System dynamics evaluation of renewable energy policies

Charles V. Trappey, Amy J.C. Trappey, Gilbert Y.P. Lin*, Yu Sheng Chang

*Corresponding author for this work

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

3 Scopus citations


The high consumption of fossil fuels (e.g., petroleum and natural gas) followed the industrial revolution and the introduction of new technologies and modern transportations. The high utilization of natural resources increases the environmental impact and climate change become a critical problem all over the world. Taiwan has set an aggressive target and proposed a set of greenhouse gas (GHG) control strategies to reduce carbon dioxide (CO2) emissions. Currently, Taiwan, similar to most developed nations, is highly dependent on thermal power which accounts for 70% of total primary energy supply in 2009. The data show that Taiwan needs to actively seek the renewable energy sources and promote effective policies to reduce carbon emissions, such as policies to promote the development of the solar energy industrial sector and utilization of solar energy products. The objective of this paper is to develop a dynamic cost-benefit evaluation method for administrative regions to review the effectiveness of their renewable energy policies. This paper develops system dynamics (SD) models to construct and simulate causal feedback relationships of solar energy applications (e.g., photovoltaics (PV) systems and solar water heating or lighting systems). The SD models, with causal feedback loops considering the renewable policies, have been developed and verified as workable with environmental and economic development experts. The results describe the relationship between the renewable policies, the impacts of economy, and the effects of carbon emissions. Afterward, the SD models are run with simulated data to analyze the required costs and related effects of carbon reduction policies. This research provides a formal methodology, reference models, and analytical results for evaluating renewable energy policies and strategies in different economic regions with different input and output factors.

Original languageEnglish
Title of host publicationImproving Complex Systems Today - Proceedings of the 18th ISPE International Conference on Concurrent Engineering
Number of pages8
StatePublished - 1 Dec 2011
Event18th ISPE International Conference on Concurrent Engineering, CE 2011 - Boston, MA, United States
Duration: 4 Jul 20118 Jul 2011

Publication series

NameAdvanced Concurrent Engineering
ISSN (Print)1865-5440


Conference18th ISPE International Conference on Concurrent Engineering, CE 2011
Country/TerritoryUnited States
CityBoston, MA


  • Carbon reduction
  • Greenhouse gas (GHG) emissions
  • Solar energy applications
  • System dynamics


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