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Energy planning has a number of different meanings, but the most common meaning of the term is the process of developing long-range policies to help guide the future of a local, national, regional or even the global energy system. Energy planning is often conducted within governmental organizations but may also be carried out by large energy companies such as
electric utilities An electric utility is a company in the electric power industry (often a public utility) that engages in electricity generation and distribution of electricity for sale generally in a regulated market. The electrical utility industry is a major pr ...
or oil and gas producers. These oil and gas producers release
greenhouse gas emissions Greenhouse gas emissions from human activities strengthen the greenhouse effect, contributing to climate change. Most is carbon dioxide from burning fossil fuels: coal, oil, and natural gas. The largest emitters include coal in China and lar ...
. Energy planning may be carried out with input from different stakeholders drawn from government agencies, local utilities, academia and other
interest group Advocacy groups, also known as interest groups, special interest groups, lobbying groups or pressure groups use various forms of advocacy in order to influence public opinion and ultimately policy. They play an important role in the developm ...
s. Since 1973, the art and science of energy modeling, on which energy planning is based, has developed significantly. Energy models can be classified into three groups: descriptive, normative, and futuristic forecasting. Energy planning is often conducted using integrated approaches that consider both the provision of energy supplies and the role of
energy efficiency Energy efficiency may refer to: * Energy efficiency (physics), the ratio between the useful output and input of an energy conversion process ** Electrical efficiency, useful power output per electrical power consumed ** Mechanical efficiency, a ra ...
in reducing demands ( Integrated Resource Planning). Energy planning should always reflect the outcomes of population growth and economic development. There are also several alternative energy solutions which avoid the release of greenhouse gasses, like electrifying current machines and using nuclear energy.


Planning and market concepts

Energy planning has traditionally played a strong role in setting the framework for regulations in the energy sector (for example, influencing what type of
power plants A power station, also referred to as a power plant and sometimes generating station or generating plant, is an industrial facility for the generation of electric power. Power stations are generally connected to an electrical grid. Many pow ...
might be built or what prices were charged for fuels). But in the past two decades many countries have deregulated their energy systems so that the role of energy planning has been reduced, and decisions have increasingly been left to the market. This has arguably led to increased competition in the energy sector, although there is little evidence that this has translated into lower energy prices for consumers. Indeed, in some cases, deregulation has led to significant concentrations of "market power" with large very profitable companies having a large influence as price setters.


Integrated resource planning

Approaches to energy planning depends on the planning agent and the scope of the exercise. Several catch-phrases are associated with energy planning. Basic to all is resource planning, i.e. a view of the possible sources of energy in the future. A forking in methods is whether the planner considers the possibility of influencing the consumption (demand) for energy. The 1970s energy crisis ended a period of relatively stable energy prices and stable supply-demand relation. Concepts of
Demand Side Management Energy demand management, also known as demand-side management (DSM) or demand-side response (DSR), is the modification of consumer demand for energy through various methods such as financial incentives and behavioral change through education. Us ...
, Least Cost Planning and Integrated Resource Planning (IRP) emerged with new emphasis on the need to reduce energy demand by new technologies or simple energy saving.


Sustainable energy planning

Further global integration of energy supply systems and local and global environmental limits amplifies the scope of planning both in subject and time perspective. Sustainable Energy Planning should consider
environmental impacts Environmental issues are effects of human activity on the biophysical environment, most often of which are harmful effects that cause environmental degradation. Environmental protection is the practice of protecting the natural environment on t ...
of energy consumption and production, particularly in light of the threat of
global climate change In common usage, climate change describes global warming—the ongoing increase in global average temperature—and its effects on Earth's climate system. Climate change in a broader sense also includes previous long-term changes to E ...
, which is caused largely by emissions of
greenhouse gas A greenhouse gas (GHG or GhG) is a gas that Absorption (electromagnetic radiation), absorbs and Emission (electromagnetic radiation), emits radiant energy within the thermal infrared range, causing the greenhouse effect. The primary greenhouse ...
es from the world's energy systems, which is a long-term process. The 2022 renewable energy industry outlook shows supportive policies from an administration focused on combatting climate change in 2022's political landscape aid an expected growth of the renewable energy industry Biden has argued in favor of developing the clean energy industry in the US and in the world to vigorously address climate change. President Biden expressed his intention to move away from the oil industry. 2022 administration calls for, "Plan for Climate Change and Environmental Justice", which aims to reach 100% carbon-free power generation by 2035 and net-zero emissions by 2050 in the USA. Many
OECD The Organisation for Economic Co-operation and Development (OECD; french: Organisation de coopération et de développement économiques, ''OCDE'') is an intergovernmental organisation with 38 member countries, founded in 1961 to stimulate e ...
countries and some U.S. states are now moving to more closely regulate their energy systems. For example, many countries and states have been adopting targets for emissions of CO2 and other greenhouse gases. In light of these developments, broad scope integrated energy planning could become increasingly important Sustainable Energy Planning takes a more holistic approach to the problem of planning for future energy needs. It is based on a structured decision making process based on six key steps, namely: 1. Exploration of the context of the current and future situation 2. Formulation of particular problems and opportunities which need to be addressed as part of the Sustainable Energy Planning process. This could include such issues as "Peak Oil" or "Economic Recession/Depression", as well as the development of energy demand technologies. 3. Create a range of models to predict the likely impact of different scenarios. This traditionally would consist of mathematical modelling but is evolving to include " Soft System Methodologies" such as focus groups, peer ethnographic research, "what if" logical scenarios etc. 4. Based on the output from a wide range of modelling exercises and literature reviews, open forum discussion etc., the results are analysed and structured in an easily interpreted format. 5. The results are then interpreted to determine the scope, scale and likely implementation methodologies which would be required to ensure successful implementation. 6. This stage is a quality assurance process which actively interrogates each stage of the Sustainable Energy Planning process and checks if it has been carried out rigorously, without any bias and that it furthers the aims of sustainable development and does not act against them. 7. The last stage of the process is to take action. This may consist of the development, publication and implementation of a range of policies, regulations, procedures or tasks which together will help to achieve the goals of the Sustainable Energy Plan. Designing for implementation is often carried out using "Logical Framework Analysis" which interrogates a proposed project and checks that it is completely logical, that it has no fatal errors and that appropriate contingency arrangements have been put in place to ensure that the complete project will not fail if a particular strand of the project fails. Sustainable energy planning is particularly appropriate for communities who want to develop their own energy security, while employing best available practice in their planning processes.


Energy planning tools (software)

Energy planning can be conducted on different software platforms and over various timespans and with different qualities of resolution (i.e very short divisions of time/space or very large divisions). There are multiple platforms available for all sorts of energy planning analysis, with focuses on different areas, and significant growth in terms of modeling software or platforms available in recent years. Energy planning tools can be identified as commercial, open source, educational, free, and as used by governments (often custom tools).


Potential energy solutions

Electrifying One potential energy option is the move to electrify all machines that currently use fossil fuel or natural gas for their energy source. There are already electric alternatives available such as electric cars, electric cooktops, and electric heat pumps, now these products need to be widely implemented to electrify and decarbonize our energy use. To reduce our dependence on fossil fuels and transfer to electric machines, it requires that all electricity be generated by renewable sources. As of 2020 60.3% of all energy generated in the United States came from fossil fuels, 19.7% came from Nuclear energy, and 19.8% came from Renewables. The United States is still heavily relying on fossil fuels as a source of energy. For the electrification of our machines to help the efforts to decarbonize, more renewable energy sources, such as wind and solar would have to be built. Another potential problem that comes with the use of renewable energy is the transmission of that energy. A study conducted by Princeton University found that the locations with the highest renewable potential are in the Midwest, however, the places with the highest energy demand are coastal cities. To effectively make use of the electricity coming from these renewable sources, the U.S electric grid would have to be nationalized, and more high voltage transmission lines would have to be built. The total amount of electricity that the grid would have to be able to accommodate has to increase. If more electric cars were being driven there would be a decline in gasoline demand and an increased demand for electricity, this increased demand for electricity would require our electric grids to be able to transport more energy at any given moment than is currently viable. Nuclear Energy Nuclear energy is considered to be a clean energy source. Nuclear energy's only associated carbon emission takes place during the process of mining for uranium, but the process of obtaining energy from uranium does not emit any carbon. A primary concern in using nuclear energy stems from the issue of what to do with radioactive waste. The highest level source of radioactive waste comes from the spent reactor fuel, the radioactive fuel decreases over time through a process called radioactive decay. The time it takes for the radioactive waste to decay depends on the length of the substance's
half-life Half-life (symbol ) is the time required for a quantity (of substance) to reduce to half of its initial value. The term is commonly used in nuclear physics to describe how quickly unstable atoms undergo radioactive decay or how long stable ato ...
. Currently, the United States does not have a permanent disposal facility for high-level nuclear waste. Public support behind increasing nuclear energy production is an important consideration when planning for sustainable energy. Nuclear energy production has a complicated past. Multiple nuclear power plants having
accidents An accident is an unintended, normally unwanted event that was not directly caused by humans. The term ''accident'' implies that nobody should be blamed, but the event may have been caused by unrecognized or unaddressed risks. Most researcher ...
or meltdowns has tainted the reputation of nuclear energy for many. A considerable section of the public is concerned about the health and environmental impacts of a nuclear power plant melting down, believing that the risk is not worth the reward. Though there is a portion of the population that believes expanding nuclear energy is necessary and that the threats of climate change far outweigh the possibility of a meltdown, especially considering the advancements in technology that have been made within recent decades.  


Global greenhouse gas emissions and energy production

The majority of global manmade greenhouse gas emissions is derived from the energy sector, contributing to 72.0% of global emissions. The majority of that energy goes toward producing electricity and heat (31.0%), the next largest contributor is agriculture (11%), followed by transportation (15%), forestry (6%) and manufacturing (12%). There are multiple different molecular compounds that fall under the classification of green house gases including,
carbon dioxide Carbon dioxide (chemical formula ) is a chemical compound made up of molecules that each have one carbon atom covalently double bonded to two oxygen atoms. It is found in the gas state at room temperature. In the air, carbon dioxide is transpar ...
,
methane Methane ( , ) is a chemical compound with the chemical formula (one carbon atom bonded to four hydrogen atoms). It is a group-14 hydride, the simplest alkane, and the main constituent of natural gas. The relative abundance of methane on Eart ...
, and nitrous oxide. Carbon dioxide is the largest emitted greenhouse gas, making up 76% of global emission. Methane is the second largest emitted greenhouse gas at 16%, methane is primarily emitted from the agriculture industry. Lastly nitrous oxide makes up 6% of global emitted greenhouse gases, agriculture and industry are the largest emitters of nitrous oxide. The challenges in the energy sector include the reliance on coal. Coal production remains key to the energy mix and global imports rely on coal to meet the growing demand for gas Energy planning evaluates the current energy situation and estimates future changes based on industrialization patterns and resource availability. Many of the future changes and solutions depend on the global effort to move away from coal and begin making energy efficient technology and continue to electrify the world.


See also

Wind energy software Specialized wind energy software applications aid in the development and operation of wind farms. Pre-feasibility and feasibility analysis The RETScreen software wind power model is designed to evaluate energy production and savings, costs, emiss ...
*
Capacity factor The net capacity factor is the unitless ratio of actual electrical energy output over a given period of time to the theoretical maximum electrical energy output over that period. The theoretical maximum energy output of a given installation is de ...
*
Wind power forecasting A wind power forecast corresponds to an estimate of the expected production of one or more wind turbines (referred to as a wind farm) in the near future, up to a year. Forecast are usually expressed in terms of the available power of the wind farm ...
* Variable renewable energy#Intermittent energy source *
Wind resource assessment Wind resource assessment is the process by which wind power developers estimate the future energy production of a wind farm. Accurate wind resource assessments are crucial to the successful development of wind farms. History Modern wind resource ...
*
Virtual power plant A virtual power plant (VPP) is a Cloud computing, cloud-based distributed power plant that aggregates the capacities of heterogeneous distributed energy resources (DER) for the purposes of enhancing power generation, trading or selling power on the ...
* Electricity#Generation and transmission *
Transmission system operator File:Electricity grid simple- North America.svg, 380px, Simplified diagram of AC electricity grid from generation stations to consumers rect 2 243 235 438 Power station rect 276 317 412 556 Transformer rect 412 121 781 400 Electric power transmis ...
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Base load The base load (also baseload) is the minimum level of demand on an electrical grid over a span of time, for example, one week. This demand can be met by unvarying power plants, dispatchable generation, or by a collection of smaller intermittent en ...
*
Merit order The merit order is a way of ranking available sources of energy, especially electrical generation, based on ascending order of price (which may reflect the order of their short-run marginal costs of production) and sometimes pollution, together w ...
*
Load factor (electrical) In electrical engineering the load factor is defined as the average load divided by the peak load in a specified time period. It is a measure of the utilization rate, or efficiency of electrical energy usage; a high load factor indicates that loa ...
*
Load following power plant A load-following power plant, regarded as producing mid-merit or mid-priced electricity, is a power plant that adjusts its power output as demand for electricity fluctuates throughout the day. Load-following plants are typically in between base lo ...
*
Peak demand Peak demand on an electrical grid is simply the highest electrical power demand that has occurred over a specified time period (Gönen 2008). Peak demand is typically characterized as annual, daily or seasonal and has the unit of power. Peak dem ...


References


External links


An online community for energy planners working on energy for sustainable development.

A masters education on Energy planning
at
Aalborg University Aalborg University (AAU) is a Danish public university with campuses in Aalborg, Esbjerg, and Copenhagen founded in 1974. The university awards bachelor's degrees, master's degrees, and PhD degrees in a wide variety of subjects within humanities ...
in Denmark. {{DEFAULTSORT:Energy Planning Energy development Energy policy Climate change policy