IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v90y2016icp16-23.html
   My bibliography  Save this article

Adoption of SO2 emission control technologies - An application of survival analysis

Author

Listed:
  • Streeter, Jialu Liu

Abstract

Using data on coal-fired electric power plants, this article investigates the contributing factors affecting the investment decisions on flue-gas desulfurization (FGD), a capital-intensive emission control technology. The paper makes two contributions to the literature. First, the public regulatory status of electric power plants is found to have a strong influence on whether FGD investment is made. Compared to deregulated power plants, those that are still under rate-of-return regulations by Public Utility Commissions are more likely to install FGD. Second, a higher rate of inspections of polluting facilities (not just electric utility power plants) in a state in the previous year is associated with a higher probability of power plants adopting FGD this year. In addition, sulfur content of coal and plant size are both positively associated with the likelihood of FGD installation. The service length of boilers is negatively associated with the likelihood.

Suggested Citation

  • Streeter, Jialu Liu, 2016. "Adoption of SO2 emission control technologies - An application of survival analysis," Energy Policy, Elsevier, vol. 90(C), pages 16-23.
  • Handle: RePEc:eee:enepol:v:90:y:2016:i:c:p:16-23
    DOI: 10.1016/j.enpol.2015.11.035
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421515302123
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.enpol.2015.11.035?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Kleit, Andrew N. & Shcherbakova, Anastasia V. & Chen, Xu, 2012. "Restructuring and the retail residential market for power in Pennsylvania," Energy Policy, Elsevier, vol. 46(C), pages 443-451.
    2. Keith O. Fuglie & Catherine A. Kascak, 2001. "Adoption and Diffusion of Natural-Resource-Conserving Agricultural Technology," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 23(2), pages 386-403.
    3. Steve Cicala, 2015. "When Does Regulation Distort Costs? Lessons from Fuel Procurement in US Electricity Generation," American Economic Review, American Economic Association, vol. 105(1), pages 411-444, January.
    4. Adam B. Jaffe & Karen Palmer, 1997. "Environmental Regulation And Innovation: A Panel Data Study," The Review of Economics and Statistics, MIT Press, vol. 79(4), pages 610-619, November.
    5. Michael Greenstone & John A. List & Chad Syverson, 2011. "The Effects of Environmental Regulation on the Competiveness of U.S. Manufacturing," Working Papers 11-03, Center for Economic Studies, U.S. Census Bureau.
    6. Borenstein, Severin & Bushnell, James, 2000. "Electricity Restructuring: Deregulation or Reregulation?," Competition Policy Center, Working Paper Series qt22d2q3fn, Competition Policy Center, Institute for Business and Economic Research, UC Berkeley.
    7. Kira R. Fabrizio & Nancy L. Rose & Catherine D. Wolfram, 2007. "Do Markets Reduce Costs? Assessing the Impact of Regulatory Restructuring on US Electric Generation Efficiency," American Economic Review, American Economic Association, vol. 97(4), pages 1250-1277, September.
    8. Wayne B. Gray & Ronald J. Shadbegian, 1993. "Environmental Regulation and Manufacturing Productivity at the Plant Level," NBER Working Papers 4321, National Bureau of Economic Research, Inc.
    9. Christainsen, Gregory B. & Haveman, Robert H., 1981. "The contribution of environmental regulations to the slowdown in productivity growth," Journal of Environmental Economics and Management, Elsevier, vol. 8(4), pages 381-390, December.
    10. Paul L. Joskow, 1997. "Restructuring, Competition and Regulatory Reform in the U.S. Electricity Sector," Journal of Economic Perspectives, American Economic Association, vol. 11(3), pages 119-138, Summer.
    11. David M. Newbery & Michael G. Pollitt, 1997. "The Restructuring and Privatisation of Britain's CEGB—Was It Worth It?," Journal of Industrial Economics, Wiley Blackwell, vol. 45(3), pages 269-303, September.
    12. Stephen P. Ryan, 2012. "The Costs of Environmental Regulation in a Concentrated Industry," Econometrica, Econometric Society, vol. 80(3), pages 1019-1061, May.
    13. Meredith Fowlie, 2010. "Emissions Trading, Electricity Restructuring, and Investment in Pollution Abatement," American Economic Review, American Economic Association, vol. 100(3), pages 837-869, June.
    14. Allen Bellas & Ian Lange, 2008. "Impacts of Market-based Environmental and Generation Policy on Scrubber Electricity Usage," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2), pages 151-164.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Labanca, Nicola & Bertoldi, Paolo, 2018. "Beyond energy efficiency and individual behaviours: policy insights from social practice theories," Energy Policy, Elsevier, vol. 115(C), pages 494-502.
    2. Zhang, Zibin & Yang, Wenxin & Ye, Jianliang, 2021. "Why sulfur dioxide emissions decline significantly from coal-fired power plants in China? Evidence from the desulfurated electricity pricing premium program," Energy Policy, Elsevier, vol. 148(PB).
    3. Zhang, Zhenbo & Wang, Jingwen, 2022. "Undermining or remodeling: Effects of leadership rotation on the effectiveness of authoritarian environmentalism in China," Energy Policy, Elsevier, vol. 161(C).
    4. Diaz-Mendez, S.E. & Torres-Rodríguez, A.A. & Abatal, M. & Soberanis, M.A. Escalante & Bassam, A. & Pedraza-Basulto, G.K., 2018. "Economic, environmental and health co-benefits of the use of advanced control strategies for lighting in buildings of Mexico," Energy Policy, Elsevier, vol. 113(C), pages 401-409.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Linn, Joshua & Muehlenbachs, Lucija, 2018. "The heterogeneous impacts of low natural gas prices on consumers and the environment," Journal of Environmental Economics and Management, Elsevier, vol. 89(C), pages 1-28.
    2. Xuejuan Su, 2015. "Have customers benefited from electricity retail competition?," Journal of Regulatory Economics, Springer, vol. 47(2), pages 146-182, April.
    3. Lange, Ian & Maniloff, Peter, 2021. "Updating allowance allocations in cap-and-trade: Evidence from the NOx Budget Program," Journal of Environmental Economics and Management, Elsevier, vol. 105(C).
    4. Chan, H. Ron & Fell, Harrison & Lange, Ian & Li, Shanjun, 2017. "Efficiency and environmental impacts of electricity restructuring on coal-fired power plants," Journal of Environmental Economics and Management, Elsevier, vol. 81(C), pages 1-18.
    5. Corrado Di Maria & Ian A. Lange & Emiliya Lazarova, 2014. "A Look Upstream: Electricity Market Restructuring, Risk, Procurement Contracts and Efficiency," CESifo Working Paper Series 5124, CESifo.
    6. Di Maria, Corrado & Lange, Ian & Lazarova, Emiliya, 2018. "A look upstream: Market restructuring, risk, procurement contracts and efficiency," International Journal of Industrial Organization, Elsevier, vol. 57(C), pages 35-83.
    7. Zhang, Zibin & Yang, Wenxin & Ye, Jianliang, 2021. "Why sulfur dioxide emissions decline significantly from coal-fired power plants in China? Evidence from the desulfurated electricity pricing premium program," Energy Policy, Elsevier, vol. 148(PB).
    8. Christopher Hansman & Jonas Hjort & Gianmarco León, 2015. "Firms' Response and Unintended Health Consequences of Industrial Regulations," Working Papers 809, Barcelona School of Economics.
    9. Galloway, Emily & Johnson, Erik Paul, 2016. "Teaching an old dog new tricks: Firm learning from environmental regulation," Energy Economics, Elsevier, vol. 59(C), pages 1-10.
    10. You Wu & Jichuan Sheng & Fang Huang, 2015. "China’s future investments in environmental protection and control of manufacturing industry: lessons from developed countries," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 77(3), pages 1889-1901, July.
    11. Wang, Chang & Guo, Yue & Yang, Yu & Chen, Shiyi, 2022. "The environmental benefits of electricity industry restructuring in China: Ownership mixing vs. vertical unbundling," Energy Economics, Elsevier, vol. 115(C).
    12. Christopher Hansman & Jonas Hjort & Gianmarco León, 2019. "Interlinked firms and the consequences of piecemeal regulation," Journal of the European Economic Association, European Economic Association, vol. 17(3), pages 876-916.
    13. Zhen Lei & Chen-Hao Tsai & Andrew N. Kleit, 2017. "Deregulation and Investment in Generation Capacity: Evidence from Nuclear Power Uprates in the United States," The Energy Journal, International Association for Energy Economics, vol. 0(Number 3).
    14. Alexander Hill, 2023. "Price freezes and gas pass-through: an estimation of the price impact of electricity market restructuring," Journal of Regulatory Economics, Springer, vol. 63(1), pages 87-116, April.
    15. Mou, Dunguo, 2014. "Understanding China’s electricity market reform from the perspective of the coal-fired power disparity," Energy Policy, Elsevier, vol. 74(C), pages 224-234.
    16. Steve Cicala, 2022. "Imperfect Markets versus Imperfect Regulation in US Electricity Generation," American Economic Review, American Economic Association, vol. 112(2), pages 409-441, February.
    17. Si, Shuyang & Lyu, Mingjie & Lin Lawell, C.-Y. Cynthia & Chen, Song, 2021. "The effects of environmental policies in China on GDP, output, and profits," Energy Economics, Elsevier, vol. 94(C).
    18. Joshua Linn & Erin Mastrangelo & Dallas Burtraw, 2014. "Regulating Greenhouse Gases from Coal Power Plants under the Clean Air Act," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 1(1), pages 97-134.
    19. Mian Yang & Yining Yuan & Fuxia Yang & Dalia Patino-Echeverri, 2021. "Effects of environmental regulation on firm entry and exit and China’s industrial productivity: a new perspective on the Porter Hypothesis," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 23(4), pages 915-944, October.
    20. Aldy, Joseph E. & Auffhammer, Maximillian & Cropper, Maureen L. & Fraas, Arthur G. & Morgenstern, Richard D., 2020. "Looking Back at Fifty Years of the Clean Air Act," RFF Working Paper Series 20-01, Resources for the Future.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:90:y:2016:i:c:p:16-23. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.