Characteristics of CO2 Greenhouse Gas Emissions from U.S. Electricity Generation

We estimate the production function of CO2 greenhouse gas emissions by the U.S. electric utility industry, responsible for 32% of all CO2 emissions in the U.S. Our results show that the electric utility industry is aggressively mitigating greenhouse gas emissions by substituting generating plant technology and fuel types toward clean energy and exhibits decreasing returns to scale in the production of CO2 emissions. As U.S. electric power generation has been flat, until recently, CO2 emissions have declined.