We use cookies to ensure that we give you the best experience on our website. By continuing to browse this repository, you give consent for essential cookies to be used. You can read more about our Privacy and Cookie Policy.

Durham Research Online
You are in:

Electricity supply interruptions : sectoral interdependencies and the cost of energy not served for the Scottish economy.

Poudineh, R. and Jamasb, T. (2017) 'Electricity supply interruptions : sectoral interdependencies and the cost of energy not served for the Scottish economy.', Energy journal., 38 (1). pp. 51-76.


The power sector has a central role in modern economies and other interdependent infrastructures rely heavily upon secure electricity supplies. Due to interdependencies, major electricity supply interruptions result in cascading effects in other sectors of the economy. This paper investigates the economic effects of large power supply disruptions taking such interdependencies into account. We apply a dynamic inoperability input–output model (DIIM) to 101 sectors (including households) of the Scottish economy in 2009 in order to explore direct, indirect, and induced effects of electricity supply interruptions. We then estimate the societal cost of energy not supplied (SCENS) due to interruption, in the presence of interdependency among the sectors. The results show that the most economically affected industries, following an outage, can be different from the most inoperable ones. The results also indicate that SCENS varies with duration of a power cut, ranging from around £4300/MWh for a one-minute outage to around £8100/MWh for a three hour (and higher) interruption. The economic impact of estimates can be used to design policies for contingencies such as roll-out priorities as well as preventive investments in the sector.

Item Type:Article
Keywords:Power blackout, Inoperability input–output model, Interdependent economic systems, Cost of energy not supplied.
Full text:(AM) Accepted Manuscript
Download PDF
Publisher Web site:
Date accepted:12 October 2015
Date deposited:22 October 2015
Date of first online publication:01 January 2017
Date first made open access:01 January 2020

Save or Share this output

Look up in GoogleScholar