Economic Impact Assessment on Low-Carbon Investment in Renewable Energy in Yokohama, Japan

This chapter examines the economic impact of low-carbon investment on renewable energy sectors in Yokohama via an input–output analysis. We disaggregated the renewable energy sector into five detailed categories: solar photovoltaics (PV) residence, solar PV non-residence, hydropower, wind, and other (biomass and others). Two main findings are presented. First, the electricity, wind, and solar PV sectors are backward-oriented sectors that generate indirect effects with other sectors along the supply chain. Second, the simulation scenarios on low-carbon investment in renewable energy sectors in Yokohama from 2006 to 2011 revealed positive economic impacts with regard to increasing economic outputs in Yokohama.