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Fundacja Bellona Polska Energy Independence Policy Polish CCS Road Map

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Page 1: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Fundacja Bellona Polska

Energy Independence Policy

Polish CCS Road Map

Page 2: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 2

Team work

Fundacja Bellona Polska

Page 3: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 3

Consulted with major stakeholders

• Ministries

• Industry

• R&D

Fundacja Bellona Polska

Page 4: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 4

Presentation to stakeholders - Warsaw

Fundacja Bellona Polska

Page 5: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 5

Presentation

• Shorter version of the presentation given to the Polish

Parliamentary Energy Commission

Fundacja Bellona Polska

Page 6: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 6

Fundamental questions:

• Is CCS really necessary? And what for ?

• What are Polish conditions for CCS?

• How to introduce CCS in Poland?

Fundacja Bellona Polska

Page 7: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 7

Polish Energy Policy 2030 challenges

Dynamic energy market in Poland:

• What will the energy demand be in the future?

• Energy sector transformation

• Energy efficiency role

• Change in energy mix in Poland – more contribution from gas

• How will energy demand change in other countries?

– access to oil and gas

– fuel prices

Fundacja Bellona Polska

Page 8: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 8Fundacja Bellona Polska

Poland – production capacity development based on fossil fuels and biomass (2011-2020) [MW], Bellona 2010

Expected energy investments in the Polish energy

production by 2020 program

Page 9: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 9Fundacja Bellona Polska

Polish energy investment by 2020

program

Page 10: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 10Fundacja Bellona Polska

NOTICE – clean coal technologies vs

CCS

CCS should not be confused with clean coal technologies which do

not solve the problem of extensive CO2 emission:

• conversion of coal into a different type of fuel (e.g. diesel oil)

• increase of coal burning process effectiveness (e.g. integrated

gas)

• coal purification (e.g. coals washing)

Page 11: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 11Fundacja Bellona Polska

Changes in the world

• The European Union treats climate change challenges seriously

• EU regulations related to Carbon Capture and Storage (CCS) has been

introduced in many States of the European Union – soon also in Poland

• Financing programs supporting CCS technology development has been

established

• CCS demonstration objects has been prepared – ca. 200 installations all

around the world whereas 10 installations in Europe

• Costs of CO2allowances will increase

• Costs of CO2 capture technology are decreasing

• Fossil fuels utilizations along with CCS will be one of the driving forces

leading to zero emission energy generation

Page 12: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 12Fundacja Bellona Polska

Why CCS in Poland

• Huge hard coal and lignite resources

• Chance for energy independence

• Opportunity for development of CCS large demonstration

project in Belchatów

• Perfect conditions for CCS storage (extensive saline formations)

• Qualified national team of geologists and geophysics

Page 13: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 13Fundacja Bellona Polska

Bełchatów

Page 14: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 14Fundacja Bellona Polska

Natural springs (Mafeta, Dychawka, Bulgotka) –

argument quoted by Ministry of Env.

Mofeta is a dry seepage of CO2 and the most beautiful spring is found near the town of Muszyna – in Złocko. The rusty yellow sorrel grow in harmony with the green marsh. Bubbles escapes from the riverbed of Złocki, hissing temptingly and leading in the direction of the Bulgotka. Dychawka is called the “Earth`s breath” – a hissing breath of wind escaping from the gorge. The seeping gas appears to be a 94% CO2 .

Page 15: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 15Fundacja Bellona Polska

Energy supply

Hard coal and lignite:domestic energy source

Gas : imported or Polish shalegas?

Energy efficiency isstill neglected in Poland

Page 16: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 16Fundacja Bellona Polska

Is it feasible? – main questions

• Demand and price

• Underground storage

• Transport and infrastructure

• Implementation of regulations

• Public support

• Financing

• Economics – costs and benefits

• The best moment to start is NOW

Page 17: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 17Fundacja Bellona Polska

CCS development – EP scenario

CCS

Page 18: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 18Fundacja Bellona Polska

Paths for Polish Energy Efficiency

Development

Path for Polish Energy Efficiency development inaccordance with EnergyPolicy in Poland

• Less energy is needed with energy efficiency investments

• Significance of the geographical location of hard coal and lignite

• Gas use development and reduction of coal use

Page 19: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 19Fundacja Bellona Polska

Modeling, emissions and costs

� Conservative assumptions concerning CO2 price

� Possible derrogationeffects not included

Page 20: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 20Fundacja Bellona Polska

Comprehensive model – many variables

Page 21: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 21Fundacja Bellona Polska

All scenarios give to the same conclusion –

CCS is the cheapest option

Page 22: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 22Fundacja Bellona Polska

Biomass and subtractive emissions

Page 23: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 23Fundacja Bellona Polska

Main conclusions

• Even in scenarios with a low CO2 price coal wits CCS is

ecnomically justified and cheaper than not applying CCS

• Large potential for carbon storage:• GeoCapacity UE, 2008. Assessment: salt formation 8299 Mt, hydrocarbon

deposit – 1021 Mt oraz CBM 295 Mt CO2

• R. Tarkowski: relates to the 37 salt formations located within Polish regions

where industry is most advanced

• Qualified and experienced national team of geologists • Geological research carried out since 1960s

• A chance to become the leader in this region

Page 24: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 24Fundacja Bellona Polska

Page 25: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 25

Energy supply – Polish Energy Policy by

2030

• What are Polish Energy Development’s directions?

• How to protect energy supply?• Renewable sources of energy

• Gas

• Hard and brown coal energy

• Nuclear energy

Fundacja Bellona Polska

Page 26: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 26

Final remarks

• For the moment the CCS Roadmap is the only complex, political

document for CCS in Poland

• Bellona Poland is the only NGO advocating for CCS

• Bellona has established a cooperation with main stakeholders

• Bellona is visible and recognised

Fundacja Bellona Polska

Page 27: Energy Independence Policy - Bellona.org · • CCS demonstration objects has been prepared –ca. 200 installations all around the world whereas 10 installations in Europe • Costsof

Page 27Fundacja Bellona Polska

POWER OF CHOICE

NORDIC SYNERGIESA CCS ROADMAP FOR POWER AND INDUSTRY

A FUTURE IN STOREA CCS ROADMAP FOR ROMANIA