1 Like
Dear Prof. Zhou,
Please allow me to respond to these questions.
First, I'll note that both questions are related. With respect to the second question, LEAP's documentation states that process-level dispatch rules are not relevant when a module is optimized. See the first paragraph
here. Rather than only considering running costs, optimization in LEAP always accounts for all of the cost components you mentioned: capital costs, salvage values, fixed and variable O&M costs, fuel costs, and environmental externalities. So, in your model, all of these costs are determining the results in your optimized scenarios.
This said, LEAP never uses optimization for the years in the Current Accounts scenario, as these years are assumed to be for a historical period. Instead, the process-level dispatch rules (and first simulation years) specified in Current Accounts control dispatch. In your model, you're using the RunningCost dispatch rule for all processes and all years in Current Accounts. With the costs you've specified, this leads to a dispatch result in which there's significant participation by coal generation in 2019. In 2020, your first scenario year, optimization takes over and dispatches only gas generation. This causes greenhouse gas emissions to fall.
One reason why the optimizer may prefer gas is that the fuel cost for your natural gas process is 0. This may be a data entry error.
One other note – we recommend using NEMO rather than OSeMOSYS for optimization in LEAP. It's faster and offers more functionality, and it's the main focus of our development and support efforts.
Thanks,
Jason