Analysis of the benefits of carbon credits to hydrogen addition to midsize gas turbine feedstocks

Abstract The addition of hydrogen to the natural gas feedstocks of midsize (30–150 MW) gas turbines was analyzed as a method of reducing nitrogen oxides ( NO x ) and CO 2 emissions. In particular, the costs of hydrogen addition were evaluated against the combined costs for other current NO x and CO 2 emissions control technologies for both existing and new systems to determine its benefits and market feasibility. Markets for NO x emissions credits currently exist in California and the Northeast States and are expected to grow. Although regulations are not currently in place in the United States, several other countries have implemented carbon tax and carbon credit programs. The analysis thus assumes that the United States adopts future legislation similar to these programs. Therefore, potential sale of emissions credits for volunteer retrofits was also included in the study. It was found that hydrogen addition is a competitive alternative to traditional emissions abatement techniques under certain conditions. The existence of carbon credits shifts the system economics in favor of hydrogen addition.