The economic analysis, including the economic impacts of the additional natural gas production and the LOCH for SMR and PEM plants, is presented in Chapter 3. [...] 3 The natural gas export volume is estimated by subtracting the natural gas production from the summation of total natural gas primary demand and the natural gas required for LNG plants (CER 2020a). [...] The main parameters used to develop the four case studies are presented in Table 3.2 and the following Source: (NREL 2021; CERI 2018a; Bank of Canada 2021b; 2021a) May 2021 Canadian Natural Gas Market Supply and Demand Pathways of Change 31 Table 3.3 shows the capital costs of SMR and PEM technologies for Current and Future plants (for all other input parameters not cited in the table, the standar. [...] The LCOH for the centralized SMR plant is about two times lower than the distributed PEM plant, mainly due to the higher hydrogen production capacity in the SMR plant, the more maturity of SMR technology, and the difference in the energy price (natural gas versus electricity). [...] The US shale revolution and the developments in unconventional natural gas production have negatively impacted the Canadian natural gas supply and demand as Canada has historically been the main natural gas exporter to the US.
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