Aim and goal

The purpose of the project is that actors can easily determine whether flexible bio-based power generation can be efficient, profitable and successful for balancing in a system of high levels of weather-dependent production. The aim of the project is to produce a decision basis showing the income levels which is required for different technology solutions and fuels for flexible bio-based CHP to be profitable, and under what market conditions these levels are achieved.

Challenge

A key issue for the future's fully renewable energy system, with a high proportion of intermittent power generation, is how to provide the flexibility needed to balance the system. Tools to achieve this are crucial to ensuring robustness and flexibility in society's energy supply.

Solution

The project connects available and new knowledge of technology, electricity market and system services, as well as risk analysis and investment assessments.

Effect

The result will be a tool for calculating potential revenues and reduced costs in actual or predicted system and market positions for the individual operator.

Increased use of forest-based biofuels and electricity for transport is identified as a central part in the development towards a fossil-free society and a fossil-independent transport sector. There are relatively few previous projects studying the total cost from well-to-wheel (WtW). The primary purpose of the project is to estimate the total WtW cost in SEK/km for forest-based value chains with different energy carriers for use in different transport segments in road traffic and compare these with fossil alternatives in a Swedish context. The comparison, based on the cost of the end user, illustrates how different alternative value chains can compete with today's fossil-based value chains and under what conditions there is potential for profitable biofuel production. Here, the analysis of the effect of current and possible policy instruments are important. The study attaches great importance to making comparisons with consistent assumptions for the studied value chains and to study how changes in different parameters affect the results for different alternatives. In order to achieve a broader comparison of the value chains, estimates of total energy efficiency and greenhouse gas emissions from a WtW perspective are also included. The results from the study will show how Swedish forest biomass can be used efficiently in the transport sector and contribute to the conversion to a fossil-independent transport sector. The result is thus beneficial for both society and for individual commercial actors.