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http://dx.doi.org/10.21218/CPR.2022.10.2.062

Comparative Economic Analysis of RE100 Implementation Methods in South Korea  

An, Sang Hyo (Energy Environment Policy and Technology, Graduate School of Energy and Environment (KU-KIST Green School), Korea University)
Woo, JongRoul (Energy Environment Policy and Technology, Graduate School of Energy and Environment (KU-KIST Green School), Korea University)
Publication Information
Current Photovoltaic Research / v.10, no.2, 2022 , pp. 62-71 More about this Journal
Abstract
The Global RE100 campaign is a one of the voluntary campaign, but it has a lot of influence on domestic companies that have not yet joined the Global RE100. Accordingly, the Korean government introduced the Korean RE100 (K-RE100) system to prepare an institutional mechanism for domestic companies to respond to RE100. However, in Korea, due to the high LCOE of renewable energy and institutional limitations of the power transaction system, there is a limit for companies to implement RE100 in various ways. Therefore, in this study, the implementation cost of RE100 for green tariff, REC purchase, third-party PPA, direct(or corporate) PPA, and self-generation was compared and analyzed to derive the order of implementation with the net present value (NPV) of costs incurred over 20 years. As a result, self-construction was analyzed as the most economical method, but the implementation through the green tariff seemed to be the most realistic implementation method so far. However, considering the gradually falling LCOE, third-party PPA and direct PPA could be secured competitiveness against green tariff in 2025 and 2026. Then it could allow the companies to have various portfolios for implementation of RE100.
Keywords
RE100; Green Tariff; Power Purchase Agreement; Net Present Value; LCOE; Photovoltaic;
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