Donald A. Hanson

Decomposition of changes in energy intensity: A comparison of the Divisia index and other methods☆

Abstract The desirability of separating the effects of underlying shifts in the composition of the economy from changes in energy use patterns has been recognized by many researchers. The similarity between this decomposition of aggregate measures of energy intensity into its component parts and decomposition of aggregate output (cost) data into price and quantity indices is less well known. This paper makes some comparisons between energy intensity decomposition and the formulation of economic indices. We illustrate the useful properties of one particular index, the Divisia index in performing energy intensity decomposition.

Targeted strategies for control of acidic deposition

This article examines a new approach to reducing sulfur dioxide emissions for the purpose of controlling acidic deposition: reducing emissions so as to maximize the reduction in sulfur deposition in certain sensitive receptor regions while minimizing the costs of control. State-of-the-art atmospheric transport models and pollution control models, while subject to acknowledged uncertainty, are used in combination to compare the merits of alternative control strategies. In strategies targeted for the Adirondacks, this article shows that costs could be reduced by 75–90%, compared to two of the bills before the U.S. Senate, to achieve the same amount of deposition reduction. Targeted strategies are also presented that would achieve multiple objectives, such as optimal deposition reduction in several receptor areas simultaneously, and that would achieve specified deposition goals for each of several receptor areas. The sensitivity of targeted strategies to meteorological variability is discussed. Finally, the ...

Natural gas market expansion and delivery infrastructure costs : The case of New England

Abstract A methodology is developed to assess the size of potential regional markets for natural gas and the resulting gas delivery infrastructure costs to be incurred in serving these markets, including distribution, transmission, storage and other operating costs. Its application to the New England region suggests that the optimal penetration strategy must involve new customers located in metropolitan areas endowed with distribution lines, and particularly large industrial and electric utility customers. However, connecting communities in remote, low-density rural areas, is, in mot cases, economically unfeasible. The results also suggest that price discrimination favoring residential customers is widespread, pointing to the need for changes in cost allocation and pricing practices.

3.4. Set of models

The use of disparate and detailed engineering and economic models is often necessary for environmental policy analysis and forecasting. However, to conduct consistent forecasting and policy analysis over all economic sectors these disparate models must be coordinated into a consistent model set. One approach to such a modeling effort is illustrated by the NAPAP Integrated Model Set, a collection of engineering, emissions-forecasting and energy-market models that is driven by and interacts with other energy-market and economic models.

Optimal Control Model of Technology Transition

This paper discusses the use of optimisation software to solve an optimal control problem arising in the modelling of technology transition. We set up a series of increasingly complex models with such features as learning-by-doing, adjustment cost, and capital investment. The models are written in continuous time and then discretised by using different methods to transform them into large-scale non-linear programs. We use a modelling language and numerical optimisation methods to solve the optimisation problem. Our results are consistent with findings in the literature and highlight the impact the discretisation choice has on the solution and accuracy.