Gasifipedia
Applications of Gasification
Markets for Gasification
A variety of commodities can be produced from syngas, the primary product of gasification, providing for many potential markets. This product flexibility as well as other advantages of gasification make gasification an attractive technology now and for the future.
Currently, the main markets for gasification, as judged by analysis of current and planned projects, are:
As of 2010, chemical production is the largest application of gasification based on total installed capacity. The U.S. chemical industry brought in about $700 billion in 2009. In particular, the price of chemicals for agricultural use, like ammonia-based fertilizers (see the Great Plains Synfuels Plant for more on the coproduction of ammonia and SNG) rose 14.5% in 2007. Production of agricultural chemicals dropped by 7.4%, primarily due to the high price of natural gas, which indicates an opportunity for coal-to-chemical plants (data from Facts & Figures, July 7, 2008, Chemical & Engineering News).
 |
|
Great Plains Synfuels Plant |
|
|
|
The next largest application of gasification, as of 2010, is Fischer-Tropsch liquids (FTLs, also called coal-to-liquids). The U.S. market for liquid fuel use from both petroleum-based sources and produced from fuels like coal and biomass is expected to total 22.1 million barrels per day in 2035, an increase of 2.5 million barrels per day over 2008. Government regulations (EISA2007) mandate that, by 2022, 21 billion gallons of biofuels must be produced to replace petroleum fuels. A portion of these 21 billion gallons must be biomass-to-liquid (BTL) diesel transportation fuel. The Energy Information Administration’s (EIA's) Annual Energy Outlook 2010, predicts BTL diesel will replace 2.5 billion gallons of petroleum fuel by 2022.
As of 2007, power and gaseous fuels are third and fourth, respectively, in installed capacity due to their relative recent emergence in the history of gasification. Chemicals and FTLs have been produced through gasification for more than five decades, whereas technology development for efficient power generation (integrated gasification combined cycle [IGCC]) and demand for gaseous fuels like hydrogen have advanced more recently. FTLs, which include ultra-clean transportation fuels, are expected to see the largest increase in capacity, as of 2010.
In addition to these established “product” markets, potential markets exist for gasification within industrial applications. Industrial plants that require electricity, steam, and also generate a feedstock suitable for a gasifier—refineries or paper pulping plants, for example—could benefit from an onsite gasification plant.
Future market growth is expected to be concentrated in two broad market categories: clean power generation and clean energy conversion, as described in the following subsections.
Clean Power Generation
Clean power generation, through IGCC and repowering older coal-based plants, is the primary market for gasification technology into the future. Initial market entry will primarily use coal, or refinery bottoms and petcoke, which offer economic advantages and are a competitive technology even at today’s natural gas prices. Coal-based IGCC power generation will follow and is predicted to achieve a large electric market share due to its domestic abundance and relatively low, stable price. IGCC, as described in the Power (IGCC) section, is predicted to be the ultimate, dominant market for gasification.
| |
 |
| |
Puertollano IGCC Power Plant |
|
|
The EIA's Annual Energy Outlook 2010 predicts total electricity sales will increase from 3,873 billion kWh in 2008 to 5,021 billion in 2035, a 30% increase (average rate of 1.0% per year). In particular, with the predicted retirement of 45 GW of capacity and increased electricity demand, 250 GW of new generating capacity will be needed by 2035, providing a large market potential for IGCC.
Waste disposal and recycling is another potential clean power generation market. Environmentally, gasification is superior to incineration, but the technology does require more research and development before its market strength can be realistically assessed. Work on gasification of highly toxic substances into salable by-products is also a promising technology.
Power generation is conducive to co-generation of other products. Power can be generated during peak demand, but then production can be diverted to other products during lesser-use periods.
Clean Energy Conversion
Clean energy conversion refers to the conversion of one energy source (typically coal or biomass, although there are many potential feedstocks) into another, usually for convenience or further use. For example, coal is not practical to power an automobile, but gasoline is. Clean energy conversion, which encompasses coal-to-liquids, coal-to-chemicals, and more, are treated distinctly from power generation in this page, even though they are similar; they both convert a feedstock into another energy carrier.
Synthesis gas (syngas) from gasification can be used as a basis for producing clean transportation fuels, chemicals, and gaseous fuel for fuel cells. Chemical production through syngas (commonly called coal-to-chemicals) is already a proven technology, with almost 29 GWth capacity installed by 2010, but it is the generation of ultra-clean transportation fuels through the Fischer-Tropsch (FT) process (“coal-to-liquids”) that is expected to have the greatest market growth in the near term. Gasification and subsequent FT processing has the potential to meet a growing need for low-sulfur, high-quality diesel. The FT process can also produce a variety of additional products including methanol and other hydrocarbons. The market for methanol and other hydrocarbons for use as blending stock should grow, especially as cleaner fuel regulations increase. The market for gaseous fuels from coal, like SNG, has been proven by the Great Plains Synfuels Plant, while H2 for use in highly efficient fuel cells is expected to develop as supporting technology and fuel cells themselves improve.
|
ABOUT NETL
Deepwater Technology
