Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach

Solar photovoltaic has shown a significant rise in terms of worldwide installation. One of the main reason is due to the introduction of the FiT (feed-in tariff) policy by the governments. This paper aims to evaluate FiT policy in promoting solar PV (photovoltaic) investments in Malaysia by using a...

Full description

Bibliographic Details
Main Authors:	Salman, Ahmad, Razman, Mat Tahar, Firdaus, Muhammad-Sukki, Abu Bakar, Munir, Ruzairi, Abdul Rahim
Format:	Article
Language:	English English
Published:	Elsevier 2015
Subjects:	HD28 Management. Industrial Management
Online Access:	http://umpir.ump.edu.my/id/eprint/9018/ http://umpir.ump.edu.my/id/eprint/9018/ http://umpir.ump.edu.my/id/eprint/9018/ http://umpir.ump.edu.my/id/eprint/9018/1/Role%20of%20feed-in%20tariff%20policy%20in%20promoting%20solar%20photovoltaic%20investments%20in%20Malaysia-%20A%20system%20dynamics%20approach.pdf http://umpir.ump.edu.my/id/eprint/9018/7/Role%20of%20Feed-In%20Tariff%20Policy%20In%20Promoting%20Solar%20Photovoltaic%20Investments%20In%20Malaysia-%20A%20System%20Dynamics%20Approach.pdf

id	ump-9018
recordtype	eprints
spelling	ump-90182016-04-20T05:45:22Z http://umpir.ump.edu.my/id/eprint/9018/ Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach Salman, Ahmad Razman, Mat Tahar Firdaus, Muhammad-Sukki Abu Bakar, Munir Ruzairi, Abdul Rahim HD28 Management. Industrial Management Solar photovoltaic has shown a significant rise in terms of worldwide installation. One of the main reason is due to the introduction of the FiT (feed-in tariff) policy by the governments. This paper aims to evaluate FiT policy in promoting solar PV (photovoltaic) investments in Malaysia by using a dynamic systems approach. The assessment model captures the complexities arising from the interaction of FiT rate dynamics, construction delays, and investors’ and technology learning dynamics in an integrated framework. The model provides total operational PV capacity, amount of finances needed to support the policy, and the cost of environmental savings, as output. Computer simulations, based on twelve scenarios, were used as a means to study the model behaviour. For the most favourable scenario, a total capacity of about 16 GW PV by 2050 can be expected, while for the least favourable scenario, expectations would be only about 10 GW. On the expenditure side, the most favourable scenario can cost up to MYR (Malaysia Ringgit) 15 billion, whereas, for the least favourable ones, the cost can be as low as MYR2 billion. The maximum cost of CO2 abatement can vary from MYR 0.05 per kg-CO2 to the lowest value of MYR 0.02 per kg-CO2. Elsevier 2015 Article PeerReviewed application/pdf en http://umpir.ump.edu.my/id/eprint/9018/1/Role%20of%20feed-in%20tariff%20policy%20in%20promoting%20solar%20photovoltaic%20investments%20in%20Malaysia-%20A%20system%20dynamics%20approach.pdf application/pdf en http://umpir.ump.edu.my/id/eprint/9018/7/Role%20of%20Feed-In%20Tariff%20Policy%20In%20Promoting%20Solar%20Photovoltaic%20Investments%20In%20Malaysia-%20A%20System%20Dynamics%20Approach.pdf Salman, Ahmad and Razman, Mat Tahar and Firdaus, Muhammad-Sukki and Abu Bakar, Munir and Ruzairi, Abdul Rahim (2015) Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach. Energy, 84. pp. 808-815. ISSN 0360-5442 (Print), 1873-6785 (Online) http://dx.doi.org/10.1016/j.energy.2015.03.047 doi: 10.1016/j.energy.2015.03.047
repository_type	Digital Repository
institution_category	Local University
institution	Universiti Malaysia Pahang
building	UMP Institutional Repository
collection	Online Access
language	English English
topic	HD28 Management. Industrial Management
spellingShingle	HD28 Management. Industrial Management Salman, Ahmad Razman, Mat Tahar Firdaus, Muhammad-Sukki Abu Bakar, Munir Ruzairi, Abdul Rahim Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach
description	Solar photovoltaic has shown a significant rise in terms of worldwide installation. One of the main reason is due to the introduction of the FiT (feed-in tariff) policy by the governments. This paper aims to evaluate FiT policy in promoting solar PV (photovoltaic) investments in Malaysia by using a dynamic systems approach. The assessment model captures the complexities arising from the interaction of FiT rate dynamics, construction delays, and investors’ and technology learning dynamics in an integrated framework. The model provides total operational PV capacity, amount of finances needed to support the policy, and the cost of environmental savings, as output. Computer simulations, based on twelve scenarios, were used as a means to study the model behaviour. For the most favourable scenario, a total capacity of about 16 GW PV by 2050 can be expected, while for the least favourable scenario, expectations would be only about 10 GW. On the expenditure side, the most favourable scenario can cost up to MYR (Malaysia Ringgit) 15 billion, whereas, for the least favourable ones, the cost can be as low as MYR2 billion. The maximum cost of CO2 abatement can vary from MYR 0.05 per kg-CO2 to the lowest value of MYR 0.02 per kg-CO2.
format	Article
author	Salman, Ahmad Razman, Mat Tahar Firdaus, Muhammad-Sukki Abu Bakar, Munir Ruzairi, Abdul Rahim
author_facet	Salman, Ahmad Razman, Mat Tahar Firdaus, Muhammad-Sukki Abu Bakar, Munir Ruzairi, Abdul Rahim
author_sort	Salman, Ahmad
title	Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach
title_short	Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach
title_full	Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach
title_fullStr	Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach
title_full_unstemmed	Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach
title_sort	role of feed-in tariff policy in promoting solar photovoltaic investments in malaysia: a system dynamics approach
publisher	Elsevier
publishDate	2015
url	http://umpir.ump.edu.my/id/eprint/9018/ http://umpir.ump.edu.my/id/eprint/9018/ http://umpir.ump.edu.my/id/eprint/9018/ http://umpir.ump.edu.my/id/eprint/9018/1/Role%20of%20feed-in%20tariff%20policy%20in%20promoting%20solar%20photovoltaic%20investments%20in%20Malaysia-%20A%20system%20dynamics%20approach.pdf http://umpir.ump.edu.my/id/eprint/9018/7/Role%20of%20Feed-In%20Tariff%20Policy%20In%20Promoting%20Solar%20Photovoltaic%20Investments%20In%20Malaysia-%20A%20System%20Dynamics%20Approach.pdf
first_indexed	2023-09-18T22:07:07Z
last_indexed	2023-09-18T22:07:07Z
_version_	1777414782718050304

Role of Feed-in Tariff Policy in Promoting Solar Photovoltaic Investments in Malaysia: A System Dynamics Approach

Similar Items