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Shadow prices for heat generation in time-dependent and dynamic energy systems

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  • Andersson, M.

Abstract

Shadow prices for heat generation are used to study the impact of changes in heat demand on the total system cost of an existing district-heating system in Sweden. The energy system may be considered to be both dynamic, because there is energy storage, and time-dependent since the electricity tariff is time-differentiated and the heat demand varies over the year and day. The energy system has been analysed with and without energy storage. The analysis shows that despite a reduction in system cost, the use of energy storage can result in higher shadow prices for heat generation in some time periods.

Suggested Citation

  • Andersson, M., 1994. "Shadow prices for heat generation in time-dependent and dynamic energy systems," Energy, Elsevier, vol. 19(12), pages 1205-1211.
    • Handle: RePEc:eee:energy:v:19:y:1994:i:12:p:1205-1211
    DOI: 10.1016/0360-5442(94)90022-1
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    Cited by:

    1. 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.
    2. Trygg, Louise & Amiri, Shahnaz, 2007. "European perspective on absorption cooling in a combined heat and power system - A case study of energy utility and industries in Sweden," Applied Energy, Elsevier, vol. 84(12), pages 1319-1337, December.
    3. Sjödin, Jörgen & Henning, Dag, 2004. "Calculating the marginal costs of a district-heating utility," Applied Energy, Elsevier, vol. 78(1), pages 1-18, May.
    4. Liu, Wen & Klip, Diederik & Zappa, William & Jelles, Sytse & Kramer, Gert Jan & van den Broek, Machteld, 2019. "The marginal-cost pricing for a competitive wholesale district heating market: A case study in the Netherlands," Energy, Elsevier, vol. 189(C).
    5. Li, Hailong & Sun, Qie & Zhang, Qi & Wallin, Fredrik, 2015. "A review of the pricing mechanisms for district heating systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 42(C), pages 56-65.
    6. Andersson, M. & Karlsson, B., 1996. "Cost-effective incentives for cooperation between participants in the electricity market," Applied Energy, Elsevier, vol. 54(4), pages 301-313, August.
    7. Difs, Kristina & Trygg, Louise, 2009. "Pricing district heating by marginal cost," Energy Policy, Elsevier, vol. 37(2), pages 606-616, February.

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