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Report on the evidence for net job creation from policy support for energy efficiency and renewable energy: An appraisal of multi-sectoral modelling techniques


Citation Allan, G, Gilmartin, M, McGregor, P, Swales,K Report on the evidence for net job creation from policy support for energy efficiency and renewable energy: An appraisal of multi-sectoral modelling techniques. UKERC. 2012.
Author(s) Allan, G, Gilmartin, M, McGregor, P, Swales,K
Publisher UKERC
Download Report_on_the_evidence_for_net_job_creation_from_policy_support_for_energy_efficiency_and_renewable_energy_Ab_Appraisal_of_Multi-sectoral_modelling_techniques.pdf
Abstract

The aim of this paper is to describe three multi-sectoral modelling techniques, and to show how these modelling approaches have been used to quantify the economic impact of renewable energy and energy efficiency developments.

The three techniques are Input-Output (IO), Computable General Equilibrium (CGE) and Macroeconometric studies. Each is firstly detailed in a separate section. In each section we describe the nature and operation of the technique, and identify different types and sub-types (where appropriate). We then consider the data requirements of these modelling approaches and finally discuss what might be considered the strengths and weaknesses of each approach. For each modelling approach we pay particular attention to the ways in which the employment effects are estimated, as employment is arguably the most tangible economic variable.

After sections on each of the three modelling techniques, we address some general questions about their applicability and validity of each approach for understanding the quantitative impacts of renewable energy and energy efficiency improvements.