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All sourcesNASA NTRSDOE OSTI
DOE OSTI2024

Decarbonizing Hydrogen Production: Assessing A Net-Negative Pathway

Hydrogen is gaining prominence as a key factor in the world's transition to a cleaner energy future. The International Energy Agency (IEA)'s Global Hydrogen Review 2023 reports that the number of low-emission hydrogen production projects is increasing rapidly. The potential for growth in new applications such as heavy industry, transportation, and power generation is significant. The IEA urges more decisive action to spur demand for low-emission hydrogen to achieve climate goals. While hydrogen is produced through various industrial methods, each with its own advantages and disadvantages, low-carbon hydrogen is critical for mitigating climate change and is incentivized by the Clean Hydrogen Production Tax Credit (45V). To this end, we have evaluated a commercial technology that can produce low- or negative-carbon hydrogen via ethanol catalytic oxidative reforming. This study assessed life cycle greenhouse gas emissions (carbon intensity or CI) associated with the hydrogen production technology. A total of 24 scenarios were evaluated, encompassing (a) Gen1 versus Gen2 ethanol inputs, (b) carbon capture and sequestration (CCS) of upstream fermentation CO2, and (c) oxygen sourcing via air separation unit (ASU) versus purchased or on-site production of oxygen as a byproduct of hydrogen electrolysis with a proton exchange membrane (PEM). Key findings include that the base case CI for hydrogen production using Gen2 ethanol from corn stover is lower than Gen1 dry mill corn ethanol. The study also points out that the CI for hydrogen production using PEM-O2 is lower than that using ASU-O2, whether the PEM-O2 is produced on-site or off-site (importing). When sourcing oxygen from on-site PEM-O2, the Gen1 and Gen2 ethanol-derived hydrogen exhibit favorable net-negative CI values for all evaluated scenarios, especially if the upstream ethanol CCS is included. As a reference, the 45V regulatory threshold for generating clean hydrogen tax credits is a CI below 0.45 kg CO2e/kg hydrogen.

BIOMASS FUELS,HYDROGEN↗
DOE OSTI2021

Wyoming CarbonSAFE: Advancing Commercialization of Low-Carbon Energy Technologies in Fossil-Rich Wyoming

Wyoming’s Powder River Basin (PRB) is the most prolific coal producer and exporter in the United States and the State of Wyoming’s largest oil-producing basin. In addition to being a leading energy producer, the PRB is the site of research programs whose aim is to develop and integrate low-carbon technologies into existing fossil fuel energy industries. Much of the PRB’s low-carbon research is focused around Dry Fork Station (DFS), which is the newest coal-fired power station in the western US. Currently, DFS hosts five carbon capture projects, including pilot-scale capture projects that utilize different capture technologies and a full front-end engineering and design (FEED) study, a commercial CO 2 pipeline for nearby CO 2 -enhanced oil recovery industry, and is also co-located with the Wyoming Integrated Test Center, which is a host facility for unconventional carbon utilization research (i.e. flue gas carbon-to-products innovations). DFS is also the host site for the Wyoming CarbonSAFE project. Wyoming CarbonSAFE, funded by the Department of Energy/National Energy Technology Laboratory, is a multi-phased program (currently in Phase II) whose core objective is developing and validating storage sites within a complex capable of storing 50 million metric tonnes of CO 2 over a 30 year project period using carbon capture, utilization and storage (CCUS). This paper will provide an overview of the project to-date, showing that CarbonSAFE goals are achievable with respect to geologic, environmental, regulatory, CO 2 source and economic conditions, and why the State of Wyoming offers one of the more favorable environments to advance the commercialization studies. In 2019, the project team designed and completed a ~10,000 foot stratigraphic test well just south of DFS. From this well, the team collected over 600 feet of core, fluid samples from target injection zones, and a full petrophysical log suite. In addition, legacy 2D seismic lines were acquired and a 3D seismic survey was acquired in the fall of 2020. The objective of these field activities has been to identify and characterize target storage reservoirs and associated caprock. This complex has several reservoirs that could meet commercial injection goals, and over 4000 feet of associated caprock. Simulations of site performance suggest that stacked injection provides the most effective storage strategy, and would necessitate several sites within the greater complex to meet final project injection goals. Other work within this project includes the development of a business-case around proximal fields with CO 2 -enhanced oil recovery potential and existing tax credits, assessment of regulatory conditions, including pore space ownership and Class VI injection well permitting requirements, implementation of a robust public outreach Electronic copy available at: https://ssrn.com/abstract=3821220 GHGT-15 McLaughlin 2 program, and surface site characterization activities that have focused on environmental factors. In the PRB and at DFS, the State of Wyoming and other entities have made carbon management a priority of its future energy industry by providing a regulatory and business framework that is favorable to advancing these technologies. These endeavors will become more realistic with the successful implementation of Wyoming CarbonSAFE, and its ability to secure and validate commercial-scale CCUS at the center of Wyoming’s premier low-carbon research efforts.

McLaughlin, Fred↗
DOE OSTI2021

Bringing Solar Energy to Low- and Moderate-Income Communities

The U.S. solar photovoltaics (PV) industry has taken off over the past decade, but without deliberate action low- and moderate-income communities could be left behind. Key recommendations for policymakers and funders in the renewable energy and community development fields that emerged from this process include the following: • Help to capitalize and support community-based lenders to provide flexible, low-cost, and long- term financing to mission-driven solar projects— including providing guarantees or other forms of credit enhancement. • Provide a grant-in-lieu-of-credits option for the Investment Tax Credit as was done during the last recession. • Develop pools of government and philanthropic support that can complement financing from community-based lenders to complete the capi- tal stack for mission-driven projects, as well as to support education and technical assistance to both consumers and potential project sponsors. • Create a national Renewable Energy Credits pro- gram that includes social equity targets to provide a baseline of support for clean energy generation. • Change utility regulations to remove barriers to low-income solar projects, provide greater certainty for developers, and measure progress toward equity in renewable energy policy implementation.

14 SOLAR ENERGY↗
DOE OSTI2024

Income Verification Strategies for Income-Based Solar Programs

The Inflation Reduction Act has created substantial new programs that support adoption of solar power by low-income households, including the $7 billion Solar For All program and the Low-Income Communities Bonus Credit Program, which increases the investment tax credit for certain types of deployment. In addition, a growing number of states are using solar programs to reduce energy burdens and create energy justice opportunities for low-income households and disadvantaged communities. Verifying the income of participating customers is an important component of these programs. Program managers are seeking strategies to verify a large number of subscribing customers in an accurate, timely, and cost-efficient manner. To help inform program managers, Berkeley Lab investigated how a number of energy and non-energy programs manage income verification. The most common approach is to require proof through tax documents, pay stubs, or other formal income documentation, which can pose an impediment to enrolling eligible customers and create a paperwork burden for administrators. In order to reduce the burden for both the applicant and the program manager, some programs use alternative methods. We identify three common alternative verification methods: -Categorical eligibility: Customers enrolled in other, similar income-verified assistance programs are automatically eligible for enrollment in other income-qualified programs. -Geographic eligibility: Eligibility is based on the customer’s location within a specified area, typically a low-income or disadvantaged community or census tract, and; -“Self-attestation”: The participant claims eligibility with or without further documentation. We describe these options, their pros and cons, give examples of how they are used, and explore how some low-income programs address administrative issues, audits, or other quality control measures. Finally, we explore the risk of mistaken verifications (finding a participant eligible when they are not) in the different strategies. While this memo was initiated by a request relating to income-based community solar programs, the methods are applicable to any program with income eligibility requirements in the energy or non-energy sector. Funding was provided for this research by the Solar Energy Technologies Office of the US Department of Energy, through the National Community Solar Partnership.

14 SOLAR ENERGY↗
DOE OSTI2021

Technoeconomic and Life Cycle Analysis of Synthetic Methanol Production from Hydrogen and Industrial Byproduct CO 2

Here CO 2 capture and utilization provides an alternative pathway for low-carbon hydrocarbon production. Given the ample supply of high-purity CO 2 emitted from ethanol and ammonia plants, this study conducted technoeconomic analysis and environmental life cycle analysis of several systems: integrated methanol-ethanol coproduction, integrated methanol-ammonia coproduction, and stand-alone methanol production systems, using CO 2 feedstock from ethanol plants, ammonia plants, and general market CO 2 supply. The cradle-to-grave greenhouse gas emissions of methanol produced from the stand-alone methanol, integrated methanol-ethanol, and integrated methanol-ammonia systems are 13.6, 37.9, and 84.6 g CO 2 -equiv/MJ, respectively, compared to 91.5 g CO 2 -equiv/MJ of conventional methanol produced from natural gas. The minimum fuel selling price (MFSP) of methanol ($\$0.61-0.64$/kg) is 61-68% higher than the average market methanol price of $\$0.38$/kg, when using a Department of Energy target renewable hydrogen production price of $\$2.0$/kg. The methanol price increases to $\$1.24-1.28$/kg when the hydrogen price is $\$5.0$/kg. Without CO 2 abatement credits, the H 2 price needs to be within $\$0.77-0.95$/kg for the MFSP of methanol to equal the average methanol market price. With a CO 2 credit of $\$35$/MT according to tax credit per metric ton of CO 2 captured and used, the methanol price is reduced to $\$0.56-0.59$/kg.

54 ENVIRONMENTAL SCIENCES↗
DOE OSTI2023

IRA Energy Community Data Layers

Data, geospatial data resources, and the linked mapping tool and web services reflect data for two types of potentially qualifying energy communities: 1) Census tracts and directly adjoining tracts that have had coal mine closures since 1999 or coal-fired electric generating unit retirements since 2009. These census tracts qualify as energy communities. 2) Metropolitan statistical areas (MSAs) and non-metropolitan statistical areas (non-MSAs) that are energy communities for 2023 and 2024, along with their fossil fuel employment (FFE) status. Additional information on energy communities and related tax credits can be accessed on the Interagency Working Group on Coal & Power Plant Communities & Economic Revitalization Energy Communities website (https://energycommunities.gov/energy-community-tax-credit-bonus/). Use limitations: these spatial data and mapping tool may not be relied upon by taxpayers to substantiate a tax return position or for determining whether certain penalties apply and will not be used by the IRS for examination purposes. The mapping tool does not reflect the application of the law to a specific taxpayer’s situation, and the applicable Internal Revenue Code provisions ultimately control.

Census Tract↗
DOE OSTI2024

Energy Communities IWG Site Review Tool

The Energy Communities IWG's new Site Review Tool is a resource for manufacturers and investors interested in developing or expanding clean energy supply chain projects in energy communities and nationwide. The interactive map provides access to publicly available information on brownfields, facilities, nearby infrastructure, and community attributes, including federal incentives. The site review tool empowers community leaders and developers to promote investment into communities and encourages users to learn and explore the diverse range of investment options. This tool can be useful for applicants to identify relevant information about their project that is requested in DOE grant and tax credit submissions, including 48C energy community status and whether a project is located in a disadvantaged community. More information on this tool can be found at: https://energycommunities.gov/iwg-site-review-tool/ Disclaimer: This mapping tool may not be relied upon by taxpayers to substantiate a tax return position or for determining whether certain penalties apply and will not be used by the IRS for examination purposes. The mapping tool does not reflect the application of the law to a specific taxpayer's situation, and the applicable Internal Revenue Code provisions ultimately control.

48C↗
DOE OSTI2020

Policies and Programs Available in the United States in Support of Carbon Capture and Utilization

The article seeks to compile policies and programs that provide revenue and financing support for carbon capture and utilizations projects, which are available in the United States. Often technically minded entrepreneurs and investors new to this space are unaware of available support, which could help successful development of carbon capture and utilization projects.Covered in this article are the 45Q tax credit, green bonds, loan guarantee programs, the regional greenhouse gas initiative, and low carbon fuel standards.1This article covers the eligibility and effect of each policy and program. The article also briefly reviews the current state of technology and summarizes how each technology pathway pairs with the policies covered in the article.The goal of the article is to serve as a primer for lawyers, corporate development professionals, and practitioners, who seek to learn about policies and programs available to support carbon capture and utilization (CCU) projects.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗
DOE OSTI2025

American Made Energy Infrastructure - Evolution of Federal Incentives and Requirements

This presentation, "Evolution of Federal Incentives and Requirements," explores the development and impact of federal cybersecurity regulations, tax credits, and domestic content requirements on the energy sector. It covers key legislation such as the ARRA of 2009, IIJA, and IRA, and their implications for grid modernization, manufacturing, and deployment of energy technologies. The presentation also addresses definitions and restrictions related to Foreign Entities of Concern (FEOC) and their impact on federal procurement. Additionally, it introduces the DOE's cybersecurity framework for energy supply chains and practical actions for compliance planning.

25 - ENERGY STORAGE↗
DOE OSTI2024

Agent-based modeling for multimodal transportation of CO 2 for carbon capture, utilization, and storage: CCUS-agent

Here, to understand the system-level interactions between the entities in Carbon Capture, Utilization, and Storage (CCUS), an agent-based foundational modeling tool, CCUS-Agent, is developed for a large-scale study of transportation flows and infrastructure in the United States. Key features of the tool include (i) modular design, (ii) multiple transportation modes, (iii) capabilities for extension, and (iv) testing against various system components and networks of small and large sizes. Five matching algorithms for CO 2 supply agents (e.g., powerplants and industrial facilities) and demand agents (e.g., storage and utilization sites) are explored: Most Profitable First Year (MPFY), Most Profitable All Years (MPAY), Shortest Total Distance First Year (SDFY), Shortest Total Distance All Years (SDAY), and Shortest distance to long-haul transport All Years (ACAY). Before matching, the supply agent, demand agent, and route must be available, and the connection must be profitable. A profitable connection means the supply agent portion of revenue from the 45Q tax credit must cover the supply agent costs and all transportation costs, while the demand agent revenue portion must cover all demand agent costs. A case study employing over 5500 supply and demand agents and multimodal CCUS transportation infrastructure in the contiguous United States is conducted. The results suggest that it is possible to capture over 9 billion tonnes (GT) of CO 2 from 2025 to 2043, which will increase significantly to 22 GT if the capture costs are reduced by 40 %. The MPFY and SDFY algorithms capture more CO 2 earlier in the time horizon, while the MPAY and SDAY algorithms capture more later in the time horizon.

32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATI↗
DOE OSTI2026

Integrated techno-economic framework for nuclear hydrogen production: assessing the role of high temperature steam electrolysis and safety considerations

This manuscript presents a comprehensive techno-economic assessment of nuclear integrated hydrogen production through high-temperature steam electrolysis (HTSE) in the U.S. Gulf Coast region. Given the significant role of hydrogen as an energy carrier and chemical feedstock, the research evaluates the feasibility of co-locating HTSE facilities with existing nuclear power plants (NPPs) to enhance hydrogen production efficiency and cost-effectiveness. Here, the study highlights the advantages of HTSE over traditional low-temperature electrolysis, particularly in leveraging thermal and electrical energy from NPPs. A novel framework for hydrogen deployment is introduced, integrating hydrogen market analysis, techno-economic evaluation (TEA), and safety assessments. The findings underscore the economic viability of hydrogen production in light of current market conditions, including fluctuating natural gas prices and the impact of production tax credits under the Inflation Reduction Act. A case study in the Gulf Coast region demonstrates the potential for strategic hydrogen production to meet growing industrial demand while ensuring safety and regulatory compliance. Overall, this research contributes to the advancement of nuclear integrated hydrogen production as a sustainable energy solution.

08 - HYDROGEN↗
DOE OSTI2024

Development of R&D GREET 2023 Rev1 to Estimate Greenhouse Gas Emissions of Sustainable Aviation Fuels for 40B Provision of the Inflation Reduction Act

The federal Interagency Working Group on sustainable aviation fuels (SAF) tasked Argonne National Laboratory with developing a modified version of the Greenhouse Gases, Regulated Emissions, and Energy Use in Technologies (GREET) model based on R&D GREET 2023. The goal of the new GREET version is to simulate the life-cycle greenhouse gas (GHG) emissions associated with seven sustainable aviation fuel (SAF) pathways for consideration under the 40B Provision of the Inflation Reduction Act – Sustainable aviation fuel credit. The Provision includes a new GHG-based tax credit to incentivize SAF production and reduce the costs of these fuels.

02 PETROLEUM↗
DOE OSTI2021

A comprehensive techno-eco-assessment of CO 2 enhanced oil recovery projects using a machine-learning assisted workflow

Carbon dioxide enhanced oil recovery (CO 2 -EOR) projects not only extract residual oil but also sequestrate CO 2 in the depleted reservoirs. Here, this study develops a machine-learning-based workflow to co-optimize the hydrocarbon recovery, CO 2 sequestration volume and project net present value (NPV) simultaneously. Considering the trade-off relationships among the objective functions, support vector regression with Gaussian kernel (Gaussian- SVR) proxies are coupled with multi-objective particle swarm optimization (PSO) protocol and generate Pareto optimal solutions. Taking advantage of the high computational efficacy of the proxy model, economic uncertainties introduced by tax credits, capital costs and oil price are investigated by this study. The results indicate that the tax incentive policy (Section 45Q) plays a vital role in enhancing the economic returns of CO 2 -EOR projects, especially under the depression of crude oil market. The proposed workflow has been successfully implemented to optimize a water alternative CO 2 (CO 2 -WAG) injection project in a depleted oil sand in the US. The optimization results yield an incremental oil production of 15.8 MM STB and 1.37 MM metric tons of CO 2 storage in a 20-year development strategy, with the highest project NPV to be 205.6 MM US dollars.

03 NATURAL GAS↗
DOE OSTI2022

Flexible Financial Credit Agreements: Low-Interest Secured Flex Loans (LISFL)

Flexible Financial Credit Agreements is a broad term used to describe a suite of solar products with innovative features not currently offered in traditional solar financing programs. This brief focuses on a flex loan program that offers a no- or low-cost capital source to bridge the gap between the initial installation cost and the ultimate receipt of tax credits and energy savings. This program also provides low interest rates, for affordability, as well as a pre-funded debt service reserve account (DSRA), and is secured by the solar PV asset.

ENERGY PLANNING, POLICY, AND ECONOMY,SOLAR ENERGY↗
DOE OSTI2020

Benchmarking Utility-Scale PV Operational Expenses and Project Lifetimes: Results from a Survey of U.S. Solar Industry Professionals

This paper draws on a survey of solar industry professionals and other sources to clarify trends in the expected useful life and operational expenditure (OpEx) of utility-scale photovoltaic (PV) plants in the United States. Solar project developers, sponsors, long-term owners, and consultants have increased project-life assumptions over time, from an average of ~21.5 years in 2007 to ~32.5 years in 2019. Current assumptions range from 25 years to more than 35 years depending on the organization; 17 out of 19 organizations surveyed or reviewed use 30 years or more. Levelized, lifetime OpEx estimates have declined from an average of ~$\$$35/kW DC -yr for projects built in 2007 to an average of ~$\$$17/kW DC -yr in 2019. Across 13 sources, the range in average lifetime OpEx for projects built in 2019 is broad, from $\$$13 to $\$$25/kW DC -yr. Operations and maintenance (O&M) costs—one component of OpEx—have declined precipitously in recent years, to $\$$5-8/kW DC -yr in many cases. Property taxes and land lease costs are highly variable across sites, but on average are—together—of similar magnitude. Other OpEx line items include security, insurance, and asset management. Given 2007-2009 values for not only project life and OpEx but also other drivers of the levelized cost of energy (LCOE, excluding the investment tax credit), the LCOE for utility-scale PV projects built from 2007 through 2009 averaged $\$$305 /MWh. Using 2019 values for all parameters yields an average LCOE of $\$$51 /MWh. The decline in LCOE from $\$$305 /MWh to $\$$51 /MWh was predominantly caused by reductions in up-front expenditures (and, to a much lesser extent, by changes in capacity factors, financing costs, and tax rates), but 9% ($\$$22 /MWh) of the overall decline is due to improvements in project life and OpEx. Project life extensions and OpEx reductions have had similarly sized impacts on LCOE over this period, at $\$$11 /MWh each. Had project life and OpEx not improved over the last decade, LCOE in 2019 would have instead been $\$$73 /MWh—43% higher. Given the limited quantity and comparability of previously available data on these cost drivers, the data and trends presented here may inform assumptions used by electric system planners, modelers, and analysts. The results may also provide useful benchmarks to the solar industry, helping developers and assets owners compare their expectations for project life and OpEx with those of their peers.

14 SOLAR ENERGY↗
DOE OSTI2022

Flexible FlueCO2

Carbon dioxide (CO2) emission reductions remain a significant challenge on the path to clean energy. There are increasing legislative, social, and environmental factors motivating CO2 emissions reduction from power plants with carbon capture and storage (CCS). CCS in natural gas combined cycle (NGCC) power plants is critical to achieve a net-zero carbon electricity grid. Enhanced 45Q tax credits provide new incentives, but currently available technologies are unable to profitably operate in grids with deep variable renewable penetration which require flexible NGCC operation. Luna Labs has developed the FlueCO2 membrane to enable a profitable NGCC-CCS process. The FlueCO2 membrane couples steam transport across the membrane to CO2 transport in the opposite direction, enabling high capture efficiencies and low energy costs even at low CO2 concentrations. The dual-phase membrane can operate in the range of typical flue gas temperatures and pressures and does not require temperature or pressure cycling. Luna Labs’ FlueCO2 technology enables flexible and profitable operation of NGCC plants with lower capital investment and impact on electricity prices. In this Phase 1 project, Luna Labs utilized experimental testing, modeling, process simulation, and standardized costing methodologies to evaluate the techno-economic value of a 650 MW greenfield NGCC plant with FlueCO2 (NGCC-FlueCO2). Key design requirements for operation were established and plant performance under load-leveling conditions was validated through computational fluid dynamics and process modeling. Luna Labs developed a dynamic modeling tool which modeled plant operational modes across a variety of tax structures and electricity pricing scenarios to project the overall Net Present Value (NPV) of the NGCC-FlueCO2. FlueCO2 minimizes the impact of CCS integration on plant operation by integrating directly into the NGCC heat recovery steam generator (HRSG). By tapping into the plant’s low-pressure (LP) steam, operators can divert LP steam to the greenfield NGCC and/or CCS process in response to dynamic markets. Since FlueCO2 will not significantly affect HRSG (or NGCC) operation, CCS only turns off during peak power demand (>$250/MWh). Under baseload conditions, FlueCO2 lowers the capital (37%), energy (36%) and carbon capture (<$40/tonne) costs and can increase the overall plant lifetime NPV by approximately ~$1B in comparison with NGCC solvent-based capture reference cases (NETL Case 31B). Luna Labs has shared its costing tools with several interested partners and customers, which follows a generalizable approach to costing analysis.

Kelly, Jesse↗
DOE OSTI2023

Techno-economic life cycle assessment of CO 2 -EOR operations towards net negative emissions at farnsworth field unit

Optimizations of CO 2 Water Alternating Gas(WAG)- systems with multi-objectives of incremental recovery and maximization of CO 2 storage are challenging. Here, the incorporation of a total Greenhouse gas (GHG) life cycle assessment is mostly ignored leading to inaccurate estimation of overall net carbon emissions of their operations. In this study, the effect of a total GHG life cycle assessment on a multi-objective CO 2 -WAG optimization with integrated techno-economic assessment (TEA) which factors carbon tax credit is conducted. A life cycle assessment (LCA) was conducted utilizing a 20 -year optimized post history matched data from a high fidelity reservoir simulation model. Using data generated from the optimum result, a techno-economic life cycle analysis was further conducted. The first scenario classified as the base model had an estimated 81% of purchased CO 2 sequestered. The results through a comprehensive techno-economic LCA model yielded a net estimate of 73% of purchased CO 2 . The optimized forecasted model which considered key operational and reservoir factors such as WAG ratio, injection rates and periods, and well specification resulted in an improved sequestration of 92% of purchased CO 2 . However, this also dropped to 84% after taking it through LCA. These results clearly indicate a significant amount of net CO 2 is not accounted for when operations are not analyzed through LCA. From the LCA, direct flaring volumes of CO 2 , energy consumption and efficiency of unit equipment were noticed to be the major causes of these reductions. Considering ten main sources of energy as source of energy generation, a comparative techno-eco LCA was conducted. The results confirmed a lower net volume and NPV for energy sources with higher carbon footprints and vice versa. Thus, a total LCA of CO 2 -WAG greatly influences net storage factor of purchased CO 2 and hence project NPV where tax credit/incentives per ton of CO 2 sequestered is considered. Although operational conditions are optimized for best results, there are significant factors that leads to minimization of net storage factor. This study therefore provides an insightful information for optimizing CO 2 -WAG multi-objectives to achieve minimum GHG emission.

02 PETROLEUM↗
DOE OSTI2023

Grid-Integrated Production of Fischer-Tropsch Synfuels from Nuclear Power

Idaho National Laboratory (INL) investigates the relative economic profitability of an integrated energy system (IES) coupling an NPP with a synfuel production process at selected case study locations across the United States. In the synfuel IES, a high-temperature steam electrolysis (HTSE) plant is thermally and electrically coupled with an NPP to produce zero-carbon hydrogen. The synthetic fuel is produced from this H 2 combined with a CO 2 supply using the reverse water gas shift process followed by the Fischer-Tropsch (FT) reaction. This analysis considers a system in which the CO 2 is sourced from regional CO 2 emitters via the construction and operation of pipeline-based CO 2 supply networks. Locating the FT plant at the same site as the NPP and HTSE plants enables the NPP to provide zero-carbon heat and power to the HTSE plant and zero-carbon power to the FT plant as well as avoid the requirement for long-distance H 2 product transport from the HTSE plant to the FT plant. Hydrogen storage is used to enable the NPP to dispatch power to the electrical grid (instead of the HTSE plant) when grid demand increases, thus enabling the FT plant to continue to operate in a steady-state production mode. The ability to cease hydrogen production for several hours within each day enables the NPP to provide power to the grid to balance the electricity market during peak periods and maximize revenues for the nuclear synfuel IES. The FT process design considered has a 99% carbon conversion efficiency. The use of nuclear energy and nuclear energy-derived hydrogen enables synfuel production to achieve this high level of carbon utilization. Additionally, the life-cycle carbon emissions of the nuclear-based synfuel production process are very low, with WTW emissions of approximately 25 gCO 2 e/MJ, including steam credits (generated from FT process excess heat), and approximately 7 gCO 2 e/MJ, if steam credits are excluded. This compares favorably with the WTW emissions of 90.5 gCO 2 e/MJ for a compression-ignition, direct injection (CIDI) vehicle with a fuel economy of 31.6 miles per gallon gasoline equivalent (MPGGE), using low-sulfur diesel produced using conventional petroleum production and refining processes. Several NPPs in various regions of the U.S. are considered as case study analyses. Supply locations and transportation via pipeline of the CO 2 feedstock to the NPP site are analyzed through the National Energy Technology Laboratory (NETL) CO 2 Transport Cost model. The team finds that the amount of CO 2 generated by different sectors is sufficient for the synfuel production process at all locations considered. The CO 2 transportation costs are functions of the distance of the source to the NPP location, the CO 2 capture cost at the source, and the quantity of CO 2 transported. Historical electricity prices for the NPP case study locations are collected and analyzed. Monthly average prices, price range, and duration of negative-price periods vary among these locations. For each location, an auto-regressive moving average (ARMA) model is trained on historical electricity price data. ARMA validation is done to ensure the synthetic price distributions represent one of historical prices with high fidelity. Synthetic time series from these ARMA models are used in a coupled dispatch and system optimization in the Holistic Energy Resource Optimization Network (HERON) to compute the differential net present value (NPV) of the IES. The team finds that this econometric is positive, ranging from $14M–1.3bn (2020) depending on the location. The optimal synfuel IES configuration to obtain this increase in NPV often maximizes the size of the synfuel production process with regards to the size of the NPP. However, the team shows that the NPP still plays a stabilizing role for the grid: In periods of high prices and high loads, more electricity from the NPP is sent to the grid. A high variability of electricity prices and extreme maximum prices tend to drive up electricity production. While it requires significant investment, the synfuel IES could increase the economic profitability for the existing fleet of LWRs across the country while still maintaining the grid stabilizer role of NPPs. During its lifetime, the main costs for the nuclear synfuel IES are the carbon feedstock transportation costs, followed by the capital expenses (CAPEX) and operation and maintenance (O&M) costs while the revenue comes first from the IRA H 2 production tax credit (PTC) and then from the sales of synfuel products. The profitability of the synfuel IES is most sensitive to the value of the hydrogen PTC and the synfuel products as well as the cost of the carbon feedstock, highlighting the importance of governmental incentives regarding hydrogen, carbon emissions, and synfuel in driving the deployment of future nuclear synfuel IESs.

08 HYDROGEN↗