Power grid with 100% renewable energy for small island developing states

We estimated system-wise levelized cost of electricity (LCOE) for a power grid with a high level of renewable energy using our grid optimization model. The estimation results of the system-wise LCOE are discussed in terms of the nexus of energy, environment, and economic growth for Small Island Deve...

Full description

Saved in:
Bibliographic Details
Published in:Evolutionary and institutional economics review 2020-01, Vol.17 (1), p.183-195
Main Author: Ikeda, Yuichi
Format: Article
Language:English
Subjects:
Alternative energy sources
Climate change
Economic growth
Economic theory
Electricity
Electricity distribution
Emissions
Expenditures
Industrial plant emissions
Inequality
Power plants
Renewable resources
Citations: Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:We estimated system-wise levelized cost of electricity (LCOE) for a power grid with a high level of renewable energy using our grid optimization model. The estimation results of the system-wise LCOE are discussed in terms of the nexus of energy, environment, and economic growth for Small Island Developing States (SIDS) economies. While 100% renewable energy is technologically possible with the usage of electricity storage, the estimated LCOE is as high as 397 $/MWh which is substantially higher than electricity prices for residential consumers in the US and Japan. The susceptibility analyses imply that the estimated LCOE increase of 223% with a 100% renewable power grid corresponds to an as high as 11% decrease in economic growth. This decrease in economic growth would have a significant negative impact on SIDS economies. However, hydrogen production via the electrolysis of water using the excess energy supply from solar photovoltaics would reduce the LCOE, and therefore, higher economic growth would be attained with less CO2 emission.
ISSN:1349-4961
2188-2096
DOI:10.1007/s40844-019-00130-8