event 24 Apr 2017

Research // Climate Policy and the Energy-Water-Food Nexus: A Model Linkage Approach

By Dirk Willenbockel, Institute of Development Studies at the University of Sussex. There is a growing recognition that the ambitious UN Sustainable Development Goals (SDGs) to end hunger, achieve food security and promote sustainable agriculture (SDG 2), to ensure universal access to water and sanitation (SDG 6), to ensure universal access to affordable, reliable, sustainable and modern energy (SDG 7) and to combat climate change and its impacts (SDG 13) are linked in complex ways. The emerging literature on the energy-water-food nexus1 highlights the need to take account of the trade-offs and synergies among the goals arising from these linkages, but also underscores the need for further research to understand the quantitative relevance of the various channels through which measures towards the attainment of the goals affect each other.

William bossen 120685
(C) William Bossen / unsplash
This study links a global dynamic multisector CGE model with a global dynamic PE multi-market model of agricultural supply, demand and trade. The linked modelling framework facilitates a quantitative analysis of the wider implications of agricultural sector scenario projections by taking systematic account of linkages between agriculture and the rest of the economy and allows a rigorous theory-grounded general equilibrium welfare analysis of shocks to agriculture. Conversely, the linked approach also supports a detailed analysis of the effects of shocks that initially hit non-agricultural sectors on agricultural variables and water security. In this paper, the approach is used to assess the impact of stylised climate change mitigation scenarios on energy prices, economic growth, food security and water availability.

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Published

July 2016

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