Techno-Economic Assessment of Power-to-Liquids (PtL) Fuels Production and Global Trading Based on Hybrid PV-Wind Power Plants

This paper introduces a value chain design for transportation fuels and a respective business case taking into account hybrid PV-Wind power plants, electrolysis and hydrogen-to-liquids (H2tL) based on hourly resolved full load hours (FLh). The value chain is based on renewable electricity (RE) converted by power-to-liquids (PtL) facilities into synthetic fuels, mainly diesel. Results show that the proposed RE-diesel value chains are competitive for crude oil prices within a minimum price range of about 79 - 135 USD/barrel (0.44 - 0.75 €/l of diesel production cost), depending on the chosen specific value chain and assumptions for cost of capital, available oxygen sales and CO2 emission costs. A sensitivity analysis indicates that the RE-PtL value chain needs to be located at the best complementing solar and wind sites in the world combined with a de-risking strategy and a special focus on mid to long-term electrolyser and H2tL efficiency improvements. The substitution of fossil fuels by hybrid PV-Wind power plants could create a PV-wind market potential in the order of terawatts.