Green Energy Technology, Economics and Policy

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1 Green Energy Technology, Economics and Policy Editors U.Aswathanarayana, General Editor Mahadevan International Centre for Water Resources Management, Hyderabad, India T. Harikrishnan, Section 3 IAEA, Vienna, Austria K.M.Thayyib Sahini,Section 6 IAEA, Vienna, Austria Ltfi) CRC Press VV^ J Taylor & Francis Croup Boca Raton London New York Leiden CRC Press is an imprint of the Taylor & Francis Croup, an informa business A BALKEMA BOOK

2 Contents List of Figures List of Tables Preface Foreword List of Contributors Units, Abbreviations and Acronyms, Definitions and Conversion Constants Section I: Introduction (U.Aswathanarayana) xv xvii xxi xxiii xxv xxvii I Section 2: Renewable energy technologies (U. Aswathanarayana) 5 Chapter 1 Renewables and climate change (U. Aswathanarayana) Projected growth of renewables 7 Chapter 2 Wind power (U. Aswathanarayana) Introduction Environmental factors Costs Wind power markets Projected growth of wind power Offshore wind power Prognosis 20 Chapter 3 Solar energy (U. Aswathanarayana) Introduction PV technology Thin films 23

3 viii Contents Costs Research & Development needed New concept PV devices Concentrated Solar Power Chapter 4 Biomass (U. Aswathanarayana) Introduction Technology Algal biofuels Biomass wastes Costs Ethanol Landfill Gas Prognosis Chapter 5 Hydropower (U. Aswathanarayana) Introduction "Storage" Projects Pumped storage hydroelectricity "In-river" hydroelectric projects 43 Chapter 6 Geothermal energy (U. Aswathanarayana) Introduction Technology, Resources " Costs Research & Development 48 Chapter 7 Tidal power (U. Aswathanarayana) Introduction Resource position Ranee (France) and Severn (UK) tidal barrages Research & Development and Costs 51 Chapter 8 Deployment of renewable energy technologies (U. Aswathanarayana) Characteristics and costs of common RETs Potentials of RETs Measuring policy effectiveness and efficiency Overview of support schemes Public-private partnership An Integrated Strategy for the deployment of RETs Renewable energy development in China and India 63 References 63 Section 3: Supply-side energy technologies (T. Harikrishnan, IAEA) 65 Chapter 9 Fossil fuels and CCS (T. Ohsumi) Introduction Efficiency improvement in power generation

4 Contents ix 9.3 Fuel switching in fossil fuel power plants 9.4 Capture of CO Compression of CO2 9.6 Transport of CO2 in CCS 9.7 Storage of CO 2 Chapter 10 Nuclear power (T. Harikrishnan) 10.1 Introduction Future projections Nuclear power and green energies 10.2 Nuclear fission Fission chain reaction Natural fission reactors Nuclear reactors 10.3 Sustainable nuclear fuel cycle options Thorium fuel cycle Uranium resources and production Thorium resources Uranium conversion, enrichment and fuel fabrication Spent fuel management and reprocessing 10.4 Advanced and next generation reactors Generation IV reactors Generation V reactors Fusion reactors Accelerator Driven System 10.5 Nuclear economics 10.6 Nuclear safety 10.7 Disposal of nuclear wastes Chapter 11 Next generation green technologies (T. Harikrishnan) 11.1 Introduction 11.2 Biomass gasification Biomass Gasification Syngas 11.2A Fischer-Tropsch process Biomass Integrated-gasifier/gas turbine combined cycle Environmental benefits of gasification 11.3 Marine energy Marine current power Ocean thermal energy Salinity gradient power Tidal power Wave power Damless hydro

5 x Contents 11.4 Enhanced Geothermal Systems Technical considerations Economic considerations Further studies required Induced seismicity 136 Chapter 12 Algal biofuels (Sabil Francis) Introduction Comparative advantages Problems with algal biofuels Technologies Cultivation of algae Harvesting of algae Extraction of various energy products from algae 141 References 144 Section 4: Demand-side energy technologies (U. Aswathanarayana) 149 Chapter 13 Industry (U. Aswathanarayana) Industrial energy use and CO2 emissions profile Iron and steel Non-metallic minerals Chemicals and petrochemicals ' Pulp and Paper s Non-ferrous metals Research & Development, Demonstration and Deployment 165 Chapter 14 Buildings & Appliances (U. Aswathanarayana) Introduction The building shell, heating and cooling Windows Hot water Cooling systems: air conditioning Appliances Lighting Heat pumps Solar thermal heating Passive houses and zero-energy buildings Bioenergy technologies Research & Development, Demonstration and Deployment 182 Chapter 15 Transport (U. Aswathanarayana) Overview Alternative fuels Biofuels for transport Electricity in transport Hydrogen in transport 187

6 Contents xi 15.3 Light-duty vehicles Trucking and freight movement Aviation Maritime transport Research & Development breaktroughs required for technologies in transport 199 Chapter 16 Electricity systems (U. Aswathanarayana) Overview Transmission Technologies Distribution v - - ' Electricity Storage Systems Demand Response "Smart" Grid application Electricity Pricing Electricity grid and peak demand response Incentives to shed loads Technologies for demand reduction "Power Plant in a box" 212 References 212 Section 5: Making green energy competitive (U. Aswathanarayana).215 Chapter 17 Roadmaps and phases of development of low-carbon technologies (U. Aswathanarayana) Why low-carbon energy technologies? Emission reductions and Research Development & Demonstration investment Innovation Systems in Technology Development Research, development and Demonstration in the energy sector A.I Renewable Energy Sector Fossil Fuel Power ; Electricity System * Industry - Process Innovations Buildings and Appliances Transport - Vehicles Transport - Fuels Cross-cutting, Research, development and Demonstration policies 226 Chapter 18 Deployment and role of technology learning (U. Aswathanarayana) Introduction Technology Learning Curves Commercialization of power generation technologies Deployment costs 233

7 xii Contents Regional deployment of key power generation technologies Barriers to technology diffusion Strategy for accelerating deployment Investment issues Chapter 19 Energy efficiency and energy taxation (U. Aswathanarayana) 19.1 Matrix of Economic Evaluation Measures 19.2 Total Life-Cycle Cost (TLCC) 19.3 Levelized Cost of Energy (LCOE) 19.4 Energy Efficiency of Renewable Energy Systems 19.5 Energy taxation 19.6 Renewable Energy Tax Credits 19.7 Depreciation Chapter 20 Energy economics and markets (U. Aswathanarayana) 20.1 Introduction 20.2 Modeling electricity markets 20.3 Average costs and marginal costs 20.4 Load cycle 20.5 Energy economics 20.6 Levelized costs 20.7 Limit pricing model 20.8 Pollution as a negative externality 20.9 Energy futures and options markets 20.10i Energy and Information technology Chapter 21 Renewable energy policies (U. Aswathanarayana) 21.1 Why renewables? 21.2 Market-based strategies to promote green energies 21.3 Country case histories The Dutch Green Electricity programme The USA Green Electricity Market U.K. Green Electricity Market 21.4 Lessons References Section 6: A green new deal (K.M.Thayyib Sahini) 281 Chapter 22 Goals of the green new deal (K.M. Thayyib Sahini, IAEA) Introduction Smart electricity grid Decarbonising electricity production Decarbonising transport Decarbonising buildings Decarbonising industry Conclusion 292

8 Chapter 23 Ways of "greening the economy" (Jayaraj Manepalli, Vienna) 23.1 ' Contents Introduction The challenges in the energy sector The Urgency Green Energy Greening the economy: the challenge Carbon Credits: Are these measures enough? Financial stimuli Research and development Infrastructure development Employment generation Social security Education and outreach Conclusion Chapter 24 Poverty, environment and climate change (K.M References Thayyib Sahini, IAEA) Introduction Climate change challenge and poverty Poverty and environment Eradicating poverty Energy for Development Integrating poverty eradication, environment protection and energy security Conclusion xiii Section 7: Overview and integration (U. Aswathanarayana) 323 Author index 333 Subject index 337

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