Analytical framework for evaluating energy and capacity shortages. Final report
- 1 April 1980
- report
- Published by Office of Scientific and Technical Information (OSTI)
Abstract
A methodology for estimating shortage cost is presented, and two examples of shortage costs are given, namely: the 1976-1977 winter shortfall in natural-gas supply, and a 1978 spot shortage in electric power. The methodology shows how to develop a comprehensive estimate of willingness-to-pay to avoid shortages - a total comprised of the willingness-to-pay producers, employees, consumers, and the general public. The 1976-1977 natural gas experience indicates that total costs per million Btu's of shortage (i.e., the cost for every Mcf of curtailment to non-residential users who are not normally curtailed) are $54 and $5 for capacity and energy shortages, respectively. The dielectric power shortage indicates that total costs per million Btu's of shortage are $670 (i.e., a cost of $2.30 for every kWh of shortage to non-residential users).Keywords
This publication has 0 references indexed in Scilit: