Capture-ready coal plants—Options, technologies and economics

Abstract

This paper summarizes the spectrum of options that can be employed during the initial design and construction of pulverized coal (PC), and integrated gasification and combined cycle (IGCC) plants to reduce the capital costs and energy losses associated with retrofitting for CO 2 capture at some later time in the future. It also estimates lifetime (40 year) net present value (NPV) costs of plants with differing levels of pre-investment for CO 2 capture under a wide range of CO 2 price scenarios. Three scenarios are evaluated—a baseline supercritical PC plant, a baseline IGCC plant and an IGCC plant with pre-investment for capture. This analysis evaluates each technology option under a range of CO 2 price scenarios and determines the optimum year of retrofit, if any. The results of the analysis show that a baseline PC plant is the most economical choice under low CO 2 prices, and IGCC plants are preferable at higher CO 2 prices (e.g., an initial price of about $22/t CO 2 starting in 2015 and growing at 2%/year). Little difference is seen in the lifetime NPV costs between the IGCC plants with and without pre-investment for CO 2 capture. This paper also examines the impact of technology choice on lifetime CO 2 emissions. The difference in lifetime emissions become significant only under mid-estimate CO 2 price scenarios (roughly between $20 and 40/t CO 2) where IGCC plants will retrofit sooner than a PC plant.