A framework for evaluating the socioeconomic impacts of commercializing new energy technologies with an application to the on-site fuel cell energy system

In this paper, we present a general framework for assessing the societal impacts of new technologies. Such impacts can be broadly classified as economic development impacts, environmental impacts, and “other” societal impacts. We discuss the steps involved in a public sector cost-benefit analysis, starting with impact identification, and then proceeding to impact analysis, impact valuation, and ultimately to the determination of the net public sector benefits of the energy technology under study. This process is illustrated by applying it to the assessment of the dollar value of net potential benefits likely to accure to the public sector from commercialization of the on-site fuel energy system. Our analysis indicates that the potential benefits from dispersed deployment of the fuel cell make it a desirable source of energy, given the national energy priorities. Commercialization will result in substantial savings to consumers, in more efficient utilization of the nation's energy and non-energy resources, and in an ameliorative effect on the environment.