A multiattribute index for evaluating environmental impacts of electric utilities

Evaluating the environmental impacts of electric utilities is crucial for informed electrical system planning. This paper presents an approach to constructing an index of environmental impact for an electric utility, based on multiattribute utility theory (MAUT). The paper begins with an overview of decision analysis, the framework in which MAUT is applied. Next, the underlying assumptions and steps needed in constructing an index based on technical and value judgements are outlined. An example of an index is discussed, drawing on interviews and a MAUT elicitation with planners from BC Hydro, a major Canadian electric utility. Potential uses of the index are illustrated and tradeoffs between the environmental index and costs are discussed. (C) 1996 Academic Press Limited