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GTAP Resource #3009

"Economic Impact of Large-Scale Deployment of Biomass Resources in the Netherlands"
by Banse, Martin, Andre Faaij, Ric Hoefnagels and Veronika Dornburg

The main aim of this paper is to provide quantitative insights in the macro-economic impacts of the large scale use of biomass based resources in the Dutch economy. This paper is based on a novel and successful combination of bottom-up energy system analysis and top-down Computable General Equilibrium (CGE) model (LEITAP) in order to quantify the impact of substituting fossil energy and fossil based chemicals by bioenergy and biobased chemicals.

Based on the bottom-up data on selected biomass to energy and material options and the scenarios, the LEITAP model was modified. This proved reasonably feasible for the biofuel options, but the level of detail of the LEITAP model structure hardly allows for incorporating the production routes for specific biomaterials. Based on bottom-up energy system production routes of chemicals, electricity and fuel from biomass have been identified which are also presented at a more aggregated level in LEITAP.

Another new key interaction between the bottom-up and top-down methods concerns the definition of scenarios and the way the modeling framework is run. “Conventional’ model runs (e.g. focusing on increased use of 1st generation biofuels) so far focused on achieving specific targets and subsequently analyzing macro-economic implications (e.g. for food and land prices). The combination of bottom-up scenarios (with a range of new biobased value chains) was in this work ‘enforced’ onto the LEITAP model.

Resource Details (Export Citation) GTAP Keywords
Category: 2009 Conference Paper
Status: Published
By/In: Presented at the 12th Annual Conference on Global Economic Analysis, Santiago, Chile
Date: 2009
Created: Banse, M. (4/14/2009)
Updated: Banse, M. (4/14/2009)
Visits: 3,348
- Domestic policy analysis
- Renewable energy
- Europe (Western)

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