This book presents the first complete energy analysis of a large-scale, real-world deployment of photovoltaic (PV) collection systems representing 3.5 GW of installed, grid-connected solar plants in Spain.
Author: Pedro A. Prieto
Publisher: Springer Science & Business Media
The Energy Return on Energy Invested (EROI or EROEI) is the amount of energy acquired from a particular energy source divided by the energy expended, or invested, in obtaining that energy. EROI is an essential and seemingly simple measure of the usable energy or “energy profit” from the exploitation of an energy source, but it is not so easy to determine all of the energy expenditures that should be included in the calculation. Because EROI values are generally low for renewable energy sources, differences in these estimates can lead to sharply divergent conclusions about the viability of these energy technologies. This book presents the first complete energy analysis of a large-scale, real-world deployment of photovoltaic (PV) collection systems representing 3.5 GW of installed, grid-connected solar plants in Spain. The analysis includes all of the factors that limit and adjust the real electricity output through one full-year cycle, and all of the fossil fuel inputs required to achieve these results. The authors’ comprehensive analysis of energy inputs, which assigns energy cost estimates to all financial expenditures, yields EROI values that are less than half of those claimed by other investigators and by the solar industry. Sensitivity analysis is used to test various assumptions in deriving these EROI estimates. The results imply that the EROI of current, large-scale PV systems may be too low to seamlessly support an energy and economic transition away from fossil fuels. Given the pervasiveness of fossil fuel subsidies in the modern economy, a key conclusion is that all components of the system that brings solar power to the consumer, from manufacturing to product maintenance and life cycle, must be improved in terms of energy efficiency. The materials science of solar conversion efficiency is only one such component. Sunny Spain represented an ideal case study as the country had the highest penetration of solar PV energy at 2.3 percent of total national demand as well as state-of-the-art expertise in solar power including grid management of intermittent, modern renewable systems. This book, written by a uniquely qualified author team consisting of the chief engineer for several major photovoltaic projects in Spain and the world’s leading expert on the concept and application of EROI, provides a comprehensive understanding of the net energy available to society from energy sources in general and from functioning PV installations under real-world conditions in particular. The authors provide critical insight into the capacity of renewable energy sources to fill the foreseeable gap between world energy demand and depletion rates for fossil fuels. · Presents the first comprehensive study of the EROI of large-scale solar PV systems in a developed country · Uses real-world operational data rather than laboratory approximations and extrapolations · Describes the dependence of one alternative energy source on the goods and services of a fossil-fueled economy · Has global implications for the potential of renewable energy sources to replace dwindling reserves of fossil fuels · Written with the first-hand knowledge of the chief, on-site engineer for many solar installations in Spain together with the leader in the development and application of the concept of EROI
In this book, you will learn how these measures of “progress” are completely dependent on the balance that can be achieved between energy costs (inputs) and gains.
Author: Charles A.S. Hall
Category: Business & Economics
This authoritative but highly accessible book presents the reader with a powerful framework for understanding the critical role of the energy return on investment (EROI) in the survival and well-being of individuals, ecosystems, businesses, economies and nations. Growth and development are fundamental and ubiquitous processes at all scales, from individuals to food crops to national economies. While we are all familiar with the concepts of economic growth and living standards as measured by gross domestic product (GDP), we often take for granted the energy use that underpins GDP and our expectations for year-on-year growth. In this book, you will learn how these measures of “progress” are completely dependent on the balance that can be achieved between energy costs (inputs) and gains. Nothing is made or moved without an energy surplus, and it is the EROI of available energy sources more than any other single factor that determines the shape of civilization. Nearly all politics and economics assume that policy and market forces are the levers upon which future outcomes will hinge. However, this book presents many examples of historical and current events that can be explained much more clearly from an energetic perspective. In addition, a future scenario is developed that gives a central place to EROI in assessing the potential of governmental and private initiatives to substitute so-called renewable energy sources for diminishing stocks of fossil fuels. When cheap fossil fuels are no longer available in the abundance needed to mask economic problems and power business as usual, it will be EROI more than the plethora of “green” technologies that creates the boundary conditions for a sustainable future.
Seminar paper from the year 2016 in the subject Engineering - Power Engineering, grade: 1,0, Technical University of Munich (Department of Electrical and Computer Engineering), course: Advanced Seminar on Renewable and Sustainable Energy ...
Author: Anna Szujo
Publisher: GRIN Verlag
Seminar paper from the year 2016 in the subject Engineering - Power Engineering, grade: 1,0, Technical University of Munich (Department of Electrical and Computer Engineering), course: Advanced Seminar on Renewable and Sustainable Energy Systems, language: English, abstract: This paper is about the energy return of investment. Energy has a significant impact on economic growth and is a key driver for the wellbeing of a society. The less a society has to spend on energy, the more remains for consumption and discretionary spending that is directly translated into economic growth. This impact can be assessed with the help of the net energy analysis that makes use of the concept of EROI. The Energy Return On Investment is the ratio of the quantity of energy delivered to the quantity of energy consumed in a given process. Thus, this metric serves to measure the accessibility of a resource, meaning that the higher the EROI, the greater the amount of net energy delivered to society in order to support economic growth. This goes hand in hand with the finding that there is a minimum level of EROI that has to be reached, otherwise economic growth cannot be possible. Given that net energy analysis is going to be one of the most fundamental concepts in academic and policy discussion in view of the future of the energy mix there is still a clear need for a standardized and independent framework to calculate EROI.
This research examines the importance of energy return on investment (EROI) as a useful metric for assessing long-term viability of energy-dependent systems.
This research examines the importance of energy return on investment (EROI) as a useful metric for assessing long-term viability of energy-dependent systems. Here, focuses on the methods, applications, and analyses for determining EROI for solar power and solar energy technologies.
This book describes the essential concepts and tools needed to analyze the quantity and quality of energy resources available to both developed and developing nations.
Author: Jessica G. Lambert
Category: Business & Economics
This book describes the essential concepts and tools needed to analyze the quantity and quality of energy resources available to both developed and developing nations. Although economists regard energy as just another marketable commodity, the energy return on investment (EROI) underpins all societal functions, and is a major determinant of economic status and the potential of any development scenario. In addition to a summary of the various approaches that have been used to derive EROI, this book will review existing studies as applied to various energy sources, including, where possible, time series analysis. Particularly new is an assessment of some 76 countries with respect to the relation of various energy indices to a number of well-accepted indices of social well-being. The book concludes with policy recommendations as governments and development agencies attempt to wrestle with changing quantity and quality of energy available globally and the resulting economic impacts. Energy Return on Investment is required reading for: Energy analysts and technologists Economists and others who want a better understanding of the ubiquitous role of energy in society National and regional level decision-makers who are concerned with how to generate effective development in a changing world National and International companies working in developing countries Urban and Regional Planners. The report contained herein was commissioned by the United Kingdom’s Department for International Development (DFID) and developed by the State University of New York College of Environmental Science and Forestry (SUNY-ESF).
This report provides a methodology and requisite data to assess the potential Energy Return On Investment (EROI) for nuclear fuel cycle alternatives, and applies that methodology to a limited set of used fuel recycle scenarios.
This report provides a methodology and requisite data to assess the potential Energy Return On Investment (EROI) for nuclear fuel cycle alternatives, and applies that methodology to a limited set of used fuel recycle scenarios. This paper is based on a study by Lawrence Livermore National Laboratory and a parallel evaluation by AREVA Federal Services LLC, both of which were sponsored by the DOE Fuel Cycle Technologies (FCT) Program. The focus of the LLNL effort was to develop a methodology that can be used by the FCT program for such analysis that is consistent with the broader energy modeling community, and the focus of the AREVA effort was to bring industrial experience and operational data into the analysis. This cooperative effort successfully combined expertise from the energy modeling community with expertise from the nuclear industry. Energy Return on Investment is one of many figures of merit on which investment in a new energy facility or process may be judged. EROI is the ratio of the energy delivered by a facility divided by the energy used to construct, operate and decommission that facility. While EROI is not the only criterion used to make an investment decision, it has been shown that, in technologically advanced societies, energy supplies must exceed a minimum EROI. Furthermore, technological history shows a trend towards higher EROI energy supplies. EROI calculations have been performed for many components of energy technology: oil wells, wind turbines, photovoltaic modules, biofuels, and nuclear reactors. This report represents the first standalone EROI analysis of nuclear fuel reprocessing (or recycling) facilities.
Data in this collections includes the well designs used, input parameters for GETEM, a discussion of the energy needed to haul materials to the drill site, the baseline mud program, and a summary of the energy needed to drill each of the ...
The project provides an updated Energy Return on Investment (EROI) for Enhanced Geothermal Systems (EGS). Results incorporate Argonne National Laboratory's Life Cycle Assessment and base case assumptions consistent with other projects in the Analysis subprogram. EROI is a ratio of the energy delivered to the consumer to the energy consumed to build, operate, and decommission the facility. EROI is important in assessing the viability of energy alternatives. Currently EROI analyses of geothermal energy are either out-of-date, of uncertain methodology, or presented online with little supporting documentation. This data set is a collection of files documenting data used to calculate the Energy Return On Investment (EROI) of Engineered Geothermal Systems (EGS) and erratum to publications prior to the final report. Final report is available from the OSTI web site (http://www.osti.gov/geothermal/). Data in this collections includes the well designs used, input parameters for GETEM, a discussion of the energy needed to haul materials to the drill site, the baseline mud program, and a summary of the energy needed to drill each of the well designs. EROI is the ratio of the energy delivered to the customer to the energy consumed to construct, operate, and decommission the facility. Whereas efficiency is the ratio of the energy delivered to the customer to the energy extracted from the reservoir.
This is a satisfactory relationship, but it decreases with a greater transport distance. Such is the case when chips manufactured in Croatia, due to the lack of heat plants, are transported over long distances to neighbouring countries.
Author: Zdravko Pandur
Energy cannot be produced without consumption of some part of the energy, and the proportions in which this occurs are a key indicator of the efficiency of the production process. Energy return on investment (EROI) of energy production shows the relationship between obtained and invested energy in the production process. This relationship is a key factor in sustainable global energy supply. Wood chips and one-metre firewood are used to produce thermal energy. Amount of energy obtained by burning depends on the moisture content and the features of the energy plant. This chapter deals with the issue of the amount of energy required to produce in the process of wood chips and one-metre firewood production and its transport to the heating plant. When calculating the energy balance, it is important to include as many input parameters as possible (parameters of energy consumption), which represents an almost impossible task because one parameter directly binds several others. According to several authors, the relationship between obtained and invested energy or EROI for energy wood is 30:1 which is a better ratio than the production of oil, for which relationship between obtained and invested energy is about 20:1. The results of study show that most of the energy during the production and supply of energy wood products from final felling of oak stands is used for fuel for machinery and vehicles in the production process. Ultimately, the relationship between obtained and invested energy is approximately 25:1 in the case of moisture content in the wood chips in the limit (market) value of 35% and the mean distance truck transportation of wood chips of 50 km. The relationship of obtained and invested energy used for one-metre firewood is bigger than 25:1 because of less invested energy which does not include machines like wood chipper. This is a satisfactory relationship, but it decreases with a greater transport distance. Such is the case when chips manufactured in Croatia, due to the lack of heat plants, are transported over long distances to neighbouring countries.
The study assumed that apart from the original 800 t of UNF only depleted uranium was available as a feed. Therefore for each subsequent scenario only fuel that was derived from the previous fuel cycle scenario was considered.
This report presents an evaluation of the Energy Return on Investment (EROI) from recycling an initial batch of 800 t/y of used nuclear fuel (UNF) through a Recycle Center under a number of different fuel cycle scenarios. The study assumed that apart from the original 800 t of UNF only depleted uranium was available as a feed. Therefore for each subsequent scenario only fuel that was derived from the previous fuel cycle scenario was considered. The scenarios represent a good cross section of the options available and the results contained in this paper and associated appendices will allow for other fuel cycle options to be considered.
Fossil fuels provide roughly 85 percent of all primary energy consumed globally.
Author: Eric L. Garza
Fossil fuels provide roughly 85 percent of all primary energy consumed globally. Volatility in fossil fuel prices as well as fears of impending global and regional supply peaks have brought discussion of energy security, energy efficiency and energy transitions into public discourse. Multiple roadblocks prevent large-scale energy transition, however. First among them remains denial of the possibility of near-term limits in fossil fuel supplies. One section of this dissertation presents a study of global oil supply that investigates the potential of a near-term peak using two separate indicators. Both indicators suggest that the peak in global oil supply most likely occurred in 2005 or 2006.
22 HOW TO EVALUATE ENERGY CONSERVATION USING ROI TECHNIQUES Abel s discussed in earlier chapters , any investment that derives greater benefits than costs should be considered a sound investment , assuming it adds incremental profit to ...
Author: Robert Rachlin
Publisher: M.E. Sharpe
Category: Business & Economics
A comprehensive, concise manual providing business professionals with tools and strategies for making investment decisions. Covers the latest techniques and practical applications in such company activities as pricing, capital investments, working capital, human resources, shareholder value, marketing, cash management, cost control, break-even, cost of capital, inventory control, receivables management, leasing, and establishing ROI rates for segments of the business and the total company. Annotation copyrighted by Book News, Inc., Portland, OR
This thesis builds off the work done by Maxwell (2013) and King (2015-submitted) in analyzing the potential for contemporary energy sources and carbon expenditures to reach some threshold value that acts as a constraint towards continued ...
Author: Alyssa Kathleen Donovan
In this thesis I focus on EROI[subscript direct] and carbon cost shares supplemented to global energy cost shares. This thesis builds off the work done by Maxwell (2013) and King (2015-submitted) in analyzing the potential for contemporary energy sources and carbon expenditures to reach some threshold value that acts as a constraint towards continued global economic growth. I calculate two metrics EROI[subscript direct] and the carbon cost share from data for 44 countries and an associated 44-country 'global' aggregate for 1960-2010. I additionally calculate projected estimates for carbon cost shares for 2015-2050. I compare our results to historical EROI[subscript direct+indirect] values for global energy sources, historical values for global energy cost shares, and estimations for expenditures for risk-aversion climate payments and abatement policies. I argue (1) that recent history suggests an increasing importance of indirect inputs re: efficiency of energy and (2) that carbon costs are relevant to the discussion of economic growth thresholds and hold the potential for a significant fraction (~1-4%) of global GDP until 2050.
Critical factors in determining the EROI of Engineered Geothermal Systems (EGS) are examined in this work. These include the input energy embodied into the system.
Energy Return On Investment (EROI) is an important figure of merit for assessing the viability of energy alternatives. Too often comparisons of energy systems use efficiency when EROI would be more appropriate. For geothermal electric power generation, EROI is determined by the electricity delivered to the consumer compared to the energy consumed to construct, operate, and decommission the facility. Critical factors in determining the EROI of Engineered Geothermal Systems (EGS) are examined in this work. These include the input energy embodied into the system. Embodied energy includes the energy contained in the materials, as well as, that consumed in each stage of manufacturing from mining the raw materials to assembling the finished system. Also critical are the system boundaries and value of the energy heat is not as valuable as electrical energy. The EROI of an EGS depends upon a number of factors that are currently unknown, for example what will be typical EGS well productivity, as well as, reservoir depth, temperature, and temperature decline rate. Thus the approach developed is to consider these factors as parameters determining EROI as a function of number of wells needed. Since the energy needed to construct a geothermal well is a function of depth, results are provided as a function of well depth. Parametric determination of EGS EROI is calculated using existing information on EGS and US Department of Energy (DOE) targets and is compared to the minimum EROI an energy production system should have to be an asset rather than a liability.
In this updated edition of a groundbreaking text, concepts such as energy return on investment (EROI) provide powerful insights into the real balance sheets that drive our “petroleum economy.” Hall and Klitgaard explore the relation ...
Author: Charles A.S. Hall
Category: Business & Economics
In this updated edition of a groundbreaking text, concepts such as energy return on investment (EROI) provide powerful insights into the real balance sheets that drive our “petroleum economy.” Hall and Klitgaard explore the relation between energy and the wealth explosion of the 20th century, and the interaction of internal limits to growth found in the investment process and rising inequality with the biophysical limits posed by finite energy resources. The authors focus attention on the failure of markets to recognize or efficiently allocate diminishing resources, the economic consequences of peak oil, the high cost and relatively low EROI of finding and exploiting new oil fields, including the much ballyhooed shale plays and oil sands, and whether alternative energy technologies such as wind and solar power can meet the minimum EROI requirements needed to run society as we know it. For the past 150 years, economics has been treated as a social science in which economies are modeled as a circular flow of income between producers and consumers. In this “perpetual motion” of interactions between firms that produce and households that consume, little or no accounting is given of the flow of energy and materials from the environment and back again. In the standard economic model, energy and matter are completely recycled in these transactions, and economic activity is seemingly exempt from the Second Law of Thermodynamics. As we enter the second half of the age of oil, when energy supplies and the environmental impacts of energy production and consumption are likely to constrain economic growth, this exemption should be considered illusory at best. This book is an essential read for all scientists and economists who have recognized the urgent need for a more scientific, empirical, and unified approach to economics in an energy-constrained world, and serves as an ideal teaching text for the growing number of courses, such as the authors’ own, on the role of energy in society.
Written by a retired financial industry executive with over 25 years of experience, this book describes how the crisis will affect different regions and industries to help identify the career and investment choices which may provide a ...
Author: Roger Boyd
Publisher: Springer Science & Business Media
Category: Business & Economics
The modern financial system was developed to support the rapid economic growth that took off about 200 years ago with the phenomenal amounts of cheap energy made available through the exploitation of fossil fuels. As a result, its viability is completely dependent upon the continuation of that growth. Unfortunately, the more recent fossil fuel discoveries, especially for oil, have tended to have lower production levels than earlier ones. In addition, greater amounts of energy are required to extract the fossil fuels leading to less net energy available for society. The Energy Return On Investment (EROI) for oil has fallen from 30:1 in the 1970's to 10:1 today. Thus, newer energy finds produce lower extraction rates and more of the energy provided is offset by the energy used in the extraction processes. The result has been economic stagnation or even contraction, with growth in China and India etc. only possible due to the extensive use of local coal reserves, and recession-induced drops in OECD country energy use. Renewable sources of energy will not be able to expand fast enough to replace the 87% of energy supplies provided by fossil fuels, and apart from hydro and wind, tend to have very low EROI rates. They are also critically dependent upon the cheap energy infrastructure provided by fossil fuels. The phenomenal amounts of path-dependent energy infrastructure will also greatly inhibit any move away from fossil fuels. Without continued economic growth there will not be the extra output to fund loan interest payments, nor the revenue and profit growth to support share price/earnings multiples. The financial system acts as a time machine, creating asset prices based upon perceptions of the future. As an increasing percentage of investors come to accept the future reality of at best, financial asset prices will fall to reflect a realistic future. The resulting crash will remove the underpinnings of the banking, brokerage, mutual fund, pension fund, and insurance industries. The comfortable futures of many will be shown to have been based upon a mirage of future growth that will not take place. With the financial system acting as the critical coordination system of the global economy, its crash will also intensify economic problems. Written by a retired financial industry executive with over 25 years of experience, this book describes how the crisis will affect different regions and industries to help identify the career and investment choices which may provide a relative safe harbour.