Techno-economic analysis for the effects of electricity pricing system on the market competitiveness of cogeneration model

Abstract

In this study, the actual operation status of the cogeneration model was investigated to examine the difference between the theoretical evaluation and the field operation situation. The adequacy of the installed capacity of the cogeneration system was assessed by using in-house developed diagnostic analysis simulation tool, and the effects of operational strategy on securing operational cost benefit under the progressive electricity rate system was also examined with event-based operating characteristic analysis. The installed prime mover was found to be designed excessively by an average of 47%, and the relative primary energy savings showed a large deviation in the range of 3–22% for each case. As a result of analyzing the effect of the rapid expansion of renewable energy on the operational performance, it was found that when the renewable power distribution ratio was increased to 30%, the relative primary energy savings effect fell to less than 5%. As an alternative, a hybrid cogeneration model integrated with heat pump was proposed, and it was confirmed that it could have the effect of mitigating the effect of expanding renewable energy. © 2022 The Author