Description of the Remind‐r Model

1 Overview This model description is based on the introduction of the REMIND‐R model in Leimbach et al. (2009), as well as the technical description in Bauer et al. (2008) and Bauer et al. (2010). More information is also available from the ReMIND‐website 3. ReMIND‐R is a global energy‐economy‐climate model. Figure 1 provides an overview of the general structure of ReMIND‐R. The macro‐economic core of ReMIND‐R is a Ramsey‐type optimal growth model in which intertemporal global welfare is optimized subject to equilibrium constraints. It considers 11 world regions and explicitly represents trade in final goods, primary energy carriers, and, in the case of climate policy, emission allowances. It is formulated such that it yields a distinguished Pareto‐optimal solution which corresponds to the market equilibrium in the absence of non‐internalized externalities. For macro‐economic production, capital, labor and energy are considered as input factors. The macro‐economic output is available for investment into the macro‐economic capital stock, consumption, trade, and costs incurred from the energy system. The macro‐economic core is hard‐linked to the energy system module. Economic activity results in demand for final energy such as transport energy, electricity, and non‐electric energy for the stationary end‐uses. The demand for final energy is determined via nested constant elasticity of substitution (CES) production function (cf. Section 2.1). The energy system module considers endowments of exhaustible primary energy resources as well as renewable energy potentials. A substantial number (~50) of technologies are available for the conversion of primary energies to secondary energy carriers. Moreover, capacities for transport and distribution of secondary energy carriers for final end use are represented. The costs for the energy system, including investments into capacities, operation and maintenance costs as well as extraction and fuel 1 All authors are affiliated with the