A subnational carbon curse? Fossil fuel richness and carbon intensity among US states

•There is evidence of a subnational carbon curse among US states.•Fossil fuel rich states have the most carbon intensive economies in the USA.•Coal and oil production per capita are correlated with higher carbon intensities.•The carbon curse highlights the promise and challenge of supply-side climat...

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Bibliographic Details
Published inThe extractive industries and society Vol. 8; no. 3; p. 100859
Main Author Abraham, Benjamin M.
Format Journal Article
LanguageEnglish
Published Elsevier Ltd 01.09.2021
Subjects
Carbon curse
Carbon intensity
Energy supply
Fossil fuels
Resource curse
Subnational
Carbon intensity
Energy supply
Fossil fuels
Resource curse
Subnational
Carbon curse
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Summary:•There is evidence of a subnational carbon curse among US states.•Fossil fuel rich states have the most carbon intensive economies in the USA.•Coal and oil production per capita are correlated with higher carbon intensities.•The carbon curse highlights the promise and challenge of supply-side climate policy. The “carbon curse” theory proposes that fossil fuel richness leads countries to have more carbon intensive development trajectories than they would otherwise. This article tests this theory at the subnational level through an analysis of the 50 US states. Drawing on energy and emissions data from US government sources, descriptive statistics and regression analyses show clear correlations between states’ production of coal, oil, and gas and higher carbon intensities. Evidence is also provided for four carbon curse mechanisms that drive this: extractive emissions, fuel-related crowding out, weaker incentives to invest in energy efficiency, and pressure to subsidize fuel consumption. These mechanisms highlight both new avenues of impact for supply-side climate policy and the difficulty of implementing it. Overall, this article makes the case for further attention to the carbon curse, which could serve as an important analytical bridge between supply and demand-side approaches to climate and energy policy. By demonstrating the likelihood of a subnational carbon curse, it also greatly extends the scope of its potential applicability. Countries that are not fossil fuel rich at a national level but have fuel rich subnational regions should also take heed.
ISSN:2214-790X
DOI:10.1016/j.exis.2020.12.007