Mitigation of Sulfur Dioxide Emission for Utility Expansion: A Long Term Model Incorporating Independent Power

Earl-Juei Wang

doi:10.6180/jase.1999.2.4.02

Mitigation of Sulfur Dioxide Emission for Utility Expansion: A Long Term Model Incorporating Independent Power

Earl-Juei Wang¹

¹Department of Industrial Management National Pingtung University of Science and Technology Pingtung, Taiwan 912, R.O.C.

Received: October 14, 1999
Accepted: December 12, 1999
Publication Date: December 12, 1999

Download Citation: ||https://doi.org/10.6180/jase.1999.2.4.02

ABSTRACT

Efforts to reduce levels of sulfur dioxide (SO2) are increasingly emphasized as an effective response to dire environmental circumstances worldwide. In light of the vast number of environmental uncertainties, a utility must analyze the nexus of different alternatives from a broader and long-term perspective with various implications. While attempting to comply with environmental provisions and satisfying privatization trends in the electric industry, this work presents a novel model which includes alternatives such as switching fuels, installing scrubbers, purchasing emission credits, and procuring power for thermal plants. Data from Taiwan’s utility scheme are used to analyze the effectiveness of the proposed model. Implementation results demonstrate that purchasing credits or procuring power from independent power producers (IPPs) is more beneficial than other alternatives. By using the proposed model, Taipower will be able to evaluate the effect of the newly issues and the governments could review the related regulations.

Keywords: Sulfur dioxide, Economic instrument, Mixed integer programming, Thermal plants, Environmental provisions

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