Supply curves of electricity-based gaseous fuels in the MENA region

The utilization of electricity-based fuels (e-fuels) is a potential strategy component for achieving greenhouse gas neutrality in the European Union (EU). As renewable electricity production sites EU itself might be scarce and relatively expensive, importing e-fuels from Middle East North Africa (MENA) could complementary cost-efficient option. Using energy system model Enertile, supply curves hydrogen synthetic methane MENA region are determined years 2030 2050 to evaluate this import option techno-economically. optimizes investments production, e-fuel chains, local transport infrastructures. Analyses generation potentials show that particular has large low-cost solar power potentials. Optimization results Enertile weighted average cost capital 7% substantial starts above 100 €/MWhH2 70 2050. Substantial 170 €/MWhCH4 120 most important both fuel routes electricity. Taking into account surcharges, Europe available 180 130 Hydrogen exports 90 If exported Europe, more expensive produce liquefied form than gaseous form. A comparison with imports reveals can only economically efficient if two following conditions met: Firstly, similar interest rates prevail MENA; secondly, costs converge at cheap end range current literature. Apart this, shortage land may lead MENA. This analysis intended assist guiding industrial policy, planning infrastructure needs, providing an analytical framework project developers region.