Economic Efficiency of SOx Standards

Kevin Rodman
John D. Keenan

DOI: 10.2190/9HE8-EX6E-YY4V-AE2D


The economic efficiency of the SOx New Source Performance Standards (NSPS) is examined by comparing the costs to comply by flue gas desulfurization with a combination of low sulfur coal, physical coal cleaning, and smaller FGD systems. The analysis is performed on a site specific basis. In some instances, the NSPS were found to be inefficient. In such cases the NSPS increased costs between 1 and 8 percent. A number of implications for policy design are discussed.

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