Energy Planning and Policy Program Assignment | Homework For You

Question 1 (25 marks)
Assume that the Energy Balance (on page 40 of your lecture notes) is for country X, for the year years 2016, and the Updated Energy Balance (on page 41) – for the year 2019.How will you modify this Updated Energy Balance if, in addition to the information already available, the following information – for the year 2019 – also becomes available: electricity and gas transmission losses in that year will be 10 and 3 per cent, respectively; and a new nuclear plant will produce 4PJ of electricity. Provide only the modified table, with key assumptions and the underlying reasoning behind modified values noted below the table. (one table and no more than three dot points, with each dot point no more than three lines.)
Question 2 (15 marks)
‘Continental Power’ produces and sells electricity. In the year 2016, the total market value of electricity sold by the company was $7.6 million. The production process consumed raw materials worth $3.3million, $1.6 million was paid as rent for land, $1.7million for interest on capital, and $4 million for wages in that year. The company sold $0.8million worth of electricity to a neighbouring country. The company paid, to the government, $0.4 million by way of indirect taxes during the year. On the basis of this information please determine the following (please show your workings for your answers):
a) Profit made by the company in the year 2016.
b) Value Added by the company for the year 2016. Get Economics homework help today