The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea
Offshore wind farm (WF) projects have been promoted by support schemes as part of the expansion of renewable energy resources in Korea. This paper examines in detail how the Renewable Portfolio Standard (RPS), which was adopted post the Feed-in-Tariff scheme in 2012, has had a profound impact on th...
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| Format: | Article |
| Language: | English |
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MDPI AG
2015-09-01
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| Series: | Energies |
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| Online Access: | http://www.mdpi.com/1996-1073/8/9/9731 |
| _version_ | 1811308394112352256 |
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| author | Chang-Gi Min Jong Keun Park Don Hur Mun-Kyeom Kim |
| author_facet | Chang-Gi Min Jong Keun Park Don Hur Mun-Kyeom Kim |
| author_sort | Chang-Gi Min |
| collection | DOAJ |
| description | Offshore wind farm (WF) projects have been promoted by support schemes as part of the expansion of renewable energy resources in Korea. This paper examines in detail how the Renewable Portfolio Standard (RPS), which was adopted post the Feed-in-Tariff scheme in 2012, has had a profound impact on the economic benefits of offshore WFs in Korea. A framework for analyzing the economic viability of RPS is presented and applied to the sixth basic plan for long-term electricity supply and demand in Korea. The electricity market price is forecast using a reformulated probabilistic production cost (PPC) model, and the renewable energy certificate (REC) price is calculated using its determination rule. The results show that the existing RPS will be ineffective in increasing the penetration of offshore WFs in Korea; however, they also indicate that the economic viability of offshore WFs could be improved by adjusting the existing RPS. |
| first_indexed | 2024-04-13T09:22:18Z |
| format | Article |
| id | doaj.art-95ea59cbac764ac0be8b22028d048f93 |
| institution | Directory Open Access Journal |
| issn | 1996-1073 |
| language | English |
| last_indexed | 2024-04-13T09:22:18Z |
| publishDate | 2015-09-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Energies |
| spelling | doaj.art-95ea59cbac764ac0be8b22028d048f932022-12-22T02:52:34ZengMDPI AGEnergies1996-10732015-09-01899731975010.3390/en8099731en8099731The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in KoreaChang-Gi Min0Jong Keun Park1Don Hur2Mun-Kyeom Kim3Department of Electrical and Computer Engineering, Seoul National University, 599 Gwanak-ro, Gwanak-gu, Seoul 151-744, KoreaDepartment of Electrical and Computer Engineering, Seoul National University, 599 Gwanak-ro, Gwanak-gu, Seoul 151-744, KoreaDepartment of Electrical Engineering, Kwangwoon University, 20 Kwangwoon-ro 20, Nowon-gu, Seoul 139-701, KoreaDepartment of Energy System Engineering, Chung-Ang University, 84 Heukseok-ro, Dongjak-gu, Seoul 156-756, KoreaOffshore wind farm (WF) projects have been promoted by support schemes as part of the expansion of renewable energy resources in Korea. This paper examines in detail how the Renewable Portfolio Standard (RPS), which was adopted post the Feed-in-Tariff scheme in 2012, has had a profound impact on the economic benefits of offshore WFs in Korea. A framework for analyzing the economic viability of RPS is presented and applied to the sixth basic plan for long-term electricity supply and demand in Korea. The electricity market price is forecast using a reformulated probabilistic production cost (PPC) model, and the renewable energy certificate (REC) price is calculated using its determination rule. The results show that the existing RPS will be ineffective in increasing the penetration of offshore WFs in Korea; however, they also indicate that the economic viability of offshore WFs could be improved by adjusting the existing RPS.http://www.mdpi.com/1996-1073/8/9/9731economic viabilityoffshore wind farmrenewable energy resourcesrenewable portfolio standardsupport schemes |
| spellingShingle | Chang-Gi Min Jong Keun Park Don Hur Mun-Kyeom Kim The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea Energies economic viability offshore wind farm renewable energy resources renewable portfolio standard support schemes |
| title | The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea |
| title_full | The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea |
| title_fullStr | The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea |
| title_full_unstemmed | The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea |
| title_short | The Economic Viability of Renewable Portfolio Standard Support for Offshore Wind Farm Projects in Korea |
| title_sort | economic viability of renewable portfolio standard support for offshore wind farm projects in korea |
| topic | economic viability offshore wind farm renewable energy resources renewable portfolio standard support schemes |
| url | http://www.mdpi.com/1996-1073/8/9/9731 |
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