| Title |
Economic Analysis of Korea-China Interconnection Power Line Considering Both of Environmental Cost and the Differences of Power Transaction Cost |
| Authors |
정희원(Hui-Won Jeong) ; 차준민(Junmin Cha) ; 이규섭(Gyu-Sub Lee) |
| DOI |
https://doi.org/10.5370/KIEE.2020.69.10.1426 |
| Keywords |
Economic Analysis; Power Line Interconnection; Net Present Value; Internal Rate of Return; Benefit-Cost Ratio |
| Abstract |
The Northeast Asia Super Grid, a large-scale power line interconnection project in Northeast Asia, is being reviewed in the second half of 2017. As a result, there is increasing interest in research on the feasibility of interconnection between countries. Prior to the interconnection business, reviewing the technical and economical analysis is an essential process. This paper is based on the review of technical feasibility in 2016 on the interconnected between Korea-China to submarine cable. There is based on the result of the technical feasibility of the shortest distance (380 km) of submarine cable among several Korea-China interconnection sites of previous studies. The Interconnection between Korea and China is configured by HVDC ±500kV submarine cable. The following three variables are considered to construct the scenario and analyze the economic feasibility : reduction effect, power price uncertainty of both countries, economic comparison with additional power plants. For the analysis, we use the four indices NPV (Net Present Value), IRR (Internal Rate of Return), B/C ratio(Benefit-Cost ratio) and CRP(Cost Recovery Period). The economical analysis of these scenarios are shown in this study. |