Other
Energy Taxes for the Transition to a Low-Carbon Society
Danfoss AS1
Dynamical Systems, Department of Applied Mathematics and Computer Science, Technical University of Denmark2
Department of Applied Mathematics and Computer Science, Technical University of Denmark3
CITIES - Centre for IT-Intelligent Energy Systems, Centers, Technical University of Denmark4
Danish District Heating Association5
Aarhus Kommune6
Danish Technological Institute7
Tmrow IVS8
Ørsted A/S9
Aalborg University10
Grundfos DK AS11
Department of Technology, Management and Economics, Technical University of Denmark12
...and 2 moreThe hourly wholesale price of electricity reflects how clean Danish electricity is. However, things are different for end-consumers, as the wholesale price is only about 20% of the price they pay. This means that consumers can’t make significant savings by shifting their consumption from hours when the wholesale electricity price is high, to periods where it goes down, or is even negative.
This is sub-optimal as with a high penetration of fluctuating renewables, we will require significant storage systems to have green electricity even in hours where the wind doesn’t blow. The simplest way to reduce those storage needs is to make sure consumers consume at the right time, ideally by giving them an incentive to invest in smart devices (heating, cooling, washing, electric vehicle charging..).
The current tax scheme on electricity and energy is prohibiting smart and flexible consumers to help balancing the system.
Language: | English |
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Year: | 2020 |
Types: | Other |
ORCIDs: | Morthorst, Poul Erik and Madsen, Henrik |