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At least 19 records

Global Energy Policy to Achieve the United States’ Nationally Determined Contributions: Potential Pathway

In 2021, the United States declared its Nationally Determined Contribution (NDC) in preparation for the COP26 climate summit, setting goals to achieve zero emission electricity by 2035, and reducing net emissions by 50–52% compared to 2005 levels. The current U.S. energy policies were found to not be adequate to meet these goals, thus it is necessary to draft a pathway to achieving these goals through policy changes. This study focused on foreign energy policies to analyze the most effective policies in a host of sectors. By identifying the most ambitious and effective policies from around the world in each sector, this study was able to suggest a policy pathway that can potentially achieve both of goals set in the NDC. In guiding the development of the proposed policy pathway, this study analyzed policies from Australia, Canada, California, China, Denmark, France, Germany, Japan, Russia, South Korea, Sweden, the United Kingdom, and the United States. This study found that the most drastic CO2 reductions came from low-carbon electricity policy, but contributions were also made from carbon capture, reforestation, hydrogen, energy efficiency, and climate smart agriculture.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

The prospective impacts of 2019 state energy policies on the U.S. electricity system

Over the past several years state energy policies have been evolving rapidly, and are more frequently including higher targets, including 100% clean energy targets. This study assesses the aggregate impacts of state clean energy standards and emissions policies on national electricity generation, power sector carbon dioxide (CO 2 ) emissions, and electricity prices and system costs. To do so, we apply the Regional Energy Deployment System (ReEDS) model, which is a detailed electric sector capacity expansion model, to evaluate scenarios with and without state policies and using a range of renewable energy technology cost projections. Across the scenarios analyzed, we find that the state policies drive 1.9%–10.7% of total nationwide clean energy and reduce cumulative power sector CO 2 emissions by 2.6%–5.4% over the 2020–2050 study period. This incremental generation is predominantly, but not exclusively, from renewable energy technologies. In most cases, the state policies result in increases to electricity prices and electricity system costs, and policy costs are sensitive to the future cost of clean energy technologies. Across all scenarios, the levelized cost of incremental policy-driven clean energy generation is estimated to be $17–38/MWh and the average cost of CO 2 abatement from the state-level policies is estimated to be $29–74/metric ton.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Blueprint Guide for Creating Gender-Sensitive Energy Policies

A policy that considers gender roles, differences and preferences driven by socio-cultural norms, can help to maximize the impact of energy projects, programs, and initiatives. Gender responsive regional and national energy policies and strategies can be a lever for addressing gender inequalities across the energy value chain, with collateral impacts on environmental sustainability, social inclusivity, and economic growth. Moreover, the equal participation of women and men is imperative for achieving universal energy access and meeting the Sustainable Development Goals (SDGs). Policy and regulatory instruments can be a way to help close gender gaps in the energy sector; create awareness and understanding of the role of women in the workforce; send a strong signal to developers and investors, creating the tone and space for bottom up change; and encourage information exchange, education and communication about gender informed approaches. This guide presents the critical components for developing a policy on gender mainstreaming for energy access, including different considerations around design, development, implementation procedures, critical success factors, challenges, and integrated strategies.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Optimizing equity in energy policy interventions: A quantitative decision-support framework for energy justice

This paper presents a quantitative framework to support policy decision-making around equitable energy interventions. By combining sociodemographic and techno-economic models in the energy space, we propose a linear programming model to calculate the optimal portfolio of energy investments that explicitly minimizes the energy burden of a given population of energy insecure households. The model is formulated as a multi-objective optimization suitable to support the decisions on weatherization and deployment of distributed energy resources. We illustrate our methodology with a case study involving a population of 14,043 energy insecure households in Wayne County, Detroit, United States.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Innovation in complementary energy technologies from renewable energy policies

Complementary renewable technologies support renewable energy use as they can help balance the intermittency of solar and wind generation. Previous research has shown that environmental policies directly targeting renewable energy can drive innovation in solar PV and wind technology. This study explores the impact of renewable policies on innovation in complementary renewable technology that assists with integration, including combustion with mitigation potential, efficient power transmission or distribution, and enabling technologies. We use negative binomial models and a panel of 25 OECD countries from 1997 to 2015 to evaluate these relationships. We are not able to find evidence that renewable policies incentivize innovation in complementary combustion or transmission and distribution technologies, and only limited evidence that demand-pull instruments are associated with increased innovation in smart grid technology. Technology-push policies, such as public research and development funds for renewable energy, have had limited impact on grid-supporting energy storage innovation. Our findings suggest that policymakers wishing to accelerate these complementary technologies need to go beyond policies targeting renewable energy in order to drive innovation in complementary fields.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Strategizing an electric energy policy and regulatory framework in Puerto Rico. Final report to identify specific economic, financial and insurance considerations that may impact PREPA’s privatization

This report summarizes recommendations and options for the Government of Puerto Rico to consider when evaluating future energy policy and utility regulatory frameworks. Content is derived from the Southern States Energy Board, its project partners, and Blue Ribbon Task Force members.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗

Designing robust energy policy packages under deep uncertainty: A multi-metric decision support framework

The complexity of transitioning to sustainable energy systems requires policy frameworks capable of balancing multiple objectives while addressing deep uncertainty. However, existing approaches often lack systematic methods to identify combinations of policy levers that remain effective across a wide range of uncertain futures. This paper presents a novel decision support framework that guides the selection of robust policy packages based on their performance across multiple objectives under uncertainty. Our method leverages a large ensemble of scenarios and applies scenario discovery techniques to identify influential policy levers. Here, we introduce new indicators to assess the robustness of policies by evaluating their ability to mitigate adverse outcomes across metrics. These indicators support an iterative process to build a robust policy package. Finally, we map the technological and energy pathways associated with the robust policy package by leveraging an energy system optimization model. We illustrate the application of this framework to the Spanish energy system, providing insights into how specific combinations of policy levers shape decarbonization pathways under uncertainty.

Decision-support method↗

Behaviourally-Informed Peer Referral Programmes can Increase the Reach of Low-Income Energy Policies

Low-income solar adopters are more likely to refer others to a fully subsidized solar programme when referral rewards are combined with an appeal to reciprocity and a simplified referral process, leading to five times as many solar contracts as when referral rewards are used alone. The findings highlight behavioural science strategies that administrators of low-income energy assistance programmes can use to cost-effectively accelerate programme uptake.

ENERGY PLANNING, POLICY, AND ECONOMY,SOLAR ENERGY↗

Improving estimates of transmission capital costs for utility-scale wind and solar projects to inform renewable energy policy

Estimating the overall costs of transmission needed to integrate variable renewable energy (VRE) onto the grid is challenging. An improved understanding of these transmission costs would support electricity system planning as VRE penetrations increase. This paper brackets VRE transmission capital costs using multiple approaches based on interconnection studies, actual transmission projects, capacity-expansion simulation models, and aggregated U.S. VRE-related transmission expenditures. Each approach possesses advantages and drawbacks, and combining the approaches lends confidence to the results. The resulting range of average levelized VRE transmission costs is 1– 10 dollars/MWh, which is generally lower than earlier estimates in the literature. These transmission capital costs can increase the direct plant-level levelized cost of VRE by 3%–33%, based on levelized costs of energy of 29– 56 dollars/MWh for utility-scale wind and 36–46 dollars/MWh for utility-scale solar. As VRE deployment continues to expand, policy makers can use this information to (1) assess the benefits of transmission avoidance and deferral when comparing distributed energy resources versus utility-scale projects, (2) evaluate the potential costs of large-scale public transmission investments, and (3) better analyze system-level costs of utility-scale VRE technologies. Future research can expand on the framework presented here by providing a review of operation and maintenance costs for transmission systems.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Europe’s energy policy based on large-scale use of renewables most likely will require supplemental power supplies to balance their electrical power systems

Political decisions toward an increased role for renewable energy sources (wind & solar) in Europe will have an impact on the functioning of the electrical power systems that will have to be offset due to the inherent intermittent nature of renewable sources. The offset can be accomplished either through increasing non-renewable energy supply and production from other means, including purchasing Russian piped natural gas and LNG, or decreasing demand by curtailing power consumption. Europe likely will also need increased energy supplies to cover reduced gas production in the North Sea and Netherlands. Also, expected disconnection of Baltic states from the BRELL (Belarus-Russia-EstoniaLatvia-Lithuania) grid will force these countries to acquire electricity from Europe, resulting in increased demands on the European power grid that will require additional capacity to offset.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Methods and system for siting advanced nuclear reactors and evaluating energy policy concerns

There is a growing sociopolitical desire to develop cleaner energy sources in the United States and maintain energy security. Regardless of politics, many coal-fired electric plants have already been shut down and many utilities are vowing to retire their current coal-fired assets within the next two decades. Replacement power assets require consideration of appropriate siting. A geographic information system (GIS)-based multicriteria decision analysis approach is useful to assist utility and energy companies, as well as policymakers, to evaluate potential areas for siting new plants in the contiguous United States. A GIS-based framework is simply a database of location information that allows for mapping, querying, modeling, and analyzing data based on location. The spatial output can be structured to be visual, allowing for easier analysis of location data. The need to site additional power assets, including renewable resources and clean power sources, such as nuclear, led to the development of the Oak Ridge Siting Analysis for power Generation Expansion (OR-SAGE) tool discussed in this paper. The tool takes inputs such as population growth, water availability, environmental indicators, and tectonic and geological hazards to provide an in-depth visual analysis for siting options. Energy companies and other stakeholders can use OR-SAGE to procure feedback quickly and effectively on land suitability based on technology specific inputs. Policymakers can use OR-SAGE to analyze the impacts of future energy technology decisions, while balancing competing resource use. Overall, this paper discusses the recent use of OR-SAGE for these purposes and plans for future development.

21 SPECIFIC NUCLEAR REACTORS AND ASSOCIATED PLANTS↗

The long-term impacts of carbon and variable renewable energy policies on electricity markets

We present a computationally-efficient optimization model that finds the least-cost generation unit expansion, commitment, and dispatch plan to serve hourly electricity demand and ancillary service requirements. We apply the model to a case study based on data from the electricity market in Texas (ERCOT) to analyze the market and investment impacts of several incentive mechanisms that support variable renewable energy (VRE) investments and carbon emission reductions. In contrast to many previous studies, the model determines least-cost VRE investments under different cost and incentive assumptions rather than analyzing scenarios where VRE expansion is pre-determined. We find that electricity prices can vary significantly under different incentive mechanisms, even when comparable generation portfolios result. Therefore, the preferred incentive mechanism depends on stakeholder objectives as well as the prevailing electricity market framework. Our results indicate that a carbon tax is more system cost-efficient for reducing emissions, while production and investment tax credits are more system cost-efficient for increasing VRE investments. Similarly, incentive mechanisms that reduce electricity prices may increase the need for separate revenue sufficiency mechanisms (e.g. a capacity market) more than a policy that increases electricity prices. Moreover, the impacts on consumer payments are not always aligned with changes in system costs. Overall, the analysis illustrates the importance of considering electricity market impacts in assessing the economic efficiency of VRE and carbon incentive mechanisms.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗