Mobile QR Code QR CODE : Journal of the Korean Society of Civil Engineers
Title Case Analysis of Conflicts in Renewable Power Generation Projects Using Non-cooperative Game Theory
Authors 박재현(Park, Jaehyon) ; 김경국(Kim, Kyeongkuk) ; 김경석(Kim, Kyeongseok)
Page pp.215-221
ISSN 10156348
Keywords 신재생에너지; 비협조적 게임이론; 내쉬균형; 파레토최적; 갈등 Renewable energy; Non-cooperative game theory; Nash equilibrium; Pareto efficiency; Conflict
Abstract The government is encouraging the expansion of renewable energy facilities through national renewable energy policy. However, the installation of renewable energy generation facilities has led to local resident complaints due to landscape degradation, electromagnetic wave emission, real estate devaluation, and environmental pollution. This creates conflicts between power project developers and residents, making the progress of projects more difficult. This study applies non-cooperative game theory to analyze eight cases of renewable energy projects where conflicts between developers and residents were resolved through resident’s investment participation. By accepting investments from local stakeholders, residents achieved returns ranging from a maximum of 25 % to a minimum of 4.1 %. It was found through game theory analysis that a dominant strategy involves residents agreeing to the development of the project and the developers sharing a portion of the profits with the residents. The analysis results show that the point where dominant strategy meet forms a Nash equilibrium, and at the same time becomes the Pareto optimal point, benefiting both power generation operators and residents.