Towards power-to-X and carbon capture technologies for decarbonized green cities: A multi-layer cost-effective energy scheduling approach in integrated energy systems for targeting carbon footprint reduction

Wei Liu

Energy, 2025, vol. 335, issue C

Abstract: The increasing energy demand and the urgency of carbon reduction have driven the need for efficient decarbonization strategies. This study proposes a multi-layer optimization framework integrating Power-to-X (P2X) and Carbon Capture, Utilization, and Storage (CCUS) technologies within Integrated Energy Systems (IES) to minimize costs, enhance renewable energy utilization, and reduce emissions in green cities. The bi-level scheduling model optimizes natural gas network operations at the upper level and electricity market dispatch at the lower level, incorporating a ladder-based carbon trading mechanism for incentivized emission control. Simulation results demonstrate a 16.2 % cost reduction (from $10.52M to $8.825M), a 51.9 % decrease in carbon emissions (from 6,450 to 3,100 metric tons), and a 71.8 % drop in carbon trading costs (from $330,000 to $93,000). The Power-to-Gas (P2G) system facilitates the integration of surplus wind energy, producing 1.21 million cubic feet of synthetic natural gas (SNG) to enhance system flexibility. The bi-level model outperforms single-level approaches, achieving 8.6 % lower costs, 6.6 % fewer emissions, and 12.39 % more SNG production. Additionally, the ladder-based carbon trading mechanism reduces emissions by 20.3 % at a 0.44 % marginal cost increase, proving its effectiveness in balancing economic and environmental goals. This study provides a scalable framework for low-carbon urban energy systems by optimizing CCUS-P2X integration, improving cost-efficiency, and leveraging market-driven carbon strategies. Future research should explore real-time carbon pricing, sector-wide energy integrations, and large-scale pilot implementations to advance decarbonization efforts. Policymakers must support financial incentives and regulatory frameworks to accelerate the transition to cost-effective, sustainable, and carbon-neutral cities.

Keywords: Power-to-X; Carbon capture; Integrated energy systems; Bi-level optimization; Ladder-based carbon trading; Renewable energy; Decarbonization (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:energy:v:335:y:2025:i:c:s0360544225030786

DOI: 10.1016/j.energy.2025.137436

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