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Open Access
Article
Publication date: 1 August 2023

Lam Do and Thai-Ha Le

This research investigates how subsidy programs in Vietnam's residential electricity market affect consumers' well-being.

Abstract

Purpose

This research investigates how subsidy programs in Vietnam's residential electricity market affect consumers' well-being.

Design/methodology/approach

Two perspectives are employed: cash transfer and quantity-based subsidy. The effectiveness of cash transfer is measured in three ways: benefit incidence, beneficiary incidence and materiality. The quantity-based subsidy is established under the increasing block rate pricing, with the first two block rates being lower than the marginal cost. To improve the quantity-based subsidy, the research examines the consumer surplus under four proposals.

Findings

The results show that both types of subsidies are ineffective in supporting the poor.

Research limitations/implications

In order to achieve a more equal distribution among households, the subsidy program should remove all subsidized blocks and reflect the full marginal cost. Changes should be made to the price structure regarding both marginal price and intervals.

Practical implications

To mitigate the impact of the quantity-based subsidy, the government should improve the cash transfer by reducing extortion and improving targeting efficiency, especially for poor households living in rented houses.

Originality/value

This paper is the first to discuss the welfare effect of the electricity subsidy in Vietnam. First, it comprehensively evaluates the cash transfer subsidy in Vietnam. Second, it suggests a modification in the residential electricity tariff.

Details

Journal of Economics and Development, vol. 25 no. 4
Type: Research Article
ISSN: 1859-0020

Keywords

Open Access
Article
Publication date: 5 May 2022

Jia He, Na Yan, Jian Zhang, Yang Yu and Tao Wang

This paper aims to optimize the charging schedule for battery electric buses (BEBs) to minimize the charging cost considering the time-of-use electricity price.

1297

Abstract

Purpose

This paper aims to optimize the charging schedule for battery electric buses (BEBs) to minimize the charging cost considering the time-of-use electricity price.

Design/methodology/approach

The BEBs charging schedule optimization problem is formulated as a mixed-integer linear programming model. The objective is to minimize the total charging cost of the BEB fleet. The charge decision of each BEB at the end of each trip is to be determined. Two types of constraints are adopted to ensure that the charging schedule meets the operational requirements of the BEB fleet and that the number of charging piles can meet the demand of the charging schedule.

Findings

This paper conducts numerical cases to validate the effect of the proposed model based on the actual timetable and charging data of a bus line. The results show that the total charge cost with the optimized charging schedule is 15.56% lower than the actual total charge cost under given conditions. The results also suggest that increasing the number of charging piles can reduce the charging cost to some extent, which can provide a reference for planning the number of charging piles.

Originality/value

Considering time-of-use electricity price in the BEBs charging schedule will not only reduce the operation cost of electric transit but also make the best use of electricity resources.

Details

Journal of Intelligent and Connected Vehicles, vol. 5 no. 2
Type: Research Article
ISSN: 2399-9802

Keywords

Open Access
Article
Publication date: 6 November 2023

Fan Zhang and Ming Cao

As climate change impacts residential life, people typically use heating or cooling appliances to deal with varying outside temperatures, bringing extra electricity demand and…

Abstract

Purpose

As climate change impacts residential life, people typically use heating or cooling appliances to deal with varying outside temperatures, bringing extra electricity demand and living costs. Water is more cost-effective than electricity and could provide the same body utility, which may be an alternative choice to smooth electricity consumption fluctuation and provide living cost incentives. Therefore, this study aims to identify the substitute effect of water on the relationship between climate change and residential electricity consumption.

Design/methodology/approach

This study identifies the substitute effect of water and potential heterogeneity using panel data from 295 cities in China over the period 2004–2019. The quantile regression and the partially linear functional coefficient model in this study could reduce the risks of model misspecification and enable detailed identification of the substitution mechanism, which is in line with reality and precisely determines the heterogeneity at different consumption levels.

Findings

The results indicate that residential water consumption can weaken the impact of cooling demand on residential electricity consumption, especially in low-income regions. Moreover, residents exhibited adaptive asymmetric behaviors. As the electricity consumption level increased, the substitute effects gradually get strong. The substitute effects gradually strengthened when residential water consumption per capita exceeds 16.44 tons as the meeting of the basic life guarantee.

Originality/value

This study identifies the substitution role of water and heterogeneous behaviors in the residential sector in China. These findings augment the existing literature and could aid policymakers, investors and residents regarding climate issues, risk management and budget management.

Details

International Journal of Climate Change Strategies and Management, vol. 16 no. 1
Type: Research Article
ISSN: 1756-8692

Keywords

Open Access
Article
Publication date: 11 August 2022

Li Ji, Yiwei Zhang, Ruifeng Shi, Limin Jia and Xin Zhang

Green energy as a transportation supply trend is irreversible. In this paper, a highway energy supply system (HESS) evolution model is proposed to provide highway transportation…

Abstract

Purpose

Green energy as a transportation supply trend is irreversible. In this paper, a highway energy supply system (HESS) evolution model is proposed to provide highway transportation vehicles and service facilities with a clean electricity supply and form a new model of a source-grid-load-storage-charge synergistic highway-PV-WT integrated system (HPWIS). This paper aims to improve the flexibility index of highways and increase CO2 emission reduction of highways.

Design/methodology/approach

To maximize the integration potential, a new energy-generation, storage and information-integration station is established with a dynamic master–slave game model. The flexibility index is defined to evaluate the system ability to manage random fluctuations in power generation and load levels. Moreover, CO2 emission reduction is also quantified. Finally, the Lianhuo Expressway is taken as an example to calculate emission reduction and flexibility.

Findings

The results show that through the application of the scheduling strategy to the HPWIS, the flexibility index of the Lianhuo Expressway increased by 29.17%, promoting a corresponding decrease in CO2 emissions.

Originality/value

This paper proposed a new model to capture the evolution of the HESS, which provides highway transportation vehicles and service facilities with a clean electricity supply and achieves energy transfer aided by an energy storage system, thus forming a new model of a transportation energy system with source-grid-load-storage-charge synergy. An evaluation method is proposed to improve the air quality index through the coordination of new energy generation and environmental conditions, and dynamic configuration and dispatch are achieved with the master–slave game model.

Open Access
Article
Publication date: 19 April 2022

Liwei Ju, Zhe Yin, Qingqing Zhou, Li Liu, Yushu Pan and Zhongfu Tan

This study aims to form a new concept of power-to-gas-based virtual power plant (GVPP) and propose a low-carbon economic scheduling optimization model for GVPP considering carbon…

Abstract

Purpose

This study aims to form a new concept of power-to-gas-based virtual power plant (GVPP) and propose a low-carbon economic scheduling optimization model for GVPP considering carbon emission trading.

Design/methodology/approach

In view of the strong uncertainty of wind power and photovoltaic power generation in GVPP, the information gap decision theory (IGDT) is used to measure the uncertainty tolerance threshold under different expected target deviations of the decision-makers. To verify the feasibility and effectiveness of the proposed model, nine-node energy hub was selected as the simulation system.

Findings

GVPP can coordinate and optimize the output of electricity-to-gas and gas turbines according to the difference in gas and electricity prices in the electricity market and the natural gas market at different times. The IGDT method can be used to describe the impact of wind and solar uncertainty in GVPP. Carbon emission rights trading can increase the operating space of power to gas (P2G) and reduce the operating cost of GVPP.

Research limitations/implications

This study considers the electrical conversion and spatio-temporal calming characteristics of P2G, integrates it with VPP into GVPP and uses the IGDT method to describe the impact of wind and solar uncertainty and then proposes a GVPP near-zero carbon random scheduling optimization model based on IGDT.

Originality/value

This study designed a novel structure of the GVPP integrating P2G, gas storage device into the VPP and proposed a basic near-zero carbon scheduling optimization model for GVPP under the optimization goal of minimizing operating costs. At last, this study constructed a stochastic scheduling optimization model for GVPP.

Details

International Journal of Climate Change Strategies and Management, vol. 15 no. 2
Type: Research Article
ISSN: 1756-8692

Keywords

Content available
Book part
Publication date: 15 November 2018

Yi-Ming Wei and Hua Liao

Abstract

Details

Energy Economics
Type: Book
ISBN: 978-1-78756-780-1

Open Access
Article
Publication date: 15 July 2021

Minh Ha-Duong and Hoai-Son Nguyen

The authors estimate the reduction of electricity poverty in Vietnam. The essential argument is that human development is about subjective feeling as much as technology and income.

1551

Abstract

Purpose

The authors estimate the reduction of electricity poverty in Vietnam. The essential argument is that human development is about subjective feeling as much as technology and income.

Design/methodology/approach

The authors use a self-reported satisfaction indicator as complementary to objective indicators based on national household surveys from 2008 to 2018.

Findings

In 2010, the fraction of households with access to electricity was over 96%. However, over 24% declared their electricity use did not meet their needs. Since 2014, the satisfaction rate is around 97%, even if 25% of the households used less than 50 kWh/month. Today there is electricity for all in Vietnam, but electricity bills weigh more and more in the budget of households.

Practical implications

The subjective energy poverty measure allows better international statistics: unlike poverty or needs-based criteria, self-assessed satisfaction of needs compares across income levels and climates.

Social implications

Inequalities in electricity use among Vietnamese households decreased during the 2008–2018 period, but are not greater than inequalities in income, contrary to the findings of Son and Yoon (2020).

Originality/value

Engineering and econometric objectivist approaches dominate the literature on sustainability monitoring. Out of 232 sustainable development goal (SDG) indicators, only two are subjective. Yet the findings show that subjective indicators tell a different part of the story. Access is not grid building, but the meaningful provision of electricity to satisfy the needs.

Details

Fulbright Review of Economics and Policy, vol. 1 no. 1
Type: Research Article
ISSN: 2635-0173

Keywords

Open Access
Article
Publication date: 29 April 2020

Ilkka Ruostetsaari

The purpose of this paper is to test the effects of citizens’ support for two rival and opposing conceptions of political involvement, political consumerism and stealth democracy…

2093

Abstract

Purpose

The purpose of this paper is to test the effects of citizens’ support for two rival and opposing conceptions of political involvement, political consumerism and stealth democracy, on their attitudes about demand response (flexible consumption) and prosumerism (self-production) in the context of making of Finnish energy policy. Stealth democracy represents an established view on the role of citizens in energy policy making: the energy sector has traditionally been presented as a technocratic domain reserved for experts and businessmen. By contrast, political consumerism can be seen as an expression of “energy democracy”.

Design/methodology/approach

The data is based on a postal survey and an internet survey that were conducted in 2016 among a random sample representing Finns who were between 18 and 75 years. The dependence of the support for demand response and prosumerism on the endorsement of political consumerism and stealth democracy will be tested statistically (Pearson chi-square).

Findings

The endorsement of demand response mainly depended statistically on citizens’ attitudes towards political consumerism and stealth democracy. However, comparing electricity prices and changing electricity suppliers did not depend on adherence to political consumerism and stealth democracy. Nevertheless, in these cases, support was higher among the supporters of political consumerism than among supporters of stealth democracy. By contrast, the endorsement of prosumerism, for instance, in terms of factors that influence citizens’ decisions to invest in electricity generation in their households, depended statistically on citizens’ attitudes on political consumerism and stealth democracy.

Research limitations/implications

It might be that the variables used in this study to measure stealth democracy are not specific enough. More generally, Finns’ willingness to support for stealth democracy may be based on or at least encouraged by the misunderstandings of democratic politics: more information is needed on the level of knowledge that citizens have about normative principles of democratic decision-making processes.

Practical implications

The implication of this study for energy policy making is that there are (at least in Finland) good preconditions for developing a decentralized energy system: citizens are ready to adopt a more active role as energy citizens in terms of demand response and prosumerism – irrespective of their attitudes on macro-level attitudes on governmental institutions. Democratization of the energy system could strengthen the legitimacy of energy policy making.

Social implications

Citizens’ attitudes indicate that their potential for involvement needs to be strengthened in the spirit of energy democracy: the idea of energy democracy needs to be seen in terms of the demand for increased accountability and democratization of the energy sector that was previously not seen as requiring public involvement and was most often depoliticized and dominated by technocrats. However, strengthening energy democracy through demand response and prosumerism is not without its problems: utilization of these devices requires a relatively large amount of resources which depend on the individuals’ socio-economic position. Thus, energy democracy cannot replace but complement electoral participation as a form of energy policy involvement.

Originality/value

The contribution of this study is to fill a part of the research gap linking to ongoing energy transitions. As a socio-technical transition can take place only if citizens support and participate in it, we need to better understand citizens’ attitudes on energy consumption and production and energy policy involvement. Citizens’ attitudes on energy production and consumption are becoming more and more critical for managing the energy sector as a result of that the share of wind power and solar power is increasing in the energy system. In a decentralized energy system, citizens have to be prepared to change their modes of operation. To the best of the authors’ knowledge, the originality of this study is to test the impact of citizens’ political attitudes on the endorsement of demand response and prosumerism.

Details

International Journal of Energy Sector Management, vol. 14 no. 6
Type: Research Article
ISSN: 1750-6220

Keywords

Content available
Book part
Publication date: 12 March 2019

Hamed Fazlollahtabar and Mohammad Saidi-Mehrabad

Abstract

Details

Cost Engineering and Pricing in Autonomous Manufacturing Systems
Type: Book
ISBN: 978-1-78973-469-0

Content available
Book part
Publication date: 15 November 2018

Andrew N. Kleit

Abstract

Details

Modern Energy Market Manipulation
Type: Book
ISBN: 978-1-78743-386-1

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