Energy Pathways for the
California Economy
David Roland-Holst
Fredrich Kahrl
June, 2009
Research Paper No. 0903241
DEPARTMENT OF AGRICULTURAL AND
RESOURCE ECONOMICS
207 GIANNINI HALL
UNIVERSITY OF CALIFORNIA
BERKELEY, CA 94720
PHONE: (1) 510-643-6362
FAX: (1) 510-642-1099
http://are.berkeley.edu/~dwrh/CERES_Web/index.html
Roland-Holst | Energy Pathways
ii
Research Papers on Energy, Resources, and
Economic Sustainability
This report is part of a series of research studies into alternative energy and
resource pathways for the global economy. In addition to disseminating original
research findings, these studies are intended to contribute to policy dialog and
public awareness about environment-economy linkages and sustainable growth.
All opinions expressed here are those of the author and should not be attributed
to their affiliated institutions.
For this project on Energy Pathways, we express thanks to Next 10, who
recognized the importance of this issue for California’s sustainable growth
agenda and provided conceptual impetus and financial support. Thanks are also
due for outstanding research assistance by the following:
Jennifer Baranoff
Sam Beckerman
Alex Cheng
Billie Chow
Elliot
Deal Shelley Jiang
Adrian Li
Tom Lueker
Jennifer Ly
Xian Ming Li
Cristy Sanada
Mehmet Seflek
Lawrence Shing
F. Noel Perry, Morrow Cater, Sarah Henry, Adam Rose, and John A. “Skip”
Laitner offered many helpful comments. Opinions expressed here remain those
of the author, as do residual expository and interpretive errors, and should not be
attributed to their affiliated institutions.
Executive Summary
Over the last four years, California has taken unprecedented initiative to cap and
reduce greenhouse gas emissions. Governor Arnold Schwarzenegger signed
Executive Order #S-3-05 (Schwarzenegger 2005), calling for a 30 percent
reduction below business-as-usual of greenhouse gas emissions by 2020 and a
long term, lower carbon future with emissions 80 percent below