IDEAS home Printed from https://ideas.repec.org/a/eee/appene/v312y2022ics0306261922001994.html
   My bibliography  Save this article

Techno-economic analysis of Power-to-Gas plants in a gas and electricity distribution network system with high renewable energy penetration

Author

Listed:
  • Fambri, Gabriele
  • Diaz-Londono, Cesar
  • Mazza, Andrea
  • Badami, Marco
  • Sihvonen, Teemu
  • Weiss, Robert

Abstract

Distributed generation, based on the exploitation of Renewable Energy Sources (RES), has increased in the last few decades to limit anthropogenic carbon dioxide emissions, and this trend will increase in the future. However, RES generation is not dispatchable, and an increasing share of RES may lead to inefficiencies and even problems for the electricity network. Flexible resources are needed to handle RES generation in order to support the delicate electricity generation and demand balance. Energy conversion technologies (P2X, Power to X) allow the flexibility of energy systems to be increased. These technologies make a connection between different energy sectors (e.g., electricity and gas) possible, and thus create new synergies within an overall multi-energy system. This paper analyzes how the P2G technology can be used at the distribution network level (both gas and electricity) to optimize the use of RES. In fact, in order to coordinate P2X resources, it is necessary to take into account the whole multi-energy scenario, and not just the electrical side: it therefore becomes fundamental to recognize the pros and cons that Balancing Service Providers (BSPs), composed of a number of P2G plants (representing the Balancing Responsible Providers, BRPs), may have when offering services to an electricity network. Moreover, the convenience of the decarbonization of the gas grid has been evaluated through the calculation of the levelized cost of Synthetic Natural Gas (LCSNG) for cost scenarios for the years 2030 and 2050, considering different assumptions about the cost of the surplus utilization of RES. The results show that LCSNG may vary from 47 to 319 €/MWh, according to the different configurations, i.e., only in the best-case scenario is the SNG cost comparable with the cost of natural gas, and hence does the P2G technology result to be profitable.

Suggested Citation

  • Fambri, Gabriele & Diaz-Londono, Cesar & Mazza, Andrea & Badami, Marco & Sihvonen, Teemu & Weiss, Robert, 2022. "Techno-economic analysis of Power-to-Gas plants in a gas and electricity distribution network system with high renewable energy penetration," Applied Energy, Elsevier, vol. 312(C).
  • Handle: RePEc:eee:appene:v:312:y:2022:i:c:s0306261922001994
    DOI: 10.1016/j.apenergy.2022.118743
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0306261922001994
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.apenergy.2022.118743?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. Blanco, Herib & Nijs, Wouter & Ruf, Johannes & Faaij, André, 2018. "Potential for hydrogen and Power-to-Liquid in a low-carbon EU energy system using cost optimization," Applied Energy, Elsevier, vol. 232(C), pages 617-639.
    2. Belderbos, Andreas & Valkaert, Thomas & Bruninx, Kenneth & Delarue, Erik & D’haeseleer, William, 2020. "Facilitating renewables and power-to-gas via integrated electrical power-gas system scheduling," Applied Energy, Elsevier, vol. 275(C).
    3. Xi, Yufei & Fang, Jiakun & Chen, Zhe & Zeng, Qing & Lund, Henrik, 2021. "Optimal coordination of flexible resources in the gas-heat-electricity integrated energy system," Energy, Elsevier, vol. 223(C).
    4. Conrado Borraz-Sánchez & Russell Bent & Scott Backhaus & Hassan Hijazi & Pascal Van Hentenryck, 2016. "Convex Relaxations for Gas Expansion Planning," INFORMS Journal on Computing, INFORMS, vol. 28(4), pages 645-656, November.
    5. Joeri Rogelj & Gunnar Luderer & Robert C. Pietzcker & Elmar Kriegler & Michiel Schaeffer & Volker Krey & Keywan Riahi, 2015. "Energy system transformations for limiting end-of-century warming to below 1.5 °C," Nature Climate Change, Nature, vol. 5(6), pages 519-527, June.
    6. Quarton, Christopher J. & Samsatli, Sheila, 2018. "Power-to-gas for injection into the gas grid: What can we learn from real-life projects, economic assessments and systems modelling?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 98(C), pages 302-316.
    7. Gorre, Jachin & Ruoss, Fabian & Karjunen, Hannu & Schaffert, Johannes & Tynjälä, Tero, 2020. "Cost benefits of optimizing hydrogen storage and methanation capacities for Power-to-Gas plants in dynamic operation," Applied Energy, Elsevier, vol. 257(C).
    8. Mathiesen, B.V. & Lund, H. & Connolly, D. & Wenzel, H. & Østergaard, P.A. & Möller, B. & Nielsen, S. & Ridjan, I. & Karnøe, P. & Sperling, K. & Hvelplund, F.K., 2015. "Smart Energy Systems for coherent 100% renewable energy and transport solutions," Applied Energy, Elsevier, vol. 145(C), pages 139-154.
    9. He, Liangce & Lu, Zhigang & Zhang, Jiangfeng & Geng, Lijun & Zhao, Hao & Li, Xueping, 2018. "Low-carbon economic dispatch for electricity and natural gas systems considering carbon capture systems and power-to-gas," Applied Energy, Elsevier, vol. 224(C), pages 357-370.
    10. Gorre, Jachin & Ortloff, Felix & van Leeuwen, Charlotte, 2019. "Production costs for synthetic methane in 2030 and 2050 of an optimized Power-to-Gas plant with intermediate hydrogen storage," Applied Energy, Elsevier, vol. 253(C), pages 1-1.
    11. Ikäheimo, Jussi & Weiss, Robert & Kiviluoma, Juha & Pursiheimo, Esa & Lindroos, Tomi J., 2022. "Impact of power-to-gas on the cost and design of the future low-carbon urban energy system," Applied Energy, Elsevier, vol. 305(C).
    12. Bertsch, Joachim & Growitsch, Christian & Lorenczik, Stefan & Nagl, Stephan, 2016. "Flexibility in Europe's power sector — An additional requirement or an automatic complement?," Energy Economics, Elsevier, vol. 53(C), pages 118-131.
    13. McDonagh, Shane & O'Shea, Richard & Wall, David M. & Deane, J.P. & Murphy, Jerry D., 2018. "Modelling of a power-to-gas system to predict the levelised cost of energy of an advanced renewable gaseous transport fuel," Applied Energy, Elsevier, vol. 215(C), pages 444-456.
    14. Götz, Manuel & Lefebvre, Jonathan & Mörs, Friedemann & McDaniel Koch, Amy & Graf, Frank & Bajohr, Siegfried & Reimert, Rainer & Kolb, Thomas, 2016. "Renewable Power-to-Gas: A technological and economic review," Renewable Energy, Elsevier, vol. 85(C), pages 1371-1390.
    15. Blanco, Herib & Nijs, Wouter & Ruf, Johannes & Faaij, André, 2018. "Potential of Power-to-Methane in the EU energy transition to a low carbon system using cost optimization," Applied Energy, Elsevier, vol. 232(C), pages 323-340.
    16. Badami, Marco & Fambri, Gabriele, 2019. "Optimising energy flows and synergies between energy networks," Energy, Elsevier, vol. 173(C), pages 400-412.
    17. Gabriele Fambri & Marco Badami & Dimosthenis Tsagkrasoulis & Vasiliki Katsiki & Georgios Giannakis & Antonis Papanikolaou, 2020. "Demand Flexibility Enabled by Virtual Energy Storage to Improve Renewable Energy Penetration," Energies, MDPI, vol. 13(19), pages 1-20, October.
    18. Buttler, Alexander & Spliethoff, Hartmut, 2018. "Current status of water electrolysis for energy storage, grid balancing and sector coupling via power-to-gas and power-to-liquids: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 2440-2454.
    19. Robinius, Martin & Raje, Tanmay & Nykamp, Stefan & Rott, Tobias & Müller, Martin & Grube, Thomas & Katzenbach, Burkhard & Küppers, Stefan & Stolten, Detlef, 2018. "Power-to-Gas: Electrolyzers as an alternative to network expansion – An example from a distribution system operator," Applied Energy, Elsevier, vol. 210(C), pages 182-197.
    20. Mazza, Andrea & Bompard, Ettore & Chicco, Gianfranco, 2018. "Applications of power to gas technologies in emerging electrical systems," Renewable and Sustainable Energy Reviews, Elsevier, vol. 92(C), pages 794-806.
    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. Yicheng Li & Lixiong Xu & Xiangmei Lv & Yiran Xiao, 2022. "Low-Carbon Scheduling of Integrated Electricity and Gas Distribution System Considering V2G," Energies, MDPI, vol. 15(24), pages 1-18, December.
    2. Zhilin Lyu & Quan Liu & Bin Liu & Lijun Zheng & Jiaqi Yi & Yongfa Lai, 2022. "Optimal Dispatch of Regional Integrated Energy System Group including Power to Gas Based on Energy Hub," Energies, MDPI, vol. 15(24), pages 1-22, December.
    3. Attila Bai & Péter Balogh & Adrián Nagy & Zoltán Csedő & Botond Sinóros-Szabó & Gábor Pintér & Sanjeev Kumar Prajapati & Amit Singh & Zoltán Gabnai, 2023. "Economic Evaluation of a 1 MW el Capacity Power-to-Biomethane System," Energies, MDPI, vol. 16(24), pages 1-27, December.
    4. Pastore, Lorenzo Mario & Lo Basso, Gianluigi & Ricciardi, Guido & de Santoli, Livio, 2022. "Synergies between Power-to-Heat and Power-to-Gas in renewable energy communities," Renewable Energy, Elsevier, vol. 198(C), pages 1383-1397.
    5. Yuqi Zhang & Chuan He & Anqi Xv & Xiaoxiao Tang, 2022. "Two-Stage Chance-Constrained Coordinated Operation of an Integrated Gas–Electric System," Energies, MDPI, vol. 15(12), pages 1-18, June.
    6. Son, Yeong Geon & Choi, Sungyun & Aquah, Moses Amoasi & Kim, Sung Yul, 2023. "Systematic planning of power-to-gas for improving photovoltaic acceptance rate: Application of the potential RES penetration index," Applied Energy, Elsevier, vol. 349(C).
    7. Xin Lyu & Tong Zhang & Liang Yuan & Ke Yang & Juejing Fang & Shanshan Li & Shuai Liu, 2022. "Pumped Storage Hydropower in Abandoned Mine Shafts: Key Concerns and Research Directions," Sustainability, MDPI, vol. 14(23), pages 1-14, November.

    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. Janke, Leandro & McDonagh, Shane & Weinrich, Sören & Murphy, Jerry & Nilsson, Daniel & Hansson, Per-Anders & Nordberg, Åke, 2020. "Optimizing power-to-H2 participation in the Nord Pool electricity market: Effects of different bidding strategies on plant operation," Renewable Energy, Elsevier, vol. 156(C), pages 820-836.
    2. Raheli, Enrica & Wu, Qiuwei & Zhang, Menglin & Wen, Changyun, 2021. "Optimal coordinated operation of integrated natural gas and electric power systems: A review of modeling and solution methods," Renewable and Sustainable Energy Reviews, Elsevier, vol. 145(C).
    3. Belderbos, Andreas & Valkaert, Thomas & Bruninx, Kenneth & Delarue, Erik & D’haeseleer, William, 2020. "Facilitating renewables and power-to-gas via integrated electrical power-gas system scheduling," Applied Energy, Elsevier, vol. 275(C).
    4. Ikäheimo, Jussi & Weiss, Robert & Kiviluoma, Juha & Pursiheimo, Esa & Lindroos, Tomi J., 2022. "Impact of power-to-gas on the cost and design of the future low-carbon urban energy system," Applied Energy, Elsevier, vol. 305(C).
    5. Inkeri, Eero & Tynjälä, Tero & Karjunen, Hannu, 2021. "Significance of methanation reactor dynamics on the annual efficiency of power-to-gas -system," Renewable Energy, Elsevier, vol. 163(C), pages 1113-1126.
    6. Quarton, Christopher J. & Samsatli, Sheila, 2020. "The value of hydrogen and carbon capture, storage and utilisation in decarbonising energy: Insights from integrated value chain optimisation," Applied Energy, Elsevier, vol. 257(C).
    7. Masoud Khatibi & Abbas Rabiee & Amir Bagheri, 2023. "Integrated Electricity and Gas Systems Planning: New Opportunities, and a Detailed Assessment of Relevant Issues," Sustainability, MDPI, vol. 15(8), pages 1-32, April.
    8. Duncan, Corey & Roche, Robin & Jemei, Samir & Pera, Marie-Cécile, 2022. "Techno-economical modelling of a power-to-gas system for plant configuration evaluation in a local context," Applied Energy, Elsevier, vol. 315(C).
    9. 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).
    10. Bedoić, Robert & Dorotić, Hrvoje & Schneider, Daniel Rolph & Čuček, Lidija & Ćosić, Boris & Pukšec, Tomislav & Duić, Neven, 2021. "Synergy between feedstock gate fee and power-to-gas: An energy and economic analysis of renewable methane production in a biogas plant," Renewable Energy, Elsevier, vol. 173(C), pages 12-23.
    11. Corey Duncan & Robin Roche & Samir Jemei & Marie-Cécile Péra, 2022. "Techno-economical modelling of a power-to-gas system for plant configuration evaluation in a local context," Post-Print hal-03692975, HAL.
    12. Bellocchi, Sara & De Falco, Marcello & Gambini, Marco & Manno, Michele & Stilo, Tommaso & Vellini, Michela, 2019. "Opportunities for power-to-Gas and Power-to-liquid in CO2-reduced energy scenarios: The Italian case," Energy, Elsevier, vol. 175(C), pages 847-861.
    13. McDonagh, Shane & Ahmed, Shorif & Desmond, Cian & Murphy, Jerry D, 2020. "Hydrogen from offshore wind: Investor perspective on the profitability of a hybrid system including for curtailment," Applied Energy, Elsevier, vol. 265(C).
    14. Yilmaz, Hasan Ümitcan & Kimbrough, Steven O. & van Dinther, Clemens & Keles, Dogan, 2022. "Power-to-gas: Decarbonization of the European electricity system with synthetic methane," Applied Energy, Elsevier, vol. 323(C).
    15. Qi, Meng & Park, Jinwoo & Landon, Robert Stephen & Kim, Jeongdong & Liu, Yi & Moon, Il, 2022. "Continuous and flexible Renewable-Power-to-Methane via liquid CO2 energy storage: Revisiting the techno-economic potential," Renewable and Sustainable Energy Reviews, Elsevier, vol. 153(C).
    16. Lux, Benjamin & Pfluger, Benjamin, 2020. "A supply curve of electricity-based hydrogen in a decarbonized European energy system in 2050," Applied Energy, Elsevier, vol. 269(C).
    17. Eveloy, Valerie, 2019. "Hybridization of solid oxide electrolysis-based power-to-methane with oxyfuel combustion and carbon dioxide utilization for energy storage," Renewable and Sustainable Energy Reviews, Elsevier, vol. 108(C), pages 550-571.
    18. Böhm, Hans & Zauner, Andreas & Rosenfeld, Daniel C. & Tichler, Robert, 2020. "Projecting cost development for future large-scale power-to-gas implementations by scaling effects," Applied Energy, Elsevier, vol. 264(C).
    19. Gorre, Jachin & Ruoss, Fabian & Karjunen, Hannu & Schaffert, Johannes & Tynjälä, Tero, 2020. "Cost benefits of optimizing hydrogen storage and methanation capacities for Power-to-Gas plants in dynamic operation," Applied Energy, Elsevier, vol. 257(C).
    20. Maeder, Mattia & Weiss, Olga & Boulouchos, Konstantinos, 2021. "Assessing the need for flexibility technologies in decarbonized power systems: A new model applied to Central Europe," Applied Energy, Elsevier, vol. 282(PA).

    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:312:y:2022:i:c:s0306261922001994. 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.