Carbon emissions embodied in international trade of China during 1997-2007 are accounted by input-output method based on Chinese input-output table and global trade analysis project database.It is revealed that carbon...Carbon emissions embodied in international trade of China during 1997-2007 are accounted by input-output method based on Chinese input-output table and global trade analysis project database.It is revealed that carbon emissions embodied in imports and exports both increased during 1997-2007,but carbon emissions embodied in exports are greater than those embodied in imports,China is a net export nation in embodied carbon.The net exports of embodied carbon account for about 10.82%of the total carbon emissions in 1997,dropped to 7.15%in 2002,increased to 13.13%in 2006,and slightly dropped to 12.64%in 2007.Low-end position of international industry division is an objective factor of being a net exporter of embodied carbon for China,and usage of a large amount of obsolete energy-using equipments wasted much energy and increased carbon emissions embodied in exports. Importers should take more responsibilities for carbon emissions embodied in trade,and China should take a certain responsibility for unreasonable energy dissipations too.展开更多
The Chinese government has set ambitious targets to reduce the per unit of GDP by 40% ~45% during 2005 to 2020 and achieve the intensity peaking of carbon emissions of CO2 emissions a- round 2030. The T21 national dev...The Chinese government has set ambitious targets to reduce the per unit of GDP by 40% ~45% during 2005 to 2020 and achieve the intensity peaking of carbon emissions of CO2 emissions a- round 2030. The T21 national development model for China was developed for the purpose of analy- zing the effects of long-term national policies that relate to carbon emissions, loss of farm land, water shortage, energy security, food security, and their contributions to this reduction target. The focus of this paper is on the policies that have substantial impacts on carbon emissions from fossil fuels. Four scenarios are developed with the model to simulate future carbon emissions : 1 ) the BAU ( busi- ness as usual) scenario, showing the likely results of continuing current policies; 2 ) the TECH (technology) scenario showing the effects of more investment in renewable energy sources and promoting more energy efficient technologies; 3 ) the BEHAVIOR scenario, showing how government tax and price policies, together with public education programs, would instigate behaviour changes towards more sustainable living; and 4 ) the TECH&BEHA scenario, which shows the results of combining scenarios 2 and 3. The simulation results show that CO2 emissions reduction targets of China are achievable, but also require great effort to put in.展开更多
From a FDI source country perspective, this paper reveals the effect of Chinas OFDI on host countries' environmental quality. Based on the Copeland-Taylor model, this paper creates a theoretical mechanism to demon...From a FDI source country perspective, this paper reveals the effect of Chinas OFDI on host countries' environmental quality. Based on the Copeland-Taylor model, this paper creates a theoretical mechanism to demonstrate how Chinas OFDI affects host countries' pollution intensity and environmental quality and carries out an empirical analysis based on Chinas OFDI data of 2003-2014 and the economic development index data of 168 host countries. Since Chinas OFDI is differentiated for countries of various income levels, this paper f Urther conducts a sub-sample empirical test on the income level of host countries. The result shows that Chinas OFDI growth generally induces an increase in total pollution emissions in host countries but significantly reduces per capita emissions and thus improves local environmental quality. Sub-sample regression result shows that whether in terms of total or per capita emissions, Chinas OFDI has a much more significant effect in improving the environmental quality of high-income countries.展开更多
This paper uses the Global Trade Analysis Project(version 7)database to calculate embodied CO2emissions in bilateral trade between China and other countries(regions)based on input-output methods.The sources and flows ...This paper uses the Global Trade Analysis Project(version 7)database to calculate embodied CO2emissions in bilateral trade between China and other countries(regions)based on input-output methods.The sources and flows of embodied CO2emissions in import and export trade of China are analyzed.Results show that the flows of embodied CO2emissions in export trade are highly concentrated.The main flows to the United States(US)and Japan account for 1/4 and 1/7 of the total CO2emissions in export trade,respectively.Concentrated flows of total exports and small differences in export structure are the main reasons for the highly concentrated export trade.The sources of embodied CO2emissions in import trade have relatively low concentration.Taiwan Province of China,Hong Kong Special Administrative Region of China,US,Russia,Republic of Korea,and Japan account for around 7.72%–12.67%of the total embodied CO2emissions in import trade.The relative dispersion of import sources,the impact of the import structure,and the level of production technology in importing countries caused low concentration of CO2emissions in import trade.Overall,the embodied CO2emissions in the export trade of China are higher than those in import trade.As a result,production-based CO2emissions are higher than consumption-based CO2emissions.The difference of 8.96×108t of CO2,which comes mainly from the US,Japan,Germany,and the United Kingdom,accounts for 58.70%of the total difference.Some suggestions,such as improving energy efficiency,alerting high carbon-intensive industries transfer,expanding the market for sharing risks,and prompting the accounting system of consumption-based CO2emissions,are proposed based on the results.展开更多
In this paper,using the input-output model,the author first calculated the CO 2 emissions embodied in exports of China in 2002 and 2007.Then,the author empirically analyzed problems existing in the composition of expo...In this paper,using the input-output model,the author first calculated the CO 2 emissions embodied in exports of China in 2002 and 2007.Then,the author empirically analyzed problems existing in the composition of exported products and analyzed its possible reasons.The research results of this paper are as follows:Since China's entry into WTO,the CO 2 emissions embodied in exports of China have been increasing rapidly;the value of exported products of high-carbon emissions industries accounts for a relatively higher proportion to China's total exports value because China's carbon intensive products have a certain competitive advantage.Additionally,this paper has put forward relevant suggestions based on these results.展开更多
This paper calculated the scale of carbon emissions embodied in the import and export of the world's major countries based on input-output principles and international trade data, as well as data on various countries...This paper calculated the scale of carbon emissions embodied in the import and export of the world's major countries based on input-output principles and international trade data, as well as data on various countries'carbon emissions in 2005 from domestic consumption and emissions embodied in trade. The results illustrate that, because of international trade, consumers in developed countries should bear the responsibility for a large portion of CO2 emissions. The researchers separated the net transfer balance of embodied emissions in international trade according to four different effects: size effect, exchange rate effect, structural effect, and pure technical effect, all of which favor the sharing of responsibilities between producers and consumers.展开更多
This paper provides a computation on both the China's aggregate CO2 emission volume and the emission of each sector over the period of 2002-2007, based on the input-output analysis. Further analysis is also given on ...This paper provides a computation on both the China's aggregate CO2 emission volume and the emission of each sector over the period of 2002-2007, based on the input-output analysis. Further analysis is also given on the various determinants of the change in the emission volume, with the aid of structural decomposition analysis (SDA) based on a residual-free method. Based on the input-output table of China in 2002 and 2007, the merge of sectors and the adjustment of price change have been made during the study. The emissions of carbon dioxide in China increased from 2,887.3 million ton to 5,664.6 million ton during 2002-2007. The average rate of increase is 13.3%, faster than the average rate of gross domestic product (GDP) growth 11.6% slightly. According to the process of SDA, the changes in emission are analyzed in terms of four different factors. Among the four factors studied in the paper, it is found that the change of emission intensity and structure of demand are the main reason of the decrease of emission, while production technology and scale effect increase the emission volume. The paper also finds that although the direct emission intensity decreased during the study period, the total emission intensity increased with the annual rate of 3.8%, which reflects the result of energy policy is not equal in different sectors.展开更多
The objective of this research is to quantify the EEC (embodied energy/CO2) of a building. The EEC represents the energy consumption and CO2 emissions at individual phases of a building's life-cycle, such as constr...The objective of this research is to quantify the EEC (embodied energy/CO2) of a building. The EEC represents the energy consumption and CO2 emissions at individual phases of a building's life-cycle, such as construction (including manufacture of materials and equipment), renewal (including repair work) and demolition. Energy and CO2 emission intensities in terms of 401 sectors were calculated, using the 2005 I-O (input-output) table in Japan. According to our case study conducted from the construction phase to demolition, the EC (embodied CO2) of an office building used for 60 years is 12,044 t-CO2 and 1,093 kg-CO2/m^2 in total. CO2 equivalent emissions (CO2e) by Freon gases, contained in building materials, equipment and devices, were also calculated. As the results, CO2e by insulators was 2% of the building's EC and CO2e by refrigerants was 9%-12% of the building's EC. It is important to keep reducing emissions of Freon gases contained in refrigerators.展开更多
In the last two decades, the global interest on farmland grew at a remarkable pace. As a consequence, million hectares of land exchanged hands. The ways the transfers happened combined with their geographic concentrat...In the last two decades, the global interest on farmland grew at a remarkable pace. As a consequence, million hectares of land exchanged hands. The ways the transfers happened combined with their geographic concentration in Sub-Saharian Africa, have earned the phenomenon the name of "land grab". The agricultural sector considered a "sunset industry" when commodities prices were declining, is now attractive to financial investors. These foreign investments may be good as they may improve agricultural productivity or instead bad as they may benefit only financial investors. Some results in terms of environmental and local communities' worsening conditions have already emerged. This paper aims to investigate what drives the big size transfers of land, to empirically estimate their effects in terms of local employment and to assess the environmental effects produced by the rapid transformation in the use of vast amount of land in terms of CO2 emissions. It is also proposed to use the estimation in terms of local employment impact as a way of distinguishing between foreign direct investment and land grabbing.展开更多
The present paper analyzes historically the relationship between carbon emission and economic development by different stages through adopting elastic decoupling methods and Tapio evaluation criteria along with a comp...The present paper analyzes historically the relationship between carbon emission and economic development by different stages through adopting elastic decoupling methods and Tapio evaluation criteria along with a comparison with the national Five Year Plans. The analysis shows that the influencing factors to the relationship between carbon emission and economy in China are different, and economic development and carbon emission have less connection in the recent 30 years of reform and opening-up in China. It is a difficult task to realize the promise that we will reduce carbon emission by 40%-50% in 2020 based on the data from historical experience and different expectations for economic development from economists. Through constructing the calcula- tion model of carbon emission intensity gap according to different development scenarios, the analysis shows that economic growth, infrastructure investment and further development of industrial-ization are the main drivers to the increase of carbon emission, technological progress, and particularly, the reduction of energy consumption is the primary means to reduce carbon emission in China. It is imperative to transform the economic growth pattern, and it is a grand task to perform and there is a long way to go for China to maintain economic growth and reduce carbon intensity.展开更多
This paper presents methods and strategy promoted by an operator of tire rubber manufacturer in order to reduce CO2 emissions. This paper presents calculation methods of GHG emissions and data on production activities...This paper presents methods and strategy promoted by an operator of tire rubber manufacturer in order to reduce CO2 emissions. This paper presents calculation methods of GHG emissions and data on production activities, as well as fuel consumption, energy, etc. This example shows that environmental investments are effective primarily in the environmental aspect, but they can become profitable (the carbon trading market of GHG allowances and by providing alternative energy in national energy system, resulting in "green certificates").展开更多
Input-output analysis is widely employed to analyze inventories of a product's embodied energy and environmental burdens. However, input-output analysis focuses only on the production stage and ignores other life cyc...Input-output analysis is widely employed to analyze inventories of a product's embodied energy and environmental burdens. However, input-output analysis focuses only on the production stage and ignores other life cycle phases. Input-output analysis is not exactly a LCA (life cycle assessment) method in the strict sense of ISO 14040 standards, which must cover all stages of a product's life cycle, "from the cradle to the grave", so to speak. A tiered hybrid LCA is a useful tool that covers all life cycle stages by combining a process analysis with the input-output analysis method. This study aims to extend input-output analysis to the use, disposal, and recycling stages by using matrix-based method. The new method is applied to the analysis of the embodied CO2 emissions of a refrigerator as a case study. The entire life cycle C02 emissions are estimated to be 2.9 tons, including indirect emissions, and the reduction in CO2 emissions due to recycling steel scrap is calculated as 48.5 kg. The authors conclude that the new method enables a consistent inventory analysis for all life cycle stages by combining process and input-output methods.展开更多
International trade matters in assessing the extent of China's responsibility for CO2 emis- sions. A determining factor is whether emissions are measured in production or in consumption terms. Based on a series of in...International trade matters in assessing the extent of China's responsibility for CO2 emis- sions. A determining factor is whether emissions are measured in production or in consumption terms. Based on a series of input-output tables, an empirical analysis is conducted to measure the impact of international trade on China's emissions growth during the period 1997 to 2007. The authors also measure the impact on emissions of bilateral trade between China and US, European Union and Japan. As the largest of the developing countries, China has a trade surplus that can substantially influence its measured responsibility for emissions. The authors consider some policy implications for ihternational negotiations to reduce global greenhouse gas emissions.展开更多
The study aims to evaluate the potential of GHG (greenhouse gas) reductions by installing an anaerobic digester in a wastewater treatment facility in Southeast Asia. Then the break-even point of additional investmen...The study aims to evaluate the potential of GHG (greenhouse gas) reductions by installing an anaerobic digester in a wastewater treatment facility in Southeast Asia. Then the break-even point of additional investment to reduce GHG is obtained by exchanging carbon price as emissions credits. In the project scenario, the wastewater treatment system has the digester, where methane (biogas) is produced and recovered. Compared with the baseline scenario, the biogas has calorific value to produce heat and electricity, and can substitute fossil fuels for power generation. The objective of the study is to define the relationship between CERs (certified emission reductions) and investment costs, and the beak-even point, finding out the dominant pa- rameters in the system. Financial parameters such as capital costs and operating costs are considered to evaluate the investmerit costs. The result shows that the methane recovery reduces 54% of GHG emissions. Although the substitution of the biogas for the fossil fuels reduces only 6% of the GHG emissions, the electricity output can satisfy the electricity consumption. The results also show that the maximum CER credit is 73000 t-COEe/a, and the GHG reduction cost is 14 USD/t-CO2e.展开更多
文摘Carbon emissions embodied in international trade of China during 1997-2007 are accounted by input-output method based on Chinese input-output table and global trade analysis project database.It is revealed that carbon emissions embodied in imports and exports both increased during 1997-2007,but carbon emissions embodied in exports are greater than those embodied in imports,China is a net export nation in embodied carbon.The net exports of embodied carbon account for about 10.82%of the total carbon emissions in 1997,dropped to 7.15%in 2002,increased to 13.13%in 2006,and slightly dropped to 12.64%in 2007.Low-end position of international industry division is an objective factor of being a net exporter of embodied carbon for China,and usage of a large amount of obsolete energy-using equipments wasted much energy and increased carbon emissions embodied in exports. Importers should take more responsibilities for carbon emissions embodied in trade,and China should take a certain responsibility for unreasonable energy dissipations too.
基金Supported by the National Science&Technology Pillar Program(No.2012BAC20B09)
文摘The Chinese government has set ambitious targets to reduce the per unit of GDP by 40% ~45% during 2005 to 2020 and achieve the intensity peaking of carbon emissions of CO2 emissions a- round 2030. The T21 national development model for China was developed for the purpose of analy- zing the effects of long-term national policies that relate to carbon emissions, loss of farm land, water shortage, energy security, food security, and their contributions to this reduction target. The focus of this paper is on the policies that have substantial impacts on carbon emissions from fossil fuels. Four scenarios are developed with the model to simulate future carbon emissions : 1 ) the BAU ( busi- ness as usual) scenario, showing the likely results of continuing current policies; 2 ) the TECH (technology) scenario showing the effects of more investment in renewable energy sources and promoting more energy efficient technologies; 3 ) the BEHAVIOR scenario, showing how government tax and price policies, together with public education programs, would instigate behaviour changes towards more sustainable living; and 4 ) the TECH&BEHA scenario, which shows the results of combining scenarios 2 and 3. The simulation results show that CO2 emissions reduction targets of China are achievable, but also require great effort to put in.
基金the sponsorship of SHUPE Postgraduate Innovation Fund Projects(CXJJ-2015-341CXJJ-2015-328)
文摘From a FDI source country perspective, this paper reveals the effect of Chinas OFDI on host countries' environmental quality. Based on the Copeland-Taylor model, this paper creates a theoretical mechanism to demonstrate how Chinas OFDI affects host countries' pollution intensity and environmental quality and carries out an empirical analysis based on Chinas OFDI data of 2003-2014 and the economic development index data of 168 host countries. Since Chinas OFDI is differentiated for countries of various income levels, this paper f Urther conducts a sub-sample empirical test on the income level of host countries. The result shows that Chinas OFDI growth generally induces an increase in total pollution emissions in host countries but significantly reduces per capita emissions and thus improves local environmental quality. Sub-sample regression result shows that whether in terms of total or per capita emissions, Chinas OFDI has a much more significant effect in improving the environmental quality of high-income countries.
基金Under the auspices of National Natural Science Foundation of China(No.40905062,71103012)National Basic Research Program of China(No.2012CB955904)
文摘This paper uses the Global Trade Analysis Project(version 7)database to calculate embodied CO2emissions in bilateral trade between China and other countries(regions)based on input-output methods.The sources and flows of embodied CO2emissions in import and export trade of China are analyzed.Results show that the flows of embodied CO2emissions in export trade are highly concentrated.The main flows to the United States(US)and Japan account for 1/4 and 1/7 of the total CO2emissions in export trade,respectively.Concentrated flows of total exports and small differences in export structure are the main reasons for the highly concentrated export trade.The sources of embodied CO2emissions in import trade have relatively low concentration.Taiwan Province of China,Hong Kong Special Administrative Region of China,US,Russia,Republic of Korea,and Japan account for around 7.72%–12.67%of the total embodied CO2emissions in import trade.The relative dispersion of import sources,the impact of the import structure,and the level of production technology in importing countries caused low concentration of CO2emissions in import trade.Overall,the embodied CO2emissions in the export trade of China are higher than those in import trade.As a result,production-based CO2emissions are higher than consumption-based CO2emissions.The difference of 8.96×108t of CO2,which comes mainly from the US,Japan,Germany,and the United Kingdom,accounts for 58.70%of the total difference.Some suggestions,such as improving energy efficiency,alerting high carbon-intensive industries transfer,expanding the market for sharing risks,and prompting the accounting system of consumption-based CO2emissions,are proposed based on the results.
基金funded by 2011 the Humanities and Social Sciences Research Program of Education Ministry of P.R.China (Grant No.11YJA790229)
文摘In this paper,using the input-output model,the author first calculated the CO 2 emissions embodied in exports of China in 2002 and 2007.Then,the author empirically analyzed problems existing in the composition of exported products and analyzed its possible reasons.The research results of this paper are as follows:Since China's entry into WTO,the CO 2 emissions embodied in exports of China have been increasing rapidly;the value of exported products of high-carbon emissions industries accounts for a relatively higher proportion to China's total exports value because China's carbon intensive products have a certain competitive advantage.Additionally,this paper has put forward relevant suggestions based on these results.
文摘This paper calculated the scale of carbon emissions embodied in the import and export of the world's major countries based on input-output principles and international trade data, as well as data on various countries'carbon emissions in 2005 from domestic consumption and emissions embodied in trade. The results illustrate that, because of international trade, consumers in developed countries should bear the responsibility for a large portion of CO2 emissions. The researchers separated the net transfer balance of embodied emissions in international trade according to four different effects: size effect, exchange rate effect, structural effect, and pure technical effect, all of which favor the sharing of responsibilities between producers and consumers.
文摘This paper provides a computation on both the China's aggregate CO2 emission volume and the emission of each sector over the period of 2002-2007, based on the input-output analysis. Further analysis is also given on the various determinants of the change in the emission volume, with the aid of structural decomposition analysis (SDA) based on a residual-free method. Based on the input-output table of China in 2002 and 2007, the merge of sectors and the adjustment of price change have been made during the study. The emissions of carbon dioxide in China increased from 2,887.3 million ton to 5,664.6 million ton during 2002-2007. The average rate of increase is 13.3%, faster than the average rate of gross domestic product (GDP) growth 11.6% slightly. According to the process of SDA, the changes in emission are analyzed in terms of four different factors. Among the four factors studied in the paper, it is found that the change of emission intensity and structure of demand are the main reason of the decrease of emission, while production technology and scale effect increase the emission volume. The paper also finds that although the direct emission intensity decreased during the study period, the total emission intensity increased with the annual rate of 3.8%, which reflects the result of energy policy is not equal in different sectors.
文摘The objective of this research is to quantify the EEC (embodied energy/CO2) of a building. The EEC represents the energy consumption and CO2 emissions at individual phases of a building's life-cycle, such as construction (including manufacture of materials and equipment), renewal (including repair work) and demolition. Energy and CO2 emission intensities in terms of 401 sectors were calculated, using the 2005 I-O (input-output) table in Japan. According to our case study conducted from the construction phase to demolition, the EC (embodied CO2) of an office building used for 60 years is 12,044 t-CO2 and 1,093 kg-CO2/m^2 in total. CO2 equivalent emissions (CO2e) by Freon gases, contained in building materials, equipment and devices, were also calculated. As the results, CO2e by insulators was 2% of the building's EC and CO2e by refrigerants was 9%-12% of the building's EC. It is important to keep reducing emissions of Freon gases contained in refrigerators.
文摘In the last two decades, the global interest on farmland grew at a remarkable pace. As a consequence, million hectares of land exchanged hands. The ways the transfers happened combined with their geographic concentration in Sub-Saharian Africa, have earned the phenomenon the name of "land grab". The agricultural sector considered a "sunset industry" when commodities prices were declining, is now attractive to financial investors. These foreign investments may be good as they may improve agricultural productivity or instead bad as they may benefit only financial investors. Some results in terms of environmental and local communities' worsening conditions have already emerged. This paper aims to investigate what drives the big size transfers of land, to empirically estimate their effects in terms of local employment and to assess the environmental effects produced by the rapid transformation in the use of vast amount of land in terms of CO2 emissions. It is also proposed to use the estimation in terms of local employment impact as a way of distinguishing between foreign direct investment and land grabbing.
文摘The present paper analyzes historically the relationship between carbon emission and economic development by different stages through adopting elastic decoupling methods and Tapio evaluation criteria along with a comparison with the national Five Year Plans. The analysis shows that the influencing factors to the relationship between carbon emission and economy in China are different, and economic development and carbon emission have less connection in the recent 30 years of reform and opening-up in China. It is a difficult task to realize the promise that we will reduce carbon emission by 40%-50% in 2020 based on the data from historical experience and different expectations for economic development from economists. Through constructing the calcula- tion model of carbon emission intensity gap according to different development scenarios, the analysis shows that economic growth, infrastructure investment and further development of industrial-ization are the main drivers to the increase of carbon emission, technological progress, and particularly, the reduction of energy consumption is the primary means to reduce carbon emission in China. It is imperative to transform the economic growth pattern, and it is a grand task to perform and there is a long way to go for China to maintain economic growth and reduce carbon intensity.
文摘This paper presents methods and strategy promoted by an operator of tire rubber manufacturer in order to reduce CO2 emissions. This paper presents calculation methods of GHG emissions and data on production activities, as well as fuel consumption, energy, etc. This example shows that environmental investments are effective primarily in the environmental aspect, but they can become profitable (the carbon trading market of GHG allowances and by providing alternative energy in national energy system, resulting in "green certificates").
文摘Input-output analysis is widely employed to analyze inventories of a product's embodied energy and environmental burdens. However, input-output analysis focuses only on the production stage and ignores other life cycle phases. Input-output analysis is not exactly a LCA (life cycle assessment) method in the strict sense of ISO 14040 standards, which must cover all stages of a product's life cycle, "from the cradle to the grave", so to speak. A tiered hybrid LCA is a useful tool that covers all life cycle stages by combining a process analysis with the input-output analysis method. This study aims to extend input-output analysis to the use, disposal, and recycling stages by using matrix-based method. The new method is applied to the analysis of the embodied CO2 emissions of a refrigerator as a case study. The entire life cycle C02 emissions are estimated to be 2.9 tons, including indirect emissions, and the reduction in CO2 emissions due to recycling steel scrap is calculated as 48.5 kg. The authors conclude that the new method enables a consistent inventory analysis for all life cycle stages by combining process and input-output methods.
基金supported by the National Natural Science Foundation of China under Grant Nos.71103176,71003115 and 71473246,Collaborative Innovation CenterResearch Innovation Team Supporting Plan of the Central University of Finance and Economics
文摘International trade matters in assessing the extent of China's responsibility for CO2 emis- sions. A determining factor is whether emissions are measured in production or in consumption terms. Based on a series of input-output tables, an empirical analysis is conducted to measure the impact of international trade on China's emissions growth during the period 1997 to 2007. The authors also measure the impact on emissions of bilateral trade between China and US, European Union and Japan. As the largest of the developing countries, China has a trade surplus that can substantially influence its measured responsibility for emissions. The authors consider some policy implications for ihternational negotiations to reduce global greenhouse gas emissions.
文摘The study aims to evaluate the potential of GHG (greenhouse gas) reductions by installing an anaerobic digester in a wastewater treatment facility in Southeast Asia. Then the break-even point of additional investment to reduce GHG is obtained by exchanging carbon price as emissions credits. In the project scenario, the wastewater treatment system has the digester, where methane (biogas) is produced and recovered. Compared with the baseline scenario, the biogas has calorific value to produce heat and electricity, and can substitute fossil fuels for power generation. The objective of the study is to define the relationship between CERs (certified emission reductions) and investment costs, and the beak-even point, finding out the dominant pa- rameters in the system. Financial parameters such as capital costs and operating costs are considered to evaluate the investmerit costs. The result shows that the methane recovery reduces 54% of GHG emissions. Although the substitution of the biogas for the fossil fuels reduces only 6% of the GHG emissions, the electricity output can satisfy the electricity consumption. The results also show that the maximum CER credit is 73000 t-COEe/a, and the GHG reduction cost is 14 USD/t-CO2e.