CHP Partners with Carbon Capture to Unlock Millions in Low Carbon Ethanol Value
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This poster presentation seeks to overview the economic benefits and opportunities Low Carbon Ethanol producers may realize by utilizing available 45Z tax credits and implementing new utility generation and carbon capture technologies. DTE Vantage is currently developing a carbon capture and sequestration (CCS) project in combination with a combined heat and power (CHP) project to serve a major Midwest ethanol production facility. This combined project captures CO2 directly from the ethanol fermentation process and compresses and sequesters it onsite via compression and an injection well. A CHP facility has been added to provide the additional power required to run CCS compression as well as generate steam to be used in the ethanol production process. This additional CHP plant has driven overall carbon intensity (CI) down several points. With 45Z tax credits allowing for up to $0.10 per gallon per CI point below 50, a large ethanol plant can generate tens of millions of dollars annually in tax credits through the addition of a CHP plant.
Keywords: Carbon monitoring and accounting