A1 Journal article (refereed), original research

On the techno-economic benefits of a Global Energy Interconnection


Publication Details

Authors: Breyer Christian, Bogdanov Dmitrii, Aghahosseini Arman, Gulagi Ashish, Fasihi Mahdi

Publisher: International Association for Energy Economics

Publication year: 2020

Language: English

Related journal or series: Economics of Energy and Environmental Policy

Volume number: 9

Issue number: 1

Start page: 83

End page: 102

Number of pages: 20

ISSN: 2160-5882

JUFO level of this publication: 1

Digital Object Identifier (DOI): http://dx.doi.org/10.5547/2160-5890.9.1.cbre

Permanent website address: http://www.iaee.org/en/publications/eeeparticle.aspx?id=305

Open Access: Not an Open Access publication


Abstract

The discussion about the benefits of a global energy interconnection is gaining momentum in recent years. The techno-economic benefits of this integration are broadly discussed for the major regions around the world. While there has not been substantial research on the techno-economic benefits, however, some initial results of the global energy interconnection are presented in this paper. Benefits achieved on the global scale are lower than the interconnections within the national and sub-national level. The world is divided into 9 major regions and the major regions comprise of 23 regions. When all the considered regions are interconnected globally, the overall estimated levelized cost of electricity is 52.5 €/MWh for year 2030 assumptions, which is 4% lower than an isolated global energy system. Further, the required installed capacities decrease by 4% for the fully interconnected system. Nevertheless, a more holistic view on the entire energy system will progress research on global energy interconnection as, synthetic power-to-X fuels and chemicals emerge as an important feature of the future sustainable global energy system with strong interactions of the power system not only to the supply, in energy fuel and chemicals trading globally, but also to the demand side. Global energy interconnection will be part of the solution to achieve the targets of the Paris Agreement and more research will help to better understand its impact and additional value.


Last updated on 2021-16-03 at 12:47