scholarly journals Measuring Financial Impacts of the Renewable Energy Based Fiscal Policy in Colombia under Electricity Price Uncertainty

2021 ◽  
Vol 13 (4) ◽  
pp. 2010
Author(s):  
Alejandro Castillo-Ramírez ◽  
Diego Mejía-Giraldo
Keyword(s):  
Renewable Energy ◽  
High Capacity ◽  
Point Of View ◽  
Tax Rates ◽  
Hydro Power ◽  
Tax Allowance ◽  
Energy Projects ◽  
Generation Company ◽  
Error Terms ◽  
Financial Impacts

This paper analyses the financial implications, from the point of view of an investor in renewable energy, which sells the energy for an uncertain price of electricity and decides to take advantage of the Colombian tax policy over the renewable energy. The policy, known as Investment Tax Allowance (ITA), encourages installation of renewable projects in a country traditionally dominated by hydro power. Price is modeled as a non-stationary autoregressive stochastic process with normally distributed error terms. Costs, and uncertain revenue and taxes are considered to assess the financial impact on a solar project when the policy is implemented. Since impact varies according to project ownership, two cases are evaluated: a generation company (GENCO-1) that only owns the solar project; and, an existent generation company (GENCO-2) that owns a portfolio of projects. Results indicate that if ITA is applied, it is likely that the GENCO-1 cannot take the full advantage of the incentive, as opposed to the GENCO-2. Although this policy might not satisfy planner objectives since it does not guarantee the construction of significantly high capacity of new renewable energy projects, it definitely represents an attractive mechanism to decrease tax obligations at the GENCO-2 level. Finally, a theoretical analysis shows that investment cost affects the mean of the present value; whereas tax rates impacts both its mean and standard deviation.

Environmental Effects Evaluation of Innovative Renewable Energy Projects

2019 ◽  
Vol 10 (1) ◽  
pp. 100
Author(s):  
Anastasia A. SALNIKOVA ◽  
Andrej S. SLAVJANOV ◽  
Evgenii Yu. KHRUSTALEV ◽  
Oleg E. KHRUSTALEV
Keyword(s):  
Renewable Energy ◽  
Life Cycle ◽  
Environmental Effects ◽  
Ecological Impact ◽  
Efficiency Score ◽  
Point Of View ◽  
Evaluation Methodology ◽  
Great Promise ◽  
Energy Projects ◽  
Sustainable Renewable Energy

Developing sustainable renewable energy projects involves complex decision-making processes. At present time planning and developing of renewable energy projects across the globe imply calculation and consideration of negative environmental effects at all stages of energy project life cycle. The aim of the paper is to develop an environmental effects evaluation methodology based on ecological impact categories through all the stages of lifecycle of renewable energy technologies. We used data envelopment analysis to calculate the efficiency score for each renewable energy technology. EcoInvent database has been chosen as a source of eco-indicators. We suppose the efficiency ratio will remain unchanged when transferring estimates of the life cycle of renewable energy facilities to another territory. This allows us to use data obtained in other regions of the world to extrapolate comparative assessments and make the deliberate choice of the most environmentally preferable technology. The input-oriented DEA modelling has demonstrated geothermal and biogas technologies are the most preferable from an environmental point of view with the highest possible score. The least effective technologies are both modifications of PV with the minimum efficiency score. The results of the presented work indicated that DEA showed great promise to be an effective evaluating tool for future analysis on energy policy issues.

Renewable Energy on Tribal Lands: A Feasibility Study for a Biomass-to-Energy Plant on the Cocopah Reservation in Arizona

2019 ◽  
Vol 3 (1) ◽  
pp. 1-12
Author(s):  
Lauren K. D’Souza ◽  
William L. Ascher ◽  
Tanja Srebotnjak
Keyword(s):  
Renewable Energy ◽  
Alternative Energy ◽  
Renewable Energy Sources ◽  
The United States ◽  
Biomass Energy ◽  
Policy Support ◽  
Small Scale ◽  
Energy Plant ◽  
Energy Projects ◽  
Alternative Investment

Native American reservations are among the most economically disadvantaged regions in the United States; lacking access to economic and educational opportunities that are exacerbated by “energy insecurity” due to insufficient connectivity to the electric grid and power outages. Local renewable energy sources such as wind, solar, and biomass offer energy alternatives but their implementation encounters barriers such as lack of financing, infrastructure, and expertise, as well as divergent attitudes among tribal leaders. Biomass, in particular, could be a source of stable base-load power that is abundant and scalable in many rural communities. This case study examines the feasibility of a biomass energy plant on the Cocopah reservation in southwestern Arizona. It considers feedstock availability, cost and energy content, technology options, nameplate capacity, discount and interest rates, construction, operation and maintenance (O&M) costs, and alternative investment options. This study finds that at current electricity prices and based on typical costs for fuel, O&M over 30 years, none of the tested scenarios is presently cost-effective on a net present value (NPV) basis when compared with an alternative investment yielding annual returns of 3% or higher. The technology most likely to be economically viable and suitable for remote, rural contexts—a combustion stoker—resulted in a levelized costs of energy (LCOE) ranging from US$0.056 to 0.147/kWh. The most favorable scenario is a combustion stoker with an estimated NPV of US$4,791,243. The NPV of the corresponding alternative investment is US$7,123,380. However, if the tribes were able to secure a zero-interest loan to finance the plant’s installation cost, the project would be on par with the alternative investment. Even if this were the case, the scenario still relies on some of the most optimistic assumptions for the biomass-to-power plant and excludes abatement costs for air emissions. The study thus concludes that at present small-scale, biomass-to-energy projects require a mix of favorable market and local conditions as well as appropriate policy support to make biomass energy projects a cost-competitive source of stable, alternative energy for remote rural tribal communities that can provide greater tribal sovereignty and economic opportunities.

scholarly journals A Decision Support Tool for Long-Term Planning of Marine Operations in Ocean Energy Projects

2021 ◽  
Vol 9 (8) ◽  
pp. 810
Author(s):  
Francisco X. Correia da Fonseca ◽  
Luís Amaral ◽  
Paulo Chainho
Keyword(s):  
Renewable Energy ◽  
Decision Support ◽  
Decision Support Tool ◽  
Ocean Energy ◽  
Support Tool ◽  
Marine Renewable Energy ◽  
Marine Energy ◽  
Energy Projects ◽  
Selection Algorithms ◽  
Maritime Infrastructure

Ocean energy is a relevant source of clean renewable energy, and as it is still facing challenges related to its above grid-parity costs, tariffs intended to support in a structured and coherent way are of great relevance and potential impact. The logistics and marine operations required for installing and maintaining these systems are major cost drivers of marine renewable energy projects. Planning the logistics of marine energy projects is a highly complex and intertwined process, and to date, limited advances have been made in the development of decision support tools suitable for ocean energy farm design. The present paper describes the methodology of a novel, opensource, logistic and marine operation planning tool, integrated within DTOceanPlus suite of design tools, and responsible for producing logistic solutions comprised of optimal selections of vessels, port terminals, equipment, as well as operation plans, for ocean energy projects. Infrastructure selection logistic functions were developed to select vessels, ports, and equipment for specific projects. A statistical weather window model was developed to estimate operation delays due to weather. A vessel charter rate modeling approach, based on an in-house vessel database and industry experience, is described in detail. The overall operation assumptions and underlying operating principles of the statistical weather window model, maritime infrastructure selection algorithms, and cost modeling strategies are presented. Tests performed for a case study based a theoretical floating wave energy converter produced results in good agreement with reality.

scholarly journals Renewable Energy Attitudes and Behaviour of Local Governments in Poland

Energies ◽  
2021 ◽  
Vol 14 (10) ◽  
pp. 2765
Author(s):  
Joanna Rakowska ◽  
Irena Ozimek
Keyword(s):  
Renewable Energy ◽  
Local Governments ◽  
Local Development ◽  
Local Level ◽  
Environmental Benefits ◽  
Local Authorities ◽  
The Public ◽  
Energy Behavior ◽  
Public Aid ◽  
Energy Projects

The deployment of renewable energy at the local level can contribute significantly to mitigating climate change, improving energy security and increasing social, economic and environmental benefits. In many countries local authorities play an important role in the local development, but renewable energy deployment is not an obligatory task for them. Hence there are two research questions: (1) Do local governments think investments in renewable energy (RE) are urgent and affordable within the local budgets? (2) How do they react to the public aid co-financing investments in renewable energy? To provide the answer we performed qualitative analysis and non-parametric tests of data from a survey of 252 local authorities, analysis of 292 strategies of local development and datasets of 1170 renewable energy projects co-financed by EU funds under operational programs 2007–2013 and 2014–2020 in Poland. Findings showed that local authorities’ attitudes were rather careful, caused by financial constraints of local budgets and the scope of obligatory tasks, which made renewable energy investments not the most urgent. Public aid was a factor significantly affecting local authorities’ behavior. It triggered local authorities’ renewable energy initiatives, increasing the number and scope of renewable energy investments as well cooperation with other municipalities and local communities. Despite this general trend, there were also considerable regional differences in local authorities’ renewable energy behavior.

scholarly journals Power Generation In Nigeria: The Past, Present And The Future

2020 ◽  
pp. 1-8
Author(s):  
Adeoye Samuel ◽  
◽  
Oladimeji TT ◽  
Keyword(s):  
Power Generation ◽  
Renewable Energy ◽  
Renewable Energy Sources ◽  
Electrical Power ◽  
Electrical Energy ◽  
Power Imbalance ◽  
Power Demand ◽  
Electrical Power System ◽  
Hydro Power ◽  
The Future

The goal of power sector in Nigeria is to efficiently and reliably transmit electrical power to all parts of the country which are made up of thirty-six states of the federation and the federal capital territory. The constituents of electrical power system are the generation, transmission, distribution and the utilization of electrical energy. There is gross power imbalance between the generation and the required power demand which has culminated into a defective economy in the last three decades. This paper therefore examines the power imbalance between the generation and power demand by the consumers and therefore stresses the need to harness the opportunity of renewable energy generation close to the gap between the power generation and power demand. This will help in transmitting and distributing efficient, effective, reliable power to consumers and improve both human and capital development. The availability of renewable energy sources such as sun, wind and small hydro power will be explored for the future of power generation in the country to fill in the gap between power generation and demand in Nigeria

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