Journal
ENERGY POLICY
Volume 162, Issue -, Pages -Publisher
ELSEVIER SCI LTD
DOI: 10.1016/j.enpol.2022.112791
Keywords
The Canary islands; Techno-economic optimization; Electric interconnection; Renewable energy sources; Cost of electricity; CO2 emission intensity
Funding
- Iberdrola S.A.
- climate change and alliances division at Iberdrola
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This study provides a comprehensive assessment of the sustainability challenges faced by the Canary Islands power systems and presents the results of a techno-economic evaluation of increasing renewable energy utilization. The findings show that increasing renewable energy integration can reduce costs and carbon emissions, and electrical interconnection can further increase renewable energy penetration.
The Canary Islands power systems face environmental, economic, and social sustainability challenges. They heavily rely on imported fossil fuel for electricity generation; this leads to an increase in the Cost of Electricity (COE) and CO2 emission; a reduction can be made by utilizing more renewable energy sources (RES). This paper presents a comprehensive techno-economic assessment of increasing the RES utilization in Tenerife and Gran Canaria. Results illustrate that the least-cost RES penetration in each island exceeds 60% compared to 18.8% and 15.5% today. This implies a potential 58% reduction in CO2 emission intensity. The additional RES integration decreases the COE by 23.0% and 25.3% in Tenerife and Gran Canaria, respectively. The impact of imposing CO2 emission penalties is explored, results show a slight increase in the optimal RES capacity. Electrical Interconnection between both islands is also investigated, it is found to increase the optimal aggregate RES penetration beyond 70%, reduce COE by 30.3% and lower CO2 emission by 70%, compared to the current situation. Finally, the results obtained can support decision-makers to establish policies to help transform the energy system in islands into a more sustainable and reliable system using RES, energy storage, and energy exchange between islands.
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