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The Canadian MARKAL model

The MARKAL model is an advanced, technology explicit, bottom-up energy and environment model based on the computation of a partial equilibrium on energy and emission permit markets. The equilibrium is based on the computation of maximum total social surplus, consisting of the sum of suppliers and consumers surpluses. The model incorporates all major advances in bottom-up energy modeling that have contributed to the strong interest in this paradigm in the last several years, such as:
- Extensive, detailed description of a large data base of existing and future technologies
- Explicit, technology-by-technology representation of capital stock turnover
- Long term horizon, with the explicit accounting of the residual value (salvage value) of capital at the end of the horizon
- Price elastic demands, where the levels of industrial and other sectors outputs are responsive to an endogenous change in the price of each output commodity
- Multi-regional capability, with explicit variables representing the trade of energy, permits and materials between regions
- Rigorous treatment of uncertainty by means of Stochastic Programming
- Endogenous Technological Learning (ETL), allowing the cost of a new technology to be dependent on the accumulated experience with that technology
- Advanced shells such as ANSWER and VEDA-FE, and a powerful results analyzer -VEDA-BE
In addition to these intrisic features, MARKAL benefits from a considerable body of expertise and experience throughout he World, thanks to the presence and leadership of the Energy Technology Systems Analysis Programme (ETSAP), an implementing agreement of the International Energy Agency, active since 1976. ETSAP, along with its individual member teams, has been the catalyst to many developments of the model that now benefit all MARKAL users.
MARKAL has been used for a large number of national and international studies and reports (see also the ETSAP web site), on all aspects of energy systems, with a recent predominance of issues related to the emission of Greenhouse gases and of other atmospheric pollutants.
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The North American MARKAL (MARKAL-NA) was built at HALOA and KanORS in order to serve the needs of energy and environmental analysts and policy advisers in Canada. It consists of 13 linked regional models of the Canadian provinces and territories, plus one US model. The 14 modules are operated as a single integrated North American model, thanks to a detailed representation of the main energy trade linkages between all pairs of regions. MARKAL-NA is a particularly rich incarnation of the MARKAL model, whose data-base comprises more that 10,000 technologies. The technological data-bases are constantly improved and enriched by specific sectoral studies and by new data originating in the many projects accomplished by our two companies.



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