Why Are Power Plants in India Less Efficient than Power Plants in the United States? | Zendy

H. Ron Chan | Zendy; Maureen Cropper | Zendy; Kabir Malik | Zendy

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Why Are Power Plants in India Less Efficient than Power Plants in the United States?

Author(s) -

H. Ron Chan,

Maureen Cropper,

Kabir Malik

Publication year - 2014

Publication title -

american economic review

Language(s) - English

Resource type - Journals

SCImago Journal Rank - 16.936

H-Index - 297

eISSN - 1944-7981

pISSN - 0002-8282

DOI - 10.1257/aer.104.5.586

Subject(s) - restructuring , electricity , coal , thermal power station , electricity generation , agricultural economics , natural resource economics , economics , nameplate capacity , coal fired , power station , economy , power (physics) , waste management , business , engineering , environmental science , finance , electrical engineering , physics , quantum mechanics

India's coal-fired generating capacity doubled between 1990 and 2010 and currently accounts for 70 percent of electricity produced. Despite this, thermal efficiency at state-owned coal-fired power plants in India is significantly lower than at plants in the United States. When matched on age and capacity, heat input per kWh was 8 percent higher at Indian plants between 1997 and 2009. This can only partly be explained by the lower heat content of Indian coal. Electricity sector restructuring in the United States improved thermal efficiency at investor-owned plants; however, electricity sector restructuring in India has yet to improve thermal efficiency at state-owned coal-fired power plants.

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