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Integrating Biofuels into the DART Model: Analysing the Effects of the EU 10% Biofuel Target

49th Annual Conference, Kiel, Germany, September 30-October 2, 2009 53253, German Association of Agricultural Economists (GEWISOLA). Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V., Band 45

Biofuels and other forms of bioenergy have received increased attention in recent times: They have partly been acclaimed as an instrument to contribute to rural development, energy security and to fight global warming but have been increasingly come under attack for their potential to contribute to rising food prices. It has thus become clear that bioenergy cannot be evaluated independently of the rest of the economy and that national and international feedback effects are important. In this paper we describe how the CGE model DART is extended to include first-generation biofuel production technologies. DART can now be used to assess the efficiency of combined climate and bioenergy policies. As a first example the effects of a 10% biofuel target in the EU are analyzed.

Authors

Bettina Kretschmer
Adriana Ignaciuk

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Publication Date
JEL Classification
D58, Q48, Q54