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The collection “IFPEN Economic Papers” – formerly « Les Cahiers de l’Économie », since 1990 – aims to present work carried out at IFP Energies nouvelles and IFP School dealing with economics, finance or management of the energy transition.
HERA – Hydrogen economics and infrastructure optimization model
N° 155 – June 2023 [ RESEARCH ]
Gabriela Nascimento da Silva, Frédéric Lantz, Pedro Rochedo, Alexandre Szklo
The article develops an optimization model of the whole hydrogen value chain, from the H2 production (including water electrolysis and steam reform with and without carbon capture) up to the H2 delivery to consumers via road transportation or pipelines.
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EROI minimum et croissance économique
N° 154 – Mai 2023 [ RECHERCHE ]
Victor Court, Floriane Fizaine
Après avoir rappelé les concepts d’énergie nette et d’EROI, simples et intuitifs en apparence, nous détaillerons les raisons pour lesquelles l’utilisation de ces notions est difficile en pratique. Nous reviendrons ensuite sur les résultats les plus importants en ce qui concerne le EROI minimum requis pour observer une croissance de l’activité dans une économie moderne. Nous discuterons enfin des notions de croissance, de prospérité et de leurs liens avec l’EROI et la sobriété.
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Modeling CO2 pipeline systems: An analytical lens for CCS regulation
N° 153 – April 2023 [ RESEARCH ]
Adrien Nicolle, Diego Cedreros, Olivier Massol, Emma Jagu Schippers
Carbon Capture and Storage (CCS) is regularly depicted as a crucial technology to reduce the social cost of achieving carbon neutrality. However, its deployment critically depends on the installation of CO2 infrastructures. As the regulatory procedures governing their provision are yet to be clarified, the purpose of this paper is to assess the social and environmental impacts of such regulations. We show how the engineering equations of a CO2 pipeline implicitly define a Cobb-Douglas production function.
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Is Power-to-Gas always beneficial? The implications of ownership structure
N° 152 – February 2023 [ RESEARCH ]
Camille Megy, Olivier Massol
Power-to-gas (PtG), a technology that converts electricity into hydrogen, is expected to become a core component of future low-carbon energy systems. While its economics and performance as a sector coupling technique have been well studied in the context of perfectly competitive energy markets, the distortions caused by the presence of large strategic players with a multi-market presence have received little attention. In this paper, we examine them by specifying a partial equilibrium model that provides a stylized representation of the interactions among the natural gas, electricity, and hydrogen markets.
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European Economic impacts of cutting energy imports from Russia: a computable general equilibrium analysis
N° 151 – November 2022 [ RESEARCH ]
Sigit Perdana, Marc Vielle, Maxime Schenckery
The recent economic sanctions against Russia can jeopardize the sustainability of the European Union’s (EU) energy supply. Despite the EU’s strong commitment to stringent abatement targets, fossil fuels still play a significant role in the EU energy policy. Furthermore, high dependency on Russian energy supplies underlines the vulnerability of the EU energy security. Using a global computable general equilibrium model, we prove that the current EU embargo on coal and oil imported from Russia will have adverse supply effects, substantially increasing energy prices and welfare costs for the EU resident.
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Non-linear distance decay effects of clean energy facilities in housing rental and sale markets: Evidence from hydrogen refueling stations
N° 150 – June 2022 [ RESEARCH ]
Shuya Wu, Arash Farnoosh, Yingdan Mei
While promoting green and low-carbon transition, clean energy facilities also have externalities, which may lead to opposition and economic losses. There is evidence that the impact of facilities decreases with distance, but existing research make strict assumption on its functional form. In this research work we explore the non-linear relationship between housing transaction prices and distances to the nearest facility without predefined functions combined with spatial smoothing in the hedonic pricing model by taking China as a case-study.
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Certificats d’Economies d’Energie : ne pas oublier les fondamentaux !
N° 149 - May 2022 [ ANALYSIS ]
Benoit Ferres, Jacques Millery, Maxime Schenckery
Les Certificats d’Economies d’Energie, CEE font régulièrement l’objet de nombreux débats. Nous proposons ici un retour aux fondamentaux de l’Article 7 européen pour comprendre la logique des attentes qui sont à leur origine, et ainsi mieux cerner l’ensemble des dimensions à l’aune desquelles leur impact devrait être évalué.
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Electricity Distribution Systems in Europe: An Overview of Contemporary Regulatory Challenges
N° 148 - April 2022 [ ANALYSIS ]
Pedro H. Perico E Santos, Olivier Massol
In Europe, a significant adaptation of the existing power distribution sector is necessary to support the transition toward low-carbon energy systems and facilitate the massive deployment of low-carbon distributed power technologies. This report first examines the current organization of that industry and highlights the country-specific and diverse nature of the industry structures and the institutional organizations governing the distribution sector.
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Unlocking CO2 infrastructure deployment: the impact of carbon removal accounting
N° 147 – February 2022 [ RESEARCH ]
Emma Jagu, Olivier Massol
This paper examines the interactions between carbon removal accounting (which determines financial incentives for BECCS) and optimal CO2 infrastructure deployment by asking how certification affects the feasibility of BECCS projects.
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The impact of Electric Vehicle fleets on the European electricity markets: evidences from the German passenger car fleet and power generation sector
N° 146 – January 2022 [ RESEARCH ]
Maria Juliana Suarez Forero, Frédéric Lantz, Pierre Nicolas, Patrice Geoffron
The rapidly increasing participation of renewable energies (REn) into the electric mix, clearly traces the trends for the decarbonization goals in the European Union. Under the priority sale conditions established by governments, the commercialization of REn plays an important role in the consolidation of market prices, which are on a decreasing trend with large fluctuations that reduce the profit in the power sector and therefore, the interest of potential investors.
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The form and content may still be provisional, in particular to encourage an exchange of views on the subjects covered. The opinions expressed in this collection are those of the authors and do not necessarily reflect the views of IFP Energies nouvelles or IFP School. Neither these institutions nor the authors accept any liability for loss or damage incurred as a result of the use of or reliance on the content of these publications. For any information on the content, please contact the author directly.