Reducing Carbon Intensity in Restructured Markets: Challenges and Potential Solutions
نویسندگان
چکیده
Recent advancements in battery technologies may make bulk electricity storage economically feasible. We analyze the value of two electrochemical storage technologies and traditional pumped hydropower storage in the 2010 PJM day-ahead energy market, using a reduced-form unit commitment model. We find that large-scale storage would increase overall social welfare in PJM. However, the annualized capital costs of storage would exceed social welfare gains. Consumers would save up to $4 billion annually due to reduced peak prices and reduced reliance on expensive peaking generators. These savings are equivalent to ~10% of sales in the PJM day-ahead energy market. Savings come largely at the expense of generator surplus. Existing market mechanisms are insufficient to encourage the socially optimal quantity of storage. Storage reduces the profitability of generators and the need for peaking generation capacity. Storage modestly increases emissions of CO2 and other pollutants in a system with 2010 PJM characteristics. This paper was published as Lueken, R.; Apt, J. The effects of bulk electricity storage on the PJM market. Energy Systems. 2014 , DOI: 10.1007/s12667-014-01237.
منابع مشابه
Probabilistic GENCOs Bidding Strategy in Restructured Two-Side Auction Power Markets
As a matter of course, power market uncertainties escalation is by product of power industry restructure on one hand and the unrivalled penetration of renewable energies on the other. Generally, the decision making process in such an uncertain environment faces with different risks. In addition, the performance of real power markets is very close to oligopoly markets, in which, some market play...
متن کاملHow planting density and grazing intensity affect the above- and below-ground carbon pools in a dryland ecosystem?
Climate change is known as one of the most important environmental challenges. Sequestration of carbon in terrestrial ecosystems is a low-cost option that may be available in the near-term to mitigate increasing atmospheric CO2 concentrations, while providing additional benefits. In this study, we estimated the effects of planting density and grazing intensity on the potential of Atriplex canes...
متن کاملGeneration Investment and Capacity Adequacy in Electricity Markets
One of the major challenges in restructured power systems is to maintain a level of generation capacity that ensures an acceptable level of certainty against power interruptions. A power market with a wellfunctioning spot market and long-term markets for allocation of risks between consumers and producers should in theory generate optimal investments in new power generation capacity, but this m...
متن کاملReducing the ecological consequences of night-time light pollution: options and developments
1. Much concern has been expressed about the ecological consequences of night-time light pollution. This concern is most often focused on the encroachment of artificial light into previously unlit areas of the night-time environment, but changes in the spectral composition, duration and spatial pattern of light are also recognized as having ecological effects.2. Here, we examine the potential c...
متن کاملBird Community Conservation and Carbon Offsets in Western North America
Conservation initiatives to protect and restore valued species and communities in human-dominated landscapes face huge challenges linked to the cost of acquiring habitat. We ask how the sale of forest carbon offsets could reduce land acquisition costs, and how the alternate goals of maximizing α or β-diversity in focal communities could affect the prioritization land parcels over a range of con...
متن کامل