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Power production and the price of electricity: An analysis of a phaseout of Swedish nuclear power

Author

Listed:
  • Andersson, Bo

    (Department of Economics)

  • Hadén, Erik

    (Department of Economics)

Abstract

In this paper the effects of a phaseout of Swedish nuclear power combined with different CO2 emission goals, are studied. The vital relationship between the national electricity market and the regional markets for heating is modeled in detail in a dynamic partial equilibrium environment. It is shown that phasing out nuclear power while restricting future CO2 emissions to the 1990 level implies a significant increase in electricity prices and a substantial loss in welfare.

Suggested Citation

  • Andersson, Bo & Hadén, Erik, 1996. "Power production and the price of electricity: An analysis of a phaseout of Swedish nuclear power," SSE/EFI Working Paper Series in Economics and Finance 105, Stockholm School of Economics.
  • Handle: RePEc:hhs:hastef:0105
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    References listed on IDEAS

    as
    1. Bergman, Lars & Andersson, Bo, 1995. "Market Structure and the Price of Electricity: An ex ante Analysis of the deregulated Swedish Electricity Market," SSE/EFI Working Paper Series in Economics and Finance 47, Stockholm School of Economics.
    2. Bo Andersson & Lars Bergman, 1995. "Market Structure and the Price of Electricity: An Ex Ante Analysis of the Deregulated Swedish Electricity Market," The Energy Journal, International Association for Energy Economics, vol. 0(Number 2), pages 97-110.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Electricity; nuclear phaseout; dynamic partial equilibrium; CO2 emissions; firm objectives;

    JEL classification:

    • L79 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Other
    • Q38 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Government Policy (includes OPEC Policy)
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy

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