Do material efficiency improvements backfire?: Insights from an index decomposition analysis about the link between CO2 emissions and material use for Austria.

To keep global heating and other negative consequences of socioeconomic activities within manageable boundaries, industrialized countries must undergo substantial decarbonization, requiring the exploitation of synergies with other environmental endeavors. Improving resource efficiency-that is, reducing the resources required to generate a unit of economic output-is a prominent goal pursued across levels of scale. How does resource efficiency relate to decarbonization? Do economies decrease their emissions as they become more efficient? We examine this relationship for Austria from 2000 to 2015 by conducting an index decomposition analysis at the sectoral level by using consumption-based indicators from the multi-regional input-output model Exiobase. Our analysis shows that for Austria, the currently popular pursuit of material efficiency appears to run the risk of coinciding with higher emissions, suggesting that the opportunities to achieve both decarbonization and dematerialization are limited. The Austrian service sectors could contribute to a reduction of the CO2 footprint via material efficiency improvements, but strong economic growth foils this possibility coming to fruition. The Austrian economy would do well to either curb demand for goods and services driving global CO2 emissions or to produce imported goods and services domestically in an environmentally more benign manner.

Supply versus use designs of environmental extensions in input-output analysis: Conceptual and empirical implications for the case of energy.

Input-output analysis is one of the central methodological pillars of industrial ecology. However, the literature that discusses different structures of environmental extensions (EEs), that is, the scope of physical flows and their attribution to sectors in the monetary input-output table (MIOT), remains fragmented. This article investigates the conceptual and empirical implications of applying two different but frequently used designs of EEs, using the case of energy accounting, where one represents energy supply while the other energy use in the economy. We derive both extensions from an official energy supply-use dataset and apply them to the same single-region input-output (SRIO) model of Austria, thereby isolating the effect that stems from the decision for the extension design. We also crosscheck the SRIO results with energy footprints from the global multi-regional input-output (GMRIO) dataset EXIOBASE. Our results show that the ranking of footprints of final demand categories (e.g., household and export) is sensitive to the extension design and that product-level results can vary by several orders of magnitude. The GMRIO-based comparison further reveals that for a few countries the supply-extension result can be twice the size of the use-extension footprint (e.g., Australia and Norway). We propose a graph approach to provide a generalized framework to disclosing the design of EEs. We discuss the conceptual differences between the two extension designs by applying analogies to hybrid life-cycle assessment and conclude that our findings are relevant for monitoring of energy efficiency and emission reduction targets and corporate footprint accounting.

The impacts of data deviations between MRIO models on material footprints: A comparison of EXIOBASE, Eora, and ICIO.

In various international policy processes such as the UN Sustainable Development Goals, an urgent demand for robust consumption-based indicators of material flows, or material footprints (MFs), has emerged over the past years. Yet, MFs for national economies diverge when calculated with different Global Multiregional Input-Output (GMRIO) databases, constituting a significant barrier to a broad policy uptake of these indicators. The objective of this paper is to quantify the impact of data deviations between GMRIO databases on the resulting MF. We use two methods, structural decomposition analysis and structural production layer decomposition, and apply them for a pairwise assessment of three GMRIO databases, EXIOBASE, Eora, and the OECD Inter-Country Input-Output (ICIO) database, using an identical set of material extensions. Although all three GMRIO databases accord for the directionality of footprint results, that is, whether a countries' final demand depends on net imports of raw materials from abroad or is a net exporter, they sometimes show significant differences in level and composition of material flows. Decomposing the effects from the Leontief matrices (economic structures), we observe that a few sectors at the very first stages of the supply chain, that is, raw material extraction and basic processing, explain 60% of the total deviations stemming from the technology matrices. We conclude that further development of methods to align results from GMRIOs, in particular for material-intensive sectors and supply chains, should be an important research priority. This will be vital to strengthen the uptake of demand-based material flow indicators in the resource policy context.

Increasing impacts of land use on biodiversity and carbon sequestration driven by population and economic growth.

Biodiversity and ecosystem service losses driven by land-use change are expected to intensify as a growing and more affluent global population requires more agricultural and forestry products, and teleconnections in the global economy lead to increasing remote environmental responsibility. By combining global biophysical and economic models, we show that, between the years 2000 and 2011, overall population and economic growth resulted in increasing total impacts on bird diversity and carbon sequestration globally, despite a reduction of land-use impacts per unit of gross domestic product (GDP). The exceptions were North America and Western Europe, where there was a reduction of forestry and agriculture impacts on nature accentuated by the 2007-2008 financial crisis. Biodiversity losses occurred predominantly in Central and Southern America, Africa and Asia with international trade an important and growing driver. In 2011, 33% of Central and Southern America and 26% of Africa's biodiversity impacts were driven by consumption in other world regions. Overall, cattle farming is the major driver of biodiversity loss, but oil seed production showed the largest increases in biodiversity impacts. Forestry activities exerted the highest impact on carbon sequestration, and also showed the largest increase in the 2000-2011 period. Our results suggest that to address the biodiversity crisis, governments should take an equitable approach recognizing remote responsibility, and promote a shift of economic development towards activities with low biodiversity impacts.

International Trade Drives Global Resource Use: A Structural Decomposition Analysis of Raw Material Consumption from 1990-2010.

Globalization led to an immense increase of international trade and the emergence of complex global value chains. At the same time, global resource use and pressures on the environment are increasing steadily. With these two processes in parallel, the question arises whether trade contributes positively to resource efficiency, or to the contrary is further driving resource use? In this article, the socioeconomic driving forces of increasing global raw material consumption (RMC) are investigated to assess the role of changing trade relations, extended supply chains and increasing consumption. We apply a structural decomposition analysis of changes in RMC from 1990 to 2010, utilizing the Eora multi-regional input-output (MRIO) model. We find that changes in international trade patterns significantly contributed to an increase of global RMC. Wealthy developed countries play a major role in driving global RMC growth through changes in their trade structures, as they shifted production processes increasingly to less material-efficient input suppliers. Even the dramatic increase in material consumption in the emerging economies has not diminished the role of industrialized countries as drivers of global RMC growth.

Trends in Austrian Resource Efficiency: An Exergy and Useful Work Analysis in Comparison to Material Use, CO2 Emissions, and Land Use.

In the past few years, resource use and resource efficiency have been implemented in the European Union (EU) environmental policy programs as well as international sustainable development programs. In their programs, the EU focuses on four resource types that should be addressed: materials, energy (or carbon dioxide [CO2] emissions), water, and land. In this article, we first discuss different perspectives on energy use and present the results of a long-term exergy and useful work analysis of the Austrian economy for the period 1900-2012, using the methodology developed by Ayres and Warr. Second, we discuss Austrian resource efficiency by comparing the presented exergy and useful work data with material use, CO2 emissions, and land-use data taken from statistical sources. This comparison provides, for the first time, a long-term analysis of Austrian resource efficiency based on a broad understanding thereof and evaluates Austrian development in relation to EU and Austrian policy targets.

Maintenance and Expansion: Modeling Material Stocks and Flows for Residential Buildings and Transportation Networks in the EU25.

Material stocks are an important part of the social metabolism. Owing to long service lifetimes of stocks, they not only shape resource flows during construction, but also during use, maintenance, and at the end of their useful lifetime. This makes them an important topic for sustainable development. In this work, a model of stocks and flows for nonmetallic minerals in residential buildings, roads, and railways in the EU25, from 2004 to 2009 is presented. The changing material composition of the stock is modeled using a typology of 72 residential buildings, four road and two railway types, throughout the EU25. This allows for estimating the amounts of materials in in-use stocks of residential buildings and transportation networks, as well as input and output flows. We compare the magnitude of material demands for expansion versus those for maintenance of existing stock. Then, recycling potentials are quantitatively explored by comparing the magnitude of estimated input, waste, and recycling flows from 2004 to 2009 and in a business-as-usual scenario for 2020. Thereby, we assess the potential impacts of the European Waste Framework Directive, which strives for a significant increase in recycling. We find that in the EU25, consisting of highly industrialized countries, a large share of material inputs are directed at maintaining existing stocks. Proper management of existing transportation networks and residential buildings is therefore crucial for the future size of flows of nonmetallic minerals.

Trading Land: A Review of Approaches to Accounting for Upstream Land Requirements of Traded Products.

Land use is recognized as a pervasive driver of environmental impacts, including climate change and biodiversity loss. Global trade leads to "telecoupling" between the land use of production and the consumption of biomass-based goods and services. Telecoupling is captured by accounts of the upstream land requirements associated with traded products, also commonly referred to as land footprints. These accounts face challenges in two main areas: (1) the allocation of land to products traded and consumed and (2) the metrics to account for differences in land quality and land-use intensity. For two main families of accounting approaches (biophysical, factor-based and environmentally extended input-output analysis), this review discusses conceptual differences and compares results for land footprints. Biophysical approaches are able to capture a large number of products and different land uses, but suffer from a truncation problem. Economic approaches solve the truncation problem, but are hampered by the limited disaggregation of sectors and products. In light of the conceptual differences, the overall similarity of results generated by both types of approaches is remarkable. Diametrically opposed results for some of the world's largest producers and consumers of biomass-based products, however, make interpretation difficult. This review aims to provide clarity on some of the underlying conceptual issues of accounting for land footprints.

Resource Use in Small Island States: Material Flows in Iceland and Trinidad and Tobago, 1961-2008.

Iceland and Trinidad and Tobago are small open, high-income island economies with very specific resource-use patterns. This article presents a material flow analysis (MFA) for the two countries covering a time period of nearly five decades. Both countries have a narrow domestic resource base, their economy being largely based on the exploitation of one or two key resources for export production. In the case of Trinidad and Tobago, the physical economy is dominated by oil and natural gas extraction and petrochemical industries, whereas Iceland's economy for centuries has been based on fisheries. More recently, abundant hydropower and geothermal heat were the basis for the establishment of large export-oriented metal processing industries, which fully depend on imported raw materials and make use of domestic renewable electricity. Both countries are highly dependent on these natural resources and vulnerable to overexploitation and price developments. We show how the export-oriented industries lead to high and growing levels of per capita material and energy use and carbon dioxide emissions resulting from large amounts of processing wastes and energy consumption in production processes. The example of small open economies with an industrial production system focused on few, but abundant, key resources and of comparatively low complexity provides interesting insights of how resource endowment paired with availability or absence of infrastructure and specific institutional arrangements drives domestic resource-use patterns. This also contributes to a better understanding and interpretation of MFA indicators, such as domestic material consumption.

The global metabolic transition: Regional patterns and trends of global material flows, 1950-2010.

Since the World War II, many economies have transitioned from an agrarian, biomass-based to an industrial, minerals-based metabolic regime. Since 1950, world population grew by factor 2.7 and global material consumption by factor 3.7-71 Gigatonnes per year in 2010. The expansion of the resource base required by human societies is associated with growing pressure on the environment and infringement on the habitats of other species. In order to achieve a sustainability transition, we require a better understanding of the currently ongoing metabolic transition and its potential inertia. In this article, we present a long-term global material flow dataset covering material extraction, trade, and consumption of 177 individual countries between 1950 and 2010. We trace patterns and trends in material flows for six major geographic and economic country groupings and world regions (Western Industrial, the (Former) Soviet Union and its allies, Asia, the Middle East and Northern Africa, Latin America and the Caribbean, and Sub-Saharan Africa) as well as their contribution to the emergence of a global metabolic profile during a period of rapid industrialization and globalization. Global average material use increased from 5.0 to 10.3 tons per capita and year (t/cap/a) between 1950 and 2010. Regional metabolic rates range from 4.5 t/cap/a in Sub-Saharan Africa to 14.8 t/cap/a in the Western Industrial grouping. While we can observe a stabilization of the industrial metabolic profile composed of relatively equal shares of biomass, fossil energy carriers, and construction minerals, we note differences in the degree to which other regions are gravitating toward a similar form of material use. Since 2000, Asia has overtaken the Western Industrial grouping in terms of its share in global resource use although not in terms of its per capita material consumption. We find that at a sub-global level, the roles of the world regions have changed. There are, however, no signs yet that this will lead to stabilization or even a reduction of global resource use.