combined heat and power current status and future potential hamps… · icfi.com | anne hampson...

13
icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power Current Status and Future Potential

Upload: ngongoc

Post on 06-Feb-2018

220 views

Category:

Documents


2 download

TRANSCRIPT

Page 1: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

icfi.com |

Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012

Combined Heat and Power –

Current Status and Future

Potential

Page 2: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

2 icfi.com |

CHP is an integrated energy system that:

Generates electrical and/or mechanical power

Recovers waste heat for:

− Space heating

− Water heating

− Space cooling

− Dehumidification

Is located at or near a factory or building that can use the energy output

Can utilize a variety of technologies and fuels

CHP is also known as cogeneration

What Is Combined Heat and Power?

Page 3: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

3 icfi.com |

CHP in the U.S. Represents a Variety of

Fuels, Technologies, Sizes and Applications

3

Industrial Institutional

Commercial Residential

Utility Scale

Page 4: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

4 icfi.com |

CHP is more efficient than separate generation of electricity and thermal energy

Higher efficiency translates to lower operating cost

Higher efficiency reduces emissions of all pollutants, including CO2, NOX and SO2

CHP can increase power reliability and enhance power quality

On-site electric generation can help reduce grid congestion

What Are the Benefits of CHP?

Page 5: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

5 icfi.com |

Existing CHP in Alabama (40 Sites, 3,312 MW)

Biomass, 30.5 MW

Coal, 245.3 MW

Natural Gas, 2,448.3 MW

Waste, 478.0 MW

Wood, 109.5 MW

CHP by Fuel Type

Boiler/Steam Turbine,

1,270.2 MW Combined Cycle,

1,994.1 MW

Combustion Turbine, 46.4

MW

Reciprocating Engine, 0.8

MW

CHP by Prime Mover

0.00

200.00

400.00

600.00

800.00

1,000.00

1,200.00

1,400.00

Cap

acit

y (

MW

)

Application

CHP by Application

Page 6: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

6 icfi.com |

Emerging Drivers for CHP

• Benefits of CHP recognized by Federal and State policymakers

• White House Executive Order: 40 GW by 2020

• Increasing state interest (Ohio, Maryland, New Jersey, etc.)

• Game changing outlook for natural gas supply and price in North America

• Opportunities created by environmental drivers

• ICI Boiler MACT

• Pressures on utility coal and oil capacity

Page 7: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

7 icfi.com |

CHP Technical Potential in Alabama (1,900 MW)

0

50

100

150

200

250

300

350

400

Cap

acit

y (

MW

)

CHP Potential by Application

Page 8: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

8 icfi.com |

Natural Gas CHP Cost of Power in Alabama

Page 9: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

9 icfi.com |

ICI Boiler MACT (Major Source Rule)

Standards for hazardous air pollutants from major sources: industrial, commercial and institutional boilers and process heaters

Major source is a facility that emits:

− 10 tpy or more of any single Hazardous Air Pollutant, or 25 tpy or more of total Hazardous Air Pollutants (HAPs)

Emissions limits applicable to new and existing units > 10 MMBtu/hr

Rule significantly impacts oil, coal, biomass, and process gas boilers

− Emission limits must be met at all times except for start-up and shutdown periods

− Controls are potentially required for Hg, PM, HCI, and CO

− Also includes monitoring and reporting requirements

− Limits are difficult (technically and economically) for oil and coal boilers (especially older units)

9

Page 10: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

10 icfi.com | 10

CHP as a Compliance Alternative

Compliance with MACT limits will be expensive for many coal and oil users

Many are considering converting to natural gas

– Conversion for some oil units

– New boilers for most coal units

Some are considering moving to natural gas CHP

– Potential for lower steam costs due to generating own power

– Higher overall efficiency and reduced emissions

– Higher capital costs, but partially offset by required compliance costs or new gas boiler costs

Page 11: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

11 icfi.com |

Boiler MACT Sites in Alabama

Fuel Type # Boilers Capacity

(MMBtu/hr)

CHP

Potential

(MW)

CO2 Emissions

Savings

(000 MT)

Coal 16 6,347 634 4,247

Heavy Oil 10 1,483 148 871

Light Oil 3 704 0.7 206

Process Gas 4 480 0.5 142

Biomass 49 13,823 1,383 9,255

Total 82 22,836 2,166 14,721

Total Affected

Sites

41

•CHP potential based on average efficiency of affected boilers of 75%; Average annual load factor of 65%, and simple cycle gas turbine CHP performance (power to heat ratio = 0.7) • GHG emissions savings based on 8000 operating hours for coal and 6000 hours for oil, with a CHP electric efficiency of 32%, and displacing average fossil fuel central station generation

Page 12: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

12 icfi.com |

Provide “decision tree” analysis that provides comparative cost of compliance options for coal and/or oil fired boilers:

− Installing control technologies on existing boilers

− Replacing existing boilers with new natural gas boilers (coal only)

− Converting existing boilers for operation on natural gas

− Replacing existing boiler with a natural gas fueled combustion turbine CHP system

DOE Boiler MACT Technical Assistance

Program

Page 13: Combined Heat and Power Current Status and Future Potential Hamps… · icfi.com | Anne Hampson Alabama Summit on Industrial Energy Efficiency June 11, 2012 Combined Heat and Power

13 icfi.com |

Questions?

Anne Hampson 202-862-2982 [email protected]