Cost Of Renewable Energy Research Articles

Sustaining Society with Renewable Energy Dollars and Ecological Property Rights

Renewable energy can become a fraction of the cost of burning carbon to generate electricity in communities that use money that has a usage charge described as demurrage. As with Islamic banking, demurrage money eliminates discounting future values from the ability of earning interest today. Investments to sustain humanity on the planet are not disadvantaged. A demurrage charge limits the life of money not used to terminate its existence like all living things to acquire an ecological characteristic. As interest charges typically double the cost of urban infrastructure, ecological money could half the cost of water, housing, education, health and transport facilities. Ecological money facilitates the ability of towns and city precincts to become self-financing self-governing political units. Electricity generated from sun, wind, waves, tide, geothermal; bacteria produced hydrogen provide ways for urban precincts to create a global unit of value but whose value is defined in terms of the local cost of renewable energy. As over 80% of the costs of sustainable energy are interests charges compared with around 20% for carbon fueled generators, ecological energy dollars make renewable energy around four times more competitive. The paper describes how ecological property rights to money, land, buildings and firms maximises the ability of urban precincts to become self-financing on a sustainable basis. Ecological capitalism increases the efficiency, equity, and the richness of democracy in market economies. It also improves the ability of the environment to govern society to assist in making both sustainable.

Clean energy scenarios for Australia

Australia, a major producer and user of coal, has the highest per capita greenhouse gas emissions in the industrialised world. This study investigates whether in theory such a ‘fossil-fuel dependent’ country could achieve a 50% reduction in CO 2 emissions from stationary energy by 2040, compared with its 2001 emissions. To do this scenarios are developed, using a combination of forecasting and backcasting methods, under conditions of continuing economic growth and a restriction to the use of existing commercial technologies with small improvements. The principal scenario achieves the above target by implementing on the demand-side a medium-level of efficient energy use and substantial solar hot water together with a supply side combination of mainly natural gas, bioenergy and wind power. In doing so the scenario also achieves a 78% reduction in CO 2 emissions from electricity. Within the large uncertainties in future prices, it is possible that the economic savings from efficient energy use could pay for all or a large part of the additional costs of renewable energy.

Technological learning and renewable energy costs: implications for US renewable energy policy

This paper analyzes the relationship between current renewable energy technology costs and cumulative production, research, development and demonstration expenditures, and other institutional influences. Combining the theoretical framework of ‘learning by doing’ and developments in ‘learning by searching’ with the fields of organizational learning and institutional economics offers a complete methodological framework to examine the underlying capital cost trajectory when developing electricity cost estimates used in energy policy planning models. Sensitivities of the learning rates for global wind and solar photovoltaic technologies to changes in the model parameters are tested. The implications of the results indicate that institutional policy instruments play an important role for these technologies to achieve cost reductions and further market adoption.

Geothermal Power Generation Worldwide: Global Perspective, Technology, Field Experience, and Research and Development

This article discusses the state of art in harnessing geothermal power for medium- and large-scale generation of electricity (and for space heating) worldwide. It reviews technology, field experience, research, and development, together with current, probable, possible and potential developments in the USA, developed, and developing countries in near future and long term.First, world consumption of geothermal energy is discussed. Here, worldwide installed capacities for geothermal electricity, the countries with the highest share of electricity generated from geothermal power, capacity factors, and direct use of geothermal energy is reviewed. Then, cost of renewable energy, i.e., current installation cost for electricity generation and heat generation, for biomass, solar photovoltaic, solar thermal, hydro, geothermal, wind, and tidal power is reviewed. Geothermal power in the United States is examined. Highlighted is heat flow, tectonic controls, types of geothermal systems, United States geothermal potential, geothermal energy in the United States, operating conditions for electricity generation, and environmental constraints.The central part of the article discusses field experience with innovative geothermal plants considering geothermal power plant analysis and design (optimization in design of geothermal power plants, optimization of prime movers, heat cycle considerations, resource considerations, and environmental considerations). A review of experimental plants (proposed systems and tested systems), and innovative power plants in commercial operation (low, moderate, and high enthalpy resources) is then discussed.The article goes on to examine R&D programs that are underway to significantly enhance the use of geothermal power. Highlighted is typical research and development projects such as enhanced heat transfer in air-cooled condensers, materials research, instruments for real time monitoring of geothermal processes, plant optimization, removal of non-condensable gases from binary power plants, silica and metals extraction, and small-scale power plant field verification projects. Geothermal drilling R&D is also reviewed.

A Certificate-Based Approach to Marketing Green Power and Constructing New Wind Energy Facilities

The availability of wind energy certificates in Pennsylvania's retail electricity market has made a critical difference in the economic feasibility of developing 140 MW of new wind energy projects in the region. Certificates offer important benefits to both green power suppliers and buyers by reducing transaction barriers. They thus lower the cost of renewable energy. Buyers also benefit through the increased flexibility offered by certificate products. The experience described in this paper offers important insights for selling green power certificates and achieving new wind energy development in other areas of the country.

Economic impact of the valuation of life cycle CO<SUB align=right>2 emissions from renewable and fossil energy systems

We use a Life Cycle Analysis (LCA) methodology and the Hotelling rule [1,2] to calculate the economic value of CO2 emissions reductions attained through a substitution of renewable energy systems for conventional energy systems in isolated power generation applications. The CO2 abatement value calculated in this way is used to estimate savings in electricity cost associated with PV and Wind energy systems when substituting diesel and gasoline generator sets. We also estimate the potential savings associated with a rural electrification project based on PV energy systems, when considering the value of avoided CO2 emissions. Both present and future CO2 savings, as deduced from the Hotelling rule, represent an important fraction over renewable energy costs. This is related to the big difference in life cycle CO2 emissions associated with renewable and fossil energy technologies, and stresses the importance of internalising the impacts of fossil energy technologies as a means of improving the commercial competitiveness of renewable energy systems.

Climate change mitigation in a regionalized world

This paper describes two mitigation scenarios leading to the stabilization of atmospheric CO2 concentrations at 550 and 750ppm. These mitigation scenarios are developed from the A2-ASF baseline scenario, which characterizes a regionalized world with continuous population growth (to about 15 billion in 2100), relatively slow technological progress, and high CO2 emissions reaching 28 Gt of carbon by 2100. It is argued here that large-scale GHG emission abatement measures needed to reach the agreed stabilization targets in such a world can be implemented only if negative impacts of global climate change become imminent and severe and opportunities for adaptation are limited. A single measure to reduce GHG emissions in the current analysis is a carbon tax on fossil fuels, the full amount of which is translated into an increase in corresponding fuel prices. This increase leads to an absolute reduction in fossil fuel use and a switch to non-fossil energy sources, such as nuclear energy and renewables. In order to reach the desired stabilization target, the 2100 total energy use has to be reduced to 50% of the baseline level for the 550ppm level and to 70% for the 750ppm level. At the regional level, the largest relative reductions are implemented in regions with relatively high per capita GDP growth and regions with a relatively low cost of renewable energy.

Hydrogen from natural gas without release of CO2 to the atmosphere

The Hydrogen economy, in which hydrogen will be a main carrier of energy from renewable sources, is a long term prospect. In the near and medium term increasing demand for hydrogen—also as an energy carrier in special niches— will probably be covered by hydrogen from fossil sources, mainly natural gas. This can be acceptable from an environment as well as an economical point of view, since hydrogen can be produced from natural gas at acceptable costs, without release of CO 2 to the atmosphere. There are two main options for this: (1) hydrogen from natural gas by conventional technology (e.g. steam reforming) including CO 2 sequestration; (2) high temperature pyrolysis of natural gas, yielding pure hydrogen and carbon black. Technologies for industrial scale realisation of these options have been developed and evaluated in Norway, which is a large producer and exporter of natural gas. The economy and market opportunities are discussed in the paper. It appears that renewable energy costs must come down considerably from present levels before hydrogen from renewables can compete with hydrogen from natural gas without release of CO 2 to the atmosphere.

Financing investments in renewable energy : the impacts of policy design

The costs of electric power projects utilizing renewable energy technologies (RETs) are highly sensitive to financing terms. Consequently, as the electricity industry is restructured and new renewables policies are created, it is important for policymakers to consider the impacts of renewables policy design on RET financing. This paper reviews the power plant financing process for renewable energy projects, estimates the impact of financing terms on levelized energy costs, and provides insights to policymakers on the important nexus between renewables policy design and financing. We review five case studies of renewable energy policies, and find that one of the key reasons that RET policies are not more effective is that project development and financing processes are frequently ignored or misunderstood when designing and implementing renewable energy policies. The case studies specifically show that policies that do not provide long-term stability or that have negative secondary impacts on investment decisions will increase financing costs, sometimes dramatically reducing the effectiveness of the program. Within U.S. electricity restructuring proceedings, new renewable energy policies are being created, and restructuring itself is changing the way RETs are financed. As these new policies are created and implemented, it is essential that policymakers acknowledge the financing difficulties faced by renewables developers and pay special attention to the impacts of renewables policy design on financing. As shown in this paper, a renewables policy that is carefully designed can reduce renewable energy costs dramatically by providing revenue certainty that will, in turn, reduce financing risk premiums.

Renewable energy finance and project ownership: The impact of alternative development structures on the cost of wind power

This paper uses traditional financial cash flow techniques to examine the impact of different ownership and financing structures on the cost of renewable energy, specifically wind power. Most large, non-hydroelectric, renewable energy projects are developed, owned and financed by private non-utility generators. Recently, however, US utilities have begun to consider owning and financing their own wind power facilities rather than purchasing power from independent renewable energy suppliers. Utilities in other countries have also expressed interest in direct renewable energy investments. A primary justification for utility ownership of wind turbine power plants is that utility self-financing and ownership is cheaper than purchasing wind energy from non-utility renewable energy suppliers. The results presented in this paper support that justification, although some of the estimated cost savings associated with utility ownership are a result of suboptimal utility analysis procedures and implicit risk shifting. Financing terms and variables are shown to significantly impact wind power costs.

Desalination in israel: emerging key component in the regional water balance formula

As a result of rapid population growth, Israel, Jordan and the Palestinian entity are experiencing a worsening water shortage, which, unless properly addressed., threatens to cripple their future development. Thirty-year projections of water demand indicate that even if all marginal water resources were to be effectively utilized and conservation measures fully implemented, chronic shortages will be deferred only 10–5 years. Conservation by restructuring sectoral water use through economic policy is impeded by the ideological primacy of agriculture, commitment to food self-sufficiency, and prospects of social and political destabilization. Importation of water by short land conveyances can provide only near-term solutions, while most long-distance, inter-basinal transfers are impractical because of a combination of economic, political and water rights issues. Marine conveyance, though attractive on paper, is as yet an unproven concept. Desalination of Mediterranean or Gulf of Eilat (Aqaba) seawater will satisfy future water demands and guarantee security of supply through joint management. The latest notions of “Two-Seas” (Mediterranean Sea-Dead Sea and Red Sea-Dead Sea) desalination schemes envision fueling by hydropower and/or solar energy, the co-generation of electricity, and aquacultural and tourist spin-offs. An alternative scheme proposes a jointly-managed Israeli-Egyptian (and possibly Palestinian) plant, to be located on the southern Mediterranean coast, that would be powered either by coal or by gas piped from the Suez fields. This study explores the relative merits of the proposed desalination schemes. The estimated costs of producing desalined seawater are about two to three times the average cost of water from conventional sources. However, fossil and renewable energy cost trends, introduction of innovative power generating technologies, and economies of size may all combine to reduce desalination costs 15–25% by the beginning of the next decade. The predicted higher costs of desalinated seawater will limit its use to satisfy domestic needs and to raising high value-added crops. Massive desalination would also facilitate the redistribution of disputed water resources, boost the regional industrial capacity by co-generating clean energy, and expand the recreational potential of the region. The regional cooperation necessitated by the need to pool financial resources and ensure optimal water allocation between Israel and some of its neighbors heralds the potential of making water in this troubled area of the Middle East a catalyst for peace, rather than a subject of protracted conflict.

Can Dangerous Climate Change Be Avoided?

This article discusses obstacles to overcoming dangerous climate change. It employs an account of dangerous climate change that takes climate change and climate change policy as dangerous if it imposes avoidable costs of poverty prolongation. It then examines plausible accounts of the collective action problems that seem to explain the lack of ambition to mitigate. After criticizing the merits of two proposals to overcome these problems, it discusses the pledge and review process. It argues that pledge and review possesses the virtues of encouraging broad participation and of providing a procedural safeguard for the right of sustainable development. However, given the perceptions of the marginal short term costs of mitigation, pledge and review is unlikely, at least initially, to issue in an agreement to make deep reductions in greenhouse gas emissions. Because there is no rival approach that seems likely to better instantiate the two virtues, pledge and review may be the best available policy for mitigation. Moreover, recent economic research suggests that the co-benefits of mitigation may be greater than previously assumed and that the costs of renewable energy may be less than previously calculated. This would radically undermine claims that the short term mitigation costs necessarily render mitigation irrational and produce collective action problems. Given the circumstances, pledge and review might be our best hope to avoid dangerous climate change.