Assessment of the economic impact of environmental constraints on annual hydropower plant operation

Guisández, Ignacio; Pérez‐Díaz, Juan I.; Wilhelmi, J.R.

doi:10.1016/j.enpol.2013.05.104

Cited by 38 publications

(43 citation statements)

References 22 publications

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“…It is interesting to highlight that the trends of the annual WV observed in Figure 5 are in agreement with the trends of the average revenue losses obtained in [44]. Nonetheless, the impact of both ϕ and ρ on WV is smaller than that on the average revenue losses obtained in [44].…”

Section: Resultssupporting

confidence: 74%

“…Nonetheless, the impact of both ϕ and ρ on WV is smaller than that on the average revenue losses obtained in [44]. Without the aim of dismissing the results presented in [44], the results presented in this paper can be considered more realistic since they were obtained as a result of a stochastic approach, whereas those presented in [43] were obtained as a result of a deterministic one.…”

Section: Resultsmentioning

confidence: 55%

“…The magnitudes of the environmental constraints ϕ, considered in this study, and ρ, evaluated in [1], were selected to cover a wide range of values. As in [44], ϕ is the average of its seasonal values (ϕ [1][2][3][4][5][6][7][8][9][10][11][12][13] , ϕ [14][15][16][17][18][19][20][21][22][23][24][25][26] , ϕ [27][28][29][30][31][32][33][34][35][36][37][38][39] and ϕ [40][41][42][43][44][45][46][47][48][49]…”

Section: Case Studymentioning

confidence: 93%

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The Influence of Environmental Constraints on the Water Value

2016

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Abstract:The establishment of more severe hydrological environmental constraints, usually as seasonal minimum flows (ϕ) and maximum ramping rates (ρ), on hydropower operation is a growing trend. This paper presents a study on the influence of ϕ and ρ on the water values (WV) of a real hydropower plant that participates in the Spanish day-ahead electricity market. For this purpose, a master-slave algorithm, based on stochastic dynamic programming (SDP) and deterministic mixed integer linear programming (DMILP), is used on a real hydropower plant. The master module, based on SDP, has a yearly planning period with weekly time steps and considers three state variables: stored water volume in the reservoir at the beginning of each week; weekly water inflow; and average weekly energy price. The slave module, based on DMILP, has a weekly planning period with hourly time steps and considers many features of the hydropower plant operation, such as: start-up costs, evaporation, wear and tear costs, etc. The results indicate that WV of a hydropower plant are very sensitive to the presence of these constraints; ϕ especially during the wettest season and ρ during the driest one. As the severity of ϕ and ρ increase, WV increase and decrease, respectively.

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Section: Resultssupporting

confidence: 74%

Section: Resultsmentioning

confidence: 55%

Section: Case Studymentioning

confidence: 93%

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The Influence of Environmental Constraints on the Water Value

2016

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“…Previous studies have examined the impacts of environmental flow regimes on hydropower generation and revenue, but many of these studies overlook or undervalue the AS market, which can be a significant source of revenue for some hydropower projects. Guisández, Pérez‐Díaz, and Wilhelmi (), for example, find that environmental constraints reduce operational flexibility, and therefore revenue. Revenue losses increase as a function of ramping rates and minimum instream flows (Guisández et al, ).…”

Section: Generation Ancillary Services and Revenue Impactsmentioning

confidence: 99%

Overlooked trade‐offs of environmentally protective hydropower operation: Impacts to ancillary services and greenhouse gas emissions

Rand

2018

River Research & Apps

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The relicensing of large hydropower projects in the United States often enforces environmental constraints such as minimum instream flows. These requirements can reduce hydropower's negative environmental impacts but may come at a cost of reduced electric generation and revenue. During the federal hydropower relicensing process, participants negotiate these environmental and economic trade-offs based on coarse models, often conflating impacts on generation and revenue, overlooking ancillary services (AS) markets, and ignoring potential greenhouse gas (GHG) implications. Using a case study of a 362-MW hydropower project in California, this research conducts higher resolution modelling to compare energy generation, AS provision, revenue, and GHG impacts of two hydropower operating regimes. The environmentally protective regime reduces average generation by 6% but increases AS provision by 2%. Total average revenue decreases by 3.5% under environmental constraints using current electricity prices (and by only 1.1% when modelled with projected 2030 electricity prices), indicating that generation impacts should not be equated with revenue impacts during relicensing. In the California electricity market, this reduced hydropower generation is replaced primarily by natural gas, resulting in an estimated 30,000 additional tons of CO 2 emitted annually. These positive and negative externalities are not adequately examined in the hydropower relicensing process.

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“…Although water is considered one of the main sources of renewable energy, the social and environmental impacts caused by the construction of hydropower plants are permanent, which raises the question of if the damage caused by the construction is more significant than the benefits gained by it, primarily taking into consideration the pre-existing characteristics of the sites where the installations and the dam are located. It is worth noting that the changes in the biome and the material losses are irreversible, which generates discussions about the sustainable character of this kind of endeavour (World Commission on Dams, 2000; Guisández et al, 2013;Leite et al, 2013;Sparkes, 2013).…”

Section: Analysis Of the Social-environmental Impacts And Recommendedmentioning

confidence: 99%

Energy production and sustainability: A study of Belo Monte hydroelectric power plant

Berchin

Garcia

Heerdt

et al. 2015

Natural Resources Forum

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The increase in energy demand due to economic and population growth necessitates the expansion of the Brazilian energy supply. Hydropower energy, a renewable energy source, arguably clean, presents an energy solution for many countries such as Brazil, with large hydric reservoirs, which help them reduce energy dependence on fossil and imported fuel sources. However, it must be emphasized that without careful planning, the creation of hydropower plants will cause severe social and environmental damage due to the large areas that need to be flooded for the implementation of these plants. The installation of hydropower plants floods vast forest areas, causing loss of biodiversity, displacement of native Brazilian people and riverside populations, and changes to the water acid levels and the natural course of rivers. To mitigate these effects, authorities must first conduct a study on installation possibilities and potential socio-environmental consequences, to be interpreted and used by the agents involved. Aiming to analyze the social-environmental impacts of the hydropower plants, this research seeks to investigate the capacity of mitigation of the negative effects of the implementation of the hydropower plants, specifically with regard to the Belo Monte plant, Brazil.

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Assessment of the economic impact of environmental constraints on annual hydropower plant operation

Cited by 38 publications

References 22 publications

The Influence of Environmental Constraints on the Water Value

The Influence of Environmental Constraints on the Water Value

Overlooked trade‐offs of environmentally protective hydropower operation: Impacts to ancillary services and greenhouse gas emissions

Energy production and sustainability: A study of Belo Monte hydroelectric power plant

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