Assessing the control of energy-related CO2 emissions with a dynamic energy process model

In this paper, an energy-process model with geometric distributed lag (GDL) demand, called the energy-GDL process model, is updated to aid in energy-related CO2 emission control policy analysis. The updated model was formulated, constructed and solved with the updated GDL version of the Waterloo Energy Modelling System (WATEMS—GDL), which uses the new decoupling algorithm to calculate an intertemporal equilibrium of energy supplies and demands, along with the corresponding CO2 emission control submodel. The methods used for analysis of the economic impacts of CO2 emission control are carefully explored. An updated energy-GDL process model of supplies and demands of oil, gas, electricity, and coal in Canada is presented, and a comparison of scenarios is discussed to assess the impacts of controls on CO2 emissions in Canada.