Economic effect of fusion in energy market. Various externalities of energy systems and the integrated evaluation

The primacy of a nuclear fusion reactor in a competitive energy market remarkably depends on to what extent the reactor contributes to reduce the externalities of energy. The reduction effects are classified into two effects, which have quite dissimilar characteristics. One is an effect of environmental dimensions. The other is related to energy security. In this study I took up the results of EC's ExternE project studies as a representative example of the former effect. Concerning the latter effect, I clarified the fundamental characteristics of externalities related to energy security and the conceptual framework for the purpose of evaluation. In the socio-economical evaluation of research into and development investments in nuclear fusions reactors, the public will require the development of integrated evaluation systems to support the cost-effect analysis of how well the reduction effects of externalities have been integrated with the effects of technological innovation, learning, spillover, etc. (author)