Bi-level Integrated Electricity and Natural Gas System retrofit planning model considering Carbon Capture, Utilization and Storage

Ang Xuan, Xinwei Shen and Yangfan Luo

Applied Energy, 2025, vol. 385, issue C, No S0306261925002065

Abstract: Integrated Electricity and Natural Gas System (IEGS) considers the interactions between electricity and natural gas systems with broad prospects in carbon emission mitigation to achieve the global low-carbon transition, which is an approachable pathway to tap the potential of different energy systems. Concurrently, advancements in technologies such as Carbon Capture, Utilization and Storage (CCUS), Gas-fired Power Generation (GPG), and Power to Gas (PtG) enable the integration of these two large systems, allowing for bi-directional energy flows. This paper proposes an original IEGS retrofit planning model, in which the traditional power plant/gas source (PP/GS) is retrofitted into the carbon capture power plant/carbon capture gas source (CCPP/CCGS) with CCUS and PtG/GPG, as well as the gas pipelines and electricity transmission lines, are considered. Additionally, the IEGS retrofit model employs a bi-level planning strategy to distinguish conflicts of interest between investors and investees. Furthermore, the reformulation and decomposition (R&D) algorithm is developed to tackle the complexities of the bi-level mixed-integer programming problem. Numerical results demonstrate the effectiveness and superiority of the proposed model, showcasing its potential for practical application. Finally, the study analyzes the efficient boundaries associated with carbon price/tax and carbon capture/storage cost, providing valuable insights for policymakers and stakeholders.

Keywords: Integrated Electricity and Natural Gas System; Carbon Capture, Utilization and Storage; Bi-level mixed integer optimization; Reformulation and decomposition algorithm; Sensitivity analysis (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1016/j.apenergy.2025.125476

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