The Social Cost of Electricity
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The Social Cost of Electricity

Scenarios and Policy Implications

  • The Fondazione Eni Enrico Mattei series on Economics, the Environment and Sustainable Development

Edited by Anil Markandya, Andrea Bigano and Roberto Porchia

This book reports and rationalizes the state-of-the-art concerning the social costs of electricity generation. Social costs are assessed by adding to the private generation costs, the external costs associated with damages to human health, the environment, crops, materials, and those related to the consequences of climate change. The authors consider the evolution of these costs up to 2030 for major electricity generating technologies and, using these estimates, evaluate policy options for external cost internalization, providing quantitative scenarios by country and primary fuel for 2010, 2020 and 2030. While mainly focusing on European countries, the book also examines the situation in key emerging economies such as China, India, Brazil and Turkey.
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Chapter 5: Methodology and Results in Non-EU Countries

Xianli Zhu, Lars Rosendahl Appelquist and Kirsten Halsnæs

Extract

The Social Cost of Electricity 13/09/2010 18.19 Chap. 05 p. 155 5. Methodology and Results in Non-EU Countries Xianli Zhu, Lars Rosendahl Appelquist and Kirsten Halsnæs 5.1 SOCIAL COSTS ASSESSMENT IN NON-EU COUNTRIES Background This chapter is aimed at understanding the social costs of various fuel cycles for electricity generation in four non-EU countries. It has two main objectives, namely: (1) to develop a methodological framework that can be used to calculate the external costs of energy fuel cycles in Brazil, China, India and Turkey; and (2) to undertake studies of at least two national fuel cycles in each of these countries. The results should generate new insights into the external costs of fuel cycles in the EU compared with cost levels in non-EU countries. For application in non-EU countries, we developed a simplified methodological framework that can be used to transform scenario- and modelbased cost data into the database system which has been developed in the ExterneE project. This framework allows cost data generated by the participating non-EU countries to be compared with the cost of fuel cycles in the EU. This chapter is based on the seven research reports written on this subject within the CASES project, including: • a methodology report; • four national reports on external costs of fuel cycles in the participating non-EU countries (Jiang et al., 2007; Rovere et al., 2007; Shukla and Mahapatra, 2007; TUBITAK, 2007); and • a report on the comparative assessment of fuel cycle costs and methodological challenges across the participating countries....

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