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Policymakers seeking to promote the diffusion of infrastructure-dependent technologies are often confronted with the ``chicken-and-egg\" problem: consumers are reluctant to adopt the technology without adequate infrastructure available, and firms are reluctant to invest in infrastructure without a sufficient number of adopters. This chicken-and-egg problem can hinder the diffusion of new technologies and prolong the timeframe over which existing technological systems remain locked-in. In this paper, we formulate a stylized model of technology policy decision-making from the perspective of a policymaker who seeks to stimulate the market penetration of an infrastructure-dependent technology. Our model is a bilevel optimization problem in which a policymaker (leader) maximizes net social benefits by setting the levels of two incentives: a subsidy for a profit-maximizing firm (follower) to invest in infrastructure that raises the benefit of adoption to consumers, and a direct subsidy for consumers to adopt the technology. We analytically derive the firm's optimal infrastructure investment response to the upper-level policy decisions, and show that the bilevel model is equivalent to a quadratic program. To bypass non-convexity, we develop a custom solution strategy based on decomposition, and find that it performs better in most cases than directly applying an off-the-shelf solver to the potentially non-convex problem. 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2017 - Creating Agent-Based Energy Transition Management .pdf", "md5": "e0a96a26cac7f4bfdb18d7cf4f3ab28e", "mtime": 1569017211925, "tags": [], "relations": {}, "dateAdded": "2019-09-20T22:06:52Z", "dateModified": "2019-09-20T22:06:52Z" } }, { "key": "HZHPTZ53", "version": 83, "library": { "type": "group", "id": 288142, "name": "Power TAC Policy", "links": { "alternate": { "href": "https://www.zotero.org/groups/power_tac_policy", "type": "text/html" } } }, "links": { "self": { "href": "https://api.zotero.org/groups/288142/items/HZHPTZ53", "type": "application/json" }, "alternate": { "href": "https://www.zotero.org/groups/power_tac_policy/items/HZHPTZ53", "type": "text/html" } }, "meta": { "createdByUser": { "id": 2831969, "username": "mansarin", "name": "", "links": { "alternate": { "href": "https://www.zotero.org/mansarin", "type": "text/html" } } }, "lastModifiedByUser": { "id": 1266075, "username": "grampajohn", "name": "John Collins", "links": { "alternate": { "href": "https://www.zotero.org/grampajohn", "type": "text/html" } } }, "creatorSummary": "Hoekstra et al.", "parsedDate": "2017", "numChildren": 2 }, "data": { "key": "HZHPTZ53", "version": 83, "itemType": "webpage", "title": "Creating Agent-Based Energy Transition Management Models That Can Uncover Profitable Pathways to Climate Change Mitigation", "creators": [ { "creatorType": "author", "firstName": "Auke", "lastName": "Hoekstra" }, { "creatorType": "author", "firstName": "Maarten", "lastName": "Steinbuch" }, { "creatorType": "author", "firstName": "Geert", "lastName": "Verbong" } ], "abstractNote": "The energy domain is still dominated by equilibrium models that underestimate both the dangers and opportunities related to climate change. In reality, climate and energy systems contain tipping points, feedback loops, and exponential developments. This paper describes how to create realistic energy transition management models: quantitative models that can discover profitable pathways from fossil fuels to renewable energy. We review the literature regarding agent-based economics, disruptive innovation, and transition management and determine the following requirements. Actors must be detailed, heterogeneous, interacting, learning, and strategizing. Technology should be represented as a detailed and heterogeneous portfolio that can develop in a bottom-up manner, using endogenous feedback loops. Assumptions about discount rates and the social cost of carbon should be configurable. The model should contain interactions between the global, national, local, and individual level. A review of modelling techniques shows that equilibrium models are unsuitable and that system dynamics and discrete event simulation are too limited. The agent-based approach is found to be uniquely suited for the complex adaptive sociotechnical systems that must be modelled. But the choice for agent-based models does not mean a rejection of other approaches because they can be accommodated within the agent-based framework. We conclude with practical guidelines.", "websiteTitle": "Complexity", "websiteType": "Research article", "date": "2017", "publisher": "", "place": "", "DOI": "10.1155/2017/1967645", "citationKey": "", "url": "https://www.hindawi.com/journals/complexity/2017/1967645/", "accessDate": "2019-09-20T22:06:48Z", "shortTitle": "", "language": "en", "rights": "", "extra": "", "tags": [], "collections": [], "relations": {}, "dateAdded": "2019-09-20T22:06:48Z", "dateModified": "2019-09-20T22:06:48Z" } }, { "key": "UNX9F8F5", "version": 65, "library": { "type": "group", "id": 288142, "name": "Power TAC Policy", "links": { "alternate": { "href": "https://www.zotero.org/groups/power_tac_policy", "type": "text/html" } } }, "links": { "self": { "href": "https://api.zotero.org/groups/288142/items/UNX9F8F5", "type": "application/json" }, "alternate": { "href": "https://www.zotero.org/groups/power_tac_policy/items/UNX9F8F5", "type": "text/html" } }, "meta": { "createdByUser": { "id": 2831969, "username": "mansarin", "name": "", "links": { "alternate": { "href": "https://www.zotero.org/mansarin", "type": "text/html" } } }, "creatorSummary": "IRENA", "parsedDate": "2019-04", "numChildren": 1 }, "data": { "key": "UNX9F8F5", "version": 65, "itemType": "book", "title": "Global energy transformation: A roadmap to 2050 (2019 edition)", "creators": [ { "creatorType": "author", "firstName": "", "lastName": "IRENA" } ], "abstractNote": "Increased use of renewable energy, combined with intensified electrification, could prove decisive for the world to meet key climate goals by 2050. This study highlights immediately deployable, cost-effective options for countries to fulfil climate commitments and limit the rise of global temperatures.", "series": "", "seriesNumber": "", "volume": "", "numberOfVolumes": "", "edition": "", "date": "April 2019", "publisher": "International Renewable Energy Agency", "place": "Abu Dhabi", "originalDate": "", "originalPublisher": "", "originalPlace": "", "format": "", "numPages": "", "ISBN": "978-92-9260-121-8", "DOI": "", "citationKey": "", "url": "/publications/2019/Apr/Global-energy-transformation-A-roadmap-to-2050-2019Edition", "accessDate": "2019-05-03T12:45:47Z", "ISSN": "", "archive": "", "archiveLocation": "", "shortTitle": "Global energy transformation", "language": "en", "libraryCatalog": "", "callNumber": "", "rights": "", "extra": "", "tags": [], "collections": [], "relations": {}, "dateAdded": "2019-05-03T12:45:47Z", "dateModified": "2019-05-03T12:47:07Z" } }, { "key": "8FYWYIRU", "version": 63, "library": { "type": 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"alternate": { "href": "https://www.zotero.org/mansarin", "type": "text/html" } } }, "creatorSummary": "Ketter et al.", "parsedDate": "2017-12-13", "numChildren": 1 }, "data": { "key": "FPZ9D3YV", "version": 55, "itemType": "report", "title": "The 2018 Power Trading Agent Competition", "creators": [ { "creatorType": "author", "firstName": "Wolfgang", "lastName": "Ketter" }, { "creatorType": "author", "firstName": "John", "lastName": "Collins" }, { "creatorType": "author", "firstName": "Mathijs de", "lastName": "Weerdt" } ], "abstractNote": "This is the specification for the Power Trading Agent Competition for 2018 (Power TAC 2018). Power TAC is a competitive simulation that models a \"liberalized\" retail electrical energy market, where competing business entities or \"brokers\" offer energy services to customers through tariff contracts, and must then serve those customers by trading in a wholesale market. Brokers are challenged to maximize their profits by buying and selling energy in the wholesale and retail markets, subject to fixed costs and constraints; the winner of an individual \"game\" is the broker with the highest bank balance at the end of a simulation run. Costs include fees for publication and withdrawal of tariffs, and distribution fees for transporting energy to their contracted customers. 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platform for their active participation to manage energy balance locally. This paper proposes a new Peer to Peer (P2P) market in transactive energy (TE) framework for trading energy among distributed residential prosumers. P2P market is used to enable DERs to trade energy in a distribution network. DERs in the form of residential prosumers decide to buy and/or sell energy to/from other prosumers through an auction. A knapsack approximation algorithm is proposed and the mechanism of market clearing is presented to maximize the economic surplus for a given DER owner in the auction. Residential prosumers, if acting as a seller, use a Battery Energy Storage System (BESS) for storing renewable energy and evaluate the amount of energy that can be appropriately bid in a given time interval. 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Another six web-based energy sector database projects and nine hybrid projects were established during this same period, some explicitly to service open modeling. Three distinct yet overlapping drivers can explain this shift in paradigm towards open methods: a desire for improved public transparency, the need for genuine scientific reproducibility, and a nascent experiment to see whether open source development methods can improve academic productivity and quality and perhaps also public trust. The associated source code, datasets, and documentation need suitable open licenses to enable their use, modification, and republication. The choice for software is polarized: teams need only consider maximally permissive (ISC, MIT) or strongly protective (GPLv3) licenses. Selection is influenced by whether code adoption or freedom from capture is uppermost and by the implementation language, distribution architecture, and use of third-party components. Permissive data licenses (CC BY 4.0) are generally favored for datasets to facilitate their recombination and reuse. Official and semi-official energy sector data providers should also prefer permissive licensing for copyrightable material.", "publicationTitle": "Energy Strategy Reviews", "publisher": "", "place": "", "date": "April 1, 2018", "volume": "20", "issue": "", "section": "", "partNumber": "", "partTitle": "", "pages": "49-63", "series": "", "seriesTitle": "", "seriesText": "", "journalAbbreviation": "Energy Strategy Reviews", "DOI": "10.1016/j.esr.2017.12.010", "citationKey": "", "url": "http://www.sciencedirect.com/science/article/pii/S2211467X17300949", "accessDate": "", "PMID": "", "PMCID": "", "ISSN": "2211-467X", "archive": "", "archiveLocation": "", "shortTitle": "Energy system modeling", "language": "", "libraryCatalog": "ScienceDirect", "callNumber": "", "rights": "", "extra": "", "tags": [ { "tag": "Copyright law", "type": 1 }, { "tag": "Crowdsourcing", "type": 1 }, { "tag": "Energy sector database", "type": 1 }, { "tag": "Energy system model", "type": 1 }, { "tag": "Open source development", "type": 1 } ], "collections": [], "relations": {}, "dateAdded": "2018-03-23T08:54:11Z", "dateModified": "2018-03-23T08:54:11Z" } } ]