Macroeconomic models for long-term energy and emissions in India

The complex dynamics between energy, emissions and economy have increasingly attracted modelling studies over the past decade. In this paper, we briefly describe two top-down models that were adapted for India and show some key results from them. Working with more than one model gives us a better understanding of the differences in model structures and puts us in a good position for appreciating the differences in results from these models due to this fact. We project the long-term energy and emission trajectories from the global model and the national model and come to a conclusion that India's energy system will remain largely dependent on coal in BAU case and is open to change under a regime of carbon taxes towards less carbon-emitting fuels like gas and renewables. Carbon tax reduces carbon dioxide emissions but there is also a loss of GDP.