Carbon dioxide capture and storage planning considering emission trading system for a generation corporation under the emission reduction policy in China

Abstract

Power generation corporations face challenges from emission reduction targets (ERTs) of government policy from the increasingly explicit demand for carbon dioxide (CO 2 ) emission reduction. CO 2 capture and storage (CCS) is receiving considerable attention as a potential greenhouse gas mitigation option for fossil-fuelled power plants. In this study, a mathematical model is built to select the proper plants to deploy CCS under the Emission Trading System. The model considers factors such as clean energy development, fuel price fluctuation and economic level growth in the next five years to maximise the profit of the whole corporation under the premise of fulfilling the ERT in China. The Black-Scholes option pricing theory is used to analyse the investment potential amid yearly carbon price fluctuations. A discrete bacterial colony chemotaxis algorithm is then used to solve the model. The model is illustrated by an example of 11 plants with 17 units subordinated to a certain corporation in Hebei, China. The results show that the CCS planning situations in three carbontrading scenarios and their option values can effectively provide the investment strategy references for power generation corporations.

Coordinated G&TEP and carbon capture and storage expansion planning model for emission constrained power systems

“…They are relaxed into the CCS planning of the individual generators by applying the Lagrangian relaxation [32][33][34]. The inequality (25) is recast as (27) by transferring the constant values (parameters and given variables) in (25) to the right-hand side of the inequality to simplify the formulation. (27) The multipliers are updated based on the given CCS planning decisions, SCCS yg and the values of δ ybg r given in the following equation:…”

“…In [24], Zhu et al considered that reducing the carbon emissions will reduce its related payments and carried out a quantitative study to evaluate the cost-savings that can be realised through investment in CCS projects. In [25], the authors investigated mitigating the emissions from fossil-fuel based generation units by expanding the capacity of CCS units to meet the required ERTs. However, the coordination between the GEP investment decisions and the CCS investment decisions was not considered in [23][24][25].…”

“…In [25], the authors investigated mitigating the emissions from fossil-fuel based generation units by expanding the capacity of CCS units to meet the required ERTs. However, the coordination between the GEP investment decisions and the CCS investment decisions was not considered in [23][24][25]. In [26], a comparative study investigating the impacts of expanding the capacity of renewable generation units and the deployment of CCS units on the future power system energy mix was presented.…”

“…In contrast with previous research works (e.g. [23][24][25][26]) which ignore either the limits on the capacity expansion of clean power generation or the coordination between the G&TEP decisions and the CCS installation decisions, in this work both these aspects are considered. In this context, CCS retrofitting of carbon emitter generation units is coordinated with the installation of new generation units and transmission lines to meet the ERTS of the power system.…”

Low‐carbon coordinated scheduling of integrated electricity‐gas distribution system with hybrid AC/DC network

“…For purposes of realizing emission reduction target, the research on the integrated energy system optimal operation has gradually evolved to its low-carbon coordinated scheduling. Vigorously developing carbon capture and storage (CCS) [8][9][10] is a crucial means to achieve the decarbonization goal in the future.…”