Environmental policies and Changes in Energy Mix: A Case Study in Iranian Industrial Sector

This research evaluates the effects of environmental policies including price and non-price policies on natural gas demand in Iranian industrial sector. We studied 22 Iranian industries, from 2005 to 2015 through Panel Data analyses. The empirical results show that non-pricing policies is more effective than the pricing policies. Thus, policymakers should be set their regulation based on non-pricing policies. In non-price policies, energy intensity coefficient is bigger than CO2 emission. This represents that governmental energy policies shifted more to natural gas consumption in industries and simultaneously applying the old technologies in the industries lead to more natural gas consumption as well as energy intensity.

Keywords:

Natural Gas Consumption , Panel Data , Environmental Policies , Iranian Industrial Sector