1.      General Information

Title

Incubation of Synthetic Natural Gas Production Enterprise for Utilization in Cooking Sector.

Project Period

May 2022 – July 2023

Budget
(NRP)

Total

KOICA Grant

Matching Fund

Cash

In Kind

9,026,186

4,994,746

3,612,000

419,440

Host Institution

Name

Kathmandu University

Phone

+977-11-415100

Website

https://ku.edu.np/

Address

Dhulikhel, Nepal

Principal Investigator

Name

Assoc. Prof. Biraj Singh Thapa

Department

Mechanical Engineering

Position

Associate Professor & Team Leader, Green Hydrogen Lab

Mobile Phone

+977-9861936212

E-mail

bst@ku.edu.np

2.      Description

Background

The consumption of fossil fuels has increased sharply in recent years in Nepal. Nepal is fully dependent on imports for fossil fuel and it has been spending almost 10% of its GDP on procuring it. It is unpleasant to see that imported fossil fuel is contributing largely to the trade deficit despite the availability of domestically produced energy (electricity). This project, thus, recognizes synthetic natural gas (SNG) as a medium to fill the gap between surplus electricity and minimizing the import of LPG. This SNG is produced utilizing the production of hydrogen using renewable electricity. This process also requires carbon dioxide, which, this study proposes to buy in CO_2­ storage tanks and in the mature stage utilize a carbon capture and storage (CCS) technology.

SNG utilization is a mature technology globally and adopted commercially by many countries. This project proposes SNG production commercially for small-scale cooking applications. The project is designed such that it generates revenue in the medium term. This project is intended to be done in different stages. Firstly, the concept verification process, secondly the establishment of the value chain, thirdly revenue generation, fourthly scaling-up and lastly the diversification phase. The fund available from KOICA is expected to support the project directly up to the third phase of the revenue generation phase. After this stage, other donors/ funding agencies/investors will be explored for scaling up and diversification of SNG application in Nepal.

Objective(s)

·         Commercial production of SNG using green hydrogen for small-scale cooking applications.

·         Build foundations and institutional arrangements for the promotion of SNG as a commercial fuel.

·         Techno-economic assessment for scaling-up of SNG production for application in industrial heating and mobility

Major Activities

Concept verification, establishment of value chain, revenue generation, scale-up, and diversification.

3.      Outcome

Final Outcome(s)

Indicator

Quantity

Measurement Method

Feasibility Report

1

High scientific standard within the project

Peer-review papers

2

Conference articles

2

Seminar/Workshop

2

Advocacy and promotion of hydrogen technology

and SNG to stakeholders and the public

Bachelor thesis

2

Publication of findings in conferences/journals.

Internships

2

Graded presentations, reports.

Popular articles/Media

3

Information dissemination in popular media.

Business Plan

1

Networks, Collaborations, and scientific standards.

Prototype/Product

1

Established and tested commercial production of SNG.

Progress, Mid-term and Final Reports

1 each

Detailed documents fulfilling the deliverables of project.

Expected Impact

Opportunity for further research, R&D of power-to-gas value chain, capacity to conduct state-of-the art research, showcase ability to replace LPG at large scale, demonstrate prospect of hydrogen in other applications