D.J. Scholten
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33 records found
1
This study aims to provide an extensive overview of the critical internal and external uncertainties that influence the synthetic fuel supply chain. Additionally, the study wants to look at the impact of the identified factors by using scenarios to model future developments. Scholars are highlighting the potential of synthetic fuels, and the International Energy Agency expects them to play a role in the future energy mix. However, high costs and regulatory uncertainty might prove to be significant barriers to their development. The synthetic fuel system is complex, and their are a lot of factors with that impact each other and a lot of uncertainty in terms of how key factors will develop in the future. The research question focuses on the potential of synthetic fuels in the future. This research uses an integrated approach to look at the system, as the important factors are highly dependent of each other.
A PESTEL-analysis was done to highlight the different categories of factors influencing the synthetic fuel supply chain. The Political, Economic, Social, Technological, Environmental and Legal factors together form the driving forces and uncertainties surrounding synthetic fuels. After an extensive literature study to create thorough understanding of the synthetic fuel system, relevant literature was reviewed and discussed to identify the most important factors and uncertainties. These factors are elaborately discussed and then summarized and categorized. The factors with high impact were done reviewed and discussed further with quantitative experiments. The critical uncertainties were quantified by analyzing scenarios in a Mixed-Integer Linear Programming (MILP) model using the program Linny-R. The mix of qualitative and quantitative research makes it possible to understand the synthetic fuel system better. Using Linny-R, the system was modelled in a simplified way by linking the relevant feedstocks, processes and products. The advantage of Linny-R is that it is very suited for looking at integrated systems. The identified factors have a lot of interdependencies and that makes it interesting to look at the impact of uncertainties on multiple factors at the same time.
The results showed the major impact the energy price and the electrolyzer Capex have on the hydrogen and subsequent synthetic fuel prices, as they are at least twice as expensive as fossil fuels on the short term. The high current prices for renewable energy weigh heavily on the hydrogen costs, which in turn has a major impact on the costs for synthetic fuels. The results also show the importance of renewable energy availability, as the average price increases significantly due to the intermittency of renewable energy sources. This intermittency leads to lower capacity factors for the electrolyzer, which increases the electrolysis costs per tonne hydrogen. These two factors are the main cost drivers of hydrogen and finding the right balance between the capacity factor and cheap energy is key for reaching an optimal synthetic fuel price. Technological developments and efficiency gains will decrease the price significantly in the future. However, it will definitely remain challenging to become competitive in the short term. In the longer term, there is potential if adequate regulatory support is provided and hydrogen prices continue to decrease due to innovation and scalability. Hydrogen production, and even more so, synthetic fuel production in countries with favourable conditions for renewable energy could lead to lower prices than local production. A potential disadvantage is more competition and geopolitical tensions making the supply chain riskier, requiring a higher rate of return. Because the model also incorporated the fossil fuel production and the carbon emissions, the impact of policy could also be taken into account. While the results show that the impact of policy measures like carbon pricing is definitely lower than the impact of significant hydrogen cost reductions, it is clear that this policy does make synthetic fuel production more attractive. The integrated approach of the system shows that multiple developments are needed for the ambition of cost-parity for synthetic and fossil fuels. While this cost-parity may never be reached, under the right circumstances the synthetic fuel price can become very close. Additional policy measures like blend-in quota and higher subsidies could further increase the demand.
The results highlight the challenges but also the potential of synthetic fuels. In order to make them part of the inevitable transition to sustainable alternatives for the transport sector, governments, policymakers, international organisations and customers need to align their efforts to collectively (partly) shift towards synthetic fuels. This is a big opportunity to reduce GHG emissions and reach the climate targets from the Paris Agreement. ...
This study aims to provide an extensive overview of the critical internal and external uncertainties that influence the synthetic fuel supply chain. Additionally, the study wants to look at the impact of the identified factors by using scenarios to model future developments. Scholars are highlighting the potential of synthetic fuels, and the International Energy Agency expects them to play a role in the future energy mix. However, high costs and regulatory uncertainty might prove to be significant barriers to their development. The synthetic fuel system is complex, and their are a lot of factors with that impact each other and a lot of uncertainty in terms of how key factors will develop in the future. The research question focuses on the potential of synthetic fuels in the future. This research uses an integrated approach to look at the system, as the important factors are highly dependent of each other.
A PESTEL-analysis was done to highlight the different categories of factors influencing the synthetic fuel supply chain. The Political, Economic, Social, Technological, Environmental and Legal factors together form the driving forces and uncertainties surrounding synthetic fuels. After an extensive literature study to create thorough understanding of the synthetic fuel system, relevant literature was reviewed and discussed to identify the most important factors and uncertainties. These factors are elaborately discussed and then summarized and categorized. The factors with high impact were done reviewed and discussed further with quantitative experiments. The critical uncertainties were quantified by analyzing scenarios in a Mixed-Integer Linear Programming (MILP) model using the program Linny-R. The mix of qualitative and quantitative research makes it possible to understand the synthetic fuel system better. Using Linny-R, the system was modelled in a simplified way by linking the relevant feedstocks, processes and products. The advantage of Linny-R is that it is very suited for looking at integrated systems. The identified factors have a lot of interdependencies and that makes it interesting to look at the impact of uncertainties on multiple factors at the same time.
The results showed the major impact the energy price and the electrolyzer Capex have on the hydrogen and subsequent synthetic fuel prices, as they are at least twice as expensive as fossil fuels on the short term. The high current prices for renewable energy weigh heavily on the hydrogen costs, which in turn has a major impact on the costs for synthetic fuels. The results also show the importance of renewable energy availability, as the average price increases significantly due to the intermittency of renewable energy sources. This intermittency leads to lower capacity factors for the electrolyzer, which increases the electrolysis costs per tonne hydrogen. These two factors are the main cost drivers of hydrogen and finding the right balance between the capacity factor and cheap energy is key for reaching an optimal synthetic fuel price. Technological developments and efficiency gains will decrease the price significantly in the future. However, it will definitely remain challenging to become competitive in the short term. In the longer term, there is potential if adequate regulatory support is provided and hydrogen prices continue to decrease due to innovation and scalability. Hydrogen production, and even more so, synthetic fuel production in countries with favourable conditions for renewable energy could lead to lower prices than local production. A potential disadvantage is more competition and geopolitical tensions making the supply chain riskier, requiring a higher rate of return. Because the model also incorporated the fossil fuel production and the carbon emissions, the impact of policy could also be taken into account. While the results show that the impact of policy measures like carbon pricing is definitely lower than the impact of significant hydrogen cost reductions, it is clear that this policy does make synthetic fuel production more attractive. The integrated approach of the system shows that multiple developments are needed for the ambition of cost-parity for synthetic and fossil fuels. While this cost-parity may never be reached, under the right circumstances the synthetic fuel price can become very close. Additional policy measures like blend-in quota and higher subsidies could further increase the demand.
The results highlight the challenges but also the potential of synthetic fuels. In order to make them part of the inevitable transition to sustainable alternatives for the transport sector, governments, policymakers, international organisations and customers need to align their efforts to collectively (partly) shift towards synthetic fuels. This is a big opportunity to reduce GHG emissions and reach the climate targets from the Paris Agreement.
The system costs of future electric mobility
Comparing battery electric vehicles with solar electric vehicles
The deployment of hydrogen in the Netherlands
Policy advise to accelerate the hydrogen transition in the heavy industry
Indonesia is the world’s largest archipelago nation, with 270 million people inhabiting 6,000 islands that span almost 2000 square kilometers (World Population Review, 2020). With 80% of its industries and 60% of its population located in coastal regions, Indonesia is particularly vulnerable to rising sea- levels and extreme weather events (Fünfgeld, 2020). Despite the urgent need to transition towards low carbon energy production, the development of renewables in Indonesia is very slow. In 2019, 84% of electricity was generated from fossil fuels, 59% of which came from coal power plants (IEA, 2020b). Considering the prevailing poverty levels, which stood at 24% in 2018 ($ 3.20/day poverty line), Indonesia is faced with the dual challenge of human development and climate change. Biomass gasification is a particularly interesting option for Indonesia due to the enormous quantities of residues produced from the agriculture and forestry sectors. Activities commenced in the late 1970’s, however, despite over forty years of development the technology has not reached wide-scale diffusion and very few clear examples of commercially viable projects exist. Further investigation is needed to understand how biomass gasification can contribute to energy justice in Indonesia, and which factors have influenced its development over the past forty years.
Research Goals and Research Design
Theory from sustainability transitions research and energy justice are used to develop a framework that facilitates the investigation of: (1) the factors that have influenced the development of the biomass gasification niche, and (2) how niche projects and the electricity sector have performed with respect to energy justice. An integrated Multi-Level Perspective (MLP) and Strategic Niche Management (SNM) frame- work is combined with the energy justice framework of Sovacool, M. Burke, et al., 2017. Explanatory and descriptive research is complemented by exploratory research, that utilises semi-structured expert interviews to gain deeper insights into transition dynamics and energy justice.
Main Findings
The biomass gasification niche has largely relied on international donors to support activities. In 1980 the main landscape pressure motivating donors was energy (in)security during the world oil crises. Many years later, international and domestic interest in biomass gasification increased largely in response to the intensifying landscape pressure to mitigate climate change. Projects have been implemented in rural locations where there is a need to: alleviate poverty, increase electricity access, and reduce diesel fuel consumption. The latter is due to the increasing burden of oil subsidies and rapidly declining domestic oil reserves.
Since 2012 a number of formal rules have been introduced in order to incentivise biomass gasification projects - these started with fixed Feed-in-Tariffs, and later linked the electricity price to the local generation cost of the electricity utility, PLN. Both regulations failed to incentivise commercial projects, while the latter was widely regarded as inhibitory to niche development as PLN’s generation cost is heavily influenced by fossil fuel subsidies (Interviewee 5 - International Project Facilitator, 2020; Interviewee 8 - Government, 2020). The increased use of biomass for cofiring with coal has led to the formation of a domestic market for waste biomass - these feedstocks have since been prohibitively expensive for niche projects.
As the niche network has expanded beyond technical research institutions, the learning processes progressed to learning about policy and regulation, biomass potential, societal and environmental impact, and business models. Knowledge of biomass potential has greatly improved - while the domestic mar- ket for biomass waste has made agribusiness waste prohibitively expensive, the Centre for International Forestry Research (CIFOR) has started to investigate the potential of different biomass species for cultivation on degraded land - creating a key opportunity for niche projects to align with the land-use dimension of climate change mitigation. Finally, in CPI’s recent projects, actors have been able to learn more about the societal and environmental impact of biomass gasification - a key source of competitive advantage over other renewable energy niches (discussed below).
However, the success of niche projects to date have been hampered by a variety of socio-technical challenges, several of which still remain - feedstock security, operator training, and business models to facilitate niche expansion. In terms of the actor network, there has been minimal interaction between the different actor groups over the last forty years - this lack of shared learning has meant that actors have not been able to effectively learn from the accumulating experiences of other niche projects, and so resulted in limited examples of reinforcing niche nurturing processes and second-order learning.
Since the earliest niche experiments in 1980, biomass gasification projects have attempted to alleviate some of the injustices caused by Indonesia’s electricity regime. By targeting rural communities that have been marginalised by poor access to energy services, projects have sought to alleviate the intra- generational inequity in the availability of electricity. Through careful project design, actors were able to contribute to improved transparency and accountability and alleviate some injustices that intersect with energy justice. Regarding the latter, the main contribution has been in the targeting of low-income rural communities with limited access to electricity (socio-economic justice), although CPI’s Mentawai project also contributed to improved gender justice.
Recommendations
The key recommendations from this research are: (1) align projects with multiple landscape pressures - choose locations in which these pressures are more intense by comparing biomass potential (agro- industry locations or degraded land for crop cultivation), to the locations of diesel power plants (and regions in which the local generation cost is high), and locations of communities with poor electricity access and limited economic development; (2) accelerate niche development by improving cross-project communication; (3) implement long-term strategy to improve technical knowledge in rural areas so that communities are able to successfully operate and maintain biomass gasification plants, and (4) the Government should adopt an energy justice framework, such as that proposed by Sovacool, M. Burke, et al., 2017, that not only considers distributional justice, but also due process, recognition, restorative, and cosmopolitan justice - this will result in supportive policies that more accurately value the positive energy justice contribution of niche technologies like biomass gasification, and thereby facilitate the large-scale diffusion of these technologies.
Further work
This historical case study can be used as the basis for a participatory future-oriented research project that investigates how the biomass gasification niche can be scaled-up in a just manner - designing a number of scenarios over the short-, medium-, and long-term. Considering the broad scope of Indonesia’s electricity sector, a more comprehensive energy justice analysis is necessary for niche innovations and traditional technologies in order to facilitate fair energy decision-making.
This research has combined an integrated MLP and SNM framework with an energy justice framework. Sovacool’s broad energy justice framework creates a number of opportunities for integrating this analysis into the MLP and SNM frameworks. Academically relevant further research should focus on the integration of energy justice and Sustainability Transitions Research frameworks. ...
Indonesia is the world’s largest archipelago nation, with 270 million people inhabiting 6,000 islands that span almost 2000 square kilometers (World Population Review, 2020). With 80% of its industries and 60% of its population located in coastal regions, Indonesia is particularly vulnerable to rising sea- levels and extreme weather events (Fünfgeld, 2020). Despite the urgent need to transition towards low carbon energy production, the development of renewables in Indonesia is very slow. In 2019, 84% of electricity was generated from fossil fuels, 59% of which came from coal power plants (IEA, 2020b). Considering the prevailing poverty levels, which stood at 24% in 2018 ($ 3.20/day poverty line), Indonesia is faced with the dual challenge of human development and climate change. Biomass gasification is a particularly interesting option for Indonesia due to the enormous quantities of residues produced from the agriculture and forestry sectors. Activities commenced in the late 1970’s, however, despite over forty years of development the technology has not reached wide-scale diffusion and very few clear examples of commercially viable projects exist. Further investigation is needed to understand how biomass gasification can contribute to energy justice in Indonesia, and which factors have influenced its development over the past forty years.
Research Goals and Research Design
Theory from sustainability transitions research and energy justice are used to develop a framework that facilitates the investigation of: (1) the factors that have influenced the development of the biomass gasification niche, and (2) how niche projects and the electricity sector have performed with respect to energy justice. An integrated Multi-Level Perspective (MLP) and Strategic Niche Management (SNM) frame- work is combined with the energy justice framework of Sovacool, M. Burke, et al., 2017. Explanatory and descriptive research is complemented by exploratory research, that utilises semi-structured expert interviews to gain deeper insights into transition dynamics and energy justice.
Main Findings
The biomass gasification niche has largely relied on international donors to support activities. In 1980 the main landscape pressure motivating donors was energy (in)security during the world oil crises. Many years later, international and domestic interest in biomass gasification increased largely in response to the intensifying landscape pressure to mitigate climate change. Projects have been implemented in rural locations where there is a need to: alleviate poverty, increase electricity access, and reduce diesel fuel consumption. The latter is due to the increasing burden of oil subsidies and rapidly declining domestic oil reserves.
Since 2012 a number of formal rules have been introduced in order to incentivise biomass gasification projects - these started with fixed Feed-in-Tariffs, and later linked the electricity price to the local generation cost of the electricity utility, PLN. Both regulations failed to incentivise commercial projects, while the latter was widely regarded as inhibitory to niche development as PLN’s generation cost is heavily influenced by fossil fuel subsidies (Interviewee 5 - International Project Facilitator, 2020; Interviewee 8 - Government, 2020). The increased use of biomass for cofiring with coal has led to the formation of a domestic market for waste biomass - these feedstocks have since been prohibitively expensive for niche projects.
As the niche network has expanded beyond technical research institutions, the learning processes progressed to learning about policy and regulation, biomass potential, societal and environmental impact, and business models. Knowledge of biomass potential has greatly improved - while the domestic mar- ket for biomass waste has made agribusiness waste prohibitively expensive, the Centre for International Forestry Research (CIFOR) has started to investigate the potential of different biomass species for cultivation on degraded land - creating a key opportunity for niche projects to align with the land-use dimension of climate change mitigation. Finally, in CPI’s recent projects, actors have been able to learn more about the societal and environmental impact of biomass gasification - a key source of competitive advantage over other renewable energy niches (discussed below).
However, the success of niche projects to date have been hampered by a variety of socio-technical challenges, several of which still remain - feedstock security, operator training, and business models to facilitate niche expansion. In terms of the actor network, there has been minimal interaction between the different actor groups over the last forty years - this lack of shared learning has meant that actors have not been able to effectively learn from the accumulating experiences of other niche projects, and so resulted in limited examples of reinforcing niche nurturing processes and second-order learning.
Since the earliest niche experiments in 1980, biomass gasification projects have attempted to alleviate some of the injustices caused by Indonesia’s electricity regime. By targeting rural communities that have been marginalised by poor access to energy services, projects have sought to alleviate the intra- generational inequity in the availability of electricity. Through careful project design, actors were able to contribute to improved transparency and accountability and alleviate some injustices that intersect with energy justice. Regarding the latter, the main contribution has been in the targeting of low-income rural communities with limited access to electricity (socio-economic justice), although CPI’s Mentawai project also contributed to improved gender justice.
Recommendations
The key recommendations from this research are: (1) align projects with multiple landscape pressures - choose locations in which these pressures are more intense by comparing biomass potential (agro- industry locations or degraded land for crop cultivation), to the locations of diesel power plants (and regions in which the local generation cost is high), and locations of communities with poor electricity access and limited economic development; (2) accelerate niche development by improving cross-project communication; (3) implement long-term strategy to improve technical knowledge in rural areas so that communities are able to successfully operate and maintain biomass gasification plants, and (4) the Government should adopt an energy justice framework, such as that proposed by Sovacool, M. Burke, et al., 2017, that not only considers distributional justice, but also due process, recognition, restorative, and cosmopolitan justice - this will result in supportive policies that more accurately value the positive energy justice contribution of niche technologies like biomass gasification, and thereby facilitate the large-scale diffusion of these technologies.
Further work
This historical case study can be used as the basis for a participatory future-oriented research project that investigates how the biomass gasification niche can be scaled-up in a just manner - designing a number of scenarios over the short-, medium-, and long-term. Considering the broad scope of Indonesia’s electricity sector, a more comprehensive energy justice analysis is necessary for niche innovations and traditional technologies in order to facilitate fair energy decision-making.
This research has combined an integrated MLP and SNM framework with an energy justice framework. Sovacool’s broad energy justice framework creates a number of opportunities for integrating this analysis into the MLP and SNM frameworks. Academically relevant further research should focus on the integration of energy justice and Sustainability Transitions Research frameworks.
...
The geopolitical implications of renewables
Evidence from the increasing share of wind energy in the Danish electricity system
Improving Energy Access for Displaced Populations
An institutional analysis for the potential of community solar mini-grids in refugee camps
The trade-off between reliability and affordability of a hydrogen grid from the perspective of households
A stated choice experiment used to analyze preferences of households
Multi-criteria Assessment of Alternative Fuels for Peak Power Generation
Applying the AHP method for the selection of an alternative fuel for gas turbines in Rotterdam
Comprehensive Business Modelling: Hydrogen and its Integration in the Dutch Energy System
Business modelling from the perspective of a public-private partnership for the case of ‘H-vision’, a project for the implementation of blue hydrogen in the Port of Rotterdam
The challenges of integrating hydrogen in the Dutch natural gas infrastructure
A socio-technical analysis on the challenges of integrating hydrogen in the Dutch gas infrastructure for the provision of gas to the built environment
The Lebanese Electricity Sector
A Novel Polycentric Design
Evaluating the transition from V2G to AV2G
The autonomous battery electric vehicle as decentralised bidirectional electricity storage system
Framework for updating scenarios
A multi-layer framework for structurally incorporating new information and uncertainties into scenarios