Techno-economic analysis of geothermal combined with direct and biomass-based carbon dioxide removal for high-temperature hydrothermal systems

Abstract

Limiting global temperature rise to between 1.5 and 2 °C will likely require widespread deployment of carbon dioxide removal (CDR) to offset sectors with hard-to-abate emissions. As financial resources for decarbonization are finite, strategic deployment of CDR technologies is essential for maximizing atmospheric CO 2 reductions. Carbon capture and sequestration (CCS), using either direct air capture (DACCS) or bioenergy (BECCS) technologies has a particular synergy with geothermal electricity generation. This is because expensive geothermal infrastructure can be leveraged to transport dissolved CO 2 for storage in subsurface reservoirs. Here, we present a techno-economic comparison of renewable electricity generation coupled with either BECCS or DACCS at high-temperature, low-gas hydrothermal systems. We use a systems model that quantifies energy, carbon and financial flows through a generic hybrid power plant. At a CO 2 market price of $100/tonne, the geothermal-BECCS system has a lower median cost of electricity generation ($88/MWh) than geothermal-DACCS ($181/MWh) and conventional geothermal ($89/MWh). Geothermal-BECCS also had the lowest costs of overall emissions abatement, $122/tCO 2 , accounting for carbon removal and assuming displacement of fossil-fuel generation. Abatement costs are even lower, $45/tCO 2 , for BECCS retrofit of existing geothermal plants, owing to discounted costs of pre-existing injection wells, steam fields, and plant equipment. For a case study based on a geothermal field in New Zealand's Taupō Volcanic Zone (TVZ), we determined that achieving CDR rates of 1 MtCO 2 /year via new geothermal-BECCS builds would require 62 standard geothermal wells and 790 kt/year of feedstock and result in 511 MWe in installed capacity. In contrast, geothermal-DACCS would need 49 wells and no external fuel source to achieve 1 MtCO 2 /year scale but result in only 190 MWe in installed capacity. Both pathways are calculated to require similar upfront investment costs at $2.2 billion and $2.3 billion for geothermal-BECCS and geothermal-DACCS respectively. Although geothermal-DACCS removes CO 2 at high rates, its high parasitic load increases the overall decarbonization cost ($187/tCO 2 ). In contrast, when biomass hybridization is considered, geothermal-BECCS has a lower cost of emissions abatement and produces 20 % more electricity than the benchmark geothermal plant. We conclude that this increase in electricity production makes geothermal-BECCS the more cost-effective geothermal-based CDR configuration. Finally, we argue that revenues from net-negative CO 2 emissions and increased power production make geothermal-CDR a cost-competitive decarbonization technology.

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