Practical approaches for applying thermoeconomic analysis to energy conversion systems: Benchmarking and comparative application

In the last decades, thermoeconomic analysis emerged as a combination of exergy analysis and cost accounting principles, widely used for multiple purposes: to account for the exergy and economic costs of energy systems products, to derive the structures of such costs for the design optimization purpose, and to perform system diagnosis quantifying the source and the impact of malfunctions and dysfunctions within the analyzed process. Traditionally, thermoeconomic analysis is referred to as Exergy Cost Analysis or Exergoeconomic Cost Analysis. The former is based on the so-called Exergy Cost Theory, focused on the evaluation of exergy cost of the system products, while the latter is focused on the evaluation of monetary cost following the same theory. Currently, many practical approaches are available in the literature for the application of thermoeconomic analysis and Exergy Cost Theory to energy conversion systems, while a comprehensive classification, benchmarking and comparison of such approaches is missing. This paper aims to fill this gap through the following activities: first of all, a brief but comprehensive literature review related to the theoretical developments and applications of thermoeconomic analysis method is performed. Secondly and for the purpose of benchmarking, the main practical approaches identified for the application of Exergy Cost Theory are presented and formalized, including the fundamental aspects related to the definition of auxiliary relations and the reallocation of the exergy cost of the residues. Finally, the identified approaches are comparatively applied to the standard CGAM problem, and the advantages and drawbacks of each approach are discussed. It is found that the definition of the functional diagram and the numerical solution of the system through input-output analysis seem to be more straightforward with respect to the other approaches, leading also to the formalization of an unambiguous method to reallocate the exergy cost of the residual flows.