Pollution and the Price of Power
This study analyses the un-priced environmental harm caused by generating electricity from fossil fuels in the ECAR control region south of the Great Lakes in 2004 and again in 2015 when the recent Clean Air Interstate Rule will have its full effect. Using existing damage values, we estimate wholesale electricity under-pricing for coal-fired plants at about $40 per MWh in 2004, almost as much again as the $45/MWh actual price. Averaging across all fuels, the price of electricity was more than $30/MWh too low. The under-pricing will still be $18/MWh for coal plants and $15 for all generation sources in 2015, a decade after CAIR was adopted. Recognizing this environmental price now could reduce pollution levels, increase energy conservation and lead to wiser choices of new generation technology.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): Volume 29 (2008)
Issue (Month): Number 2 ()
|Contact details of provider:|| Postal: 28790 Chagrin Blvd Ste 350, Cleveland, OH 44122, USA|
Web page: http://www.iaee.org
More information through EDIRC
|Order Information:||Web: http://www.iaee.org/en/publications/ejsearch.aspx|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Richard S. J. Tol, 1999. "The Marginal Costs of Greenhouse Gas Emissions," The Energy Journal, International Association for Energy Economics, vol. 0(Number 1), pages 61-81.
- Spencer Banzhaf, H. & Burtraw, Dallas & Palmer, Karen, 2004.
"Efficient emission fees in the US electricity sector,"
Resource and Energy Economics,
Elsevier, vol. 26(3), pages 317-341, September.
- Burtraw, Dallas & Palmer, Karen & Banzhaf, H. Spencer, 2002. "Efficient Emission Fees in the U.S. Electricity Sector," Discussion Papers dp-02-45, Resources For the Future.
- Burtraw, Dallas & Palmer, Karen & Shih, Jhih-Shyang, 2005. "Reducing Emissions from the Electricity Sector: The Costs and Benefits Nationwide and for the Empire State," Discussion Papers dp-05-23, Resources For the Future.
- Klepper, Gernot & Peterson, Sonja, 2005.
"Emissions trading, CDM, JI, and more: The climate strategy of the EU,"
Kiel Working Papers
1238, Kiel Institute for the World Economy (IfW).
- Gernot Klepper & Sonja Peterson, 2006. "Emissions Trading, CDM, JI, and More: The Climate Strategy of the EU," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2), pages 1-26.
- Klepper, Gernot & Peterson, Sonja, 2006. "Emissions trading, CDM, JI, and more : the climate strategy of the EU," Open Access Publications from Kiel Institute for the World Economy 3814, Kiel Institute for the World Economy (IfW).
- Gernot Klepper & Sonja Peterson, 2005. "Emissions Trading, CDM, JI, and More – The Climate Strategy of the EU," Working Papers 2005.55, Fondazione Eni Enrico Mattei.
- Gernot Klepper & Sonja Peterson, 2005. "Emissions Trading, CDM, JI, and More ; The Climate Strategy of the EU," Kiel Working Papers 1238, Kiel Institute for the World Economy.
- Paul L. Joskow & Richard Schmalensee, 1988. "Markets for Power: An Analysis of Electrical Utility Deregulation," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262600188, December.
- Dallas Burtraw & Karen Palmer & Alan J. Krupnick, 1997.
""Second-Best" Adjustments to Externality Estimates in Electricity Planning with Competition,"
University of Wisconsin Press, vol. 73(2), pages 224-239.
- Burtraw, Dallas & Palmer, Karen & Krupnick, Alan, 1995. ""Second-Best" Adjustments to Externality Estimates in Electricity Planning with Competition," Discussion Papers dp-96-04, Resources For the Future.
- Donald N. Dewees, 2006. "Electricity Restructuring and Regulation in the Provinces: Ontario and Beyond," Working Papers tecipa-205, University of Toronto, Department of Economics.
- Palmer, Karen & Burtraw, Dallas, 2005.
"Cost-effectiveness of renewable electricity policies,"
Elsevier, vol. 27(6), pages 873-894, November.
- Burtraw, Dallas & Palmer, Karen, 2005. "Cost-Effectiveness of Renewable Electricity Policies," Discussion Papers dp-05-01, Resources For the Future.
- Neuhoff, K. & Grubb, M. & Keats, K., 2005. "Impact of the allowance allocation on prices and efficiency," Cambridge Working Papers in Economics 0552, Faculty of Economics, University of Cambridge.
- Paul L. Joskow, 2006.
"Markets for Power in the United States: An Interim Assessment,"
The Energy Journal,
International Association for Energy Economics, vol. 0(Number 1), pages 1-36.
- Paul L. Joskow, 2005. "Markets For Power In The United States - An Interim Assessment," Working Papers 0512, Massachusetts Institute of Technology, Center for Energy and Environmental Policy Research.
When requesting a correction, please mention this item's handle: RePEc:aen:journl:2008v29-02-a05. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (David Williams)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.