Marginal Abatement Cost Tool (MACTool) 

4pm, September 30th, 2015

The Marginal Abatement Cost Tool (MACTool) is a transparent, flexible software tool which provides an easy way for building marginal abatement cost curves, and for calculating break-even carbon prices.

MACTool helps policymakers compare the costs and benefits of emission reduction options that can be used to build low-carbon scenarios at a national or sub-national level. It provides a cost-benefit comparison of these options and an estimate of the incentives needed to make these options attractive for the private sector by calculating break-even carbon prices. It also enables governments to assess the total investment needed to shift towards low carbon growth. MACTool can also be used to test the possibility of a domestic cap and trade system, by exploring which sectors would most likely to respond to a given carbon price.

MACTool builds a reference scenario and low carbon scenarios for each individual low carbon option. It allows users to schedule investments for low carbon alternatives along the planning period. It calculates the differential in emissions, investments, costs and revenues between the scenarios, and generates customized curves that make it easy to visualize options.

Key questions addressed:

  • Among available mitigation options, which will be the most efficient and cost-effective?
  • What are the potential results associated with each option?
  • What does it cost to implement each option?

Sample data inputs:

  • Investment costs
  • Mitigation options
  • Potential of the mitigation options

Sample quantitative outputs:

  • Differential in emissions, investments, costs, and revenues between scenarios

Access the Marginal Abatement Cost Tool (MACTool).

Institutions Involved

  • Energy Sector Management Assistance Program (ESMAP)
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