Should We Ban Unconventional Oil Extraction to Reduce Global Warming?

18 Pages Posted: 24 Dec 2014

See all articles by Samuel Carrara

Samuel Carrara

CMCC - Centro Euro-Mediterraneo sui Cambiamenti Climatici

Emanuele Massetti

Georgia Institute of Technology; CESifo (Center for Economic Studies and Ifo Institute); CMCC - Euro Mediterranean Centre for Climate Change

Date Written: December 22, 2014

Abstract

The extraction and processing of unconventional oil is more energy intensive and has larger negative environmental impacts than the extraction of conventional oil. The European Union (EU) estimates that oil sands lead to 22% more emissions than conventional oil. The EU is very concerned by the potential climate and environmental impacts and has considered introducing a tax on imported unconventional oil in order to discourage its production. This study shows that a global ban on the use of unconventional oil substantially reduces global carbon dioxide emissions, but the policy is not efficient. A unilateral ban of the EU on unconventional oil has no climate benefits and it is expensive for Europe.

Keywords: Unconventional Oil, Climate Mitigation, Energy Policy, European Union

JEL Classification: Q35, Q37, Q42, Q48, Q56

Suggested Citation

Carrara, Samuel and Massetti, Emanuele, Should We Ban Unconventional Oil Extraction to Reduce Global Warming? (December 22, 2014). FEEM Working Paper No. 105.2014. Available at SSRN: https://ssrn.com/abstract=2541691 or http://dx.doi.org/10.2139/ssrn.2541691

Samuel Carrara (Contact Author)

CMCC - Centro Euro-Mediterraneo sui Cambiamenti Climatici ( email )

via Augusto Imperatore, 16
Lecce, I-73100
Italy

Emanuele Massetti

Georgia Institute of Technology ( email )

685 Cherry St.
Atlanta, GA 30332-0345
United States

CESifo (Center for Economic Studies and Ifo Institute)

Poschinger Str. 5
Munich, DE-81679
Germany

CMCC - Euro Mediterranean Centre for Climate Change

via Augusto Imperatore, 16
Lecce, I-73100
Italy

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
52
Abstract Views
468
rank
399,344
PlumX Metrics