• Environmental and Resource Economics Review
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• v.28 no.1
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• pp.147-176
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• 2019

This paper uses research on the Levelized Cost of Electricity (LCOE) in South Korea to conduct a simulation analysis on the impact of nuclear power dependency and usage rates on the social costs of power generation. We compare the $7^{th}$ basic plan for long-term electricity supply and demand, which was designed to increase nuclear power generation, to the $8^{th}$ basic plan for long-term electricity supply and demand that decreased nuclear power generation and increased renewable energy generation in order to estimate changes in social costs and electricity rates according to the power generation mix. Our environmental generation mix simulation results indicate that social costs may increase by 22% within 10 years while direct generation cost and electricity rates based on generation and other production costs may increase by as much as 22% and 18%, respectively. Thus we confirm that the power generation mix from the $8^{th}$ basic plan for long-term electricity supply and demand compared to the $7^{th}$ plan increases social costs of generation, which include environmental external costs.

• Environmental and Resource Economics Review
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• v.28 no.2
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• pp.201-229
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• 2019

This paper estimates the effects of generation mix changes in the $7^{th}$ and $8^{th}$ Basic Plan for Long-term Power Supply and Demand from two aspects: economic efficiency through electricity prices and environmental performance through $CO_2$ and air pollutants(NOx, SOx, PM) emissions. Particularly, we examined additional generation mix conversion paths that take into account the trade-off between economic efficiency and environmental performance through scenario analysis. According to our results, the conversion from the $7^{th}$ plan to the $8^{th}$ plan should increase the electricity prices in the mid- and long-term, while reducing GHG and air pollutants emissions at the same time. The alternative generation mix that combines $7^{th}$ and $8^{th}$ plans shows that there exists a path to mitigate the trade-off between economic and environmental in the long-term. It will be next to impossible to derive a optimal generation mix that simultaneously considers the core values, such as supply stability, environmental performance, economic efficiency, energy safety and energy security, when establishing the power supply and demand plan. However, by exploring the effects of various generation mix paths and suggesting near-optimal paths, people can best choose their direction after weighhing all the paths when deciding on a forward-looking generation mix in the long term.

• The Transactions of the Korean Institute of Electrical Engineers P
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• v.67 no.2
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• pp.112-118
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• 2018

In recent years, decentralized power have been increasing due to environmental problems, liberalization of electricity markets and technological developments. These changes have led to the evolution of power generation, transmission, and distribution into discrete sectors and the division of integrated power systems. Therefore, studies are underway to efficiently supply power and reduce losses to each sector's demand. This is a major concern for system planners and operators, as it accounts for a relatively high proportion of total power, with a transmission and distribution loss of 4-6%. Therefore, this paper analyzes the status of loss management based on the current transmission and distribution loss rate of each country and transmission loss management cases of each national power company, and proposes a loss rate prediction algorithm according to the long-term transmission system plan. The proposed algorithm predicts the demand-based long-term evolution and the loss rate of the grid to which the transmission plan is applied.

• Korean Chemical Engineering Research
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• v.56 no.5
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• pp.655-662
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• 2018

To respond effectively to climate change following the launch of the new climate system, the government is seeking to expand the use of distributed power resources. Among them, the district heating system centered on Combined Heat and Power (CHP) is accepted as the most realistic alternative. On the other hand, the government recently announced the change of energy paradigm focusing on eco-friendly power generation from the base power generation through $8^{th}$ Basic Plan for Long-term Electricity Supply and Demand(BPE). In this study, we analyzed the quantitative effects of profit and loss on the CHP operating business by changing patterns of the heat production, caused by the change of energy paradigm. To do this, the power market long-term simulation was carried out according to the $7^{th}$ and $8^{th}$ BPE respectively, using the commercialized power market integrated analysis program. In addition, the CHP operating model is organized to calculate the power and heat production level for each CHP operation mode by utilizing the operating performance of 830MW class CHP in Seoul metropolitan area. Based on this, the operation optimization is performed for realizing the maximum operating profit and loss during the life-cycle of CHP through the commercialized integrated energy optimization program. As a result, it can be seen that the change of the energy paradigm of the government increased the level of the ordered power supply by Korean Power Exchange(KPX), decreased the cost of the heat production, and increased the operating contribution margin by 90.9 billion won for the 30 years.

• Journal of Energy Engineering
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• v.25 no.3
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• pp.136-148
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• 2016

We analyze economic effects of GHG reduction measures of the generation industry to meet 2030 GHG reduction target using the scenario based approach. We estimate the GHG emission of the Korean power industry in 2030 based on both the $7^{th}$ Electricity Supply & Demand Plan and the GHG emission coefficients issued by IAEA. We set up three scenarios for reduction measures by replacing the coal fired plants with nuclear power, renewable energy and carbon capture and storage. Once and for all, the nuclear power scenario dominates the other energy technologies in terms of GHG reduction quantities and economic effects.

• The Transactions of The Korean Institute of Electrical Engineers
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• v.65 no.7
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• pp.1135-1143
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• 2016

A private company's 1,000 MW coal-fired power plant will be the first coal-fired power plant that was included in the 5th 'Basic Plan on Electricity Demand and Supply' (2010). Now it is facing the task to abide by the RPS(Renewable Portfolio Standard) policy after commercial operation. If they fail to supply the necessary REC (Renewable Energy Certificate) mandated by the RPS policy, they are subject to be fined by the government and forced to modify the cost function to reflect the burden. Eventually the company's coal-fired power plant will be forced to reduce generation to maximize profit because the amount of electricity generated by the power plant and the REC obligation is positively correlated. This paper analyzed the change of cost function of private coal-fired power plant according to the introduction of RPS policy from the viewpoint of private company, and finally proposed the optimal generation to maximize the profit of private coal-fired power plant under the current RPS policy.

• Plant Journal
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• v.14 no.1
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• pp.47-51
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• 2018

This study analyzed the effect of power output reduction in coal fired power generation on the change of system marginal price and green house gas emissions. Analytical method was used for electricity market forecasting system used in korea state owned companies. Operating conditions of the power system was based on the the 7th Basic Plan for Electricity Demand and Supply. This as a reference, I analyzed change of system marginal price and green house gas emission by reduced power output in coal fired power generation. The results, if the maximum output was declined as 29 [%] to overall coal-fired power plant, system marginal price is reduced 12 [%p] compared to before and decreasing greenhouse gas emissions were 9,966 [kton]. And if the low efficiency coal fired power plant that accounted for 30 [%] in overall coal-fired power plant stopped by year, system marginal price is reduced 14 [%p] compared to before and decreasing greenhouse gas emissions were 12,874 [kton].

• Journal of Environmental Impact Assessment
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• v.24 no.5
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• pp.472-486
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• 2015

More than 8M tons of coal ashes are generated from coal-fired thermal power plants every year in Korea. Excluding the recycled portion (Current recycling rate: approximately 70%), all of the generated coal ashes end up in coastal landfills. Currently, the difficulties faced in establishing new ash treatment fields are attributed to the concerns raised over the environmental impacts caused by the landfills at individual plant facilities. Given the number of coal-fired thermal power plants to be built in the future (reflected in the 7th Basic Plan for Long-term Electricity Supply and Demand), building new ash treatment fields or seeking a new treatment plan seems unavoidable. Based upon a review of coal ash and its management, this study concluded that the most effective and fundamental strategy to minimize the environmental impacts resulting from coal ash landfills is to avoid constructing new coal-fired powerplants and furthermore, suggests that the practice of beneficial use and recycling the produced coal wastes should be encouraged.

• Journal of the Korean Solar Energy Society
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• v.36 no.4
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• pp.21-29
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• 2016

Commercial wind farm design tools and the national wind map are used to determine the implementation potential of offshore wind power in Korea in this study. For this, the territorial waters of Korea were divided into nine analysis regions and a commercial CFD code was used to obtain wind resource maps at 100m A.S.L. which is the hub height of a 5MW wind turbine used in this study. With the wind resource obtained, factors including water depth, distance from substations, minimum and maximum capacity of a wind farm, distance between turbines and wind farms were considered to determine wind power potential. Also, the conservation areas, military zones, ports, fishing grounds, etc. were considered and excluded. As the result, a total capacity of 6,720 MW was found to be the implementation potential and this corresponds to $3.38MW/km^2$ in API. Also if the distance from the substation is not considered, the potential increased to be 10,040 MW. This offshore wind farm potential is considered enough to satisfy the target of wind farm capacities in the 7th national plan for electricity demand and supply.

• Environmental and Resource Economics Review
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• v.27 no.2
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• pp.261-286
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• 2018

This paper evaluated the economic feasibility of the life extension of Kori unit 1 and Wolsong unit 1 according to the types of the nuclear power plants (NPPs) and the life extension period comparing to the levelized costs of energy (LCOE) of the new NPPs, coal-fired plants (CFPs), and combined cycle gas turbine (CCGTs) which proposed in the $7^{th}$ Basic Plan for Electricity Supply and Demand. The economic feasibility of the life extension of NPPs using LCOE method is affected by the types of NPPs, lifetime extension periods, discount rate, and capacity factor. According to the analysis results, the pressurized light water reactor (PWR) is more economical than the pressurized heavy water reactor (PHWR). Comparing the economical efficiency between the life extension of NPPs and other alternatives, the operation of the PWR for 20 years is more economical than the one of new NPPs and CFPs. However, 20 years of life extension of PHWR is more economical than the CCGTs, but less economical than new NPPs and CFPs. In summary, the 20 years of life extension of the NPPs seems to be more, especially for the PWR, which is more cost effective than other generation alternatives. Therefore, the government policy of the life extension of NPPs need to be a selective approach that simultaneously considers both safety and economics rather than closing all NPPs.