IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v59y2013icp470-480.html
   My bibliography  Save this article

On the potential trade-offs between energy supply and end-use technologies for residential heating

Author

Listed:
  • Nässén, Jonas
  • Holmberg, John

Abstract

In Sweden, where district heating accounts for a significant share of residential heating, it has been argued that improvements in end-use energy efficiency may be counter-productive since such measures reduce the potential of energy efficient combined heat and power production. In this paper we model how the potential trade-offs between energy supply and end-use technologies depend on climate policy and energy prices. The model optimizes a combination of energy efficiency measures, technologies and fuels for heat supply and district heating extensions over a 50 year period. We ask under what circumstances improved end-use efficiency may be cost-effective in buildings connected to district heating? The answer hinges on the available technologies for electricity production. In a scenario with no alternatives to basic condensing electricity production, high CO2 prices result in very high electricity prices, high profitability of combined heat and power production, and little incentive to reduce heat demand in buildings with district heating. In contrast, in a scenario where electricity production alternatives with low CO2 emissions are available, the electricity price will level out at high CO2 prices. This gives heat prices that increase with the CO2 price and make end-use efficiency cost-effective also in buildings with district heating.

Suggested Citation

  • Nässén, Jonas & Holmberg, John, 2013. "On the potential trade-offs between energy supply and end-use technologies for residential heating," Energy Policy, Elsevier, vol. 59(C), pages 470-480.
    • Handle: RePEc:eee:enepol:v:59:y:2013:i:c:p:470-480
    DOI: 10.1016/j.enpol.2013.03.059
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421513002371
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.enpol.2013.03.059?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ryden, B. & Johnsson, J. & Wene, C. -O., 1993. "CHP production in integrated energy systems examples from five Swedish communities," Energy Policy, Elsevier, vol. 21(2), pages 176-190, February.
    2. Nässén, Jonas & Sprei, Frances & Holmberg, John, 2008. "Stagnating energy efficiency in the Swedish building sector--Economic and organisational explanations," Energy Policy, Elsevier, vol. 36(10), pages 3814-3822, October.
    3. Azar, Christian & Lindgren, Kristian & Andersson, Bjorn A., 2003. "Global energy scenarios meeting stringent CO2 constraints--cost-effective fuel choices in the transportation sector," Energy Policy, Elsevier, vol. 31(10), pages 961-976, August.
    4. Difs, Kristina & Bennstam, Marcus & Trygg, Louise & Nordenstam, Lena, 2010. "Energy conservation measures in buildings heated by district heating – A local energy system perspective," Energy, Elsevier, vol. 35(8), pages 3194-3203.
    5. Nassen, Jonas & Holmberg, John, 2005. "Energy efficiency--a forgotten goal in the Swedish building sector?," Energy Policy, Elsevier, vol. 33(8), pages 1037-1051, May.
    6. Schnieders, Jurgen & Hermelink, Andreas, 2006. "CEPHEUS results: measurements and occupants' satisfaction provide evidence for Passive Houses being an option for sustainable building," Energy Policy, Elsevier, vol. 34(2), pages 151-171, January.
    7. Gustafsson, Stig-Inge, 1992. "Optimization of building retrofits in a combined heat and power network," Energy, Elsevier, vol. 17(2), pages 161-171.
    8. Åberg, M. & Widén, J. & Henning, D., 2012. "Sensitivity of district heating system operation to heat demand reductions and electricity price variations: A Swedish example," Energy, Elsevier, vol. 41(1), pages 525-540.
    9. Berndes, Goran & Hansson, Julia, 2007. "Bioenergy expansion in the EU: Cost-effective climate change mitigation, employment creation and reduced dependency on imported fuels," Energy Policy, Elsevier, vol. 35(12), pages 5965-5979, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Werner, Sven, 2017. "District heating and cooling in Sweden," Energy, Elsevier, vol. 126(C), pages 419-429.
    2. Comodi, Gabriele & Rossi, Mosè, 2016. "Energy versus economic effectiveness in CHP (combined heat and power) applications: Investigation on the critical role of commodities price, taxation and power grid mix efficiency," Energy, Elsevier, vol. 109(C), pages 124-136.
    3. Stojiljković, Mirko M. & Ignjatović, Marko G. & Vučković, Goran D., 2015. "Greenhouse gases emission assessment in residential sector through buildings simulations and operation optimization," Energy, Elsevier, vol. 92(P3), pages 420-434.
    4. Mahapatra, K., 2015. "Energy use and CO2 emission of new residential buildings built under specific requirements – The case of Växjö municipality, Sweden," Applied Energy, Elsevier, vol. 152(C), pages 31-38.
    5. Birgit A. Henrich & Thomas Hoppe & Devin Diran & Zofia Lukszo, 2021. "The Use of Energy Models in Local Heating Transition Decision Making: Insights from Ten Municipalities in The Netherlands," Energies, MDPI, vol. 14(2), pages 1-23, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Werner, Sven, 2017. "District heating and cooling in Sweden," Energy, Elsevier, vol. 126(C), pages 419-429.
    2. Martinsen, Dag & Funk, Carolin & Linssen, Jochen, 2010. "Biomass for transportation fuels--A cost-effective option for the German energy supply?," Energy Policy, Elsevier, vol. 38(1), pages 128-140, January.
    3. Kipping, A. & Trømborg, E., 2017. "Modeling hourly consumption of electricity and district heat in non-residential buildings," Energy, Elsevier, vol. 123(C), pages 473-486.
    4. Schmidt, Johannes & Leduc, Sylvain & Dotzauer, Erik & Schmid, Erwin, 2011. "Cost-effective policy instruments for greenhouse gas emission reduction and fossil fuel substitution through bioenergy production in Austria," Energy Policy, Elsevier, vol. 39(6), pages 3261-3280, June.
    5. Joelsson, Jonas & Gustavsson, Leif, 2012. "Swedish biomass strategies to reduce CO2 emission and oil use in an EU context," Energy, Elsevier, vol. 43(1), pages 448-468.
    6. Joelsson, Jonas M. & Gustavsson, Leif, 2012. "Reductions in greenhouse gas emissions and oil use by DME (di-methyl ether) and FT (Fischer-Tropsch) diesel production in chemical pulp mills," Energy, Elsevier, vol. 39(1), pages 363-374.
    7. Ó Broin, Eoin & Nässén, Jonas & Johnsson, Filip, 2015. "The influence of price and non-price effects on demand for heating in the EU residential sector," Energy, Elsevier, vol. 81(C), pages 146-158.
    8. Jennings, Mark & Fisk, David & Shah, Nilay, 2014. "Modelling and optimization of retrofitting residential energy systems at the urban scale," Energy, Elsevier, vol. 64(C), pages 220-233.
    9. Vlatko Milić & Shahnaz Amiri & Bahram Moshfegh, 2020. "A Systematic Approach to Predict the Economic and Environmental Effects of the Cost-Optimal Energy Renovation of a Historic Building District on the District Heating System," Energies, MDPI, vol. 13(1), pages 1-25, January.
    10. Millinger, M. & Reichenberg, L. & Hedenus, F. & Berndes, G. & Zeyen, E. & Brown, T., 2022. "Are biofuel mandates cost-effective? - An analysis of transport fuels and biomass usage to achieve emissions targets in the European energy system," Applied Energy, Elsevier, vol. 326(C).
    11. Stefan Blomqvist & Lina La Fleur & Shahnaz Amiri & Patrik Rohdin & Louise Ödlund (former Trygg), 2019. "The Impact on System Performance When Renovating a Multifamily Building Stock in a District Heated Region," Sustainability, MDPI, vol. 11(8), pages 1-18, April.
    12. Nair, Gireesh & Gustavsson, Leif & Mahapatra, Krushna, 2010. "Owners perception on the adoption of building envelope energy efficiency measures in Swedish detached houses," Applied Energy, Elsevier, vol. 87(7), pages 2411-2419, July.
    13. Groesser, Stefan N., 2014. "Co-evolution of legal and voluntary standards: Development of energy efficiency in Swiss residential building codes," Technological Forecasting and Social Change, Elsevier, vol. 87(C), pages 1-16.
    14. Difs, Kristina, 2010. "National energy policies: Obstructing the reduction of global CO2 emissions? An analysis of Swedish energy policies for the district heating sector," Energy Policy, Elsevier, vol. 38(12), pages 7775-7782, December.
    15. Mata, Érika & Sasic Kalagasidis, Angela & Johnsson, Filip, 2013. "Energy usage and technical potential for energy saving measures in the Swedish residential building stock," Energy Policy, Elsevier, vol. 55(C), pages 404-414.
    16. Schade, Jutta & Wallström, Peter & Olofsson, Thomas & Lagerqvist, Ove, 2013. "A comparative study of the design and construction process of energy efficient buildings in Germany and Sweden," Energy Policy, Elsevier, vol. 58(C), pages 28-37.
    17. Keirstead, James & Jennings, Mark & Sivakumar, Aruna, 2012. "A review of urban energy system models: Approaches, challenges and opportunities," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(6), pages 3847-3866.
    18. Lechón, Y. & de la Rúa, C. & Rodríguez, I. & Caldés, N., 2019. "Socioeconomic implications of biofuels deployment through an Input-Output approach. A case study in Uruguay," Renewable and Sustainable Energy Reviews, Elsevier, vol. 104(C), pages 178-191.
    19. Josefin Borg & Anna Yström, 2020. "Collaborating for energy efficiency in Swedish shipping industry: interrelating practice and challenges," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(5), pages 4289-4310, June.
    20. Sudhakar Yedla, 2007. "Choosing between Global and Local Emission Control Strategies in Urban Transport Sector, Which way to go?," Development Economics Working Papers 22352, East Asian Bureau of Economic Research.

    More about this item

    Keywords

    Energy efficiency; District heating; CO2 emissions;
    All these keywords.

    JEL classification:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:59:y:2013:i:c:p:470-480. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.