Document Type


Publication Date



irrigation, rural electric, electric rates, REC, cooperatives


This is the second in a series of five Economics Department reports on a research project. "The Economic Impact of Alternative Electric Rate Structures on Energy and Water Use". sponsored by the South Dakota Agricultural Experiment Station. Supplemental funding for the research was provided by the Western Area Power Administration (WAPA). Golden. Colorado. The purpose of this report is to acquaint the reader with the overall model used in the study and the specific way that the electric rate structures were modeled. This model builds on. b~t goes beyond. the one developed and used by Robert A. Young and. associates in their study of electric rate structures for irrigation in Colorado. The primary way in which this model extends beyond Young's model is that it permits simultaneous (rather than one-at-a-time) attention to all three basic features of electric rate structures for irrigation, namely. annual minimum charges. monthly demand charges. and block rate energy charges. The primary intended audiences for the report are graduate students and research-peers with an interest in analyzing electric rate structures for irrigation.


Economics Research Report 86-2