Power Air Quality Insights No

· Top Ten Air and Water Monitoring Companies Have 21 Percent of the Total Market

· Holistic Program for Solution to Coal-fired Power Plant Environmental Problems

· “Mercury Measurement and Control” is the Subject of the “Hot Topic Hour” on Thursday, March 28, 2013 at 10 a.m. (CDT)

Top Ten Air and Water Monitoring Companies Have 21 Percent of the Total Market

The top ten companies in the air and water monitoring market had 2012 revenues of $4.4 billion representing 21 percent of the $21 billion market. This ranking analysis has just been posted to the McIlvaine report, Air & Water Pollution Monitoring World Markets. (www.mcilvainecompany.com)

Top Ten Air and Water Monitoring Companies
Company	Ranking
Emerson	1
Endress + Hauser	2
Thermo Fisher	3
Horiba	4
Yokogawa	5
Xylem	6
Siemens	7
Mettler Toledo	8
Invensys	9
ABB	10

The market share for the top five companies is 17 percent and only 4 percent for the next five companies. There are many thousands of companies participating in this market with sales of less than $100 million. The total market includes those companies providing periodic sampling. They often consist of a handful of people with a modest investment in portable test equipment.

At the other end of the spectrum is Emerson which has complete automation systems for air and water monitoring and control. It is also a major supplier of combustion analyzers including oxygen and carbon monoxide. The forecasts include distributed control systems and PLCs used in the monitoring process. For this reason the top ten list includes not only Emerson but Yokogawa, Siemens, Invensys and ABB.

Endress + Hauser and Thermo Fisher have the widest assortment of instruments, but they are not at the top of the rankings because they do not supply extensive software.

The automotive test system portion for Horiba is included because it is centered on measuring the impurities in the gas discharged from engines. This is a substantial portion of Horiba sales and, thus, elevates the company to the top ten rankings.

Yokogawa is a $4 billion company. It is a world leader in the sales of DCS systems. It supplies both air and water instrumentation. Its software revenues were just increased by the acquisition of Soteica. The acquired company provides optimization systems for controlling greenhouse gases, NO_x and other pollutants.

Holistic Program for Solution to Coal-fired Power Plant Environmental Problems

The battle over energy and the environment is mostly caused by confusion over values. A common metric to rate all harm will lead to agreement on a program which will:

Europe is moving away from gas and back to coal through reliance on ultrasupercritical coal-fired power plants and renewables. In the U.S. we enjoy lower gas prices, but the reality is that gas prices locally will eventually reach world levels. EIA anticipates this increase and is forecasting that U.S. consumption of coal in 2035 will be higher than consumption in 2012 and near the levels of 2008.

Over the next twenty-five years, the U.S. will operate the oldest coal fleet in the world. Even with compliance to all standards, these power plants will emit three times the pollutants emitted by new power plants. They will burn 30 percent more coal and the cost to operate them will be more than the depreciated cost of new power plants.

A common metric to measure all harm means that a numerical comparison can be made between alternative strategies and the path with the biggest harm reduction at the least cost can be chosen. All pollutants can be rated based on equivalent tons of CO₂ as per the following example:

This ratio is already established by EPA in its cost/benefit analyses for various rules. The relative values can be debated and a new consensus established. A tool called Quality Enhanced Life Days (QELD) can be used to help set this consensus.

Power plant operators are most concerned by what they call the Franken MACT. The threat of sequential regulation of each harm individually causes confusion and potentially exorbitant costs. So consensus on a program for total harm reduction will result in clarity and cost reduction.

The most overlooked economic statistic is that a new supercritical coal-fired power plant will be the low cost option even if it is operated for only twenty-five years. This means that the staunchest anti coal environmentalists will not be deterred from their 2050 goals.

Here is the total harm comparison between the present coal-fired fleet with all the proposed new controls and new supercritical coal-fired power plants:

Harm in Tons of Equivalent CO₂ for the U.S Coal Fleet Billions of Tons Per Year
Pollutant	Existing Coal Plants Upgraded to Meet New Standards	New Super-Critical Coal-fired Power Plants
Air Toxics	1	0.1
PM_2.5	0.5	0.05
SO₂	0.9	0.09
NO_x	0.4	0.1
CO₂	1.7	1.2
Water	0.5	0.2
Soil	0.5	0.2
Total	5.5	2.2

Replacement of the old power plants with new ones would reduce harm by the equivalent of 3.3 billion tons of CO₂ per year. China has built more supercritical power plants in the last five years than would be needed to replace the entire U.S. fleet. These plants have the latest NO_x and SO₂ removal equipment, so it is not just Europe who is showing why the program is possible.

· A national plan which takes into account local concerns, but is not hostage to them

Dialog between all the different parties can be meaningful when addressing specifics such as the comparison of harm for specific pollutants. So it is possible to achieve some consensus regarding harm values.

A national plan has to balance protection of individuals locally affected with the common interest. But guidelines will have to be set as to what constitutes a legitimate concern. These guidelines will need to be universally applied rather than on a case by case basis. (The common metric for harm can be applied here as well.)

If a plan is implemented which assures investors that the regulations for the next twenty-five years will not be drastically changed without compensation, then the funds for a massive replacement of U.S. coal-fired power plants will be readily available. The result will be a reduction in the deficit and a more competitive position in the world market.

The market for filters used to treat indoor air will be rise to over $6.7 billion this year. Market growth is in part due to the upgrading of filtration quality. This is the conclusion reached by the McIlvaine Company in Air Filtration and Purification World Markets. (www.mcilvainecompany.com)

There has been a steady penetration of the medium efficiency M5-6 F7-9 filters into the residential and commercial markets. This efficiency segment is now three times larger than the low efficiency G1-4.

Now there is a trend for the high efficiency H10-17 to expand at the expense of the medium efficiency filters. One of the biggest applications for this conversion is gas turbine intakes. A March McIlvaine webinar included as part of the report documents the lower maintenance and longer operation of gas turbines when high efficiency inlet filters are purifying the combustion air. These filters cost as much a 400 percent of the medium efficiency filters, but the return on investment (ROI) has been a matter of weeks in some cases.

The speakers pointed out that the economic advantage is site specific. If the turbine is going to operate only on peaking service or is operating in a pristine environment, the high ROI may not be achieved.

Another upgrade trend has been to replace the conventional particulate filter with a filter which removes both particulate and gas phase contaminants. The addition of an activated carbon coating on the filter will result in odor and acid gas capture.

Electronic air filters which are included in the report are those which have air intake and discharge. The report does not include the portable ionizing filters which are popular but greatly handicapped by the air flow patterns in the area. The duct based electronic filters are popular with owners of large residences and commercial buildings. The periodic filter replacement is eliminated.

Media developments such as membranes and nanofibers continue to offer better efficiency at equivalent pressure loss. In semiconductor facilities, the energy consumed by the filters is a significant percentage of the total plant requirement.

For more information on Air Filtration and Purification World Markets, click on:

Transmission lines are the key to moving renewable energy to market. New projects are often located far from demand centers creating a need for new transmission lines. McIlvaine tracks these developments in Renewable Energy Projects and Update.

The Electric Reliability Council of Texas (ERCOT), grid operator for most of the state, set a new wind record on November 10, 2012.

Wind power output reached 8,521 MW at 10:21 a.m. This represented nearly 26 percent of system load at the time and surpassed the previous instantaneous record, set the evening of June 19, 2012, by more than 150 MW.

“We have surpassed previous wind power records several times this year,” said Kent Saathoff, ERCOT’s Vice President of Grid Operations and System Planning. “While added capacity is one reason for this growth, experience and improved tools also are enabling ERCOT to integrate this resource into the grid more effectively than ever before.”

Nearly, 7,000 MW of the new record included wind power from West Texas wind farms, followed by more than 1,100 MW from wind farms along the Texas Coast.

ERCOT has more than 10,000 MW of wind power capacity, with nearly 21,000 MW of additional wind generation under review. The completion of high-voltage transmission projects in Competitive Renewable Energy Zones by the end of 2013 will improve ERCOT’s ability to move wind power from West Texas to the metropolitan areas where demand on the grid is highest.

ITC Holdings Corp. (ITC) announced the ITC Great Plains Expansion Project — the latest example of the company’s leadership in identifying innovative solutions to the nation’s electric transmission needs.

The ITC Great Plains Expansion Project plan was developed through more than a year of extensive study of regional needs. It identifies and proposes a package of high-voltage electric transmission projects designed to relieve system constraints impeding the export of excess energy capacity inter-regionally. The five projects involve seven states and more than 2,700 miles of new transmission line. This AC-based approach reflects the interconnectivity of the power grid and provides a solution to integrate a variety of energy sources, enhance overall grid reliability and provide flexibility and optionally throughout the Southwest Power Pool (SPP) regional transmission organization footprint.

Developed by ITC Great Plaines, LLC, a subsidiary of ITC Grid Development, the ITC Great Plains Expansion Project proposal involves five primary 345 kV AC transmission lines consisting of multiple west-to-east segments originating in Nebraska, Kansas, Oklahoma and Texas, and terminating in Iowa, Missouri and Arkansas. The project plan aligns with one or more of the ITP20 Planning Futures for which SPP (a regional transmission organization) recently issued a request for projects. ITC Great Plains submitted this proposal into the SPP ITP20 planning process and SPP will enter the draft project portfolio into its ongoing planning analysis and stakeholder review process. ITC Great Plains will work with SPP and other stakeholders in the SPP Integrated Transmission Planning (ITP) process, and other associated planning processes, to highlight the benefits for customers associated with these projects.

The ITC Great Plains Expansion Project provides a framework for relieving constraints in the underlying system for exporting energy from the western part of SPP to load centers east of the SPP footprint. The proposed transmission lines follow these general routes:

Arista Power, Inc., a manufacturer designer, and integrator of renewable energy generation, management, and distribution systems, announced that it has been awarded a $909,000-U.S. Army contract to complete Phase Two development of the new “Intelligent Scalable Micro-Grid.”

The order recognizes Arista Power’s successful completion and delivery of Phase One of the multi-phase program for the development of an “Intelligent Micro-Grid” that is being designed to seamlessly integrate both renewable and traditional energy sources to provide the scalability and automatic operation needed to deliver reliable power in remote areas where military operations are taking place which require a broad spectrum of energy needs and applications in order to minimize the use of fossil fuels and save lives by reducing the need to transport diesel fuel.

Arista Power, the prime contractor of this project, is developing the Intelligent Scalable Micro-Grid under the guidance of the U.S. Army Communications-Electronics Research, Development and Engineering Center (“CERDEC”).

Under Phase One of the program, Arista Power delivered the initial intelligent micro-grid to the U.S. Army and demonstrated the system at the Pentagon during the Pentagon Energy Security Event from October 2 through October 4, 2012. Phase two of the program is to further develop the capacity, scalability, and energy behavior management capabilities, of the Intelligent Micro-Grid. The program has options for CERDEC to provide additional funding for continued development upon the successful completion of Phase Two.

Secretary of the Interior Ken Salazar has approved construction of the transmission line for First Solar’s Campo Verde Solar energy project, which will cross public lands southwest of El Centro, CA.

The 139-MW solar energy project is expected to support more than 250 jobs through construction and operations, generate $17.5 million in local tax revenue over the life of the facility, and provide an estimated $239 million of financial benefits to local, county and state economies. At full capacity, when built, the Campo Verde Solar facility will produce enough electricity to power 41,700 homes.

Electricity from the Campo Verde photovoltaic plant will be transmitted to the San Diego Gas and Electric’s Imperial Valley Substation. The Campo Verde facility is located on about 1,443 acres of previously-developed, privately-owned land southwest of El Centro, CA. Interior, who has only authority over the section of the transmission line on federal lands, approved the right-of-way for 17 acres for the power line on public land, and Imperial County authorized the solar power plant on August 27, 2012. Because the development on private land is related to the federal Right-of-Way for the transmission line and the transmission line cannot cross public lands without Interior approval, the Environmental Assessment had to consider the cumulative impacts of the generation project in its analysis of the transmission proposal.

The Windreich Group, which is comprised of British Wind Energy GmbH and TenneT TSO GmbH, has signed an agreement for the production of a temporary grid connection of the offshore wind farm, “Deutsche Bucht.” Subsequently, the wind farm Deutsche Bucht will be connected to the already-commissioned grid connection, BorWin2 by TenneT to serve as a temporary solution in order to generate power until the originally-intended wind farm grid connection, BorWin4, is completed. While BorWin4 is still in the tendering phase, BorWin2 is already under construction with a total capacity of 800 MW. The primary legitimate offshore wind farms are Veja Mate and also the 400-MW wind farm Global Tech I initiated by Windreich AG. After the grid connection BorWin4 is completed, the wind farm Deutsche Bucht in 2015 is secured, reckons Dipl.-Wirt.-Ing. (FH) Willi Balz. The CEO of Windreich AG states, “Our common interest in contract negotiations was to successfully contribute to the implementation of the energy transition, to which billions of Euros have been invested from both companies, respectively.” Lex Hartman, a member of the Board of TenneT also stresses, “We want to promote the development of offshore wind energy, so that the objectives of the energy transition can be achieved. I am therefore delighted that together with Windreich AG, we have quickly and constructively found a pragmatic solution for the wind farm Deutsche Bucht.

“Mercury Measurement and Control” is the Subject of the “Hot Topic Hour” on Thursday, March 28, 2013 at 10 a.m. (DST)

NOTE: Because of the great interest in this subject and the number of persons that desired to make a presentation, we have scheduled three “Hot Topic Hours” on “Mercury Measurement and Control” on March 28^th, April 11^th and April 18^th. Persons that register for the first or second session will automatically be registered for the following sessions.

Late in December of 2012, the U.S. EPA released the final “Utility MACT” rule also referred to as the “Mercury and Air Toxics Standards” (MATS) rule establishing mercury and air toxics standards for coal- and oil-fired electric generating units (EGUs) larger than 25 MW. Although several groups have filed lawsuits challenging various parts of the rule, the court has not stayed it. Therefore, all existing EGUs will have three years to comply with the standards although the rule allows states to grant specific units an additional year for equipment installation.

The mercury emission limits imposed by MATS on coal- and oil-fired boilers are very low. So low that it is questionable whether or not the required reductions can be achieved in all cases given the constraints imposed by reducing other pollutants simultaneously. Many also believe that it may be very difficult to measure mercury reliably and accurately to determine and prove what removal efficiency is actually being achieved.

Control of mercury emissions from coal-fired boilers is currently achieved via three general broad methods: use of coals with low mercury content along with coal prep or washing, activated carbon injection (ACI), and various multi-pollutant control technologies in which Hg capture is enhanced in existing control devices for SO₂, NO_x, and particulates. Multi-pollutant methods include capture of Hgpin PM control equipment and soluble oxidized Hg compounds in wet flue gas desulfurization (FGD) systems. SCR NO_xcontrol systems are also used to enhance oxidation of elemental Hg⁰in flue gas to increase the mercury removal in a wet FGD.

The overall scheme of air, water and waste disposal regulations such as CSAPR, NAAQS, 316a/b and RCRA will make it even more difficult to develop a strategy and select the most appropriate method for mercury control. An integrated approach that considers how to capture mercury as well as other pollutants and dispose of them in an environmentally friendly manner will be necessary.

The following speakers will help us understand the current situation relative to the monitoring and control of mercury from coal- and oil-fired power plants and address the key issues to be considered when developing the optimum strategy to achieve compliance with the MATS; discuss potential control technologies available for operators to achieve compliance and the advantages and disadvantages of the various control technologies as well as criteria for selecting specific technologies – existing facility configuration, existing control equipment installed, fuel type and others; present the multi-emission control technologies available and under development with their applicability, capabilities and limitations and any other alternatives available to achieve compliance with the Utility MATS.

Sharon Sjostrom, P.E., Vice President, Technology, ADA-ES LLC, will present an overview of important considerations for achieving MATS compliance for mercury. Achieving consistent MATS compliance for mercury requires an integrated approach to plant operations. Fuel choices, boiler operations and technology choices for criteria pollutants and HAPS will affect mercury control and the ability to meet future regulations associated with ash and water.

Dr. James Staudt, PhD, President, Andover Technology Partners, will discuss the issues facing utility boilers, industrial boilers and Portland cement kilns that need to measure and control Hg emissions. Topics to be addressed include:

· a comparison of continuous mercury monitor measurement data for sorbent traps and analyzers,

Bobby I.T. Chen, Client Program Manager, Integrated Emissions Solutions, at CB&I Shaw Environmental, will present “EMOTM+HL, Total MATS Compliance Solution”. There are critical reasons to enhance mercury oxidization using CB&I’s technology because controlling mercury (Hg) emission from the coal combustion process is best achieved through a two-stage process. The first stage is to promote the mercury oxidization at the combustion chamber outlet. The second stage is to provide a means of absorbent to capture the oxidized mercury. On numerous of CB&I’s field EMO trials, EMO has been proven to achieve 90 percent plus Hg oxidization, thus facilitates the downstream AQCS Hg control efficiency. Furthermore, EMO was also found to be the most cost-effective way of controlling stack Hg.

Volker Schmid, PhD of Clean Air Engineering, will present “Mercury Compliance Monitoring in 2015 and Beyond.” Monitoring mercury at the concentration levels specified by the new PC MACT and EGU MATS rules will be challenging for the cement and electrical utility industries, respectively. We present the case for using sorbent traps as the preferred alternative for mercury compliance monitoring for many of the facilities impacted by these requirements.

To register for the March 28, 2013 “Hot Topic Hour” on Mercury Measurement and Control – Part 1 at 10 a.m. (DST) and on Mercury Measurement and Control – Part 2 on April 11, 2013 at 10 a.m. (DST) and Mercury Measurement and Control – Part 3 on April 18, 2013 at 10 a.m. (DST), click on: http://www.mcilvainecompany.com/brochures/hot_topic_hour_registration.htm.

§ Wood Group consolidates Gas Turbine Repair Centers

On Thursday at 10 a.m. Central time, McIlvaine hosts a 90 minute web meeting on important energy and pollution control subjects. Power webinars are free for subscribers to either Power Plant Air Quality Decisions or Utility Environmental Upgrade Tracking System. The cost is $125.00 for non-subscribers. Market Intelligence webinars are free to McIlvaine market report subscribers and are $400.00 for non-subscribers.

	2013
Date	Subject
March 21	Industrial Boiler MACT Impact and Control Options – Part 1	Power
March 28	Mercury Measurement and Control – Part 1	Power
April 4	Industrial Boiler MACT Impact and Control Options – Part 2	Power
April 11	Mercury Measurement and Control – Part 2	Power
April 18	Mercury Measurement and Control – Part 3	Power
April 25	Control Technologies for Fine Particulate Matter	Power
May 2	Flyash Pond and Wastewater Treatment Issues	Power
May 9	Clean Coal Technologies	Power
May 16	Power Plant Automation and Control	Power
May 23	Cooling Towers	Power
May 30	Air Pollution Control Markets (geographic trends, regulatory developments, competition, technology developments)	Market Intelligence
June 6	Report from Power-Gen Europe (update on regulations, speaker and exhibitor highlights)	Power
June 13	Monitoring and Optimizing Fuel Feed, Metering and Combustion in Boilers	Power
June 20	Dry Sorbent Injection and Material Handling for APC	Power
June 27	Power Generation Forecast for Nuclear, Fossil and Renewables	Market Intelligence
July 11	New Developments in Power Plant Air Pollution Control	Power
July 18	Measurement and Control of HCl	Power
July 25	GHG Compliance Strategies, Reduction Technologies and Measurement	Power
August 1	Update on Coal Ash and CCP Issues and Standards	Power
August 8	Improving Power Plant Efficiency and Power Generation	Power
August 15	Control and Treatment Technology for FGD Wastewater	Power
August 22	Status of Carbon Capture and Storage Programs and Technology	Power
August 29	Pumps for Power Plant Cooling Water and Water Treatment Applications	Power
Sept. 5	Fabric Selection for Particulate Control	Power
Sept. 19	Air Pollution Control for Gas Turbines	Power
Sept. 26	Multi-Pollutant Control Technology	Power

Harm in Tons of Equivalent CO₂
Pollutant	Tons of CO₂ Equivalent Per Ton Emitted
CO₂(air)	1
SO₂ ( air)	100
Mercury (air)	10.000,000
Water usage in drought area	0.1
Landfill Depletion	0.001
TSS (water)	100


Subject	2013
Electronic	621
G 1-4	1,064
Gas Phase	775
H 10-17	952
M 5-6, F 7-9	3,376
Total	6,788

§ Wood Group consolidates Gas Turbine Repair Centers