1467 Views
Hi Zhou,
LEAP is generally not suited to calculating the cost of fuels consumed at a particular demand branch. However, there is a way to work around this, which I'll describe below.
LEAP does allows you to specify Demand Costs at the level of demand-side categories and technologies. Though these costs are *not* intended to represent fuel costs, it is possible to use the Demand Cost variable for demand technologies to input the fuel cost, using the Cost per Activity Method (please review our help file on Demand Costs, here, for background: http://www.energycommunity.org/WebHelpPro/Demand/Demand_Cost_Analysis.htm). An expression entered into the demand cost variable to count fuel cost would look similar to this (I've included units in square brackets) :
Demand Cost (cost per activity method) = Final Energy Intensity[energy per unit of activity] * Fuel Price[price per unit of energy]
HOWEVER, I want to caution you that including the cost of fuel in your demand branches may double-count these costs, if you have also added them at the resource branches of your tree. To ensure that these costs are not counted twice, you can either set the Indigenous Cost and Import Cost of fuels in your Resources branches equal to zero, or alternatively, change the Cost-Benefit calculation boundary (found under Basic Params: Costing) to "Final Demands". You can read more about the options here:
http://www.energycommunity.org/WebHelpPro/Concepts/Transformation_Cost_Calculations.htm
Hope this helps - happy to answer any follow up questions as well,
Taylor