Despite the many benefits of energy, most of which are reflected in energy market prices, the production, distribution, and use of energy causes negative effects. Many of these negative effects are not reflected in energy market prices. When market failures like this occur, there may be a case for government interventions in the form of regulations, taxes, fees, tradable permits, or other instruments that will motivate recognition of these external or hidden costs.
The Hidden Costs of Energy defines and evaluates key external costs and benefits that are associated with the production, distribution, and use of energy, but are not reflected in market prices. The damage estimates presented are substantial and reflect damages from air pollution associated with electricity generation, motor vehicle transportation, and heat generation. The book also considers other effects not quantified in dollar amounts, such as damages from climate change, effects of some air pollutants such as mercury, and risks to national security.
While not a comprehensive guide to policy, this analysis indicates that major initiatives to further reduce other emissions, improve energy efficiency, or shift to a cleaner electricity generating mix could substantially reduce the damages of external effects. A first step in minimizing the adverse consequences of new energy technologies is to better understand these external effects and damages. The Hidden Costs of Energy will therefore be a vital informational tool for government policy makers, scientists, and economists in even the earliest stages of research and development on energy technologies.
National Research Council. 2010. Hidden Costs of Energy: Unpriced Consequences of Energy Production and Use. Washington, DC: The National Academies Press. https://doi.org/10.17226/12794.
|Hidden Costs of Energy
|2 Energy for Electricity
|3 Energy for Transportation
|4 Energy for Heat
|5 Climate Change
|6 Infrastructure and Security
|7 Overall Conclusions and Recommendations
|Common Units and Conversions
|Appendix A: Biographic Information on the Committee on Health, Environmental, and Other External Costs and Benefits of Energy Production and Consumption
|Appendix B: A Simple Diagrammatic Example of an Externality
|Appendix C: Description of the Air Pollution Emission Experiments and Policy (APEEP) Model and Its Application
|Appendix D: Description of GREET and Mobile6 Models and Their Applications
|Appendix E: Supplemental Information on Land-Use Externalities from Biofuels: A Case Study of the Boone River Watershed
The Chapter Skim search tool presents what we've algorithmically identified as the most significant single chunk of text within every page in the chapter. You may select key terms to highlight them within pages of each chapter.
The National Academies Press (NAP) has partnered with Copyright Clearance Center's Marketplace service to offer you a variety of options for reusing NAP content. Through Marketplace, you may request permission to reprint NAP content in another publication, course pack, secure website, or other media. Marketplace allows you to instantly obtain permission, pay related fees, and print a license directly from the NAP website. The complete terms and conditions of your reuse license can be found in the license agreement that will be made available to you during the online order process. To request permission through Marketplace you are required to create an account by filling out a simple online form. The following list describes license reuses offered by the NAP through Marketplace:
Click here to obtain permission for the above reuses. If you have questions or comments concerning the Marketplace service, please contact:
US Toll Free +1.855.239.3415
To request permission to distribute a PDF, please contact our Customer Service Department at firstname.lastname@example.org.