• Journal of Energy Engineering
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• v.11 no.1
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• pp.47-58
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• 2002

This paper presents a new method for the evaluation of avoided generation costs. Unlike conventional load decrement method, it exactly considers forced outage rate and economic loading order of IPPs (Independent Power Producers). Therefore we can provide exact generation avoided costs of IPPs by the developed method. Because probabilistic simulation is conducted in this method, effects on the costs of IPPs are exactly considered. Also we suggest an allocation method of avoided generation costs by participation factor. In the case studies we have shown avoided generation costs considering loading order and forced out-age rate by using this method.

• Proceedings of the KIEE Conference
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• 1996.07b
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• pp.878-882
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• 1996

This paper discusses the definition and concepts, approach methodologies, capable application areas in electricity business, and tentative calculation of avoided generation costs based on the Korea's official long-term generation expansion plan. The objective to evaluate avoided costs of a resource is to supply decision makers with the breakeven cost of a targeting avoided resource. For the evaluation of avoided costs of the Korea's generation system, we consider the pseudo-DSM option which has 1,000MW peak savings, load factor with 70 percent, and life-time With 25 years as the avoided resource. The DSM resource can save the fuel and capacity additions of a electric utility during its life time. The capacity and fuel savings are evaluated from the two different cashflows with and Without the DSM option, which are generated on the basis of the generation system optimization model(WASP-II), independently. The breakeven kWh costs of the DSM option over this 25-year period is projected to be 34.1[won/kWh], which is composed of generation-capacity and fuel avoided costs with 101.139[won/kW] and 17.6[won/kWh], respectively.

• Journal of Energy Engineering
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• v.7 no.1
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• pp.131-137
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• 1998

This paper discusses definition, concepts, approach methods, application areas, and evaluation of avoided generation costs based on the Korea's official long-term generation expansion plan. The main objective to evaluate avoided costs of resources is to supply decision makers with the breakeven costs of the resources. For the evaluation of avoided costs based on the Korea's generation system, we consider a DSM option which has 1,000MW peak savings, load factor with 70 percents, and life-time with 25 years. The DSM resource can save the fuel spending and capacity additions of a electric utility during its life time. The capacity and fuel savings are evaluated from two different cashflows with and without the DSM option, which are supplied with on the basis of the generation system optimization model (WASP-II), independently. The breakeven kWh costs of the DSM option is projected to be 31.3 [won/kWh], which is composed of generation capacity and fuel avoided costs with 15.0[won/kWh] and 16.3[won/kWh], respectively.

• Proceedings of the KIEE Conference
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• 1999.07c
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• pp.1340-1343
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• 1999

This Paper Presents a new analytic load decrement method for the evaluation of avoided generation costs of independent power producers (IPPs), named as probabilistic load decrement method. Unlike conventional load decrement methods, the proposed method exactly consider the random outage characteristic of a generating unit, economic dispatch order, and the resulting loss of load probability. Therefore, we can Provide the exact generation avoided costs of an IPP by applying the developed method. In the case studies, we have shown the correctness and effectiveness of the method, and compared with conventional load decrement methods.

• Nutrition Research and Practice
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• v.9 no.4
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• pp.400-403
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• 2015

BACKGROUND/OBJECTIVES: By the year 2050, thirty-eight percent of the Korean population will be over the age of 65. Health care costs for Koreans over age 65 reached 15.4 trillion Korean won in 2011, accounting for a third of the total health care costs for the population. Chronic degenerative diseases, including coronary heart disease (CHD), drive long-term health care costs at an alarming annual rate. In the elderly population, loss of independence is one of the main reasons for this increase in health care costs. Korean heath policies place a high priority on the prevention of CHD because it is a major cause of morbidity and mortality. SUBJECTS/METHODS: This evidence-based study aims to the estimate potential health care cost savings resulting from the daily intake of omega-3 fatty acid supplementation. Potential cost savings associated with a reduced risk of CHD and the medical costs potentially avoided through risk reduction, including hospitalizations and physician services, were estimated using a Congressional Budget Office cost accounting methodology. RESULTS: The estimate of the seven-year (2005-2011) net savings in medical costs resulting from a reduction in the incidence of CHD among the elderly population through the daily use of omega-3 fatty acids was approximately 210 billion Korean won. Approximately 92,997 hospitalizations due to CHD could be avoided over the seven years. CONCLUSIONS: Our findings suggest that omega-3 supplementation in older individuals may yield substantial cost-savings by reducing the risk of CHD. It should be noted that additional health and cost benefits need to be revisited and re-evaluated as more is known about possible data sources or as new data become available.

• Korean Management Science Review
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• v.17 no.1
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• pp.117-134
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• 2000

Pubilc utility industries including the electric utility industry are facing a new stream of privatization com-petition with the private sector and deregulation. The necewssity to solve now and in the future power supply and demand problems has been increasing through the sophisticated generation expansion plan(GEP) approach con-sidering not only KEPCo's supply-side resources but also outside resources such as non-utility generation(NUG) demand-side management (DSM). Under the environmental situation in the current electric utility industry a new approach is needed to acquire multiple resources competitively. This study presents the development of a modified electric generation expansion analysis system(EGEAS) model with avoided cost based on the existing EGEAS model which is a dynamic program to develope an optimal generation expansion plan for the electric utility. We are trying to find optimal GEP in Korea's case using our modified model and observe the difference for the level of reliabilities such as the reserve margin(RM) loss of load probability(LOLP) and expected unserved energy percent(EUEP) between the existing EGEAS model and our model. In addition we are trying to calculate avoided cost for NUG resources which is a criterion to evaluate herem and test possibility of connection calculation of avoided cost with GEP implementation using our modified model. The results of our case study are as follows. First we were able to find that the generation expansion plan and reliability measures were largely influenced by capacity size and loading status of NUG resources, Second we were able to find that avoided cost which are criteria to evaluate NUG resources could be calculated by using our modified EGEAS model with avoided cost. We also note that avoided costs were calculated by our model in connection with generation expansion plans.

• Proceedings of the KIEE Conference
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• 2003.07a
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• pp.618-620
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• 2003

This paper presents a software for cost-effectiveness evaluation of DSM programs (Dsm-Lite). The presented software can help the users to analyze the energy consumptions and peak reductions of DSM programs, evaluate the cost effectiveness for TRC and RIM, and identify the benefits and the costs for each Test. The Dsm-Lite software can also provide the effective information on avoided costs, electric rates, and rebates by year etc.

• Journal of the Korean Operations Research and Management Science Society
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• v.38 no.2
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• pp.25-42
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• 2013

We consider a project time-cost tradeoff problem with two milestones, where one of the jobs has an uncertain processing time. Unless each milestone is completed on time, some penalty cost may be imposed. However, the penalty costs can be avoided by compressing the processing times of some jobs, which requires additional resources or costs. The objective is to minimize the expected total costs subject to the constraint on the expected project completion time. We show that the problem can be solved in polynomial time if the precedence graph of a project is a chain.

• Journal of the Korean Operations Research and Management Science Society
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• v.17 no.1
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• pp.117-117
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• 1992

Pubilc utility industries including the electric utility industry are facing a new stream of privatization com-petition with the private sector and deregulation. The necewssity to solve now and in the future power supply and demand problems has been increasing through the sophisticated generation expansion plan(GEP) approach con-sidering not only KEPCo's supply-side resources but also outside resources such as non-utility generation(NUG) demand-side management (DSM). Under the environmental situation in the current electric utility industry a new approach is needed to acquire multiple resources competitively. This study presents the development of a modified electric generation expansion analysis system(EGEAS) model with avoided cost based on the existing EGEAS model which is a dynamic program to develope an optimal generation expansion plan for the electric utility. We are trying to find optimal GEP in Korea's case using our modified model and observe the difference for the level of reliabilities such as the reserve margin(RM) loss of load probability(LOLP) and expected unserved energy percent(EUEP) between the existing EGEAS model and our model. In addition we are trying to calculate avoided cost for NUG resources which is a criterion to evaluate herem and test possibility of connection calculation of avoided cost with GEP implementation using our modified model. The results of our case study are as follows. First we were able to find that the generation expansion plan and reliability measures were largely influenced by capacity size and loading status of NUG resources, Second we were able to find that avoided cost which are criteria to evaluate NUG resources could be calculated by using our modified EGEAS model with avoided cost. We also note that avoided costs were calculated by our model in connection with generation expansion plans.

• Proceedings of the KIEE Conference
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• 1996.07b
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• pp.936-938
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• 1996

The $H_{\infty}$ robust controller is designed for on-line adaptive control application by using polynomial approach. The $H_{\infty}$ robust controllers for adaptive system were designed first by Grimble. But they have a problem that two minimum costs can exist and did not minimize the conventional $H_{\infty}$ cost function which is the $H_{\infty}$ sum of weighted sensitivity and complementary sensitivity terms. In this paper, the two minimum costs problem can be avoided and the conventional $H_{\infty}$ cost function is minimized by employing the Youla parameterization and polynomial approach at the same time. In addition pole placement is possible without any relation with weighting function.