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Title: Modeling technological change and its impact on energy savings in the U.S. iron and steel sector

Abstract

We report market penetration of energy-efficient technologies can be estimated using energy optimization models that minimize cost; however, such models typically estimate the minimum cost of optimal pathways under a certain set of non-dynamic assumptions, so technology penetrations determined for the long-term do not fully respond to changing circumstances or costs. Here, investment costs of energy-efficient technologies are modeled dynamically in the Industrial Sector Energy-Efficiency Model (ISEEM) using a technological learning formula. Results from 24 energy-efficient technologies – 14 existing, 10 emerging – selected from the United States (U.S.) iron and steel sector show that when technological learning is incorporated into the model, total energy consumption of this sector is expected to decrease by 13% (180 PJ) in 2050 compared to energy consumption in a non-learning scenario. Average energy intensity of the steel production improves from 12.3 GJ/t in the non-learning scenario to 10.7 GJ/t in the learning scenario in 2050. This decrease represents a cost savings of US $1.6 billion and a carbon dioxide emissions reduction potential of 14.9 billion tonnes. In conclusion, results discussed in this paper focus on the U.S. iron and steel sector, but the proposed framework can be applied to study new technology development in any othermore » industrial processes and regions.« less

Authors:
 [1];  [1];  [1]
  1. Lawrence Berkeley National Laboratory (LBNL), Berkeley, CA (United States)
Publication Date:
Research Org.:
Lawrence Berkeley National Laboratory (LBNL), Berkeley, CA (United States)
Sponsoring Org.:
USDOE Office of Science (SC); Inha University; Greenhouse Gas Inventory and Research Center of Korea
OSTI Identifier:
1532214
Alternate Identifier(s):
OSTI ID: 1416213
Grant/Contract Number:  
AC02-05CH11231; AC02-05CH1131
Resource Type:
Accepted Manuscript
Journal Name:
Applied Energy
Additional Journal Information:
Journal Volume: 202; Journal Issue: C; Journal ID: ISSN 0306-2619
Publisher:
Elsevier
Country of Publication:
United States
Language:
English
Subject:
32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION; energy optimization models; learning curve; dynamic cost; energy-efficient technologies; endogenous technological learning

Citation Formats

Karali, Nihan, Park, Won Young, and McNeil, Michael. Modeling technological change and its impact on energy savings in the U.S. iron and steel sector. United States: N. p., 2017. Web. doi:10.1016/j.apenergy.2017.05.173.
Karali, Nihan, Park, Won Young, & McNeil, Michael. Modeling technological change and its impact on energy savings in the U.S. iron and steel sector. United States. https://doi.org/10.1016/j.apenergy.2017.05.173
Karali, Nihan, Park, Won Young, and McNeil, Michael. Sat . "Modeling technological change and its impact on energy savings in the U.S. iron and steel sector". United States. https://doi.org/10.1016/j.apenergy.2017.05.173. https://www.osti.gov/servlets/purl/1532214.
@article{osti_1532214,
title = {Modeling technological change and its impact on energy savings in the U.S. iron and steel sector},
author = {Karali, Nihan and Park, Won Young and McNeil, Michael},
abstractNote = {We report market penetration of energy-efficient technologies can be estimated using energy optimization models that minimize cost; however, such models typically estimate the minimum cost of optimal pathways under a certain set of non-dynamic assumptions, so technology penetrations determined for the long-term do not fully respond to changing circumstances or costs. Here, investment costs of energy-efficient technologies are modeled dynamically in the Industrial Sector Energy-Efficiency Model (ISEEM) using a technological learning formula. Results from 24 energy-efficient technologies – 14 existing, 10 emerging – selected from the United States (U.S.) iron and steel sector show that when technological learning is incorporated into the model, total energy consumption of this sector is expected to decrease by 13% (180 PJ) in 2050 compared to energy consumption in a non-learning scenario. Average energy intensity of the steel production improves from 12.3 GJ/t in the non-learning scenario to 10.7 GJ/t in the learning scenario in 2050. This decrease represents a cost savings of US $1.6 billion and a carbon dioxide emissions reduction potential of 14.9 billion tonnes. In conclusion, results discussed in this paper focus on the U.S. iron and steel sector, but the proposed framework can be applied to study new technology development in any other industrial processes and regions.},
doi = {10.1016/j.apenergy.2017.05.173},
journal = {Applied Energy},
number = C,
volume = 202,
place = {United States},
year = {Sat Jun 03 00:00:00 EDT 2017},
month = {Sat Jun 03 00:00:00 EDT 2017}
}

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Cited by: 27 works
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