Research Reports
An Analysis on the Diffusion of Energy-Saving Facilities and Policy Suggestions for Agriculture
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AuthorKim, Yeanjung
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Publication Date2009.11.01
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Original
The level of energy consumption in the agricultural and fisheries sector is small, accounting for about 1.8% of the nation's total energy consumption. However, energy consumption takes up a very large portion of production cost at the individual farmhouse level.
The main purpose of this research is to review the possibilities of supplying energy-saving facilities with annual targets until 2020 and to present efficient ways to supply them by estimating the annual effects of government spending, CO2 reduction, and cost-reduction at the farmhouse level.
According to estimates, the supply and demand for geothermal heat pumps has been restricted even though the equipment is evaluated to have economic benefits. This is because the burden of initial investment is large and resulting effects are uncertain. In the case of timber pellets, it is hard to purchase them periodically and the price is high compared to its thermal efficiency. And then there is the difficulty of securing storage space to stock up the voluminous pellets. In the case of LED fishing lamps, there has not been an increase in the supply and this can be attributed to the fact that no experiment has been performed to validate the claim that the amount of fish caught will not be reduced due to the installation of LED fishing lamps.
In order to promote the use of renewable energy, it is necessary to provide financial support to energy-saving facilities. Since the current tax-free petroleum policy for farms is available for a limited period of time, it is necessary to make careful follow-up measures. It is especially essential to encourage the use of renewable energy in such facilities as large high-tech greenhouses. Also, specialized experts and construction companies should be fostered so that they can install specialized facilities that are suitable for different farming environment. Also, rules and relevant measures should be institutionalized to prevent shoddy construction by unqualified contractors.
In order to save energy, the government should continuously invest in research and development. Although renewable energy facilities are expensive currently, the possibility of expanding the demand for the facilities is very high since the supply price can be drastically lowered through continued research and development.
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