This paper deals with the effects of uncertainty and risk aversion on market outcomes for SO{sub 2} emission allowance … prices and on electric utility compliance choices. The 1990 Clean Air Act Amendments (CAAA), which are briefly reviewed here …. Considering the scrubber incentives in Phase 1, there is likely to be substantial emission banking for use in Phase 2. Allowance …

retain overall control of the evolution of the regulated electric supply market. …The Clean Air Act Amendments of 1990 (hereafter CAAA) have created a market-based mechanism that is designed to employ …-based profit-incentive process into the traditional rate-base, rate-of-return, profit-control approach to regulation. How the …

This paper deals with the market for SO{sub 2} emission allowances over time and electric utility compliance choices … scrubber incentives in Phase 1, there is likely to be substantial emission banking for use in Phase 2. Allowance prices are … or other potential speculators in the allowance market are not expected to bank allowances. The allowances will be banked …

The effectiveness of SO{sub 2} emission allowance trading under Title 4 of the 1990 Amendments to the Clean Air Act … (CAA) is of great interest due to the innovative nature of this market incentive approach. However, it may be a mistake to … frame the compliance problem for a utility as a decision to trade or not. Trading of allowances should be the consequence …

Several bills were introduced in the past two Congresses to reduce emissions of sulfur dioxide and nitrogen oxides from …

dispatched at lower capacity factors. If SO{sub 2} emission allowance prices go up, a utility may seek to switch into a lower … banking of allowances under uncertainty. It is concluded that the emission banking decisions should not be made in isolation … uncertainty analysis affecting emission banking. …

This paper deals with the effects of uncertainty and risk aversion on market outcomes for SO{sub 2} emission allowance … prices and on electric utility compliance choices. The 1990 Clean Air Act Amendments (CAAA) provide about twice as many SO … in Phase I, there is likely to be substantial emission banking for use in Phase II. Allowance prices may increase over …

, thereby entailing high initial carbon emission tax rates or permit prices. This paper claims that these high initial tax rates … or permit prices are not cost-effective in achieving the desired degree of climate change control. A cost …

retain overall control of the evolution of the regulated electric supply market. …The Clean Air Act Amendments of 1990 (hereafter CAAA) have created a market-based mechanism that is designed to employ …-based profit-incentive process into the traditional rate-base, rate-of-return, profit-control approach to regulation. How the …