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Aligning electricity energy policies in Alaska: analysis of the power cost equalization and renewable energy fund programs

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dc.contributor.author Villalobos Meléndez, Alejandra
dc.date.accessioned 2018-05-31T22:03:06Z
dc.date.available 2018-05-31T22:03:06Z
dc.date.issued 2012-05
dc.identifier.uri http://hdl.handle.net/11122/8468
dc.description Thesis (M.S.) University of Alaska Fairbanks, 2012 en_US
dc.description.abstract Most rural Alaska communities are not road connected and must cope with challenging arctic environmental conditions. Due to their remoteness and sparse populations, these villages depend on isolated non-grid connected electric generation systems that operate on fuel oil. In Alaska, the Power Cost Equalization program is a 25 year long energy subsidy that targets rural residents to provide energy costs relief. A more recent state incentive program, the Renewable Energy Fund, was developed to expand the use of renewable resources and lower the cost of energy. Some rural communities have benefited from this program and have integrated renewable energy to their systems, particularly installing Wind-Diesel systems. Both programs have congruent goals of alleviating dependence on high cost fossil fuels to generate electricity as means to foster development and higher quality of life in rural Alaska communities. However, their incentive structure may conflict. This paper provides a review of these two energy subsidy policies with a particular focus on the Power Cost Equalization program and offers potential changes to its structure such that social cost impacts to rural residents are minimized while removing incentive barriers against energy efficiency and integration of renewable energy in rural Alaska communities. en_US
dc.description.tableofcontents 1. Power Cost Equalization -- Introduction -- Evolution to Power Cost Equalization -- Power Cost Equalization established -- Power Cost Equalization program implementation -- PCE level funding formula -- 2. Renewable Energy Fund -- Early Alaska renewable energy efforts -- Renewable Energy Fund history -- Renewable Energy Fund grant process -- 3. Review of electricity consumption and rates in Alaska regions and PCE communities -- Aleutians -- Bering Straits -- Bristol Bay -- Copper River/Chugach -- Kodiak -- Lower Yukon/Kuskokwim -- North Slope -- Northwest Arctic -- Railbelt -- Southeast -- Yukon-Koyukuk/Upper Tanana -- PCE Communities rates and consumption -- 4. Misalignment between PCE and REF -- Impacts of PCE on efficiency, innovation and conservation incentives -- General price and consumption incentives -- Fuel cost calculations -- Distribution of renewable energy savings -- 5. Measuring the price elasticity of demand in PCE communities -- Model -- Methods -- Data sources -- PCE program data -- PCE data quality -- Other sources -- Results -- Diagnostic tests -- Regression results -- Diagnostic tests -- Regression results -- 6. Aligning PCE and REF -- Alternative PCE formula -- Seasonal fixed payment formula -- 7. Policy considerations -- Coordinating state policy and programs -- Centralized versus disaggregated generation -- Conclusions -- References -- Appendices. en_US
dc.language.iso en_US en_US
dc.subject Power Cost Equalization Program (Alaska) en_US
dc.subject Renewable Energy Fund Program (Alaska) en_US
dc.subject Electric utilities en_US
dc.subject Rates en_US
dc.subject Government policy en_US
dc.subject Alaska en_US
dc.subject Economic aspects en_US
dc.subject Law and legislation en_US
dc.subject Rural electrification en_US
dc.subject Renewable energy sources en_US
dc.title Aligning electricity energy policies in Alaska: analysis of the power cost equalization and renewable energy fund programs en_US
dc.type Thesis en_US
dc.type.degree ms en_US
dc.identifier.department M.S. Economics en_US
dc.contributor.chair Little, Joseph
dc.contributor.committee Huskey, Lee
dc.contributor.committee Baek, Jungho


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