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[en] Sustainable clean energy is the top social, economic, and environmental agenda of political leaders, policy makers, enlightened business executives, and civil society in Asia. Strong economic growth in Asia has caused a great demand for energy which has resulted in an enormous increase in CO2 emissions. The association of Southeast Asian nations (ASEAN), India, China, South Korea and Japan are the most important regions in Asia as their economies have been growing steadily. These countries though heavily dependent on fossil fuels have stepped up their measures towards low-carbon society amid domestic affordability challenges and changing global mindset. This report highlights the current energy scenario in these countries and their effort towards an affordable and sustainable clean energy future. The energy policy to enhance energy security and improve environmental sustainability is also explicated in this article.
[en] In 2006, there is 8.5% distributed generation (DG) in Turkey which are generation units connected to the low and medium voltage distribution network. Out of this, 56% is industrial combined heat and power production (CHP) and 20% are renewables (RES-E), mainly runoff small scale hydro. Various technical and economical barriers have kept the DG share relatively low. This paper assesses how Turkey could increase the DG share. The methodology employed in this paper consist of a survey of the literature and legislation, combined with interviews with regulators, transmission and distribution system operators. Scenarios for DG are developed, barriers to increase the DG share are identified, DG and central generation (CG) are compared economically and regulatory measures are identified. The addition of long-run marginal transmission costs to the investment cost of new power generation units could close the long-run marginal cost difference between DG and CG. However, the share of DG is likely to stay low unless regulatory measures are taken. Moreover, a specific policy and regulation on DG is needed, the distribution grid needs strengthening, local dispatch centres need to become active and RES-E limits are needed for Turkey.
[en] Investments in pump storage plants are expected to grow especially due to their ability to store an excess of supply from wind power plants. In order to evaluate these investments correctly the peculiarities of pump storage plants and the characteristics of liberalized power markets have to be considered. The main characteristics of power markets are the strong power price volatility and the occurrence of prices spikes. In this article a valuation model is developed capturing these aspects using power price simulation, optimization of unit commitment and capital market theory. This valuation model is able to value a future price-based unit commitment planning that corresponds to future scope of actions also called real options. The resulting real option value for the pump storage plant is compared with the traditional net present value approach. Because this approach is not able to evaluate scope of actions correctly it results in strongly smaller investment values and forces wrong investment decisions.
[en] The diffusion of promising energy technologies in the market depends on their future energy production-cost development. When analyzing these technologies in an integrated assessment model using endogenous technological learning, the uncertainty in the assumed learning rates (LRs) plays a crucial role in the production-cost development and model outcomes. This study examines the uncertainty in LRs of some energy technologies under endogenous global learning implementation and presents a floor-cost modeling procedure to systematically regulate the uncertainty in LRs of energy technologies. The article narrates the difficulties of data assimilation, as compatible with mixed integer programming segmentations, and comprehensively presents the causes of uncertainty in LRs. This work is executed using a multi-regional and long-horizon energy system model based on 'TIMES' framework. All regions receive an economic advantage to learn in a common domain, and resource-ample regions obtain a marginal advantage for better exploitation of the learning technologies, due to a lower supply-side fuel-cost development. The lowest learning investment associated with the maximum LR mobilizes more deployment of the learning technologies. The uncertainty in LRs has an impact on the diffusion of energy technologies tested, and therefore this study scrutinizes the role of policy support for some of the technologies investigated.
[en] A complex system of production links our greenhouse gas emissions to our consumer demands. Whilst progress may be made in improving efficiency, other changes in the production structure may easily annul global improvements. Utilising a structural decomposition analysis, a comparative-static technique of input-output analysis, over a time period of around 30 years, net greenhouse emissions are decomposed in this study into the effects, due to changes in industrial efficiency, forward linkages, inter-industry structure, backward linkages, type of final demand, cause of final demand, population affluence, population size, and mix and level of exports. Historically, significant competing forces at both the whole of economy and industrial scale have been mitigating potential improvements. Key sectors and structural influences are identified that have historically shown the greatest potential for change, and would likely have the greatest net impact. Results clearly reinforce that the current dichotomy of growth and exports are the key problems in need of address.
[en] The first renewable energy law concerning the 'Use of Renewable Energy Resources for the Generation of Electrical Energy' was adopted from European Union regulations on 18 May 2005 in Turkey. The purpose of the Law is to expand the utilization of renewable energy resources for generating electricity. Renewables are defined in the Law as generation facilities based on wind, solar, geothermal, biomass, biogas, wave, current and tidal energy resources, hydrogen energy and hydroelectric generation facilities. The aim of the study was to use strengths, weaknesses, opportunities and threats (SWOT) analysis to identify Turkish renewable energy market strategy and perspective by focusing on four different concepts: policy, market, technology and the social dimension. Different information gathering strategies have been applied such as monitoring of all statements and press releases published in the newspapers by all Turkish renewable energy parties starting from the launch of the law, articles presented in the events between 2000 and 2008 and face-to-face interviews. Our results demonstrated the importance of technology development and knowledge creation for gaining competitiveness on the global arena and the need for a systematic approach for transforming the created know-how into economic and social benefits.
[en] Carbon pricing is an important mechanism for providing companies with incentives to invest in carbon abatement. Price formation in carbon markets involves a complex interplay between policy targets, dynamic technology costs, and market rules. Carbon pricing may under-deliver investment due to R and D externalities, requiring additional policies which themselves affect market prices. Also, abatement costs depend on the extent of technology deployment due to learning-by-doing. This paper introduces an analytical framework based on marginal abatement cost (MAC) curves with the aim of providing an intuitive understanding of the key dynamics and risk factors in carbon markets. The framework extends the usual static MAC representation of the market to incorporate policy interactions and some technology cost dynamics. The analysis indicates that supporting large-scale deployment of mature abatement technologies suppresses the marginal cost of abatement, sometimes to zero, whilst increasing total abatement costs. However, support for early stage R and D may reduce both total abatement cost and carbon price risk. An important aspect of the analysis is in elevating risk management considerations into energy policy formation, as the results of the stochastic modelling indicate wide distributions for the emergence of carbon prices and public costs around the policy expectations.
[en] So-far, most climate mitigation studies look at climate policy strategies in a so-called first-best world, i.e. using the least expensive emission reduction options in all world regions and sectors. To explore the impact of limited participation of countries, we have run a set of scenarios that explore the impact of introducing a carbon tax in OECD, the BRIC countries (Brazil Russia, India and China) and the rest of the world. The results show that carbon taxes can effectively reduce greenhouse gas emissions. However, if low greenhouse gas concentration levels are to be achieved, early participation (in some form) of large developing countries is important to increase reduction potential. It should be noted that global carbon taxes (without additional assumptions) lead to relatively high costs in low-income regions. Cap-and-trade regimes have more flexibility to create a comparable distribution of costs amongst countries.
[en] Railway freight transportation presents a degree of complexity which frequently makes impossible to model it with sufficient precision. Currently, energetic and environmental impacts of freight transportation are usually modelled following average data, which do not reflect the characteristics of specific lines. These models allow qualitative approximations which may be used as criteria for designing high-level transportation policies: road-train modal shift, regional energetic planning or environmental policies. This paper proposes a methodology for estimating railway consumption associated to a specific railway line which yields a new degree of precision. It is based on estimating different contributions to railway consumption by a collection of factors, mobility, operation, or infrastructure-related. This procedure also allows applying the methodology for designing transportation policies in detail: evaluating impact of modal shift, consumption and pollutant emissions on a specific line, as well as the effect of building tunnels, reducing slopes, improving traffic control, etc. A comparison of the estimations given by the conventional approach and the proposed methodology is offered, as well as further comments on the results.