• Environmental and Resource Economics Review
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• v.14 no.4
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• pp.817-838
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• 2005

In this paper, the resource adequacy as well as the optimum fuel mix is obtained by the following procedures. First, the regulation body, the government agency, determine the reliability index as well as the optimum portfolio of the fuel mix during the planning horizon. Here, the resources with the characteristics of public goods such as demand-side management, renewable resources are assigned in advance. Also, the optimum portfolio is determined by reflecting the economics, environmental characteristics, public acceptance, regional supply and demand, etc. Second, the government announces the required amount of each fuel-type new resources during the planning horizon and the market participants bid to the government based on their own estimated fixed cost. Here, the government announces the winners of the each auction by plant type and the guaranteed fixed cost is determined by the marginal auction price by plant type. Third, the energy market is run and the surplus of each plant except their cost (guaranteed fixed cost and operating cost) is withdrew by the regulatory body. Here, to induce the generators to reduce their operating cost some incentives for each generator is given based on their performance. The performance is determined by the mechanism of the performance-based regulation (PBR). Here the free-riding performance should be subtracted to guarantee the transparent competition. Although the suggested mechanism looks like very regulated one, it provides two mechanism of the competition. That is, one is in the resource construction auction and the other is in the energy spot market. Also the advantages of the proposed method are it guarantee the proper resource adequacy as well as the desired fuel mix. However, this mechanism should be sustained during the transient period of the deregulation only. Therefore, generation resource planning procedure and market mechanisms are suggested to minimize possible stranded costs.

• Environmental and Resource Economics Review
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• v.17 no.2
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• pp.381-418
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• 2008

This study revisits the meaning of energy security by examining the oil market supply and demand conditions of petroleum products and refinery capacity of three Northeast Asian countries(Korea, China, Japan). In 2006, 10.6 million bid of excess demand occurred and is expected to be 15~22 million bid by the year 2030 in this regional oil market. Different oil demand is caused mainly by the different demands for various petroleum products based on each country's economic structures. If the demands are ranked according to their petroleum products, Chinese case shows gasoil > gasoline > fuel oil> LPG > naphtha > Kero/jet and Japanese case shows gasoil > gasoline> naphtha> Kero/jet > fuel oil > LPG, while Korean case shows naphtha> gas oil > fuel oil > LPG > Kero/jet > gasoline, respectively. Total CDU(Crude Distillation Unit) capacity of three northeast asian countries also have been examined in this respect. This study points out the importance of the information on oil demand and supply, on petroleum products and refinery capacities of the three Northeast Asian countries to enhance the security of the oil market in this region.

• Environmental and Resource Economics Review
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• v.25 no.1
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• pp.113-140
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• 2016

Achieving the two goals of providing stable remuneration and promoting market based incentive for generation capacity with only one kind of capacity price is a difficult proposition. This paper suggests a market design in which two different kinds of capacity prices are used to achieve these goals. It maintains the current capacity price that is determined administratively based on the fixed cost of the gas-turbine generator. A second capacity price is added that covers generators with higher fixed costs and lower fuel costs such as combined-cycle gas turbine, coal-powered, and nuclear generators. This second capacity price is conditional on a lower energy price ceiling and determined by the interaction of the market supply and a demand schedule derived from the optimal fuel mixed principle.

• Asian Journal of Business Environment
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• v.14 no.3
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• pp.1-11
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• 2024

Purpose: This study analyzes the impact of weather conditions, holidays, and sporting events on beer sales, providing insights for market strategy and inventory management in the beer industry. Research design, data and methodology: Beer types were classified into Lagers and Ales, with further subcategories. The study utilized weekly retail sales data from January 2018 to August 2020, provided by Nielsen Korea. An ARMAX model was employed for time-series analysis. Results: The analysis revealed that increasing temperatures positively influence sales of Pilsners and Pale Lagers. Conversely, higher precipitation levels negatively affect overall Lager sales. Among Ales, only Stout sales showed a significant decrease with increased rainfall. Sunshine duration did not significantly impact sales for any beer type. Humidity generally had little effect on beer sales, with the exception of Amber Lagers, which showed sensitivity to humidity changes. Holidays and sporting events were found to significantly boost sales across most beer types, although the specific impacts varied by beer category. Conclusions: This study offers a detailed analysis of how weather conditions and specific events influence different beer type sales. The findings provide valuable insights for breweries, beer processors, and retailers to optimize their market strategies and inventory management based on weather forecasts and seasonal events. By understanding the consumption patterns of each beer type in relation to environmental factors, businesses can better anticipate demand fluctuations and tailor their operations accordingly.

• Environmental and Resource Economics Review
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• v.11 no.3
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• pp.415-446
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• 2002

Due to its cost effectiveness, tradeable emission permits (TEP) system has been effectively used in the USA and many other advanced countries. But, academic many researchers have been argued that TEP system would not work as an efficient regulatory tools when there are imperfect competition in permits and/or products markets. Sartzetakis (1997), however, show that TEP system can serve as an effective environmental regulation under the certain demand/cost conditions even though duopolistic production market is not competitive. In this paper we extend Sartzetakis's analysis into the differentiated products markets under the same cost conditions, and examine the relative efficiency of TEP system by comparing it with the command and control system. We then show that the main results of Sartzetakis can hold if two differentiated products markets have the symmetric demands. In particular, it is revealed that social welfare will be increased under TEP system even though consumer surplus may be decreased.

• International journal of advanced smart convergence
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• v.4 no.2
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• pp.124-130
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• 2015

Infinite competition on ICT industries is starting again. The basis of competence over global dominance will be human resource, a global ecosystem for products and national agenda for science and technology, etc.. This paper presents the six solution for the Global Competitiveness and Coexistence of Korean ICT Industries. Korea should nurture the brand of "World Best Korean ICT Forever" to secure technical competency of ICT related fields in global market. All ICT technologies should be aligned to global standard and market demand from beginning and the ecosystem around product needs to be established. System framework for utilizing the resource of core SW experts must be established. Through global partnership with China as manufacturing base for Korea-developed products, technical competency can be maintained including product planning. Security measure for technical assets is mandatory. Finally, core technology that will drive the future of ICT industries in Korea should be regarded as core subjects.

• Environmental and Resource Economics Review
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• v.30 no.2
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• pp.237-268
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• 2021

As variable renewable sources rapidly increase due to the Energy Transition plan, integration cost of renewable sources to the power system is rising sharply. The increase in variable renewable energy reduces the capacity factor of existing traditional power capacity, and this undermines the efficiency of the overall power supply, and demand resources are drawing attention as a solution. In this study, we analyzed how much electric vehicle demand resouces, which has great potential among other demand resources, can reduce power supply costs if it is used as a flexible resource for renewable generation. As a methodology, a stochastic form of power system optimization model that can effectively reflect the volatile characteristics of renewable generation is used to analyze the cost induced by renewable energy and the benefits offered by electric vehicle demand resources. The result shows that virtual power plant-based direct control method has higher benefits than the time-of-use tariff, and the higher the proportion of renewable energy is in the power system, the higher the benefits of electric vehicle demand resources are. The net benefit after considering commission fee for aggregators and battery wear-and-tear costs was estimated as 67% to 85% of monthly average fuel cost under virtual power plant with V2G capability, and this shows that a sufficient incentive for market participation can be offered when a rate system is applied in which these net benefits of demand resources are effectively distributed to consumers.

• The Transactions of The Korean Institute of Electrical Engineers
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• v.57 no.1
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• pp.25-33
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• 2008

This paper presents a new approach of a evaluation of location marginal prices(LMPs) considering demand response resources in the competitive electricity market. The stabilization of the electric power supply and demand balance has been one of the major important activities in electric power industry. Recently, much attention is paid to the demand-side resources which are responsive to incentives or time-varying prices and existing power system planning and operation activities are incorporated with the so-called demand response resources. In this paper, we first present an analytical method for calculation of LMPs considering demand response resources and then break down the LMPs into three components. In this study, we assume that Korean power system consists of two major regions, one which is the metropolitan and the other is non-metropolitan region. In the case study, we have considered several LMPs cases with different use of locational demand response resource and we can obtain a locational signal to demand response resources. Also, the economics of demand response resources are evaluated, compared with the increase of transmission line capacity and of generation capacity.

• Journal of Digital Convergence
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• v.6 no.2
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• pp.65-76
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• 2008

Recently, software distribution method, along with advent of era of Web 2.0, is rapidly evolving from ASP(Application Service Provider) method into SaaS(Soft as a Service) method due to development in concepts and technologies including SOA(Service Oriented Architecture) Web Service, On Demand and Component. Determining factor in market competitiveness of newly emerging SaaS business model will be analyzed by focusing on Group-Wares, POS(Point of Sale) System, CRM(Customer Relationship Management) and ERP(Enterprise Resource Planning), which are the most representative SaaS business models in Korea. It is anticipated that the outcome of analysis of determining factors for market competitiveness for each of the main SaaS Business Models acquired through questionnaire survey can be utilized as important benchmarking material in setting the direction of cultivating SaaS market by the government as well as new entries into SaaS market.

• Environmental and Resource Economics Review
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• v.11 no.2
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• pp.211-231
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• 2002

This paper summarizes the results of a study that assess how a demand side management (DSM) system addresses key economic and environmental challenges facing in the Korean natural gas sector considering; ${\bullet}$ high discrepancies of seasonal consumption volume and of load factor in unmatured domestic LNG market, ${\bullet}$ unfavorable and volatile international LNG market, imposing with the contestable "take-or-pay" contract terms, ${\bullet}$ low profile of LNG and existence of market barriers against an optimal fuel mix status in the industrial energy sector. A particular focus of this study is to establish an 'extended' DSM system in the unmatured gas market, especially in industry sector, that could play a key role to assure an optimum fuel mix scheme. Under the concept of 'extended' DSM, a system dynamics modeling approach has been introduced to explore the option to maximize economic benefits in terms of the national energy system optimization, entailing different ways of commitments accounting for different DSM measures and time delay scenarios. The study concludes that policy options exist that can reduce inefficiencies in gas industry and end-use system at no net costs to national economy. The most scenarios find that, by the year 2015, it is possible to develop a substantial potential of increased industrial gas end-uses under more reliable and stable load patterns. Assessment of sensitivity analysis suggests that time delay factor, in formulating DSM scenarios, plays a key role to overcome various market barriers in domestic LNG market and provides a strong justification for the policy portfolios 'just in time' (time accurateness), which eventually contribute to establish an optimum fuel mix strategy. The study indicates also the needs of advanced studies based on SD approach to articulate uncertainty in unmatured energy market analysis, including gas.