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U.S. Department of Energy
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Economics of wood, natural gas, and coal-fired boilers under alternative land- and air-pollution standards: three Ohio cases

Thesis/Dissertation ·
OSTI ID:5658215
This study compares the discounted cash flows of wood (wastes, forest or plantation chips), natural gas, and coal boilers at varying air- and land-pollution compliance levels. Three boiler-size case studies, small (2.75 MMBtu/h), medium (40.1 MMBtu/h) and large (71.1 MMBtu/h), are developed and compared under two discounted-cash-flow analyses (financial and economic). The cash-flow analysis is based on the inclusion of minimal land- and air-pollution compliance costs (financial) versus stricter compliance costs resulting from newly proposed federal guidelines (economic). The economic analysis uses an optimization model to internalize sulfur and particulate emission shadow prices. Results suggest wood wastes are the only competitive wood-combustion feedstock. Wastes from wood-product industries are financially and economically competitive fuels, but can provide only a limited proportion, 3 to 5%, of Ohio's 1982 industrial coal and natural gas demand. Wood gasification still faces technological problems limiting its commercial feasibility. Forest chips may be an optimal fuel for medium-size combustion boilers only if historic coal prices return and stricter air-pollution standards are enforced. Otherwise, cleaned coal appears socially optimal over chips.
OSTI ID:
5658215
Country of Publication:
United States
Language:
English