Economic and environmental analysis of large and small electric power stations in the Rocky Mountain West

Abstract

This report provides a detailed, technical account of the results of a 2-year study of small vs. large coal-fired power plants in the Rocky Mountain West. Prepared by an interdisciplinary team of scientists, the report examines the differences between a single 3000-MW plant and several 500-MW plants that would deliver an equivalent amount of electrical power. Economic issues examined in the study include the tradeoffs between economies of scale and reliability, the problems of obtaining permit approval, the accuracy of load forecasting, and the difficulties in planning and financing capacity additions. Environmental issues include the degradation of atmospheric visibility caused by air pollution, the effect of mining, transporting, and burning coal on occupational and public health and safety, the boom town impacts on the small towns near the construction sites, and the impacts associated with the consumption of water for plant cooling. The economic and environmental analyses were performed for large and small plants that are located in southeastern Utah, burn coal from nearby underground mines, and transmit electricity to southern California for consumption. The report concludes with a summary of the economic and environmental results of the comparison of large and small plants. Environmental differences are found to bemore » extremely dependent on site specific features. Consequently, the environmental findings are not easily transferred to other regions of the country. The economic differences, on the other hand, are much less dependent on the specific set of assumptions used in the study and, therefore, are more likely to apply to utilities operating in other regions of the country.« less