Pareto-optimal Solutions for Trade-off Analysis of CO2 vs. Cost based on DP Unit Commitment

摘要

In order to solve the climate change problem, theEuropean Union (EU) introduced the Emission Trading Scheme(ETS), which adopts `cap-and-trade' market mechanism for CO2emission trading. In this scheme, each industrial installation andcompanies can buy and sell their allowances. Additionally, thecarbon tax was introduced in mostly Nordic countries such asFinland. Under this system, the tax was imposed based on theamount of carbon contained in fuel, or the amount of CO2emission. Influenced by institutional changes, the development ofdecision-making methods concerning both the emission tradingand the ecological taxation are becoming increasingly importantin the electric power sector. For this reason, we focus ourattention on the trade-off analysis between CO2 and cost for theunit commitment problem. When the combination of generatorsand the fuel prices are decided, the marginal cost of CO2 utilityfunction can be uniquely obtained. In this paper, we present anapproach of trade-off analysis between CO2 emission and costfor unit commitment problem, which is based on the de-commitment procedure of unit commitment to obtain Pareto-optimal solutions of cost versus CO2 emission. The method istested on the 10-unit 24-hour model.