scholarly journals Maximizing Solar PV Dissemination under Differential Subsidy Policy across Regions

Energies ◽  
2020 ◽  
Vol 13 (11) ◽  
pp. 2763 ◽  
Author(s):  
Jeongmeen Suh ◽  
Sung-Guk Yoon

This study investigates the effect of a renewable energy dissemination policy on investment decisions regarding solar photovoltaic (PV) installation. We present a theoretical model and conduct a simulation analysis to estimate the total capacity of solar PV generators according to a given subsidy policy. We show how the capacity maximizing subsidy policy depends on the total amount of subsidy budget, interest rate, the expected amount of solar resource and land price in each region. We particularly focus on the improvements of solar PV capacities under the same subsidy budget when the subsidy policy is changed from uniform (equal for all regions) to differential (varying over regional characteristics). This improvement is shown through a case study using Korean data.

Energies ◽  
2020 ◽  
Vol 13 (23) ◽  
pp. 6233
Author(s):  
Martina Assereto ◽  
Julie Byrne

Policy and electricity price uncertainty provide disincentives to investors considering renewable energy investments. While electricity price uncertainty impacts on investment decisions relating to any energy investment, whether renewable or non-renewable, policy uncertainty will affect renewable energy investment decisions to a far greater extent. In this study, we consider the two main sources of uncertainty a solar Photovoltaic (PV) project is exposed to: electricity price uncertainty and policy uncertainty. We focus our analysis on utility-scale solar photovoltaics in the Pennsylvania, Jersey, Maryland Power Pool (PJM) electricity market and the New Jersey Solar Renewable Energy Credit (SREC) market. Using Solar Renewable Energy Credits as a proxy for policy, we find that there is considerable volatility in both electricity prices and policy. In a sample covering eleven years, we implement univariate Generalized Autoregressive Conditional Heteroskedastic (GARCH) and combinations of GARCH models with different weighting schemes and find that combination models provide superior forecasts. In renewable energy markets, policy supports have a significant impact on an investment’s profitability. The implication for policymakers is clear: to foster investment in solar PV, policy stability is critical.


2021 ◽  
pp. 0958305X2199229
Author(s):  
Jingyu Qu ◽  
Wooyoung Jeon

Renewable generation sources still have not achieved economic validity in many countries including Korea, and require subsidies to support the transition to a low-carbon economy. An initial Feed-In Tariff (FIT) was adopted to support the deployment of renewable energy in Korea until 2011 and then was switched to the Renewable Portfolio Standard (RPS) to implement more market-oriented mechanisms. However, high volatilities in electricity prices and subsidies under the RPS scheme have weakened investment incentives. In this study we estimate how the multiple price volatilities under the RPS scheme affect the optimal investment decisions of energy storage projects, whose importance is increasing rapidly because they can mitigate the variability and uncertainty of solar and wind generation in the power system. We applied mathematical analysis based on real-option methods to estimate the optimal trigger price for investment in energy-storage projects with and without multiple price volatilities. We found that the optimal trigger price of subsidy called the Renewable Energy Certificate (REC) under multiple price volatilities is 10.5% higher than that under no price volatilities. If the volatility of the REC price gets doubled, the project requires a 26.6% higher optimal investment price to justify the investment against the increased risk. In the end, we propose an auction scheme that has the advantage of both RPS and FIT in order to minimize the financial burden of the subsidy program by eliminating subsidy volatility and find the minimum willingness-to-accept price for investors.


Author(s):  
Dereje Azemraw Senshaw ◽  
Alexander Edwards

This case study examines the progress being made by 12 least developed countries (LDCs) in their effort to achieve Sustainable Development Goal 7 (SDG7) – access to clean and sustainable energy for all. Focusing on solar photovoltaics (PV), the authors look at what can be done to further the spread of renewable energy, and the role various actors have to playing in helping these countries to meet SDG7. Furthermore, with countries on the cusp of submitting their revised contributions under the Paris Agreement, they look at the role solar PV can play in helping LDCs to participate in taking action against climate change. After outlining the current policy landscape, and efforts being made within these countries, they look at the obstacles, opportunities, and the role of solar PV going forward. They also look at the steps that policymakers, both national and international, can take to encourage the rapid uptake of renewable energy in developing nations.


2020 ◽  
Vol 186 ◽  
pp. 01004
Author(s):  
Pathomthat Chiradeja ◽  
Atthapol Ngaopitakkul

Renewable energy especially solar energy has become a significant part in electrical power generation with its advantage in the environmentally friendly and current trend of decrease in installation cost. The photovoltaic (PV) system on a rooftop is one of the power generating system based on renewable energy that can fit building to utilize space efficiently. This paper is analyzing the feasibility of installing a solar PV rooftop on the building using a case study building located in Bangkok, Thailand. The performance will be evaluated in term of both energy and economic perspective. The comparison with Thailand building energy code also been done to show that overall energy consumption with PV system complies with the law. The result has shown that with rooftop photovoltaic system installation, annual energy consumption in the building can be reduced significantly and it can achieve feasibility in term of economic perspective.


Author(s):  
Ram Krishnan ◽  
Amber Haselhuhn ◽  
Joshua M. Pearce

Solar photovoltaic (PV) technology can provide sustainable power for the growing global population in cities, but it demands considerable land area. This is a challenge for densely populated cities. However, the stranded assets of non-productive parking lots areas can be converted to solar farms with PV canopies, enabling sustainable electricity generation while preserving their function to park automobiles. This study provides a method for determining the technical and economic potential for converting a national scale retail company’s parking lot area to a solar farm. First, the parking lot area for the company is determined and divided into zones based upon solar flux using virtual maps. Then the potential PV yield in each zone is calculated. A sensitivity analysis is performed on the price per unit power installed, solar energy production as a proxy for conversion efficiency, electricity rates and revenue earned per unit area. To demonstrate this method, analysis of Walmart Supercenters, USA is presented as a case study. The results show solar canopies for parking lot areas are a profitable as well a responsible step in most locations and there is significant potential for sustainable energy deployment in cities by other similar retailers using solar PV canopies.


2020 ◽  
Author(s):  
Marc Jaxa-Rozen ◽  
Evelina Trutnevyte

<p>Solar photovoltaic (PV) technology has been the fastest-growing renewable energy technology in recent years. Since 2009, it has in fact experienced the largest capacity growth of any power generation technology, with benchmark levelized costs falling by four-fifths [1]. In addition, the global technical potential of PV largely exceeds global primary energy demand [2]. Nonetheless, PV typically only appears as a relatively marginal option in long-term energy modelling studies and scenarios. These include the mitigation pathways evaluated in the context of the work of the Intergovernmental Panel on Climate Change (IPCC), which rely on integrated assessment models (IAMs) of climate change and have in the past underestimated PV growth as compared to observed rates of adoption [2]. Similarly, global energy projections, such as the International Energy Agency's World Energy Outlook, have been relatively conservative regarding the role of solar PV in long-term energy transitions.</p><p>In order to better understand the long-term global role of solar PV as perceived by various modeling communities, this work synthesizes a broad ensemble of scenarios for global PV adoption at the 2050 horizon. This ensemble includes 784 IAM-based scenarios from the IPCC SR15 and AR5 databases, and 82 other systematically selected scenarios published over the 2010-2019 period in the academic and gray literature, such as PV-focused techno-economic analyses and global energy outlooks. The scenarios are analyzed using a descriptive framework which combines scenario indicators (e.g. mitigation policies depicted in a scenario), model indicators (e.g. the representation of technological change in the underlying model), and meta-indicators (e.g. the type of institution which authored a scenario). We extend this scenario framework to include a text-mining approach, using Latent Dirichlet Allocation (LDA) to associate scenarios with different textual perspectives identified in the ensemble, such as energy access or renewable energy transitions. We then use a scenario discovery approach to identify the combinations of indicators which are most strongly associated with different regions of the scenario space.</p><p>Preliminary results indicate that the date of publication of a scenario has a predominant influence on projected PV adoption values: scenarios published in the first half of the 2010s thus tend to represent considerably lower PV adoption levels. In parallel, higher projected values are more strongly associated with renewable-focused institutions. Increasing the institutional diversity of scenario ensembles may thus lead to a broader range of considered futures [3].</p><p> <br>References<br>[1] Frankfurt School-UNEP Centre, “Global Trends in Renewable Energy Investment 2019,” Frankfurt, Germany, 2019.<br>[2] F. Creutzig, P. Agoston, J. C. Goldschmidt, G. Luderer, G. Nemet, and R. C. Pietzcker, “The underestimated potential of solar energy to mitigate climate change,” Nat Energy, vol. 2, no. 9, pp. 1–9, Aug. 2017, doi: 10.1038/nenergy.2017.140.<br>[3] E. Trutnevyte, W. McDowall, J. Tomei, and I. Keppo, “Energy scenario choices: Insights from a retrospective review of UK energy futures,” Renewable and Sustainable Energy Reviews, vol. 55, pp. 326–337, Mar. 2016, doi: 10.1016/j.rser.2015.10.067.</p>


2017 ◽  
Vol 15 (1) ◽  
Author(s):  
Nee Au Yong Hui ◽  
Lim Tan Kock

Malaysia has realised the importance of renewable energy (RE) in the energy mix and continuously reviewing its energy policy to ensure sustainable energy supply. The use of RE is among the options although the RE capacity is still underutilized. Malaysia achieves 5.5% share of RE in the energy mix by 2015, and the RE sector is expected to double by 2020 with strong growth in the solar photovoltaic (PV), biomass and biogas markets. Beyond 2020, it is predicted that solar energy will surpass all other forms of RE for Malaysia and other countries, and the solar power will be the long term source of energy supply. After an investigation on the RE policy, the domestic solar PV manufacturing scenario is elaborated in this paper. This includes the solar PV manufacturing, issues and trade disputes, and the way forward. Among the key findings from this paper include: the foreign direct investment (FDI) related to RE sector especially from the US and lately China, have increased rapidly, and more ‘green' jobs in the solar PV manufacturing and installation sectors have been created. With the existence of trade disputes between the United States and the European Union with China, Malaysia has the potential to reap benefits with the inflow of direct investments from China. Nevertheless, the future incidence of RE trade disputes is still uncertain.


1970 ◽  
Vol 1 (1) ◽  
Author(s):  
Julius Susanto

This paper articulates a financial model for estimating the limits of grid extensionin the Lao PDR versus three decentralised renewable energy (DRE) options: micro-hydropower,pico-hydropower and solar photovoltaic. The model is based on a like-for-like comparison of thedifferent DRE options against grid extension, such that each option supplies the same amount ofelectricity (in kWh) over the project timeframe. The amount of electricity supplied is estimatedbased on the forecast electricity demand of a typical rural Lao household. Therefore, if a householdconsumes 7 kWh per day, then the micro-hydro, pico-hydro, solar PV and grid extension systems areall sized in the model to supply 7 kWh per day. This is in contrast to more conventional approaches,where grid extension is compared to DRE systems of typically lower capacities (e.g. grid extensioncompared against 50 W solar home systems). The limits of grid extension are expressed in termsof a breakeven distance, which is the maximum distance from a village at which grid extension isthe more cost-effective option. Beyond this breakeven distance, DRE technologies can be installedat a lower cost, while providing the same amount of electricity to the end-user.


2020 ◽  
Vol 12 (11) ◽  
pp. 4649
Author(s):  
Dongxiao Niu ◽  
Hao Zhen ◽  
Min Yu ◽  
Keke Wang ◽  
Lijie Sun ◽  
...  

With the deteriorating ecological environment and increasing energy consumption, developing clean and renewable energy sources has become a key measure to solve environmental problems and energy shortages. The multicriteria decision-making (MCDM) technique is widely used in the assessment of renewable energy alternatives (REA) to determine the most sustainable and appropriate option for a country or region. Classic REA ranking is conducted in a deterministic environment through MCDM techniques. However, with the increasing complexity of environmental and energy issues, the REA ranking method is unsuitable for use in today’s China. Therefore, in this paper, a fuzzy MCDM technique based on the interval-valued hesitant fuzzy elimination and choice expressing reality (IVHF-ELECTRE II) method, taking into account the uncertainty and ambiguity of the information, is proposed for REA ranking. A case study in China is conducted to elaborate on the rationality and feasibility of the proposed framework. According to the ranking results, hydro is determined as the best REA in China, followed by wind energy, solar photovoltaic, geothermal, biomass energy, and solar thermal. This research provides a feasible method and insightful reference for national decision-makers to utilize when evaluating the REA and establishing a macroplanning policy for renewable energy under an uncertain environment.


Author(s):  
Dereje Azemraw Senshaw ◽  
Alexander Edwards

This case study examines the progress being made by 12 least developed countries (LDCs) in their effort to achieve Sustainable Development Goal 7 (SDG7) – access to clean and sustainable energy for all. Focusing on solar photovoltaics (PV), the authors look at what can be done to further the spread of renewable energy, and the role various actors have to playing in helping these countries to meet SDG7. Furthermore, with countries on the cusp of submitting their revised contributions under the Paris Agreement, they look at the role solar PV can play in helping LDCs to participate in taking action against climate change. After outlining the current policy landscape, and efforts being made within these countries, they look at the obstacles, opportunities, and the role of solar PV going forward. They also look at the steps that policymakers, both national and international, can take to encourage the rapid uptake of renewable energy in developing nations.


Sign in / Sign up

Export Citation Format

Share Document