| Greenhouse Gas Emissions Trading: Case Studies
Emitter: Typical coal fired generation plant (based on 1990 figures):
- Installed Capacity: 1320MW (2*660MW steam turbines, subbituminous coal)
- Generation: 9,828,720 MWh/yr (assuming 85% capacity factor)
- CO2emissions (1990): 9,482,659 metric tons per year (based on 2,127lb CO2/MWh)
- Assuming the US Kyoto compliance requirement of 7% below 1990 levels (assumes that requirement for plants is same as country requirement): 8,818,873.70 metric tons
- Hence, potential annual reductions for the first compliance period (2008-2012) under future regulations:
2008-2012 average: 9,482,659.89 metric tons per year - 7% below 1990: 8,818,873.70 metric tons per year = required reductions: 663,786.19 metric tons per year.
- Annual costs of compliance for different prices per ton CO2:
| Approximate annual required reductions 2008-2012 (metric tons CO2E) |
Price per ton ($) |
Total annual cost of compliance |
|
663,786
|
$ 1 |
$ 663,786
|
|
663,786
|
$ 5 |
$ 3,318,931
|
|
663,786
|
$ 10 |
$ 6,637,862
|
|
663,786
|
$ 50 |
$ 33,189,310
|
Additional cases to be added
.. |