Calculation of unprofitable component and CO2 reduction
The Dutch SDE++ Renewable Energy Incentive Scheme compensates for the difference between the market price and cost price of CO2 abatement technologies, otherwise known as the ‘unprofitable component’. The original SDE+ scheme compensated this for renewable energy technologies, while in the later SDE++ it was extended to cover CO2 abatement technologies implemented on Dutch territory. An earlier study by Navigant showed it may also be appropriate to incentivise several (chemical) recycling and biobased options under the SDE++ scheme (Navigant, 2019). Against this background, the present study reviews a number of circular and biobased technologies and calculates the unprofitable component and emissions reduction associated with several of them.