Contribution type: Lightning talk and Poster
An agent-based approach on investment modelling guided by profitability and common well-being indicators
Presenter: Agustín Cortés Hähnle
Description:
Current energy system modeling primarily emphasizes on aspects such as cost-efficiency, emissions reduction and profitability, often overlooking public interests like land use, job creation, and acceptance. With this work, we contribute to close this gap, thereby focusing on the actors’ perspective. In the project ENERGOOD, we expanded the AMIRIS agent-based market model to consider common well-being, defined by a set of quantified indicators, as an additional degree of freedom for agents to decide on investments. In our simulation, agents make simultaneous investment decisions based on an endogenous long-term power price forecast. We replaced the standard net present value metric with a multi-criteria assessment that combines profitability with well-being indicators. This allows for flexible weighting of factors, enabling an investigation into how these priorities influence technology choices and the incentives needed to encourage well-being-oriented behavior. This enables us to present differences in investment trajectories when prioritizing well-being versus classical profitability. Additionally, we analyze the profit and common well-being levels of investors with varying preferences and indicator weights within the overall electricity system.
Background:
This work has received funding by the German Federal Ministry for Economic Affairs and Energy under grant agreement number (FKZ): 03EI1091A.
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