Modelling energy supply options for electricity generations in Tanzania

2015 ◽  
Vol 26 (3) ◽  
pp. 41-57 ◽  
Author(s):  
Baraka Kichonge ◽  
Geoffrey R. John ◽  
Iddi S. N. Mkilaha
Keyword(s):  
Renewable Energy ◽  
Natural Gas ◽  
Discount Rate ◽  
Energy Supply ◽  
Electricity Generation ◽  
Weather Conditions ◽  
Renewable Energy Technologies ◽  
Energy Technologies ◽  
Electricity System ◽  
Weather Scenario

The current study applies an energy-system model to explore energy supply options in meeting Tanzania’s electricity demands projection from 2010 to 2040. Three economic scenarios namely; business as usual (BAU), low economic consumption scenario (LEC) and high economic growth scenario (HEC) were developed for modelling purposes. Moreover, the study develops a dry weather scenario to explore how the country’s electricity system would behave under dry weather conditions. The model results suggests: If projected final electricity demand increases as anticipated in BAU, LEC and HEC scenarios, the total installed capacity will expand at 9.05%, 8.46% and 9.8% respectively from the base value of 804.2MW. Correspondingly, the model results depict dominance of hydro, coal, natural gas and geothermal as least-cost energy supply options for electricity generation in all scenarios. The alternative dry weather scenario formulated to study electricity system behaviour under uncertain weather conditions suggested a shift of energy supply option to coal and natural gas (NG) dominance replacing hydro energy. The least cost optimization results further depict an insignificant contribution of renewable energy technologies in terms of solar thermal, wind and solar PV into the total generation shares. With that regard, the renewable energy penetration policy option (REPP), as an alternative scenario suggests the importance of policy options that favour renewable energy technologies inclusion in electricity generation. Sensitivity analysis on the discount rate to approximate the influence of discount rate on the future pattern of electricity generation capacity demonstrated that lower values favour wind and coal fired power plants, while higher values favour the NG technologies. Finally, the modelling results conclude the self-sufficiency of the country in generating future electricity using its own energy resources.

scholarly journals The Economics of Renewable Energy Sources into Electricity Generation in Tanzania

2016 ◽  
Vol 2016 ◽  
pp. 1-8 ◽  
Author(s):  
Baraka Kichonge ◽  
Iddi S. N. Mkilaha ◽  
Geoffrey R. John ◽  
Sameer Hameer
Keyword(s):  
Renewable Energy ◽  
Energy Supply ◽  
Electricity Generation ◽  
Power Plants ◽  
Renewable Energy Sources ◽  
Primary Energy ◽  
Energy Sources ◽  
Renewable Energy Technologies ◽  
Energy Technologies ◽  
Primary Energy Supply

The study analyzes the economics of renewable energy sources into electricity generation in Tanzania. Business as usual (BAU) scenario and renewable energy (RE) scenario which enforce a mandatory penetration of renewable energy sources shares into electricity generations were analyzed. The results show total investment cost for the BAU scenario is much lower as compared to RE scenario while operating and maintenance variable costs are higher in BAU scenario. Primary energy supply in BAU scenario is higher tied with less investment costs as compared to RE scenario. Furthermore, the share of renewable energy sources in BAU scenario is insignificant as compared to RE scenario due to mandatory penetration policy imposed. Analysis concludes that there are much higher investments costs in RE scenario accompanied with less operating and variable costs and lower primary energy supply. Sensitivity analysis carried out suggests that regardless of changes in investments cost of coal and CCGT power plants, the penetration of renewable energy technologies was still insignificant. Notwithstanding the weaknesses of renewable energy technologies in terms of the associated higher investments costs, an interesting result is that it is possible to meet future electricity demand based on domestic resources including renewables.

scholarly journals Justifiable Renewable Energy Usage from an Economic Angle

2017 ◽  
Vol 5 (1) ◽  
pp. 45-55
Author(s):  
Ádám Csuvár
Keyword(s):  
Renewable Energy ◽  
Energy Supply ◽  
Energy System ◽  
Economic Effects ◽  
Energy Usage ◽  
Renewable Energy Technologies ◽  
Positive Effects ◽  
Energy Technologies ◽  
Market Impacts ◽  
Business Opportunities

AbstractWorldwide, there is a huge demand for the application of renewable energy technologies mainly due to the current environmental problems that mostly originated from our fossil-based energy system. This study is aiming at presenting areas which require a bigger share of renewables from the global energy mix but only for economic reasons. We highlight that these alternatives can bear with advantageous economic effects compared to the non-renewable ones. We take into account renewables-based business opportunities, and then we discuss the positive effects of renewables on economic development. Finally, we look at the issuant security of energy supply and talk about beneficial labor market impacts caused by renewable energies.

Economics of Renewable Energy: A Comparison of Electricity Production Costs Across Technologies

2021 ◽  
Author(s):  
Govinda R. Timilsina ◽  
Kalim U. Shah
Keyword(s):  
Renewable Energy ◽  
Research And Development ◽  
Electricity Generation ◽  
Fossil Fuels ◽  
Heat Rate ◽  
Production Costs ◽  
Electricity Production ◽  
Capital Costs ◽  
Renewable Energy Technologies ◽  
Energy Technologies

The levelized costs of electricity generation for renewable energy technologies differ and fluctuate depending on factors including capital costs, operation and maintenance costs, utilization factors, and economic lives. In addition to these factors, In the case of fossil fuels, prices and heat rate are also responsible for fluctuations. There is a global movement in favor renewable energy. Many countries have announced carbon-free electricity within the next 30–40 years, which implies massive expansion of renewable energy technologies. The newer investment trends in electricity generation technologies indicate the same. Technological breakthroughs and cost reductions of energy storage technologies would further favor renewable energy technologies and would decrease their intermittency hurdles. Developments that expand the scaling effect of renewable energy and the potential improvement in efficiency through continued research and development could bring the cost of renewable energy further down in the future. When the levelized costs of electricity generation are estimated, the declining trends of renewable energy costs are observed and can to a large extent (but not fully) be explained by certain potential drivers. Particularly for wind and solar, these drivers include technological innovation/improvements that have increased efficiency, policy supports such as research and development funding, economy of scale both on the manufacturing of equipment (solar panels, wind turbines) and installation of plants, and monopoly rent dissipation due to increased number of manufacturers and suppliers. Competition among equipment manufacturers and project developers may also contribute to cost decline as could cost reduction through improved product efficiency related to technological improvements and innovations.

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