Techno-economic and life cycle greenhouse gas emissions assessment of liquefied natural gas supply chain in China
Jinrui Zhang, Hans Meerman, René Benders, André Faaij
Abstract
This study assessed the techno-economic performance and life cycle greenhouse gas (GHG) emissions for various liquefied natural gas (LNG) supply chains in China in order to find the most efficient way to supply and use LNG. This study improves current literature by adding supply chain optimization options (cold energy recovery and hydrogen production) and by analyzing the entire supply chain of four different LNG end-users (power generation, industrial heating, residential heating, and truck usage). This resulted in 33 LNG pathways for which the energy efficiency, life cycle GHG emissions, and life cycle costs were determined by process-based material and energy flow analysis, life cycle assessment, and production cost calculation, respectively. The LNG and hydrogen supply chains were compared with a reference chain (coal or diesel) to determine avoided GHG emissions and GHG avoidance costs. Results show that NG with full cryogenic carbon dioxide capture (FCCC) is most beneficial pathway for both avoided GHG emissions and GHG avoidance costs (70.5–112.4 g CO2-e/MJLNG and 66.0–95.9 $/t CO2-e). The best case was obtained when NG with FCCC replaces coal-fired power plants. Results also indicate that hydrogen pathways requires maturation of new technology options and significant capital cost reductions to become attractive.