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An optimal production planning model of coal-fired power industry in China: Considering the process of closing down inefficient units and developing CCS technologies

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  • Tang, Bao-Jun
  • Li, Ru
  • Li, Xiao-Yi
  • Chen, Hao

Abstract

National Development and Reform Commission and National Energy Administration have launched a series of policies on closing down small coal-power units, in order to reduce energy consumption and pollutant emissions. However, it is hard to change current situation in the short term since coal is still the domain source of power generation in China. Aiming at efficiently closing down the small power units, to create a power generation planning model with minimized costs needs to take both economic and technical aspects into account. In this paper, eight types of coal-fired generators are classified into three categories: Inefficient units; Efficient units; and Low-carbon units. This paper has developed a power generation planning model under multiple constraint conditions such as coal-power demand, total installed capacity, and carbon capture etc. Also, the model involves variable costs of CCS technology and contingency payments at the same time. This paper has applied the power generation planning model into China’s coal-fired power industry research during the period from 2016 to 2030. The results show that because the coal-power demand ends up with a drop following a rise, the total costs thereby shows a same trend. During the planning period, the fuel costs and the operation and maintenance costs decrease most obviously. Given the installed capacity, compared with the increase in the number of efficient units, the number of inefficient units shows a gradual decrease. The number of low-carbon units displays a slight increase. Since low-carbon units can capture and store 90% of their carbon emissions, the total carbon emissions from coal-fired power industry have significantly been reduced in their operation year. Thus, it is imperative to develop high efficiency and low-carbon units as they will be the major contributors to the sustainable development of the coal-fired power industry.

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  • Tang, Bao-Jun & Li, Ru & Li, Xiao-Yi & Chen, Hao, 2017. "An optimal production planning model of coal-fired power industry in China: Considering the process of closing down inefficient units and developing CCS technologies," Applied Energy, Elsevier, vol. 206(C), pages 519-530.
    • Handle: RePEc:eee:appene:v:206:y:2017:i:c:p:519-530
    DOI: 10.1016/j.apenergy.2017.08.215
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    4. Rolfe, A. & Huang, Y. & Haaf, M. & Rezvani, S. & MclIveen-Wright, D. & Hewitt, N.J., 2018. "Integration of the calcium carbonate looping process into an existing pulverized coal-fired power plant for CO2 capture: Techno-economic and environmental evaluation," Applied Energy, Elsevier, vol. 222(C), pages 169-179.
    5. Xiaolong Yang & Dongxiao Niu & Meng Chen & Keke Wang & Qian Wang & Xiaomin Xu, 2020. "An Operation Benefit Analysis and Decision Model of Thermal Power Enterprises in China against the Background of Large-Scale New Energy Consumption," Sustainability, MDPI, vol. 12(11), pages 1-19, June.
    6. Jiang, Jingjing & Ye, Bin & Liu, Junguo, 2019. "Peak of CO2 emissions in various sectors and provinces of China: Recent progress and avenues for further research," Renewable and Sustainable Energy Reviews, Elsevier, vol. 112(C), pages 813-833.
    7. Fu, Yue & Wang, Liyuan & Liu, Ming & Wang, Jinshi & Yan, Junjie, 2023. "Performance analysis of coal-fired power plants integrated with carbon capture system under load-cycling operation conditions," Energy, Elsevier, vol. 276(C).
    8. Liyuan Fu & Qing Wang, 2022. "Spatial and Temporal Distribution and the Driving Factors of Carbon Emissions from Urban Production Energy Consumption," IJERPH, MDPI, vol. 19(19), pages 1-29, September.
    9. Meizhen Zhang & Tao Lv & Xu Deng & Yuanxu Dai & Muhammad Sajid, 2019. "Diffusion of China’s coal-fired power generation technologies: historical evolution and development trends," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 95(1), pages 7-23, January.
    10. Kai Ou & Yu Shi & Wenwen Zhou, 2024. "An Evolutionary Game Study on Green Technology Innovation of Coal Power Firms under the Dual-Regulatory System," Energies, MDPI, vol. 17(3), pages 1, January.
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    12. Peng Wang & Chunsheng Wang & Yukun Hu & Liz Varga & Wei Wang, 2018. "Power Generation Expansion Optimization Model Considering Multi-Scenario Electricity Demand Constraints: A Case Study of Zhejiang Province, China," Energies, MDPI, vol. 11(6), pages 1-15, June.
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    15. Carlos Roberto de Sousa Costa & Paula Ferreira, 2023. "A Review on the Internalization of Externalities in Electricity Generation Expansion Planning," Energies, MDPI, vol. 16(4), pages 1-19, February.

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