Modeling Uncertainty of InducedTechnological Change
Andrii Gritsevskyi and Nebojsa Nakicenovic
This chapter presents a new method for modeling induced technological learning and uncertainty in energy systems. Three related features are introduced simultaneously: (1) increasing returns to scale for the costs of new technologies; (2) clusters of linked technologies that induce learning depending on their technological “proximity” and the technology relations through the structure of the energy system; and (3) uncertain costs of all technologies and energy sources.
The energy systems-engineering model MESSAGE developed at the International Institute for Applied Systems Analysis (IIASA) was modified to include these ...