Page 19 - Oct23T

T&T: What are the challenges and opportunities associ- ated with PtL technology, and what are the cost implications of using PtL technology?
JW: One of the challenges of PtL technology is that the production of synthetic fuels from green hydrogen and carbon dioxide has not been commercialized and is higher cost than alternatives. It requires new SAF production facili- ties, a significant increase in available renewable power on an ongoing continuous basis, and material sources of carbon.
HEFA-based SAF remains the most viable and scalable solution for the next ten years, using waste oils, fats, and other bio-based oils (e.g., novel vegetable oils and inter- mediate crops that do not cause land use change and help regenerate soil quality).
The other challenge is the lack of regulations that can en- courage investment decisions to make this technology com- mercially available, given the level of capital expenditure is significantly higher than existing HEFA-based SAF projects. Supply support can come through investment incentives, while mandates for using renewable fuels, specifically for PtL-based SAF, support demand. In addition, we also need policies that ensure that the cost of carbon emissions is reflected equally in fossil fuel pricing. Currently, the cost comparison with SAF is not on a like-for-like basis.
As well as a significant increase in renewable power production capacity, we need the associated electric grids, pipelines and storage, and other infrastructure elements to be developed and maintained to meet the needs of the
industry. Permitting processes also have to become quick and transparent.
To summarize, the government and industry must col- laborate closely to make a positive business case for green hydrogen and PtL-based SAF, enabling deployment at scale from 2030 onwards.
T&T: What are the environmental benefits of using PtL technology?
JW: PtL has the potential to unlock new renewable feedstock pools beyond bio-based sustainable raw materials and reduce reliance on fossil fuels dug out of the ground.
We now know that increases in carbon in the atmosphere from fossil fuels have contributed to more than one degree (Celcius) of global warming compared to pre-industrial times. This increase in carbon could cause irreversible climate change if not addressed by curtailing the use of fossil fuels. The case for fast action is clear.
PtL needs hydrogen and carbon. Green hydrogen is gener- ated without incremental emissions when using renewable power. The carbon required to make a renewable liquid fuel is the second challenge — bio-based carbon sources will continue to be required, ideally concentrated in locations close to the renewable power source for the green hydrogen. Direct air capture is a longer-term option, but once again, it requires significant additional amounts of renewable power and is higher cost given the low concentration of carbon in the atmosphere — but pilot plants are in development.
First Source
https://www.1stsource.com/
October 2023 / TWIN & TURBINE • 17