<?xml version="1.0" encoding="UTF-8"?><!DOCTYPE article  PUBLIC "-//NLM//DTD Journal Publishing DTD v3.0 20080202//EN" "http://dtd.nlm.nih.gov/publishing/3.0/journalpublishing3.dtd"><article xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink" dtd-version="3.0" xml:lang="en" article-type="research article"><front><journal-meta><journal-id journal-id-type="publisher-id">LCE</journal-id><journal-title-group><journal-title>Low Carbon Economy</journal-title></journal-title-group><issn pub-type="epub">2158-7000</issn><publisher><publisher-name>Scientific Research Publishing</publisher-name></publisher></journal-meta><article-meta><article-id pub-id-type="doi">10.4236/lce.2015.62006</article-id><article-id pub-id-type="publisher-id">LCE-57141</article-id><article-categories><subj-group subj-group-type="heading"><subject>Articles</subject></subj-group><subj-group subj-group-type="Discipline-v2"><subject>Business&amp;Economics</subject><subject> Earth&amp;Environmental Sciences</subject></subj-group></article-categories><title-group><article-title>
 
 
  Economic and Environmental Effects of Installing Distributed Energy Resources into a Household
 
</article-title></title-group><contrib-group><contrib contrib-type="author" xlink:type="simple"><name name-style="western"><surname>kito</surname><given-names>Ozawa</given-names></name><xref ref-type="aff" rid="aff1"><sup>1</sup></xref></contrib><contrib contrib-type="author" xlink:type="simple"><name name-style="western"><surname>Yoshikuni</surname><given-names>Yoshida</given-names></name><xref ref-type="aff" rid="aff1"><sup>1</sup></xref></contrib></contrib-group><aff id="aff1"><addr-line>Department of Environment Systems, Graduate School of Frontier Sciences, The University of Tokyo, Tokyo, Japan</addr-line></aff><pub-date pub-type="epub"><day>15</day><month>05</month><year>2015</year></pub-date><volume>06</volume><issue>02</issue><fpage>41</fpage><lpage>50</lpage><history><date date-type="received"><day>19</day>	<month>May</month>	<year>2015</year></date><date date-type="rev-recd"><day>accepted</day>	<month>12</month>	<year>June</year>	</date><date date-type="accepted"><day>15</day>	<month>June</month>	<year>2015</year></date></history><permissions><copyright-statement>&#169; Copyright  2014 by authors and Scientific Research Publishing Inc. </copyright-statement><copyright-year>2014</copyright-year><license><license-p>This work is licensed under the Creative Commons Attribution International License (CC BY). http://creativecommons.org/licenses/by/4.0/</license-p></license></permissions><abstract><p>
 
 
  Improving energy efficiency in the residential sector is a pressing issue in Japan. This study examines the economic and environmental impacts of introducing the following distributed energy resources: photovoltaics (PV), a fuel cell, and a battery. We estimate electricity and hot water demand profiles of a household by using simulated living activities. Electric power from a residential PV system is also calculated from the observed solar radiation. By using mixed integer programming, we perform a cost minimization operating simulation of a residential PV, fuel cell, and battery. The result suggests that we can create a net-zero energy house by installing both a PV system 
  and a fuel cell into one house. On the other hand, using a battery with a fuel cell increases the 
  household energy cost, and has few effects on CO
  <sub>2</sub>
   emission reduction.
 
</p></abstract><kwd-group><kwd>Household</kwd><kwd> PV</kwd><kwd> Fuel Cell</kwd><kwd> Battery</kwd><kwd> Mixed Integer Programming</kwd></kwd-group></article-meta></front><body><sec id="s1"><title>1. Introduction</title><p>The residential sector accounts for 14.3% (2051 PJ/year) of the total energy consumption in Japan [<xref ref-type="bibr" rid="scirp.57141-ref1">1</xref>] , and 475.9 Mt CO<sub>2</sub> is emitted by energy consumption in the residential sector [<xref ref-type="bibr" rid="scirp.57141-ref2">2</xref>] . The residential sector’s energy consumption has doubled since 1973, and furthermore, unit CO<sub>2</sub> emissions have been increasing in recent years because all nuclear plants have been stopped and most electricity is generated by fossil fuel thermal power plants. Improving energy efficiency in the residential sector is a big challenge in Japan. Utilizing distributed energy resources, such as PV system, fuel cells, and batteries, encourages energy saving in the household sector. There are many prior studies on the economic and environmental impacts of introducing a PV [<xref ref-type="bibr" rid="scirp.57141-ref3">3</xref>] - [<xref ref-type="bibr" rid="scirp.57141-ref7">7</xref>] , fuel cell [<xref ref-type="bibr" rid="scirp.57141-ref7">7</xref>] - [<xref ref-type="bibr" rid="scirp.57141-ref11">11</xref>] , and battery [<xref ref-type="bibr" rid="scirp.57141-ref3">3</xref>] [<xref ref-type="bibr" rid="scirp.57141-ref6">6</xref>] into a household. Panayiotou et al. [<xref ref-type="bibr" rid="scirp.57141-ref3">3</xref>] examined the optimal design of a standalone PV and hybrid PV-Wind system with battery. Arboit et al. [<xref ref-type="bibr" rid="scirp.57141-ref4">4</xref>] assessed the solar energy potential at a city block in low- density urban area. Kaewniyompanit et al. [<xref ref-type="bibr" rid="scirp.57141-ref5">5</xref>] and Bozchalui et al. [<xref ref-type="bibr" rid="scirp.57141-ref6">6</xref>] , on the other hand, focused on PV installation in high-density urban area, and evaluated energy costs saving and CO<sub>2</sub> emissions reduction of residential PV and smart grid in Japan and Canada. Shimoda et al. [<xref ref-type="bibr" rid="scirp.57141-ref8">8</xref>] and Ulleberg et al. [<xref ref-type="bibr" rid="scirp.57141-ref9">9</xref>] simulated fuel cell performance in residential sector, and examined city-level energy and CO<sub>2</sub> reduction effects in Japan and Norway. Hamada et al. [<xref ref-type="bibr" rid="scirp.57141-ref10">10</xref>] evaluated the performance of residential fuel cell, operated by different algorithms. Tanrioven and Alam [<xref ref-type="bibr" rid="scirp.57141-ref11">11</xref>] evaluated fuel cell’s stable power supply for residential use. Shabani et al. [<xref ref-type="bibr" rid="scirp.57141-ref7">7</xref>] simulated the performance of combined utilization of PV and fuel cell, and carried out the system cost analysis. However, combined utilization of fuel cell, battery, and PV is not considered. In this study, we evaluate the economic and environmental effects of installing a residential PV, a fuel cell, and a battery.</p></sec><sec id="s2"><title>2. Methods</title><p><xref ref-type="fig" rid="fig1">Figure 1</xref> shows the simulation process in this study. First, we estimate the household energy (electricity and hot water) demand by simulating the living activities of family members (2.1). We also estimate the residential PV system’s electric power from observed meteorological data (2.2). Finally, we simulate the energy demand and supply of a household with various energy apparatus (fuel cell, battery, and PV) (2.3) and evaluate the effects on energy cost and CO<sub>2</sub> emission.</p><sec id="s2_1"><title>2.1. Energy Demand Estimation Based on Simulated Living Activities</title><p>Assuming that the simulated family members are an office worker, a homemaker, and two children, we simulate each member’s daily activity schedules by using the Markov chain model. The concept of the model is presented in <xref ref-type="fig" rid="fig2">Figure 2</xref>. First, a member’s activity at 0:00 is decided according to the member’s ratio from a time use survey [<xref ref-type="bibr" rid="scirp.57141-ref12">12</xref>] . <xref ref-type="table" rid="table1">Table 1</xref> shows activity classifications and examples. Next, according to the transition probabilities of</p><fig id="fig1"  position="float"><label><xref ref-type="fig" rid="fig1">Figure 1</xref></label><caption><title> This study’s simulation process</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x6.png"/></fig><table-wrap id="table1" ><label><xref ref-type="table" rid="table1">Table 1</xref></label><caption><title> Activity classifications and their examples from the time use survey [<xref ref-type="bibr" rid="scirp.57141-ref12">12</xref>] </title></caption><table><tbody><thead><tr><th align="center" valign="middle" >Activity classification</th><th align="center" valign="middle" >Some concrete examples</th></tr></thead><tr><td align="center" valign="middle" >Sleeping</td><td align="center" valign="middle" >Continuous sleep for more than 30 minutes; napping</td></tr><tr><td align="center" valign="middle" >Eating</td><td align="center" valign="middle" >Breakfast, lunch, supper, snacks</td></tr><tr><td align="center" valign="middle" >Personal chores</td><td align="center" valign="middle" >Washing; going to the toilet; bathing; changing clothes; make-up; haircut</td></tr><tr><td align="center" valign="middle" >Medical treatment or recuperation</td><td align="center" valign="middle" >Activities related to diagnosis of illness and its treatment; hospitalization and recuperation</td></tr><tr><td align="center" valign="middle" >Working</td><td align="center" valign="middle" >Activities for gaining income, including preparation, clearing up, and commuting during work</td></tr><tr><td align="center" valign="middle" >Work-related association</td><td align="center" valign="middle" >Work-related association with senior staff, colleagues, and junior staff; welcome and farewell parties, etc.</td></tr><tr><td align="center" valign="middle" >Classes and school activities</td><td align="center" valign="middle" >Learning activities at school; morning assemblies; tidying up and cleaning of school; school events; school clubs; other extracurricular activities, etc.</td></tr><tr><td align="center" valign="middle" >Learning activities outside school</td><td align="center" valign="middle" >Learning activities at home and/or cram schools, homework</td></tr><tr><td align="center" valign="middle" >Cooking, cleaning, laundry</td><td align="center" valign="middle" >Preparing meals and snacks; clearing after meals; cleaning the house and yard; laundry (including ironing)</td></tr><tr><td align="center" valign="middle" >Shopping</td><td align="center" valign="middle" >Shopping for food; clothing; and other daily necessities</td></tr><tr><td align="center" valign="middle" >Caring for children</td><td align="center" valign="middle" >Childcare; education; transporting children to and from school, etc.</td></tr><tr><td align="center" valign="middle" >Miscellaneous</td><td align="center" valign="middle" >Sorting things out; going to banks and public offices; nursing care for family members other than children</td></tr><tr><td align="center" valign="middle" >Commuting to work</td><td align="center" valign="middle" >Movement between home and place of work (including fields)</td></tr><tr><td align="center" valign="middle" >Commuting to school</td><td align="center" valign="middle" >Movement between home and school</td></tr><tr><td align="center" valign="middle" >Social obligations</td><td align="center" valign="middle" >PTA, local events; meetings; ceremonial occasions; volunteer activities</td></tr><tr><td align="center" valign="middle" >Conversation/Personal association</td><td align="center" valign="middle" >Conversation and association with family members, friends, relatives and acquaintances in person or by telephone or e-mail</td></tr><tr><td align="center" valign="middle" >Exercise and sports</td><td align="center" valign="middle" >Gymnastics, physical exercise, various types of sport and ball games</td></tr><tr><td align="center" valign="middle" >Outings and walks</td><td align="center" valign="middle" >Visits to sight-seeing spots and shopping centers; strolling in town; other walks; angling</td></tr><tr><td align="center" valign="middle" >Hobbies, entertainment, cultural activities</td><td align="center" valign="middle" >Hobbies including study to gain skills or qualifications, appreciation of arts and music, watching games; play; games</td></tr><tr><td align="center" valign="middle" >Internet as hobbies, entertainment, cultural activities</td><td align="center" valign="middle" >Using the Internet as hobby, for entertainment or play (other than e-mail)</td></tr><tr><td align="center" valign="middle" >TV</td><td align="center" valign="middle" >Including the viewing of BS, CS, CATV, 1-seg</td></tr><tr><td align="center" valign="middle" >Radio</td><td align="center" valign="middle" ></td></tr><tr><td align="center" valign="middle" >Newspapers</td><td align="center" valign="middle" >Reading morning and/or evening editions of newspapers, trade journals, public relations magazines and leaflets</td></tr><tr><td align="center" valign="middle" >Magazines, comic books, books</td><td align="center" valign="middle" >Reading of weekly or monthly magazines, comic (books), books and catalogs</td></tr><tr><td align="center" valign="middle" >CDs, tapes</td><td align="center" valign="middle" >Listening to music on audio media other than radio, such as CD, digital audio player, tape, or record</td></tr><tr><td align="center" valign="middle" >Videos, HDDs, DVDs</td><td align="center" valign="middle" >Watching videos, HDDs, DVDs (including recorded programs)</td></tr><tr><td align="center" valign="middle" >Rest</td><td align="center" valign="middle" >Resting, enjoying tea or between-meals snacks, doing nothing</td></tr><tr><td align="center" valign="middle" >Other activities</td><td align="center" valign="middle" >Activities other than those described above</td></tr></tbody></table></table-wrap><p>activity from 0:00 to 0:03, his or her activity at 0:03 is decided. The above processing is repeatedly performed and the activity after 3 minutes is stochastically decided from the current activity. The activity transition probabilities are also estimated from the time use survey [<xref ref-type="bibr" rid="scirp.57141-ref12">12</xref>] . <xref ref-type="fig" rid="fig3">Figure 3</xref> shows an example of the simulation results of the daily activity schedules of a family.</p><p>Then, we estimate 3-minute demand profiles of electricity and hot water corresponding to the simulated living activities. <xref ref-type="table" rid="table2">Table 2</xref> and <xref ref-type="table" rid="table3">Table 3</xref> show the unit consumptions of electricity and hot water. For instance, when some family members watch TV from 8:00 to 10:00, 107 W electric power consumed by the TV occurs from 8:00 to 10:00. We assume that the whole demand for space heating and cooling is provided by electrical air conditioners, and the electric consumption for space heating and cooling is calculated separately by a household</p><fig id="fig2"  position="float"><label><xref ref-type="fig" rid="fig2">Figure 2</xref></label><caption><title> Daily activity schedule simulation by Markov chain model (schematic)</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x7.png"/></fig><fig id="fig3"  position="float"><label><xref ref-type="fig" rid="fig3">Figure 3</xref></label><caption><title> Example of simulated family activity schedules</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x8.png"/></fig><table-wrap id="table2" ><label><xref ref-type="table" rid="table2">Table 2</xref></label><caption><title> Electric power consumption of home electric appliances</title></caption><table><tbody><thead><tr><th align="center" valign="middle" >Home electric appliance</th><th align="center" valign="middle" >Electric power consumption (W)</th></tr></thead><tr><td align="center" valign="middle" >Hair dryer</td><td align="center" valign="middle" >775</td></tr><tr><td align="center" valign="middle" >Reading lamp</td><td align="center" valign="middle" >34</td></tr><tr><td align="center" valign="middle" >Microwave oven</td><td align="center" valign="middle" >1141</td></tr><tr><td align="center" valign="middle" >Rice cooker</td><td align="center" valign="middle" >1200</td></tr><tr><td align="center" valign="middle" >Laundry machine</td><td align="center" valign="middle" >400</td></tr><tr><td align="center" valign="middle" >Vacuum cleaner</td><td align="center" valign="middle" >776</td></tr><tr><td align="center" valign="middle" >Electric iron</td><td align="center" valign="middle" >1068</td></tr><tr><td align="center" valign="middle" >PC</td><td align="center" valign="middle" >50</td></tr><tr><td align="center" valign="middle" >TV</td><td align="center" valign="middle" >107</td></tr><tr><td align="center" valign="middle" >Radio</td><td align="center" valign="middle" >11</td></tr><tr><td align="center" valign="middle" >Component stereo</td><td align="center" valign="middle" >40</td></tr><tr><td align="center" valign="middle" >HD/DVD recorder</td><td align="center" valign="middle" >30</td></tr><tr><td align="center" valign="middle" >Refrigerator</td><td align="center" valign="middle" >80</td></tr><tr><td align="center" valign="middle" >Toilet seat</td><td align="center" valign="middle" >35</td></tr><tr><td align="center" valign="middle" >Others</td><td align="center" valign="middle" >200</td></tr></tbody></table></table-wrap><p>heating and cooling simulation model<sup>1</sup>. The house where the family lives is assumed to be a detached house in Tokyo. <xref ref-type="fig" rid="fig4">Figure 4</xref> shows the estimated electric power and hot water profiles of a typical household and the average of 200 households on a summer weekday. The demand estimation every 3 minutes successfully reproduces</p><table-wrap id="table3" ><label><xref ref-type="table" rid="table3">Table 3</xref></label><caption><title> Hot water consumption by daily activities</title></caption><table><tbody><thead><tr><th align="center" valign="middle"  rowspan="2"  >Activity</th><th align="center" valign="middle"  colspan="3"  >Hot water consumption (L/minute)</th><th align="center" valign="middle"  rowspan="2"  >Consumption probability</th></tr></thead><tr><td align="center" valign="middle" >Winter</td><td align="center" valign="middle" >Mid-season</td><td align="center" valign="middle" >Summer</td></tr><tr><td align="center" valign="middle" >Washing face</td><td align="center" valign="middle" >1.00</td><td align="center" valign="middle" >0.00</td><td align="center" valign="middle" >0.00</td><td align="center" valign="middle" >1</td></tr><tr><td align="center" valign="middle" >Bathing</td><td align="center" valign="middle" >1.67</td><td align="center" valign="middle" >2.00</td><td align="center" valign="middle" >2.50</td><td align="center" valign="middle" >1/3</td></tr><tr><td align="center" valign="middle" >Cooking</td><td align="center" valign="middle" >0.80</td><td align="center" valign="middle" >0.00</td><td align="center" valign="middle" >0.00</td><td align="center" valign="middle" >1/2</td></tr><tr><td align="center" valign="middle" >Filling the bath</td><td align="center" valign="middle" >6.67</td><td align="center" valign="middle" >6.67</td><td align="center" valign="middle" >6.67</td><td align="center" valign="middle" >1</td></tr><tr><td align="center" valign="middle" >Reheating the bath</td><td align="center" valign="middle" >2.67</td><td align="center" valign="middle" >2.67</td><td align="center" valign="middle" >2.67</td><td align="center" valign="middle" >1</td></tr></tbody></table></table-wrap><fig id="fig4"  position="float"><label><xref ref-type="fig" rid="fig4">Figure 4</xref></label><caption><title> Electric power and hot water demand profiles on a summer weekday</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x10.png"/></fig><p>spikes from using high-energy appliances, such as a hair dryer and microwave oven.</p></sec><sec id="s2_2"><title>2.2. Residential PV Output Estimation</title><p>The generated power from PV, <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x11.png" xlink:type="simple"/></inline-formula>, can be estimated by:</p><disp-formula id="scirp.57141-formula442"><label>(1)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x13.png"  xlink:type="simple"/></disp-formula><p>where<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x14.png" xlink:type="simple"/></inline-formula>: Global solar radiation (kW);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x15.png" xlink:type="simple"/></inline-formula>: Transformation coefficient of global solar radiation into solar irradiance on a roof in each season (summer: 1.022, winter: 1.389, mid-season: 1.146);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x16.png" xlink:type="simple"/></inline-formula>: Capacity of PV (kW);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x17.png" xlink:type="simple"/></inline-formula>: Power factor of PV (0.7);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x18.png" xlink:type="simple"/></inline-formula>: Solar radiation intensity (1.0 kW/m<sup>3</sup>).</p><p>We use 1-minute global solar radiation data observed at the Tokyo District Meteorological Observatory [<xref ref-type="bibr" rid="scirp.57141-ref13">13</xref>] and estimate the 3-minute electric power from the 3.0 kW PV system in summer, winter, and mid-season. <xref ref-type="fig" rid="fig5">Figure 5</xref> shows the estimated PV electric output profile on July 27<sup>th</sup> and the average profile in summer. As shown, the PV output profile draws a smooth curve on average, whereas the electric power fluctuates greatly.</p></sec><sec id="s2_3"><title>2.3. Energy Supply-Demand Simulation</title><p>We simulate energy supply-demand profiles every 3 minutes by using mixed integer programming. The target function of this programming minimizes the household energy cost. The household energy cost is composed of the initial cost of the energy apparatus (<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x19.png" xlink:type="simple"/></inline-formula>), electricity charge (<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x20.png" xlink:type="simple"/></inline-formula>), gas charge (<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x20.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x21.png" xlink:type="simple"/></inline-formula>), and benefit from selling PV electricity (<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x20.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x21.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x22.png" xlink:type="simple"/></inline-formula>):</p><disp-formula id="scirp.57141-formula443"><label>(2)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x23.png"  xlink:type="simple"/></disp-formula><p>Monthly amortized initial costs to purchase the energy apparatus can be derived by:</p><fig id="fig5"  position="float"><label><xref ref-type="fig" rid="fig5">Figure 5</xref></label><caption><title> PV electric output profiles</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x24.png"/></fig><disp-formula id="scirp.57141-formula444"><label>(3)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x25.png"  xlink:type="simple"/></disp-formula><p>where<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x26.png" xlink:type="simple"/></inline-formula>: Price of energy apparatus(JPY);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x27.png" xlink:type="simple"/></inline-formula>: Subsidy of energy apparatus (JPY);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x28.png" xlink:type="simple"/></inline-formula>: Lifespan of energy apparatus (year);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x29.png" xlink:type="simple"/></inline-formula>: Discount rate (0.01).</p><p>The price, subsidy, and lifespan of each energy apparatus are shown in <xref ref-type="table" rid="table4">Table 4</xref>.</p><p>Both electricity and gas charges are the sum of the basic charge and the commodity charge, as shown in the following equations:</p><disp-formula id="scirp.57141-formula445"><label>(4)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x30.png"  xlink:type="simple"/></disp-formula><disp-formula id="scirp.57141-formula446"><label>(5)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x31.png"  xlink:type="simple"/></disp-formula><p>where<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x32.png" xlink:type="simple"/></inline-formula>: Grid electricity consumption at time <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x32.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x33.png" xlink:type="simple"/></inline-formula> on day <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x32.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x33.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x34.png" xlink:type="simple"/></inline-formula> (kWh);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x35.png" xlink:type="simple"/></inline-formula>: Gas consumption at time <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x35.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x36.png" xlink:type="simple"/></inline-formula> on day <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x35.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x36.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x37.png" xlink:type="simple"/></inline-formula> (m<sup>3</sup>);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x38.png" xlink:type="simple"/></inline-formula>: Monthly basic charge of electricity (JPY/month);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x39.png" xlink:type="simple"/></inline-formula>: Commodity charge rate of electricity (JPY/kWh);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x40.png" xlink:type="simple"/></inline-formula>: Monthly basic charge of gas (JPY/month);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x41.png" xlink:type="simple"/></inline-formula>: Commodity charge rate of gas (JPY/m<sup>3</sup>).</p><p>Basic charges and commodity charge rates of electricity and gas follow TEPCO and Tokyo Gas’s pricing.</p><p>The selling benefit depends on the electricity from PV back to the grid. It is obtained by:</p><disp-formula id="scirp.57141-formula447"><label>(6)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x42.png"  xlink:type="simple"/></disp-formula><p>where<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x43.png" xlink:type="simple"/></inline-formula>: Selling unit price of electricity from PV (42 JPY/kWh);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x44.png" xlink:type="simple"/></inline-formula>: Electricity from PV back to the grid at time <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x44.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x45.png" xlink:type="simple"/></inline-formula> on day <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x44.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x45.png" xlink:type="simple"/></inline-formula><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x46.png" xlink:type="simple"/></inline-formula> (kWh).</p><p>CO<sub>2</sub> emissions by energy consumption are also calculated by setting the CO<sub>2</sub> emission basic units as below:</p><disp-formula id="scirp.57141-formula448"><label>(7)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x47.png"  xlink:type="simple"/></disp-formula><p>where<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x48.png" xlink:type="simple"/></inline-formula>: CO<sub>2</sub> emission basic unit of electricity (0.69 kg-CO<sub>2</sub>/kWh);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x49.png" xlink:type="simple"/></inline-formula>: CO<sub>2</sub> emission basic unit of electricity (2.21 kg-CO<sub>2</sub>/m<sup>3</sup>).</p><p>This mixed integer programming consists of 461,432 equations and 389,462 variables about cost, CO<sub>2</sub> emissions, energy balance, and household energy apparatus (fuel cell, PV, and battery). <xref ref-type="table" rid="table5">Table 5</xref> shows performances of our assumed household energy apparatus.</p></sec></sec><sec id="s3"><title>3. Results and Discussion</title><p>We simulate household energy supply and demand every 3 minutes with various combinations of energy appa-</p><table-wrap id="table4" ><label><xref ref-type="table" rid="table4">Table 4</xref></label><caption><title> Price, subsidy, and lifespan of household energy apparatus</title></caption><table><tbody><thead><tr><th align="center" valign="middle" ></th><th align="center" valign="middle" >Price (10<sup>3</sup> JPY)</th><th align="center" valign="middle" >Subsidy (10<sup>3</sup> JPY)</th><th align="center" valign="middle" >Lifespan (year)</th></tr></thead><tr><td align="center" valign="middle" >Gas tankless water heater</td><td align="center" valign="middle" >360.0</td><td align="center" valign="middle" >0.0</td><td align="center" valign="middle" >10</td></tr><tr><td align="center" valign="middle" >Fuel cell</td><td align="center" valign="middle" >2761.5</td><td align="center" valign="middle" >850.0</td><td align="center" valign="middle" >10</td></tr><tr><td align="center" valign="middle" >Battery</td><td align="center" valign="middle" >1680.0</td><td align="center" valign="middle" >0.0</td><td align="center" valign="middle" >10</td></tr><tr><td align="center" valign="middle" >PV</td><td align="center" valign="middle" >1740.0</td><td align="center" valign="middle" >144.0</td><td align="center" valign="middle" >20</td></tr></tbody></table></table-wrap><table-wrap id="table5" ><label><xref ref-type="table" rid="table5">Table 5</xref></label><caption><title> Household energy apparatus performances</title></caption><table><tbody><thead><tr><th align="center" valign="middle" >Apparatus</th><th align="center" valign="middle" >Performance</th><th align="center" valign="middle" >Value</th></tr></thead><tr><td align="center" valign="middle" >Fuel cell stack</td><td align="center" valign="middle" >Maximum gas consumption (kW)</td><td align="center" valign="middle" >2.08</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Power generation efficiency</td><td align="center" valign="middle" >0.36</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Heat recovery efficiency</td><td align="center" valign="middle" >0.45</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Minimum load factor</td><td align="center" valign="middle" >0.33</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Maximum load factor</td><td align="center" valign="middle" >1.00</td></tr><tr><td align="center" valign="middle" >Back up heater</td><td align="center" valign="middle" >Heat recovery efficiency</td><td align="center" valign="middle" >0.80</td></tr><tr><td align="center" valign="middle" >Electric heater</td><td align="center" valign="middle" >Heat recovery efficiency</td><td align="center" valign="middle" >0.90</td></tr><tr><td align="center" valign="middle" >Storage tank</td><td align="center" valign="middle" >Capacity (L)</td><td align="center" valign="middle" >200</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Hot water temperature (degree C)</td><td align="center" valign="middle" >60</td></tr><tr><td align="center" valign="middle" >Battery</td><td align="center" valign="middle" >Capacity (kWh)</td><td align="center" valign="middle" >6.60</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Charge discharge efficiency</td><td align="center" valign="middle" >0.90</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Self-discharge rate (in 3 minutes)</td><td align="center" valign="middle" >2.00 &#215; 10<sup>−5</sup></td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Minimum charged rate</td><td align="center" valign="middle" >0.10</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Maximum charged rate</td><td align="center" valign="middle" >0.90</td></tr><tr><td align="center" valign="middle" ></td><td align="center" valign="middle" >Maximum charge discharge power (kVA)</td><td align="center" valign="middle" >1.50</td></tr></tbody></table></table-wrap><p>ratus: fuel cell, battery, PV, and a conventional gas tankless water heater (efficiency = 0.80). <xref ref-type="table" rid="table6">Table 6</xref> shows the combinations of household energy apparatus assumed in each case in this study. In the hybrid generation (HB) and hybrid with battery (HB + BT) cases, both a fuel cell and a PV system are installed. Then, we evaluate electricity consumptions, energy costs and CO<sub>2</sub> emissions for six cases. We don’t evaluate gas consumptions directly, but we indirectly consider the consumptions by energy costs and CO<sub>2</sub> emissions calculation in Equations (5) and (7).</p><sec id="s3_1"><title>3.1. Electric Self-Sufficiency Evaluation</title><p><xref ref-type="fig" rid="fig6">Figure 6</xref> shows the annual electricity consumptions in each case. Here, the electricity self-sufficiency rate <inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x50.png" xlink:type="simple"/></inline-formula> is calculated by:</p><disp-formula id="scirp.57141-formula449"><label>(8)</label><graphic position="anchor" xlink:href="http://html.scirp.org/file/3-2900211x51.png"  xlink:type="simple"/></disp-formula><p>where<inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x52.png" xlink:type="simple"/></inline-formula>: Annual electricity generated from the fuel cell (kWh/year);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x53.png" xlink:type="simple"/></inline-formula>: Annual electricity generated from the PV (kWh/year);</p><p><inline-formula><inline-graphic xlink:href="http://html.scirp.org/file/3-2900211x54.png" xlink:type="simple"/></inline-formula>: Annual electricity demand (kWh/year).</p><p>In the base case, the total electricity consumption of 6487 kWh is supplied from the grid. When a fuel cell is installed into the household, about 4000 kWh of electricity is generated from the fuel cell, and it provides for about 60% of the total electricity consumption in each household. When the residential PV system is introduced, surplus electricity from the PV goes back to the grid. More electricity can be reversely transmitted when the</p><table-wrap id="table6" ><label><xref ref-type="table" rid="table6">Table 6</xref></label><caption><title> Combinations of household energy apparatus we assumed</title></caption><table><tbody><thead><tr><th align="center" valign="middle" ></th><th align="center" valign="middle" >Gas tankless water heater</th><th align="center" valign="middle" >Fuel cell</th><th align="center" valign="middle" >Battery</th><th align="center" valign="middle" >PV</th></tr></thead><tr><td align="center" valign="middle" >Base case (BASE)</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td></tr><tr><td align="center" valign="middle" >Fuel cell (FC)</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td></tr><tr><td align="center" valign="middle" >Fuel cell with battery (FC + BT)</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td></tr><tr><td align="center" valign="middle" >PV</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td></tr><tr><td align="center" valign="middle" >Hybrid generation (HB)</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td></tr><tr><td align="center" valign="middle" >Hybrid with battery (HB + BT)</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >X</td></tr></tbody></table></table-wrap><fig id="fig6"  position="float"><label><xref ref-type="fig" rid="fig6">Figure 6</xref></label><caption><title> Annual electricity supplied from household energy apparatus and from/back to the grid</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x55.png"/></fig><p>household has the hybrid generation system and battery. In the case of HB and HB + BT, electricity back to the grid is more than the purchased electricity, and thus the electricity self-sufficiency rates are over 100%. This result indicates that a household with a fuel cell and a PV system is a net-zero energy house (NZEH).</p></sec><sec id="s3_2"><title>3.2. Economic Assessment</title><p><xref ref-type="fig" rid="fig7">Figure 7</xref> shows the annual energy costs in each case. First, we assess the economic effect of the fuel cell by comparing the energy cost in the FC case to that in the base case. The total energy cost is 294.9 thousand JPY/ year in the base case and 392.7 thousand JPY/year in the FC case, and the annual cost increases by 97.8 thousand JPY/year when a fuel cell is installed. The cost increase is caused by the additional amortized initial cost for the fuel cell (+163.8 thousand JPY/year) and exceeds the energy charge saving (−66.0 thousand JPY/year). Next, we appraise the economic effect of using a battery with a fuel cell by comparing energy costs in the FC case and the FC + BT case. The annual energy cost is 392.7 thousand JPY/year in the FC case and 570.1 thousand JPY/year in the FC + BT case, which is about 1.5 times greater. The initial cost difference of 177.4 thousand JPY/year directly influences the total energy cost. The energy charges saved are very low because peak- load pricing is not considered. Finally, we assess the influence on the energy cost by installing a residential PV system. As a result of the comparison between the base and the PV case, or between the FC case and the HB case, we find that the energy cost slightly decreases by introducing the PV system into the household. This is mainly due to the benefit of selling surplus electricity from the PV. Although the energy charge in the HB+BT case is relatively high, this is offset by the selling benefit.</p></sec><sec id="s3_3"><title>3.3. Environmental Evaluation</title><p><xref ref-type="fig" rid="fig8">Figure 8</xref> shows annual CO<sub>2</sub> emissions by household energy use in each case. First, we evaluate the environ-</p><fig id="fig7"  position="float"><label><xref ref-type="fig" rid="fig7">Figure 7</xref></label><caption><title> Annual energy costs</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x56.png"/></fig><fig id="fig8"  position="float"><label><xref ref-type="fig" rid="fig8">Figure 8</xref></label><caption><title> Annual CO<sub>2</sub> emissions</title></caption><graphic mimetype="image"   position="float"  xlink:type="simple"  xlink:href="http://html.scirp.org/file/3-2900211x57.png"/></fig><p>mental effect of the fuel cell by comparing CO<sub>2</sub> emission in the FC case to that in the base case. In the base case, 4.03 t CO<sub>2</sub> is emitted every year; on the other hand, 3.12 t CO<sub>2</sub> is emitted in the FC case. Introducing a fuel cell reduces CO<sub>2</sub> emission by 22.4%, and its marginal cost is 108.5 thousand JPY/t CO<sub>2</sub>. Second, we assess the environmental impact of installing the PV system. The annual CO<sub>2</sub> emission is 2.88 t CO<sub>2</sub> and a reduction of 1.95 t CO<sub>2</sub> emission is enabled by the residential PV system. This reduction is equivalent to 28.4% of the CO<sub>2</sub> emission in the base case. The marginal cost for CO<sub>2</sub> reduction is 34.8 thousand JPY/t CO<sub>2</sub>, when the selling benefit is not considered. Third, we evaluate the reduction of CO<sub>2</sub> emission by installing the hybrid generation system. The comparison between the base case and the HB case suggests that 2.00 t CO<sub>2</sub>, or 49.5% of CO<sub>2</sub> emission, can be reduced each year by the household fuel cell and the PV system. The social marginal cost excluding the selling benefit is 100.0 thousand JPY/t CO<sub>2</sub>.</p></sec></sec><sec id="s4"><title>4. Conclusion</title><p><xref ref-type="table" rid="table7">Table 7</xref> summarizes the electric self-sufficiency, economic, and environmental effects by installing various household energy apparatus. Introducing a fuel cell and a PV enables the reduction of CO<sub>2</sub> emission from the residential sector, although the initial costs for purchasing these apparatus are required. The introduction cost of the residential PV system can be offset by selling surplus electricity from the PV back to the grid. On the other hand, a fuel cell costs an additional 100 thousand JPY in each year. Using a battery with a fuel cell does not have any effects on a household’s electric self-sufficiency or CO<sub>2</sub> emission, and increases the annual energy cost by 170 - 180 thousand JPY. For further study on introducing a battery into a household, cost-driven measures such as peak load pricing have to be considered. Furthermore, we focus on economic and environmental impacts of household energy use, and we don’t examine the impacts of manufacturing and disposing energy apparatus.</p><table-wrap id="table7" ><label><xref ref-type="table" rid="table7">Table 7</xref></label><caption><title> Combinations of household energy apparatus we assumed</title></caption><table><tbody><thead><tr><th align="center" valign="middle" ></th><th align="center" valign="middle" >Fuel cell</th><th align="center" valign="middle" >Battery</th><th align="center" valign="middle" >PV</th><th align="center" valign="middle" >Self-sufficient rate</th><th align="center" valign="middle" >Energy cost (10<sup>3</sup> JPY/year)</th><th align="center" valign="middle" >CO<sub>2</sub> emission (t CO<sub>2</sub>/year)</th></tr></thead><tr><td align="center" valign="middle" >Base</td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" >0%</td><td align="center" valign="middle" >294.9</td><td align="center" valign="middle" >4.03</td></tr><tr><td align="center" valign="middle" >FC</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" >61%</td><td align="center" valign="middle" >392.7</td><td align="center" valign="middle" >3.12</td></tr><tr><td align="center" valign="middle" >FC + BT</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >61%</td><td align="center" valign="middle" >570.1</td><td align="center" valign="middle" >3.12</td></tr><tr><td align="center" valign="middle" >PV</td><td align="center" valign="middle" ></td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >43%</td><td align="center" valign="middle" >288.9</td><td align="center" valign="middle" >2.88</td></tr><tr><td align="center" valign="middle" >HB</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" ></td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >101%</td><td align="center" valign="middle" >378.3</td><td align="center" valign="middle" >2.03</td></tr><tr><td align="center" valign="middle" >HB + BT</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >X</td><td align="center" valign="middle" >101%</td><td align="center" valign="middle" >548.4</td><td align="center" valign="middle" >2.10</td></tr></tbody></table></table-wrap><p>For comprehensive economic and environmental evaluation, we need to carry out macro-economic analysis and life cycle assessment (LCA) of those energy apparatuses.</p></sec><sec id="s5"><title>NOTES</title></sec></body><back><ref-list><title>References</title><ref id="scirp.57141-ref1"><label>1</label><mixed-citation publication-type="other" xlink:type="simple">Agency for Natural Resources and Energy (2014) Annual Report on Energy.</mixed-citation></ref><ref id="scirp.57141-ref2"><label>2</label><mixed-citation publication-type="other" xlink:type="simple">National Institute for Environmental Studies (2015) National GHGs Inventory Report of Japan.</mixed-citation></ref><ref id="scirp.57141-ref3"><label>3</label><mixed-citation publication-type="other" xlink:type="simple">Panayiotou, G., Kalogirou, S. and Tassou, S. 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