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Benchmarking thermal energy storage cost for industrial process heat

Process heat accounts for roughly half of industrial energy demand, and currently 95% of process heat is derived from the combustion of natural gas, oil, and coal. Electrification of industrial heating could be an alternative, potentially expanding locations suitable for manufacturing; however, industrial facility owners may desire energy storage to stabilize energy costs. In this work, the economic benefits of pairing thermal storage with electrified process heat to reduce the average price paid for energy are analyzed. Cost savings focus on energy arbitrage, or leveraging flexible energy pricing schemes, alone. The cost of natural gas combustion across decades (2019-2060) is compared to the costs of electricity and thermal energy storage in four United States Independent System Operator (ISO) regions. Systems installed today may not yield positive net present value (NPV) compared to the use of natural gas. However, using estimated electricity prices, systems installed in 2030 using arbitrage alone could be profitable when compared to natural gas in some regions of the U.S. Furthermore, if capital expenditures could be reduced by 50% for sensible thermal storage systems by 2030, profitable systems are found across all regions. This implies that electrification of industrial process heat, when paired with inexpensive thermal energy storage systems, could be less expensive than brownfield natural gas systems, using arbitrage as the only source of revenue and without a dependency on any future policy drivers such as pricing externalities that could further incentivize the electrification of industrial process heat.

24 POWER TRANSMISSION AND DISTRIBUTION↗

Impact of Temperature and Optical Error on the Combined Optical and Thermal Efficiency of Solar Tower Systems for Industrial Process Heat: Preprint

Concentrating solar thermal (CST) power towers can provide high flux concentrations at commercial scale. As a result, CST towers exhibit potential for high-temperature solar industrial process heat (SIPH) applications. However, at higher operating temperatures, thermal radiation losses can be significant. This study explores the trade-off between thermal and optical losses for SIPH applications using a collection of three case studies at operating temperatures that range from 900-1,550 degrees C. We assume blackbody radiation to represent the thermal losses at the receiver and we use ray tracing to estimate the optical losses. The results show the impact of process temperature on the maximum attainable system efficiency, as well as the higher flux concentration requirements as the temperature increases.

concentrating solar power↗

Opportunities for Solar Industrial Process Heat in the United States

Energy used in the production and processing of materials and products represents a significant fraction of the overall energy footprint of the industrial sector. Solar technologies may provide suitable alternative to existing combustion technologies, but their relevance for industries in the United States has been largely unexplored at the necessary levels of spatial, temporal, and operational detail. To provide the first assessment of the technical opportunities for solar technologies to meet the demand for process heat in the United States, we first develop estimates of energy use by process temperature at the county and hourly resolutions for all manufacturing industries. We then estimate the opportunities for seven solar technology packages—comprised of solar thermal and photovoltaic-connected electrotechnologies—to meet process heat demand given solar resources and available land area by county.

14 SOLAR ENERGY↗

Process Heat for Chemical Industry

Process heating with nuclear energy can reduce greenhouse gas emissions by reducing combustion of fossil fuels in fired heaters as steam boilers. Light water reactors can replace the majority of steam duties used by industry; however, high temperature processes such as steam methane reforming require advanced high temperature reactors. Here, guidance on matching the scale of nuclear reactors with specific industries is provided. Principles of heat transport, temperature boosting, and substitution for hot combustion gases are also discussed in this section.

22 GENERAL STUDIES OF NUCLEAR REACTORS↗

Renewable Thermal Hybridization Framework for Industrial Process Heat Applications

Renewable thermal energy systems (RTES) could be hybridized with different renewable options (e.g., flat plate collectors (FPCs) with parabolic collectors), or combined with existing heat supplies (e.g., fossil fuels), to give options for targeted solar IPH applications, industrial decarbonization and the reduction of fuel consumption. Buildings and industrial thermal energy applications require different temperature ranges, quantities, and rates of thermal energy, and as such require flexible, cost competitive solutions, able to provide heat over various temperature ranges. Hybrid solutions and thermal energy storage (TES) will be important for the dispatch of heat at optimal times needed by the demand side of the buildings and industrial applications. A variety of tools and platforms, such as the System Advisor Model (SAM), can provide hourly thermal yield simulations from single renewable energy (RE) technology options, including FPCs or CSP for solar IPH. We have investigated a variety of approaches to hybrid system modeling for RTES at different temperatures or combinations of technologies and developed an initial framework. The hybridization framework starts by creating a heat stream and raising the temperature of that heat stream by various combinations of RE technologies and other sources such as fossil fuels, new fuels or electric heating in multiple stages, with options for TES and/or waste heat recovery (WHR).

43 PARTICLE ACCELERATORS↗

Heliostat Sizing Methodology for Solar Heat for Industrial Processes

This study presents a method to obtain a heliostat size that minimizes the levelized cost of a heliostat-based concentrating solar thermal system for industrial process heat (IPH) applications at operating temperatures from 565 to 1550 degrees Celsius. The method extends prior work by embedding a routine for system design that obtains near-optimal subsystem sizes, increasing the fidelity of drive cost functions, and adding an optical performance model. An illustrative business case is developed for Daggett, California, targeting specified annual thermal energy outputs of 50 to 400 GWhth. Optical performance is modeled using verified estimates from the literature. A surrogate heliostat cost model, derived from commercial heliostat designs and scaled for production volume, installation, and operations and maintenance costs, is used to develop cost functions. Results show that heliostat size strongly affects the levelized cost of heat (LCOH), producing a characteristic U-shaped trend with a robust near-optimal window of 8 - 12 m2; the heliostat size producing the lowest project cost in our study grows slightly as the project size increases, and is reduced as the operating temperature increases. The findings in this study are consistent with the general trend of smaller heliostats under deployment at existing projects for high-temperature industrial process heat and reflect the significant reduction in power electronics and other per-heliostat costs. The methodology we propose is general and can be tailored to revised cost curves as the technology continues to evolve.

14 SOLAR ENERGY↗

Clean Industry in China: A Techno-Economic Comparison of Electrified Heat Technologies, Barriers, and Policy Options

China’s manufacturing sector generates 61% of the country’s CO 2 emissions, nearly three-quarters of which is related to industrial process heating. To meet China’s climate targets and attain a zero-carbon industrial sector, decarbonizing these industrial heating processes is a necessity. If China’s electricity grid is similarly decarbonized, direct electrification is the most practical means of supplying this heat efficiently at the required scale.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

Hybrid Solar Heat Generation Modelling and Cases: Preprint

Renewable thermal energy systems (RTES) harness renewable energy sources to provide services for space heating and cooling, district heating, domestic hot water, and industrial process heat (IPH). The use of low-pressure steam generated by the combustion of fossil fuels is common today to provide process heat for industrial facilities. Solar IPH (SIPH) technologies could economically replace the steam or heat needs at many industrial sites by providing high-temperature pressurized hot water, a heat transfer fluid (HTF) such as synthetic-oil, or direct steam (Kurup and Turchi, 2015). RTES could be hybridized with technology options or combined with the existing heat supply (e.g. fuels), to give options for targeted IPH application and the reduction of fuel consumption. This work has tested hybrid system modelling approaches. Initial results show when a natural gas (NG) burner that feeds an IPH application of 300°C, has both air and NG streams pre-heated with a solar field/RTES exit temperature of 180°C (via an HTF), a 13% NG offset is possible. NG offsets reach up to 26%, when the RTES exit temperatures are at 300°C for a given annual capacity factor of 24%. This can be even higher with addition of thermal energy storage (TES).

43 PARTICLE ACCELERATORS↗

Techno-economic evaluation of industrial heat pump applications in US pulp and paper, textile, and automotive industries

Industrial process heat decarbonization through electrification could contribute significantly to climate change mitigation efforts. In the US industry, thermal processes accounted for more than two-thirds of the total final energy demand in 2021. Cross-cutting electrification technologies like industrial heat pumps are suitable for the process heat supply to several industrial unit operations in a sustainable way while also improving overall energy efficiency. This study employs a bottom-up approach to investigate the techno-enviro-economic potentials of deploying high-temperature and steam-generating heat pumps in US textile, pulp and paper, and automotive sectors in different timeframes. The results show that the annual technical potential energy and CO 2 savings by electrifying heat supply are 310 PJ (or 36% of the projected energy demand) and 28 MtCO 2 (or 71% of the projected CO 2 emissions) in 2050 respectively, however, these incur additional costs in each sector (ranging between 5 and 18 $\$$/GJ). The required heating capacity of industrial heat pumps is estimated at 15 GW, which translates roughly into a market of over 6000 heat pump units and an investment volume of $\$$7 billion in the studied processes. Although there may be individual cost-effective opportunities for electrifying heat supply in specific industrial sites, the overall costs are estimated to be high in the three industrial sectors due to the large disparity between electricity and natural gas prices and low heat source temperatures. To overcome the identified techno-economic barriers, comprehensive action plans for different stakeholders are also given. This study provides novel insights that should inform policymakers’ and executives’ decisions about the electrification of the current and future US industrial heat supply in relevant industrial sectors.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗

Guideline for Characterizing and Evaluating a Candidate Project Site for Solar Thermal Applications

This document presents a structured procedure for characterizing and evaluating candidate project sites for concentrating solar power (CSP) and solar heat for industrial processes (SHIP) applications. The objective is to provide project developers, researchers, and other stakeholders with a consistent, technology-agnostic framework for early-stage site assessment, enabling informed decision-making prior to significant investment in project development. Site selection is a critical factor in project success or failure for both CSP and SHIP projects. Key factors such as solar resource availability, land characteristics, environmental and regulatory constraints, infrastructure availability, and community context are determined by the choice of project site and can materially impact project performance, cost, schedule, and overall viability. This procedure is designed to systematically evaluate these factors, identify potential fatal flaws, and prioritize the most favorable candidate sites for further development. The process begins with rapid screening-level evaluation, using publicly available data to assess solar resource, land availability and suitability, zoning and land-use compatibility, and exclusion zones such as protected lands or sensitive habitats. Sites that meet the minimum screening criteria advance to a more detailed characterization. Subsequent sections of this report provide guidance for a next-level assessment of the most important technical and environmental parameters, including: 1) Solar resource quality, variability, and uncertainty using multiyear datasets and, where appropriate, on-site measurement campaigns; 2) Meteorological conditions such as wind, temperature, extreme weather events, and soiling impacts; 3) Land characteristics including slope, shading, and geotechnical conditions; and 4) Environmental and regulatory considerations, including permitting processes, endangered species, cultural resources, and visual impacts. The procedure also addresses infrastructure and integration considerations, including: 1) Grid interconnection requirements for CSP power generation projects; 2) Electrical and operational integration for SHIP facilities; 3) Water availability, quality, and permitting constraints, which are particularly critical for CSP in arid regions; and 4) Site access, construction logistics, and availability of workforce and supporting services. Recognizing the importance of social and economic context, the procedure includes evaluation of community engagement factors, such as stakeholder sentiment, proximity to sensitive visual receptors, workforce development opportunities, and local economic incentives. The outputs of these assessments are synthesized in a cost and risk evaluation, translating site characteristics into expected impacts on capital cost, operating cost, schedule, and technical risk. This is complemented by screening-level performance modeling, including 8760 simulations and long-term projections, to quantify expected energy or thermal output, assess variability thereof, and support comparison between candidate sites. Finally, the procedure provides high-level guidance on a structured go/no-go decision framework, categorizing sites based on identified risks and constraints, and outlining a clear path forward to feasibility studies and front-end engineering design for viable projects. By standardizing the site characterization process across both CSP and SHIP applications, this guideline aims to: 1) Improve consistency and transparency in early-stage project evaluation; 2) Reduce development risk and avoid investment in nonviable project sites; 3) Support collaboration between developers, researchers, and public agencies; and 4) Accelerate successful deployment of concentrating solar technologies for both power generation and industrial process heat.

14 SOLAR ENERGY↗

Solar Heat for Industrial Processes: Integration with Chemical Reactors

The integration of solar thermal systems with chemical reactors has been proposed as part of a larger effort to develop and deploy solar heat for industrial processes (SHIP) technologies. A strong motivation for SHIP processes and technologies is the potential for high thermal efficiency coupled with low-cost thermal energy storage (TES) which can enable commercial deployment of such systems. While there are different ways to categorize SHIP technologies, one important such distinction is between directly irradiated systems and indirect off-sun process driven by a SHIP system. While directly irradiated systems can provide high thermal efficiencies and high fluxes, they usually require complex engineering solutions due to the need for redesigning the established processes and unit operations. In most cases, it is also more challenging to couple such a process to a TES system, losing some of the benefits of SHIP. On the other hand, using a SHIP system to drive an industrial process off-sun can allow better integration with existing process chains, easier TES capabilities, and potential for more applications fitting a specific SHIP technology. However, the integration of SHIP systems with the industrial processes is not fully explored in detail, especially in the case of high-temperature processes such as reforming, cracking, cement manufacturing, and iron/steelmaking. Many of these systems require heating fluxes of >50 kW/m^2, supplied via combustion of hydrocarbons in a fire box and benefitting from radiative heat transfer between the flue gases and the reaction zones. As such, using SHIP systems for such processes is more complex than providing the same thermal input in the form of a heat transfer medium (HTM) entering the reactor, kiln, or furnace. Moreover, in case convective heat transfer using SHIP is envisioned, for example using supercritical CO2 as the HTM from a particle receiver, the thermal integration might be more challenging than initially envisioned: lower heat transfer coefficients and limited approach temperature might require large flow rates, causing a mismatch between the process thermal requirements and the thermal capacity of the SHIP system. In addition, even if the heat exchange between SHIP and reactor is effective, there is still a cold leg HTM at the reaction temperature or slightly below it. Chemical plants usually include a set of heat exchangers, heat recovery steam generators, and even power generation units - in a tightly integrated design - to recover the flue gases which are eventually vented. With SHIP systems mostly operating on a closed HTM loop, bottoming the cold leg is crucial. In this talk, we will present different modeling results for a variety of syngas production reactions, using catalytic and chemical looping processes, and discuss some of the challenges and design considerations for off-sun chemical reactors using SHIP systems.

14 SOLAR ENERGY↗