Smart grid value analysis model based on sustainable development

At present, as many countries and regions promote the smart grid construction, preliminary effects have been achieved in aspect of smart grid technology application, however, assessment of application and promotion effects of smart grid technology are centered upon quantitative direct economic benefit and qualitative environmental protection benefit, while its true value has yet not been measured accurately. In accordance with structure of the power market and its pricing theory, from the perspective of sustainable development, and based on the theory of marginal opportunity cost, this paper gives an in-depth analysis of smart grid value composition. Different from previous evaluation of energy resource value using the theory of marginal opportunity cost, this paper proposes that smart grid value should comprise three parts, namely marginal production cost (MPC), marginal external benefit (MEB) and marginal user benefit (MUB), in the meantime, the MUB is further defined as intergenerational benefit. Aiming at the three parts in the smart grid value composition, this paper provides a corresponding analysis model.