Date of Graduation
2010
Document Type
Dissertation/Thesis
Abstract
In this carbon-constrained world, carbon management options for climate change mitigation are becoming increasingly important, especially in China, the largest energy consuming and GHG emitting nation in the world. As a case study of a carbon capture and storage (CCS) project for Shenhua's direct coal liquefaction (DCL) plant, this study (1) investigates impacts of China's potential climate change policies on a firm's CCS decisions; (2) examines how a firm is expected to make decisions on the selection of CO2 storage reservoirs; and (3) improves the understanding of the potential for CCS to become a major mitigation option in China. This dissertation uses a profit-maximizing programming model of CO 2 point sources and associated geological storage reservoirs to support site-specific, economically viable decisions on the deployment of CCS technologies. The cost simulation of CCS is based on published techno-economic models and examines three stages of the CCS process: compression, transportation and storage. The capture stage is not included since the DCL plant is assumed to produce sufficiently pure CO2 emissions for storage without significant additional capture costs. A conventional optimization approach is applied to solve the programming model. To consider more robust solution methods, a genetic algorithm is also developed and applied. The models are used to simulate the optimal allocation of carbon storage levels among different geological storage reservoirs during each period at a given carbon price. The results demonstrate the potential for successful CO2 sequestration related to coal liquefaction and gasification production. The research provides insights into the carbon prices required to make geologic CCS sustainable for coal conversion projects in China. The study concludes that the development of CCS alternatives for CO 2 from clean coal conversion technologies with negligible or low capture costs present significant opportunities for China to participate in world CO2 markets if such CCS projects are accepted for inclusion in the CDM framework. The economic analysis of CCS provides background for policy makers in analyzing potential opportunities for using CCS in the portfolio of GHG mitigation options in China.
Recommended Citation
Su, Hui, "Economics of Geological Sequestration and Carbon Management: A Case Study of Shenhua's Direct Coal Liquefaction Plant in China." (2010). Graduate Theses, Dissertations, and Problem Reports. 9852.
https://researchrepository.wvu.edu/etd/9852