Recycling under Environmental, Climate and Resource Constraints
1 : Toulouse Business School
(TBS)
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Site web
Toulouse Business School
20 boulevard Lascrosses - BP 7010 - 31068 Toulouse Cedex 7 -
France
2 : Chaire économie du climat
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Site web
Chaire économie du climat
Chaire Economie du Climat Palais Brongniart, 4e étage 28 place de la Bourse 75002 Paris -
France
This paper investigates the effect of climate change in an industrial sector with a recycling technology available. We build a centralized model with resource, waste and climate constraints and we analyze the optimal use of two resources: a virgin input and a recycled one. Both resources have different GHG emissions rates and therefore recycling is sometimes an opportunity two reduce the impact of consumption but can still affect the environment. We discuss the various optimal trajectories that can occur, depending on the choice of exogenous constants in our model and we show that two complementary parameters should be considered to improve the environmental efficiency: the emissions ceiling and the recovery rate.