Naslov
ECONOMIC CHALLENGES OF POWER SYSTEM DECARBONIZATION

Autori
Sabolić, Dubravko ; Dvornik, Darko ; Hustić, Andreja

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), znanstveni

Izvornik
Proceedings of the 7th International Conference “An Enterprise Odyssey: Leadership, Innovation and Development for Responsible Economy” / Galetić, Lovorka - Zagreb, 2014, 1-20

Skup
7th International Conference “An Enterprise Odyssey: Leadership, Innovation and Development for Responsible Economy”

Mjesto i datum
Zadar, Hrvatska, 04.06.2014. - 07.06.2014

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
Decarbonization; power system economics; energy policy

Sažetak
Decarbonization of electricity system is a social and economic challenge of immense proportions. The European Union proclaimed a goal of reaching about 60% of total electricity production from renewable sources until 2030, and almost complete decarbonization of power system (96-99%) until 2050. From today’s perspective, these goals seem almost unattainable. Therefore, it is extremely important to understand economics of power system with large shares of energy generated by intermittent sources, and lead the long-lasting process of decarbonization in an economically rational way, without giving way to ideology, populism, myopic interests, and irrational decision making. In this article we explore economic and political challenges the decarbonization process is faced to. First, we analyze the issue of cost competitiveness of renewable technologies against conventional ones, the latter having been spared of pollution costs until very recently. Then we tangle the question of social costs of pollution, and the willingness of today’s generation to spend more for the sake of future generations’ interests, environment-wise. This question seems to be the most important, as processes, with such a deep impact on people’s lives as decarbonization will exert, cannot be put to life without political consensus. In that regard, governmental bodies should assume much more active role in bringing the environment protection issues to the very center of political mainstream, instead of fruitless work on often badly constructed and myopic energy policy measures.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA