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Investments projects in natural gas distribution in Italy: A model of social cost-benefit analysis
Journal Title: ECONOMICS AND POLICY OF ENERGY AND THE ENVIRONMENT 
Author/s: Francesco Gullì 
Year:  2016 Issue: Language: English 
Pages:  21 Pg. 5-25 FullText PDF:  234 KB
DOI:  10.3280/EFE2016-003001
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The territory of Italy is divided into 177 distribution areas each of them will be auctioned. The regulation of these tenders requires to integrate the economic and technical offers with specific social cost-benefit analyses (CBA) proving the benefits of the different proposed investments in natural gas distribution facilities. This paper proposes an original method to carry out such a social cost-benefit analysis taking into account the different typologies of investments and namely projects to connect new customers, projects to increase security of supply, projects to improve service quality and finally investments to reduce the risk of severe accidents. An overall formula is also proposed in order to account for the possible combinations of the projects mentioned above.
Keywords: Natural gas distribution, cost-benefit analysis
Jel Code: Q4, Q5, H23, H43

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Francesco Gullì, in "ECONOMICS AND POLICY OF ENERGY AND THE ENVIRONMENT" 3/2016, pp. 5-25, DOI:10.3280/EFE2016-003001

   

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