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The development of renewable energies and supply security: A trade-off analysis

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  • Röpke, Luise

Abstract

This paper analyzes the effects of the green transformation on the German electricity sector with respect to the energy-political triangle. It focuses on how the development of renewable energies will affect security of electricity supply. In a cost–benefit analysis, the value of supply security is compared with its costs of provision. More specifically, the benefits of maintaining the present quality of electricity supply are the avoided social damages from electricity outages and are compared with the respective investment costs in the low- and medium-voltage distribution grid. It is shown that the transformation process towards a green and decentralized production structure will be costly for society, even though the costs can be reduced by different measures.

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  • Röpke, Luise, 2013. "The development of renewable energies and supply security: A trade-off analysis," Energy Policy, Elsevier, vol. 61(C), pages 1011-1021.
    • Handle: RePEc:eee:enepol:v:61:y:2013:i:c:p:1011-1021
    DOI: 10.1016/j.enpol.2013.06.015
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    3. Zhou, P. & Jin, R.Y. & Fan, L.W., 2016. "Reliability and economic evaluation of power system with renewables: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 58(C), pages 537-547.
    4. Rowan Adams & Tooraj Jamasb, 2016. "Optimal Power Generation Portfolios with Renewables: An Application to the UK," Working Papers EPRG 1620, Energy Policy Research Group, Cambridge Judge Business School, University of Cambridge.
    5. Liu, YuXin & Lei, Ping & He, DaYi, 2024. "Endogenous green technology progress, green transition and carbon emissions," International Review of Economics & Finance, Elsevier, vol. 91(C), pages 69-82.
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    More about this item

    Keywords

    Cost–benefit analysis; Value of supply security; Renewable energies development;
    All these keywords.

    JEL classification:

    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis

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