Cao, JingHo, MunTimilsina, Govinda R.2016-07-072016-07-072016-06https://hdl.handle.net/10986/24652In contributing to global climate change mitigation efforts as agreed in Paris in 2015, China has set a target of reducing the carbon dioxide intensity of gross domestic product by 60-65 percent in 2030 compared with 2005 levels. Using a dynamic computable general equilibrium model of China, this study analyzes the economic and greenhouse gas impacts of meeting those targets through carbon pricing. The study finds that the trajectory of carbon prices to achieve the target depends on several factors, including how the carbon price changes over time and how carbon revenue is recycled to the economy. The study finds that carbon pricing that starts at a lower rate and gradually rises until it achieves the intensity target would be more efficient than a carbon price that remains constant over time. Using carbon revenue to cut existing distortionary taxes reduces the impact on the growth of gross domestic product relative to lump-sum redistribution. Recycling carbon revenue through subsidies to renewables and other low-carbon energy sources also can meet the targets, but the impact on the growth of gross domestic product is larger than with the other policies considered.en-USCC BY 3.0 IGOKILOWATT-HOURSPOWER PLANTSSULPHUR DIOXIDERENEWABLE RESOURCESPRIMARY ELECTRICITYREFINED PRODUCTSRENEWABLE PORTFOLIO STANDARDFOSSIL FUELSCARBON DIOXIDEAIR QUALITYWIND RESOURCEELECTRICITY GENERATION TECHNOLOGIESNITROGEN OXIDESGENERATIONNUCLEAR PLANTSGASOLINEPRIMARY SOURCES OF ENERGYEMISSION REDUCTIONPRICERAW COALWIND TURBINECLEANERGREENHOUSE GASCLEAN AIRREFINERY GASOIL PRICESPETROLEUMCOAL USEPOWER INDUSTRYAIR POLLUTIONOILHIGHER ENERGY PRICESENERGY SOURCESREFINED PETROLEUM PRODUCTSFUEL USEDOMESTIC SUPPLYPOWER GENERATORSTHERMAL OUTPUTCONSUMPTION OF COALRENEWABLE ELECTRICITYFUELSFUEL COSTSPOWER DISTRIBUTIONCARBON EMISSIONSGASIFICATIONCOAL TECHNOLOGIESENERGY REVIEWTURBINEEMISSIONPEAK LOADCOAL MININGENERGY INPUTBALANCEELECTRIC POWERCARBON TRADINGELECTRICITYCEMENTWIND POWERHYDROPOWERELECTRICITY GENERATIONFOSSIL FUELEMISSION FACTORSFUEL PRICESPARTICULATEVALUE OF ENERGYENERGY USEGROSS OUTPUTCONVENTIONAL COALTRANSMISSION LOSSESPOWER GENERATION TECHNOLOGIESSOLAR POWERWIND FARMENERGY OUTLOOKENERGY DEMANDTONS OF CARBONHEAT OUTPUTNITROGENCARBON INTENSITYFOSSIL FUEL PRICESELECTRICITY PRICECOALCLEAN WATERFUELCRUDE OILCONSUMPTION OF FUELPRICES OF ENERGYCOAL GASCOAL ENERGYSULFUR DIOXIDERENEWABLE SOURCESSULFATESWIND TURBINESPETROLEUM PRODUCTSRENEWABLE POWERELECTRICITY PRODUCTIONDIESELKEROSENEIMPROVEMENTS IN ENERGY EFFICIENCYHEAT GENERATIONCOAL UNITSFUEL COSTAPPROACHELECTRICAL POWEREMPLOYMENTPRIMARY SOURCESOIL PRICERAW GASCEMENT PRODUCTIONSUPPLY CURVEPRICE OF ELECTRICITYGREENHOUSE GAS EMISSIONSBUILDING MATERIALSVEHICLESQUANTITY OF ELECTRICITYCLEAN ENERGYWINDEMISSIONSDEMAND FOR GASOLINELIQUID FUELSSUPPLY CURVESRENEWABLE PORTFOLIO STANDARDSGASNUCLEAR GENERATIONELECTRIC POWER INDUSTRYELECTRICITY CONSUMPTIONCOAL OILELECTRIC UTILITIESBIOMASSGENERATION CAPACITYPOWER GENERATIONCARBON CAPTUREPOWER SECTOROPTIONSWATERCARBON TAXESPETROLEUM REFININGPOLLUTIONNUCLEAR CAPACITYTAX REVENUESGROSS DOMESTIC PRODUCTSULFURQUANTITY OF FUELPARTICULATE MATTERENERGY CONSUMPTIONCOAL PLANTTAX RATEHEATCLIMATE CHANGEELECTRICITY DEMANDWORLD CONSUMPTIONHYDRO POWERUTILITIESPOWERCOAL GENERATIONPOLLUTANTSPRIMARY ENERGY PRODUCTIONCLIMATE CHANGE MITIGATIONAMMONIAHOT WATERDEMAND CURVECARBON ENERGYCONSUMPTION OF ENERGYNUCLEAR ENERGYGENERATING CAPACITYENERGY PRICESENERGY PRODUCTIONPOWER PRODUCTIONPRIMARY ENERGYTURBINESTAX REVENUEENERGY EFFICIENCYELECTRICITY PRICESCRUDE OIL PRICENATURAL GASCOMBUSTIONGENERATION OF ELECTRICITYINVESTMENTCOAL CONSUMPTIONNUCLEAR POWERTARIFFFUEL OILWIND SITESAVAILABILITYONSHORE WINDINVESTMENTSPRICE OF COALRENEWABLE ENERGYGASESOIL USEFOSSILCOAL PRICEPRICESFOSSIL ENERGYENERGYWorking PaperWorld Bank10.1596/1813-9450-7735