MarE-fuel: LCOE and optimal electricity supply strategies for P2X plants

It is expected that expenses associated with acquiring the electricity will dominate the operational expenses (OPEX) of fuel synthesis plants.1 Therefore, for the assessment of the production cost of the future green fuels addressed in the MarEfuel-project, it is key to be clear about the assumptions on cost of electricity. This report summarizes a number of different approaches to assess the cost of electricity in a
traceable and clear manner. Naturally, this depends on where the plant is operated and when and what the source of the electricity is. Here, we shall consider a number of different well-defined cases that
may provide upper and lower boundaries as well as estimates that are relevant for a plant established now or in the future. Three main types of plant electricity supply strategies are studied:
• Off-grid fuel plant, which has its own source of electricity and is not connected to the main electricity grid. This is described in section 3.
• Grid-connected fuel plant, which buys all its electricity from the main electricity grid. This is described in section 4.
• Mixed fuel plant, which buys some electricity from the main electricity grid and also has its own source of renewable electricity.