Estimating Indirect Benefits: Fracking, Coal and Air Pollution

Arbeitspapier

This paper estimates indirect benefits of improved air quality induced by hydraulic fracturing, or "fracking". The recent increase in natural gas supply led to displacement of coal-fired electricity by cleaner natural gas-fired generation. Using detailed spatial panel data comprising the near universe of US power plants, we find that coal generation decreased by 28%. Further, fracking decreased local air pollution by an average of 4%. We show that benefits vary geographically; air pollution levels decreased by 35% in the most affected region. Back of the envelope calculations imply accumulated health benefits of roughly $17 billion annually.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: IZA Discussion Papers ; No. 10170

Classification and Topics

• Classification: Wirtschaft ; Energy: Demand and Supply; Prices ; Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling ; Health: Government Policy; Regulation; Public Health
• Subject: fracking ; coal-fired power plants ; air pollution ; health ; electricity

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Johnsen, Reid ; LaRiviere, Jacob ; Wolff, Hendrik
• Event: Veröffentlichung
• (who): Institute for the Study of Labor (IZA)
• (where): Bonn
• (when): 2016

Further information

• Handle: http://hdl.handle.net/10419/147856
• Last update: 10.03.2025, 11:43 AM CET