Study on the economic comparison and low-carbon benefits of major low-carbon thermal power technologies in China

Abstract

In the context of the "dual carbon" goal, the reduction of carbon emissions of thermal power units is the key to the implementation of emission reduction targets in China. In this paper, the economic evaluation model of low-carbon thermal power technology is constructed, and the economic benefits and emission reduction benefits of six kinds of low-carbon thermal power technology are compared and analyzed. Results indicate that when coal prices fall to 600 CNY/t and natural gas to 0.8 CNY/m³ , the levelized cost of electricity for CPCCS and NGCC drops to the current LCOE level of USDR. While CPCCS requires higher initial investment, its carbon benefits double those of other coal-fired technologies. BCPG leverages biomass fuel's price advantage to simultaneously reduce emissions and increase profits. However, at the current carbon price level, the carbon revenue of CAPP and HDNG cannot offset the increased fuel costs from blending ammonia or hydrogen, thus resulting in poor economic performance. In the future, with the gradual maturity of the carbon market and the improvement of emission reduction targets, China's carbon price level will approach the international level, thereby enhancing the low-carbon benefits of these technologies.