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Investment in Electricity Transmission and Ancillary Environmental Benefits

Author

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  • Bloyd, Cary
  • Bharvirkar, Ranjit
  • Burtraw, Dallas

Abstract

Planning of the electricity transmission system generally focuses on the pros and cons of providing generation close to the source of the power demand versus remote generation linked via the transmission system. Recent electricity supply problems in the western United States have renewed interest in the role of transmission in assuring the reliability of electricity supply. Recently, the Western Governors' Association led the development of a planning exercise that examined the tradeoffs over the next 10 years between locating new natural gas powered generation close to the load centers versus new coal, wind, hydro, and geothermal generation in remote areas. Although the analysis concentrated on the direct system costs, the choice of new generation will have both local and global environmental impacts. This paper examines some of the "ancillary" environmental effects of electricity transmission decisions using a suite of models that combine to provide an integrated assessment.

Suggested Citation

  • Bloyd, Cary & Bharvirkar, Ranjit & Burtraw, Dallas, 2002. "Investment in Electricity Transmission and Ancillary Environmental Benefits," Discussion Papers 10519, Resources for the Future.
    • Handle: RePEc:ags:rffdps:10519
    DOI: 10.22004/ag.econ.10519
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    File URL: https://ageconsearch.umn.edu/record/10519/files/dp020014.pdf
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    References listed on IDEAS

    as
    1. Krupnick, Alan J. & Burtraw, Dallas, 1996. "The social costs of electricity: Do the numbers add up?," Resource and Energy Economics, Elsevier, vol. 18(4), pages 423-466, December.
    2. Burtraw, Dallas & Palmer, Karen L. & Bharvirkar, Ranjit & Paul, Anthony, 2001. "Cost-Effective Reduction of NOx Emissions from Electricity Generation," Discussion Papers 10677, Resources for the Future.
    3. Burtraw, Dallas & Palmer, Karen & Bharvirkar, Ranjit & Paul, Anthony, 2001. "The Effect of Allowance Allocation on the Cost of Carbon Emission Trading," RFF Working Paper Series dp-01-30-, Resources for the Future.
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    More about this item

    Keywords

    Resource /Energy Economics and Policy;

    JEL classification:

    • L94 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Electric Utilities
    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices

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