Techno – Economic assessment of flexible decarbonized hydrogen and power co-production based on natural gas dry reforming

Abstract

The need for flexible power plants could increase in the future as variable renewable energy (VRE) share will increase in the power grid. These power plants could balance the increasing strain on electricity grids by renewables. The proposed plant in this paper can adapt to these ramps in electricity demand of the power grid by maintaining a constant feed and producing also high purity hydrogen. Dry methane reforming (DMR) is incorporated into a flexible power plant model and the key performance indicators are calculated from a techno-economic perspective. The net output of the plant is 450 MW with the possibility to lower power production and produce hydrogen, maintaining a high CO2 capture rate (72%). Two cases are compared to the base case to quantify: (i) energy and cost penalties for CO2 capture and (ii) advantages of flexible power plant operation. The levelized cost of electricity (LCOE) for the base case is 67 Euro/MWh, the addition of a carbon capture unit increases it to 82 Euro/MWh. In the case of flexible operation, both the LCOE and levelized cost of hydrogen (LCOH) are calculated and the two depend on the cost allocation factor. The LCOE ranges from 65 to 85 Euro/MWh while the LCOH from 0.15 to 0.073 Euro/Nm3. The DMR power plant presented in Cases 1 and 2 present little advantages in today's market conditions however, the flexible plant (Case 3) can be viable option in balancing VRE.