TITLE:
Technical and Economic Evaluation of China’s Integrated Gasification Combined Cycle: The Case of Yantai Project
AUTHORS:
Dapeng Liang, Xinpeng Xing, Weidong Shen
KEYWORDS:
IGCC; Technical Economic Evaluation; Coal Fired Power Plant
JOURNAL NAME:
Low Carbon Economy,
Vol.4 No.3,
August
29,
2013
ABSTRACT: Due to the
advantages such as high efficiency of electricity generation and high degree of
cleanness, Integrated Gasification Combined Cycle (IGCC) power plant represents
the direction of development for all fired power plants in China. This essay
analyzes the technical requirements and economic attributes of the Chinese IGCC
power plant of 400 MW
level in plan. It is both necessary and possible for China to develop IGCC power plant
with the technical foundation available. The biggest obstacle facing the
development of IGCC is the huge amount of investment and high cost of electric
generation. According to the sensitivity analysis, investment is the main
element affecting the cost of power generation. Though it is difficult to
control investment in the present phase, with restricting elements like
technique and facility, smooth operation of the project could still be ensured
through government’s preferential policies toward IGCC power plant, such as
setting price for clean electricity, offering investment subsidies and
preferential taxes. The premise for such policies is a determined and consistent
development strategy of IGCC technique.