BIOMASS ENERGY USE TO REDUCE CLIMATE-CHANGE - A GENERAL EQUILIBRIUM-ANALYSIS FOR AUSTRIA

A further increase in biomass energy supply is a crucial future option for reducing the Austrian contribution to climate change. Analysis of it has so far focused mainly on supply potentials and costs of produc tion. Increased biomass energy supply, however, is also connected to e conomy-wide effects and to feedback effects on its own demand. This pa per quantifies such effects in a general equilibrium framework of the Austrian economy for different supply scenarios. Increases in biomass energy are shown, for example, to cause substantial changes in the nec essary CO2 tax rare to reach a given emission objective level. (C) 199 8 Society for Policy Modeling. Published by Elsevier Science Inc.