Introduction to Energy Economics. Basic Concepts and Global Energy Picture
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1 Introduction to Energy Economics Basic Concepts and Global Energy Picture
2 Agenda Basic Definitions Units and Conversion Factors Energy Balances Global Energy Picture Exercise 2
3 Definitions Energy: the ability to carry out work, unit Joule [J=kg m²/s²], one J corresponds to the energy needed to lift a mass of 100g by one meter Energy forms: Mechanical energy Chemical energy Electric energy Thermal energy Radiant energy Nuclear energy Exergy: working ability of energy Anergy: share of energy which cannot be transformed into another form Energy = Exergy + Anergy Power: work done or energy converted per unit of time, unit Watt [W=J/s] 3
4 Main theorems of thermodynamics 1 st Theorem: In a closed system, the amount of energy can not be altered, but is transformed between different forms of energy. Energy can not be consumed or saved, only transformed 2 nd Theorem (entropy law): Energy forms in a closed system (potential or kinetic energy, high temperature heat, etc.) are transformed into lower quality, i.e. uniformly distributed heat (e.g. at ambient temperature). Entropy in a closed system will increase The laws are only valid for closed systems! 4
5 Primary versus Secondary versus Tertiary Energy Primary energy Secondary energy Tertiary energy Fossil fuels Nuclear fuels Solar radiation Biomass Wind Tides Geothermie Firewood, peat Lignite, hard coal Fuel oil, diesel, gasoline Biomass Electricity Steam, hot water Compressed air Cold air Light Heat Cold Mechanical energy 5
6 Transformation processes Output Input Mechanical energy Chemical energy Electric energy Thermal energy Radiant energy Nuclear energy Mechanical energy Combustion engine Chemical energy Electric energy Hydro turbine Thermal energy Friction Radiant energy Fuel cell Boiler Gas Lamp Electric motor Electrolysis Induction heating Heat Engine Laser Thermo chemistry Solar chemistry Power Plant Photovoltaic Microwave Nuclear reactor Light bulb Radioactivity Source: Erdmann/Zweifel (2008) 6
7 Energy sources and use Non-renewable energy Renewable energy Coal Crude oil Natural gas Uranium Geo thermal Solar energy Gravitation Hard coal or lignite briquette Gasolin Kerosen Fuel oil Pre-parated products Enriched uranium,mi xed oxides Radiationw ind biomass sea waves Tides Power plant, steel industry Power plant, car, plane Power plant, car, mobile uses Power plant Power plant, heat plant Solarcell, hydro, bio-mass power plant Tidal power plant Electric energy Thermal energy Chemical energy Mechanical energy Source: Kaltschmitt et al. (2003) 7
8 Transformation and Efficiency Efficiency (factor): the ratio of usable energy output to total energy input outputt ηefficiency = inputt Watch out what is used, i.e. energy or power, one hour or a time period Carnot efficiency: highest theoretic possible efficiency of an ideal Carnot cycle η Carnot Thigh Tlow T = = 1 T T high T low is normally limited by the ambient temperature (>> 0 K) low high 8
9 Energy Conversion Efficiency Type of transformation Power production - Lignite fueled - Hard coal - Gas turbines - CCGT - Run-of-river - Wind mills - Solar cells Efficiency factor Steam generation Warm water generation using solar panels Electric heating Otto (gasoline) engine Diesel engine Electric Engine Bulb Fluorescent lamp Fuel cell
10 Agenda Basic Definitions Units and Conversion Factors Energy Balances Global Energy Picture Exercise 10
11 Units ( Barrier to Entry for Non-Energy-Economists) Einheit kj SKE (kg) RÖE (kg) kcal kwh BTU Therm 1 KJ SKE (kg) 1 RÖE (kg) kcal kwh BTU Therm barrel = 159 l 1 l oil 0,8 1,0 kg gas 1 m 3 0,8 kg 1 m 3 35 MJ 11
12 Multiples of 10 Power Name Short sign Power Name Short sign 10 1 deca da 10-1 deci d 10 2 hecto h 10-2 centi c 10 3 kilo k 10-3 milli m 10 6 mega M 10-6 micro μ 10 9 giga G 10-9 nano n tera T pico p peta P femto f exa E atto a 12
13 Millions, Billions, and Trillions Sign Power American English British English German Kilo (k) 10 3 Thousand Thousand Tausend Mega (M) 10 6 Million Million Million Giga (G) 10 9 Billion 1,000 million Milliarde Tera (T) Trillion Billion Billion Peta (P) ,000 trillion 1,000 billion Billiarde Exa (E) Quintillion Trillion Trillion 13
14 Specific Energy Content of Different Fossil Fuels and Products Energy source Unit Heating value (kj) Hard coal (average) Lignite (average) kg kg 30,129 9,097 SKE [1] factor ROE [2] factor Peat Firewood kg kg 14,235 14, Coking gas Natural gas Sewage gas Refinery gas m³ m³ m³ kg 15,994 31,736 15,994 46, Crude oil Gasoline Diesel Light fuel oil Heavy fuel oil kg kg kg kg kg 42,733 43,543 42,960 42,733 40, [1] Hard coal equivalent with 1 kg of hard coal with an energy content of 29,308 kj (=7,000 kcal/kg). [2] Crude oil equivalent with 1 kg of crude oil with an energy content of 41,868 kj (=10,000 kcal/kg). Source: Jahrbuch der Energiewirtschaft 14
15 Agenda Basic Definitions Units and Conversion Factors Energy Balances Global Energy Picture Exercise 15
16 Global Energy Flow Chart, 2012 See for an updated dynamic version Source: IEA 16
17 Global Energy Flow From Source to Sink Source: Cullen and Allwood
18 Energy Flow Switzerland 2016 (in TJ) Source: BFE 18
19 Energy Balance Germany 2015 (in Mio t SKE) Source: AG Energiebilanzen 19
20 Agenda Basic Definitions Units and Conversion Factors Energy Balances Global Energy Picture Exercise 20
21 World Primary Energy Consumption (a review) Using fossil fuels for energy demand is a modern invention 21
22 World Energy Demand Source: BP Review 22
23 Regional Patterns Source: BP Review 23
24 Regional Distribution Important interplay between different regions/countries: Production vs Consumption Trade High vs. Low demand per capita High vs. Low absolute demand Source: IEA, BP Review 24
25 Fuel Patterns Source: BP Review 25
26 Fuel Development Source: BP Review 26
27 Running out of Fuel? Source: BP Review 27
28 and Switzerland? Source: BFE 28
29 Germany Common development for industrialized countries: Rather stable high demand level Coal mostly in electricity sector Increase of gas usage Source: IEA 29
30 Agenda Basic Definitions Units and Conversion Factors Energy Balances Global Energy Picture Exercise 30
31 1kWh 1kWh??? What one can do with 1 kwh and 1 ton of water: 1Nm = 1J = 1Ws 1kWh = 1 * 10 3 * 3600Ws = 3,6 * 10 6 Ws Lifting Driving Heating (1) E = m * g * h h = E 3,6*10 = m * g 1000*9,81 6 = 367m (2) E = v = 2 m * v 2 2 * E m = 3 10 km = 84,9 * 3,6 *10 2 *3,6 * = 305km/ h = 84,9m / s (3) E = m * cp * t E 3,6 *10 t = = m * c 1000* kcal = 4,19kJ 6 = 0,86K 1 ton can be lifted by 367 m. 1 ton can be accelerated to 305 km/h! 1 ton water can ca heated by 0,86 Kelvin! 31
32 Oil price shock? Or: What if all liquids would be sold in barrels Price of Oil: around??? $ per barrel 1 barrel = 159 l Price of milk in a supermarket? drinking in the Mensa? beer in a bar? good wine? fuel at a station? Chanel N 5? 32
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