What is Gasification?

State of the Gasification Industry

Gasification has been reliably used on a commercial scale worldwide for more than 50 years by the chemical, refining, and fertilizer industries and by the electric power industry for more than 35 years. Currently, there are more than 140 gasification plants—with more than 420 gasifiers—operating worldwide. (See Global Syngas Capacity By Region). Nineteen of those gasification plants are located in the United States. (See Existing Gasification Plants in the U.S).

The Future of Gasification

Worldwide gasification capacity is projected to grow 70 percent by 2015, with 80 percent of the growth occurring in Asia. The prime movers behind this expected growth are the chemical, fertilizer, and coal-to-liquids industries in China, oil sands in Canada, polygeneration (hydrogen and power or chemicals) and substitute natural gas in the United States, and refining in Europe. (See World Syngas Capacity Growth).

  • The use of gasification is expanding. Several gasification projects are under development to provide steam and hydrogen to upgrade synthetic crude in the oil sands industry in Canada. In addition, the paper industry is exploring how gasification can be used to make their operations more efficient and reduce waste streams.
  • A number of factors contribute to a growing interest in gasification, including volatile oil and natural gas prices, more stringent environmental regulations, and a growing consensus that CO2 management will likely be required in power generation and energy production. (See U.S. Energy Prices).
  • China is expected to achieve the most rapid growth in gasification worldwide. Since 2004, 29 new gasification plants have been licensed and/or built in China. In contrast, no new gasification plants have begun operation in the United States since 2002.
  • The gasification industry is expected to grow significantly in the United States despite a number of challenges, including rising construction costs and uncertainty about policy incentives and regulations. (See States Where Gasification Plants Have Been Proposed).