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Long-Term Versus Short-Term Costs of Electricity Supply Interruptions: A Cautionary Note

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  • Peter Lewin
  • Steve G. Parsons

Abstract

Increasing attention has been given in recent years to the valuation of reliability in the supply of electricity. It is peculiar in the use of the terms that the value of reliability is equivalent to the cost of unreliability. In attempting to identify and measure this cost, researchers have drawn a distinction between different types of cost, particularly short- and long-term costs. In this paper, we examine this distinction to clarify what may be a source of confusion.

Suggested Citation

  • Peter Lewin & Steve G. Parsons, 1986. "Long-Term Versus Short-Term Costs of Electricity Supply Interruptions: A Cautionary Note," The Energy Journal, , vol. 7(2), pages 181-186, April.
    • Handle: RePEc:sae:enejou:v:7:y:1986:i:2:p:181-186
    DOI: 10.5547/ISSN0195-6574-EJ-Vol7-No2-13
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