DocumentCode
2988400
Title
Is capacity cost allocation according to long-run marginal costing principles correct?
Author
Dingley, Charles
Author_Institution
Dept. of Electr. Eng., Cape Town Univ., Rondebosch, South Africa
Volume
2
fYear
1996
fDate
24-27 Sep 1996
Firstpage
988
Abstract
In the long-run marginal cost approach, all power system capacity costs are charged to peak-period users. This paper presents a simple “shared-cost” model as the basis for a fundamental discussion of capacity-cost allocation. Based on this analysis, the paper suggests that the long-run marginal cost approach might not be correct
Keywords
costing; economics; tariffs; electricity tariffs; long-run marginal cost approach; peak-period user charges; power system capacity costs; shared-cost model; Africa; Australia; Cities and towns; Costing; Costs; Pricing;
fLanguage
English
Publisher
ieee
Conference_Titel
AFRICON, 1996., IEEE AFRICON 4th
Conference_Location
Stellenbosch
Print_ISBN
0-7803-3019-6
Type
conf
DOI
10.1109/AFRCON.1996.563030
Filename
563030
Link To Document