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Economic and Environmental Performances of Small-Scale Rural PV Solar Projects under the Clean Development Mechanism: The Case of Cambodia

Author

Listed:
  • Ellen De Schepper

    (Centre for Environmental Sciences, Hasselt University, Martelarenlaan 42, 3500 Hasselt, Belgium)

  • Sebastien Lizin

    (Centre for Environmental Sciences, Hasselt University, Martelarenlaan 42, 3500 Hasselt, Belgium)

  • Bart Durlinger

    (Blonk Consultants, Gravin Beatrixstraat 34, 2805 PJ Gouda, The Netherlands)

  • Hossein Azadi

    (Centre for Environmental Sciences, Hasselt University, Martelarenlaan 42, 3500 Hasselt, Belgium
    Department of Geography, Ghent University, 9000 Ghent, Belgium)

  • Steven Van Passel

    (Centre for Environmental Sciences, Hasselt University, Martelarenlaan 42, 3500 Hasselt, Belgium
    Department of Engineering Management, University of Antwerp, Prinsstraat 13, 2000 Antwerp, Belgium)

Abstract

The two core objectives of the Clean Development Mechanism (CDM) are cost-effective emission reduction and sustainable development. Despite the potential to contribute to both objectives, solar projects play a negligible role under the CDM. In this research, the greenhouse gas mitigation cost is used to evaluate the economic and environmental performances of small-scale rural photovoltaic solar projects. In particular, we compare the use of absolute and relative mitigation costs to evaluate the attractiveness of these projects under the CDM. We encourage the use of relative mitigation costs, implying consideration of baseline costs that render the projects profitable. Results of the mitigation cost analysis are dependent on the baseline chosen. To overcome this drawback, we complement the analysis with a multi-objective optimization approach, which allows quantifying the trade-off between economic and environmental performances of the optimal technologies without requiring a baseline.

Suggested Citation

  • Ellen De Schepper & Sebastien Lizin & Bart Durlinger & Hossein Azadi & Steven Van Passel, 2015. "Economic and Environmental Performances of Small-Scale Rural PV Solar Projects under the Clean Development Mechanism: The Case of Cambodia," Energies, MDPI, vol. 8(9), pages 1-23, September.
  • Handle: RePEc:gam:jeners:v:8:y:2015:i:9:p:9892-9914:d:55621
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    References listed on IDEAS

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    1. Durlinger, Bart & Reinders, Angèle & Toxopeus, Marten, 2012. "A comparative life cycle analysis of low power PV lighting products for rural areas in South East Asia," Renewable Energy, Elsevier, vol. 41(C), pages 96-104.
    2. Kim, Jung Eun & Popp, David & Prag, Andrew, 2013. "The Clean Development Mechanism and neglected environmental technologies," Energy Policy, Elsevier, vol. 55(C), pages 165-179.
    3. Olsen, Karen Holm & Fenhann, Jørgen, 2008. "Sustainable development benefits of clean development mechanism projects: A new methodology for sustainability assessment based on text analysis of the project design documents submitted for validatio," Energy Policy, Elsevier, vol. 36(8), pages 2773-2784, August.
    4. Ellen De Schepper & Steven Van Passel & Sebastien Lizin & Wouter Achten & Karel Van Acker, 2014. "Cost-efficient emission abatement of energy and transportation technologies: Mitigation costs and policy impacts for Belgium," ULB Institutional Repository 2013/153475, ULB -- Universite Libre de Bruxelles.
    5. Del Río, Pablo, 2007. "Encouraging the implementation of small renewable electricity CDM projects: An economic analysis of different options," Renewable and Sustainable Energy Reviews, Elsevier, vol. 11(7), pages 1361-1387, September.
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    Cited by:

    1. Narayan, Nishant & Chamseddine, Ali & Vega-Garita, Victor & Qin, Zian & Popovic-Gerber, Jelena & Bauer, Pavol & Zeman, Miroslav, 2019. "Exploring the boundaries of Solar Home Systems (SHS) for off-grid electrification: Optimal SHS sizing for the multi-tier framework for household electricity access," Applied Energy, Elsevier, vol. 240(C), pages 907-917.
    2. Moner-Girona, M. & Solano-Peralta, M. & Lazopoulou, M. & Ackom, E.K. & Vallve, X. & Szabó, S., 2018. "Electrification of Sub-Saharan Africa through PV/hybrid mini-grids: Reducing the gap between current business models and on-site experience," Renewable and Sustainable Energy Reviews, Elsevier, vol. 91(C), pages 1148-1161.
    3. Jean-Sébastien Broc & Catherine Cooremans, 2016. "What did we recently learn about the evaluation of energy efficiency policies and programmes? Insights from IEPPEC 2014 in Berlin," Post-Print hal-01577517, HAL.

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