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context of analysing short-term economic effects, where production technologies cannot be
replaced instantaneously and thus fixed coefficients allow the evaluation of short-run effects of
supply shocks, in the long-term this creates contradictions as one can assume significant effects
of substitutions in supply and technological development in general. This is also the case of
replacing fossil fuels with RES in the horizon of 2050. Wind and solar power generation
technologies will very likely evolve over this period, and assuming unchanged production
coefficients would miss an important aspect in the representation of the post-carbon
transformation.
The construction of an input-output model capturing technological change requires focusing on
technical coefficients for intermediate inputs. A technical coefficient is a ratio of input to a given
sector to its output, measured in monetary terms (Miller and Blair 2009). Determinants of the
technical coefficients cover technological progress (Leontief 1983), but also infrastructure
policies, substitution due to relative price changes, as well as industrial structure (Peneder
2003). To get an idea about the determinants, we ask the experts about expected developments
of inputs necessary for construction, operation and maintenance of the wind and solar energy
producing devices up to 2050. We look for answers to questions regarding estimations of:
• Lifespan of renewable (solar and wind) energy producing devices;
• Share between capital costs (costs necessary for construction) and variable costs (costs
of operation and maintenance) and its expected developments;
• Developments in shares of inputs;
• Technologies and procedures (institutional changes) that should be applied to lower
greenhouse gas (GHG) emissions;
• Likelihood of the proposed changes.
Once technical coefficients and their changes over time are defined, it is possible to build future
input-output tables, showing the interacting elements (input-output relations among sectors and
associated socioeconomic and environmental accounts) required for a structural representation
of the post-carbon economy. Translating the answers into the input-output logic is done via
inserting new sub-sectors in the input-output table – wind and solar energy based production of
electricity as part of an aggregate Electricity, gas, steam and air conditioning supply sector. We
split the sector Electricity, gas, steam and air conditioning supply of the WIOD structure into the
following components:
• Production of electricity by wind
• Production of electricity by solar photovoltaic
• Production of electricity by fossil fuels
• Production of electricity by other sources; Transmission and distribution of electricity;
Manufacture of gas, distribution of gaseous fuels through mains; Steam and Air-
conditioning supply
The sectoral disaggregation is based on input cost shares (i.e. proportions between inputs
necessary to construct, operate and maintain wind and solar energy sources, measured in
monetary terms, and coming to the sector from other economic sectors) of wind and solar
143
Critical Issues in Science, Technology and Society Studies
Conference Proceedings of the 17th STS Conference Graz 2018
- Title
- Critical Issues in Science, Technology and Society Studies
- Subtitle
- Conference Proceedings of the 17th STS Conference Graz 2018
- Editor
- Technische Universität Graz
- Publisher
- Verlag der Technischen Universität Graz
- Location
- Graz
- Date
- 2018
- Language
- English
- License
- CC BY-NC-ND 4.0
- ISBN
- 978-3-85125-625-3
- Size
- 21.6 x 27.9 cm
- Pages
- 214
- Keywords
- Kritik, TU, Graz, TU Graz, Technologie, Wissenschaft
- Categories
- International
- Tagungsbände
- Technik