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Cost-Benefit Analysis Of Fuel Substitution From Diesel To Natural Gas In Urban Buses In Sao Paulo Metropolitan Region

Author

Listed:
  • Vivian Mac Knight

    (Universidade Federal do Rio de Janeiro (UFRJ))

  • Carlos Eduardo Frickmann Young

    (Universidade Federal do Rio de Janeiro (UFRJ))

Abstract

This paper presents a cost-benefit analysis of a hypothetical project for converting urban diesel buses into compressed natural gas (CNG) in the Metropolitan Region of São Paulo (MRSP). Environmental valuation techniques were used to estimate the benefits of the air quality improvement due to fuel switch, due to the reduction of particulate matter (PM10) concentration. The costs of the project were calculated by the costs of converting diesel buses into CNG. The results show that the social benefits from the project largely exceed the conversion costs, thus indicating that it would contribute significantly to the welfare of the affected population.

Suggested Citation

  • Vivian Mac Knight & Carlos Eduardo Frickmann Young, 2009. "Cost-Benefit Analysis Of Fuel Substitution From Diesel To Natural Gas In Urban Buses In Sao Paulo Metropolitan Region," Revista de Economia Mackenzie (REM), Mackenzie Presbyterian University, Social and Applied Sciences Center, vol. 7(3), pages 24-36, september.
    • Handle: RePEc:aft:journl:v:7:3:2009:sep:dec:p:24-36
    DOI: -
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