Discussion Paper

What are powerfuels and why are they relevant?

Chapter 3 - Summary

1. Powerfuels are synthetic gaseous and liquid fuels produced from green electricity.
2. Powerfuels will be a missing link for reaching climate targets due to following key reasons:

  • They are climate-friendly solutions to applications with no viable alternatives.
  • They can reduce the cost of energy transition by utilising existing infrastructures and they provide long-term storage options for renewable energies.
  • They can utilise the worldwide renewable energy production potentials as they can be transported and traded globally.
  • They could de-fossilize existing consumer end-use equipment as green drop-in alternative to fossil.

3. Electricity costs are the largest portion of powerfuel costs followed by carbon capture costs. There is considerable scope for future cost reductions through economies of scale.
4. Individual technologies for production of powerfuels are already available, however they are yet to be integrated in complete commercial value chains.


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