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here are simplified calculations presented in the BCA in order to make it easier to see the role of different estimates of the social cost of carbon, different ways of discounting, and how the choice...

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here are simplified calculations presented in the BCA in order to make it easier to see the role of different estimates of the social cost of carbon, different ways of discounting, and how the choice to value associated pollutants might affect the net present value estimates. The job for your teams is to complete the yellow boxes in the spreadsheet that you can find in theBenefit-Cost Analysis Excel Spreadsheet for the Clean Power PlandownloaThat is, you need to:

  1. Calculate the benefits for each year of each scenario and discount them in columns H, I, and J.
  2. Sum up these benefits to calculate the present value for each scenario.
  3. Calculate the costs for each year of each scenario and discount them in columns L and M.
  4. In row 51, calculate the net present value for each scenario by subtracted the appropriate discounted costs from each of the discounted benefits.
Answered Same Day Apr 21, 2021

Solution

Komalavalli answered on Apr 21 2021
144 Votes
Sheet1
    Project emission impacts and compliance costs, relative to base year 2020
            Co2 Emissions
        2020    2025    2030
    Base Case    2155    2165    2227
    Mass-based    2073    1901    1814
    Co-benefits        Sox        difference
    Base    1311    1275    1314    54    185    280
    Mass-based    1257    1090    1034
    Benefit per ton    92,000
            Nox
    Base    1333    1302    1293    61    202    278
    Mass-based    1272    1100    1015
    Benefit per ton    14,000
            Hg
    Base    6.6    6.6    6.8
    Mass-based    6.4    5.8    5.8
    Benefit per ton
    Compliance costs in billions
    Mass based    1.4    3    5.1
    The power industry’s “compliance costs” are represented in this analysis as the change in electric power generation costs
    between the base case and illustrative CPP scenarios, including the cost of demand-side energy efficiency programs and
    measures and monitoring, reporting, and recordkeeping (MR&R) costs.
    SC Ca
on low    SC Ca
on medium    Abatement of CO2 relative to base in millions of short tons    Abatement of Sox relative to base in millions of short tons    Abatement of Nox relative to base in millions of short tons    Cost of SOx per ton (these are...
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