Economic and Environmental Evaluation of Implementing CCUS Supply Chains at National Scale: Insights from Different Targeted Criteria

Tuan B. H. Nguyen and Grazia Leonzio ()
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Tuan B. H. Nguyen: Center for Hi-Tech Development, Nguyen Tat Thanh University, Saigon Hi-Tech Park, Ho Chi Minh City 700000, Vietnam
Grazia Leonzio: Department of Mechanical, Chemical and Materials Engineering, University of Cagliari, Via Marengo 2, 09123 Cagliari, Italy

Sustainability, 2025, vol. 17, issue 13, 1-21

Abstract: The establishment of carbon capture, utilization, and storage supply chains at the national level is crucial for meeting global decarbonization targets: they have been suggested as a solution to maintain the global temperature rise below 2 °C relative to preindustrial levels. Optimizing these systems requires a balance of economic viability with environmental impact, but this is a challenge due to diverse operational limitations. This paper introduces an optimization framework that integrates life cycle assessment with a source-sink model while combining the geographical storage and conversion pathways of carbon dioxide into high-value chemicals. This study explores the economic and environmental outcomes of national carbon capture, utilization, and storage networks, considering several constraints, such as carbon dioxide reduction goals, product market demand, and renewable hydrogen availability. The framework is utilized in Germany as a case study, presenting three case studies to maximize overall annual profit and life cycle greenhouse gas reduction. In all analyzed scenarios, the results indicate a clear trade-off between profitability and emission reductions: profit-driven strategies are characterized by increased emissions, while environmental strategies have higher costs despite the environmental benefit. In addition, cost-optimal cases prefer high-profit utilization routes (e.g., gasoline through methane reforming) and cost-effective capture technologies, leading to significant profitability. On the other hand, climate-optimal approaches require diversification, integrating carbon dioxide storage with conversion pathways that exhibit lower emissions (e.g., gasoline, acetic acid, methanol through carbon dioxide hydrogenation). The proposed method significantly contributes to developing and constructing more sustainable, large-scale carbon projects.

Keywords: carbon capture, utilization, and storage supply chain; modeling; optimization; life cycle assessment; techno-economic analysis (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
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