PNNL

Abstract

In this paper, we present results and insights from a model comparison exercise involving two CGE models—the Second Generation Model (SGM) and the All Modular Industry Growth Assessment Model (AMIGA). Both models have been widely used to assess energy, economy and greenhouse gas mitigation issues over the last decade. Both models have multiple global regions, incorporate a full set of greenhouse gas emissions, vintage capital stocks, have explicit connections between technology and the economy and are disaggregated to reflect the relative importance of various sectors in determining greenhouse gas emissions. We first attempt to standardize key electricity generation sector cost and performance assumptions; then we run a selected number of common policy experiments that influence carbon emissions in the U.S. electricity sector. We chose to focus on electricity generation because of the importance of this sector in greenhouse gas emissions, and because both models have relatively rich representations so that the comparison would be expected to yield interesting results. The richness of the representation allows for a detailed view of the evolution of technology choice through time in response to a climate policy.