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Energies 2017, 10, 413 4 of 26 The trend line in Figure 1 is representative of the average specific cost among all of the technologies considered. It is a good approximation to consider ORC competitive whenever the specific cost of the plant falls below this trend line. Based on the results shown in Figure 1, the specific cost of ORC units should not exceed the value of 3500 e/kW and 2500 e/kW, respectively, in the power range of 5–10 kW and 10–100 kW. Notice that the technologies that have a specific cost that is lower than the average value are ICEs, gas turbines and solar. Arguably, all of them present some weaknesses with respect to the ORC technologies, for example: gas turbines and ICEs burn fuel to produce electricity, emitting CO2. The purchase of the fuel represents an additional cost to operate such plants, while the CO2 emissions deny access to incentives and increase the emissions of green house gases. On the other hand, PVs do not guarantee a continuous production of electricity during the day and throughout the year. Generally, an important catalyst for the widespread dissemination of the ORC technology is the price of electricity, i.e., the price at which industries buy electricity from the grid. In fact, those countries in which the specific price of the electrical energy is higher guarantee a more attractive payback period. Figure 2 displays the cost of electricity in European countries for the period 2014–2016 [25]. 20 18 16 14 12 10 8 6 4 2 0 2014 2015 2016 Figure 2. Electricity price for industries in European countries in the years 2014–2016 [25]. Italy, Malta, Germany and the United Kingdom are among the countries in which electricity costs are highest, whilst Sweden and Finland are listed among those countries in which the cost of electricity is lowest. Additionally, it is evident from Figure 2 that the fluctuation of the price of electricity has not been high in the last three years. Given the situation depicted with respect to the energy market, the incentive to invest in ORC technology can be related to the actual incentive scenario in European countries, presented in Section 2.1. 2.1. European Incentives Scenario The incentives for the ORC market fall under two main categories. On tone side, ORC power plants based on renewable energy sources (such as biomass, biogas, solar thermal or geothermal) may benefit from incentives and subsidies to promote the transition towards an increased share of renewable energy in the overall energy mix. On the other side, ORC power plants based on waste heat sources receive incentives under energy efficiency programs. The former is regulated by guidelines and recommendations as described in Directive 2009/28/EC of the European Parliament and of the Council. The latter is regulated by Directive 2012/27/EU of the European Parliament and of the Council, which promotes energy efficiency. €ct/kWhPDF Image | Small Scale Organic Rankine Cycle (ORC)
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