Further detail on modelling the link between the economy and the environment in REEIO
Modelling the economy
REEIO models the economy using the methodology developed for LEFM.
The impact on the key environmental pressures being considered is modelled using economic inputs.
Waste
Production of industrial and commercial waste is projected on the basis of each industry's purchases of input products, which are in turn determined by the scale of activity in the industry and the structure of its inputs to production. Household waste is projected on the basis of population growth and the rate of growth in per capita household waste arisings. Associated projections for waste entering the various management routes are produced from the waste arising projections.
Energy use
The use of energy by fuel type is determined on the basis of the scale of activity (level of output, for industry sectors) of the fuel user and the relative price of fuels. The energy demands from power generation in the region is considered by explicit assumptions regarding specific plant capacities and utilisation.
Air emissions
The projections for air emissions are determined in two parts. The energy-related emissions are determined on the basis of energy use by user and fuel. Emissions that are not energy-related are determined by an appropriate activity indicator.
Water use
Water use is determined by modelling different components of overall demand separately. Non-household demand is determined by indicators of economic activity in particular industries that allow for the different water-using characteristics of the different sectors. Household demand for water is determined using by assumptions for per capita water use by metered and non-metered households and an assessment of the proportion of the population that will be within each group. The assumption for per capita water demand can in turn be informed by a more detailed analysis undertaken outside of REEIO, such as a 'micro-components' approach which uses assumptions for the penetration, use and water-using characteristics of different appliances and activities.
For further information email:
Anthony Barker
Director
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