IDEAS home Printed from https://ideas.repec.org/a/eee/rensus/v191y2024ics1364032123009590.html
   My bibliography  Save this article

Review of cost objective functions in multi-objective optimisation analysis of buildings

Author

Listed:
  • Auza, Anna
  • Asadi, Ehsan
  • Chenari, Behrang
  • Gameiro da Silva, Manuel

Abstract

Notwithstanding the reductions in the cost of renewable energy per unit produced, cost objectives remain a relevant yet understudied topic due to their ability to indicate information available in the market. To better understand the general practice and identify trends in cost objectives for renewable energy-powered buildings in multi-objective optimisation problems, the article systematically reviews 129 studies published in 2011–2023 and identifies the highly cited articles (N = 23) to be reviewed narratively. As for the contribution to the literature, cost objectives are re-categorised based on the cost components considered. Assigned categories show that the authors focus on initial costs and energy costs. Systematic analysis shows that the most popular original metrics are total (life cycle cost, total costs) and energy import costs. There seems to be little association between climate zone and metric considered, but the payback period is applied in less developed countries. Supplementary economic objective metrics are on the rise. To further aid decision-making and address the current limitations – oversimplification of the project context, transitioning towards a managerial accounting perspective is welcomed. It could aid in attracting investment from other than project developers' sources, to reach the target investment in building energy efficiency required for the 1.5-degree target by 2050.

Suggested Citation

  • Auza, Anna & Asadi, Ehsan & Chenari, Behrang & Gameiro da Silva, Manuel, 2024. "Review of cost objective functions in multi-objective optimisation analysis of buildings," Renewable and Sustainable Energy Reviews, Elsevier, vol. 191(C).
    • Handle: RePEc:eee:rensus:v:191:y:2024:i:c:s1364032123009590
    DOI: 10.1016/j.rser.2023.114101
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1364032123009590
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.rser.2023.114101?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. Yuan-Kang Wu & Cheng-Liang Huang & Quoc-Thang Phan & Yuan-Yao Li, 2022. "Completed Review of Various Solar Power Forecasting Techniques Considering Different Viewpoints," Energies, MDPI, vol. 15(9), pages 1-22, May.
    2. Keeley, Alexander Ryota & Matsumoto, Ken’ichi, 2018. "Relative significance of determinants of foreign direct investment in wind and solar energy in developing countries – AHP analysis," Energy Policy, Elsevier, vol. 123(C), pages 337-348.
    3. Cai, Y.P. & Huang, G.H. & Yang, Z.F. & Lin, Q.G. & Tan, Q., 2009. "Community-scale renewable energy systems planning under uncertainty--An interval chance-constrained programming approach," Renewable and Sustainable Energy Reviews, Elsevier, vol. 13(4), pages 721-735, May.
    4. Liu, Laibao & Wang, Zheng & Wang, Yang & Wang, Jun & Chang, Rui & He, Gang & Tang, Wenjun & Gao, Ziqi & Li, Jiangtao & Liu, Changyi & Zhao, Lin & Qin, Dahe & Li, Shuangcheng, 2020. "Optimizing wind/solar combinations at finer scales to mitigate renewable energy variability in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 132(C).
    5. Wu, Raphael & Mavromatidis, Georgios & Orehounig, Kristina & Carmeliet, Jan, 2017. "Multiobjective optimisation of energy systems and building envelope retrofit in a residential community," Applied Energy, Elsevier, vol. 190(C), pages 634-649.
    6. Aya Amer & Khaled Shaban & Ahmed Gaouda & Ahmed Massoud, 2021. "Home Energy Management System Embedded with a Multi-Objective Demand Response Optimization Model to Benefit Customers and Operators," Energies, MDPI, vol. 14(2), pages 1-19, January.
    7. Chiu, Justin N.W. & Gravoille, Pauline & Martin, Viktoria, 2013. "Active free cooling optimization with thermal energy storage in Stockholm," Applied Energy, Elsevier, vol. 109(C), pages 523-529.
    8. Soroudi, Alireza & Amraee, Turaj, 2013. "Decision making under uncertainty in energy systems: State of the art," Renewable and Sustainable Energy Reviews, Elsevier, vol. 28(C), pages 376-384.
    9. Norman V. Loayza & Romain Rancière & Luis Servén & Jaume Ventura, 2007. "Macroeconomic Volatility and Welfare in Developing Countries: An Introduction," The World Bank Economic Review, World Bank, vol. 21(3), pages 343-357, October.
    10. Thorsten Knauer & Katja Möslang, 2018. "The adoption and benefits of life cycle costing," Journal of Accounting & Organizational Change, Emerald Group Publishing Limited, vol. 14(2), pages 188-215, June.
    11. Gazheli, Ardjan & van den Bergh, Jeroen, 2018. "Real options analysis of investment in solar vs. wind energy: Diversification strategies under uncertain prices and costs," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 2693-2704.
    12. Burton G. Malkiel, 2003. "The Efficient Market Hypothesis and Its Critics," Journal of Economic Perspectives, American Economic Association, vol. 17(1), pages 59-82, Winter.
    13. Burton G. Malkiel, 2003. "The Efficient Market Hypothesis and Its Critics," Working Papers 111, Princeton University, Department of Economics, Center for Economic Policy Studies..
    14. Liming Wei & Shuo Xv, 2022. "Optimal scheduling of building integrated energy systems using an improved ant lion algorithm [Technical characteristics of China's new generation power system in energy transformation]," International Journal of Low-Carbon Technologies, Oxford University Press, vol. 17, pages 720-729.
    15. Myeong Jin Ko & Yong Shik Kim & Min Hee Chung & Hung Chan Jeon, 2015. "Multi-Objective Optimization Design for a Hybrid Energy System Using the Genetic Algorithm," Energies, MDPI, vol. 8(4), pages 1-26, April.
    16. Khan, Faizan A. & Pal, Nitai & Saeed, Syed.H., 2018. "Review of solar photovoltaic and wind hybrid energy systems for sizing strategies optimization techniques and cost analysis methodologies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 92(C), pages 937-947.
    17. Burton G. Malkiel, 2003. "The Efficient Market Hypothesis and Its Critics," Working Papers 111, Princeton University, Department of Economics, Center for Economic Policy Studies..
    18. Deason, Wesley, 2018. "Comparison of 100% renewable energy system scenarios with a focus on flexibility and cost," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 3168-3178.
    19. Moins, B. & France, C. & Van den bergh, W. & Audenaert, A., 2020. "Implementing life cycle cost analysis in road engineering: A critical review on methodological framework choices," Renewable and Sustainable Energy Reviews, Elsevier, vol. 133(C).
    20. repec:pri:cepsud:91malkiel is not listed on IDEAS
    21. Muhammad Jamil & Farhan Ahmed & Gouranga Chandra Debnath & Štefan Bojnec, 2022. "Transition to Renewable Energy Production in the United States: The Role of Monetary, Fiscal, and Trade Policy Uncertainty," Energies, MDPI, vol. 15(13), pages 1-15, June.
    22. Hasan, Kazi Nazmul & Preece, Robin & Milanović, Jovica V., 2019. "Existing approaches and trends in uncertainty modelling and probabilistic stability analysis of power systems with renewable generation," Renewable and Sustainable Energy Reviews, Elsevier, vol. 101(C), pages 168-180.
    23. Coelho, Vitor N. & Coelho, Igor M. & Coelho, Bruno N. & de Oliveira, Glauber C. & Barbosa, Alexandre C. & Pereira, Leo & de Freitas, Alan & Santos, Haroldo G. & Ochi, Luis S. & Guimarães, Frederico G., 2017. "A communitarian microgrid storage planning system inside the scope of a smart city," Applied Energy, Elsevier, vol. 201(C), pages 371-381.
    24. Pereiro, Luis E., 2006. "The practice of investment valuation in emerging markets: Evidence from Argentina," Journal of Multinational Financial Management, Elsevier, vol. 16(2), pages 160-183, April.
    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. Aquila, Giancarlo & Rotella Junior, Paulo & Rocha, Luiz Célio Souza & Balestrassi, Pedro Paulo & Pamplona, Edson de Oliveira & Nakamura, Wilson Toshiro, 2024. "Net metering rolling credits vs. net billing buyback: An economic analysis of a policy option proposal for photovoltaic prosumers," Renewable Energy, Elsevier, vol. 232(C).

    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. David M. Ritzwoller & Joseph P. Romano, 2019. "Uncertainty in the Hot Hand Fallacy: Detecting Streaky Alternatives to Random Bernoulli Sequences," Papers 1908.01406, arXiv.org, revised Apr 2021.
    2. Chia-Lin Chang & Jukka Ilomäki & Hannu Laurila & Michael McAleer, 2018. "Long Run Returns Predictability and Volatility with Moving Averages," Risks, MDPI, vol. 6(4), pages 1-18, September.
    3. Bell, Peter N, 2013. "New Testing Procedures to Assess Market Efficiency with Trading Rules," MPRA Paper 46701, University Library of Munich, Germany.
    4. Jitka Veselá & Alžběta Zíková, 2022. "Are the Czech, Polish, German and Dutch markets taking a random walk? [Konají český, polský, německý a nizozemský trh náhodnou procházku?]," Český finanční a účetní časopis, Prague University of Economics and Business, vol. 2022(2), pages 19-38.
    5. Muchnik, Lev & Bunde, Armin & Havlin, Shlomo, 2009. "Long term memory in extreme returns of financial time series," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 388(19), pages 4145-4150.
    6. Nathan Jensen, 2007. "International institutions and market expectations: Stock price responses to the WTO ruling on the 2002 U.S. steel tariffs," The Review of International Organizations, Springer, vol. 2(3), pages 261-280, September.
    7. Ishani Chaudhuri & Parthajit Kayal, 2022. "Predicting Power of Ticker Search Volume in Indian Stock Market," Working Papers 2022-214, Madras School of Economics,Chennai,India.
    8. Ghada A. Altarawneh & Ahmad B. Hassanat & Ahmad S. Tarawneh & Ahmad Abadleh & Malek Alrashidi & Mansoor Alghamdi, 2022. "Stock Price Forecasting for Jordan Insurance Companies Amid the COVID-19 Pandemic Utilizing Off-the-Shelf Technical Analysis Methods," Economies, MDPI, vol. 10(2), pages 1-18, February.
    9. John Sabelhaus, 2005. "Alternative Methods for Projecting Equity Returns: Implications for Evaluating Social Security Reform Proposals," Risk Management and Insurance Review, American Risk and Insurance Association, vol. 8(1), pages 43-63, March.
    10. Cristi Spulbar & Ramona Birau & Lucian Florin Spulbar, 2021. "A Critical Survey on Efficient Market Hypothesis (EMH), Adaptive Market Hypothesis (AMH) and Fractal Markets Hypothesis (FMH) Considering Their Implication on Stock Markets Behavior," Ovidius University Annals, Economic Sciences Series, Ovidius University of Constantza, Faculty of Economic Sciences, vol. 0(2), pages 1161-1165, December.
    11. Stephen Bell & John Quiggin, 2006. "Asset Price Instability and Policy Responses: The Legacy of Liberalization," Journal of Economic Issues, Taylor & Francis Journals, vol. 40(3), pages 629-649, September.
    12. Paolo Cremonesi & Chiara Francalanci & Alessandro Poli & Roberto Pagano & Luca Mazzoni & Alberto Maggioni & Mehdi Elahi, 2018. "Social Network based Short-Term Stock Trading System," Papers 1801.05295, arXiv.org.
    13. Park, Cheol-Ho & Irwin, Scott H., 2004. "The Profitability Of Technical Trading Rules In Us Futures Markets: A Data Snooping Free Test," 2004 Conference, April 19-20, 2004, St. Louis, Missouri 19011, NCR-134 Conference on Applied Commodity Price Analysis, Forecasting, and Market Risk Management.
    14. Taufiq Choudhry & Ranadeva Jayasekera, 2015. "Level of efficiency in the UK equity market: empirical study of the effects of the global financial crisis," Review of Quantitative Finance and Accounting, Springer, vol. 44(2), pages 213-242, February.
    15. Mahata, Ajit & Rai, Anish & Nurujjaman, Md. & Prakash, Om, 2021. "Modeling and analysis of the effect of COVID-19 on the stock price: V and L-shape recovery," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 574(C).
    16. Saggese, Pietro & Belmonte, Alessandro & Dimitri, Nicola & Facchini, Angelo & Böhme, Rainer, 2023. "Arbitrageurs in the Bitcoin ecosystem: Evidence from user-level trading patterns in the Mt. Gox exchange platform," Journal of Economic Behavior & Organization, Elsevier, vol. 213(C), pages 251-270.
    17. Abootaleb Shirvani & Svetlozar T. Rachev & Frank J. Fabozzi, 2019. "A Rational Finance Explanation of the Stock Predictability Puzzle," Papers 1911.02194, arXiv.org.
    18. Admin Starcevic & Timothy Rodgers, 2011. "Market Efficiency within the German Stock Market: A Comparative Study of the Relative Efficiencies of the DAX, MDAX, SDAX and ASE Indices," International Econometric Review (IER), Econometric Research Association, vol. 3(1), pages 25-37, April.
    19. Olayinka Oyekola & Sofia Johan & Rilwan Sakariyahu & Oluwatoyin Esther Dosumu & Shima Amini, 2023. "Political institutions, financial liberalisation, and access to finance: firm-level empirical evidence," Discussion Papers 2307, University of Exeter, Department of Economics.
    20. Michele Costola & Massimiliano Caporin, 2016. "Rational Learning For Risk-Averse Investors By Conditioning On Behavioral Choices," Annals of Financial Economics (AFE), World Scientific Publishing Co. Pte. Ltd., vol. 11(01), pages 1-26, March.

    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:rensus:v:191:y:2024:i:c:s1364032123009590. 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/wps/find/journaldescription.cws_home/600126/description#description .

    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.