EconPapers    
Economics at your fingertips  
 

Methodology for Analysing Electricity Generation Unit Costs in Renewable Energy Sources (RES)

Ryszard Bartnik and Dariusz Pączko
Additional contact information
Ryszard Bartnik: Faculty of Production Engineering and Logistics, Opole University of Technology, Prószkowska 76, 45-758 Opole, Poland
Dariusz Pączko: Faculty of Production Engineering and Logistics, Opole University of Technology, Prószkowska 76, 45-758 Opole, Poland

Energies, 2021, vol. 14, issue 21, 1-15

Abstract: Due to the constant trend of building wind turbine sets and photovoltaic cells, the so-called renewable energy sources, it is important to develop a mathematical model that will allow us to analyse the economic viability of their operation. By using this model, multivariate calculations should be carried out and developed in the form of universal nomograms that will allow us to estimate this viability almost on an immediate basis. In this paper, such a model for the unit cost of electricity production from renewable energy sources is presented. It is based on a continuous-time Net Present Value notation. The multi-variant calculations performed with it take into account different subsidy levels and operating time of the renewable energy sources. The paper presents values of unit costs of electricity production from renewable energy sources and values of maximum subsidies for this production. It turns out that subsidies are necessary for renewable energy sources to exist on the energy market. An additional disadvantage is the fact that renewable energy sources are not able to provide a stable electricity supply throughout the year.

Keywords: renewable energy sources; RES; methodology; specific cost of electricity production (search for similar items in EconPapers)
JEL-codes: Q Q0 Q4 Q40 Q41 Q42 Q43 Q47 Q48 Q49 (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/1996-1073/14/21/7241/pdf (application/pdf)
https://www.mdpi.com/1996-1073/14/21/7241/ (text/html)

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:gam:jeners:v:14:y:2021:i:21:p:7241-:d:671005

Access Statistics for this article

Energies is currently edited by Ms. Agatha Cao

More articles in Energies from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager (indexing@mdpi.com).

 
Page updated 2024-12-28
Handle: RePEc:gam:jeners:v:14:y:2021:i:21:p:7241-:d:671005