Optimization Days 2024

HEC Montréal, Québec, Canada, 6 — 8 May 2024

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TA9 - Integrated Assessment Modeling I

May 7, 2024 10:30 AM – 12:10 PM

Location: Vilnius (green)

Chaired by Olivier Bahn

4 Presentations

  • 10:30 AM - 10:55 AM

    An Overview of Hydrogen Modeling in Integrated Assessment Models

    • Olivier Bahn, presenter, HEC Montréal
    • Kamyar Amirmoeini, HEC Montreal
    • Sara Ghaboulian Zare, Université de Montréal
    • Normand Mousseau, Université de Montréal
    • Najmeh Neshat, Meybod University, Iran
    • Martin Trépanier, Polytechnique Montréal, CIRRELT

    Hydrogen is emerging as a key element in the global push towards deep decarbonization, highlighting its growing importance for the energy sector. This trend is further evidenced by the increased number of countries adopting hydrogen strategies (41 by 2022).
    To assess the decarbonization potential of a hydrogen economy, one may use different modeling approaches. At a global (world) level, one may use an integrated assessment approach, an interdisciplinary approach that combines socio-economic elements with geophysical and environmental elements. Integrated assessment models (IAM) are mathematical tools to conduct an integrated assessment. This presentation proposes a survey of 12 distinct IAM families derived from 50 different studies, with the aim of evaluating the potential of a hydrogen economy under various scenarios, as outlined in the Sixth Assessment Report (AR6) of the United Nations Intergovernmental Panel on Climate Change (IPCC, Working Group III).

  • 10:55 AM - 11:20 AM

    Sustainable Energy Transitions: Addressing Variable Renewable Energy Challenges with the AD-MERGE Integrated Assessment Model

    • Kamyar Amirmoeini, presenter, HEC Montreal
    • Olivier Bahn, HEC Montréal
    • Kelly de Bruin, Umea University
    • Kouchaki Penchah Hamed, HEC Montreal
    • Pierre-Olivier Pineau, HEC Montréal

    In response to rising climate change challenges, the evolution of Integrated Assessment Models (IAMs) has been essential for a sustainable future. IAMs integrate environmental, technological, and socio-economic insights, to provide insight into sustainable planning. The recent significant cost reductions in Variable Renewable Energy (VRE) technologies have enhanced their adoption. However, VREs introduce complexities in modeling concerning system flexibility and grid stability. This study aims to assess the interplay between technological advances, grid integration, and the market dynamics of VREs—elements fundamental to the decarbonization of the power sector. To achieve this aim, we incorporate a wider spectrum of power generation technologies into the AD-MERGE IAM, including updated options for hydro, fossil fuels, and nuclear, with a special focus on refining the integration and dynamics of VREs. Additionally, more energy storage solutions are introduced to enhance the model’s technological representation. The improved storage options can enable the mitigation of the variability of VREs, ensuring a more reliable and stable energy supply. By evaluating the impacts of these advancements within the Shared Socioeconomic Pathway 2 scenario, our research addresses VRE integration challenges, seeks to overcome intermittency, and supports decarbonization targets.

  • 11:20 AM - 11:45 AM

    Robust Pathways to H2 Adoption: Leveraging ETEM-YUL and ETEM-CAN Frameworks

    • Sara Ghaboulian Zare, presenter, Université de Montréal
    • Babonneau Frederic, Center of Excellence in Supply Chain Innovation and Transportation, KEDGE Business School, Bordeaux, France
    • Olivier Bahn, HEC Montréal
    • Alain Haurie, GERAD and ORDECSYS
    • Mousseau Normand, Department of Physics, Courtois Institute, Chair in Transportation Transformatio, Université de Montréal
    • Martin Trépanier, Polytechnique Montréal, CIRRELT

    To meet global climate objectives, it is essential to reduce reliance on fossil fuels. Hydrogen (H2) has emerged as a crucial component in this shift, supported by the federal and Québec governments’ ambitious goals for emissions reduction and carbon neutrality. This study investigates the integration of H2 within the Greater Montréal (GM) region, aiming to achieve significant greenhouse gas (GHG) emissions reductions and aid the transition to carbon neutrality by 2050. Focusing on hard-to-abate sectors, the research enhances the Energy–Technology–Environment Model (ETEM) for the GM region (ETEM-MTL) to assess hydrogen contribution to decarbonization efforts, particularly in mobility and industry. The work develops optimized H2 pathways to examine sector synergies and evaluate GHG emissions across hydrogen supply chain.

  • 11:45 AM - 12:10 PM

    Transport modeling: from implementation to data analysis.

    • Frédérik Lavictoire, presenter, Université de Montréal
    • Normand Mousseau, Université de Montréal
    • Olivier Bahn, HEC Montréal

    In order to better forecast and evaluate the greenhouse gas reduction policies, the implementation of a transport module into the integrated assessment model called MERGE is necessary. The framework of this module is inspired by the work of (Dargay and Gately 1999), which is also the base for the IEA/SMP model (Fulton and Eads 2004) and the WITCH model (Bosetti et al. 2006). This allows for an analysis of transport-related parameters such as the number of vehicles, the composition of the fleet, the service demand and the operation and maintenance costs. Furthermore, in order to facilitate the data analysis process and navigate such complex models based on the GAMS language, a Python tool was developed. This tool serves to enhance the understanding and analysis of GAMS Data eXchange (GDX) files by providing a clear visualization of parameters, variables, sets, and equations in the data frame format. It offers researchers an efficient and systematic mean to compare results across various models and scenarios through a semi-automated graph generation.

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