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The marginal cost of electricity used as backup for solar hot water systems: A case study

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  • Bright, Robert
  • Davitian, Harry

Abstract

In this study, a method is developed for estimating the long run marginal cost to electric utilities of providing backup service for solar residential heating and hot water (HHW) systems. This method accounts for all investment, fuel, and operating costs required to provide the added electric service for HHW. From the information produced using this method, the impacts of various rate design philosophies and of government tax and regulatory policies on annual homeowner costs, fuel consumption patterns, environmental pollutants, and the net social cost of providing HHW service can be computed. Also, the differences in these parameters among solar, electric, and conventional HHW systems can be compared.

Suggested Citation

  • Bright, Robert & Davitian, Harry, 1979. "The marginal cost of electricity used as backup for solar hot water systems: A case study," Energy, Elsevier, vol. 4(4), pages 645-661.
    • Handle: RePEc:eee:energy:v:4:y:1979:i:4:p:645-661
    DOI: 10.1016/0360-5442(79)90088-4
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