Abstract
In the previous paper, we have developed an enduse-type energy model which can evaluate relation between carbon dioxide emission and energy consumption technologies. We improved this model amid enabled it to analyze the effect of introducing various reduction policies, such as imposing carbon tax and granting subsidy. Under various policy options, we projected carbon dioxide emission to 2010 in Japan. Based on the projection, it could be able to reduce the emission in 2000 to 1990 emission level if carbon tax rate is 30, 000 yen per carbon ton. And, if the revenues from the carbon tax would recycle as subsidy, that the tax rate was reduced to 3, 000 yen per carbon ton.