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DOE OSTI2022

Techno-economic performances and life cycle greenhouse gas emissions of various ammonia production pathways including conventional, carbon-capturing, nuclear-powered, and renewable production

Ammonia (NH 3 ) is conventionally produced using fossil natural gas (NG) for hydrogen production through steam reformation and synthesis in the Haber–Bosch (HB) process. The global conventional ammonia production contributes more than 420 million tons of CO 2 emissions annually. Here, in this work, we investigated the techno-economics and well-to-plant-gate (WTG) greenhouse gas (GHG) emissions of conventional NG-based, carbon-capturing, nuclear-powered, and renewable ammonia production by developing an engineering process model for each. Carbon-capturing ammonia production refers to the NG-based ammonia production while capturing CO 2 and transporting it via pipelines for storage or utilization. Nuclear-powered and renewable ammonia production represents an alternative ammonia production through water electrolysis, air separation, and the HB process using carbon-free energy sources. Nuclear and renewable energy sources are assumed to be used for nuclear-powered and renewable ammonia production, respectively. Sensitivity analyses are performed for CO 2 pipeline transport distances, potential carbon capture tax credits, and clean H 2 production cost. Carbon-capturing ammonia production reduces WTG GHG emissions by 55–70% compared to conventional NG-based ammonia production methods. Nuclear-powered and renewable ammonia production almost eliminate GHG emissions since energy supply is either zero carbon or near-zero carbon. However, when $4.16–4.83 per kg is the cost assumed for clean H 2 production using state-of-the-art electrolysis technologies, the levelized costs of nuclear-powered and renewable ammonia are calculated to be $0.92–1.06 per kg NH 3 , which are approximately four times higher than the conventional NG-based ammonia production cost. The cost of CO 2 emission avoidance is estimated in the range of $266–318 per metric ton of CO 2 for nuclear-powered and renewable ammonia production. The clean H 2 production cost is the major contributor to the levelized costs of nuclear-powered and renewable ammonia production. A lower production cost, near $1 per kg H 2 , for clean H 2 is required for nuclear-powered and renewable ammonia production to be cost-competitive with conventional NG-based ammonia production.

37 INORGANIC, ORGANIC, PHYSICAL, AND ANALYTICAL CH↗

DOE OSTI2025

Life cycle greenhouse gas emissions and carbon intensity of U.S. fuel use and projection for the next 10 years-based on built capacity and expansion plans

The U.S. Inflation Reduction Act of 2022 supports biofuel production expansion through the 45Z clean fuel production tax credit, replacing previous 40A and 40B credits. This follows on the Renewable Fuel Standard from the Energy Policy Act of 2005 and its expansion in 2007. States like California, Oregon, and Washington also offer clean fuel credits. Meanwhile, federal agencies, including the U.S. Department of Energy, have advanced alternative fuel technologies through research and development funding. The surging interest in the biofuel industry has spurred the demand for biofuel supplies in the markets, although achieving profitability for advanced biofuels and low-carbon e-fuels remains challenging. This study aims to track U.S. alternative fuel production capacity expansion plans over the next 10 years and estimate impacts on greenhouse gas (GHG) emissions. By tracking built capacity and industry announcements of planned expansion, this study complements other studies which use models to predict changes in energy technologies and the associated GHG implications. Modeled projections of future technologies are often criticized for over or underestimating the cost and potential role of new technologies. The study focuses on sustainable aviation fuel, renewable diesel, ethanol, biodiesel, and renewable natural gas. Using facility-level data, we conducted a bottom-up analysis linking biofuel production pathways with corresponding pathways and parameterizations in the Argonne R&D GREET model. Results indicate that biofuel capacity could reach 3.8 exajoules in 2035, potentially reducing U.S. GHG emissions by 179 million tonnes, including the full life cycle. This corresponds to a 20% reduction in transportation and 5% in industry sector emissions by 2035, or a 3.6% reduction in economy-wide emissions. Overall, this study shows that while biofuel production capacity in the U.S. is expanding, the capacities remain limited compared to fuel demand. Uncertainty regarding the durability and extension of incentives may be dampening the pace of growth. Meanwhile, demonstrating the commercial potential for alternative fuels and climbing the learning curve for new technologies could lead to an increased pace of expansion in later years. This study offers insights for bioenergy stakeholders, highlighting biofuel technologies' contribution to U.S. energy system and emissions reduction over time based on producers' plans.

Biofuel Producers↗

DOE OSTI2024

Hybrid power plant design for low-carbon hydrogen in the United States

In this study, we provide a nationwide techno-economic analysis of clean hydrogen production powered by a hybrid renewable energy plant for over 50,000 locations in the United States. We leverage the open-source Hybrid Optimization Performance Platform (HOPP) tool to simulate the hourly performance of an off-grid wind-solar plant integrated with a 1-GW polymer exchange membrane electrolyzer system. The levelized cost of hydrogen is calculated for varying technology costs, and tax credits to explore cost sensitivities independent of plant design, performance, and site selection. Our findings suggest that strategies for cost reduction include selecting sites with abundant wind resources, complementary wind and solar resources, and optimizing the sizing of wind and solar assets to maximize the hybrid plant capacity factor. These strategies are linked to increased hydrogen production and reduced electrolyzer stack replacements, thereby lowering the overall cost of hydrogen.

08 HYDROGEN↗

DOE OSTI2025

Techno-economic analysis of synthetic fuel production from existing nuclear power plants across the United States

Abstract Low carbon synfuel can reduce dependence on fossil fuels like diesel and jet fuel, and, with large-scale cost-effective production, contribute to global transportation sector decarbonization, Simultaneously, nuclear power plants are struggling economically due to falling wholesale electricity prices. Converting existing nuclear plants for synfuel production could preserve these low-carbon assets and enable large-scale synfuel production, yet no comprehensive technoeconomic analysis exists. This study evaluates the potential of integrating synthetic fuel production with five US nuclear plants, considering electricity and fuel markets and carbon dioxide source access. Such integration could enhance nuclear plant profitability by up to $792 million and offer a 10% return on investment over 20 years. The hydrogen production tax credit from the 2022 Inflation Reduction Act is crucial, comprising 75% of revenues on average. Carbon feedstock transportation has the highest cost at 35%, followed closely by synfuel production capital costs. Incentive policies are thus key for the decarbonization of the transportation sector and the economic importance of the geographic location of Integrated Energy Systems.

Garrouste, Marisol (ORCID:0000000168388644)↗

DOE OSTI2023

The Effect of Clean Energy Generation Targets on the Portfolio of Electric Grid Generation Technologies

A least-cost generation and transmission expansion planning model is used to optimize the U.S. generation portfolio in 2030 under a range of Clean Energy Generation Target (CEGT) policy goals. As reference cases for comparison, the model is used to optimize the generation portfolio for the future electric grid with and without the Investment and Production Tax Credits (ITC and PTC). Next, the model is used to optimize the generation portfolio with a CEGT ranging from 10% to 70%. The results show that due to the ITC and PTC extensions by the 2022 Inflation Reduction Act, there is little additional investment in renewable energy generation assets at low CEGT levels. Significant additional installations of both renewable energy generation and energy storage systems – both batteries and pumped storage hydro – become important at CEGT levels above approximately 30%.

Aldeman, Matthew↗

DOE OSTI2026

Reverse Logistics Ev Battery Recycling Agent Base Model

This represents the initial regional tier of the electric vehicle (EV) battery recycling agent base model. Through this model, we can ascertain the number of EV purchases at both the state and regional levels. We employ census data to develop a diverse household profile to inform decisions regarding the acquisition of new or used EVs. The number of EV purchases at the state level will affect the future demand for recycling, reuse, and repurposing of end-of-life EV batteries. Additionally, tax credits, EV rebate programs, and the financial capacity of households will influence the number of EV purchases, thereby further impacting the demand for EV battery recycling.

Alam, Lamia [Idaho National Laboratory (INL), Idah↗

DOE OSTI2024

Data for Spatially Varying Costs of GHG Abatement with Alternative Cellulosic Feedstocks for Sustainable Aviation Fuels

Cellulosic biomass-based sustainable aviation fuels (SAFs) can be produced from various feedstocks. The breakeven price and carbon intensity of these feedstock-to-SAF pathways are likely to differ across feedstocks and across spatial locations due to differences in feedstock attributes, productivity, opportunity costs of land for feedstock production, soil carbon effects, and feedstock composition. We integrate feedstock to fuel supply chain economics and life-cycle carbon accounting using the same system boundary to quantify and compare the spatially varying greenhouse gas (GHG) intensities and costs of GHG abatement with SAFs derived from four feedstocks (switchgrass, miscanthus, energy sorghum, and corn stover) at 4 km resolution across the U.S. rainfed region. We show that the optimal feedstock for each location differs depending on whether the incentive is to lower breakeven price, carbon intensity, or cost of carbon abatement with biomass or to have high biomass production per unit land. The cost of abating GHG emissions with SAF ranges from $181 Mg−1 CO2e to more than $444 Mg−1 CO2e and is lowest with miscanthus in the Midwest, switchgrass in the south, and energy sorghum in a relatively small region in the Great Plains. While corn stover-based SAF has the lowest breakeven price per gallon, it has the highest cost of abatement due to its relatively high GHG intensity. Our findings imply that different types of policies, such as volumetric targets, tax credits, and low carbon fuel standards, will differ in the mix of feedstocks they incentivize and locations where they are produced in the U.S. rainfed region. Note: Column V in TableS7_DayCentSimulatedYield.csv should be labelled Corn Stover CoSo-NT-50% Max.

Geospatial↗

DOE OSTI2023

Energy Assets Transformation Web Mapping Application

This submission contains the link and geospatial materials used in the Energy Assets Transformation Web Mapping Application. The zip file contains 19 geospatial layers in a file geodatabase called EAT.gdb to be grouped in the following categories. 1. Industrial Assets: Coal Generation Units Retirements 2012-2040 (EIA); Examples of Repurposing Projects (32 projects in total); Abandoned Coal Mines (CORD, SkyTruth); Abandoned or Orphaned Wells (for ten states only). 2. Energy Transition Communities: 48C (e) Tax Credits - Designated Energy Communities (IRA); Index of Deep Disadvantage; Local Energy Action Program (LEAP); EJ Index for Proximity to Hazardous Waste (EPA). 3. Regional Landscape: State-Level Funding Programs (relevant to repurposing projects, for 2022 and 2023 only); Coal Flows from Mine to Plant 2021 (EIA), Variable Renewable Energy Shares (Wind and Solar, 2021, EIA). 4. Supporting Infrastructure: Railroads (HIFLD), Electric Power Transmission Lines (HIFLD), Major Highways (NHPN, DOT), Major Ports (National Atlas of the U.S.); Independent System Operators (HIFLD), NERC Regions and Subregions (HIFLD).

abandoned coal mines↗

DOE OSTI2024

Carbon Capture from ArcelorMittal Hot Briquetted Iron Plant Using Air Liquide Cryocap™ FG Technology – FEED Study

The process of steel production is energy and carbon intensive with global average energy consumption of 5.5 MWh/tonne of steel and CO2 emission intensity of 1.83 tonne CO2/tonne of steel. The steel making process has inherent CO2 emissions from mineral conversion and is considered major contributors to the global carbon emissions. The steel industry is responsible for 8% of global carbon emissions. The main objective of this research project is to execute and complete a front-end engineering and design (FEED) study for a commercial-scale, carbon capture project that separates 95% of the total CO2 emissions at the ArcelorMittal’s Hot Briquetted Iron (HBI) plant in Portland, TX (Figure 1). The HBI is an ore-based metallic that is used as high-grade feedstock for high-quality steel via an Electric Arc Furnace (EAF) route. The HBI plant produces 2.0 million metric tonnes of high-quality HBI and emits approximately 1 million tonnes CO2/yr. The capture system is a Pressure Swing Adsorption (PSA) system assisted Cryocap™ FG technology (Figure 2). The captured CO2 will be pipeline grade and will be geologically stored in a facility within 10 miles of the CO2 source. The Host Site location in Corpus Christi, TX, is near hydrocarbon processing facilities and near Environmental Justice (EJ) and Qualified Opportunity Zone (QOZ) communities. Due to the location of the Host Site, the retrofit project offers the ability to demonstrate how a workforce focused on the fossil energy sector can be redirected to the clean- energy sector. The Air Liquide Cryocap™ capture technology is a proven technology and has been extensively examined for large industrial applications. It has been shown to be applicable to a variety of industrial applications including the steel industry. Cryocap™ FG (specific setup for Flue Gas application) consists of a Pressure Swing Adsorption (PSA) unit coupled with a Cryogenic System. The PSA pre-concentrates the CO2 from the flue gas, while the cryogenic unit enables the CO2 purity to be increased to the desired level. The scope of this study incorporates completing FEED study of the CO2 capture system which includes point-source CO2 capture and balance-of-plant; Business Case Analysis (BCA) outlining the current and projected volumes of the steel plant’s point sources of CO2 and the potential utilization of tax credits, including its projected revenue and duration; Life Cycle Analysis (LCA); Environmental Justice Analysis; Economic Revitalization and Job Creation Outcomes Analysis; and Workforce Readiness Plan. The plant design work was divided into two components: Inside Battery Limits (ISBL) and Outside Battery Limits (OSBL). The ISBL focuses on the capture system, while the OSBL focuses on the utility feeds and ducting from the plant to the capture system. Various design and engineering deliverables will be developed to define commodity quantities, equipment specifications, and labour effort required to execute the project. These FEED study deliverables will be prepared with the intent to develop an overall project capital cost estimate consistent with an AACE Class 3 estimate. The modular approach for the Cryocap™ FG that is being designed for this study integrates compression, PSA, and cryogenic “bricks” to achieve the desired CO2 capture rates. This carbon capture system integrates easily with the existing plant, thus reducing project costs and risks. It is also capable of managing impurities such as nitrogen oxides (NOx), sulfur oxides (SOx), mercury, hydrocarbons, and particulate matter. The capture system has a smaller footprint than amine-based systems. The two-step process uses PSA to preconcentrate the CO2 in the feedstream and then uses the cryogenic portion to purify and compress the resulting high purity CO2 product. This combination of purification and compression (i.e., process intensification) significantly reduces the CAPEX associated with use of a separate compressor commonly utilized for amine solvent-based systems. Successful completion of the FEED study will provide DOE with a detailed understanding of the costs for scaling up this proven capture technology for commercial applications at industrial facilities.

42 ENGINEERING↗

DOE OSTI2021

Representing DC-Coupled PV+Battery Hybrids in a Capacity Expansion Model

Recent technology cost and performance improvements and the federal investment tax credit (ITC) have driven growing interest in coupling solar photovoltaic (PV) and battery systems. Combining these technologies into co-located or hybridized PV+battery systems has the potential to lower costs and increase energy output relative to multiple independent systems. In this work, we provide an overview of PV+battery systems and demonstrate methods for incorporating them into NREL’s Regional Energy Deployment System (ReEDS) capacity expansion model. Although the methods are applied to a specific model, we anticipate that the approaches used here can be useful for informing PV+battery method development for other capacity expansion models. The implemented method relies heavily on the native representations of PV and battery technologies; therefore, the focus of this work is on capturing and parameterizing the interactions between them for a configuration in which the PV and battery technologies share a single bi-directional inverter. This work also demonstrates the impacts of including PV+battery systems in the ReEDS optimization for the conterminous United States through 2050. In particular, we perform parametric sensitivities for input assumptions that are uncertain and expected to influence PV+battery deployment levels, including (a) the cost of PV+battery systems relative to independent PV and battery systems, (b) the battery component’s qualification for the ITC, and (c) future cost trajectories for PV and battery systems. We find that PV+battery deployment could occur throughout the conterminous United States if there are cost savings associated with DC coupling PV and battery technologies. If even modest (5%) cost savings can be achieved (through a shared inverter and balance-of-system costs), then approximately one-third of utility-scale PV deployment through 2050 adopts the DC-coupled hybrid configuration, resulting in total PV+battery deployment that exceeds the magnitude of PV+battery projects in U.S. interconnection queues in 2020. If greater cost savings can be achieved through DC coupling (e.g., due to a growing amount of shared balance-of-system costs, reduced financial risk, or modularity) or more rapid cost and performance improvements are realized for PV and battery technologies, then total PV+battery deployment and the share of PV and battery deployment that adopts the hybrid configuration grows (to >50%). In all cases, growing PV+battery deployment primarily displaces independent PV and battery technologies, indicating the strong competition between the hybrid and independent configurations comprising technologies with similar performance characteristics.

14 SOLAR ENERGY↗

DOE OSTI2021

High-Octane Gasoline from Lignocellulosic Biomass via Syngas and Methanol/Dimethyl Ether Intermediates: 2020 State of Technology

The 2020 state of technology (SOT) serves as an update to the 2019 SOT report and details the techno-economic analysis (TEA) results for producing high-octane gasoline (HOG) via indirect liquefaction (IDL). This report only describes changes to the experimental and analysis results from previous SOTs; more details regarding the full process design can be found in the 2015 design report. The conversion pathway presented in this report includes the gasification of biomass, steam reforming and cleanup of the syngas, followed by the conversion of the syngas to HOG via methanol and dimethyl-ether (DME) intermediates. Research efforts in 2020 included the collection of experimental results over a variety of isobutane (iC4) to DME ratios in the feed of the DME-to-HOG reactor, enabling the TEA to identify the effect on modeled product yield and cost. Additionally, a significant re-build of the Aspen Plus model allowed for better integration of new research, however underlying conceptual and economic assumptions remain the same as those detailed in the 2015 deign report. The 2020 SOT also considers the potential for federal carbon tax credits from CO 2 capture in the acid-gas removal step and the impact on the final minimum fuel selling price.

09 BIOMASS FUELS↗

DOE OSTI2021

Utility-Scale Solar, 2021 Edition: Empirical Trends in Deployment, Technology, Cost, Performance, PPA Pricing, and Value in the United States [Slides]

Berkeley Lab’s “Utility-Scale Solar, 2021 Edition” provides an overview of key trends in the U.S. market, with a focus on 2020. Highlights of this year’s update include: A record of nearly 9.6 GWAC of new utility-scale PV capacity came online in 2020, bringing cumulative installed capacity to more than 38.7 GWAC across 43 states. 89% of all new utility-scale PV capacity added in 2020 uses single-axis tracking. Median installed project costs declined to $\$$1.4/WAC (or $\$$1.1/WDC) in 2020. Project-level capacity factors vary widely, from 9% to 36% (on an AC basis), with a sample median of 24%. The report explores drivers of this variation. Utility-scale PV’s LCOE fell to $\$$34/MWh in 2020 ($\$$28/MWh if factoring in the federal investment tax credit, or ITC). PPA prices have largely followed the decline in solar’s LCOE over time, but have stagnated more recently. Prices from a sample of recent contracts average just above $\$$20/MWh (levelized). In 2020, solar’s average market value (defined in the report to include only energy and capacity value) exceeded average wholesale prices in 12 of the 17 balancing authorities analyzed (including 4 of the 7 independent system operators across the United States). Adding battery storage is one way to increase the value of solar. Our public data file tracks metadata for more than 150 PV+battery hybrid projects that are already online or that have secured offtake arrangements. At the end of 2020, there were at least 460 GW of utility-scale solar power capacity within the interconnection queues across the nation, 160 GW of which include batteries. For more information, and to explore related interactive data visualizations, go to utilityscalesolar.lbl.gov.

14 SOLAR ENERGY↗

DOE OSTI2022

High-Octane Gasoline from Lignocellulosic Biomass via Syngas and Methanol/Dimethyl Ether Intermediates (2021 State of Technology)

The 2021 state of technology (SOT) assessment for the indirect liquefaction (IDL) of lignocellulosic biomass to high-octane gasoline (HOG) via methanol and dimethyl ether (DME) intermediates details the techno-economic analysis (TEA) results and technical progress of the pathway since the 2020 SOT report. A detailed process description and collection of underlying assumptions is given the 2015 design report. In 2021, research efforts rigorously quantified the selectivity of DME to aromatic compounds. As a result, the overall carbon selectivity to hydrocarbon products was updated based upon new findings. Additionally, research conducted over the past few years resulted in successful lower temperature regeneration of NREL's Cu/BEA catalyst with favorable implications on catalyst longevity. Discussions with an engineering firm resulted in an update to the excess air requirement for process combustors (including the char combustor, tar reformer combustor, and catalyst regenerator) in which excess air was reduced from 20% excess to 10%. The cumulative effect of the above efforts was used to calculate a minimum fuel selling price for the modeled pathway. Sensitivity cases examining federal carbon tax credits from CO 2 capture, product selectivity and yield, catalyst lifetime, and other key financial and process parameters were also considered in this assessment.

09 BIOMASS FUELS↗

DOE OSTI2021

NETL 45Q Addendum to the CO2U LCA Guidance Toolkit

This document provides additional guidance and changes to the Carbon Dioxide Utilization Life Cycle Analysis Guidance for the U.S. DOE Office of Fossil Energy and Carbon Management, Version 2.0 to make it more applicable to taxpayers preparing life cycle analyses for the 45Q tax credit.

29 ENERGY PLANNING, POLICY, AND ECONOMY↗

DOE OSTI2022

Batteries Included: Top 10 Findings from Berkeley Lab Research on the Growth of Hybrid Power Plants in the United States

One of the most important electric power system trends of the 2010s was the rapid deployment of wind turbines and photovoltaic arrays, but a twist for the 2020s may be the rapid deployment of ‘hybrid’ generation resources. Hybrid power plants typically combine solar or wind (or other energy sources) with co-located storage. While hybridization helps to ease the challenge of balancing variable supply and demand, its relative novelty means that research is needed to facilitate integration and promote innovation. Combining the characteristics of multiple energy, storage, and conversion technologies poses complex questions for grid operations and economics. Project developers, system operators, planners, and regulators would benefit from better data, methods, and tools to estimate the costs, values, and system impacts of hybrid projects. This publication showcases some of Berkeley Lab’s robust research program intended to support private- and public-sector decision-making about hybrid plants in the United States. Our short briefing summarizes articles that we published between 2020 and 2022, links to the in-depth reports, and provides contact details for further engagement on the specific research topics: Growth: Developer interest in hybrid power plants is strong and growing Price vs. Value: PV+storage hybrids have low PPA prices and high value in some regions Market Drivers: Solar hybridization is driven by tax credits and other benefits Configuration Choices: Market prices have incentivized shorter duration batteries with PV Capacity Value: The capacity contribution of a hybrid is less than the sum of its parts Ancillary Services: AS markets are a valuable yet fleeting option for hybrids Market Participation: Hybrids can more flexibly engage with electricity markets Operations: The power system value of hybrids depends on how they are operated Distributed Hybrids: Growth of customer-sited PV+storage hybrids offers new opportunities Future Research: Where next? Priority areas for hybrid power research.

25 ENERGY STORAGE↗

DOE OSTI2022

Front-End Engineering Design for Piperazine with the Advanced Stripper

This Department of Energy (DOE) funded project was executed with the goal of preparing a Front-End Engineering Design (FEED) for the capture and compression of 90% of the CO2 that would normally be emitted from an existing natural gas combined cycle (NGCC) plant. The FEED focused on the application of the piperazine advanced stripper (PZAS) process at Mustang Station of the Golden Spread Electric Cooperative (GSEC), which consists of two gas turbines with common heat recovery steam generator (HRSG). The University of Texas at Austin (UT) served as the prime contractor, and subcontracted AECOM Technical Services and Trimeric Corporation to support FEED development. This project team has worked together to advance PZAS for more than a decade. ExxonMobil, Chevron, and Total provided project co-funding. The objectives of this work included: 1. To advance engineering design such that a comprehensive estimate for the total installed cost of a full-scale PZAS CO2 Capture Plant with CO2 compression can be developed on an existing NGCC power plant. a. These detailed costs can also be used to qualify PZAS and other related second generation (2G) amine scrubbing processes for use on cogeneration facilities in refineries and chemical plants that use gas turbines with HRSGs to produce steam. b. These detailed costs will help qualify 2G amine scrubbing for use on NGCC power plants and establish a more accurate baseline cost to be used as a target by other capture technologies. 2. To provide cost details to be used in the economic optimization of the process features of PZAS and other 2G amine scrubbing processes. 3. To provide DOE with a more detailed understanding of carbon capture costs in a commercial application, enabling DOE to better design its R&D program to improve the economics for carbon capture. 4. To provide the host site and cost share partners with the information necessary to determine whether a commercial project to capture and use CO2 for enhanced oil recovery (EOR) or for sequestration can be justified (when accounting for the 45Q tax credit). A key component of the FEED is the estimated total installed cost, which provides a basis for the likely capital investment necessary to implement the PZAS carbon capture process at this location and scale. In combination with the included economic analysis, which accounts for potential revenue from the produced CO2, potential avenues to profitability are explored. The major findings of the FEED are as follows: The Mustang Station PZAS CO2 Capture Plant estimated total project cost of $698 MM of which $384 MM was direct costs. The annual operating costs were $32.6 MM. The total investment for a PZAS facility at Mustang Station is $725 MM. This estimate includes owner’s cost of $25 million and a contingency of $110 MM. • The study estimated the CO2 capture plant at Mustang Station would generate CO2 at $110/tonne for EOR, assuming a 12% IRR (internal rate of return) and an 85% capacity factor. For CO2 storage, the same case would achieve a 12% IRR at about $114/tonne. At a capacity factor of 52%, the storage and EOR cases would break even when carbon is priced ~$150/tonne. The economic analysis determined that the capacity factor and utility pricing, among other variable factors, had a significant effect on the economics and will need additional studied. • The energy penalty of the PZAS plant would be about 46 MW in connected power and 35 MW in operating load. The natural gas requirement (for the Gas Boiler package) would be about 354 MMBTU/hr. • The FEED revealed no major risks in process maturity. However, some areas were outlined for further engineering during detailed design, which included the Gas Boiler system, general arrangement and site layout, air coolers, schedule development, and optimization of the process for higher CO2 removal. • If PZAS were to be implemented at another host site, additional opportunities for cost reduction for would include cost reduction through use of cooling water and steam extraction.

03 NATURAL GAS↗

DOE OSTI2022

Utility-Scale Solar, 2022 Edition: Empirical Trends in Deployment, Technology, Cost, Performance, PPA Pricing, and Value in the United States [Slides]

Berkeley Lab’s “Utility-Scale Solar, 2022 Edition” provides an overview of key trends in the U.S. market, with a focus on 2021. Highlights of this year’s update include: -A record of nearly 12.5 GWAC of new utility-scale PV capacity came online in 2021, bringing cumulative installed capacity to more than 51.3 GWAC across 44 states. -90% of all new utility-scale PV capacity added in 2021 uses single-axis tracking. -Median installed project costs declined to $\$1.35$/WAC (or $\$1.02$/WDC) in 2021. -Project-level capacity factors vary widely, from 9% to 35% (on an AC basis), with a sample median of 24%. The report explores drivers of this variation. -Utility-scale PV’s LCOE fell to $\$33$/MWh in 2021 ($\$27$/MWh if factoring in the federal investment tax credit, or ITC). -PPA prices have largely followed the decline in solar’s LCOE over time, but have recently stagnated and even moved slightly higher. Prices from a sample of recent contracts average around $\$20$/MWh (levelized) in the West and $\$30-40$/MWh elsewhere in the continental US. In 2021, solar’s average market value (defined in the report to include only energy and capacity value) rose by 55% to $\$47$/MWh and exceeded average wholesale prices in 13 of the 17 balancing authorities analyzed. -Adding battery storage is one way to increase the value of solar. Our public data file tracks metadata and PPA prices from 67 PV+battery hybrid projects that are already online or that have secured offtake arrangements. -At the end of 2021, there were at least 674 GW of utility-scale solar power capacity within the interconnection queues across the nation, 284 GW of which include batteries. For more information, and to explore related interactive data visualizations, go to utilityscalesolar.lbl.gov.

14 SOLAR ENERGY↗

DOE OSTI2022

Production of Fischer-Tropsch Synfuels at Nuclear Plants

A case study analysis was performed to evaluate nuclear-powered synthetic fuel production in the midwestern United States (U.S.). A Fischer-Tropsch (FT) fuel synthesis plant design was used as the basis for the analysis. The FT plant design was configured to produce a product slate consisting of diesel fuel, jet fuel, and motor gasoline blend stocks from carbon dioxide (CO 2 ) and hydrogen (H 2 ) feedstocks. The CO 2 feedstock for the FT plant was assumed to be sourced from biorefineries in the region around a Midwest light water reactor (LWR) nuclear power plant (NPP). The analysis specifies that power from the LWR is used to produce H 2 via high-temperature steam electrolysis and to operate the FT synfuel production plant. Capital costs were estimated for the FT plant while capital costs for the electrolysis plant were based on previous Idaho National Laboratory (INL) studies. In addition to labor and maintenance costs for the FT and electrolysis plants, operating costs also include the costs for CO 2 feedstock transport. An analysis was performed to determine the cost of transporting CO 2 from the distributed biorefinery sources to the centralized fuel synthesis plant as a function of the synfuel plant capacity and corresponding CO 2 demand. The primary revenue streams are associated with sales of the synthetic fuel products. The synthetic fuel products will likely follow the same market trends as the conventional fuel products. The synfuel price data was thus based on projections made by the U.S. Energy Information Administration (EIA) 2021 Annual Energy Outlook (AEO) for conventional fuel products minus federal and state taxes, as well as marketing and distribution costs. The economic analysis also considered cases that included and excluded revenues from the 2022 Inflation Reduction Act (IRA) clean hydrogen production tax credit (PTC) of $\$ $3.00/kg for the first ten years of operation. The economic analysis calculated the net present value (NPV) for cases involving steady-state synfuel production for comparison with the NPV for a business-as-usual case in which NPP continues to sell only electric power to the grid. A synfuel production “Reference Case” was considered in addition to sensitivity cases in which the plant capacity, electricity price, and synthetic fuel product prices were perturbed. The synfuel production Reference Case considered a scenario in which the electrolysis and synfuel plants utilized a combined electrical load of 1000 megawatt electrical (MWe) from the LWR with the balance of the LWR power output being sold to the electric grid. The economic analysis suggests that the synfuel production Reference Case evaluated in this analysis would lead to considerable economic potential for near-term deployment of a nuclear-based synfuel production plant. Specifically, the economic analysis suggests that the deployment of a 1000 megawatt (MW) nuclear-powered synfuel plant could result in a NPV increase of approximately $\$ $1.7 billion for a case with no clean synfuel price premium relative to conventional petroleum fuels when accounting for the additional revenues from the 2022 IRA clean hydrogen PTCs of $\$ $3/kg. Sensitivity analysis was performed to evaluate the effect of perturbation of selected model input parameters on the NPV for the synfuel production Reference Case. The sensitivity analysis indicates that the plant capacity has the largest impact on the differential NPV, with a smaller synfuel production capacity resulting in a decrease in revenue when a larger fraction of the power from the NPP is sold to the grid and a smaller fraction of the power is used to produce synthetic fuel products. The synfuel product pricing has the next largest impact on the differential NPV, with lower synfuel prices resulting in decreased NPV from decreased synfuel sales revenue while higher synfuel prices result in increased NPV from increased synfuel sales revenue. Electricity pricing has a smaller effect on the NPV than the fuel sales price since, in the Reference Case, most of the energy from the NPP is used for synfuel production and a smaller amount of the system revenues are associated with electrical power sales. However, the electricity price sensitivity does indicate that the Synfuel Integrated Energy System (IES) would have a greater NPV than the business-as-usual case (e.g., grid power sales only) when electricity market prices are low, suggesting that synfuel production could provide a strategy for decreasing the economic risks to NPPs posed by a loss of revenues attributed to falling electricity market prices.

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