Van partiële energiesystemen naar geïntegreerde energie

systemen

Workshop Groningen,

13 september 2013

Acknowledgment

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This project is supported by the European Commission

through the Seventh Framework Programme (FP7).

ENSEA – International North Sea

cooperation on Energy System Integration

ENSEA =

Interregional

cooperation

PlanningNetwerken

Environmental

Targets

Human

Capital

Education

Research

Governance

Investments

Programma

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1. Introductie ENSEA Koos Lok

2. Inleiding op ENSEA-thema’s:

- Offshore oil & gas infrastructure North Sea Koos Lok

- Power-to-Gas Catrinus Jepma

- Bio-Energy Luc Rabou

Pauze

3. Uitleg break-out sessies Catrinus Jepma

4. Break-out sessies in twee groepen

5. Samenvatting en vervolgstappen Catrinus Jepma

6. Afsluiting

Borrel

Introductie ENSEA

5 / 57

Wat is de doelstelling van de workshop vandaag?

- Formuleren wat er in Nederland, in het bijzonder Noord-Nederland,

rondom de Noordzee gebeurt en staat te gebeuren.

- Bespreken samenhang en inzet triple-helix.

- Van partiële energiesystemen naar geïntegreerde energiesystemen.

- Waar moet Nederland zich komende jaren op inzetten? Wat is een

geschikte rol voor Nederland?

- Discussies over concrete thema’s: Offshore infrastructurele

ontwikkelingen, Power-to-Gas en Bio-Energy.

Introductie ENSEA

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Wat is het ENSEA project?

- ENSEA richt zich op versterking van samenwerkingsverbanden in de

triple-helix.

- Samenhang creëren in netwerken, kennis en projecten op en rondom

de Noordzee.

- Inventariseren en identificeren van ontbrekende elementen aan

bijvoorbeeld de kenniskant, samenwerking private sector en de

governance structuren.

Introductie ENSEA

7 / 57

Concreet, waar praten wij over:

- Afspraken in de private sector.

- Kennisontwikkeling systeemintegratie.

- Netwerken en governance versterken (OSPAR 2018).

- Afstemming E&P belangen; verlengd onderhoud pijpleidingen.

- Power-to-Gas pilot op boorplatform in de Noordzee.

- Business case: transport elektriciteit door pijpleidingen d.m.v.

waterstof.

- Offshore pilot projects; schowcase.

Exploring the potential for optimal (re-)use of existing Oil & Gas infrastructure in the North Sea

ENSEA Regional Workshop for the Northern Netherlands, September 13 2013

Koos Lok (Energy Valley) & Janneke Pors (IMSA Amsterdam)

Contents

1. Objectives of study

2. Working hypothesis of study

3. Current and future North Sea energy developments

4. First exploration of some North Sea energy developments :

a) Decommissioning, b) Underground Gas Storage, c) Carbon Capture and Storage,

d) Electricity grid, e) Ecological reuse

5. Intended follow-up of study

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1. Objectives of study

Overall objective

• Explorative, science-based essay for EU policy-makers and a broad group of

North Sea (energy) stakeholders which aims to open a discussion on system

integration of energy infrastructure in the North Sea region in general and re-

use of Oil & Gas infrastructure in specific.

Research objectives

• Examine the role and potential of the North Sea to contribute to the transition

towards a renewable energy system in North-Western Europe?

• Describe the main current and future offshore energy developments in the

North Sea region and their objectives and functions

• Explore the potential to re-use existing oil & gas infrastructure and maximize

integration with (new) (renewable) energy infrastructure systems.

• Identify the main boundary conditions for feasibility of potential re-use and/or

system integration options

• Sketch the main pathways to stimulate and accelerate potential re-use and/or

system integration options

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2a. Working hypothesis: Drivers

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Fossil energy North Sea infrastructureRenewable energy

Significant role for gas in all energy scenarios

Declining gas production & increasing import dependency

CO2-reduction targets fossil energy

Declining O & G production North Sea

New energy business developments in North Sea region

Need for optimal use of existing infrastructure

Growing share of renewable energy

Intermittency issue of renewable energy

Need for optimal use of renewable, affordable energy

Need for flexible, reliable, affordable, low-carbon energy

Need for new business model for O&G

Diversification of gas carriers

Decommissioning obligations

Need for efficient investments in new infrastructure

3. North Sea energy developments

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NORTH SEA

UGS

UGS

P2GCCS

Wind

P2G

Piping

DCM

O&G

UGS

DCM

CCS

CCS

WindP2G

Grid

Pipelines

4a. Decommissioning (DCM)

• Decommissioning of offshore installations in the

North Sea is planned for years to come

because of economic depreciation and

depletion of oil & gas fields.

• O&G production until ca. 2040 and possibly

later as oil prices rise and combinations with

CCS increase the life time and productivity of

fields.

• 500-600 offshore installations (60-70 fields)

need to be abandoned and decommissioned

over the coming 20-40 years.

• OSPAR 98/3 demands full removal to shore

and disassembly, unless disused O&G

installations could have ‘another legitimate

purpose in the maritime area authorised or

regulated by the competent authority’.

• There are no international guidelines on the

decommissioning of disused pipelines. The

regulatory regime is currently left to individual

states.13 / 57

4a. Decommissioning: Dutch example

14 / 57

Source: EBN

So whether we like it or not …

4a. Decommissioning: Costs

• The technical costs of removing O&G

installations in the North Sea are estimated

at € 53 billion in the next 30 to 40 years.

• Some estimate costs at €100 billion.

• Costs are largely covered by governments

(50-80%) as a result of tax deduction & co-

ownership.

• These costs include the costs of removal of

jackets and topsides, plugging of wells and

cleaning of seabed.

• The costs of pipeline decommissioning are

not included and are currently estimated at

over £2bn (only UKCS) with the assumption

that trunk lines are left in place and other

pipelines are trenched and buried.

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4a. Decommissioning: Who pays the costs?

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Who pays for decommissioning costs?

e.g. cost estimate of jacket decommissioning: £ 10 billion

50-70%

~ 50%

50-70%

~ 80%

4b. Underground Gas Storage (UGS)

• The need for underground gas storage is driven by:

a. need for growing flexibility caused by the intermittency

of renewable energy sources.

b. need for supply security in case of an outage in a

major supply source (Oxford, 2013).

• Additional gas storage capacity demand in northwest

Europe is estimated at 13-20 billion m3 2030, depending

on gas scenario (De Joode, 2010).

• If approx. half of the currently known plans is met, this

would be sufficient in meeting future demand.

Realisation of many UGS plans, however, is currently

uncertain.

• Offshore storage is mainly suitable for large-scale,

seasonal storage and/or strategic storage.

• Of offshore locations partly depleted gas fields are the

most favourable locations, as they have proven to trap

gas and provide the possibility to use O&G infrastructure

and ‘native gas’ as cushion gas.17 / 57

4b. UGS: Role and benefits

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Role of gas storage

Strategic storage

Seasonal storage

Export & trade

Integration of

intermittent

renewable energy

Natural gas

Benefits of gas storage

Security of supply

Flexibility of supply

Cheap supply

Optimal use of

renewable energy

Hydrogen /

Methane

New business

model gas sector

4b. UGS: ‘Rough’ project

• The Rough gas field in the Southern North Sea was the world's first

offshore gas storage reservoir and is operational since 1985.

• The storage facility is built by British Gas and currently operated by

Centrica Storage.

• Rough is the largest gas storage facility in UK able to meet 10% of the

UK's winter peak day demand and representing around 75% of UK’s

current storage capacity.

• Excess summer supplies are injected into the reservoir, to be produced

during the winter to meet the peak demand.

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Figure: Rough facility

Field characteristics

Capacity 10% UK

peak use

Storage

capacity

2.8 BCM

Delivery

capacity

1.5 BCM

Field depth 2743 m

Distance to

shore

25 km

4c. Carbon Capture & Storage (CCS)

20 / 25

4c. CCS: Sleipner project

• The Sleipner field is the world’s first offshore CCS project. The facility is operational

since 1996 and will last until the accompanying gas field is depleted

• The natural gas of Statoil’s Sleipner field contains around 9% CO2, which is

removed and then injected into a geological layer below the Sleipner platform in the

central North Sea, 250 km from land.

• The CO2 is stored in a sandstone formation 1000 m below the sea floor, the Utsira

formation, and will stay there for thousands of years.

• One million tonnes per year is stored, roughly 3% of the Norwegian CO2 emissions

in 1990. Until now eight million tonnes of CO2 have been stored.

• The CCS technology was designed to fit on an offshore platform.

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4d. Electricity grid

• …..

22 / 57

4e. Ecological reuse of platforms: LINSI

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Ecological reuse of disused installations seems to be a

promising option. The Living North Sea Initiative aims to

contribute to improvement of the quality status of the North

Sea ecosystem:

1. By facilitating ecological reuse of redundant offshore

structures (protecting biodiversity hotspots);

2. By realising decommissioning cost-savings that will

partly be transferred to a North Sea Fund. A different

approach to decommissioning could reduce

decommissioning costs with GBP 4-10 billion (primarily

in the UK and Norway).

3. By creating a North Sea Fund that could invest in more

sustainable use of the North Sea, in long-term

monitoring programmes, in active creation and

maintenance of artificial reefs, etc.

4. By facilitating a stakeholder dialogue in which there is

room for e.g. improved marine spatial planning, enlarged

ecosystem protection zone and active measures to

restore certain habitats.

5. Intended follow-up of ENSEA study

24 / 57

The ENSEA North Sea study aims to start an

discussion about system integration of energy

infrastructure in the North Sea region in general and re-

use of Oil & Gas infrastructure in specific:

1. Analyse potential of North Sea to contribute to a

renewable energy transition in northwest Europe.

2. Explore options for reuse of existing energy

infrastructure and for system integration of energy

infrastructures.

3. Design pathways to develop criteria and to

optimise conditions for infrastructure reuse and

system integration.

4. Build a powerful North Sea coalition.

5. Develop pilots projects to show potential.

6. Realise decommissioning cost-savings that will

partly be transferred to a Infrastructure Fund

which could be used for adaptation of existing

infrastructure or creation of new energy

infrastructure.

ENSEA Regional Workshop for the Northern Netherlands,

September 13 2013

Catrinus Jepma (Energy Valley)

Power-to-Gas on and around the North Sea

Power-to-Gas

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Comparison of the interconnection options with

methanation

27 / 57

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Comparison of the efficiency chains for energy

storage with PtG

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PtG-efficiency chain utilising HT-electrolysis

30 / 57

Outlook

Stelling

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Rond de Noordzee zijn wij noch:

- technisch,

- juridisch,

- economisch,

- organisatorisch,

- op maatschappelijke acceptatie,

voldoende voorbereid op energie systeemintegratie.

Biomass contributionto a sustainable

energy future

Luc Rabou (ECN)

Groningen, 13 September 2013

Regions

[km2] [x 106 p] [toe/p/y]

UK 240000 62.7 3.4

Scotland 77000 5.3 3.9

[km2] [x 106 p] [toe/p/y]

Norway 365000 4.9 6.8

Rogaland 8600 0.46

[km2] [x 106 p] [toe/p/y]

NL 34000 16.7 5.2

EV 9700 2.4

[km2] [x 106 p] [toe/p/y]

Germany 348000 81.8 4.1

Ndr Sachsen 47600 7.9

Contents

• What is the problem?

• What is the solution?

• What has biomass to offer?

34 / 57

A rude analysis in 15 minutes

What is the problem?

There is no problem everyone agrees on

35 / 57

• We emit too much CO2

• We use too much energy

• We are too many

What is the solution?

There is no solution acceptable to everyone

36 / 57

• We emit too much CO2 => reduce use of fossil fuels

• We use too much energy => save energy

• We are too many => reduce population

(I told you this would be rude)

A healthy UK solution

37 / 57

For a more balanced and inspiring view, read

http://zerocarbonbritain.com

Biomass functions

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We need/want/use biomass a.o. for

• Food

• Timber & paper

• Clothing

• Protection of land & life

• Leisure

• Energy

Is there enough?

Focus on energy

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1 toe (ton oil equivalent) ≈ 42 GJ

≈ 11.6 MWh

≈ 1300 m3 Groningen natural gas

1 EJ = 1000 PJ

1 PJ = 1000 TJ

1 TJ = 1000 GJ

1 GJ = 1000 MJ

Some typical terms:

Energy use -- biomass production

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Country Land surface

area

Population Primary energy

consumption

Specific primary energy

consumption

[km2] [x 106 p] [PJ/y] [GWh/km2/y] [MWh/p/y]

Germany 348000 81.8 14100 11 48

Ndr Sachsen 47600 7.9 (~8)

United Kingdom 240000 62.7 8900 10 39

Scotland 77000 5.3 850 3 45

Netherlands 34000 16.7 3650 30 60

EV region 9700 2.4 (~15)

Norway 365000 4.9 1400 1 79

Rogaland 8600 0.46 (~3)

World 149000000 7200 532000 1 20

Expected biomass production capacity: 0.5 – 5 GWh/km2/y (waste land)

5 – 10 GWh/km2/y (prime agricultural land)

Biomass supply & demand 2050

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Biomass Assessment (2008)

Report 500 102 012

V. Domburg, A. Faaij, P. Verweij e.a.

Energy demand 600 – 1000 EJ/y

Biomass supply 100 – 500 EJ/y

Biomass demand 50 – 250 EJ/y

Demand limited by price

of competing options

Biomass versatility

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• Produce power

- prevent CO2 release from fossil fuel

- remove CO2 from atmosphere (CCS or biochar)

• Provide heat

• Provide biofuel for transport

• Replace oil & gas in C-chemistry

• Become H-carrier via P2G and/or 2nd generation biofuel

Biomass can/does

Uncertainties in power production

43 / 57

• Price of bio-energy vs other renewables

- what will be the ultimate cost per kWh

- when will that be available

• Central vs distributed energy generation

- cost of infrastructure & transport

- efficiency & cost advantages (scale effects)

- heat demand

If you do want to use biomass for power production

Biopower scenarios

44 / 57

Centralized Distributed

Hig

he

rco

st

Lo

we

rco

st

Lo

we

rco

st

tha

nn

on

-in

term

itte

nt

Bioenergy via co-firing

In the transition towards

sustainable energy biomass

is used for co-firing

Bioenergy as the back-up

Beats alternative non-

intermittent solutions on

price

Bioenergy is omni-present

Bioenergy continues to play

a key role for energy supply

on a district scale

Bioenergy as the back-up

Beats alternative local non-

intermittent solutions on

price

Pri

ce

bio

en

erg

yve

rsu

s (

no

n-)

in

term

itte

nt

alt

ern

ati

ve

s

Optimal energy-system design Northern Europe

Bioenergy is king

Bioenergy continues to play

a key role for energy supply

as the sustainable source

Bioenergy as a back-up

In regions where no other

non-intermittent sources are

economically available

Cost competition

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Wind & solar power are intermittent,

but have low marginal production costs

=> fossil fuel base load can’t compete, let alone biomass

Reliable power supply requires back-up capacity

(for seconds, minutes, hours, days, weeks, months, years)

Biomass for back-up power?

46 / 57

• Biomass is not an easy fuel you can switch on/off

=> not attractive for short back-up periods

=> winter back-up fits CHP

• Biomass derived fuels may fill short & long gaps

=> gas, oil or pellets

• Biomass plants may switch between products and power

(or even between power consumption and production)

Open questions

47 / 57

• How much (surplus) intermittent capacity is affordable?

• Is regulating demand an economically and socially

acceptable solution?

• What is the optimal load for non-intermittent solutions to

reach lowest system cost?

• Who will provide/pay for storage and back-up capacity?

• How to make optimal use of existing infrastructure in the

period of transition?

Can it happen?

48 / 57

Some renewables may become cheap,

but a reliable energy supply will be expensive

Public support is mandatory

=> community action & local involvement

Stelling

49 / 57

De rol van biomassa als flexibele back-up voor

fluctuerende bronnen als wind en zon moet worden

vervuld door gas, hydro en batterijen.

Biomassa kan beter ingezet worden voor

toepassingen binnen:

- groene chemie,

- gebruik voor mobiliteit

Pauze

50 / 57

Uitleg Break-out sessies

51 / 57

Verdeling in twee groepen:

- Offshore infrastructure; Green Decommssioning

en Power-to-Gas.

- Bio-Energy

Uitleg Break-out sessies

52 / 57

- Waarom break-out sessies? In kaart brengen van sterktes en zwaktes

(Noord) Nederland t.a.v. de thema’s.

- Ideale uitkomsten: Concrete formuleringen van sterktes en zwaktes.

- Verwerking van de uitkomsten: Worden interregionaal verbonden om

internationaal discussie op gang te brengen. Bepalen wie welke rol

kan spelen binnen systeemintegratie rondom de Noordzee. In

samenhang met de andere workshops worden contouren bepaald

voor de te ondernemen acties; Joint Action Plans.

- Invulling van de sessies: Discussie over één stelling gericht op vier

aspecten; netwerken, uitvoering/toepassing, ‘human capital’ en

belang/maatschappelijke acceptatie.

Uitleg Break-out sessies

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- Green Decommissioning en Power-to-Gas

- Stelling: Rond de Noordzee zijn wij noch technisch, juridisch,

economisch, organisatorisch, op maatschappelijke acceptatie

voldoende voorbereid op energie systeemintegratie.

- Samenwerking en organisatie binnen triple-helix ontbreekt.

- Er bestaan geen adequate (reken)modellen op basis van

systeemintegratie.

- Er is een gebrek aan ‘human capital’ voor uitvoering van de thema’s.

- Belang van de Noordzee als hot-spot voor de duurzame

energietransitie vanuit geïntegreerd systeem denken is niet goed

bekend.

Uitleg Break-out sessies

54 / 57

- Bio-Energy

- Stelling: De rol van biomassa als flexibele back-up voor fluctuerende

bronnen als wind en zon moet worden vervuld door gas, hydro en

batterijen. Biomassa kan beter ingezet worden voor groene chemie,

mobiliteit etc.

- Geen sterke netwerken op thema biomassa.

- Geen overeenstemming op de toepassing van biomassa in een

geïntegreerd energiesysteem.

- Er is een gebrek aan ‘human capital’, o.a. op kennisniveau.

- Is de PR op het thema biomassa wel sterk genoeg? Invloed op het

landschap, concurrentie met voedsel etc. Is sociale acceptatie over

zijn hoogtepunt?

Samenvatting en vervolgstappen

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- Uitkomsten van de break-out sessies

- Uitkomsten in relatie tot het ‘Joint Action Plan’.

Afsluiting

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