Abstract
This study assessed the techno-economic performance and life cycle greenhouse gas (GHG) emissions for various liquefied natural gas (LNG) supply chains in China in order to find the most efficient way to supply and use LNG. This study improves current literature by adding supply chain optimization options (cold energy recovery and hydrogen production) and by analyzing the entire supply chain of four different LNG end-users (power generation, industrial heating, residential heating, and truck usage). This resulted in 33 LNG pathways for which the energy efficiency, life cycle GHG emissions, and life cycle costs were determined by process-based material and energy flow analysis, life cycle assessment, and production cost calculation, respectively. The LNG and hydrogen supply chains were compared with a reference chain (coal or diesel) to determine avoided GHG emissions and GHG avoidance costs. Results show that NG with full cryogenic carbon dioxide capture (FCCC) is most beneficial pathway for both avoided GHG emissions and GHG avoidance costs (70.5–112.4 g CO2-e/MJLNG and 66.0–95.9 $/t CO2-e). The best case was obtained when NG with FCCC replaces coal-fired power plants. Results also indicate that hydrogen pathways requires maturation of new technology options and significant capital cost reductions to become attractive.
Highlights
China consumes 22.3% of the total world primary energy consumption [1] resulting in 9.3 billion tonnes CO2 emitted in 2017 [2,3]
It is clear that H2 with full cryogenic carbon dioxide capture (FCCC) has the largest avoided greenhouse gas (GHG) emissions of 104.9 and 102.2 g CO2-e/ MJLNG, and the liquefied natural gas (LNG) has the lowest GHG avoidance costs of 79.4 and 114.3 $/t CO2-e in the NH and FH area, respectively
To quantify and optimize GHG emission and economic performance for LNG supplied for the four end-users, we proposed three LNG supply chains and defined the life cycle stages involved in each one
Summary
China consumes 22.3% of the total world primary energy consumption [1] resulting in 9.3 billion tonnes CO2 emitted in 2017 [2,3]. NG consumption in China reached 280.3 billion m3 in 2018, while domestic NG production was only 157.5 billion m3 [5]. As the domestic NG production cannot meet its consumption, China imports NG by two options: pipeline gas and liquefied natural gas (LNG). In 2018, LNG imports in China reached 73.0 billion m3 [5], which is 26% of China’s NG consumption and 2.8 times that in 2015 [7]. The import infrastructure for LNG in China could double in 5 years from 2018 [8]. The imported LNG usage by sector in China by percentage was 18%, 45%, 22%, and 12% for power, industry, building, and transportation in 2016, respectively [10]
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