Regional diversity in the costs of electricity outages: Results for German counties
The aim of this study is to quantify the macroeconomic costs resulting from a one hour power outage at the level of German counties. This is done by combining public data from various sources based on a well-established methodology, which both accounts for production losses of firms and losses in well-being of consumers. As a main result, we identify a North-South divide in the vulnerability of German counties, with counties in southern Germany tending to face larger losses. At the same time, considerable heterogeneity can also be found in small-scale comparisons, confirming the need for a spatially disaggregated analysis. We discuss the implications of our results for the debate on network expansion in Germany, suggesting that a stronger focus on outage costs could represent an important step towards a real cost-benefit analysis of expansion projects.
|Date of creation:||2013|
|Contact details of provider:|| Postal: Heimhuder Str. 71, D-20148 Hamburg|
Phone: +49 (0)40 34 05 76 - 0
Fax: +49 (0)40 34 05 76 - 776
Web page: http://www.hwwi.org/en/
More information through EDIRC
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.:
- Linares, Pedro & Rey, Luis, 2013.
"The costs of electricity interruptions in Spain. Are we sending the right signals?,"
Elsevier, vol. 61(C), pages 751-760.
- Pedro Linares & Luis Rey, 2012. "The costs of electricity interruptions in Spain. Are we sending the right signals?," Working Papers fa05-2012, Economics for Energy.
- de Nooij, Michiel & Lieshout, Rogier & Koopmans, Carl, 2009. "Optimal blackouts: Empirical results on reducing the social cost of electricity outages through efficient regional rationing," Energy Economics, Elsevier, vol. 31(3), pages 342-347, May.
- Carlsson, Fredrik & Martinsson, Peter, 2008. "Does it matter when a power outage occurs? -- A choice experiment study on the willingness to pay to avoid power outages," Energy Economics, Elsevier, vol. 30(3), pages 1232-1245, May.
- Carlsson, Fredrik & Martinsson, Peter, 2004. "Does it Matter When a Power Outage Occurs? - A Choice Experiment Study on the Willingness to Pay to Avoid Power Outages," Working Papers in Economics 155, University of Gothenburg, Department of Economics.
- Michael J. Doane & Raymand S. Hartman & Chi-Keung Woo, 1988. "Household Preference for Interruptible Rate Options and the Revealed Value of Service Reliability," The Energy Journal, International Association for Energy Economics, vol. 0(Special I), pages 121-134.
- Benjamin Bental & S. Abraham Ravid, 1982. "A Simple Method for Evaluating the Marginal Cost of Unsupplied Electricity," Bell Journal of Economics, The RAND Corporation, vol. 13(1), pages 249-253, Spring.
- de Nooij, Michiel & Koopmans, Carl & Bijvoet, Carlijn, 2007. "The value of supply security: The costs of power interruptions: Economic input for damage reduction and investment in networks," Energy Economics, Elsevier, vol. 29(2), pages 277-295, March.
- Beenstock, Michael & Goldin, Ephraim & Haitovsky, Yoel, 1998. "Response bias in a conjoint analysis of power outages," Energy Economics, Elsevier, vol. 20(2), pages 135-156, April.
- Brown, Gardner, Jr & Johnson, M Bruce, 1969. "Public Utility Pricing and Output under Risk," American Economic Review, American Economic Association, vol. 59(1), pages 119-128, March.
- Leahy, Eimear & Tol, Richard S.J., 2011. "An estimate of the value of lost load for Ireland," Energy Policy, Elsevier, vol. 39(3), pages 1514-1520, March.
- Leahy, Eimear & Tol, Richard S. J., 2010. "An Estimate of the Value of Lost Load for Ireland," Papers WP357, Economic and Social Research Institute (ESRI).
- Tishler, Asher, 1993. "Optimal production with uncertain interruptions in the supply of electricity : Estimation of electricity outage costs," European Economic Review, Elsevier, vol. 37(6), pages 1259-1274, August.
- Wenzel, Lars & Wolf, André, 2013. "Protection against major catastrophes: An economic perspective," HWWI Research Papers 137, Hamburg Institute of International Economics (HWWI).
- Serra, Pablo & Fierro, Gabriel, 1997. "Outage costs in Chilean industry," Energy Economics, Elsevier, vol. 19(4), pages 417-434, October.
- Pablo Serra & Gabriel Fierro, 1996. "Outage Cost in Chilean Industry," Documentos de Trabajo 10, Centro de Economía Aplicada, Universidad de Chile.
- Papke, Leslie E & Wooldridge, Jeffrey M, 1996. "Econometric Methods for Fractional Response Variables with an Application to 401(K) Plan Participation Rates," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 11(6), pages 619-632, Nov.-Dec..
- Leslie E. Papke & Jeffrey M. Wooldridge, 1993. "Econometric Methods for Fractional Response Variables with an Application to 401(k) Plan Participation Rates," NBER Technical Working Papers 0147, National Bureau of Economic Research, Inc.
- Reichl, Johannes & Schmidthaler, Michael & Schneider, Friedrich, 2013. "The value of supply security: The costs of power outages to Austrian households, firms and the public sector," Energy Economics, Elsevier, vol. 36(C), pages 256-261.
- Sanghvi, Arun P., 1982. "Economic costs of electricity supply interruptions : US and foreign experience," Energy Economics, Elsevier, vol. 4(3), pages 180-198, July.
- Beenstock, Michael, 1991. "Generators and the cost of electricity outages," Energy Economics, Elsevier, vol. 13(4), pages 283-289, October.
- Christian Growitsch & Raimund Malischek & Sebastian Nick & Heike Wetzel, 2015. "The Costs of Power Interruptions in Germany: A Regional and Sectoral Analysis," German Economic Review, Verein für Socialpolitik, vol. 16(3), pages 307-323, August.
- growitsch, christian & Malischek, Raimund & Nick, Sebastian & Wetzel, Heike, 2013. "The Costs of Power Interruptions in Germany - an Assessment in the Light of the Energiewende," EWI Working Papers 2013-7, Energiewirtschaftliches Institut an der Universitaet zu Koeln (EWI).
When requesting a correction, please mention this item's handle: RePEc:zbw:hwwirp:142. 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: (ZBW - German National Library of Economics)
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.