The effect of deregulation on environmental research by electric utilities

Abstract

This paper analyzes the impact of deregulation and restructuring on public-interest environmental research conducted by electric utilities in the US from 1990 to 2001. I find that deregulation has had a substantial negative impact on such expenditures, which have declined by 40%. However, restructuring has had no significant impact. In addition, the 1990 Clear Air Act Amendments have adversely affected such expenditures, contrary to the positive impact these regulations had on pollution abatement R&D as shown in the literature. Results also suggest that state and firm characteristics and regulator preferences play a strong role in the conduct of such research.

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Correspondence to Paroma Sanyal.

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Sanyal, P. The effect of deregulation on environmental research by electric utilities. J Regul Econ 31, 335–353 (2007). https://doi.org/10.1007/s11149-007-9023-2

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Keywords

  • Electricity deregulation
  • Environmental R&D
  • Clean Air Act

JEL Classifications

  • O32
  • L94
  • L51