IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v359y2024ics0306261924000965.html
   My bibliography  Save this article

Price effect of multi-energy system with CCS and P2G and its impact on carbon-gas-electricity sectors

Author

Listed:
  • Lan, Liuhan
  • Zhang, Youzhong
  • Zhang, Xingping
  • Zhang, Xinyue

Abstract

Multi-energy systems with carbon capture system (CCS) and power to gas (P2G) can reduce carbon emissions while increasing the consumption of renewable energy. This paper proposed a long-term equilibrium including electricity, gas and carbon markets to study the price effect of the system and its impact on the carbon-gas- electricity sector. The simulation results indicate that the main impact of the system on the electricity sector is to reduce energy curtailment and provide flexible resource for the electric system. P2G used an excess of 22.21 TWh of renewable energy, while CCS used 2.65 TWh of electricity to operate the capture system. The multi-energy system will reduce the market clearing price in the gas market (the annual average gas price decreased from 276.90 to 276.30 yuan/MWh). However, the partial transfer of flexibility to the electricity sector may increase cost in the gas industry, which in turn will be transferred back to the electricity sector again. In addition, through the operation of multi-energy system, carbon elements will circulate in the three sectors. CCS will become a carbon price-maker when electricity scarcity and carbon quota tightening, and increase carbon prices, which will increase the utilization hours of CCS and P2G and their profitability.

Suggested Citation

  • Lan, Liuhan & Zhang, Youzhong & Zhang, Xingping & Zhang, Xinyue, 2024. "Price effect of multi-energy system with CCS and P2G and its impact on carbon-gas-electricity sectors," Applied Energy, Elsevier, vol. 359(C).
    • Handle: RePEc:eee:appene:v:359:y:2024:i:c:s0306261924000965
    DOI: 10.1016/j.apenergy.2024.122713
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261924000965
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.apenergy.2024.122713?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Meylan, Frédéric D. & Moreau, Vincent & Erkman, Suren, 2016. "Material constraints related to storage of future European renewable electricity surpluses with CO2 methanation," Energy Policy, Elsevier, vol. 94(C), pages 366-376.
    2. Li, Yanxue & Gao, Weijun & Ruan, Yingjun, 2019. "Potential and sensitivity analysis of long-term hydrogen production in resolving surplus RES generation—a case study in Japan," Energy, Elsevier, vol. 171(C), pages 1164-1172.
    3. Ahern, Eoin P. & Deane, Paul & Persson, Tobias & Ó Gallachóir, Brian & Murphy, Jerry D., 2015. "A perspective on the potential role of renewable gas in a smart energy island system," Renewable Energy, Elsevier, vol. 78(C), pages 648-656.
    4. Di Salvo, Matteo & Wei, Max, 2019. "Synthesis of natural gas from thermochemical and power-to-gas pathways for industrial sector decarbonization in California," Energy, Elsevier, vol. 182(C), pages 1250-1264.
    5. Li, Xinyu & Mulder, Machiel, 2021. "Value of power-to-gas as a flexibility option in integrated electricity and hydrogen markets," Applied Energy, Elsevier, vol. 304(C).
    6. Lewandowska-Bernat, Anna & Desideri, Umberto, 2018. "Opportunities of power-to-gas technology in different energy systems architectures," Applied Energy, Elsevier, vol. 228(C), pages 57-67.
    7. Yun, Seokwon & Oh, Se-Young & Kim, Jin-Kuk, 2020. "Techno-economic assessment of absorption-based CO2 capture process based on novel solvent for coal-fired power plant," Applied Energy, Elsevier, vol. 268(C).
    8. Bhave, Amit & Taylor, Richard H.S. & Fennell, Paul & Livingston, William R. & Shah, Nilay & Dowell, Niall Mac & Dennis, John & Kraft, Markus & Pourkashanian, Mohammed & Insa, Mathieu & Jones, Jenny & , 2017. "Screening and techno-economic assessment of biomass-based power generation with CCS technologies to meet 2050 CO2 targets," Applied Energy, Elsevier, vol. 190(C), pages 481-489.
    9. del Valle, Aurora & Dueñas, Pablo & Wogrin, Sonja & Reneses, Javier, 2017. "A fundamental analysis on the implementation and development of virtual natural gas hubs," Energy Economics, Elsevier, vol. 67(C), pages 520-532.
    10. Li, Sheng & Zhang, Xiaosong & Gao, Lin & Jin, Hongguang, 2012. "Learning rates and future cost curves for fossil fuel energy systems with CO2 capture: Methodology and case studies," Applied Energy, Elsevier, vol. 93(C), pages 348-356.
    11. Roach, Martin & Meeus, Leonardo, 2020. "The welfare and price effects of sector coupling with power-to-gas," Energy Economics, Elsevier, vol. 86(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zhou, Yijia & Peng, Hongyi & Yan, Mingyu, 2024. "Online probabilistic energy flow for hydrogen-power-heat system based on multi-parametric programming," Applied Energy, Elsevier, vol. 372(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Christoph Loschan & Daniel Schwabeneder & Matthias Maldet & Georg Lettner & Hans Auer, 2023. "Hydrogen as Short-Term Flexibility and Seasonal Storage in a Sector-Coupled Electricity Market," Energies, MDPI, vol. 16(14), pages 1-35, July.
    2. Megy, Camille & Massol, Olivier, 2023. "Is Power-to-Gas always beneficial? The implications of ownership structure," Energy Economics, Elsevier, vol. 128(C).
    3. Ren, Siyue & Feng, Xiao & Wang, Yufei, 2021. "Emergy evaluation of the integrated gasification combined cycle power generation systems with a carbon capture system," Renewable and Sustainable Energy Reviews, Elsevier, vol. 147(C).
    4. Georgios Varvoutis & Athanasios Lampropoulos & Evridiki Mandela & Michalis Konsolakis & George E. Marnellos, 2022. "Recent Advances on CO 2 Mitigation Technologies: On the Role of Hydrogenation Route via Green H 2," Energies, MDPI, vol. 15(13), pages 1-38, June.
    5. Kolb, Sebastian & Plankenbühler, Thomas & Hofmann, Katharina & Bergerson, Joule & Karl, Jürgen, 2021. "Life cycle greenhouse gas emissions of renewable gas technologies: A comparative review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 146(C).
    6. Ghaemi, Sina & Li, Xinyu & Mulder, Machiel, 2023. "Economic feasibility of green hydrogen in providing flexibility to medium-voltage distribution grids in the presence of local-heat systems," Applied Energy, Elsevier, vol. 331(C).
    7. Roach, Martin & Meeus, Leonardo, 2020. "The welfare and price effects of sector coupling with power-to-gas," Energy Economics, Elsevier, vol. 86(C).
    8. Valerie Eveloy & Tesfaldet Gebreegziabher, 2018. "A Review of Projected Power-to-Gas Deployment Scenarios," Energies, MDPI, vol. 11(7), pages 1-52, July.
    9. Johannes Brauer & Manuel Villavicencio & Johannes Trüby, 2022. "Green hydrogen – How grey can it be?," RSCAS Working Papers 2022/44, European University Institute.
    10. Bucksteeg, Michael & Mikurda, Jennifer & Weber, Christoph, 2023. "Integration of power-to-gas into electricity markets during the ramp-up phase—Assessing the role of carbon pricing," Energy Economics, Elsevier, vol. 124(C).
    11. Roach, Martin & Meeus, Leonardo, 2023. "An energy system model to study the impact of combining carbon pricing with direct support for renewable gases," Ecological Economics, Elsevier, vol. 210(C).
    12. Zhang, Dongdong & Zhu, Hongyu & Zhang, Hongcai & Goh, Hui Hwang & Liu, Hui & Wu, Thomas, 2022. "An optimized design of residential integrated energy system considering the power-to-gas technology with multi-functional characteristics," Energy, Elsevier, vol. 238(PA).
    13. Hunt, Julian David & Nascimento, Andreas & Zakeri, Behnam & Barbosa, Paulo Sérgio Franco, 2022. "Hydrogen Deep Ocean Link: a global sustainable interconnected energy grid," Energy, Elsevier, vol. 249(C).
    14. Stančin, H. & Mikulčić, H. & Wang, X. & Duić, N., 2020. "A review on alternative fuels in future energy system," Renewable and Sustainable Energy Reviews, Elsevier, vol. 128(C).
    15. Meng, Wenliang & Wang, Dongliang & Zhou, Huairong & Yang, Yong & Li, Hongwei & Liao, Zuwei & Yang, Siyu & Hong, Xiaodong & Li, Guixian, 2023. "Carbon dioxide from oxy-fuel coal-fired power plant integrated green ammonia for urea synthesis: Process modeling, system analysis, and techno-economic evaluation," Energy, Elsevier, vol. 278(C).
    16. Collins, Seán & Deane, J.P. & Ó Gallachóir, Brian, 2017. "Adding value to EU energy policy analysis using a multi-model approach with an EU-28 electricity dispatch model," Energy, Elsevier, vol. 130(C), pages 433-447.
    17. Tan, R.R. & Aviso, K.B. & Ng, D.K.S., 2019. "Optimization models for financing innovations in green energy technologies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 113(C), pages 1-1.
    18. Igor Donskoy, 2023. "Techno-Economic Efficiency Estimation of Promising Integrated Oxyfuel Gasification Combined-Cycle Power Plants with Carbon Capture," Clean Technol., MDPI, vol. 5(1), pages 1-18, February.
    19. Chen, Hao & Zhang, Yao Jun & He, Pan Yang & Li, Chan Juan, 2019. "Synthesis, characterization and modification of monolithic ZSM-5 from geopolymer for CO2 capture: Experiments and DFT calculations," Energy, Elsevier, vol. 179(C), pages 422-430.
    20. Andrade, Carlos & Selosse, Sandrine & Maïzi, Nadia, 2022. "The role of power-to-gas in the integration of variable renewables," Applied Energy, Elsevier, vol. 313(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:appene:v:359:y:2024:i:c:s0306261924000965. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/405891/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.