Project: MCC Greenhouse Gas (GHG) Emissions Screening Tool

Interventions (investments and policies) can result in an overall increase or decrease in greenhouse gas (GHG) emissions. One approach to account for this impact in socio-economic impact analysis is the use of the social cost of greenhouse gas (SC-GHG) to value increased emissions as a cost or reduced emissions as a benefit. Integrating SC-GHG into decision-making ensures that interventions account for their full societal impact, facilitating informed choices that balance short- and medium-term economic returns with long-term sustainability and resilience. With the increasing number of scientific studies on the SC-GHG, governments, and international development organizations are challenged to find evidence-based but practical approaches to integrate SC-GHG in their decision-making processes.

This assignment supports the development of a screening tool for the Millennium Challenge Corporation (MCC) to determine whether GHG emission impacts merit inclusion in cost-benefit analysis (CBA), following their goal of integrating climate across analytical tools and decision-making. CBA is an analytical method used to assess a proposed project’s economic rationale by quantifying the impact (benefits and costs) on beneficiaries over a set period. MCC uses CBA as a decision-making input to understand the extent to which the economic benefits that can be directly attributed to the project outweigh its costs. The work involves providing a synthesis-oriented literature review of the most recent estimates of the SC-GHG, generating a database of those estimates, and designing an interactive dashboard for MCC’s economists to extract the relevant values when evaluating projects.