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The paper deals with an application of multi-criteria risk assessment towards some environmental and economical aspects of electrical energy production, supply and distribution. The aspects are described by means of a set of parameters or indicators, such as Demand Side Management (DSM) Program at the utility (DSM index = Energy saved /Total Energy sold) , Renewable energy ratio ), Energy generated using Renewable resources/ Total Energy produced), Energy Efficiency (amount of CO2/ Kw/h) related to greenhouse gases and global warming, Human health effects (NOx, SO2, suspended particles, mercury and other toxic substances, quantity and type of hazardous waste generated during energy production), Ecological effects (mining for fuels that are used in electric energy generation, heating of environment, NOx, SO2, particulates, mercury and other toxics, quantity and type of hazardous waste generated during energy production), Acid rain impact on lakes, other ecosystems and cultural heritage, Catastrophic potential (e.g., nuclear power plant or large dams), etc.

The related multi-criteria optimization problem is posed aiming at minimizing risks of hazardous impact of the power plants on their natural environment and involved human population and staff.

Kyoto Index^TM is introduced as a tool to evaluate electric energy producers, which will promote energy conservation, energy efficiency, renewable energy production and minimal impact on the environment. Kyoto Index^TM is an integral indicator for the expected risk of the hazards. Kyoto Index^TM is intended to evaluate electricity producers in deregulated area of USA and chose the top 10-25% of those companies that offer reasonable cost/unit electricity. It has been tested on the data related to the power plants of Ohio, USA.

Relevant software has been developed to implement Kyoto Index^TM for Microsoft Excel spreadsheet. Three different algorithms have been used. One of the algorithms is based on the expert estimates for the relevant parameters. Kyoto Index^TM is evaluated for each power plant as a weighted sum of the parameters for the plant, the weights being assigned by the experts. The other algorithms are oriented to real databases on the power plants and utilities of the USA. The data forms a data matrix with rows related to the plants and the columns related to the parameters. The initial data matrix parameters are measured in ordinal scales. The matrix is transformed so that the maximal value of each parameter would correspond to a maximal risk of a hazard for nature and/or people. Singular value decomposition of the data matrix is used to evaluate integral indicator (Kyoto Index^TM ). The other algorithm is based on Pareto clustering technique for the same data matrix. The study has been initiated and sponsored by GAIA UNLIMITED, Inc. Methods and techniques used to develop Kyoto Index^TM have been developed with support of the Russian Foundation for Basic Research (Grant RFBR 00-01-0197). Authors are greatly indebted to Prof. Alexander Lotov (**), Ned Ford (Cincinnati, Ohio), and Congressman Dennis Kucinich (USA) for valuable discussions.

Kyoto IndexTM for the Power Plants in the USA

Kyoto Index^TM for the Power Plants in the USA