Merge pull request #1762 from Renato-Rodrigues/seFeSectorSharePenaliz…

…ation Penalty for secondary energy share deviation in sectors
remindmodel · Nov 7, 2024 · 18e9c19 · 18e9c19
2 parents 5917b09 + b71fbed
commit 18e9c19
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diff --git a/config/scenario_config_21_EU11_2040_target.csv b/config/scenario_config_21_EU11_2040_target.csv
diff --git a/core/declarations.gms b/core/declarations.gms
@@ -162,6 +162,8 @@ pm_shFeCes(ttot,all_regi,all_enty,all_in,all_teEs)   "Final energy shares for CE
 
 pm_shfe_up(ttot,all_regi,all_enty,emi_sectors)       "Final energy shares exogenous upper bounds per sector"
 pm_shfe_lo(ttot,all_regi,all_enty,emi_sectors)       "Final energy shares exogenous lower bounds per sector"
+p_shSeFe(ttot,all_regi,all_enty)                     "Initial share of energy carrier subtype in final energy demand of the aggregated carrier type (eg 'the share of bio-based FE liquids in all FE liquids') [0..1]"
+p_shSeFeSector(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "Initial share of energy carrier subtype in final energy demand of the aggregated carrier type for each sector/emiMarket combination (eg 'bio-based FE liquids share in all FE liquids within ETS transport') [0..1]"
 pm_shGasLiq_fe_up(ttot,all_regi,emi_sectors)         "Final energy gases plus liquids shares exogenous upper bounds per sector"
 pm_shGasLiq_fe_lo(ttot,all_regi,emi_sectors)         "Final energy gases plus liquids shares exogenous lower bounds per sector"
 
@@ -429,6 +431,8 @@ v_shGreenH2(ttot,all_regi)   "share of green hydrogen in all hydrogen by 2030 [0
 v_shBioTrans(ttot,all_regi)    "Share of biofuels in transport liquids from 2025 onwards. Value between 0 and 1."
 
 v_shfe(ttot,all_regi,all_enty,emi_sectors)           "share of final energy in sector total final energy [0..1]"
+v_shSeFe(ttot,all_regi,all_enty)                     "share of energy carrier subtype in final energy demand of the aggregated carrier type (eg 'the share of bio-based FE liquids in all FE liquids') [0..1]"
+v_shSeFeSector(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "share of energy carrier subtype in final energy demand of the aggregated carrier type per sector/emiMarket combination (eg 'the share of bio-based FE liquids in all FE liquids used in ETS-covered transport') [0..1]"
 v_shGasLiq_fe(ttot,all_regi,emi_sectors)             "share of gases and liquids in sector final energy [0..1]"
 
 vm_emiCdrAll(ttot,all_regi)                          "all CDR emissions"
@@ -447,7 +451,17 @@ vm_demFeForEs(ttot,all_regi,all_enty,all_esty,all_teEs)     "Final energy which
 vm_prodEs(ttot,all_regi,all_enty,all_esty,all_teEs)          "Energy services (unit determined by conversion factor pm_fe2es)."
 vm_transpGDPscale(ttot,all_regi)                            "dampening factor to align edge-t non-energy transportation costs with historical GDP data"  
 
+$ifthen.seFeSectorShareDev not "%cm_seFeSectorShareDevMethod%" == "off"
+  v_penSeFeSectorShare(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "penalty cost for secondary energy share deviation between sectors, for each sector/emiMarket combination"
+  vm_penSeFeSectorShareDevCost(ttot,all_regi)        "total penalty cost for secondary energy share deviation between sectors"
+$endif.seFeSectorShareDev
+
+$ifthen.minMaxSeFeSectorShareDev "%cm_seFeSectorShareDevMethod%" == "minMaxAvrgShare"
+  v_NegPenSeFeSectorShare(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "min-max negative penalty for secondary energy share deviation in sectors"
+  v_PosPenSeFeSectorShare(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "min-max positive penalty for secondary energy share deviation in sectors"
+$endif.minMaxSeFeSectorShareDev
 ;
+
 ***----------------------------------------------------------------------------------------
 ***                                   EQUATIONS
 ***----------------------------------------------------------------------------------------
@@ -552,6 +566,8 @@ q_shGreenH2(ttot,all_regi)  "share of green hydrogen in all hydrogen"
 q_shBioTrans(ttot,all_regi)  "Define the share of biofuels in transport liquids from 2025 on."
 
 q_shfe(ttot,all_regi,all_enty,emi_sectors)            "share of final energy carrier in the sector final energy"
+q_shSeFe(ttot,all_regi,all_enty)                      "share of energy carrier subtype in final energy demand of the aggregated carrier type (eg 'the share of bio-based FE liquids in all FE liquids')"
+q_shSeFeSector(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "share of energy carrier subtype in final energy demand of the aggregated carrier type for each sector/emiMarket combination (eg 'the share of bio-based FE liquids in all FE liquids within ETS-covered transport"
 q_shGasLiq_fe(ttot,all_regi,emi_sectors)              "share of gases and liquids in sector final energy"
 
 q_shbiofe_up(ttot,all_regi,all_enty,emi_sectors,all_emiMkt) "share of biomass per carrier in sector final energy (upper bound)"
@@ -565,6 +581,15 @@ $IFTHEN.sehe_upper not "%cm_sehe_upper%" == "off"
 q_heat_limit(ttot,all_regi)  "equation to limit maximum level of secondary energy district heating and heat pumps use"
 $ENDIF.sehe_upper
 
+$ifthen.seFeSectorShareDev not "%cm_seFeSectorShareDevMethod%" == "off"
+  q_penSeFeSectorShareDevCost(ttot,all_regi) "total penalty cost for secondary energy share deviation in sectors"
+  q_penSeFeSectorShareDev(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "penalty for secondary energy share deviation in sectors"
+$endif.seFeSectorShareDev
+
+$ifthen.minMaxSeFeSectorShareDev "%cm_seFeSectorShareDevMethod%" == "minMaxAvrgShare"
+  q_minMaxPenSeFeSectorShareDev(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt) "min-max penalty balance for secondary energy share deviation in sectors"
+$endif.minMaxSeFeSectorShareDev
+
 $ifthen.limitSolidsFossilRegi not %cm_limitSolidsFossilRegi% == "off"
   q_fossilSolidsLimitReg(ttot,all_regi,all_enty,all_enty,emi_sectors,all_emiMkt)  "limit solids fossil to be lower or equal to previous year values in each (sector x emiMkt) combination"
 $endif.limitSolidsFossilRegi

diff --git a/core/equations.gms b/core/equations.gms
@@ -1052,32 +1052,52 @@ q_shBioTrans(t,regi)..
 ;
 
 ***---------------------------------------------------------------------------
-*' Share of final energy carrier in sector
+*' Shares of final energy carrier in sector
 ***---------------------------------------------------------------------------
 
 q_shfe(t,regi,entyFe,sector)$(pm_shfe_up(t,regi,entyFe,sector) OR pm_shfe_lo(t,regi,entyFe,sector))..
   v_shfe(t,regi,entyFe,sector)
   * sum(emiMkt$sector2emiMkt(sector,emiMkt),
       sum(se2fe(entySe,entyFe2,te)$(entyFe2Sector(entyFe2,sector)),
-        vm_demFeSector(t,regi,entySe,entyFe2,sector,emiMkt)))
+        vm_demFeSector_afterTax(t,regi,entySe,entyFe2,sector,emiMkt)))
   =e=
   sum(emiMkt$sector2emiMkt(sector,emiMkt),
       sum(se2fe(entySe,entyFe,te),
-        vm_demFeSector(t,regi,entySe,entyFe,sector,emiMkt)))
+        vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt)))
+;
+
+q_shSeFe(t,regi,entySe)$(entySeBio(entySe) OR entySeSyn(entySe) OR entySeFos(entySe)).. !! share of energy carrier subtype in final energy demand of the aggregated carrier type (eg 'the share of bio-based FE liquids in all FE liquids')
+  v_shSeFe(t,regi,entySe) 
+  * sum((sector,emiMkt)$sector2emiMkt(sector,emiMkt),
+      sum(seAgg$seAgg2se(seAgg,entySe), !! determining the aggregate SE carrier type (liquids, gases, ...)
+        sum(entySe2$seAgg2se(seAgg,entySe2), !! summing over the bio/fos/syn variants of the chosen SE carrier"
+          sum(entyFe$(sefe(entySe2,entyFe) AND entyFe2Sector(entyFe,sector)),
+            vm_demFeSector_afterTax(t,regi,entySe2,entyFe,sector,emiMkt)))))
+  =e=
+  sum((sector,emiMkt)$sector2emiMkt(sector,emiMkt),
+    sum(entyFe$(sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector)),
+      vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt)))
+;
+
+q_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt)$((entySeBio(entySe) OR entySeSyn(entySe) OR entySeFos(entySe)) AND (sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt)))..
+  v_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt) 
+  * sum(entySe2$sefe(entySe2,entyFe),
+      vm_demFeSector_afterTax(t,regi,entySe2,entyFe,sector,emiMkt))
+  =e=
+  vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt)
 ;
 
 q_shGasLiq_fe(t,regi,sector)$(pm_shGasLiq_fe_up(t,regi,sector) OR pm_shGasLiq_fe_lo(t,regi,sector))..
   v_shGasLiq_fe(t,regi,sector)
   * sum(emiMkt$sector2emiMkt(sector,emiMkt),
       sum(se2fe(entySe,entyFe,te)$(entyFe2Sector(entyFe,sector)),
-        vm_demFeSector(t,regi,entySe,entyFe,sector,emiMkt)))
+        vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt)))
   =e=
   sum(emiMkt$sector2emiMkt(sector,emiMkt),
     sum(se2fe(entySe,entyFe,te)$(SAMEAS(entyFe,"fegas") OR SAMEAS(entyFe,"fehos")),
-      vm_demFeSector(t,regi,entySe,entyFe,sector,emiMkt)))
+      vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt)))
 ;
 
-
 *limit secondary energy district heating and heat pumps
 $IFTHEN.sehe_upper not "%cm_sehe_upper%" == "off"
 q_heat_limit(t,regi)$(t.val gt 2020)..
@@ -1127,6 +1147,82 @@ q_shbiofe_lo(t,regi,entyFe,sector,emiMkt)$(pm_secBioShare(t,regi,entyFe,sector)
   sum((entySeBio,te)$se2fe(entySeBio,entyFe,te), vm_demFeSector_afterTax(t,regi,entySeBio,entyFe,sector,emiMkt))
 ;
 
+***---------------------------------------------------------------------------
+*' Penalty for secondary energy share deviation in sectors 
+***---------------------------------------------------------------------------
+
+$ifthen.seFeSectorShareDev "%cm_seFeSectorShareDevMethod%" == "sqSectorShare"
+q_penSeFeSectorShareDev(t,regi,entySe,entyFe,sector,emiMkt)$(
+    (t.val ge 2025) AND  !!disable share incentives for historical years in buildings, industry and CDR as this should be handled by historical bounds   
+    ( sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt) ) AND !!only create the equation for valid cobinations of entySe, entyFe, sector and emiMkt
+    ( (entySeBio(entySe) OR entySeSyn(entySe)) ) AND !!share incentives only need to be applied to n-1 secondary energy carriers
+    ( NOT(sameas(sector,"build") AND (sameas(entyFE,"fesos"))) ) !!disable buildings solids share incentives
+  )..
+  v_penSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt)
+  =e=
+  power(v_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt) ,2)
+  * (1$sameas("%c_seFeSectorShareDevUnit%","share") + ( vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt) )$(sameas("%c_seFeSectorShareDevUnit%","energy")) ) !!define deviation in share or energy units 
+;
+$elseIf.seFeSectorShareDev "%cm_seFeSectorShareDevMethod%" == "sqSectorAvrgShare"
+q_penSeFeSectorShareDev(t,regi,entySe,entyFe,sector,emiMkt)$(
+    (t.val ge 2025) AND  !!disable share incentives for historical years in buildings, industry and CDR as this should be handled by historical bounds
+    ( sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt) ) AND !!only create the equation for valid cobinations of entySe, entyFe, sector and emiMkt
+    ( (entySeBio(entySe) OR entySeSyn(entySe)) ) AND !!share incentives only need to be applied to n-1 secondary energy carriers
+    ( NOT(sameas(sector,"build") AND (sameas(entyFE,"fesos"))) ) !!disable buildings solids share incentives
+  )..
+  v_penSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt)
+  =e=
+  power(v_shSeFe(t,regi,entySe) - v_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt) ,2)
+  * (1$sameas("%c_seFeSectorShareDevUnit%","share") + ( vm_demFeSector_afterTax(t,regi,entySe,entyFe,sector,emiMkt) )$(sameas("%c_seFeSectorShareDevUnit%","energy")) ) !!define deviation in share or energy units 
+;
+$elseIf.seFeSectorShareDev "%cm_seFeSectorShareDevMethod%" == "minMaxAvrgShare"
+q_penSeFeSectorShareDev(t,regi,entySe,entyFe,sector,emiMkt)$(
+    (t.val ge 2025) AND  !!disable share incentives for historical years in buildings, industry and CDR as this should be handled by historical bounds
+    ( sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt) ) AND !!only create the equation for valid cobinations of entySe, entyFe, sector and emiMkt
+    ( (entySeBio(entySe) OR entySeSyn(entySe)) ) AND !!share incentives only need to be applied to n-1 secondary energy carriers
+    ( NOT(sameas(sector,"build") AND (sameas(entyFE,"fesos"))) ) !!disable buildings solids share incentives
+  )..
+  v_penSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt)
+  =e=
+    v_NegPenSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt) 
+  + v_PosPenSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt)
+;
+
+q_minMaxPenSeFeSectorShareDev(t,regi,entySe,entyFe,sector,emiMkt)$(
+    (t.val ge 2025) AND  !!disable share incentives for historical years in buildings, industry and CDR as this should be handled by historical bounds
+    ( sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt) ) AND !!only create the equation for valid cobinations of entySe, entyFe, sector and emiMkt
+    ( (entySeBio(entySe) OR entySeSyn(entySe)) ) AND !!share incentives only need to be applied to n-1 secondary energy carriers
+    ( NOT(sameas(sector,"build") AND (sameas(entyFE,"fesos"))) ) !!disable buildings solids share incentives
+  )..
+  (
+    v_shSeFe(t,regi,entySe)
+    - v_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt)
+    + v_NegPenSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt) 
+    - v_PosPenSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt)
+  )
+  * !!define deviation in share or energy units 
+    ( 1$sameas("%c_seFeSectorShareDevUnit%","share") +
+      (sum(seAgg$seAgg2se(seAgg,entySe),
+        sum(entyFe2$(seAgg2fe(seAgg,entyFe2) AND entyFe2Sector(entyFe2,sector)),
+          sum(entySe2$(seAgg2se(seAgg,entySe2) AND sefe(entySe2,entyFe2) AND entyFe2Sector(entyFe2,sector)),
+              vm_demFeSector_afterTax(t,regi,entySe2,entyFe2,sector,emiMkt))))
+      )$sameas("%c_seFeSectorShareDevUnit%","energy")
+    ) 
+  =e=
+  0
+;
+$endif.seFeSectorShareDev
+
+$ifthen.penSeFeSectorShareDevCost not "%cm_seFeSectorShareDevMethod%" == "off"
+q_penSeFeSectorShareDevCost(t,regi)..
+  vm_penSeFeSectorShareDevCost(t,regi)
+  =e=
+  sum((entySe,entyFe,sector,emiMkt)$( sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt) ),
+    v_penSeFeSectorShare(t,regi,entySe,entyFe,sector,emiMkt)
+  ) * c_seFeSectorShareDevScale
+;
+$endif.penSeFeSectorShareDevCost
+
 ***---------------------------------------------------------------------------
 *' Limit solids fossil to be lower or equal to previous year values  
 ***---------------------------------------------------------------------------

diff --git a/core/preloop.gms b/core/preloop.gms
@@ -189,4 +189,32 @@ if (cm_startyear gt 2005,
 Execute_Loadpoint 'input_ref' vm_capEarlyReti.l = vm_capEarlyReti.l;
 );
 
+*** initialize the carrier subtype shares in final energy demand such that the starting point for the model is "all sectors have the same bio/fos/syn shares for a given carrier type" when cm_seFeSectorShareDevMethod is enabled
+p_shSeFe(t,regi,entySe)$((entySeBio(entySe) OR entySeSyn(entySe) OR entySeFos(entySe)) AND sum(seAgg$seAgg2se(seAgg,entySe), sum((sector,emiMkt)$sector2emiMkt(sector,emiMkt), sum(entySe2$seAgg2se(seAgg,entySe2), sum(entyFe$(sefe(entySe2,entyFe) AND entyFe2Sector(entyFe,sector)), vm_demFeSector.l(t,regi,entySe2,entyFe,sector,emiMkt))))) ) =
+  sum((sector,emiMkt)$sector2emiMkt(sector,emiMkt), sum(entyFe$(sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector)), vm_demFeSector.l(t,regi,entySe,entyFe,sector,emiMkt)))
+  /
+  sum(seAgg$seAgg2se(seAgg,entySe), sum((sector,emiMkt)$sector2emiMkt(sector,emiMkt), sum(entySe2$seAgg2se(seAgg,entySe2), sum(entyFe$(sefe(entySe2,entyFe) AND entyFe2Sector(entyFe,sector)), vm_demFeSector.l(t,regi,entySe2,entyFe,sector,emiMkt)))));
+v_shSeFe.l(t,regi,entySe)$p_shSeFe(t,regi,entySe) = p_shSeFe(t,regi,entySe);
+
+$ifthen.penSeFeSectorShareDevCost not "%cm_seFeSectorShareDevMethod%" == "off"
+vm_demFeSector.l(t,regi,entySe,entyFe,sector,emiMkt)$(
+  ( p_shSeFe(t,regi,entySe) ) AND
+  (t.val ge 2025) AND  !!disable share incentives for historical years in buildings, industry and CDR as this should be handled by historical bounds
+  ( entySeBio(entySe) OR entySeSyn(entySe) OR entySeFos(entySe) ) AND !! only redefine vm_demFeSector for entySeBio, entySeSyn and entySeFos items
+  ( sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt) ) AND !!only create the equation for valid cobinations of entySe, entyFe, sector and emiMkt
+  ( (entySeBio(entySe) OR entySeSyn(entySe)) ) AND !!share incentives only need to be applied to n-1 secondary energy carriers
+  ( NOT(sameas(sector,"build") AND (sameas(entyFE,"fesos"))) ) !!disable buildings solids share incentives
+) =
+  sum(entySe2$sefe(entySe2,entyFe), vm_demFeSector.l(t,regi,entySe2,entyFe,sector,emiMkt))
+  * p_shSeFe(t,regi,entySe);  
+vm_demFeSector_afterTax.l(t,regi,entySe,entyFe,sector,emiMkt) = vm_demFeSector.l(t,regi,entySe,entyFe,sector,emiMkt);
+$endif.penSeFeSectorShareDevCost
+
+p_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt)$((entySeBio(entySe) OR entySeSyn(entySe) OR entySeFos(entySe)) AND (sefe(entySe,entyFe) AND entyFe2Sector(entyFe,sector) AND sector2emiMkt(sector,emiMkt)) AND sum(entySe2$sefe(entySe2,entyFe), vm_demFeSector.l(t,regi,entySe2,entyFe,sector,emiMkt)) ) =
+  vm_demFeSector.l(t,regi,entySe,entyFe,sector,emiMkt)
+  /
+  sum(entySe2$sefe(entySe2,entyFe), vm_demFeSector.l(t,regi,entySe2,entyFe,sector,emiMkt))
+;
+v_shSeFeSector.l(t,regi,entySe,entyFe,sector,emiMkt)$p_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt) = p_shSeFeSector(t,regi,entySe,entyFe,sector,emiMkt);
+
 *** EOF ./core/preloop.gms