potential role of fusion power generation in a very long ...€¦ · planelec model long-term...

30
Dr. Edgard Gnansounou, [email protected] Denis Bedniaguine, [email protected] Laboratory of Energy Systems LASEN / ICARE / ENAC Vienna, July 5, 2005 Ecole Polytechnique Fédérale de Lausanne Ecole Polytechnique Fédérale de Lausanne - - Switzerland Switzerland First IAEA Technical Meeting on “First Generation of Fusion Power Plant - Design and Technology Potential Role of Fusion Power Generation in a Very Long-Term Electricity Supply Perspective Case of Western Europe

Upload: others

Post on 26-Oct-2020

1 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

Dr. Edgard Gnansounou, [email protected] Bedniaguine, [email protected] of Energy Systems LASEN / ICARE / ENAC

Vienna, July 5, 2005

Ecole Polytechnique Fédérale de Lausanne Ecole Polytechnique Fédérale de Lausanne -- SwitzerlandSwitzerland

First IAEA Technical Meetingon “First Generation of Fusion Power Plant -

Design and Technology

Potential Role of Fusion Power Generation in a Very Long-Term Electricity Supply Perspective

Case of Western Europe

Page 2: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 2 -

Contents

Objectives of the study

Analytical framework

PLANELEC model

Long-term electricity supply scenarios

Benchmarking: Case of Western Europe

Main Findings and Conclusions

Page 3: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 3 -

Objectives

Main Goal

Techno - economic and environmental (CO2) evaluation of selected technology mixes for electricity generation in a very long-term perspective worldwide

Benchmarking

Case of Western Europe

INTRODUCTIONINTRODUCTION METHODOLOGY SCENARIOS FINDINGS

Page 4: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 4 -

Objectives

Specific tasks

Building of credible scenarios of future electricity supply

Estimation of possible shares in total electricity production of different power generation technologies, including Fusion

Analysis of selected scenarios with the use of PLANELECmodel to assess economic and environmental performance of Fusion power generation

INTRODUCTIONINTRODUCTION METHODOLOGY SCENARIOS FINDINGS

Page 5: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 5 -

Main Issues

Projection of future energy demand, electricity supply, fuel prices, technical and economic parameters of main types of power generation technologies

Competition of Fusion with conventional fossil fuel power generation technologies (nuclear fission, coal, natural gas)

Competition of Fusion with emerging renewable / advanced fossil fuel technologies (wind, solar, biomass, coal with CO2sequestration etc.)

Necessity for robust quantified assessment of advantages and drawbacks of evolving share of Fusion in total electricity supply

INTRODUCTIONINTRODUCTION METHODOLOGY SCENARIOS FINDINGS

Page 6: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 6 -

Analytical Framework

Socio-economic scenarios

Need for energy services and useful energy demand

Global CGE model(GEM-3,…)

Global partial equilibrium model emphasised on energy

sector (EFDA-TIMES,…)

Global long-term energy demand / supply adequacy

Energy end-use modeland prospective

Explicit long-term electricity demand / supply adequacy

Regional electricity sector probabilistic simulation

model (PLANELEC)

INTRODUCTION METHODOLOGY METHODOLOGY SCENARIOS FINDINGS

Page 7: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 7 -

Approach

Simulation with a least cost electricity system planning model PLANELEC of different technology mixes corresponding to the selected scenarios of future electricity supply

Main indicators

Impact of the evolving share of Fusion power on the levelizedelectricity generation cost

Total discounted cost of the expansion plan

Cumulated reduction of CO2 emissions

CO2 abatement cost

INTRODUCTION METHODOLOGY METHODOLOGY SCENARIOS FINDINGS

Page 8: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 8 -

PLANELEC Model

Least cost probabilistic simulation and dynamic programming model for electricity systems expansion planning

Technology explicit (≈ 30 electricity generation technologies, exogenously defined learning rates for investment and O&M costs)

Fuel prices, electrical load, structure of the existing electricity generation system, technical and economic parameters of existingand anticipated power generation technologies - as main inputs

Time-frame: 2000 - 2100 (5 sub-periods x 20 years)

Annual discount rate: 5% (for each sub-period relative to the first year of the sub-period)

Environmental policy options: CO2 tax or quantitative constraint

INTRODUCTION METHODOLOGY METHODOLOGY SCENARIOS FINDINGS

Page 9: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 9 -

PLANELEC Model

Data-base

Electricity demand,

Existing and projected

power generation capacities,

Characteristics of existing

and projected technologies;

Fuel prices;

Constraints due to quality of service and

CO2 emissions

Module 1Load description

Module 2Fixed system

Module 3Variable system

Module 4Generation of the expansion configurations

Module 5Probabilistic simulation of the configurations

Module 6Optimization of the expansion plans

ReportWriter

Energy and CO2 emissions by technology,

Electricity generation

expenses and their present worth cost,

Levelizedproduction cost

of electricity

INTRODUCTION METHODOLOGY METHODOLOGY SCENARIOS FINDINGS

Page 10: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 10 -

PLANELEC Model

Fuel Prices (average values over 20 yrs sub-periods, € 2004 / GJ)

10.13

7.77

5.91

4.90

3.88

Nat. Gas

0.0222.194.2120.962.512080-2100

0.0201.673.6214.912.162060-2080

0.0181.353.1810.481.682040-2060

0.0161.162.857.461.382020-2040

0.0141.062.605.041.262000-2020

DT + LiU (Pu) fuelBiomassFuel OilCoal

Data sources: Author’s calculation based on IEA Coal - Oil - Natural Gas Information 2004, IIASA MESSAGE model, EUBIONET, UxC, Nuclear Fuel Cost Calculator, Varandas

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 11: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 11 -

PLANELEC Model

Technology Assessment (average Cost of Electricity, € 2004 / kWh)

0.0450.0440.0450.0470.050Biomass

0.0170.0200.0230.0290.037Wind

0.0380.0530.0800.1280.216Solar PV

0.031

0.050

0.028

0.038

2020-2040

0.0540.0760.115Fusion

0.0340.0320.0310.032Nuc. Gen III + IV

0.0430.0440.0460.056IGCC + CCS

0.0300.0290.0280.031Coal IGCC

0.0620.0500.0420.034NGCC

2080-21002060-20802040-20602000-2020

Data source: Author’s calculation based on various studies

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 12: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 12 -

Source: IIASA / WEC, 1998

0

200

400

600

800

1000

1200

2000 2020 2050 2070 2100

EJ

A1

B

C1

World Final Energy Consumption (IIASA-WEC)

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 13: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 13 -

Final Energy Consumption by Region (IIASA-WEC, Scenario B)

Source: IIASA / WEC, 1998

0

20

40

60

80

100

120

140

160

180

North A

merica

Western

Europe

Pacific

OECD

Former

Soviet U

nion

Easter

n Europe

Latin A

merica

M. Eas

t&N. A

frica

Sub-Sahara

n Afri

ca

Centra

lly plan

ned Asia

Other Pacif

ic Asia

South A

sia

EJ

20002020205020702100

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 14: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 14 -

Electricity Share in Final Energy Consumption (IIASA-WEC, Scenario B, %)

24.218.516.214.313.3World average23.115.910.87.66.3South Asia28.419.814.410.28.7Other Pacific Asia17.712.59.67.27.2Centrally planned Asia17.412.110.37.99.4Sub-Saharan Africa17.310.68.77.97.5M. East & N. Africa24.913.811.19.19.2Latin America28.520.417.214.813.3Eastern Europe24.316.514.012.212.3Former Soviet Union39.036.933.225.822.2Pacific OECD45.838.133.524.219.0Western Europe45.636.030.723.818.4North America

21002070205020202000

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 15: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 15 -

Structure of Electricity Generation by Fuel Type, 2000 – 2020

Total Electricity Generation in 2000 : 2859 TWh (IIASA/WEC - Scenario "B")

Coal39.7%

Nuclear30.4%

Nat.Gas6.2%

Oil6.5%

Others1.3%

Hydro15.9%

Total Electricity Generation in 2000 : 2798 TWh (EURPROG 2002)

Nuclear30.5%

Coal26.2%

Hydro19.9%

Oil5.1%

Others1.9%Nat.Gas

16.5%

Total Electricity Generation in 2020 : 3867 TWh (IIASA/WEC - Scenario "B")

Hydro12.5%

Coal36.0%Nuclear

36.9%

Oil1.1%

Others3.5%Nat.Gas

10.0%

Total Electricity Generation in 2020 : 4108 TWh (EURPROG 2002)

Nat.Gas39.4%

Nuclear18.5%

Coal16.2%

Hydro15.4%Oil

2.3%

Others8.2%

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 16: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 16 -

Calibration of PLANELEC Model

20%

26%

30%

17%

5%

2%

17%

19%

25%

31%

3%

6%

15%

16%

18%

39%

2%

8%

0

500

1000

1500

2000

2500

3000

3500

4000

4500

TWh

2000 2010 2020

Source: Authors' estimation based on EURPROG 2002

Others

Oil

Nat.Gas

Nuclear

Coal

Hydro

26%

21%

19%

18%

12%

4%

24%

18%

17%

27%

8%

6%

24%

17%

15%

33%

4%

8%

0

100

200

300

400

500

600

700

800

900

GWe

2000 2010 2020

Source: Authors' estimation based on EURPROG 2002

OthersOilNat.GasNuclearCoalHydro

Projected structure of electricity generation (2000 – 2020)

Projected structure of installed power generation capacities (2000 – 2020)

Levelized electricity production cost: 0.034 € / kWh (for the first study period 2000 – 2020)

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 17: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 17 -

Growth of Electricity Production in Western Europe

1.92.0EURPROG

1.11.01.81.51.51.5IIASA / WEC scenario “B”

2080-2100

2050-2070

2030-2050

2020-2030

2010-2020

2000-2010Annual growth rate (%)

(actual)2798EURPROG

(forecasted)2859IIASA / WEC scenario “B”

2000Electricity generation (TWh)

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 18: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 18 -

Simulation of Selected Scenarios

“Reference”

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

171

137

127

116

7925

204

144

129

288

35

67

219

176

166

403

10129

236

272

225

333

4

182

256

354

300

1900

245

278

397

357

1050

310

0

200

400

600

800

1000

1200

1400

1600

GW

2000 2020 2040 2060 2080 2100

Total Capacity Installed (GWe)

Renew+Waste

FuelOil

Nat.Gas

Nuc.Fission

Coal

Hydro

Page 19: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 19 -

Selected Scenarios for Western Europe

“Reference” (no Fusion)

“Introduction of Fusion” (Fusion 90 GWe ~ 6.2 % of total installed capacity by 2100)

“Fusion (+)” (Fusion 9 GWe in 2060, 60 GWe in 2080, and 186 GWe in 2100)

“Coal CCS (+)” (Coal with CO2 Capture & Storage 186 GWe ~ 12.8 % of total installed capacity in 2100; no Fusion)

“Nuclear Fission (+)” (Fission 186 GWe of additional capacity in 2100; no Fusion)

“CO2 tax” (the above scenarios with CO2 tax € 20 and € 50 / t )

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

Page 20: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 20 -

Simulation of Selected Scenarios

171

137

127

116

7925

204

144

129

288

35

67

219

176

166

403

10

129

236

266

225

333

4182

6

256

312

300

1900

245

42

278

307

357

1050

310

90

0

200

400

600

800

1000

1200

1400

1600

GW

2000 2020 2040 2060 2080 2100

Total Capacity Installed (GWe)

Fusion

Renew+Waste

FuelOilNat.Gas

Nuc.Fission

CoalHydro

“Fusion Intro” “Fusion (+)”

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

171

137

127

116

7925

204

144

129

288

35

67

219

176

166

403

10

129

236

263

225

333

4182

9

256

294

300

1900

245

60

278

211

357

1050

310

186

0

200

400

600

800

1000

1200

1400

1600

GW

2000 2020 2040 2060 2080 2100

Total Capacity Installed (GWe)

Fusion

Renew+WasteFuelOilNat.Gas

Nuc.FissionCoal

Hydro

Page 21: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 21 -

Simulation of Selected Scenarios

“Nuclear Fission” “Coal CCS”

INTRODUCTION METHODOLOGY SCENARIOSSCENARIOS FINDINGS

171

137

127116

7925

204

144

129

288

35

67

219

176

166

403

10

129

236

263

225

333

4182

9

256

294

300

1900

245

60

278

211

357

1050

310

186

0

200

400

600

800

1000

1200

1400

1600

GW

2000 2020 2040 2060 2080 2100

Total Capacity Installed (GWe)

Coal CCS

Renew+WasteFuelOil

Nat.GasNuc.FissionCoal

Hydro

171

137

127116

79

25

204

144

129

288

35

67

219

176

166

403

10

129

236

263

234

333

4

182

256

294

360

190

0

245

278

211

543

105

0

310

0

200

400

600

800

1000

1200

1400

1600

2000 2020 2040 2060 2080 2100

Total capacity installed (Gwe)

Renew+Waste

FuelOil

Nat.Gas

Nuc.Fission

Coal

Hydro

Page 22: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 22 -

Levelized Electricity Generation Cost

0.0360.0360.0360.0360.0362020 - 2040

0.0340.0340.0340.0340.0342000 - 2020

0.0360.0360.0390.0380.0352080 - 2100

0.0360.0370.0380.0380.0362060 - 2080

0.0360.0360.0360.0360.0362040 - 2060

Nuclear FissionCoal CCSFusion

(+)Fusion IntroReference

Source: Authors’ calculation using PLANELEC model

€ 2004 / kWhe

INTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

Without CO2 tax

Page 23: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 23 -

Cumulative CO2 Emissions Reduction

INTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

Source: Authors’ calculation using PLANELEC model

0

2,000

4,000

6,000

8,000

10,000

12,000

Mt CO2

Fusion Intro

Fusion +

Coal CCS

Nuc. Fission

Fusion Intro 298 1,738 6,111Fusion + 375 2,869 11,107Coal CCS 323 1,943 9,832Nuc. Fission 413 3,125 10,806

2040 - 2060 2060 - 2080 2080 - 2100

Page 24: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 24 -

CO2 Abatement Cost

INTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

€ 4.1Nuclear Fission

€ 26.1Fusion (+)

CO2 Abatement Cost(2080-2100)Scenario

€ 9.4Coal CCS

€ 2004 / t CO2

Source: Authors’ calculation using PLANELEC model

Page 25: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 25 -

Levelized Electricity Generation Cost

0.0400.0430.0410.0402080 - 2100

0.0410.0420.0410.0412060 - 2080

0.0410.0410.0410.0412040 - 2060

Coal CCSFusion(+)Fusion IntroReference€ 20 / t CO2

Source: Authors’ calculation using PLANELEC model

€ 2004 / kWhe

INTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

with CO2 tax

0.0450.0480.0470.0472080 - 2100

0.0460.0470.0470.0472060 - 2080

0.0480.0480.0480.0482040 - 2060

€ 50 / t CO2

Page 26: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 26 -

Main Findings

Deployment of Fusion power in basic case entails a slight increase of the system levelized production cost of the order of magnitude: 2 - 3 € / MWh

Massive deployment of Fusion leads to a greater increase of electricity production cost: by ≈ 4 € / MWh

By the end of XXI century Fusion power can be competitive compared to natural gas, but still more expensive than nuclear fission and coal with carbon capture & sequestration

Under stringent environmental policy regime (CO2 tax; Cap-and-Trade) Fusion can be introduced into the energy system without any significant welfare loss

INTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

Page 27: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 27 -

Conclusions

The presented model results are highly dependent on the exogenous assumptions. Therefore,

Additional scenarios shall be simulated differentiating on assumed fuel prices, technologies’ learning rates and electricity demandSoft linkage with global energy systems model EFDA-TIMES shall be assured (currently under development within SERF program)

Economic performance of Fusion depends greatly on the current and future expenses on RD&D activities. Therefore, in order to justify public funding

Socio-economic research on spill-over benefits of Fusion technology RD&D and deployment is vitally needed !!!Reasoning in terms of social return vs. private economic return

INTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

Page 28: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 28 -

Spill-over benefits of R&D programsINTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

Source: A. Jaffe, Economic Analysis of Research Spillovers, 1996

Page 29: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 29 -

Social Rate of ReturnINTRODUCTION METHODOLOGY SCENARIOS FINDINGSFINDINGS

Source: E. Mansfield et al., Social and Private Rates of Return from Industrial Innovations, 1977

Page 30: Potential Role of Fusion Power Generation in a Very Long ...€¦ · PLANELEC model Long-term electricity supply scenarios Benchmarking: Case of Western Europe Main Findings and Conclusions

IAEA Technical Meeting on First Generation of Fusion Power Plant Dr. E. Gnansounou, D. Bedniaguine - Vienna, July 5, 2005 - 30 -

Thank You !