FIDELIO 3 manual : equations and data sources

The technical report describes the structure, the equations and the data that constitute the model FIDELIO 3. FIDELIO is a multi-sectoral model developed by the unit B.5 of the Directorate General Joint Research Centre (JRC) - the circular economy and industrial leadership unit. The model is designed to evaluate sustainable production and consumption policies through a dynamic econometric input-output model. It conducts scenario analysis on the costs and impacts of policy measures providing their economic - such as jobs, value added and investment - and environmental effects - such as resource use or air emissions. The model can be used for policy formulation and evaluation to assess sustainable production and consumption policies capturing both spillover and rebound effects, and quantifying their impacts in jobs, growth, energy savings, investments, resource use, air emissions and trade balance. FIDELIO 3 was preceded by two previous versions. The changes introduced in the subsequent versions of the model have two main objectives. The first one is to increase the coverage of the model. The second one is to improve the efficiency and the capacity of the model to evaluate sustainable production and consumption policies. FIDELIO 1 was created between 2009 and 2011 through the collaboration of the JRC B.5 unit and the Austrian institute of economic research WIFO (Kratena et al., 2013). Next, between 2011 and 2015, the two institutions worked on a new version of the model, FIDELIO 2, which included more countries, an update of the data and the model calibration, and some improvements of the environmental block (Kratena et al., 2017). FIDELIO 3 is the result of the collaboration of the unit B.5 of the JRC and the Dutch research organization TNO that took place in 2018 and 2019. This last version further improves the geographical coverage, both in terms of number of countries and quality of details and it updates the calibration of the model using data for 2010. Finally, compared to the previous one, this version includes important changes to the production block.