executive summary aumup - dede.go.th

Executive Summary of Final Report Research and Demonstration on Three Stages Biomass Gasifer Project

Executive Summary of Final Report

Research and Demonstration on Three Stages Biomass Gasifier Project

Energy Research and Development Institute-Nakornping, Chiang Mai University

(September 30, 2012 – August 14, 2015)

Executive Summary: The objectives of the project entitled “Researchand Demonstration on Three Stages Biomass Gasifier” are to supervise installation and commissioning of biomass energy production system in 4 locations and evaluate economic value and environmental impacts, and study the method to promote the system usage in other communities and disseminate the project results to interested and relevant stakeholders. The project has been carried out and all details include in the final report. Project details can be summarized as follows;

1) Study and collect information on fast growing energy plants from relevant organizations such as Royal Forest Department, Forest Industry Organization, and academic institutions.

2) Study, collect information, and choose the four most suitable universities to install the Three Stages Biomass Gasifier for Department of Alternative Energy Development and Efficiency’s consideration as well as coordinate with the government sectors that are responsible for the four universities to proceed with land improvement before system installation(Details of the project were preliminary presented since 2008, and details of selected location were presented in 2014). The universities were selected based on criteria such as transportation system, power system, water system, remote location, and educational institution having experienced lecturers and staffs with knowledge of gasifier system. After the project completion, it will become a learning center for university students and interested people. Energy Research and Development Institute-Nakornping, Chiang Mai University (ERDI-CMU) has already submitted a project explanation letter and coordinated with relevant officers in accordance with the university’s appropriate procedure in order to gain approval for system installation area. The universities that have participated in the project are as follows;

Chiang Mai University Suranaree University of Technology Mahasarakham University Kasetsart University Kamphaeng Sean Campus


2.1 General location and Geographic coordinate of the selected universities Responsible Organization System Installation Location

Name Address Name Address GPS Chiang Mai University

239 HuayKaew Road, Muang District, Chiang Mai, 50200

Mae Hia Research Station, Faculty of Agriculture, Chiang Mai University

Mae Hia Sub-Disctict, Muang District, Chiang Mai, 50100

18°45'32.0"N 98°56'02.6"E

Suranaree University of Technology

111 University Avenue, Muang District, NakhonRatchasima 30000

Center of Excellence in Biomass

Suranaree University of Technology 111 University Avenue, Muang District, NakhonRatchasima 30000

16๐14'44.6"N 103๐15'13.5"E

Mahasarakham University

Khamriang Sub-District. Kantarawichai District. MahaSarakham 44150

Bio-Energy and Renewable Resources Research Unit

Khamriang Sub-District. Kantarawichai District. MahaSarakham 44150

14๐53'32"N 102๐00'11.4"E

Kasetsart University Kamphaeng Sean Campus

1 M.6, KamphaengSaen Sub-District, KamphaengSaen District, NakornPathom 73140

Demonstration Plot of The Energy and Environmental Engineering Center

1 M.6, KamphaengSaen Sub-District, KamphaengSaen District, NakornPathom 73140

N14.037395, E99.961884

2.2 Site Preparation

ERDI-CMU submitted site details to Xenix Electric Systems Co., Ltd. and mutually performed a site survey. Xenix Electric Systems Co., Ltd. (Xenix) provided details of layout and GPS coordinate to ERDI-CMU for system calculation and design. After that, the contractor built concrete base size 8 m. width x 12 m. length x 20 cm. thick. ERDI-CMU also sent all relevant details to the selected universities for preparation of site, electric system, and water system to facilitate the system installation and test. Overall site preparations of each university were in accordance with the installation guideline.

Figure 2-1: Site preparation of Chiang Mai University


Figure 2-2 : Site preparation of Suranaree University of Technology

Figure 2-3 : Site preparation of Mahasarakham University

Figure 2-4 : Site preparation of Kasetsart University Kamphaeng Sean Campus

3) Installation Supervision of the 100 kW Three Stage Gasifier in 4universities; Chiang

Mai University, Suranaree University of Technology, Mahasarakham University, and Kasetsart University Kamphaeng Sean Campus. Project operating performance was accordingly submitted to Department of Alternative Energy Development and Efficiency, Ministry of Energy (DEDE). ERDI-CMU informed Xenix and the four universities regarding the work guideline according to DEDE’s specified regulations and objectives. ERDI has coordinated with each university to provide experienced officer with knowledge of gasifier installation and Xenix to provided work schedule as follows;


Figure 3-1 : Work Schedule from Xenix Electric Systems Co., Ltd.

Xenix Electric Systems Co., Ltd. was selected by DEDE to conduct procurement and installation of the 100 kW Three Stages Gasifier. The gasifier components were transported from Xenix office in Nakornpathom province and were assembled at each university as scheduled.

Xenix provided daily installation reports as shown in Figure 5 to ERDI-CMU in order to exchange opinions and daily solve problems. According to the report summary, it appeared that construction progress of the first university was behind the schedule due to weather and technical problems on testing process. However, the installation progresses of the other 3 universities were on schedule and ready for the next testing step.


Figure 3-2 : Daily installation report


Figure 3-3 : The completed three stages gasifier of Chiang Mai University

Figure 3-4 : The completed three stages gasifier of Suranaree University of Technology

Figure 3-5 : The completed three stages gasifier of Mahasarakham University

Figure 3-6 : The completed three stages gasifier of Kasetsart University Kamphaeng Sean Campus


4) Sufficient volume and size of rice husks were provided to meet the system requirements for four universities. The rice husks were obtained from the rice mills near the universities, and were delivered by trucks with security measures during transportation. According to the test result, the total testing period was 150 hours (6.5 hours/day) and it required 120 kg/hr of rice husks per hour. Therefore, approximately 18 tons of raw rice hulks were required during testing and data collection periods of 150 hours.

According to the rice hulks volume, the rice mills, that delivered the rice hulks to the universities, were evaluated using security measures to avoid rice hulk spread and create safety during transportation. Fuel preparation was summarized as follows;

Table 4-1: Fuel Preparation Details Details Rice Mill

(Fuel Source)

Address Selling Price

(Baht/kg.)

Distance

(kg.)

1. Chiang Mai University

Chiang Mai Inter Rice Ltd., Part

119 Moo 3, Sanpulei Subdistrict, Doisaket District, Chiang Mai

5 15

2. Suranaree University of Technology

Koratriengsiangsanguan Rice Mill, Tanyaroongruengchai Rice Mill, Saengwong Rice Mill

Muang District, Nakornratchasrima

1.7 17-30

3. Mahasarakham University

Rice mills in Muang District, Mahasarakham

Makamrieng Subdistrict, Muang District, Mahasarakham

1.5 2-10

4. Kasetsart University Kamphaeng Sean Campus

Rice mill in Kasetsart University

Kasetsart University Kamphaeng Sean Campus

3 2

5) Design a power distribution system of the Three Stages Biomass Gasifer to suit the four demonstration locations. The universities have their own plans for utilizing the generated electricity to reduce electricity expenses and improve the system to accommodate a wide range of biomass in order to help managing biomass wastes within the universities.

The 100 kW Three Stage Gasifier electricity generation system which have 3 phase, 4 wired, 50 Hz and 100 kW uses diesel and gasifier to fuel the engine. In this test, the dummy load is used to test this system. But this electrical generation system did not prove this system's reliability and safety when syncing the system to grid and that can be the problem in distribution and transmission system.


After the system test completion, the 100 kW Three Stage Gasifiers will be handovered to the universities. Each university has aimed to improve the system to accommodate a wide range of biomass.

o Chiang Mai University plans to connect the system to Low Voltage in order to decrease overall electricity expense of the university. However, the system need to improve the grid line and synchronizing with an external electrical system Rice hull ash is used as a mixture of organic fertilizer. Waste heat after combustion of electrical generator is expected to be used in file crop drying process. Nevertheless, all details will be thoroughly considered after the project completion to maximize the system benefit accordingly.

o Suranareeuniversity of technology plans to connect electrical generation system to low voltage side of university's distribution system by using existing connector. This system will be synced with Provincial Electricity Authority (PEA) to reduce electricity cost of the university.

o Mahasarakham University plans to connect electrical generation system to low voltage side of the university. This generation system will be synced with PEA's distribution system to reduce peak demand cost of Noi market, football field and separation system at 11.00-13.00 and 17.00-20.00.

o Kasetsart University Kamphaeng Saen Campus, the system is installed in 900 hectares of agricultural experiments area. This area consumes around 20-25 kW for lighting and pumping that is take around 40% of generation capacity. In the future, if this generation system can produce electricity consistently, Kasetsart University Kamphaeng Saen Campus plans to install water pump and agricultural equipment for the expansion of student and experiments in accordance with the generated electricity.

6) Start up the Three Stages Biomass Gasifier, test the power distribution system at the demonstration areas for not less than 600 hours (150 hours/location), analyze and evaluate values of biomass consumption ratio, fuel replacement ratio, and overall system efficiency. The system test summary is as follows;

6.1 Planning ERDI-CMU and each university team mutually performed a system test,

attended meetings to determine testing and data collection scopes and methods, and work procedure conforming to the specified TOR. The test period was determined at 150 hours detailed as follows;


System Test Run o Chiang Mai University performed system test run during 10.00 a.m. -16.30

p.m. (6.5 hours/day) everyday except weekend for maintenance started from 27 January 2015 – 27 February 2015.

o Suranaree University of Technology performed system test run during 10.00 a.m. -16.30 p.m. (6.5 hours/day) everyday except weekend for maintenance started from 11 May 2015 – 6 June 2015.

o Mahasarakham University performed system test run during 10.00 a.m. -16.30 p.m. (6.5 hours/day) everyday except weekend for maintenance started from 18 May 2015 – 18 June 2015.

o Kasetsart University Kamphaeng Sean Campus performed system test run during 10.00 a.m. -16.30 p.m. (6.5 hours/day) everyday except weekend for maintenance started from 29 June 2015 – 29 July 2015.

Generator commissioning by using 100% of diesel fuel for determined the efficiency of the generator at 2 5 , 5 0 , 7 5 , 1 0 0% of loaded capacity, which the generator can produce the electricity.

System test run by trial parameter adjustment for obtaining the gas composition which can feed into the system before fuel replacement tasting.

Load testing by using dummy load, during the test, the quality of electricity is instability

Experimental Recording for analysis and reporting.

6.2 The electrical generator efficiency calculation The generator efficiency and fuel utilized rate was tested to compare the

replacement rate by using 100% of diesel fuel, that it takes 1 hour each percentage of loading, can be calculated as follow:

: Total efficiency, (%) PEl : Electrical power generation, (kilowatt) Q : Fuel Consumption Rate, (Liters/hour) HHV : Heating Value, (Mega joule/ liter),(36.42 Mega joule/ liter)


6.3 The percentage of diesel fuel with chaff Calculation. The system test run data can calculate the fuel consumption rate with

maximum capacity of the generator, which can supply the power loading continuously.

%

% : percentage of diesel fuel replacement : 100% diesel fuel volume in generators. (Liters/hour) : Diesel fuel volume combined with a gas generator. (Liters/hour)

6.4 System efficiency testing From the research and demonstration result, 100 kW Three Stages Biomass

Gasifier, uses gas generator with diesel fuel for generator running with 5.9 liter DUAL Engine (CUMMINS brand) for being the source of power to the generator which is 100 kW., 125 kvA power factor 0.8 at 1500 RPM. (XENIX brand) can be calculated as follow:

The system efficiency calculation.

: Total efficiency, (%)

PEl : Electrical power generation, (kilowatt) Q : Fuel Consumption Rate, (kilogram/hour) HHV : Heating Value, (Mega joule/ liter),(36.42 Mega joule/ liter)

6.5 Tar in System Tar which was produced in gasifier system is a main problem for system running.

If there is too much tar in the system, it will damage the engine. The testing team measured the system performance after 2 hours later of system running for three times on the same position for measuring the volume of tar.


Table 6-1: Summary of systems testing for energy production from biomass. Type Experimental Result

Site 1 Site 2 Site3 Site 4 Average Tested with Diesel 100% Diesel fuel volumein case ofdiesel fuel using(Liter/hr) 18.8 20.83 19.50 20.15 19.82 Electrical power generation(kW/hr) 63 59 53 65 60.00 Efficient generator(diesel 100%)(%) 33.12 28.00 26.87 31.89 29.97 Tested with Diesel & Gas The total efficiency (%) 12.24 14.91 12.82 15.97 13.99 The average diesel fuel replacement rate. (%) 63.19 59.53 62.72 68.54 63.50 Chaff consumption rate (frequencyat 33 Hz) (Kg/hr)

116.00 81.00 88.69 89.44 93.78

Electrical power usage (kW) 11.92 10.34 14.21 12.10 12.14 Diesel fuel volume combined with a gas generator (Liter/hr) 6.92 8.43 7.27 6.34 7.24 Electrical power generation(kW/hr) 63 59 53 65 60.00 Biomass gas composition

Carbon monoxide (CO) (%) 13.05 11.53 14.51 14.50 13.40

Hydrogen (H2) (%) 5.99 6.73 8.07 8.20 7.25

Methane (CH4)(%) 2.52 1.55 2.47 2.18 2.18

Carbon dioxide (CO2) (%) 16.03 14.28 15.23 14.97 15.13

Nitrogen(N)(%) 62.05 65.91 50.31 53.04 57.83

Gas flow rate (m3/hr) 213 195 220 206 208.50

Heating Value (MJ/m3) * 3.21 2.73 3.60 3.50 3.50 System performace

The fuel temperature was blew by hot air. 120 116 114 117 117

The area temperature (Pyrolysis)(0C) 522 546 540 530 535

The area temperature (Throat)(0C) 689 747 618 756 702

The engine gas temperature (0C) 38 37 38 38 38 Waste

RHA (compare with the amount of husk usage). 20.87 20.63 21.89 20.97 21.09

Tar before feed into the engine (mg/m3) 24.05 21.50 23.4 24.85 23.45

Remarks: 1. Site 1: Chiang Mai University 2. Site 2: Suranaree University 3. Site 3: Mahasarakham University 4. Site 4: Kasetsart University Kamphaeng Sean Campus

*The Heating Value is calculated based on the ratio of gascompositioncompare with a heating value and a density of gas component


Figure 6-1 : Value and position measurement layout

Diesel 6.34-8.43 L/hr

Rice Husk 81-116 kg/hr

114-120 oC 522-546 oC

618-756 oC

Ash 20.63-21.89%

53-65 kWh

CO = 11.53-14.51% H2 = 5.99-8.2% CH4 = 1.55-2.52% CO2 = 14.28-16.03% N = 50.31-65.91% Flow = 195-220 m3/hr Temp = 37-380C HHV = 2.73-3.6 MJ/Nm3

Executive Summary of Final Report Research and Demonstration on Three Stages Biomass Gasifier Project

7) Study and Analysis

7.1 Study and Analysis for Technical Society , Community Economy, Finance and Power System Investment

7.1.1 Technical During system installation, Xenix Electric Systems Co., Ltd. started up the

system which was customized the appropriate parts such as motor speed, air flow system, fuel consumption rate and other parts of function instrument to obtain the quality gas. In this regard, the specialist of Xenix Electric Systems Co., Ltd. recommended a commissioning and troubleshooting to testing team.

The overview of system may require the expertise and experience to control considerably, but the system can work perfectly, if the testing team followed the recommendation. However, the staff, who controlled the system each site can operate truly excellent. But the system may was improved to increase the efficiency and add more automatic function in the future.

7.1.2 Society and Community Electricity production system in Three Strages Gasifier was the one of

remarkable technologies, which could transform biomass into electrical energy. According to 4 installation sites, it showed that the system could produce continuously electricity. After completed the project each site had a plane to generate the electricity to the University for reducing energy expense. Furthermore, each site had an idea to improve the fuel which was used for rice husk as fuel testing and increased the capacity of the system for accommodating a variety of biomass especially, the agricultural residues for reducing the problem of smog, moreover, the residues for the production system can be applied to an fertilizer to use in agriculture, which can be distributed or sold at low prices to farmers in nearby area.

7.1.3 Economy, Finance and Power System Investment (1) The concept of the project cost analysis.

A study of finance and economic wealthiest can evaluate from the engineer economic wealthiest and investment by using engineering economic analysis based on benefit cost analysis, including studied a financial feasibility and economics feasibility, which an index is calculated in term of the economy as follow: NPV: Net Present Value IRR: Internal Rate of Return B/C Ratio: Benefit Cost Ratio


The analysis of economic wealthiest project were presented to the following guidelines

Net Present Value: NPV is the present value of an investment's expected cash inflows minus the costs of acquiring the investment. The NPV formula can be calculated as follow:

nt

otttt

k

CBNPV

)1(

Bt = The benefits value each alternative of a years. (t) Ct = The capital value each alternative of a years. (t) k = Discount rate t = A year of project n = Period project at the end of the year

Benefit/Cost Ratio: B/C Ratio is the ratio of the benefits of a project or proposal, expressed in monetary terms, relative to its costs, also expressed in monetary terms. The NPV formula can be calculated as follow:

nt

otn

t

nt

otn

t

k

Ck

B

CB

)1(

)1(/


Internal Rate of Return: IRR is a discount rate that causes the net present value of the future cash flow from an investment to equal zero. The IRR formula can be calculated as follow:

0

)1(

nt

otttt

k

CB



(2) The cost estimation of project revenue and expenditure The project revenue and expenditure for research and demonstrate in

4 universities and average yield can be summarized as follow;

Table 7-1: The expenditure estimate of system test run

Type Experimental Result

Site 1 Site 2 Site3 Site 4 Average

The average diesel fuel replacement rate. (%)

63.19 59.53 62.72 68.54 63.50

Husk consumption rate (frequencyat 33 Hz) (Kg/hr)

116 81.00 88.69 89.44 93.78

Efficient generator (diesel 100%)(%) 33.12 28.00 26.87 31.89 29.97

Electrical consumption (kW) 11.92 10.34 14.21 12.1 12.14

Diesel fuel volume combined with a gas generator(Dual run) (Liter)

6.92 8.43 7.27 6.34 7.24

Diesel fuel volumein case of100% diesel fuel using(Liter)

18.8 20.83 19.5 20.15 19.82

Electrical power generation(kW/hr) 63 59 53 65 60.00

Waste

RHA (compare with the amount of husk usage).

20.87 20.63 21.89 20.97 21.09

Tar before feed into the engine (mg/m3) 24.05 21.50 23.4 24.85 23.45

Table 7-2: The expenditure of system operation and the revenue estimate of system

test run

Details Site 1 Site 2 Site3 Site 4 Average

The capital

A.System Value (Estimate from cost investment)

4,500,000.00 4,500,000.00 4,500,000.00 4,500,000.00 4,500,000.00

B. Wage of system controlling (THB/Month)

1,296,000.00 1,296,000.00 1,296,000.00 1,296,000.00 1,296,000.00

C.System Maintenance 135,000.00 135,000.00 135,000.00 135,000.00 135,000.00

D.Fuel Cost (100% of Diesel ) (THB/Month)

260,865.79 289,033.75 270,578.88 279,598.18 275,019.15

E. Fuel Cost (Diesel & RHA ) 96,020.81 116,973.33 100,877.36 87,972.83 100,461.08

F. RHA Cost (THB/Month) 133,632.00 93,312.00 102,170.88 103,034.88 108,037.44


Details Site 1 Site 2 Site3 Site 4 Average

G.Electricity cost (THB/Month)

30,896.64 26,801.28 36,832.32 31,363.20 31,473.36

Project Value

Electrical power generation (kWh/Month)

36,288.00 33,984.00 30,528.00 37,440.00 34,560.00

Electrical power generation value (THB/Month)

163,296.00 152,928.00 137,376.00 168,480.00 155,520.00

Ash value (THB/ Month)

15,192.29 14,147.76 15,816.28 16,557.51 15,426.54

(3) Financial feasibility study A study of a net income or project operation stability was studied about

finance, which will reach the net benefit to the entrepreneur only, but do not focus on a stakeholder or externalities no matter how well or bad of the result. This project studied about cash inflow for maximum benefit of the entrepreneur and studies about cash outflow for considering the project investment.

(3.1) The initial assumption in financial analysis project.

Inflation rate determined in accordance with the consumer index (CPI) in this study was the rate of 2.5%.

Discount rate determined in accordance with interest rate (MLR) of the 4 Thailand commercial banks by using 7% of interest rate

The lifetime of project is 15 years by requiring as long as lifetime of a machine without a residual value at the end of project

The installation areas are classified by 4 sites. The calculation of electrical selling is 4.5 baht per kWh. diesel price is 24.09 baht

per liter, and chaff price is 2 baht per kilogram. The fuel prices will The technology for running systems are classified to 2 types, the first is the diesel

running system and another is dual running system (diesel and RHA)

(3.2) Financial analysis A study of finance and economic wealthiest considered the installation

areas of 4 sites shown that, the system which was dual run between diesel and rice husk fuel has been have a high return more than the system was run by using diesel fuel. According to the comparison of 4 difference installation sites, it can be seen that maximum return rate was obtained from the fourth site, and came after with the first,


the second, and the third site, consecutively. The return rates were correlated with the efficiency of electrical power generation. (kWh/hr.) However, the financial return rates shown that, no any installation sites had financial wealthiest, because of the average production cost per unit higher than the electricity selling per unit. In order to make the project reached financial wealthiest, it should increase the efficient capacity and also subsidize electricity pricing over the average production cost per unit. (Table 7.3)

Table 7-3 Financial feasibility study

Area methodology

NPV

(Baht)

B/C Ratio

(Time)

FIRR

(%)

The average operation cost

per unit (kWh/Baht)

The average cost per unit

(kWh/Baht)

Site 1

In case of use diesel fuel (33,534,621.49) 0.366 N.A. 11.33 14.23

In case of use diesel fuel combine with rice husk

(28,040,352.00) 0.430 N.A. 10.47 13.20

In case of use diesel fuel combine with rice husk (Exclude the chaff cost)

(12,218,653.10) 0.634 N.A. 6.78 8.80

Site 2

In case of use diesel fuel (37,612,302.93) 0.325 N.A. 12.80 16.04 In case of use diesel fuel combine with rice husk

(26,613,625.39) 0.426 N.A. 10.49 13.27


15,565,714.95 0.560 N.A. 7.74 9.99

Site 3


(28,588,191.28) 0.388 N.A. 11.76 14.88


16,491,411.32 0.524 N.A. 8.42 10.88

Site 4


(22,744,695.03) 0.491 N.A. 9.12 11.58


10,545,619.60 0.675 N.A. 6.37 8.29

Average In case of use diesel fuel (36,199,285.42) 0.337 N.A. 12.32 15.45


Area methodology

NPV

(Baht)

B/C Ratio

(Time)

FIRR

(%)

The average operation cost

per unit (kWh/Baht)


(kWh/Baht)

In case of use diesel fuel combine with rice husk

(26,496,942.89) 0.433 N.A. 10.39 13.15


13,705,576.70 0.596 N.A. 7.27 9.41

Remark 1. Because of the return rate was lower than cost of lifetime project, therefore,

this project could not calculate FIRR. 2. The negative number indicated in a parenthesis.

(4) Economic feasibility study From a study, the overview community and social impact causes a net economic

or social benefit. If the value was positive, it means this project would improve social quality and the stakeholders who loss benefit will be compensated equitably. ( Pareto Efficiency). In the economic shown this project could increase social benefit ( Social Surplus)

(4.1) The assumption preliminary economic analysis project. Inflation rate determined in accordance with the consumer index (CPI) in this

study was the rate of 2.5%. Discount rate determined in accordance with interest rate (MLR) of the 4 Thailand

commercial banks by using 7% of interest rate The lifetime of project is 15 years by requiring as long as lifetime of a machine

without a residual value at the end of project The installation areas are classified by 4 sites. The calculation of electrical selling is 4.5 baht per kWh. diesel price is 24.09 baht

per liter, and chaff price is 2 baht per kilogram. The fuel prices will The technology for running systems are classified to 2 types, the first is the diesel

running system and another is dual running system (diesel and rice husk) The economic benefit calculation would include the indirect value such as the

value from reduce diesel imports, the value from reduce carbon emission 300 baht per ton of carbon credit approximately.

The market price adjustment, both of the economic and social sector prices were reflected to a value of resources or an opportunity cost. However, the pricing


data was collected from the market prices, which was distorted and did not reflect the actual value of the resource. There were many reasons to distort the market prices such as fees and taxes, government subsidy, marketing fees. Changing the market prices to the economic prices could adjust by using conversion factor from the World Bank as follow;

Table 7-4 Conversion Factors Products and Services (Conversion Factors: CF)

Standard conversion Factors 0.92

Conversion Factorsclassified by products and services

Buildings 0.88 Machinery 0.85 Petroleum 0.84 Structure 0.88 Transportation 0.87 Labor 0.92

Source: Ahmed, Sadiq. 1983. "Shadow Prices for Economic Appraisal of Projects: An Application to Thailand." World Bank Staff Working Paper no. 609. Washington, USA.

(4.2) Economic Analysis A study of economic wealthiest analysis of 4 installation sites shown that

the production system by using dual system between diesel fuel and rice husk had a highest return rate According to the comparison of 4 difference installation sites, it can be seen that maximum return rate was obtained from the fourth site, and came after with the first, the second, and the third site, consecutively. Furthermore, the average data shown that this project should be worthy investment, it not only reduces petroleum imports but also reduces carbon emission that was impacted to the environment. (Table 7-5)

Table 7-5 Economic feasibility study

Plant System

NPV

(Baht)

B/C Ratio

(time)

EIRR

(%)

The average operation cost per

unit (kWh/baht)


(kWh/ baht)

Site 1


(2,260,159.42) 0.950 -

5.127% 9.71 12.19


12,295,803.57 1.40 44.305

% 6.32 8.14


Plant System

NPV

(Baht)

B/C Ratio

(time)

EIRR

(%)

The average operation cost per

unit (kWh/baht)


(kWh/ baht)

Site 2


415,616.94 1.010 8.680% 9.75 12.28


10,579,694.54 1.324 39.643 7.22 9.26

Site 3


(1,775,850.19) 0.959 -

1.802% 10.92 13.75


9,353,187.37 1.293 36.278

% 7.84 10.07

Site 4


6,930,990.10 1.169 29.504

% 8.47 10.69


18,154,139.50 1.608 60.004

% 5.93 7.66

Average


827,440.55 1.019 10.263

% 9.65 12.15


12,595,497.44 1.403 45.115

% 6.17 8.71

Remark

1. Because of the return rate was lower than cost of lifetime project, therefore, this project could not calculate FIRR.

2. The negative number indicated in a parenthesis.

(5) Summary of financial and economic values analysis of the project Development of alternative energy is the key to create energy security of the

country and to enhance economic growth which will lead to improvement of the citizens’ quality of life. Adding value to agricultural waste materials, not only helps EGAT


to save diesel fuel for the generation of electricity, but also helps reduce air pollution from electricity generation by EGAT’s fuel. These are indirect benefits of the project.

Fuel import Reduction: Thailand has to spend a lot of money each year to import fuel such as diesel, natural gas, etc in order to generate enough electricity to power the entire country. The imported volume has been increasing steadily. Therefore, if the government does not find any solution to solve this problem, it will become a factor that cause a continuously deficit in the balance of payments and new economic crisis. The use of renewable energy such as electricity generated from agricultural waste in substitution of diesel will help save a lot of the country’s expense each year, and strengthen the country’s economy.

Air Pollution Reduction: Producing electricity with diesel makes Thailand losses substantial foreign currency for the imports of energy, and carbon dioxide (CO2) is also released into the atmosphere. Generation of electricity from agricultural waste can perfectly replace diesel combustion, decrease CO2 emission, and reduce national’s budget to solve this type of pollution.

7.2 The study and Initial Environmental Examination from project development and mitigation measures Environmental impacts arising from the project has taken measures to reduce or

cause minimal environmental impact by considering the impact occurred at the location that installed the Three Stage Gasifier System as well as measures to prevent and reduce the environmental impact as follows;

7.2.1 Physical Resources Impact It is found that the geography of the location that installed 100 kW Three

Stage Gasifier system is unchanged.

7.2.2 Air Quality During the gasifier operation, air quality monitoring was performed every

month. The air quality is specified in accordance with Pollution Control Department as shown in Table 7-6. If any value is higher than the criteria value from the table, the system operation will immediately be stopped, and system monitoring and troubleshooting tasks will be performed accordingly.

Table 7-9: Air quality standard in general atmosphere (source: Pollution Control Department)

Pollutants Standard Values

1. Carbon monoxide 1 hr. less than 30 ppm. less than30 ppm. (34.2 mcg./cu.m.) 8 hrs. less than 9 pp. (10.26 mg./cu.m.)


Pollutants Standard Values

2. Nitrogen dioxide 1 hr. less than 0.17 ppm.

less than0.17 ppm. (0.32 mcg./cu.m.)

1 yr. less than 0.03 ppm. (0.057 mcg./cu.m.)

3. Ozone 1 hr. less than0.10 ppm. (0.20 mcg./cu.m.) 8 hrs. less than0.07 ppm. (0.14 mcg./cu.m.)

4. Sulfur dioxide 1 yr.less than0.04 ppm. (0.10 mg./cu.m.)

24 hrs. less than0.12ppm. (0.30 mg./cu.m.) 1 hr. less than0.3 ppm. (780 mcg./cu.m.)

5. Lead 1 month less than1.5 mcg./cu.m.

6. Particulate matter size less than100 microns24

hrs. less than0.33 mcg./cu.m.

1 yr. less than0.10 mcg./cu.m.

7. Particulate matter size less than10 microns24 hrs. less than0.12 mg./cu.m.

1 yr. less than0.05 mg./cu.m.

8. Particulate matter size less than2.5 microns24 hrs. less than0.05 mcg./cu.m.

1 yr. 0.025 mcg./cu.m.

Remarks: 1. Short term average value (1,8, and 24 hrs.) is specified to prevent acute effect.

2. Long term average value (1 month, and 1 year) is specified to prevent chronic effect.

7.2.3 Noise and noise level Gasifier system operation causes loud noise and the noise is less when

moving away from the system. The measures to reduce noise impact are to put on the ear plug while operating the system, and plant a buffer zone of tall trees with lots of leaves such as Pine Tree, Mast Tree, etc.

7.2.4 Smoke Odor Smoke odor is generated during electricity production process and the odor

is less when moving away from the system. Therefore, system machines and equipments need inspection and maintenance to ensure safety and good working conditions. System operators must wear masks and dust goggles during the operation.

7.2.5 Wastewater During system operation, the test team collected and analyzed the sample

of wastewater in order toevaluate the initial environmental examination from the project installation. The collected wastewater was composed of ashes, rice husk, tars, etc. If thesuspended solids are released into the environment, it will contaminate the water resources by blocking the penetration of sunlight into the water and causing an ecological imbalance. When the solids sink to the bottom of the water, it


can lead to anaerobic conditions and shallow water resource. Therefore, the system is designed with a sedimentation pond in order to reduce suspended solids in wastewater before releasing to a treatment system.

Table 7-7: Results of wastewater analysis

Parameters Standard Values Results of Wastewater Analysis

Location 1

Location 2

Location 3

Location 4

Temp. Higher than ambient temp. 3 °C 32.3 34.8 33.7 34.2 pH 5.5-9 3.8 4.0 3.4 4.1

CODt 400 4,523 4,458 4,297 4,432 CODf - 3,766 3,467 3,253 3,598 BOD 60 - - - - TS 3000 1,268 1,425 1,576 1,342 TSS 200 33 39 56 42

Nitrogen 200 85 82 79 83 Phosphorus - 2.4 2.7 2.8 2.6

Remarks: Standard value of wastewater in accordance with notification under the Ministry of Science Technology and Environment, Vol. 3, B.E 2539 (1996)

Figure 7-1: Sedimentation Pond

7.2.6 Biological Resource Impact The Three Stage Gasifier system was installed in non-preservation area and

owned by the university. Animals that generally found in the area are non-extinct animals such as birds, insects, etc. The system installed areas are not major habitats of these animals. Therefore, there are few or only minor impacts on biological resources in terms of land utilization and animal feed source. In summary, the impact of the project development on biological resource is low and shows no significant difference.


7.2.7 Quality of life impact The system can generate electricity for use in all activities, which can help

reduce cost of electricity bills to be paid each month. However, electricity generation operation creates potential risk for system operator from combustion process, spark ignition, electric leak, and electric chock. Therefore, the system operators must obtain trainings from skilled/experienced experts, tools and equipments, and proper uniform to prevent unnecessary accidents such as helmet, mask, safety shoes, etc.

8) Feasibility study on citizen participation, project comments, recommendations to other communities

The Three Stages Gasifier systems are installed in the university campus, which are the learning center having a lot of experienced specialists, lecturers and officers to provide knowledge and consultations for interested people. Each university has welcomed a lot of visitors yearly and the installed system will become an interesting technology to exchange knowledge and recommendations as well as to promote the system accordingly.

9) ERDI-CMU arranged the seminar for the selected universities to disseminate the project results

After the system completion and handover, the seminar was promoted through various channels and the invitations were sent to interested and relevant stakeholders among the selected universities. The seminar is scheduled as follows:

Seminar Schedule Research and Demonstration on Three Stages Biomass Gasifer Project

09.30 – 10.00 Registration 10.00 – 10.15 Opening and welcome remark 10.15– 11.00 Fundamental of biomass production system 11.00– 11.15 Networking coffee break 11.15– 12.00 Research and Demonstration on Three Stages Biomass Gasifer Project 12.00 – 13.00 Lunch 13.00– 14.00 Biomass safety 14.00– 15.00 Site visit and Q&A 15.00 – 15.15 Closing remark Please note: Schedule is subject to change upon appropriate.


Table 9-1: Seminar Details Universities Seminar Location Date Number of

Participant

1. Chiang Mai University

Grand Ballroom, 4th Floor, Energy Research and Development Institute-Nakornping, Chiang Mai University

7 March 2015

109

2. Suranaree University of Technology

Saruphat Building 1, Room No. 214, Techno Thani, Suranaree University of Technology

12 June 2015

101

3. Mahasarakham University

Waste Separation Plant, Mahasarakham University

17 July 2015

106

4. Kasetsart University Kamphaeng Sean Campus

Promotion and Training Center, Kasetsart University Kamphaeng Sean Campus

4 August 2015 100

Seminar participants have expressed a lot of interest in the Three Stages Gasifier and exchanged their opinions and suggestions on the system. The results of the discussion are summarized as follows;

Three Stages Gasifier system should be improved technically in order to accommodatea wide range of biomass such as twigs, leaves, agricultural wastes, etc.

The government should provide more funds and increase adder for generating electricity from the system as encouragement.

Fast growing trees should be promoted in order to accommodate the expansion of biomass power plants and reduce deforestation.

The system should be developed with high performance, easy usage, and low investment for future dissemination.

10) The study summary reports were provided which include progress reports 2-5, final report, as well as all relevant documents as referred to in the project TOR.

In conclusion, the community and society have benefited greatly from the project in terms of renewable energy promotion and biomass management. However, the project may not attract much interest from private investors due to lack of financial worth. Therefore, if the government wants to encourage the private investors to participate in electricity generation from agricultural wastes, there are many appropriate measures which should be taken to promote and assist the investors such as subsidies to buy electricity from renewable


power plants, financial support in infrastructure investment, and the study and development of new high efficiency technologies.

I hereby certify that the information mentioned above is true and verifiable,and corresponds to academic principles.

Assoc. Prof. Prasert Rerkkriangkrai Project Director August 11, 2015

executive summary aumup - dede.go.th

Documents