Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka

This study of the long-term environmental impacts and policy options for power sector development in Karnataka, is one of a series undertaken by the Bank, in cooperation with the Government of India and state governments. It is a follow-up to the b...

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Bibliographic Details
Main Author: World Bank
Format: ESMAP Paper
Language:English
en_US
Published: Washington, DC 2014
Subjects:
AIR
ASH
LNG
OIL
SO2
SOX
Online Access:http://documents.worldbank.org/curated/en/2004/10/6039568/environmental-issues-power-sector-long-term-impacts-policy-options-karnataka
http://hdl.handle.net/10986/18083
id okr-10986-18083
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ACID RAIN
ADVERSE ENVIRONMENTAL IMPACTS
AGGREGATE DEMAND
AIR
AIR EMISSIONS
AIR POLLUTION
ANNUAL CAPACITY FACTOR
ASH
AUDITS
BAGASSE COGENERATION
BASELINE EXPANSION PLAN
BED COMBUSTION
BIOGAS
CARBON
CLEAN DEVELOPMENT
CLEAN DEVELOPMENT MECHANISM
CLIMATE
CLIMATE CHANGE
COAL
COAL PRICES
COAL WASHING
COGENERATION
COGENERATION PLANTS
COLORS
COST OF COAL
CRUDE OIL
DAMS
DESULFURIZATION
DIESEL
DIESEL FUEL
DIESEL OIL
DISTRIBUTION COMPANY
DIVIDENDS
DOMESTIC COAL
DROUGHT
ECONOMIC ANALYSIS
ECONOMIC DEVELOPMENT
ELECTRICITY
ELECTRICITY BOARDS
ELECTRICITY DISTRIBUTION
ELECTRICITY SUPPLY
EMISSION
EMISSION CALCULATION
EMISSION STANDARDS
EMISSIONS
ENERGY SOURCES
ENVIRONMENTAL ASPECTS
ENVIRONMENTAL BENEFITS
ENVIRONMENTAL COSTS
ENVIRONMENTAL DAMAGE
ENVIRONMENTAL IMPACTS
ENVIRONMENTAL ISSUES
ENVIRONMENTAL LITIGATION
ENVIRONMENTAL PERFORMANCE
ENVIRONMENTAL POLICIES
ENVIRONMENTAL POLICY
ENVIRONMENTAL PROBLEMS
ENVIRONMENTAL PROTECTION
ENVIRONMENTAL REGULATIONS
ENVIRONMENTAL SUSTAINABILITY
EXCHANGE RATE
FLUE GAS
FOSSIL PLANTS
FUEL
FUEL PRICING
FUELS
GAS PIPELINE
GAS PRICES
GENERATION UNITS
GLOBAL ENVIRONMENT
GLOBAL ENVIRONMENT FACILITY
GREENHOUSE
GREENHOUSE GAS
HEAT
HEAT CONTENT
HEATERS
INCOME
INSURANCE
IPCC
LNG
LOAD CURVE
MARGINAL COST
MARKET LIBERALIZATION
NATURAL GAS
NUCLEAR POWER
OIL
OIL PRICES
OPEC
OPPORTUNITY COSTS
PARTICULATE EMISSIONS
PARTICULATE MATTER
PER CAPITA INCOME
POLLUTION
POLLUTION CONTROL
POWER DEVELOPMENT
POWER GENERATION
POWER PLANTS
POWER PROJECTS
POWER SECTOR
POWER SYSTEMS
POWER TRADING
POWER TRANSMISSION
POWER UTILITIES
PRESENT VALUE
PRICE ELASTICITIES
PRODUCERS
PURCHASING POWER
RENEWABLE ENERGY
RIVER BASINS
SO2
SOX
SULFUR
SULFUR DIOXIDE
SULFUR EMISSIONS
SURFACE WATER
SUSTAINABLE DEVELOPMENT
THERMAL POWER
TRANSFER PAYMENTS
VARIABLE COSTS
VOLTAGE
WASTE
WASTE DISPOSAL
WIND
WIND GENERATION
WIND POWER
WORLD OIL
spellingShingle ACID RAIN
ADVERSE ENVIRONMENTAL IMPACTS
AGGREGATE DEMAND
AIR
AIR EMISSIONS
AIR POLLUTION
ANNUAL CAPACITY FACTOR
ASH
AUDITS
BAGASSE COGENERATION
BASELINE EXPANSION PLAN
BED COMBUSTION
BIOGAS
CARBON
CLEAN DEVELOPMENT
CLEAN DEVELOPMENT MECHANISM
CLIMATE
CLIMATE CHANGE
COAL
COAL PRICES
COAL WASHING
COGENERATION
COGENERATION PLANTS
COLORS
COST OF COAL
CRUDE OIL
DAMS
DESULFURIZATION
DIESEL
DIESEL FUEL
DIESEL OIL
DISTRIBUTION COMPANY
DIVIDENDS
DOMESTIC COAL
DROUGHT
ECONOMIC ANALYSIS
ECONOMIC DEVELOPMENT
ELECTRICITY
ELECTRICITY BOARDS
ELECTRICITY DISTRIBUTION
ELECTRICITY SUPPLY
EMISSION
EMISSION CALCULATION
EMISSION STANDARDS
EMISSIONS
ENERGY SOURCES
ENVIRONMENTAL ASPECTS
ENVIRONMENTAL BENEFITS
ENVIRONMENTAL COSTS
ENVIRONMENTAL DAMAGE
ENVIRONMENTAL IMPACTS
ENVIRONMENTAL ISSUES
ENVIRONMENTAL LITIGATION
ENVIRONMENTAL PERFORMANCE
ENVIRONMENTAL POLICIES
ENVIRONMENTAL POLICY
ENVIRONMENTAL PROBLEMS
ENVIRONMENTAL PROTECTION
ENVIRONMENTAL REGULATIONS
ENVIRONMENTAL SUSTAINABILITY
EXCHANGE RATE
FLUE GAS
FOSSIL PLANTS
FUEL
FUEL PRICING
FUELS
GAS PIPELINE
GAS PRICES
GENERATION UNITS
GLOBAL ENVIRONMENT
GLOBAL ENVIRONMENT FACILITY
GREENHOUSE
GREENHOUSE GAS
HEAT
HEAT CONTENT
HEATERS
INCOME
INSURANCE
IPCC
LNG
LOAD CURVE
MARGINAL COST
MARKET LIBERALIZATION
NATURAL GAS
NUCLEAR POWER
OIL
OIL PRICES
OPEC
OPPORTUNITY COSTS
PARTICULATE EMISSIONS
PARTICULATE MATTER
PER CAPITA INCOME
POLLUTION
POLLUTION CONTROL
POWER DEVELOPMENT
POWER GENERATION
POWER PLANTS
POWER PROJECTS
POWER SECTOR
POWER SYSTEMS
POWER TRADING
POWER TRANSMISSION
POWER UTILITIES
PRESENT VALUE
PRICE ELASTICITIES
PRODUCERS
PURCHASING POWER
RENEWABLE ENERGY
RIVER BASINS
SO2
SOX
SULFUR
SULFUR DIOXIDE
SULFUR EMISSIONS
SURFACE WATER
SUSTAINABLE DEVELOPMENT
THERMAL POWER
TRANSFER PAYMENTS
VARIABLE COSTS
VOLTAGE
WASTE
WASTE DISPOSAL
WIND
WIND GENERATION
WIND POWER
WORLD OIL
World Bank
Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka
geographic_facet South Asia
India
relation Energy Sector Management Assistance Program (ESMAP);no. ESM 293
description This study of the long-term environmental impacts and policy options for power sector development in Karnataka, is one of a series undertaken by the Bank, in cooperation with the Government of India and state governments. It is a follow-up to the broader study Environmental Issues in the Power Sector (EIPS) (ESMAP/World Bank 1998), and the general methodology developed for EIPS, is used for this analysis. The study begins by evaluating the impacts of the baseline reform scenario, and then perturbs this scenario for the options examined, including a scenario of "stalled reform," to enable assessment of the costs and benefits of reform. Because Karnataka has already implemented significant reform measures, "no reform" (as used in the original 1998 EIPS study) is not a useful scenario. The critical insight of this study is that the damage costs of emissions from grid-based fossil plants are between one and two orders of magnitude smaller than those of captive and self-generation units, emissions from which are essentially uncontrolled, and occur in more populated areas at, or near ground level. The report addresses the coal-by-wire option, which would shift from Karnataka to the producing states the environmental impacts that are associated with coal generation. It may well be that the producing states will as a result, have to impose much higher coal royalties, and, it is also likely that coal-producing areas would encounter water resource constraints: while Karnataka is a drought-prone state for which the opportunity costs of consumptive use are higher than in the eastern states of Bihar and Orissa, it is unclear if mine-mouth projects in those states could serve the bulk of the power needs of both southern, and northern India in the decade 2010-2020. The study highlights that power sector reform is the single most important step that may be taken to mitigate the environmental impacts of the power sector, while tariff reform is the second most important policy option for environmental sustainability, with demand-side management being a win-win factor. Consumptive water use for thermal generation is a major issue in Karnataka. Gas combined-cycle combustion turbines, which are attractive for their relatively low air emissions, consume only one third of the water that a steam-cycle project uses. The use of imported coal would be a viable option for Karnataka, if the existing customs duty on imported coal were to be removed. This study shows that the probable capital cost decreases for wind power, would still permit an acceptable rate of return for developers, but that the pace of new projects may slow as only the best sites will warrant development under the new tariff.
format Publications & Research :: ESMAP Paper
author World Bank
author_facet World Bank
author_sort World Bank
title Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka
title_short Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka
title_full Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka
title_fullStr Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka
title_full_unstemmed Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka
title_sort environmental issues in the power sector : long-term impacts and policy options for karnataka
publisher Washington, DC
publishDate 2014
url http://documents.worldbank.org/curated/en/2004/10/6039568/environmental-issues-power-sector-long-term-impacts-policy-options-karnataka
http://hdl.handle.net/10986/18083
_version_ 1764437254122504192
spelling okr-10986-180832021-04-23T14:03:38Z Environmental Issues in the Power Sector : Long-Term Impacts and Policy Options for Karnataka World Bank ACID RAIN ADVERSE ENVIRONMENTAL IMPACTS AGGREGATE DEMAND AIR AIR EMISSIONS AIR POLLUTION ANNUAL CAPACITY FACTOR ASH AUDITS BAGASSE COGENERATION BASELINE EXPANSION PLAN BED COMBUSTION BIOGAS CARBON CLEAN DEVELOPMENT CLEAN DEVELOPMENT MECHANISM CLIMATE CLIMATE CHANGE COAL COAL PRICES COAL WASHING COGENERATION COGENERATION PLANTS COLORS COST OF COAL CRUDE OIL DAMS DESULFURIZATION DIESEL DIESEL FUEL DIESEL OIL DISTRIBUTION COMPANY DIVIDENDS DOMESTIC COAL DROUGHT ECONOMIC ANALYSIS ECONOMIC DEVELOPMENT ELECTRICITY ELECTRICITY BOARDS ELECTRICITY DISTRIBUTION ELECTRICITY SUPPLY EMISSION EMISSION CALCULATION EMISSION STANDARDS EMISSIONS ENERGY SOURCES ENVIRONMENTAL ASPECTS ENVIRONMENTAL BENEFITS ENVIRONMENTAL COSTS ENVIRONMENTAL DAMAGE ENVIRONMENTAL IMPACTS ENVIRONMENTAL ISSUES ENVIRONMENTAL LITIGATION ENVIRONMENTAL PERFORMANCE ENVIRONMENTAL POLICIES ENVIRONMENTAL POLICY ENVIRONMENTAL PROBLEMS ENVIRONMENTAL PROTECTION ENVIRONMENTAL REGULATIONS ENVIRONMENTAL SUSTAINABILITY EXCHANGE RATE FLUE GAS FOSSIL PLANTS FUEL FUEL PRICING FUELS GAS PIPELINE GAS PRICES GENERATION UNITS GLOBAL ENVIRONMENT GLOBAL ENVIRONMENT FACILITY GREENHOUSE GREENHOUSE GAS HEAT HEAT CONTENT HEATERS INCOME INSURANCE IPCC LNG LOAD CURVE MARGINAL COST MARKET LIBERALIZATION NATURAL GAS NUCLEAR POWER OIL OIL PRICES OPEC OPPORTUNITY COSTS PARTICULATE EMISSIONS PARTICULATE MATTER PER CAPITA INCOME POLLUTION POLLUTION CONTROL POWER DEVELOPMENT POWER GENERATION POWER PLANTS POWER PROJECTS POWER SECTOR POWER SYSTEMS POWER TRADING POWER TRANSMISSION POWER UTILITIES PRESENT VALUE PRICE ELASTICITIES PRODUCERS PURCHASING POWER RENEWABLE ENERGY RIVER BASINS SO2 SOX SULFUR SULFUR DIOXIDE SULFUR EMISSIONS SURFACE WATER SUSTAINABLE DEVELOPMENT THERMAL POWER TRANSFER PAYMENTS VARIABLE COSTS VOLTAGE WASTE WASTE DISPOSAL WIND WIND GENERATION WIND POWER WORLD OIL This study of the long-term environmental impacts and policy options for power sector development in Karnataka, is one of a series undertaken by the Bank, in cooperation with the Government of India and state governments. It is a follow-up to the broader study Environmental Issues in the Power Sector (EIPS) (ESMAP/World Bank 1998), and the general methodology developed for EIPS, is used for this analysis. The study begins by evaluating the impacts of the baseline reform scenario, and then perturbs this scenario for the options examined, including a scenario of "stalled reform," to enable assessment of the costs and benefits of reform. Because Karnataka has already implemented significant reform measures, "no reform" (as used in the original 1998 EIPS study) is not a useful scenario. The critical insight of this study is that the damage costs of emissions from grid-based fossil plants are between one and two orders of magnitude smaller than those of captive and self-generation units, emissions from which are essentially uncontrolled, and occur in more populated areas at, or near ground level. The report addresses the coal-by-wire option, which would shift from Karnataka to the producing states the environmental impacts that are associated with coal generation. It may well be that the producing states will as a result, have to impose much higher coal royalties, and, it is also likely that coal-producing areas would encounter water resource constraints: while Karnataka is a drought-prone state for which the opportunity costs of consumptive use are higher than in the eastern states of Bihar and Orissa, it is unclear if mine-mouth projects in those states could serve the bulk of the power needs of both southern, and northern India in the decade 2010-2020. The study highlights that power sector reform is the single most important step that may be taken to mitigate the environmental impacts of the power sector, while tariff reform is the second most important policy option for environmental sustainability, with demand-side management being a win-win factor. Consumptive water use for thermal generation is a major issue in Karnataka. Gas combined-cycle combustion turbines, which are attractive for their relatively low air emissions, consume only one third of the water that a steam-cycle project uses. The use of imported coal would be a viable option for Karnataka, if the existing customs duty on imported coal were to be removed. This study shows that the probable capital cost decreases for wind power, would still permit an acceptable rate of return for developers, but that the pace of new projects may slow as only the best sites will warrant development under the new tariff. 2014-04-25T21:03:02Z 2014-04-25T21:03:02Z 2004-10 http://documents.worldbank.org/curated/en/2004/10/6039568/environmental-issues-power-sector-long-term-impacts-policy-options-karnataka http://hdl.handle.net/10986/18083 English en_US Energy Sector Management Assistance Program (ESMAP);no. ESM 293 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ Washington, DC Publications & Research :: ESMAP Paper Publications & Research South Asia India