Fossil Energy Prices Research Articles

Socioeconomic Constraints to Biomass Removal from Forest Lands for Fire Risk Reduction in the Western U.S.

Many socioeconomic constraints exist for biomass removals from federal lands in the western U.S. We examine several issues of importance, including biomass supply chains and harvesting costs, innovative new uses for bioenergy products, and the policy framework in place to provide incentives for biomass use. Western states vary greatly in the extent and utilization of forest resources, the proportion of land under federal ownership, and community and stakeholder structure and dynamics. Our research—which focused on the socioeconomic factors associated with biomass removal, production, and use—identified several important trends. Long-term stewardship projects could play a role in influencing project economics while being conducive to private investment. State policies are likely to help guide the growth of biomass utilization for energy products. New markets and technologies, such as biofuels, for use in the aviation industry, torrefied wood, mobile pyrolysis, and wood coal cofiring could greatly change the landscape of biomass use. Social needs of residents in wildland urban interfaces will play an important role, especially in an era of megafires. All of these trends—including significant unknowns, like the volatile prices of fossil energy—are likely to affect the economics of biomass removal and use in western forests.

The dynamic volatility spillover between European carbon trading market and fossil energy market

With the rapid spread of carbon trading in the world, the interaction of carbon prices and fossil energy prices has raised growing attention, but little research has discussed their time-varying correlation and dynamic volatility spillover. This paper employs the threshold dynamic conditional correlation (DCC) generalized autoregressive conditional heteroscedasticity (GARCH) model and the full Baba, Engle, Kraft and Kroner (BEKK) GARCH model to explore these issues, for the daily data of European carbon futures prices and the three fossil energy prices (coal, natural gas and Brent oil) from January 2 2008 to September 30 2014. The results indicate that, first, there is significant unidirectional volatility spillover from coal market to carbon market and from carbon market to natural gas market, whereas there exists no significant volatility spillover between carbon market and Brent oil market. Second, carbon market and fossil energy markets have significantly positive correlation across time. Specifically, among the three fossil fuels, coal market has the highest correlation with carbon market, followed by natural gas and Brent oil markets. Finally, as for the three fossil fuels, their price decrease may have stronger impact on carbon price volatility than their price increase with the same degree, while there is asymmetric impact of carbon price increase and decrease only on Brent oil price volatility. These results may help investors to well configure their portfolios and manage their investment risks, and help emission trading installations to join in carbon market in a cost-effective way.

The lmpact of Renewable Energy and GDP per Capita on Carbon Dioxide Emission in the G-20 Countries

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Indonesia Between Asean Countries and the World in Hydroelectricity

Abstract Hydropower is predicted to be the most favourable energy regarding the global needs to cope with the global warming and the low cost energy resources utilization. Fossil fuel tends to depletion in the coming decades and the fossil energy price will race up. The states which energy is depend on ly on oil will result in the fragile economic base. Hydropoelectricity is now being energy developed even in a leading petroleum producer country. Indonesia with 75.000 MW hydroelectricity potential all over the country is hoped to generate more power in hydro energy to ascend the percentage of the state renewable energy consumption as a part of Indonesia process to diversify the domestic energy consumption to keep the economic away from oil dependency. Hydropower is the largest source of renewable energy of the world. In year 2005, some 2950 TWh of hydropower was generated, equivalent to 90% of electricity from world renewable energy consumption. Keywords: Hydropower, economic dependency, renewable energy

Determining the scale of R&D investment for renewable energy in Korea using a comparative analogy approach

Abstract The rising price of fossil energy due to increasing global energy consumption has stimulated investment in renewable energy. Despite Korea׳s high dependence on foreign energy sources, it is well behind other developed countries with regard to renewable energy production. This study attempts to develop a reasonable R&D investment plan based on the forecasted diffusion of renewable energy in the Korean market by analyzing the experiences of other developed countries. The German market is selected as the reference case on the basis of its similarity to the Korean market. The realized data indicate that the growth of technology is proportional to cumulative R&D investment. A final investment schedule is established based on the goal of meeting the target penetration level. The suggested investment plan, which differs substantially from the plan recently announced, indicates the necessity of more active investment in early stage and supportive policies for R&D into renewable energy.

Optimization Design of Airfoil Propellers of Modified NACA 4415 Using Computational Fluids Dynamics

Utilization of wind power in Indonesia is less attractive compared with utilization of conventional fuel. This is because the price of wind energy is not competitive when compared with fossil energy prices, and as a result of the implementation of energy pricing policy through subsidies. Before designing the Wind Energy Conversion System, simulation of computational fluid dynamics needs to be done in order for reducing designing time and cost. In this research, modeling and simulation work has been done to figure out the optimum aerodynamics coefficient of wind turbine blades at different Reynolds number. This blade is a modification of standard airfoil of NACA 4415. The aerodynamics coefficient of modify and standard airfoil is then compared. FLUENT software and Spalart-Allmaras Turbulent Model are used in this work. Based on the comparison of the coefficient of aerodynamic, modification NACA 4415 airfoil has better performance at Reynolds number of 4.1 x 104 to 2.5 x 105. The experiment results also showed that based on a numerical study of the modification NACA 4415 airfoil can be used as a basis for the establishment of wind turbine blades.

A dynamic simulation of the ILUC effects of biofuel use in the USA

The global indirect land use change (ILUC) implications of biofuel use in the United States of America (USA) from 2001 to 2010 are evaluated with a dynamic general equilibrium model. The effects of biofuels production on agricultural land area vary by year; from a net expansion of 0.17ha per 1000 gallons produced (2002) to a net contraction of −0.13ha per 1000 gallons (2018) in Case 1 of our simulation. In accordance with the general narrative about the implications of biofuel policy, agricultural land area increased in many regions of the world. However, oil-export dependent economies experienced agricultural land contraction because of reductions in their revenues. Reducing crude oil imports is a major goal of biofuel policy, but the land use change implications have received little attention in the literature. Simulations evaluating the effects of doubling supply elasticities for land and fossil resources show that these parameters can significantly influence the land use change estimates. Therefore, research that provides empirically-based and spatially-detailed agricultural land-supply curves and capability to project future fossil energy prices is critical for improving estimates of the effects of biofuel policy on land use.

모니터링 및 시뮬레이션을 통한 SCW형 지열 시스템의 성능인자 분석에 관한 연구

Recently, an interest in the use of renewable energy has been growing up due to the rise of raw material price, international oil price and depletion of fossil energy. Ground source heat pump system has a high efficiency by using the constant temperature of underground and various types of the systems have been installed and utilized in the building. there are few studies on the system performance factors in the SCW system. Furthermore, even though the performance of the system depends on the temperature of heat source, the research on their relationship is rare. In this research, in order to analyze the performance factor for the open-loop system the monitoring of the real building with the standing column well systems and the simulation with building model were conducted.

Spillover effects between fossil energy prices and non-energy commodity prices: further evidence from world spot markets

This paper examines the dynamic relationship between three fossil energy prices and 18 commodity prices in terms of their mean. The paper employs the methodology of long- and short-run causality approach as well as the methodology of the error correction model based on daily prices. The empirical findings provide strong evidence that all three fossil energy prices exert an impact on all types of commodity prices, while the opposite does not hold.

Evaluation of new and renewable energy technologies in Korea using real options

SUMMARY For several years recently, the price of oil has fluctuated due to the weak US dollar and financial risks. In particular, the WTI crude oil price reached $147 per barrel in July of 2008, which is the highest price thus far. An awareness of an impending crisis and concern over climate change are driving an increase in R&D for alternative energy sources instead of fossil-based energy. However, the researches based on traditional method show negative options about the economic value of new and renewable energy. This paper evaluates the value of new and renewable energy through a real option method which considers the uncertainty associated with fossil energy and the uncertainty of the success of R&D. The evaluating model assumes that the fossil energy price follows a geometric mean reverting process and that the probability of success with R&D on renewal forms of energy follows a binomial probability model. The model considers four options: the option to continue R&D, the option to delay R&D, the option to deploy R&D, and the option to abandon R&D. Finally, the value of Korean R&D on renewal forms of energy is analyzed by the model. Copyright © 2012 John Wiley & Sons, Ltd.

Impact of Price Hike of Commercial Rice to the Quality of Food Served by Small Scale Restaurant Operators

Element influencing economics is energy resource. Fossil energy is depleting. Thus, modern men find ways for alternative energy. However, price of fossil energy is fluctuating in the global market i.e. dependent on supply production. Eventually, prices of a commodity are influenced by price of energy. In the Philippines, the first basic commodity affected is the price of rice. Unfortunately, Filipinos live essentially on rice as staple food. Commercially, this too affected the quality of food served by small scale restaurant operators. The study was a descriptive survey assessing the reaction of small scale restaurant operators and customers on the impact of price hike of commercial rice to the quality of food served from restaurant establishments. The findings show the impact of price hike of commercial rice to the quality of food served by small scale restaurants as to taste, aroma, texture, color and quantity was moderate; the satisfaction level of customers of small scale restaurants was moderate; the impact of price-hike of rice moderately affected owner-operators of small scale restaurants in terms of operating cost, number of customers, monthly gross sales and net profit; and the correlation between price hike of rice and quality of food served was very significant. Keywords - Economics, price hike, commercial Rice, quality of food served, small scale restaurant operators, Philippines

Pulse Crops Improve Energy Intensity and Productivity of Cereal Production in Montana, USA

Energy consumption, intensity, and productivity are indicators of agricultural sustainability in the face of fossil energy scarcity and price volatility. In this study, budgets of energy embodied in crop production inputs were compiled for 14 paired pulse (annual grain legume)-wheat and wheat-wheat crop sequences using data collected from Montana farmers. We report two energy performance metrics: net energy yield (NEY), the energy content of harvested crop minus energy required to produce it, and energy intensity (EI), the ratio of input energy to mass of crop harvested. Nitrogen fertilizer accounted for 58% of the energy used in wheat production, and its absence largely accounted for the 53% reduction in energy inputs to pulses relative to wheat. EI of pulses was lower than for wheat, and pulse crops also resulted in reduced EI and increased NEY for the subsequent wheat crop compared to wheat grown following wheat. The largest component of the improved energy performance of wheat following pulses was increased yield rather than decreased inputs.

Carbon mitigation potential of Jatropha Biodiesel in Indian context

With depleting supply of fossil fuels and energy prices reaching historical high, biodiesel as an alternative fuel is increasingly drawing attention. Biodiesel is regarded as sustainable energy source and would become as important as petroleum products of the present time. The biodiesel is a substitute or an additive to diesel fuel and because of its low emission make it an ideal fuel for diesel engine. The biodiesel does not require any modifications to be used in a CI engine. The purpose of this study is to investigate the characteristics of jatropha biodiesel and its carbon mitigation potential in Indian context.

On the dynamics of competing energy sources

We characterize the dynamics of energy markets in which energy is derived from polluting (fossil) and clean (solar) resources. The analysis is based on geometric optimal control considerations. An important feature of solar energy technologies is that their cost of supply is predominantly due to upfront investment in capital infrastructure (rather than to actual supply rate) and this feature has important implications for the market allocation outcome. In particular, it gives rise to a threshold behavior in that solar energy is adopted only when the price of fossil energy exceeds a certain threshold. Under this condition solar technologies will (eventually) dominate energy supply by driving fossil energy altogether out of the energy sector. A tax on fossil energy can have a substantial impact since it changes the threshold price. A quantity restriction (e.g., a cap on fossil energy) allows for the coexistence of clean and polluting energy technologies also in the long run, and its effect on the use of fossil energy is more moderate.

Energy and the food system

Modern agriculture is heavily dependent on fossil resources. Both direct energy use for crop management and indirect energy use for fertilizers, pesticides and machinery production have contributed to the major increases in food production seen since the 1960s. However, the relationship between energy inputs and yields is not linear. Low-energy inputs can lead to lower yields and perversely to higher energy demands per tonne of harvested product. At the other extreme, increasing energy inputs can lead to ever-smaller yield gains. Although fossil fuels remain the dominant source of energy for agriculture, the mix of fuels used differs owing to the different fertilization and cultivation requirements of individual crops. Nitrogen fertilizer production uses large amounts of natural gas and some coal, and can account for more than 50 per cent of total energy use in commercial agriculture. Oil accounts for between 30 and 75 per cent of energy inputs of UK agriculture, depending on the cropping system. While agriculture remains dependent on fossil sources of energy, food prices will couple to fossil energy prices and food production will remain a significant contributor to anthropogenic greenhouse gas emissions. Technological developments, changes in crop management, and renewable energy will all play important roles in increasing the energy efficiency of agriculture and reducing its reliance of fossil resources.

Prospects for nuclear power in the 21st century: a world tour

Objectives and content of the journal special issue on 'Prospects for nuclear energy in the 21st century' are introduced. It is concluded that the main reasons for considering nuclear power in the national energy portfolios include hedging against supply security risks and high fossil energy prices in most countries, complemented by climate change mitigation in developed countries and by local and regional air pollution reduction in developing countries. Concerns over nuclear power include operation safety, nuclear weapon proliferation, economic performance, nuclear waste disposal and public acceptance. The relative importance of these factors diverges widely across regions and countries.

Fossil Energy and Food Security

To fulfil the basic goal of delivering food for the tables of the citizens, modern Western agriculture is extremely dependent on supporting material flows, infrastructure, and fossil energy. According to several observers, fossil fuel production is about to peak, i.e., oil extraction is no longer capable of keeping pace with the increasing demand. This situation may trigger an unprecedented increase in fossil energy prices, which may make the current highly energy dependent food production-distribution system highly vulnerable. The paper starts with a survey of this vulnerability. Also, the supply of phosphorus, a key factor in agriculture, may be at stake under such circumstances. The paper analyses this situation and discusses settlement structures integrated with agriculture that might increase food security by reducing energy demands. In the proposed ideal societal structure, agriculture is integrated with settlements and most of the food needed by the population is produced locally, and the nutrients for food production are recycled from households and animals by means of biological processes demanding considerably less mechanical investment and fossil support energy than the conventional type of agriculture. The vulnerability of this structure would be considerably lower, than that of the current system.

Chemicals and polymers from biomass

While fossil energy prices remain relatively low and agricultural prices are maintained at a relatively high level as a result of production costs, the use of purpose grown crops as a source of fuels requires subsidies, tax support or other financial incentives to be viable. In the short term, the use of agricultural and forest raw materials as industrial raw materials for production of higher value products appears more attractive. However, simple substitution of a petroleum-based product by one derived from plants is seldom possible. Options are reviewed, covering both established commercial activities (such as starch, vegetable oil, paper-pulp and natural fibres), as well as the extensive research and development activities that should lead to new crops, new products and new markets.

Agriculture-based biomass energy supply — a survey of economic issues

There is a large potential for the production of energy crops on agricultural land. Most of the biomass produced has alternative use as food, feed or fiber. In most cases, energy utilization of the biomass is far from competitive given today's prices. If dedicated energy crops are to be more competitive in the future, fossil energy prices must increase relative to the price of food, feed and fiber. Considerable spread exists among published future fossil fuel price forecasts. From currently available evidence, there is small hope that fossil energy prices will increase relative to the price of food and feed. The impact on the greenhouse gas balance is the most important positive factor for biomass energy, compared with fossil energy. For the time being there is no consensus among economists about the magnitude of the environmental costs of greenhouse gas emissions. Reasonable values on the external effects are in most cases not enough to make agriculture-based biomass energy competitive. Considerable government subsidies are needed. There is, however, no economic justification for such subsidies. Biomass energy systems using low quality biomass, originating as a by-product from the production of food, feed and/or fiber, is the most promising niche for energy from agricultural biomass.

Strategies for solar fuel generation

Solar production and use of fuels (hydrogen, reduced carbon compounds) is an integral part of any large scale solar energy strategy. Technically, the most promising pattern of implementation is the decentralised generation of photovoltaic energy on buildings, interconnection with the public electricity grid and centralized electrolytic generation of fuels. A complementary strategy could be solar electrochemical generation of simple inorganic energy carriers (e.g. Fe2+ from Fe3+) which serve as the energy source for bacteria (e.g.Thiobacillus ferrooxidans), which fix carbon dioxide via the Calvin cycle. Direct photo-electrochemical generation of solar fuels (in analogy to photosynthesis) is a complex frontier with many unsolved problems, some of which are discussed. The most promising route appears to be development of photoactive transition metal electrocatalysts, which are able to induce interfacial coordination chemical mechanisms. In addition it may be necessary to develop far-from-equilibrium electrochemical mechanisms to facilitate cooperative electron transfer processes during photocatalysis.At the long term, solar fuel generation may gradually become economical with increasing consideration of social and environmental costs in the price of fossil energy.