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External costs of fossil electricity generation: Health-based assessment in Thailand

Listed author(s):
  • Sakulniyomporn, Songsak
  • Kubaha, Kuskana
  • Chullabodhi, Chullapong
Registered author(s):

    Airborne pollutants from fossil fuel burning in electricity generation potentially contribute a number of consequent environmental impacts. In order to indicate the actual costs of energy, a so-called external cost has become of growing concerns internationally. This study aims to evaluate the external costs related to human health degradation resulting from Thai electricity generation produced from fossil fuel which operated during the period from 2006 to 2008. Impact Pathway Approach (IPA) was applied in the analysis. The advections of the criteria pollutants (SO2, NOX, and PM10) including secondary particulates (sulfate and nitrate aerosols) had been simulated using the CALMET/CALPUFF modeling system. Subsequently, the exposure-response functions (ERFs) were used to quantify the marginal damage to public health. Finally, costs of such damages were then estimated based on welfare economics. The results showed that the criteria pollutants caused significant damage to both premature mortality and morbidity. The average damage cost was totally about 600 million 2005 US$ annually which ranged between 0.05 and 4.17 US$ cent kWh−1 depending on fuel types. It implies that the external costs are significant to the determination of electricity market price. With the damage costs being included, the electricity price will reflect the true costs of the generation which will be beneficial to the society as a whole.

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    Article provided by Elsevier in its journal Renewable and Sustainable Energy Reviews.

    Volume (Year): 15 (2011)
    Issue (Month): 8 ()
    Pages: 3470-3479

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    Handle: RePEc:eee:rensus:v:15:y:2011:i:8:p:3470-3479
    DOI: 10.1016/j.rser.2011.05.004
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    1. Zhang, Qingyu & Weili, Tian & Yumei, Wei & Yingxu, Chen, 2007. "External costs from electricity generation of China up to 2030 in energy and abatement scenarios," Energy Policy, Elsevier, vol. 35(8), pages 4295-4304, August.
    2. Hainoun, A. & Almoustafa, A. & Seif Aldin, M., 2010. "Estimating the health damage costs of syrian electricity generation system using impact pathway approach," Energy, Elsevier, vol. 35(2), pages 628-638.
    3. Sujitra Vassanadumrongdee & Shunji Matsuoka, 2005. "Risk Perceptions and Value of a Statistical Life for Air Pollution and Traffic Accidents: Evidence from Bangkok, Thailand," Journal of Risk and Uncertainty, Springer, vol. 30(3), pages 261-287, May.
    4. N. Künzli & R. Kaiser & S. Medina & M. Studnicka & O. Chanel & P. Filliger & M. Herry & F. Horak & V. Puybonnieux-Texier & Philippe Quénel & Jodi Schneider & R. Seethaler & J.C Vergnaud & H. Sommer, 2000. "Public health Impact of Outdoor and Traffic related Air Pollution," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) halshs-00150955, HAL.
    5. Streimikiene, Dalia & Roos, Inge & Rekis, Janis, 2009. "External cost of electricity generation in Baltic States," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(4), pages 863-870, May.
    6. Kim, Sang-Hoon, 2007. "Evaluation of negative environmental impacts of electricity generation: Neoclassical and institutional approaches," Energy Policy, Elsevier, vol. 35(1), pages 413-423, January.
    7. Ostro, Bart D., 1987. "Air pollution and morbidity revisited: A specification test," Journal of Environmental Economics and Management, Elsevier, vol. 14(1), pages 87-98, March.
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