Dynamics of biofuel prices on the European market: Impact of the EU environmental policy on the resources markets - Archive ouverte HAL Access content directly
Preprints, Working Papers, ... Year :

Dynamics of biofuel prices on the European market: Impact of the EU environmental policy on the resources markets

(1) , (1) , (2)
1
2
Francis Declerck
  • Function : Author
  • PersonId : 964195
Jean-Pierre Indjehagopian
  • Function : Author
  • PersonId : 964193

Abstract

This paper aims at explaining the major drivers of biodiesel market prices by examining agricultural resource prices and gasoil prices for automotive fuels in the context of the EU environmental policy. The EU policy has enhanced biodiesel production since 2006. Biodiesel prices are impacted by the EU policy as well as rapeseed and oil prices which have fluctuated a lot over the last decade. An econometric analysis was performed using monthly data from November 2006 to January 2016. However, tests for structural breaks show several changes in price behavior. This leads us to estimate a regime-switching model which reveals two main regimes for the biodiesel price pattern. When oil prices are high, biodiesel, rapeseed and diesel oil prices are related, mainly driven by oil prices. When oil prices are low, biodiesel prices are mostly related to rapeseed prices according to EU regulations requiring the blending of biodiesel and gasoil.
Fichier principal
Vignette du fichier
WP 2003_v02 (1).pdf (1.14 Mo) Télécharger le fichier
Origin : Files produced by the author(s)

Dates and versions

hal-02487491 , version 1 (21-02-2020)
hal-02487491 , version 2 (26-02-2020)

Identifiers

  • HAL Id : hal-02487491 , version 2

Cite

Francis Declerck, Jean-Pierre Indjehagopian, Frédéric Lantz. Dynamics of biofuel prices on the European market: Impact of the EU environmental policy on the resources markets. 2020. ⟨hal-02487491v2⟩

Collections

ESSEC IFP ESSEC-WP
122 View
229 Download

Share

Gmail Facebook Twitter LinkedIn More