Power Module Scenario Analysis Sheet
The “Scenario Analysis” sheet contains a Scenario Calculator that enables comparison of any two scenarios.
Click here to get an animated introduction to this sheet.
Read the detailed overview of the sheet while you work on it by clicking here.
Modifications to this sheet ...
Overview of the sheet
The “Scenario Analysis” sheet contains a Scenario Calculator that enables comparison of any two scenarios and determines the breakeven price of carbon between the two.
The breakeven price is calculated as the value that would have to be given to each tonne of carbon saved, or mitigated, to give the same net discounted value to both scenarios over the twenty five or so year modeling period.
In computing the breakeven price of carbon, both the implicit value of CO2-equivalent emissions and costs are discounted at the same rate. Not accounting for all non- CO2-equivalent benefits could over-estimate the breakeven price of carbon.
The calculation method is explained in the top of the sheet:
1. "Run scenario 1" in the EFFECT Model ribbon in the top of the sceen in the "Analysis" group. This will take several minutes.
2. Press the button "Copy results to option A" to copy the results to column G in the sheet.
3. The "Run scenario 2" in the EFFECT Model ribbon. This also take several minutes.
4. Press the button "Copy results to option B" to copy the results to column I in the sheet.
5. Then you can read the break-even price of carbon to give the same generation in the two scenarios in K45, as well as the Normalized Marginal Abatement cost to give same generation in K52.