Search

• Aggregation and cooperation among peers will expand beyond prosumers in microgrids. • Growth in IoT and metering infrastructure is empowering end-use consumers. • Methodology allows aggregated consumers to schedule load and share energy. • Application demonstrates a significant cost reduction while assuring fairness. • Offers a novel cost-sharing strategy guided by cost minimization and Nash bargaining. End-use consumers (peers) are being empowered to aggregate for direct demand-side participation through load scheduling and energy sharing. This is the result of the growth of Internet of Things (IoT) enabled loads, availability of advanced metering infrastructure, and the move towards real-time (RT) pricing of electricity. Peer-to-peer (P2P) cooperation has received significant interest in recent years, though the focus of this growing body of research is on modeling prosumer behavior in microgrids. Hence, there is a need for new methodologies to examine empowerment of all end-use consumers (not limited to prosumers) to form aggregations and develop fair rules of cooperation to reduce cost. This paper offers an optimization based methodology to address the above need for power systems. It minimizes the total cost and considers fairness using a Nash bargaining approach. Since cost and fairness are often in conflict, trade-off strategies are also presented. The model to asses fairness is nonlinear. Hence, it is transformed into a second order cone program (SOCP) and solved using GUROBI software version 7.5.2. The methodology is implemented on a sample 5-bus network, built using price and demand data from one of the load zones of Pennsylvania, New Jersey, and Maryland (PJM) power network in the United States. It is shown that two aggregations of peers participating in the sample network can reduce their total cost by 14.17% and 22.7%, while maintaining fairness. Concluding remarks highlight some of the limitations of the methodology. [ABSTRACT FROM AUTHOR]

• Substitution of 2nd generation for 1st generation biofuel is investigated. • An optimization model for the 2nd generation biofuel supply chain is proposed. • Both economic and environmental performance measures are examined. • 2nd generation biofuel is more cost effective than 1st generation biofuel. • Considering stover handling or not leads to different environmental performances. Multiple generations of biofuel manufacturing technologies have been proposed and developed, among which first generation technology is the most mature. It typically utilizes corn grain as feedstock in bio-refineries in many countries such as the United States. However, the use of edible matter of crops like corn may lead to a food-versus-fuel competition. To address such an issue, second generation biofuel manufacturing technology using the non-edible matter of crops has been developed. In this paper, the economic viability and environmental sustainability are analyzed and quantified, when restructuring the biofuel supply chain from employing first generation manufacturing technology to the one utilizing second generation technology considering the existing supply chain infrastructure. Two supply chain restructuring strategies, i.e., distributed and centralized preprocessing deployment, are modeled for implementing biomass preprocessing for second generation biofuel manufacturing. Bi-objective optimization formulations for the corn stover-sourced biofuel (a typical second generation biofuel) supply chain considering both economic and environmental aspects are proposed under both strategies. Different decision variables such as the locations selected for constructing preprocessing centers and the corresponding corn stover handling capacities of such centers, as well as the material flows between farms, preprocessing centers, and bio-refinery plants are identified. A case study based on the state of Missouri in the United States is implemented to illustrate the effectiveness of the proposed model and analyze the performance of different strategies. The results of the case study show that when corn stover is used as feedstock in bio-refineries, the unit cost of bioethanol production can be reduced, while the unit emission is increased compared to the corn-sourced supply chain under both supply chain restructuring strategies. Specifically, in Missouri where the daily stover handling amount per bio-refinery plant is relatively low and the stover collection radius is relatively small, the centralized strategy outperforms the distributed one with a higher cost reduction and a smaller increase in emissions. It reduces the unit cost by 27.39%, while increasing the unit emission by 24.42%, compared to the corn-sourced supply chain. [ABSTRACT FROM AUTHOR]

Highlights • We analyze the economic value of a U.S windfarm using long-term LCOE information. • Long-term LCOE of wind energy is obtained from two decades of history. • Monte Carlo and Risk-Neutral valuation is used to valuate a reference windfarm. • Managerial flexibilities and generation cost uncertainty make windfarms more valuable. • Real Option accounts for the flexibility of decision-making with stochastic costs. Abstract Renewable energies are a natural replacement for conventional or fossil fuel energy generation. One of these sources, wind energy, has exhibited significant cost reductions during the last decades. Even though this historical cost reduction trend is well known in the industry and in the academia, information on this cost trend and volatility has been scarcely incorporated in previous works, thus a natural concern arises when assessing their influence on the economic valuation of wind farms. Moreover, wind projects are modular in size and have a short time-to-market, providing a valuable managerial flexibility to defer investment under non-attractive market conditions, such as high development cost scenarios. Traditional evaluation tools often consider those scenarios, wrongly assuming that wind-developers would move forward with the project under such conditions. Accordingly, this paper analyzes the effect of incorporating both generation cost history and investment flexibility in the valuation of wind farms in the United States using Real Options methodology. Taking two decades of cost data and a reference wind farm, this "uncertainty-flexibility" effect is incorporated and valued, finding that the value of the wind project is 14.2% larger than the one neglecting such effect – where cost stochasticity and managerial flexibility are ignored. Therefore, traditional tools for project valuation, such as discounted cash flow and scenario analysis can no longer solely be used, as they do not properly account for the cost reduction trend, uncertainty, and managerial flexibility that a wind farm could face. [ABSTRACT FROM AUTHOR]

Graphical abstract Highlights • Technology cost and utility rate structure are key drivers of economic viability of solar and storage systems. • Solar-plus-storage systems are more often economical under time of use and demand charge rates. • Savings from storage-only projects come mainly from demand charge reductions; solar combined with storage also provides energy charge savings. • Savings from solar with storage is largely independent of building load variability, likely due to the energy cost reductions from the solar. Abstract This paper explores the economics of solar-plus-storage projects for commercial-scale, behind-the-meter applications. It provides insight into the near-term and future solar-plus-storage market opportunities across the U.S. We explore the impacts of location, building load profile, technology cost, utility rate structure, and policies on solar-plus-storage economic viability, and identify which factors are most significant to project economics. While savings from storage-only projects are largely derived from demand charge reductions, solar combined with storage also provides significant energy charge savings. A common assumption is that load profiles with peaks are likely candidates for savings from storage, due to the opportunity for demand charge reduction. Our results indicate that potential for savings from combining solar with storage is independent of building load variability, likely due to the energy cost reductions from the solar. Systems are more often economical under time of use and demand charge rates, particularly when demand charges are >$10 per kilowatt. Where systems were found to be economical, expected lifetime savings averaged between 7%–10%, with savings of 30% in numerous cases. Near term markets exist for solar-plus-storage in locations such as California and New York. As technology prices drop, the number of building types that can benefit increase, and additional markets appear in Colorado, New Mexico, and Alaska. All data from the study and interactive modeling results are available at: https://openei.org/wiki/Solar+Storage. [ABSTRACT FROM AUTHOR]

Increasing “patient engagement” has become a priority for health care organizations and policy-makers seeking to reduce cost and improve the quality of care. While concepts of patient engagement have proliferated rapidly across health care settings, little is known about how health care providers make use of these concepts in clinical practice. This paper uses 20 months of ethnographic and interview research carried out from 2015 to 2016 to explore how health care providers working at two public, urban, safety-net hospitals in the United States define, discuss, and assess patient engagement. We investigate how health care providers describe engagement for high cost patients—the “super-utilizers” of the health care system—who often face complex challenges related to socioeconomic marginalization including poverty, housing insecurity, exposure to violence and trauma, cognitive and mental health issues, and substance use. The health care providers in our study faced institutional pressure to assess patient engagement and to direct care towards engaged patients. However, providers considered such assessments to be highly challenging and oftentimes inaccurate, particularly because they understood low patient engagement to be the result of difficult socioeconomic conditions. Providers tried to navigate the demand to assess patient engagement in care by looking for explicit positive and negative indicators of engagement, while also being sensitive to more subtle and intuitive signs of engagement for marginalized patients. [ABSTRACT FROM AUTHOR]

Context: Tobacco use is a leading cause of preventable death in the U.S. and around the world. Increasing tobacco price through higher taxes is an effective intervention both to reduce tobacco use in the population and generate government revenues. The goal of this paper is to review evidence on the economic impact of tobacco price increases through taxation with a focus on the likely healthcare cost savings and improvements in employee productivity.Evidence Acquisition: The search covered studies published in English from January 2000 to July 2012 and included evaluations of national, state, and local policies to increase the price of any type of tobacco product by raising taxes in high-income countries. Economic review methods developed for The Guide to Community Preventive Services were used to screen and abstract included studies. Economic impact estimates were standardized to summarize the available evidence. Analyses were conducted in 2012.Evidence Synthesis: The review included eight modeling studies, with seven providing estimates of the impact on healthcare costs and three providing estimates of the value of productivity gains. Only one study provided an estimate of intervention costs. The economic merit of tobacco product price increases through taxation was determined from the overall body of evidence on per capita annual cost savings from a conservative 20% price increase.Conclusions: The evidence indicates that interventions that raise the unit price of tobacco products through taxes generate substantial healthcare cost savings and can generate additional gains from improved productivity in the workplace. [ABSTRACT FROM AUTHOR]

The United States biofuel mandate might be the largest operating program to reduce greenhouse gas (GHG) emissions. This paper uses regulatory information about abatement and compliance cost estimates to measure the greenhouse gas abatement cost curve of the mandate. Historical compliance costs per unit of biofuel appear readily available, yet findings here show that using these data along with observed biofuel quantities biases biofuel mandate abatement cost estimates upward. Unbiased estimation requires that related biofuel mandate costs and emissions are estimated along with associated market effects, including on fuel use, using an economic model. Moreover, this approach relates greenhouse gas abatement to the implications for crop prices and land use, taking account of interactions within the crop sector. Results show that the United States biofuel mandate causes up to 20 million metric tons of carbon dioxide equivalent abatement for compliance costs that are equivalent to carbon prices ranging up to $20 per ton, with a large part coming from reductions in petroleum product use as the mandate encourages substitution to biofuels. Abatement costs are reduced if ethanol is made at new facilities with fewer emissions or if petroleum output expansion causes greater emissions than the historical average. Findings also indicate that GHG abatement via the mandate is initially costly due to the nature of biofuel demand, there can be a trade-off between corn price increase and GHG reduction, and the increase in total area planted to crops in the U.S. is less important than the reallocation of land among crops. Image 1 • Biofuel mandate compliance costs can be used to estimate GHG abatement costs. • Historical mandate compliance data, alone, can miscount costs and abatement. • Economic simulations estimate the U.S. biofuel mandate abatement cost curve. • Mandate GHG abatement costs relate to commodity prices and land use. • Ethanol from new facilities and petroleum from new sources reduce abatement costs. [ABSTRACT FROM AUTHOR]