A mixed-unit input-output model for renewable heat technologies: An application to employment impact assessment

Abstract

In Japan, a large share of final energy demand is used for hot water and space heating and cooling in buildings. Therefore, it is important to consider how to meet the heat demand of residential and commercial sectors. Despite the potential benefits of renewable heat technologies, little study has been done to examine the effects of the introduction of them. The objective of the present study is to develop an input-output model for assessing environmental and socio-economic impacts of renewable heat technologies from a life cycle perspective. The developed input-output model covers three renewable heat systems, namely, solar thermal, ground source heat pump and wood boiler systems. Conventional heat systems are also considered for comparison purposes. The new 37 sectors are created and added to the Japanese input-output table for the year 2011. This study employs a mixed-unit input-output model. The output of the operation sectors is expressed in physical terms instead of monetary terms. Building thermal simulation software is used to calculate heat load. We conduct employment impact assessment using the developed input-output model. The results indicate that the introduction of renewable heat technologies induce employment shifts away from the fossil fuel-related sectors towards renewable sectors.