An analysis of the optimum renewable energy portfolio using the bottom–up model: Focusing on the electricity generation sector in South Korea

Sang Yong Park, Bo-Yeong Yun, Chang Yeol Yun, Duk Hee Lee and Dong Gu Choi

Renewable and Sustainable Energy Reviews, 2016, vol. 53, issue C, 319-329

Abstract: The deployment of renewable energy is considered as one of the important alternative solutions for reducing greenhouse gas emissions caused by electricity generation. As one of the key measures for promoting the deployment of renewable energy, the Renewable Portfolio Standard (RPS), which obligates power operators with a power equipment capacity of 500MW or larger (excluding renewable energy equipment) to supply over a specific portion of their total electricity generation output in the form of renewable energy, was enacted in South Korea in 2012. However, there are still many disputes concerning the appropriate renewable energy deployment goal and the optimum portfolio for each renewable energy source which enable to minimize the economic burden while achieving the deployment target. Therefore, this paper intends to deduce the optimum portfolio up to 2050 based on explicit representation of renewable energy technologies and analyze the cost effect using the bottom–up energy system analysis model of electricity generation sector in South Korea. The result indicates that the potential for a reduction of the cost of PV was the highest and that, in the long term, it would account for the highest portion of the renewable energy portfolio as it was the most cost competitive technology. The additional cost for increasing the renewable deployment target 20% compared with the 3rd Energy Basic Plan was predicted to be between 107 and 115 USD/MWh. Therefore the renewable energy will be able to play a greater role in reducing GHG emission if the R&D to reduce investment and operation cost of PV and wind power is conducted successfully.

Keywords: Renewable energy portfolio; Bottom–up model; TIMES; Supply curve (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (24)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1364032115008758
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:rensus:v:53:y:2016:i:c:p:319-329

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/journaldescription.cws_home/600126/bibliographic
http://www.elsevier. ... 600126/bibliographic

DOI: 10.1016/j.rser.2015.08.029

Access Statistics for this article

Renewable and Sustainable Energy Reviews is currently edited by L. Kazmerski

More articles in Renewable and Sustainable Energy Reviews from Elsevier
Bibliographic data for series maintained by Catherine Liu ().