Economic and Social Costs of Coal Gasification Vs Coal Electricity for Providing Space Heat to the Central US

摘要

The possibility of using coal-electric power plants or coal gasification as a source of space heat for the Central US is considered. Though the region generates substantial amounts of nuclear power, this power is not well suited to heating demands because of the cycling characteristics of nuclear vs coal-fired power plants. Coal is abundant in the region. Consequently its use in some form is economically attractive. This paper demonstrates that the appropriate coal-based heating technology for the Central US can vary both in time and space, due to sensitivity to regional variations in climate and to temporal variations in installation rates of heating and cooling equipment. Fortunately, the paper indicates that the lower cost (which may be distinct from price as established by regulatory policy) alternatives also cause the lower socioeconomic impact. It is found that, if coal gasification proves to be most economical as a back-up in a bivalent heat pump, then the alternative with the lesser cost and socioeconomic impact will always be the most efficient alternative. Previous research is cited to show that coal electric based heat using conventional heat pumps can be more economical (if specific pricing schemes are used) than coal-gasification-based heat if the coal-electric utility selling electricity for heat is summer peaking. In this situation, coal-electric-based heat causes lower socioeconomic (boom town) impacts than gasification because (1) it is more efficient and causes less coal mining and (2) duplicate gasification facilities are not built when electrical capacity is available. Most of the US is currently summer peaking. However, it is shown that present trends in electric heating/cooling appliance installation will cause all areas but the deep south to become winter peaking. (ERA citation 05:014755)