Application of 'C.A.R.B. financial methodology' analysis for alternative energy technologies into UK housing

Ioannis Spanos, Les Duckers, Kenneth L. Holmes

    Research output: Contribution to journalReview article

    1 Citation (Scopus)

    Abstract

    Current energy trends in UK housing are reviewed and then assessed by introducing the 'CARB financial analysis' methodology. CARB is an acronym for 'Carbon Abatement', as it evaluates the potential carbon-dioxide reduction from different technologies; 'Relative', as all the technologies examined are dependant on various primary sources; and 'Balance', as the cost of surplus CO2 is quantified. According to conventional financial analysis, most of the technologies examined have the potential to provide positive returns on the investments especially for those with an environmentally conscious agenda. Further reduction of up to 30% of most installed alternative energy systems cost is required to compete with an investment in, e.g., a UK pension scheme. Using the 'CARB financial analysis' the cost of reducing CO2 has been quantified, and compared with the potential cost of climate change impact. Conventional installed solar technologies are not financially attractive both with a pay back period calculations and 'CARB financial analysis' under current market costs and governmental subsidy regimes. Heat recovery technologies could be sensible investments, both in financial and environmental terms under particular assumptions; especially if the investment budget is small. The use of cogeneration technologies provides a financial advantage in the attempt to minimise the cost of climate change impact, as pay back period of such investment could be less than 7 yr, and the cost of CO2 saved could be two to seven times less than the global damage cost of carbon emissions.

    Original languageEnglish
    Pages (from-to)1571-1583
    Number of pages13
    JournalRenewable and Sustainable Energy Reviews
    Volume11
    Issue number7
    DOIs
    Publication statusPublished - 1 Sep 2007

    Keywords

    • 'CARB'
    • Alternative energy
    • Carbon dioxide
    • Financial analysis
    • Housing

    ASJC Scopus subject areas

    • Renewable Energy, Sustainability and the Environment

    Fingerprint Dive into the research topics of 'Application of 'C.A.R.B. financial methodology' analysis for alternative energy technologies into UK housing'. Together they form a unique fingerprint.

  • Cite this