Fig. 4: Total policy support for ammonia technologies.
From: Energy and climate policy implications on the deployment of low-carbon ammonia technologies
a–c depict Scenario A utilizing grid electricity, Scenario B with colocated wind and solar farm, and Scenario C involving a power purchase agreement with a wind and solar farm for the year 2026, respectively. d–f represent the same scenarios projected for the year 2033. We compare the total policy support for various low-carbon ammonia production technologies across three scenarios: Scenario A with grid emissions and lower policy support, Scenario B with colocated wind and solar farm resulting in the highest carbon abatement cost, and Scenario C where the ammonia plant enters into a power purchase agreement with a wind and solar farm, receiving only ammonia plant tax credits without additional wind farm credits. Symbols used: percentage values in the key represent discount rates, potential and cash-equivalent credits are plotted at the same discount rate for comparison, and the cash equivalent at 9.3% represents the weighted-average cost of capital (WACC) discount rate, illustrating the present value of the tax credits from the perspective of the private ammonia plant investor. Similar figures of the hourly and yearly electricity-matched scenarios can be found in the Supplementary Figures.
