A probabilistic model of the LCOE for Korean offshore windfarms

ABSTRACT

A lack of data has been hindering studies of offshore wind generation in Korea. To overcome this deficiency, we use real data on seven countries and propose a probabilistic model for deriving representative estimates of input parameters and approximate the unit cost of offshore windfarms in Korea. By applying our model to two Korean offshore windfarms, we found that our approach can be used as a standard for estimating input parameters. Our results suggest that policymakers in Korea should implement energy policies to reduce the hard and soft costs of offshore wind turbine foundations.

KEYWORDS:

• Korean offshore windfarms
• probabilistic model
• CAPEX (capital expenditures)
• OPEX (operating expenditure)
• LCOE (levelized cost of electricity)

JEL CLASSIFICATION:

• A10
• C10
• C20
• C50
• R50

Disclosure statement

No potential conflict of interest was reported by the author(s).

Additional information

Funding

This research was a part of the project titled ‘Development of application technologies for ocean energy and harbour and offshore structures (PE99931)’, funded by the Korea Institute of Ocean Science & Technology (KIOST)