Net metering rolling credits vs. net billing buyback: An economic analysis of a policy option proposal for photovoltaic prosumers

Kód výsledku v IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216208%3A11230%2F24%3A10484402" target="_blank" >RIV/00216208:11230/24:10484402 - isvavai.cz</a>

Výsledek na webu

<a href="https://verso.is.cuni.cz/pub/verso.fpl?fname=obd_publikace_handle&handle=I9ivlZpndD" target="_blank" >https://verso.is.cuni.cz/pub/verso.fpl?fname=obd_publikace_handle&handle=I9ivlZpndD</a>

DOI - Digital Object Identifier

<a href="http://dx.doi.org/10.1016/j.renene.2024.121154" target="_blank" >10.1016/j.renene.2024.121154</a>

Jazyk výsledku

angličtina

Název v původním jazyce

Net metering rolling credits vs. net billing buyback: An economic analysis of a policy option proposal for photovoltaic prosumers

Popis výsledku v původním jazyce

There is a need for a methodology that allows the prosumer to implement a policy of choosing different compensation mechanisms. Thus, we propose the economic equivalence between net metering rolling credit (NM-RC) and net billing buyback (NB-BB) by defining a breakeven price (BP) for NB-BB that equals the Net Present Value (NPV) of these two options and using Discounted Payback Time (DPBT) as a tiebreaker metric. The Brazilian scenario was used for validation. When using the retail price, the NPV values for the NM-RC mechanism were lower in all scenarios (mean NPV of US$ 3958.66 in NM-RC against US$ 4372.17 in NB-BB). It is possible to observe that the BP that equalizes the two mechanisms is generally lower than the tariff charged by the utility (mean BP is US$ 0.1111 while mean tariff is US$ 0.1838), which reveals that offering this choice option does not burden the system. The NM-RC was selected in four cities, and the NB-BB was chosen in three cities. This policy could encourage potential prosumers, who often feel reluctant to invest in PV-DG owing to the long payback period. Thus, the political schemes complementing the compensation mechanism are relevant, especially for continental-sized countries with many utilities.

Název v anglickém jazyce

Net metering rolling credits vs. net billing buyback: An economic analysis of a policy option proposal for photovoltaic prosumers

Popis výsledku anglicky

There is a need for a methodology that allows the prosumer to implement a policy of choosing different compensation mechanisms. Thus, we propose the economic equivalence between net metering rolling credit (NM-RC) and net billing buyback (NB-BB) by defining a breakeven price (BP) for NB-BB that equals the Net Present Value (NPV) of these two options and using Discounted Payback Time (DPBT) as a tiebreaker metric. The Brazilian scenario was used for validation. When using the retail price, the NPV values for the NM-RC mechanism were lower in all scenarios (mean NPV of US$ 3958.66 in NM-RC against US$ 4372.17 in NB-BB). It is possible to observe that the BP that equalizes the two mechanisms is generally lower than the tariff charged by the utility (mean BP is US$ 0.1111 while mean tariff is US$ 0.1838), which reveals that offering this choice option does not burden the system. The NM-RC was selected in four cities, and the NB-BB was chosen in three cities. This policy could encourage potential prosumers, who often feel reluctant to invest in PV-DG owing to the long payback period. Thus, the political schemes complementing the compensation mechanism are relevant, especially for continental-sized countries with many utilities.

Druh

J_imp - Článek v periodiku v databázi Web of Science

CEP obor

—

OECD FORD obor

50201 - Economic Theory

Projekt

—

Návaznosti

S - Specificky vyzkum na vysokych skolach

Rok uplatnění

2024

Kód důvěrnosti údajů

S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Název periodika

Renewable Energy

ISSN

0960-1481

e-ISSN

1879-0682

Svazek periodika

232

Číslo periodika v rámci svazku

October 2024

Stát vydavatele periodika

GB - Spojené království Velké Británie a Severního Irska

Počet stran výsledku

10

Strana od-do

121154

Kód UT WoS článku

001296125200001

EID výsledku v databázi Scopus

2-s2.0-85201066923