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ECN publication
Title:
Incorporating stakeholders’ preferences for ex ante evaluation of energy and climate policy interactions: Development of a Multi Criteria Analysis weighting methodology
 
Author(s):
Grafakos, S.; Zevgolis, D.; Oikonomou, V.
 
Published by: Publication date:
ECN Policy Studies 20-3-2008
 
ECN report number: Document type:
ECN-M--08-032 Conference Paper
 
Number of pages: Full text:
24 Download PDF  

Presented at: EASY-ECO Vienna Conference, Vienna, Austria, 11-14 maart 2008.

Abstract:
Evaluation of energy and climate policy interactions is a high complex issue which has not been addressed systematically. Multi Criteria Decision Analysis (MCDA) evaluation processes have been applied widely to different policy and decision cases as they have the ability to cope with high complexity, by structuring and analyzing the policy problem in a transparent and systematic way. Criteria weights elicitation techniques are developed within the framework of MCDA to integrate stakeholders’ preferential information in the decision making and evaluation process. There are variant methods to determine criteria weights which can be used in various ways for different policy evaluation purposes. During decision making, policy makers and relevant stakeholders implicitly or explicitly express their relative importance between the evaluation criteria by assigning weighting factors to them. More particular, climate change policy problems lack a simple, transparent and structured way to incorporate stakeholders’ views and values. In order to incorporate stakeholders’ weighting preferences into an ex ante evaluation of climate change and energy policy instruments interaction, an integrative constructive weighting methodology has been developed. This paper presents the main characteristics of evaluation of energy and climate policy interactions, the reasoning behind the development of the weighting tool, its main theoretical and functional characteristics and the results of its application to obtain and incorporate stakeholders’ preferences on energy and climate change policy evaluation criteria. The weighting method that has been elaborated and applied to derive stakeholders’ preferences for criteria weights is a combination of pair wise comparisons and ratio importance weighting methods. Initially introduces the stakeholders to the evaluation process through a warming up holistic approach for ranking the criteria and then requires them to express their ratio relative importance in pair wise comparisons of criteria by providing them an interactive mean with verbal, arithmetic and visual representation of their preferences. An excel aided tool has been developed for this purpose to facilitate the user (stakeholder) to intervene to the decision making and evaluation process and set his preferences that determine the outcome of policy interactions evaluation. The developed tool has been tested at an experiment examining how stakeholders preferences and objectives can be derived towards different evaluation climate change and energy evaluation criteria. The paper concludes by stating users evaluation responses on the application of the methodology.

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