Clean Technology (청정기술)

The Korean Society of Clean Technology (한국청정기술학회)
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Techno-economic Analysis of Power To Gas (P2G) Process for the Development of Optimum Business Model: Part 2 Methane to Electricity Production Pathway

  • Partho Sarothi Roy (Winston Chung Global Energy Center, University of California Riverside) ;
  • Young Don Yoo (Institute for Advanced Engineering) ;
  • Suhyun Kim (Institute for Advanced Engineering) ;
  • Chan Seung Park (Winston Chung Global Energy Center, University of California Riverside)
  • Received : 2023.01.03
  • Accepted : 2023.02.16
  • Published : 2023.03.31
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Abstract

This study shows the summary of the economic performance of excess electricity conversion to hydrogen as well as methane and returned conversion to electricity using a fuel cell. The methane production process has been examined in a previous study. Here, this study focuses on the conversion of methane to electricity. As a part of this study, capital expenditure (CAPEX) is estimated under various sized plants (0.3, 3, 9, and 30 MW). The study shows a method for economic optimization of electricity generation using a fuel cell. The CAPEX and operating expenditure (OPEX) as well as the feed cost are used to calculate the discounted cash flow. Then the levelized cost of returned electricity (LCORE) is estimated from the discounted cash flow. This study found the LCORE value was ¢10.2/kWh electricity when a 9 MW electricity generating fuel cell was used. A methane production plant size of 1,500 Nm3/hr, a methane production cost of $11.47/mcf, a storage cost of $1/mcf, and a fuel cell efficiency of 54% were used as a baseline. A sensitivity analysis was performed by varying the storage cost, fuel cell efficiency, and excess electricity cost by ±20%, and fuel cell efficiency was found as the most dominating parameter in terms of the LCORE sensitivity. Therefore, for the best cost-performance, fuel cell manufacturing and efficiency need to be carefully evaluated. This study provides a general guideline for cost performance comparison with LCORE.

Keywords

Acknowledgement

This work was supported by the Korea Institute of Energy Technology Evaluation and Planning(KETEP) and the Ministry of Trade, Industry & Energy(MOTIE) of the Republic of Korea (No.2019281010007b), (No.20218801010030).

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