The Danish Energy Agency presented a brand new economic model for calculating international, green investments at the current climate summit in Paris. The calculator illustrates the benefits of investing in quality products as part of a cost-effective transition to renewable energy.
The cheapest solutions in the short term are not always what will bring the most socioeconomically low-cost energy supply in the longer term. To address this issue the Danish Energy Agency (DEA) is now launching an international model called ‘Levelized Cost of Energy Calculator’ (LCoE Calculator). The calculator is created to analyze and calculate the country specific economics of various technology choices relevant for expanding the energy supply for the fast growing economies, including socio-economic effects such as health and environmental impacts and costs and vulnerability towards future fuel and CO2 prices. Long-term perspectives and quality aspects of technological solutions can facilitate a more holistic view of the energy transition toward a low carbon society involving renewable energy and the LCoE Calculator is an efficient tool in this process.
About the model:
- The calculator is able to update Danish partner countries about the effects of the rapidly falling technology prices on energy sources such as solar and wind power.
- The model will be extended with modules, which makes it possible to make the same calculations energy efficient technologies. The price on new capacity has to be comparable to the saved price on energy through new technology and energy efficient activities.
- The LCoE Calculator is part of the Danish cooperation and activities, with the purpose of supporting a environmentally sustainable development in the world’s growing economies, while at the same time promoting Danish quality solutions.
The model was presented at a side event in Paris at COP 21 where the most important stakeholders in the energy industry currently are.
Read more about the calculator and give the calculator a try here
Center for Global Rådgivning og Forhandling
Tlf.: 33 92 78 12