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An extended version of the IPAT model and the ‘Kaya identity’ is used to assess the contribution of drivers of CO 2 emissions for the 1995–2009 period. The paper carries out a multisector analysis based on the Log-Mean Divisia Index Method (LMDI I). The decomposition factors used are the Carbon Intensity factor (CI), the Energy Intensity factor (EI), the structural composition of Spain׳s economy (Economy Structure, ES), the Economic Activity factor (EA) and Population (P), respectively. Data came from the World Input–Output Database (WIOD) and determined the period under consideration. The paper focuses on the 35 productive sectors included in the WIOD. Major findings show that RES acted in detriment to the drivers of CO 2 emissions. This may be stated for the last few years under consideration. The positive trend for the share of RES in Spain׳s energy matrix, together with the negative tendency in the use of fossil fuels, leads us to be optimistic. [ABSTRACT FROM AUTHOR]

This paper evaluates the net effect of renewable energy policy in Spain from 2002 to 2017 and calculates its cost-effectiveness in terms of CO 2 emission reductions in the production of electricity. Our conclusions indicate that although the phasing out of Feed-in Tariffs reduced the regulatory costs, it also limited renewable participation in the electricity market, leading to an increased electricity price and higher emissions. According to our results, the joint effect of (i) the value of avoided emissions due to renewable energy participation and (ii) the merit order effect was able to compensate for the regulatory costs (subsidies) up until 2010, while the sign of the net effect was reversed from 2011 to 2017. Finally, we find that the economic implications of emission reductions are highly dependent on how the social cost of carbon is measured. [ABSTRACT FROM AUTHOR]