Switching from liquid fuels to electricity in the transportation and heating sectors can result in greenhouse gas emissions reductions. These reductions are maximized when electricity-sector carbon emissions are constrained through policy measures. We use a linear optimization, generation expansion/dispatch model to evaluate the impact of increased electricity demand for plug-in electric vehicle charging on the generating portfolio, overall generating fuel mix, and the costs of electricity generation. We apply this model to the PJM Interconnect and ISO-New England Regional Transmission Organization service areas assuming a CO2 pricing scheme that is applied to the electricity sector but does not directly regulate emissions from other sectors. We find that a shift from coal toward natural gas and wind generation is sufficient to achieve a 50% reduction in electricity-sector CO2 emissions while supporting vehicle charging for 25% of the vehicle fleet. The price impacts of these shifts are sensitive to demand side price responsiveness and the capital costs of new wind construction. © 2012 Elsevier Ltd.
CITATION STYLE
Dowds, J., Hines, P. D. H., & Blumsack, S. (2013). Estimating the impact of fuel-switching between liquid fuels and electricity under electricity-sector carbon-pricing schemes. Socio-Economic Planning Sciences, 47(2), 76–88. https://doi.org/10.1016/j.seps.2012.09.004
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