The MARKAL equity programme developed a methodology to determine the impacts of climate change mitigation scenarios on lower-income groups along with compensation schemes.
It is known that people with lower incomes allocate a bigger share of their budgets to energy expenses than people with higher incomes. However, in climate change mitigation scenarios, this aspect is often neglected. Such an assessment is usually performed as a post-modelling exercise, i.e., after costs are determined with the help of an energy model. This project brought the calculations of the income impacts into the main model.

The research output was presented in the following papers

Determining demand for energy services: Investigating income-driven behaviours
Distributive impacts from a Kyoto policy
Towards assessing the distributional impacts of meeting Kyoto targets in Canada