Energies

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26 pages, 5821 KiB

Open AccessArticle

Modelling the Coevolution of the Fuel Ethanol Industry, Technology System, and Market System in China: A History-Friendly Model

by Chao Bi, Jingjing Zeng, Wanli Zhang and Yonglin Wen

Energies 2020, 13(5), 1034; https://doi.org/10.3390/en13051034 - 26 Feb 2020

Cited by 3 | Viewed by 2591

Abstract

The interaction among the fuel ethanol industry, the technology system, and the market system has a substantial effect on the growth of the fuel ethanol industry which plays a key role in the formation of a sustainable energy system in China. However, we [...] Read more.

The interaction among the fuel ethanol industry, the technology system, and the market system has a substantial effect on the growth of the fuel ethanol industry which plays a key role in the formation of a sustainable energy system in China. However, we know little about the relationships among them and it is difficult to explore the nexus using econometric method due to the lack of statistics on China’s fuel ethanol industry. This paper develops a history-friendly coevolutionary model to describe the relationships among the fuel ethanol industry, the technology system, and the market system in China. Based on the coevolutionary model, we further assess the impacts of entry regulations, production subsidies, R&D subsidies, and ethanol mandates on the growth of the fuel ethanol industry in China using a simulation method. The results of historical replication runs show that the model can appropriately reflect the multidirectional causalities between the fuel ethanol industry, the technology system, and the market system. We also found that entry regulation is conducive to weakening the negative economic impacts induced by the growth of the grain-based fuel ethanol industry without affecting the long-term total output of the industry; production subsidies to traditional technology firms are helpful for the expansion of the fuel ethanol industry, but they also impede technology transfer in the industry; only when firms inside the industry are not in the red can R&D subsidies promote technological progress and then further accelerate the growth of the fuel ethanol industry; the ethanol mandate has a significant impact on industrial expansion only when a production subsidy policy is implemented simultaneously. Our findings suggest that more attention could be paid to consider the cumulative effects caused by coevolutionary mechanisms when policymakers assess the effects of exogenous policies on the growth of the fuel ethanol industry. More attention also could be paid to the conditions under which these policies can work effectively. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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14 pages, 2482 KiB

Open AccessArticle

Techno Economic Evaluation of Cold Energy from Malaysian Liquefied Natural Gas Regasification Terminals

by Mohd Amin Abd Majid, Hamdan Haji Ya, Othman Mamat and Shuhaimi Mahadzir

Energies 2019, 12(23), 4475; https://doi.org/10.3390/en12234475 - 24 Nov 2019

Cited by 6 | Viewed by 4624

Abstract

In order to cater for increased demand for natural gas (NG) by the industry, Malaysia is required to import liquid natural gas (LNG). This is done through PETRONAS GAS Sdn Bhd. For LNG regasification, two regasification terminals have been set up, one in [...] Read more.

In order to cater for increased demand for natural gas (NG) by the industry, Malaysia is required to import liquid natural gas (LNG). This is done through PETRONAS GAS Sdn Bhd. For LNG regasification, two regasification terminals have been set up, one in Sungai Udang Melaka (RGTSU) and another at Pengerang Johor (RGTPJ). RGTSU started operation in 2013 while RGTPJ began operation in 2017. The capacities of RGTSU and RGTPJ are 3.8 (500 mmscfd) and 3.5 (490 mmscfd) MTPA, respectively. RGTSU is an offshore plant and uses an intermediate-fluid-vaporization (IFV) process for regasification. RGTPJ is an onshore plant and employs open-rack vaporization (ORV). It is known that a substantial amount of cold energy is released during the regasification process. However, neither plant captures the cold energy released during regasification. This techno economic study serves to evaluate the technical and economic feasibility of the cold energy available during regasification. It was estimated that approximately 47,214 and 88,383 kWh of cold energy could be generated daily at RGTPJ and RGTSU, respectively, during regasification processes. Converting this energy into RTh at 70% thermal efficiency, and taking the commercial rate of 0.549 Sen per RTh, for the 20-year project life, an internal rate of return (IRR) of up to 33% and 17% was estimated for RGTPJ and for RGTSU, respectively. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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14 pages, 1006 KiB

Open AccessArticle

Interdependence Between Renewable-Energy and Low-Carbon Stock Prices

by Juan C. Reboredo, Andrea Ugolini and Yifei Chen

Energies 2019, 12(23), 4461; https://doi.org/10.3390/en12234461 - 22 Nov 2019

Cited by 18 | Viewed by 3372

Abstract

In the transition to a low-carbon economy, climate-resilient investors may be inclined to buy renewable-energy or other low-carbon assets. As the diversification benefits of investment positions in those assets depend on interdependence between their market prices, we explore that interdependence in the European [...] Read more.

In the transition to a low-carbon economy, climate-resilient investors may be inclined to buy renewable-energy or other low-carbon assets. As the diversification benefits of investment positions in those assets depend on interdependence between their market prices, we explore that interdependence in the European and USA stock markets. We model the dependence structure using bivariate copula functions and evaluate price spillovers between those markets using a conditional quantile dependence approach that accounts for the reciprocal effects of price movements in those markets under normal and extreme market scenarios. Our empirical evidence for the period 2010–2019 indicates that European renewable-energy and low-carbon stocks co-move; upward and downward movements in low-carbon asset prices have sizeable effects on renewable-energy asset prices, and vice versa, although effects are smaller. In contrast, for the USA we find evidence of non-interdependence, with no significant upward or downward price spillover effects between renewable-energy and low-carbon stocks. Our empirical findings provide useful insights for the design of carbon-resilient portfolios and risk management strategies, and also for implementation of public funding policies to support the transition to a low-carbon economy. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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15 pages, 3467 KiB

Open AccessArticle

Optimal Coordination of Wind Power and Pumped Hydro Energy Storage

by Hussein M. K. Al-Masri, Ayman Al-Quraan, Ahmad AbuElrub and Mehrdad Ehsani

Energies 2019, 12(22), 4387; https://doi.org/10.3390/en12224387 - 19 Nov 2019

Cited by 18 | Viewed by 3576

Abstract

A study combining wind power with pumped hydro energy storage for the Jordanian utility grid is presented. Three solvers of the Matlab optimization toolbox are used to find the optimal solution for the cost of energy in a combined on-grid system. Genetic algorithm, [...] Read more.

A study combining wind power with pumped hydro energy storage for the Jordanian utility grid is presented. Three solvers of the Matlab optimization toolbox are used to find the optimal solution for the cost of energy in a combined on-grid system. Genetic algorithm, simulated annealing (SA), and pattern search (PS) solvers are used to find the optimal solution. The GA solution of 0.0955388 $/kWh is economically feasible. This is 28.7% lower than the electricity purchased from the conventional utility grid. The discounted payback period to recover the total cost is 10.271 years. The suggested configuration is shown to be feasible by comparing it to real measurements for this case and a previous wind-only case. It is shown that the indicators of the optimal solution are improved. For instance, carbon dioxide emissions (E_CO2) and conventional grid energy purchases are reduced by 24.69% and 24.68%, respectively. Moreover, it is shown that the benefits of adding hydro storage, combined with increasing the number of wind turbine units, reduces the cost of energy of renewables (COE_Renewables). Therefore, combining hydro storage with wind power is economically, environmentally, and technically a more efficient alternative to the conventional power generation. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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20 pages, 2115 KiB

Open AccessFeature PaperArticle

Assessing Renewable Energy Sources for Electricity (RES-E) Potential Using a CAPM-Analogous Multi-Stage Model

by Paulino Martinez-Fernandez, Fernando deLlano-Paz, Anxo Calvo-Silvosa and Isabel Soares

Energies 2019, 12(19), 3599; https://doi.org/10.3390/en12193599 - 20 Sep 2019

Cited by 5 | Viewed by 3610

Abstract

Carbon mitigation is a major aim of the power-generation regulation. Renewable energy sources for electricity are essential to design a future low-carbon mix. In this work, financial Modern Portfolio Theory (MPT) is implemented to optimize the power-generation technologies portfolio. We include technological and [...] Read more.

Carbon mitigation is a major aim of the power-generation regulation. Renewable energy sources for electricity are essential to design a future low-carbon mix. In this work, financial Modern Portfolio Theory (MPT) is implemented to optimize the power-generation technologies portfolio. We include technological and environmental restrictions in the model. The optimization is carried out in two stages. Firstly, we minimize the cost and risk of the generation portfolio, and afterwards, we minimize its emission factor and risk. By combining these two results, we are able to draw an area which can be considered analogous to the Capital Market Line (CML) used by the Capital Asset Pricing model (CAPM). This area delimits the set of long-term power-generation portfolios that can be selected to achieve a progressive decarbonisation of the mix. This work confirms the relevant role of small hydro, offshore wind, and large hydro as preferential technologies in efficient portfolios. It is necessary to include all available renewable technologies in order to reduce the cost and the risk of the portfolio, benefiting from the diversification effect. Additionally, carbon capture and storage technologies must be available and deployed if fossil fuel technologies remain in the portfolio in a low-carbon approach. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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15 pages, 294 KiB

Open AccessArticle

The Conundrum of Carbon Trading Projects towards Sustainable Development: A Review from the Palm Oil Industry in Malaysia

by Tengku Adeline Adura Tengku Hamzah, Zainorfarah Zainuddin, Mariney Mohd Yusoff, Saripah Osman, Alias Abdullah, Khairos Md Saini and Arno Sisun

Energies 2019, 12(18), 3530; https://doi.org/10.3390/en12183530 - 13 Sep 2019

Cited by 11 | Viewed by 4704

Abstract

Palm oil’s utilization as a renewable energy (RE) source has led the government to intervene by introducing emission reduction projects. Carbon trading projects are part of the strategic direction adopted within the climate mitigation plan and sustainability drive in the palm oil industry. [...] Read more.

Palm oil’s utilization as a renewable energy (RE) source has led the government to intervene by introducing emission reduction projects. Carbon trading projects are part of the strategic direction adopted within the climate mitigation plan and sustainability drive in the palm oil industry. The perquisites and opportunities encountered within emissions trading are expected to aid palm oil producers economically, environmentally, and socially. This study addresses and analyses how the carbon trading projects’ targets in Malaysia can be achieved, the problematic, and pressing issues around their implementation and whether these projects are sustainable and create a positive impact. This paper is based on literature reviews and semi-structured interviews with expert palm oil producers in Malaysia. The findings have revealed that carbon trading implementation in Malaysia has delivered new insights towards the international climate policy approach on the feasibility and impact of long-term sustainability goals. However, the impact of the implementation needs support from the government for further development. In conclusion, the major contribution of this study is that the carbon trading implementation in Malaysia complies with the objectives and principles of sustainable development and creates a significant influx in investment for Malaysia’s economic growth. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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12 pages, 2570 KiB

Open AccessArticle

The Importance of Heat Emission Caused by Global Energy Production in Terms of Climate Impact

by Anna Manowska and Andrzej Nowrot

Energies 2019, 12(16), 3069; https://doi.org/10.3390/en12163069 - 9 Aug 2019

Cited by 35 | Viewed by 4860

Abstract

The global warming phenomenon is commonly associated with the emission of greenhouse gases. However, there may be other factors related to industry and global energy production which cause climate change—for example, heat emission caused by the production of any useful form of energy. [...] Read more.

The global warming phenomenon is commonly associated with the emission of greenhouse gases. However, there may be other factors related to industry and global energy production which cause climate change—for example, heat emission caused by the production of any useful form of energy. This paper discussed the importance of heat emission—the final result of various forms of energy produced by our civilization. Does the emission also influence the climate warming process, i.e., the well-known greenhouse effect? To answer this question, the global heat production was compared to total solar energy, which reaches the Earth. The paper also analyzed the current global energy market. It shows how much energy is produced and consumed, as well as the directions for further development of the energy market. These analyses made it possible to verify the assumed hypothesis. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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18 pages, 4563 KiB

Open AccessFeature PaperArticle

Indirect Convective Solar Drying Process of Pineapples as Part of Circular Economy Strategy

by Yaovi Ouézou Azouma, Lynn Drigalski, Zdeněk Jegla, Marcus Reppich, Vojtěch Turek and Maximilian Weiß

Energies 2019, 12(15), 2841; https://doi.org/10.3390/en12152841 - 24 Jul 2019

Cited by 16 | Viewed by 8461

Abstract

This study investigates the industrial-scale application of a simple convective solar drying process of pineapples as part of a circular economy strategy for developing countries. A renewable energy concept is presented, which follows the circular economy aims by effectively employing a simple system [...] Read more.

This study investigates the industrial-scale application of a simple convective solar drying process of pineapples as part of a circular economy strategy for developing countries. A renewable energy concept is presented, which follows the circular economy aims by effectively employing a simple system for biogas production and a two-stage drying system. Both these systems meet the requirements for implementation in the specific conditions of developing countries, of which Togo, where pineapple is a major crop, is taken as an example. With respect to earlier findings available in the literature, the paper focuses on the solar drying process, which is critical to the proposed strategy. A portable solar dryer working in indirect heating mode was built and later also modified to enhance its performance. Three main factors influencing the convective drying process, namely, drying time (270 min, 480 min), solar radiation intensity (650 W/m², 1100 W/m²), and slice thickness (6–8 mm, 12–14 mm), were considered. The statistical Design of Experiments (DOE) method was applied to reduce the number and scope of experiments. In the best case, the moisture content was reduced from 87.3 wt % in fresh samples to 29.4 wt % in dried samples, which did not meet the quality requirements for dried fruit. An additional conventional post-solar drying procedure would, therefore, still be necessary. Nonetheless, the results show that in the case of pineapple drying the consumption of fossil fuels can be decreased significantly if convective solar pre-drying is employed. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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20 pages, 700 KiB

Open AccessArticle

Changing the Day-Ahead Gate Closure to Wind Power Integration: A Simulation-Based Study

by Hugo Algarvio, António Couto, Fernando Lopes and Ana Estanqueiro

Energies 2019, 12(14), 2765; https://doi.org/10.3390/en12142765 - 18 Jul 2019

Cited by 9 | Viewed by 3201

Abstract

Currently, in most European electricity markets, power bids are based on forecasts performed 12 to 36 hours ahead. Actual wind power forecast systems still lead to large errors, which may strongly impact electricity market outcomes. Accordingly, this article analyzes the impact of the [...] Read more.

Currently, in most European electricity markets, power bids are based on forecasts performed 12 to 36 hours ahead. Actual wind power forecast systems still lead to large errors, which may strongly impact electricity market outcomes. Accordingly, this article analyzes the impact of the wind power forecast uncertainty and the change of the day-ahead market gate closure on both the market-clearing prices and the outcomes of the balancing market. To this end, it presents a simulation-based study conducted with the help of an agent-based tool, called MATREM. The results support the following conclusion: a change in the gate closure to a time closer to real-time operation is beneficial to market participants and the energy system generally. Full article

(This article belongs to the Special Issue Challenges and Opportunities for the Renewable Energy Economy)

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