Pyrolysis as a strategic element in energy system transformation to achieve net zero emissions

• Pyrolysis boosts system flexibility, cutting hydrogen demand by 60% • Pyrolysis expands earlier in regions with high solar power availability. • Low investment costs accelerate pyrolysis expansion significantly. • Higher electricity demand increases the use of pyrolysis for flexible power generation. • Pyrolysis integration aids decarbonization, key for climate neutrality by 2045. This study evaluates pyrolysis as a dual-purpose technology for integrating negative emissions and dispatchable electricity into Germany’s power system, supporting climate neutrality by 2045. Using a myopic power system model, we assess the role of pyrolysis, which operates solely on residual biomass. By 2050, pyrolysis can reach an installed capacity of 5 GW, supplying 2 % of total electricity generation. Its flexible power output reduces the need for hydrogen storage by 60 %, as it generates electricity during low renewable supply periods and offsets CO 2 emissions from gas-fired power plants through biochar sequestration. This enables continued gas plant operation without new investments while maintaining a net-negative CO 2 balance. Pyrolysis deployment is closely linked to solar PV availability, expanding earlier in high-solar regions, and its integration increases battery storage capacity by 240 %. The expansion of pyrolysis is driven by investment costs (CAPEX) and electricity demand, with lower CAPEX—below 308 €/(t BM /year) for pyrolysis plants and 2,300 €/kW el for power generation units—accelerating deployment. Rising electricity demand enhances pyrolysis’ role as a flexible power source, even under high CAPEX conditions. These findings highlight pyrolysis as a strategic enabler of energy system decarbonization, uniquely combining dispatchable renewable electricity and negative emissions. Its integration underscores the need for a diversified power plant portfolio to maintain system flexibility and stability, providing essential insights for policymakers, investors, and energy planners on optimizing market frameworks and deployment strategies.