Tag Archive: Market

Cost Efficiency – Lifecycle and Cost Analysis to the Rescue

Traditionally buying and building decision are taken with accounting mainly for purchasing costs. While the upfront paying for building a new house or buying a new car may seem the most relevant factor and intuitively comprehensible, it is only one – and actually quiet incomplete – part of the real costs over the lifetime of an item. According to the Rocky Mountain Institute (RMI) Applying “life cycle and cost analysis” (LCCA) is an efficient way to learn about the real costs of design and buying decisions and more and more engineers and customers are using it. Some interesting insights …

EIO – Carbon Ranking Methodology Explained

The EIO’s new environmental tracking carbon index methodology deserves a short explanation because it highlights the complex ecologic, economic and political context of carbon ranking. First, one has to consider the multiple goals of the ranking: It aims both at measuring reliably and comprehensively corporate greenhouse gases emission (GHG) intensity as well as at incentivising companies to become more transparent about their emissions and to verify GHG data. These requirements translate into a rather complex methodology, which I will try to explain in three steps. Please note that corresponding to the EIO’s transparency goal, only publicly available data was …

China – Coal Power Stations Reduce Output

China’s generally very effective development machine faces new challenges. With inflation and particularly coal prices on the rise and heavily relying on export oriented low cost and energy intensive industries, China’s bureaucracy scrambles to keep electricity costs down. One might consider this to be an easy task. After all, utilities are state controlled and basically have to follow orders. However, this time it’s different. Confronted with dramatically rising expenses on coal, rapidly increasing demand and artificially low and inflexible prices, power utilities struggle to be profitable. Many of them actually produce at a net loss. The financial situation is …