Supply

Supply Sector Module

The supply sector module in MUSE models the extraction of primary energy resources, such as coal, lignite, oil and associated gas, non-associated gas, uranium, algae, biomass and agricultural/animal/industrial wastes. The extraction of primary energy supply is characterised by profiles of the extraction costs associated to the primary energy disaggregated by type, region, and extraction technology [1]. These profiles (supply curves) describe the cumulative value of a selected reserve available at a cost equivalent to its breakeven price.

The supply curves of non-associated gas are modelled with the Dynamic Upstream Gas Model (DYNAAMO) [2], a global, bottom-up model of natural gas supply which creates a range of dynamic outputs by simulating investment and operating decisions in the upstream gas industry triggered in response to investor expectations of future gas prices.

Non-biomass renewables (wind and solar) are available at nil cost, intermittent renewables (such as solar and wind) have limits on temporal availability in each region, using capacity factors. Global onshore wind potentials were determined integrating Geospatial Information System data [3].

References

[1] IIASA. Global Energy Assessment, https://iiasa.ac.at/web/home/research/Flagship-Projects/Global-Energy-Assessment/Home-GEA.en.html.

[2] Daniel J.G. Crow, Sara Giarola, Adam D. Hawkes. A dynamic model of global natural gas supply. Applied Energy, Volume 218, 2018, Pages 452-469, https://doi.org/10.1016/j.apenergy.2018.02.182.

[3] Jonathan Bosch, Iain Staffell, Adam D. Hawkes. Temporally-explicit and spatially-resolved global onshore wind energy potentials, Energy, Volume 131, 2017, Pages 207-217, https://doi.org/10.1016/j.energy.2017.05.052.