Optimizing Renewable Energy Integration and Grid Costs for Electrified Ammonia Production

Abstract

The global energy transition and the need to decarbonize the chemicals industry have highlighted the potential of electrified ammonia production (e-ammonia) as a sustainable, low-carbon pathway. This comprehensive techno-economic analysis integrates renewable energy, advanced process controls, and a systems-level approach to optimize e-ammonia production. The study examines five energy mix scenarios and two process flexibility configurations, optimizing key components to minimize the levelized cost of ammonia (LCOA) production. Key findings include: Renewable energy integration, particularly in hybrid grid and renewable scenarios, reduces LCOA compared to grid-only electricity. Flexible Haber-Bosch configurations outperform nonflexible setups in cost reduction and resilience to grid price variability. Optimizing energy and hydrogen storage is crucial for adapting to intermittent renewable energy sources and minimizing costs. Advanced process controls and digital technologies enhance the utilization of low-cost, clean electricity and resilience to grid pricing uncertainties. Continued research in renewable energy technologies is essential for reducing the environmental footprint of e-ammonia. The study demonstrates that e-ammonia production remains economically viable across various grid pricing scenarios, emphasizing the robustness of renewable energy integration. Achieving fully decarbonized, green ammonia production is possible through power purchase agreements and increased renewable energy penetration. The transition to sustainable ammonia has significant social and geographic implications, requiring concerted efforts from policymakers, industry leaders, researchers, and local communities to ensure a just and sustainable transition. This research provides a compelling case for the adoption of e-ammonia technologies to decarbonize the ammonia industry while maintaining economic viability.