The view of full fuel cycle methodologies as a tool for government authorities to internalize the cost of environmental externalities related to power generation may be somewhat out of step with: the global move to more competitive, market-based economies; management of air emissions by broad-based cross-sectoral actions (such as voluntary programs) that harness market forces; and restructuring of electricity industries going on around the world. This paper briefly describes a full fuel cycle study and how it was used in a jurisdiction that strongly supports economic development through free, and open market mechanisms and is supportive of market-based and stakeholder consultative principles in developing government environmental policy. Other useful applications of the full fuel cycle methodology are described, which do not involve externality adders. The province of Alberta, Canada is used as a microcosm for this kind of application.