Johannes Reichl

Power Outage Cost Evaluation: Reasoning, Methods and an Application

This paper analyses different assessment techniques used for power outage costs evaluation. Socio-economic analyses to quantify the effects of power cuts are essential for energy policy and to provide a rationale for investments in electricity supply security enhancing measures. Different analytical approaches are presented. An application of these assessment options provides insights in the macroeconomic value of electricity supply security. This is an essential input in the current discussion of grid extensions and investments in renewable energy sources. The applied analysis tool for the simulation of different power outage scenarios is available for download and enables policy makers to base decisions on the ground of the economic dimension of electricity supply security.

Der volkswirtschaftliche Verlust durch Stromausfälle: Eine empirische Analyse für Haushalte, Unternehmen und den öffentlichen Sektor

Abstract This work discusses different methodological approaches for the economic evaluation of electricity supply security, quantifies the expected economic costs of power outages in Austria, and provides an interpretation of the results regarding the future challenges of sustaining the currently high levels of electricity supply security. By applying a macroeconomic simulation tool, which assesses the damages of power outages which can be defined for the period between one to 48 hours taking into account the day of the week and time of day, the value of supply security can be estimated precisely with high spatial and sectoral resolution. This is demonstrated exemplarily for a power outage scenario which is similar in scope, timing and duration to a historic even in Italy in 2003 affecting over 50 million people. Decision-makers in politics and businesses can use the analysis tool APOSTEL to conduct precise evaluations of the value of supply security, for cost-benefit analyses of supply security enhancing investments, of regulatory descions which affect the level of supply securty and for many more applications with regards to energy policy. Precise knowledge of the social and economic value of a secure supply of electricity becomes even more crucial considering that the average value of lost load for a one-hour power cut in Austria on a weekday morning in the summer is calculated at 17.1 € per kWh of electricity not supplied.

Assessing the socio-economic effects of power outages ad hoc

This contribution presents the methodology and the application possibilities of blackout-simulator.com, a recent software development for the ad-hoc simulation of user specified power outages in Europe. This tool draws upon a novel econometric modeling approach including businesses’ production data as well as data from a willingness-to-pay (WTP) survey covering more than 8300 households. Making use of these inputs, blackout-simulator.com allows elaborated economic assessments of the value of electricity supply security. Households’ WTP to avoid power outages is elicited via a stated preference (SP) approach. Power outages at any user-defined time and duration in all of the European countries (at the NUTS II specification level) can be assessed for durations from 1 to 48 hours. Such analyses can serve as essential inputs especially in the discussions on necessary investments for maintaining and upgrading transmission and distribution infrastructures. This tool thus provides a rationale for electricity supply security enhancing investments and energy policy decisions. Illustrating the capabilities of blackout-simulator.com, the blackout of September 28th 2003 in Italy, is assessed in this contribution. Damages to society are found to exceed 1.15 billion Euros, which corresponds to almost 0.1 percent of the annual Italian GDP.

Evaluation of Energy Efficiency Strategies in the Context of the European Energy Service Directive: A Case Study for Austria

We evaluate possible strategies to improve end-use efficiency under Directive 2006/32/EC of the European Parliament and Council on energy efficiency and energy services (ESD) in Austria. The main objective of the ESD is to invite the Member States of the European Union to cut their final energy consumption by 9% compared to the business-as-usual development within a period of 9 years ending in 2016. The emphasis is on ‘invite’ because the European Parliament and the Council could not agree on mandatory energy savings to be fulfilled by the Member States. The aim of the ESD is therefore indicative and Member States are basically only asked to undertake sufficient measures to increase the end-use energy efficiency and submit interim reports to the European Commission every three years. Currently, a new energy efficiency directive (COM(2011)370) proposed by the European Commission in which an even higher saving target auf 20% to be reached in 2020 is demanded, is under review. This new directive is not yet in force.

Ökosoziale Marktwirtschaft in repräsentativen Demokratien: Eine empirische Analyse der Zahlungsbereitschaft von EU-Bürgern für Umweltschutz

Unter den Akteuren (Wahler, Politiker, Produzenten, traditionelle und grune Interessensgruppen und der Burokratie) in reprasentativen westlichen Demokratien besteht ein breiter Konsens daruber, dass ein Wandel hin zu einer okosozialen Marktwirtschaft wesentlich fur ein zukunftiges, nachhaltiges Wirtschaftswachstum ist.

European provisions for cyber security in the smart grid – an overview of the NIS-directive

Due to increasing cyber-criminal actions security incidents pose a significant threat for society and economy. Such incidents may also affect personal data which could especially concern the exercise of economic activities, produce financial losses and harm the confidence of the users. To ensure the communication of the most serious security incidents there is a need to introduce minimum security requirements at Union level which apply to all communication and information systems. According to this risk the Network and Information Security Directive (NIS-Directive) (directive of the European Parliament and of the Council concerning measures for a high common level of security of network and information systems across the Union, Directive (EU) 2016/1148) entered into force in August 2016. But how will this Directive influence the Energy Sector – this question is being examined.ZusammenfassungWegen zunehmender Cyber-Kriminalität stellen Sicherheitsvorfälle eine erhebliche Bedrohung für Gesellschaft und Wirtschaft dar. Angriffe und Vorfälle können die Integrität und Übertragung personenbezogener Daten sowie geschäftlicher Informationen gefährden und dadurch die wirtschaftliche Entwicklung potenziell beeinträchtigen, was zu finanziellen Verlusten und der Gefahr des Vertrauensverlustes in die Informations- und Kommunikationstechnologie (IKT) im Allgemeinen führt. Als allgemeiner Ansatz für alle Sektoren, die in hohem Maße von der IT-Infrastruktur abhängen, wurde nach drei Jahren Verhandlungszeit die Richtlinie über Netz- und Informationssicherheit (NIS-Richtlinie) als erste Rechtsvorschrift zur Bewältigung der Herausforderung der Cyber-Sicherheit auf EU-Ebene verabschiedet. Die NIS-Richtlinie legt einen gemeinsamen EU-Ansatz für die Sicherheit des Internets fest und schreibt Betreibern kritischer Infrastrukturen bestimmte Pflichten vor. Die Bestimmungen sind jedoch generisch und nicht speziell für den Energiesektor konzipiert, weshalb die Vorgaben genauer in Bezug auf den Energiesektor untersucht werden.