biomass energy: a crash course
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Biomass Energy: A Crash Course. Peter Flynn Poole Chair in Management for Engineers Dept. of Mechanical Engineering University of Alberta. Opening Thoughts. Society will likely have limits on its willingness to spend given that the problem is in the future. - PowerPoint PPT PresentationTRANSCRIPT
Biomass Energy: A Crash Course
Peter Flynn
Poole Chair in Management for Engineers
Dept. of Mechanical Engineering
University of Alberta
U of A Energy Club: February 2009 2
Opening Thoughts Society will likely have limits on its
willingness to spend given that the problem is in the future.
What we get for the dollar spent varies widely.
The head needs to help the heart get the most environmental benefit per dollar spent.
U of A Energy Club: February 2009 3
1. Biomass is Carbon Neutral
The carbon it emits is taken up in regrowth of the plant.
If the biomass was not converted, it would rot and make CO2 anyway.
Hence, it displaces coal or oil.
U of A Energy Club: February 2009 4
2. Alberta Has Lots of It
Straw and forest harvest residues are annual crops.
Straw alone could supply the next 25% of Alberta’s total power usage.
U of A Energy Club: February 2009 5
2A. And May Have Much More
U of A Energy Club: February 2009 6
3. The Technology Exists Today: Power at Large Scale
U of A Energy Club: February 2009 7
3. The Technology Exists Today: Ethanol at Commercial Scale Grain to ethanol is long established:
WhiskeyCorn to fuel grade ethanolBarley and wheat in Alberta
Six commercial scale lignocellulosic ethanol plants announced in the US, including Iogen
U of A Energy Club: February 2009 8
3A. Whole Grain to Ethanol is a Poor Choice Competition
between food and fuel impacts the whole world.
Poor energy yield, high impact on soil and water quality.
U of A Energy Club: February 2009 9
3A. Lignocellulosic Ethanol
Lignocelluosic residues (straw/ stover and wood) are available waste products.
Purpose grown crops on marginal lands are also possible.
U of A Energy Club: February 2009 10
4. Research Isn’t the Correct Prime Focus Research can be misused as a tool to
postpone difficult choices.
Technologies exist today.
Alberta has a particular need for action.
U of A Energy Club: February 2009 11
5. Renewable Energy is not and never will be “Competitive” We have used fossil fuels because they
are cheaper. Competitiveness isn’t the key question: we
are paying more for an environmental gain. Someone must pay.
The key objective is to buy the most greenhouse gas out of the atmosphere
at the lowest extra cost.
The key objective is to buy the most greenhouse gas out of the atmosphere
at the lowest extra cost.
U of A Energy Club: February 2009 12
6. Technologies are Not Equal..
The cost per unit of energy output and per tonne of avoided CO2eq varies widely with technology and plant size.
Power from straw: ~$75 per MWh Power from manure: ~$200 per MWh
The minimum screen for any technology is “how much grant per tonne of CO2 avoided?
The minimum screen for any technology is “how much grant per tonne of CO2 avoided?
U of A Energy Club: February 2009 13
And Can Be Studied in Detail
For each technology:What is the appropriate size of plant?How much CO2 equivalent is avoided?
Life cycle analysis need not be the complicated barrier it has morphed into.
How much extra does someone pay compared to a business as usual case.
Minimizing extra $ per tonne of avoided emission is the right metric.
Minimizing extra $ per tonne of avoided emission is the right metric.
U of A Energy Club: February 2009 14
7. There is an Optimum Size; it is Large Three elements to producing useful
energy from biomass:Get the biomassMove it to siteProcess it
Processing cost decreases with size, transport cost increases.
U of A Energy Club: February 2009 15
Cost Per Unit Output
Plant Size, e.g. MW
Co
st
pe
r U
nit
Ou
tpu
t, e
.g.
$/M
Wh
First Cost of Biomass
Can be positive (purchased) or negative (avoided cost)
Can be positive (purchased) or negative (avoided cost)
U of A Energy Club: February 2009 16
Biomass Transportation by Truck
Costs include:Loading and unloading: distance fixed.Shipping: distance (scale) variable.
Typical values are $5 per tonne (distance fixed) and $0.09 per tonne km (one way) (distance variable).
Increases ~ with (scale)1/2.
U of A Energy Club: February 2009 17
Distance Fixed vs. Distance Variable Costs
Only DVC affects scale
Only DVC affects scale
U of A Energy Club: February 2009 18
Cost Per Unit Output
Plant Size, e.g. MW
Co
st p
er U
nit
Ou
tpu
t, e
.g.
$/M
Wh
Field cost of biomass
Transportation cost
Total delivered cost of biomass
U of A Energy Club: February 2009 19
Other Modes are Available:
Pipeline (for liquid based processing only): high economy of scale, economic at sizes greater than 1 M Dry T/yr.
Rail: fixed cost of trans-shipment requires minimum economic shipping distance.
U of A Energy Club: February 2009 20
Trans-Shipment: the Concept
U of A Energy Club: February 2009 21
Trans-shipment: Alberta Based Straw Power Plant
c = 0.1309d + 4.76
c = 0.0277d + 26.901
0
5
10
15
20
25
30
35
40
0 50 100 150 200 250 300 350
Distance (km)
Tra
nsp
ort
atio
n C
ost
of
Bio
mas
s ($
/dry
to
nn
e)
Truck only
Truck plus rail
Minimum economic
rail shipping distance exceeds
draw area: rail is not economic.
Minimum economic
rail shipping distance exceeds
draw area: rail is not economic.
U of A Energy Club: February 2009 22
Biomass Processing: Use It
Economy of scale in capital equipment and operating costs, typical scale factors in the range of 0.6 to 0.8.
All evidence is that scale factor is valid up to very large processing sizes (>500 MW); road congestion limit is the prior constraint if delivery by truck.
U of A Energy Club: February 2009 23
Scale factor for Manure AD Plants
y = 147,870 x0.60
y = 360,280 x0.56
y = 323,862 x0.56
$0
$4,000
$8,000
$12,000
$16,000
0 200 400 600 800 1,000 1,200 1,400 1,600
Th
ou
san
ds
Biomass Input (m3/day)
Cap
ita
l Co
sts
(20
05
US
D)
U of A Energy Club: February 2009 24
$-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
0 100 200 300 400 500 600 700
Net Power Output (MWe)
Cap
ital C
ost (
$/kW
)
Biomass
US DOE Coal FacilitiesRadian Corporation
Castleman
Uddin & Barreto
US DOE
Caputo et al.
Kumar et al.
Alholmens Scrubbed New Coal
Subcritical Coal
Pulverized Supercritical Coal
Data Consistency VariesDirect Combustion to power has been widely
applied including very large scale plants.
U of A Energy Club: February 2009 25
Hence Good Fit for Processing Cost Estimate: Direct Combustion
y = 150 x-0.3
R2 = 0.78
$0
$10
$20
$30
$40
$50
$60
$70
$80
0 50 100 150 200 250 300 350 400 450
Capacity (MWe)
Pro
cess
ing
Cos
t (2
006U
SD
/M
Wh
)
Radian Corporation
Kumar et al.Castleman
Uddin and BarretoCaputo et al.
U of A Energy Club: February 2009 26
$-
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$3.50
$4.00
$4.50
0 1000 2000 3000 4000 5000 6000 7000
Capacity (ML/yr)
Cap
ital C
ost (
2006
US
D/L
/yr)
$-
$0.20
$0.40
$0.60
$0.80
$1.00
$1.20
$1.40
$1.60
$1.80
$2.00
Cap
ital C
ost (
2006
US
D/b
bl /d
)
Coal
Biomass
Natural Gas, increased by60% (see Boerrigter 2006)
Wright & Brown
Boerrigter
ExxonBechtel & Mann
US DOE
Gray & Tomlinson
Gradassi
Syntroleum
US DOE
Choren
Yamashita et al.
Hamelinck et al.
Boerrigter & ZwartLarson et al.
Gray & Tomlinson
Boerrigter
US DOE
Boerrigter
Hamelinck et al.
Yamashita et al.
Wide Scatter in Other ProcessesFischer Tropsch estimates show wide scatter only
partly due to configuration options
U of A Energy Club: February 2009 27
Cost Per Unit Output
Plant Size, e.g. MW
Co
st p
er U
nit
Ou
tpu
t, e
.g.
$/M
Wh
Field cost of biomass
Transportation cost
Total delivered cost of biomass
Operating cost
Capital cost
Total plant processing cost
U of A Energy Club: February 2009 28
Cost Per Unit Output
Plant Size, e.g. MW
Co
st p
er U
nit
Ou
tpu
t, e
.g.
$/M
Wh
Field cost of biomass
Transportation cost
Total delivered cost of biomass
Operating cost
Capital cost
Total unit output cost
Total plant processing cost
U of A Energy Club: February 2009 29
Power from Field Sourced Biomass in Alberta
Plant Size vs Power Price
0
20
40
60
80
100
0 500 1000 1500 2000
Plant Size (MW)
Po
wer
Pri
ce (
year
200
0 U
SD
$ / M
WH
)
Whole ForestWood ResiduesStraw
U of A Energy Club: February 2009 30
Optimum Size
Increases with increasing processing cost
Increases with increasing biomass availability
Is neutral to the field cost of biomass
U of A Energy Club: February 2009 31
Optimum Size Depends on Biomass Gross Yield and Processing Cost
U of A Energy Club: February 2009 32
The Optimum is “Flat”A 3% relaxation in the criterion of minimum
cost drops plant size sharply.
U of A Energy Club: February 2009 33
50% of Optimum Size Has Minimal Impact, But the Cost Climbs Sharply Thereafter
Power from straw in Alberta: $75 per MWh at optimum (330 MW net) $77 per MWh at 50% of optimum $100 per MWh at 25% of optimum $125 per MWh at 10% of optimum $145 per MWh at 5% of optimum
U of A Energy Club: February 2009 34
Power from Field Sourced Biomass in Alberta Straw to Power: >150 MW
FHR to Power: >100 MW
Lignocellulosic Ethanol: >3000 TPD
Power from Manure: county wide plant.
U of A Energy Club: February 2009 35
8.Life Cycle Analysis of Emissions
For most biomass plants the replacement of fossil fuel is the overwhelming contributor.
Processing related emissions tend to equalize.
Transport and refining are relatively small and estimates vary widely.
U of A Energy Club: February 2009 36
LCA Values, CO2eq
Base load power vs. coal: 830 g/hWh, 1350 g/dry tonne of biomass.
Ethanol or diesel: 2000 – 2400 g/l, 600 g/dry tonne of biomass.
Power from manure (methane avoidance a factor): 900 g/kWh.
U of A Energy Club: February 2009 37
9. Put Cost and Avoided Emissions Together How much extra does someone (the
consumer or taxpayer) pay?
How much emission is avoided.
Pick the most cost effective process.
U of A Energy Club: February 2009 38
Two key technology questions
For a given end form of energy, e.g. power or transportation fuel, what is the most efficient technology. (This will depend on the abundance of biomass, since low availability = higher delivered cost).
Between two end forms of energy, what should I pick.
U of A Energy Club: February 2009 39
Gasification vs. Direct Combustion
-$100
-$80
-$60
-$40
-$20
$0
$20
$40
$60
$80
$100
$0 $20 $40 $60 $80 $100 $120 $140 $160
Power Price ($ MWh-1)
Ca
rbo
n C
red
it ($
t-1
CO
2 e) Direct Combustion
BIGCC
As straw availability drops, the required carbon credit increases faster for direct combustion than BIGCC. The crossover
is beyond any point of real interest.
~ Current power price in Alberta
U of A Energy Club: February 2009 40
Ethanol vs. FT Diesel
-$300
-$200
-$100
$-
$100
$200
$40 $60 $80 $100 $120 $140 $160 $180
Crude Oil Price ($ bbl-1)
Car
bon
Cre
dit R
equi
red
($
t CO
2 e-1
) Ethanol
FT using best fit
FT using fitted model
Oil price range, 2008 to 2009
As straw availability drops, the required carbon credit increases faster for ethanol than FT diesel.
U of A Energy Club: February 2009 41
Picking the End Energy Form
$-
$20
$40
$60
$80
$100
$120
$140
$- $10 $20 $30 $40 $50 $60 $70 $80 $90 $100
Power Price (2006 USD MWh-1)
Oil
Pirc
e (2
006
US
D b
bl-1
)
Power Production via Direct Combustion Favored
Ethanol Production Favored
June 2008
October 2005
June 2002
Above an oil price of $80.3 per bbl, no carbon
credit is required for a 12% return
Above a power price of $73.9 per MWh, no carbon credit is required for a 12% return
U of A Energy Club: February 2009 42
Some Cautions
Some technologies are far better demonstrated than others, hence more confidence in cost.
All cost estimates rely on pre 2006 references, and hence miss the upswing in equipment and labor cost. The future of these costs is uncertain.
U of A Energy Club: February 2009 43
10. Policy Comes in Good and Bad Flavors Jurisdictions around the world are
wrestling with how to integrate a more expensive form of energy into an existing energy economy.
Some do it better than others.
U of A Energy Club: February 2009 44
Bad Policy
“Man on the moon” targets obscure social costs.
Short term “up front” payments. Higher payment to small scale projects. Doing everything with every source
(makes as much sense as making electricity from gasoline).
U of A Energy Club: February 2009 45
Good Policy
Does not, for a global warming target, specify the end product of bioenergy.
Is long term Allows competition between projects to
meet a social goal at the lowest cost. Identifies the cost per tonne of avoided
CO2eq.
U of A Energy Club: February 2009 46
For Biomass Energy to Grow:
Drayton Valley, AB: 12 MW
Alholmens, Finland: 240 MW