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Commit 56a3741d authored by Ingram Jaccard's avatar Ingram Jaccard
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Estimates of energy and carbon footprint inequality are increasingly being used to assign responsibility for climate change. At a global, regional, and within-country level, energy use and carbon emissions are often highly unequal [@piketty_carbon_2015 @kartha_carbon_2020 @gore_extreme_2015 @hubacek_global_2017-1 @ivanova_unequal_2020 @wiedenhofer_unequal_2017 @golley_income_2012 @steenolsen_carbon_2016 @weber_quantifying_2008 @hardadi_implications_2020 @oswald_large_2020]. The proposed solution is often a call to reduce the carbon or energy inequality by reducing over-consumption, especially by the richest at the top of the economic distribution, which would then also reduce the energy and carbon footprints, everything else held equal. Complicating this picture, however, is the fact that energy and carbon intensities of consumption usually differ between economic groups. This is due to different consumption baskets and different access to technology. That lower-income groups tend to have higher energy and carbon intensities is an important finding from the environmental Kuznet's curve literature [@berthe_mechanisms_2015 @scruggs_political_1998]. This finding has not yet been well integrated with the current carbon and energy footprint inequality literature, that focuses more on assigning responsibility based on aggregate energy and carbon footprint inequality.
In this study, we have found that, for Europe as a whole, lower-economic groups have higher energy and carbon intensities of consumption (although this is not necessarily true within each European country) [@sommer_carbon_2017 @kerkhof_determinants_200]. These higher intensities come almost entirely from domestic electricity production and heating/cooling for shelter, in a handful of Central and Eastern European countries. This is of course already an important focus of European climate policy, but reducing these intensities should be a major priority for investment fund allocation going forward, especially within a framework such as the EU's European Green Deal [@bianco_understanding_2019]. Efforts to break consumer lock-in to these high intensities must be occurring alongside any policies that seek to continue reducing intensities and aggregate consumption higher up the distribution. Bringing intensities of consumption for all economic groups in line with those of higher-economic groups in Europe with access to the cleanest and most efficient available technologies, would substantially reduce the European household energy and carbon footprints, everything else held equal. The unequal intensity structure hinders clear conclusions on footprint inequality. We have shown that in an important sector such as shelter, lower-economic groups have almost the same level of footprint as higher-economic groups despite a fraction of the expenditure, because of their higher intensities. This can then be misleading in terms of assigning responsibility for climate change. Bringing energy and carbon intensities of all economic groups in line with the top group, and thus removing the inequality in intensity structure, would reduce the footprint, all else held equal, but *increase* energy and carbon inequality. The reduction of energy and carbon inequality is not a meaningful goal by itself.
In this study, we have found that, for Europe as a whole, lower-economic groups have higher energy and carbon intensities of consumption (although this is not necessarily true within each European country) [@sommer_carbon_2017 @kerkhof_determinants_200]. These higher intensities come almost entirely from domestic electricity production and heating/cooling for shelter, in a handful of Central and Eastern European countries. This is already an important focus of European climate policy, but reducing these intensities should be a major priority for investment fund allocation going forward, especially within a framework such as the EU's European Green Deal [@bianco_understanding_2019]. Efforts to break consumer lock-in to these high intensities must be occurring alongside policies that seek to reduce aggregate consumption and intensities higher up in the economic distribution. Bringing intensities of consumption for all economic groups in line with those of higher-economic groups in Europe with access to the cleanest and most efficient available technologies, would substantially reduce the European household energy and carbon footprints, everything else held equal. The unequal intensity structure hinders clear conclusions on footprint inequality. We have shown that in an important sector such as shelter, lower-economic groups have almost the same level of footprint as higher-economic groups despite a fraction of the expenditure, because of their higher intensities. This can then be misleading in terms of assigning responsibility for climate change. Bringing energy and carbon intensities of all economic groups in line with the top group, and thus removing the inequality in intensity structure, would reduce the footprint, all else held equal, but *increase* energy and carbon inequality. The reduction of energy and carbon inequality is not a meaningful goal by itself.
Current consumption inequality, however, is a barrier to achieving both scenario targets *and* providing minimum energy use (and minimum carbon in the short-term) for decent living to every European. At a global level, there is concern that achieving sweeping poverty reduction in many regions of the world may put achieving global climate targets at risk (ref - Hubacek). In the European context, although less unequal than the globe as a whole, if/as lower-consumption groups increase their income and consumption, energy use and carbon emissions will increase if more efficient and cleaner technology is not adopted at a fast enough rate. Achieving an average per capita/adult equivalent energy and carbon footprint in Europe, in scenarios that reach the Paris agreement goals, means either doing so at current consumption inequality levels and keeping lower-economic groups near or below minimum energy use levels for decent living, or reducing consumption inequality.
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