Bio-SNG - CNG Services

Cost of carbon abated (£/ te CO2e)BIO-SNG FEASIBILITY STUDY – ESTABLISHMENT OF A REGIONAL PROJECTTherefore significant supply of heat via electricity would demand “significant additional generation plantand network capacity operating at low load factors” 54 .For transport applications, Bio-SNG is also significantly more cost effective than electrical solutions(either using grid electricity - £1000/ te CO 2 e, or presuming hypothecated Offshore wind derived electricity- £600/ te CO 2 e). However, this analysis does suggest that whilst Bio-SNG offers significant carbonsavings for the transport sector, on a cost per tonne abated of £400/ te CO 2 e, the heating sector is apreferable end market.£600£550£500£450£400£350£300£250£200£150£100£50£0Cost of Carbon abated compared with Renewableelectricity generated by various technologiesFIT: PV(0.1-5MWe)FIT: Wind(0.1-0.5MW)FIT: Hydro(0.1-2MWe)OffshirewindAnaerobicDigestionBio-SNGBiomasscombustionOnshorewindCo-firingFigure 7.6 Cost of carbon abated for Bio-SNG compared with renewable electricity generatedfrom various sourcesCompared with decarbonisation in the electricity sector, Medium scale generation supported under theFIT costs between £220 and £570/te depending on technology, offshore wind costs ~£200/te, biomasscosts ~£150/te and onshore wind costs ~£100/te against a baseline of current grid average. This54 National Grid: “Gas as an essential fuel in supporting the transition to a low carbon economy A discussion paperby National Grid to support Ofgem’s RPI-X@20 project.”67