The health costs of dirty energy: Evidence from the capacity market in Colombia

A-Tier
Journal: Journal of Development Economics
Year: 2023
Volume: 164
Issue: C

Authors (5)

Adhvaryu, Achyuta (not in RePEc) Molina, Teresa (University of Hawaii-Manoa) Nyshadham, Anant (not in RePEc) Tamayo, Jorge (not in RePEc) Torres, Nicolas (not in RePEc)

Score contribution per author:

0.804 = (α=2.01 / 5 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

The health effects of “dirty” (fossil fuel driven) energy production are difficult to measure accurately due to the endogeneity of fuel choice. We exploit an electricity policy in Colombia that generates a price-based trigger for the use of thermal energy sources. Comparing municipalities near high versus low capacity plants, we first document that the activation of this trigger – which increased thermal energy production – led to significantly higher local pollution levels. This change increased cardiovascular-related ER mortality by 56% and respiratory-related morbidity by 9%. Our results translate to a cost of 996 million USD in terms of lives lost and higher healthcare costs.

Technical Details

RePEc Handle
repec:eee:deveco:v:164:y:2023:i:c:s0304387823000718
Journal Field
Development
Author Count
5
Added to Database
2026-01-26