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Developing an electricity satellite account (ELSA): an application to Scotland, UK

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  • Grant J Allan
  • Kevin Connolly
  • Stuart G McIntyre

Abstract

Within the system of national accounts the electricity sector is typically reported as a single entry representing generation, transmission, distribution and trade. The ways in which these components interact with the economy differ greatly, a feature lost within the standard accounting framework. In this paper we propose an Electricity Satellite Account (ELSA) approach to better understand the linkages between the electricity sector and economy, with a particular focus on generation technologies. In developing this framework, we draw parallels with Tourism Satellite Accounts (TSAs). To illustrate the practical steps in constructing ELSAs, we develop an ELSA for Scotland for 2012, and show how the ELSA framework gives an improved understanding of the economic contribution of the electricity sector, which is critical in improving the usefulness of such accounts for climate, energy, and economic policy.

Suggested Citation

  • Grant J Allan & Kevin Connolly & Stuart G McIntyre, 2021. "Developing an electricity satellite account (ELSA): an application to Scotland, UK," Economic Systems Research, Taylor & Francis Journals, vol. 33(1), pages 47-66, January.
    • Handle: RePEc:taf:ecsysr:v:33:y:2021:i:1:p:47-66
    DOI: 10.1080/09535314.2020.1754166
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    1. S. Lindner & J. Legault & D. Guan, 2013. "Disaggregating The Electricity Sector Of China'S Input-Output Table For Improved Environmental Life-Cycle Assessment," Economic Systems Research, Taylor & Francis Journals, vol. 25(3), pages 300-320, September.
    2. Chia‐Hao Liu & Manfred Lenzen & Joy Murray, 2012. "A disaggregated emissions inventory for Taiwan with uses in hybrid input‐output life cycle analysis (IO‐LCA)," Natural Resources Forum, Blackwell Publishing, vol. 36, pages 123-141, May.
    3. João-Pedro Ferreira & Pedro Ramos & Luís Cruz & Eduardo Barata, 2018. "The opportunity costs of commuting: the value of a commuting satellite account framework with an example from Lisbon Metropolitan Area," Economic Systems Research, Taylor & Francis Journals, vol. 30(1), pages 105-119, January.
    4. Calvin Jones & Max Munday, 2010. "Tourism Satellite Accounts For Regions? A Review Of Development Issues And An Alternative," Economic Systems Research, Taylor & Francis Journals, vol. 22(4), pages 341-358.
    5. Gay, Philip W. & Proops, John L.R., 1993. "Carbon---dioxide production by the UK economy: An input-output assessment," Applied Energy, Elsevier, vol. 44(2), pages 113-130.
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    Cited by:

    1. Allan, Grant & Comerford, David & Connolly, Kevin & McGregor, Peter & Ross, Andrew G., 2020. "The economic and environmental impacts of UK offshore wind development: The importance of local content," Energy, Elsevier, vol. 199(C).

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    More about this item

    JEL classification:

    • Q22 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Fishery
    • Q31 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Demand and Supply; Prices
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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