Electricity restructuring and the environment

Journal Article · Sun Dec 01 04:00:00 EST 1996 · Electricity Journal

DOI:https://doi.org/10.1016/S1040-6190(96)80150-3· OSTI ID:482524

Lee, H; Darani, N

Competition may offset many of the environmental shortcomings of past regulatory regimes, although it is possible that competition will result in older, dirtier coal plants being kept on-line and used more often. From the outset of the U.S. electricity restructuring debate, environmental impacts have been a major point of contention. From California to Maine, concerns ranging from the demise of renewables to increased ozone concentrations have slowed the acceptance of industry-wide competition. The Federal Energy Regulatory Commission`s Draft Environmental Impact Statement on transmission access unleashed a storm of protests from elected officials, environmental groups and the U.S. Environmental Protection Agency. Environmentalists feared that restructuring of the industry would result in the {open_quotes}commoditization{close_quotes} of the kilowatt hour, undercutting the growth in conservation/demand-side management programs, retarding investments in wind, biomass and solar energy technologies and increasing the use of older, dirtier power plants. Are their fears well-founded? To answer this broad question, the authors focus their article on four key environmental topics. (1) If a competitive market eliminates the usefulness of participatory processes, such as integrated resource planning (IRP), will social considerations, such as increased environmental protection, be ignored? (2) Will the growth in demand-side management investments evaporate; and if so, will the environmental consequences be serious? (3) Is the USA likely to see sharp increases in air pollution from older, dirtier coal plants and will these increases impair the ability of the Northeast states to meet federally mandated reduction targets? (4) If competitive pressures push utilities to prematurely retire some of their nuclear plants, what will be the environmental consequences?

• OSTI ID: 482524
• Journal Information: Electricity Journal, Journal Name: Electricity Journal Journal Issue: 10 Vol. 9; ISSN ELEJE4; ISSN 1040-6190
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
COMPETITION
DEREGULATION
ELECTRIC POWER INDUSTRY
ENVIRONMENTAL IMPACTS