Economic benefits of combined technologies: Electric vehicles and PV solar power

Abstract

To counter global warming, people combine renewable technologies to obtain an integrated unit that is environmentally friendly. This paper focuses on identifying economic benefits of combined technologies by answering the research question: Given an initial investment capital I0 to invest in N several clean technologies, would it be most profitable to invest the entire amount in one separate technology or in the combination?

Based on a comprehensive case study -electric vehicles combined with a photovoltaic power source- this paper develops an economic assessment model of integrated technologies, based on the newly introduced concept “benefits of combined technologies” (BOCT). The paper demonstrates that BOCT occur at several combinations of fuel prices, green current certificates, and electricity prices. Finally, the paper determines which parameters are most important in determining the presence of the BOCT. Based on this knowledge, policy measures can be developed to stimulate a proper mix of clean technologies.