels for its energy supply, which has led to economic and environmental challenges. In recent years, imbalances in energy production and supply have caused significant damage to various economic sectors. Therefore, paying attention to the composition of the portfolio of energy ...
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Iran relies on fossil fuels for its energy supply, which has led to economic and environmental challenges. In recent years, imbalances in energy production and supply have caused significant damage to various economic sectors. Therefore, paying attention to the composition of the portfolio of energy and the impact of the energy transformation process in this country is very important. Accordingly, this research aims to examine the economic and environmental effects of energy transition in Iran with its energy trading partners. To this end, three scenarios for changing the composition of energy portfolios in Iran's energy transition process were analyzed using a computable multi-regional general equilibrium model. The results of this study indicate that increasing the share of electricity generated from renewable energy sources while keeping non-renewable electricity production constant has positive economic effects and reduces carbon emissions. Also, applying the scenario of increasing renewable energy while reducing energy produced from fossil fuels showed that welfare and GDP decreased by 3.17 and 2.37 percent, respectively, and also that carbon emissions decreased by 10.89 percent in this scenario, which was a greater decrease than in previous scenarios. Therefore, the reduction in fossil fuel energy production should occur at a gentler rate compared to the increase in renewable energy production.
Energy Economics
Mina Javadinia; seyyed Abdol Majid Jalaee Esfand Abadi; Mehdi Nejati
Abstract
Today, the energy market in the world is facing an important position, and on the other hand, the importance of gas as a clean fuel is significant. According to the approach and structure of the energy market, the main axis of this research is based on the game theory approach. On the other hand, the ...
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Today, the energy market in the world is facing an important position, and on the other hand, the importance of gas as a clean fuel is significant. According to the approach and structure of the energy market, the main axis of this research is based on the game theory approach. On the other hand, the interests of Iran and Qatar will give rise to a conflict over price between the two countries. Therefore, in the present study the dynamic computable general equilibrium model and the 2014 social accounting matrix were used to investigate the impact of gas price shocks on the gas exports of these two countries. As Iran and Qatar are known as main competitors in the natural gas sector of world energy market, it is necessary to specify a win-win pricing strategy for both countries. Taking this into account, in the present study a model that incorporates both the dynamic computable general equilibrium and game theory is used for investigation purposes. The results indicate that, 0.5% price increase would be the best strategy from among the wide range of gas price scenarios presented for 2022-2024, because a 0.5% increase in gas prices in general would further increase the exports of Iran and Qatar as two competitors. Thus, based on the equilibrium forms, stepwise price rise over a specific time interval can help these two countries maximize their interests.
