Title :
Replacing an old household furnace with a new one: An evaluation
Author :
Patel, N. ; Wahab, M.I.M.
Author_Institution :
Dept. of Mech. & Ind. Eng., Ryerson Univ., Toronto, ON, Canada
Abstract :
A Hull-White one factor model based analysis has been presented to evaluate the savings of replacing an old residential furnace with a new high efficiency residential furnace. Savings is calculated by a dynamic programming approach based on a trinomial tree representing the spot prices of natural gas, the most widely used fuel for residential furnaces. The analysis may help both policy makers in government agencies and homeowners in saving energy costs and reducing carbon emissions.
Keywords :
domestic appliances; dynamic programming; furnaces; heat systems; trees (mathematics); Hull-White one factor model based analysis; carbon emission reduction; dynamic programming; energy cost saving; government agencies; homeowners; household furnace; residential furnace; trinomial tree; Costs; Dynamic programming; Energy consumption; Energy measurement; Fuels; Furnaces; Government; Natural gas; Space heating; Stochastic processes; Hull-White model; dynamic programming; mean-reverting process;
Conference_Titel :
Service Systems and Service Management (ICSSSM), 2010 7th International Conference on
Conference_Location :
Tokyo
Print_ISBN :
978-1-4244-6485-2
DOI :
10.1109/ICSSSM.2010.5530269
