Iranian Energy Economics

Evaluation the Economic, Welfare and Environmental Impact of Feed-in Tariff Policy for Renewable Energy Development in the Iranian Economy: a Recursive Dynamic Hybrid CGE Model

Document Type : Research Paper

Authors

sharareh majdzadeh tabatabaei 1
Ebrahim Hadian 2

1 Assistant Professor of Economics, Islamic Azad University, Marvdasht Branch, Marvdasht, Irany

2 Associate Professor of Economics, Shiraz university, Shiraz

https://doi.org/10.22054/jiee.2018.8976
Abstract
The main objectives of the present study were evaluation of the economic, welfare and environmental effects of applying Feed-in tariff policy in the Iranian Economy. In this regard, the E3 type of hybrid recursive dynamic model was studied. Therefore, the model is used for the period of 1390-1404, to evaluate the effects of FIT policy under two different scenarios, similar and different guaranteed purchase price, in order to achieve 10% share for renewable energy in total electricity production in 1404. The result shows that in in both cases, pollution and its social cost reduction has been mainly caused because of the reduction in the sectorial GDP. Therefore, a definitive statement about the selection of a proper policy depends on the environmental purposes of the country.

Keywords

Policy
Renewable Energy
Feed-in Tariff
DCGE
Hybrid
Iranian Energy Economics
Volume 6, Issue 24 - Serial Number 4
winter
Autumn 2017
Pages 151-186

  • Receive Date 10 February 2018
  • Accept Date 11 September 2018
  • First Publish Date 11 September 2018
  • Publish Date 23 September 2017

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