Fig. 5: Levelized cost of production. | Nature Energy

Fig. 5: Levelized cost of production.

From: Impact of global heterogeneity of renewable energy supply on heavy industrial production and green value chains

Fig. 5: Levelized cost of production.

a–c, Low-carbon production of steel (a), urea (b) and ethylene (c). Results are again shown for the four import cases illustrated in Fig. 3 and assume an electricity-price difference of €40 MWh−1 (medium-pull case from Table 1). The levelized costs visualize how the relocation savings in the steel value chain are smaller in comparison to the other value chains as a result of the high feedstock cost. Moreover, annualized CAPEX assumes a higher WACC of 8% in the RE-rich region compared to 5% in the RE-scarce region over a lifetime of 18 years, resulting in higher levelized capital cost, yet this effect appears to be small compared to the renewables pull. For a detailed composition, we encourage readers to view this figure in the online webapp or download the accompanying spreadsheet file (see ʻData availabilityʼ).

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