Environmental Ambitions Meet Industry Protection : The Swedish Approach to Energy Taxation
(2023) In EEES Report- Abstract (Swedish)
- Since the 1990s, economic policy instruments have become increasingly important to Swedish climate policy. To understand the characteristics of current systems, this paper presents an analysis of the development of economic policy instruments since the 1950s, with a focus on Swedish industry. Since the introduction of energy taxation, industry has received preferential treatment in the interests of protecting competitiveness. Path dependency, as well as concerns regarding competitiveness, have hampered major reforms necessary to make the system more feasible for CO2 mitigation. Although this was less critical while climate policy goals were relatively modest, as the level of ambition grew it became more problematic. To this end,... (More)
- Since the 1990s, economic policy instruments have become increasingly important to Swedish climate policy. To understand the characteristics of current systems, this paper presents an analysis of the development of economic policy instruments since the 1950s, with a focus on Swedish industry. Since the introduction of energy taxation, industry has received preferential treatment in the interests of protecting competitiveness. Path dependency, as well as concerns regarding competitiveness, have hampered major reforms necessary to make the system more feasible for CO2 mitigation. Although this was less critical while climate policy goals were relatively modest, as the level of ambition grew it became more problematic. To this end, complementary instruments have been proposed and to a certain extent, implemented.
This study illustrates the long history of energy and environmental taxation in Sweden and how important concerns about industrial competitiveness have been when designing energy and climate policies. It has also shown that the introduction of carbon pricing was not a radical policy shift but rather an adaptation of the existing system to new circumstances. The development could thus be seen as an example of policy path dependency.
(Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/542d4c62-255c-4c05-a399-b08ebc0ce6bf
- author
- Johansson, Bengt LU and Khan, Jamil LU
- organization
- publishing date
- 2023-10-11
- type
- Book/Report
- publication status
- published
- subject
- keywords
- carbon pricing, Carbon tax, path dependency, Industry, Sweden, carbon pricing, carbon tax, path dependency, industry, Sweden
- in
- EEES Report
- pages
- 35 pages
- report number
- 131
- ISSN
- 1102-3651
- ISBN
- 978-91-86961-57-2
- language
- English
- LU publication?
- yes
- id
- 542d4c62-255c-4c05-a399-b08ebc0ce6bf
- date added to LUP
- 2023-10-11 18:00:30
- date last changed
- 2023-11-02 13:46:25
@techreport{542d4c62-255c-4c05-a399-b08ebc0ce6bf, abstract = {{Since the 1990s, economic policy instruments have become increasingly important to Swedish climate policy. To understand the characteristics of current systems, this paper presents an analysis of the development of economic policy instruments since the 1950s, with a focus on Swedish industry. Since the introduction of energy taxation, industry has received preferential treatment in the interests of protecting competitiveness. Path dependency, as well as concerns regarding competitiveness, have hampered major reforms necessary to make the system more feasible for CO2 mitigation. Although this was less critical while climate policy goals were relatively modest, as the level of ambition grew it became more problematic. To this end, complementary instruments have been proposed and to a certain extent, implemented.<br/>This study illustrates the long history of energy and environmental taxation in Sweden and how important concerns about industrial competitiveness have been when designing energy and climate policies. It has also shown that the introduction of carbon pricing was not a radical policy shift but rather an adaptation of the existing system to new circumstances. The development could thus be seen as an example of policy path dependency.<br/>}}, author = {{Johansson, Bengt and Khan, Jamil}}, isbn = {{978-91-86961-57-2}}, issn = {{1102-3651}}, keywords = {{carbon pricing; Carbon tax; path dependency; Industry; Sweden; carbon pricing; carbon tax; path dependency; industry; Sweden}}, language = {{eng}}, month = {{10}}, number = {{131}}, series = {{EEES Report}}, title = {{Environmental Ambitions Meet Industry Protection : The Swedish Approach to Energy Taxation}}, url = {{https://lup.lub.lu.se/search/files/161506740/EEES_report_131_Env_ambitions_meet_industry_protection.pdf}}, year = {{2023}}, }