The Environmental and Economic Impact of IGCC in China, With Comparison to Alternative Options

The goal of this study is to evaluate the economic and environmental performance of power plants based on integrated gasification combined cycle (IGCC) technology, and to compare it with currently relevant renewable and nuclear power generation options in China, until the year 2020. First, electricity demand is predicted, based on up-to-date policies made by Chinese government organizations. From this, a business as usual (BAU) study, in which coal-fired power plant technology is assumed to be unchanged from 2010 to 2020, is carried out as a reference. Different scenarios of IGCC technology adoption are then studied using a newly developed model, and the result show, for example, that there could be 10.05 billion tons of CO₂ emission avoided from 2010 to 2020 if 50% of newly built coal-fired plants are based on IGCC technology with CO₂ capture. When compared with other options, the cost of avoided CO₂ emissions in this scenario is more expensive than hydroelectric, nuclear, and wind, but cheaper than solar (thermal and photovoltaic). The results also show that IGCC, although more expensive, could still be important in China’s coal-dominated electricity industry.