Explanatory factors of CO2 per capita emission inequality in the European Union

• Published in: Energy policy 2013-11, Vol.62, p.1320-1328
• Main Authors: Padilla, Emilio, Duro, Juan Antonio
• Format: Article
• Language: English
• Subjects: Air pollution caused by fuel industries; Applied sciences; carbon dioxide; carbonization; Emission inequality; Energy; Energy. Thermal use of fuels; European Union; Exact sciences and technology; General. Regulations. Norms. Economy; greenhouse gas emissions; issues and policy; Kaya factors
• ISSN: 0301-4215; 1873-6777
• DOI: 10.1016/j.enpol.2013.07.018

The design of European mitigation policies requires a detailed examination of the factors explaining the unequal emissions in the different countries. This research analyzes the evolution of inequality in CO2 emissions per capita in the European Union (EU-27) in the period 1990–2009 and its explanatory factors. For this purpose, we decompose the Theil index of inequality into the contributions of the different Kaya factors. The decomposition is also applied to the inequality between and within groups of countries (North Europe, South Europe, and East Europe). The analysis shows an important reduction in inequality, to a large extent due to the smaller differences between groups and because of the lower contribution of the energy intensity factor. The importance of the GDP per capita factor increases and becomes the main explanatory factor. However, within the different groups of countries the carbonization index appears to be the most relevant factor in explaining inequalities. The policy implications of the results are discussed. •CO2 inequality in EU-27 (Theil index) is decomposed into explanatory (Kaya) factors.•It decreases more between than within regions (North, South, East).•Energy intensity contribution falls and turns negative. GDP pc becomes main factor.•Carbonization makes most relevant contribution to inequality within groups.•Policy implications on feasibility of agreements and mitigation policy are discussed.