$30 Billion Per Year to Be Spent For Carbon Capture and Sequestration
The direct expenditure to capture and sequester CO2 for the purpose of reducing
greenhouse gas emissions from coal-fired power plants will be less than $30
billion/yr over the next five years. However, the expenditures for efficiency
improvement from existing coal-fired boilers will result in a total market in
excess of $30 billion/yr. This is the conclusion reached in the continually
updated Utility CO2 Mitigation Markets published by the McIlvaine Company.
(www.mcilvainecompany.com)
The cost of CO2 capture, treatment, transport and sequestration more than
doubles the cost of coal-fired electricity generation. The parasitic power is
such that even if 90 percent of the CO2 is captured, the net reduction of CO2
per MWh is only 70 percent.
Generation Type Relative CO2 Most Cost Effective
Conventional coal 100% base
Supercritical coal 70% 1
Combined cycle 50 + 10 = 60 2
Carbon capture and sequestration - coal 30 2-6
Carbon capture and sequestration with biomass and coal Minus 20 to plus 30 4
Solar, wind nuclear 5 3-6
The most cost effective way to reduce greenhouse gases is to convert all
coal-fired power plants to supercritical operation. The investment cost is more
than offset by reductions in coal purchases. Combined cycle power plants will be
the second most attractive option in some parts of the world where gas is
plentiful. However, methane emissions are a variable. Over one hundred years,
methane is only twenty-nine times more potent than CO2, but over the first
twenty years, it is one hundred times more potent. The cumulative impact is a
function of losses in extraction and transport. Carbon capture and sequestration
with beneficial use for enhanced oil recovery is very cost effective. The
problem is that most coal-fired CO2 generation is not close to where enhanced
oil recovery is needed.
Solar, wind and nuclear are subject to cost variables. Sites with strong winds
or lots of sunshine and sites near the users are more cost effective than
others. Cost overruns with nuclear power plants under construction are adding
some uncertainty to the nuclear cost.
Presently, sequestration without beneficial use is the most costly option. It
can also be the most effective. If substantial amounts of renewable biomass are
burned along with the coal and then the exhaust is sequestered, the net effect
can be a reduction in greenhouses gases for every unit of electricity generated.
For more information on Utility CO2 Mitigation Markets: click on:
http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/87-n058
Market for Electrostatic Precipitators Will Exceed $9.7 Billion In 2015
Sales of electrostatic precipitator systems will be just under $10 billion next
year. Most of the sales will be in Asia. This is the conclusion reached by the
McIlvaine Company in Electrostatic Precipitator World Market.
(www.mcilvainecompany.com)
($ Millions)
Continent 2015
Total 9,766
Africa 105
America 1,034
Asia 7,778
Europe 849
The continued rapid expansion of coal-fired power in Asia will raise the
purchases on this continent to over $7.7 billion next year. Asia will also be
purchasing substantial numbers of precipitators for mining, cement and pulp mill
applications.
A substantial potential exists in the U.S. for wet precipitators. One reason is
that U.S. EPA has defined total particulate to include discrete particles plus
condensed droplets. Dry collectors operating at 350oF will not capture
condensibles since they are still in the vapor stage. If the gas is cooled and
the droplets formed, a wet precipitator is then a very efficient collection
device.
Another potential is the use of wet precipitators in conjunction with wet
scrubbers to compete with dry scrubbers combined with fabric filters. Many old
coal-fired power plants in the U.S. are rejecting the widely used wet limestone
forced oxidation scrubbing system. This system makes wallboard quality gypsum
using a low cost reagent. Life cycle costs over twenty-five years are
attractive. However, the high capital cost makes the option expensive if the
remaining plant life is only ten years.
One lower cost option is dry scrubbing followed by fabric filtration. Lime is
the reagent. So the operating costs are higher than with limestone. Another
option is to replace the existing precipitator with a scrubber followed by a wet
precipitator. The scrubber will operate in the natural oxidation mode. Lime is
the reagent. The soupy sludge is chemically fixed resulting in a superior
landfill product. One attractive feature of this option is the removal of the
toxic metals from the environment.
For more information on Electrostatic Precipitator World Market, click on:
http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/111-n018
$2 Billion Market for Thermal Air Pollution Control Systems In 2015
World sales of regenerative thermal oxidizers (RTO), catalytic oxidizers,
regenerative catalytic oxidizers (RCO) and other thermal systems will exceed $2
billion in 2015. This is the conclusion reached by the McIlvaine Company in
Thermal Catalytic World Air Pollution Markets. (www.mcilvainecompany.com)
($ Millions)
Subject 2015
Total 2,021
Catalytic Oxidizer 462
RCO 80
RTO 965
Thermal 514
Volatile organic compounds and other combustive gaseous pollutants are found in
a wide range of industries. These have been categorized by their U.S. NAICS
Code.
• 211111 - Crude Petroleum and Natural Gas Extraction 原油和天然气开采
• 212000 - Mining & Quarrying
• 221112 - Fossil Fuel 化石燃料
• 221119 - Other Electric Power Generation 其它形式发电
• 311320 - Chocolate and Confectionery Manufacturing
• 311811 - Retail Bakeries
• 311920 - Coffee and Tea Manufacturing
• 311999 - All Other Miscellaneous Food Manufacturing
• 313320 - Fabric Coating Mills
• 323112 - Commercial Flexographic Printing
• 324110 - Petroleum Refineries 石油精炼
• 325110 - Petrochemical Manufacturing 石化产品生产
• 325120 - Industrial Gas Manufacturing
• 325193 - Ethyl Alcohol Manufacturing
• 325199 - All Other Basic Organic Chemical Manufacturing
• 325412 - Pharmaceutical Preparation Manufacturing
• 325998 - All Other Miscellaneous Chemical Product and Preparation
• 326121 - Unsupported Plastics Profile Shape Manufacturing
• 326140 - Polystyrene Foam Product Manufacturing
• 327215 - Glass Product Manufacturing Made of Purchased Glass
• 331111 - Iron and Steel Mills
• 332431 - Metal Can Manufacturing
• 333618 - Other Engine Equipment Manufacturing
• 334412 - Bare Printed Circuit Board Manufacturing
• 334413 - Semiconductor and Other Electronic Component Manufacturing
• 335312 - Motor and Generator Manufacturing
• 335991 - Carbon and Graphite Product Manufacturing
• 336111 - Automobile Manufacturing 汽车制造
• 336112 - Light Truck and Utility Vehicle Manufacturing
• 336120 - Heavy Duty Truck Manufacturing
• 336399 - All Other Motor Vehicle Parts Manufacturing
• 336992 - Military Armored Vehicle, Tank, and Tank Component
• 339993 - Fastener, Button, Needle, and Pin Manufacturing
• 561910 - Packaging and Labeling Services
• 562213 - Solid Waste Combustors and Incinerators
• 562910 - Remediation Services
• 713930 - Marinas
• 811121 - Automotive Body, Paint, and Interior Repair and Maintenance
Each of these industries utilizes thermal treatment for control of air
pollutants. Included in the mining sector is thermal treatment of ventilation
air from coal mines. The solid waste sector includes sewage sludge where
regenerative thermal oxidizers are now used.
For more information on Thermal Catalytic World Air Pollution Markets, click on:
http://home.mcilvainecompany.com/index.php/markets/2-uncategorised/105-n007
Renewable Energy Briefs
Enel Green Power Begins Work on New Wind Farm in Mexico
Enel Green Power has begun construction on the new Dominica I wind farm in
Mexico.
The plant, located in the municipality of Charcas and owned by Dominica Energía
Limpia S. de R.L., a subsidiary of Enel Green Power Mexico S. de R.L. de C.V.
(formerly known as Impulsora Nacional de Electricidad S. de R.L. de C.V.) is the
first wind farm located in the state of San Luis Potosí and will be composed of
50 turbines (2 MW each) for a total installed capacity of 100 MW.
Once up and running, the Dominica I plant, which will be completed and enter
operation in the second half of 2014, will be able to generate up to 260 GWh per
year.
The construction of the wind farm, in line with the growth targets set out in
Enel Green Power’s 2013-2017 business plan, requires a total investment of
approximately $196 million, financed through the Enel Green Power Group’s own
sources.
The project is supported by two long-term agreements to supply energy, or PPAs,
for a total value of around $485 million.
Enel Green Power currently has an installed capacity of about 197 MW in Mexico,
144 MW of which from wind power and 53 MW from hydroelectric sources.
Nordex has Contracts for 37.6 MW of Wind Power in Turkey
In the fourth quarter of 2013, the Nordex Group was awarded three new contracts
for a combined capacity of 37.6 MW in Turkey. Included in these are the first
six N117/3000 generation Delta turbines for this growth market. The second
contract also marks a new development as it is the first time that a customer
from Turkey has ordered four N117/2400 light wind turbines.
In summer 2014, Nordex will be supplying six of its N117/3000 turbines for the
18-MW Cesme RES project, which is located on a peninsular close to Izmir. Nordex
only launched the N117/3000 in spring 2013. This turbine is specifically
designed for medium-strong wind conditions and will achieve an above-average
capacity factor of over 38 percent at Cesme RES. The customer and future owner
of the wind farm is ABK Cesme Enerji Üretim A.S., which is already active in
renewable energies.
Named Aliaga RES, the second project is also located in the Izmir region and
comprises four N117/2400 turbines. However, with average speeds of 7.0 m/s, this
location has IEC III wind conditions. Even so, this wind farm will also reach a
capacity factor of around 36 percent thanks to its technical configuration. The
investor here is Akca Holding, with activities in textile, energy, food and
automotive sectors, committed to sustainable business operations. Construction
is scheduled for summer 2014.
In addition, returning customer Karesi Enerji has placed an order with Nordex
for four N100/2500 turbines to extend the 45-MW Akres wind farm. Installed by
Nordex in 2011, the farm currently has 18 N90/2500 turbines.
First Solar Breaks Ground on 102 MW Nyngan Solar Project
First Solar has begun construction of Australia's largest utility-scale solar
project, a 250 hectare solar plant in Nyngan, New South Wales (NSW). Less than
six months after AGL Energy Limited achieved financial close for project, First
Solar broke ground on the installation of approximately 1,350,000 advanced
thin-film photovoltaic (PV) modules.
In addition to construction, First Solar is also providing engineering and
procurement services for the project and will provide maintenance services for a
period of five years post commissioning. Expected to be completed in mid-2015,
the project will produce 102 MWAC — enough electricity to power more than 33,000
average NSW homes.
EAWC Technologies on the Verge of Signing Waste to Energy Contracts Valued at
$200 Million
Eurosport Active World Corporation (EAWC) Technologies's Research Center is on
the verge of concluding $200 million-worth of contracts to supply clean power
plants that run on liquid and solid waste.
As recently published in Bloomberg's website EAWC's mandated Swiss Water Tech
Research & Development Centre (SWATE) based in Neuchatel (Switzerland), has
received Letters of Intent (LoIs) from the Punjabi State Government as well as
from several textile and waste-management companies for the provision of
innovative and efficient Waste to Energy (WtE) systems. Those LoIs are now on
the verge of being concluded as contracts.
The Cove Fort Geothermal Power Plant Starts Operations in Utah
Enel Green Power completed and connected to the grid the Cove Fort geothermal
power plant, its first plant in the State of Utah (USA).
Cove Fort is a medium-enthalpy geothermal plant, which uses innovative binary
cycle technology. The facility is owned by Enel Cove Fort, LLC, a subsidiary of
EGPNA Development Holdings, LLC.
The installed capacity of the Cove Fort geothermal plant amounts to 25 MW. The
operating facility will be able to generate up to 160 GWh of power per year,
therefore avoiding the emission of around 115,000 tons of CO2 into the
atmosphere each year.
Construction of the plant, in line with the growth targets set by Enel Green
Power’s 2013-2017 Business Plan, required a total investment of approximately
$126 million, financed through the Enel Green Power Group’s own sources.
For more information on Renewable Energy Projects and Update please visit
http://www.mcilvainecompany.com/brochures/Renewable_Energy_Projects_Brochure/renewable_energy_projects_brochure.htm
Headlines for the January 31, 2014 – Utility E-Alert
UTILITY E-ALERT
#1160 – January 31, 2014
Table of Contents
COAL – US
Brayton Point will shut down anyway in 2017
Big River Electric will idle DB Wilson and Coleman after Loss of Largest
Customer
Oklahoma still fighting EPA’s Regional Haze Plan for State
EPA given December Deadline for issuing Coal Combustion Residuals Rule
Southern Co to absorb Start-up Costs for Kemper County IGCC Power Plant
Tucson Electric Power to convert Sundt to Gas-firing
ME2C to supply Mercury Removal Technology to Fleet of Nine Units
Precipitator upgrade for Dallman 33
Cabot to provide DARCO Activated Carbon for Midwestern Utility
COAL – WORLD
Bangladesh to expand Barapukuria
Japanese Bank to finance Power Plants in Karnataka, India
Neyveli Lignite to increase Power Generation to 11,195 MW over 10 Years in
India
5,000 MW of New Power Generation planned in Sindh State, Pakistan
Residents say GN Power has not Lowered Power Rates and oppose Expansion of
Mariveles Power Plant in the Philippines
NTPC could take over Power Projects in India
600 MW Yavatmal Power Project has Maharashtra State (India) Approval
NTPC to proceed with 5x800 MW Pudimadaka Power Project (India)
EDF undecided on Fate of Cottam and West Burton in UK
GAS/OIL - US
NTE to use MPSA Turbines at 500 MW Middletown Energy Center
MHI to supply Turbines for Chouteau Power Plant
Natural Gas Price Increase means More Coal-fired Generation
Valley Conversion to Gas-firing Approved
Tampa Electric has Permit for Polk Conversion to Combined Cycle
Consumers Energy puts 750 MW Genesee Combined Cycle on Hold
GAS/OIL – WORLD
Alstom to Upgrade Dubai Aluminum Gas Turbines
Mott MacDonald is Owner’s Engineer for 840 MW Kirikkale, Turkey, Combined
Cycle Power Plant
East Delta Electricity Co. will upgrade Shabab and West Damietta to Combined
Cycle Operation
Transcorp, GE partner on expansion of Ughelli Power Plant in Nigeria
NUCLEAR
South Carolina Electric & Gas to buy Stake in VC Summer Nuclear Power Project
UAE to break Ground on Third Unit of Nuclear Power Plant
South Korea to begin Shin Kori 5 and 6 Project
PGE looking for Partners for Polish Nuclear Power Plant
BIOMASS
Valmet to supply Multi-Fuel Boiler for Sappi’s Mill in Finland
BUSINESS
Kenya shortlists Bidders for 950 MW Coal-fired Lamu and 700 MW LNG-fired Dongo
Kundu Power Projects
European Utilities face Writedowns
B&W PGG and Chem-Mod sign License Agreement for Mitagent™
Investment in Fossil-fired and Nuclear Power Plants will exceed $760 Billion
in 2014
HOT TOPIC HOUR
EUEC Analysis Next Week in Hot Topic Hour
Upcoming Hot Topic Hours
For more information on the Utility Tracking System, click on:
http://home.mcilvainecompany.com/index.php/databases/2-uncategorised/89-42ei
“Impact of Ambient Air Quality Rules on Fossil-fueled Boilers and Gas Turbines”
is the Hot Topic Hour on Thursday, February 13, 2014
The utility industry is preparing to deal with the Utility MATS and the Cross
State Air Pollution (transport) Rule (CSAPR) currently being reviewed by the
Supreme Court and industrial boiler operators are preparing to deal with the
Boiler MACT, but the real driver for their pollution control strategy may well
be the NAAQS. The states are now in the process of finalizing and beginning
implementation of their SIPs required to meet the NAAQS standards. The NAAQS
regulations establish standards for CO, lead, NO2, ozone, particulate matter and
SO2 all of which (except perhaps CO and lead) can have a significant impact on
current or planned facilities combusting fossil fuels.
But it may well be the NAAQS PM2.5 standard that will ultimately trump all other
rules in terms of efficiency requirements for scrubbers, SCRs and particulate
control equipment. One ton of SO2 reacts to form 13 billion micrograms of
sulfates. So just one ton of SO2 emissions will cause nearly one billion cubic
feet of ambient air to exceed the ambient limit. When the states review the
inventory of SO2 emissions they will quickly determine that requiring an
increase in SO2 efficiency at power plants to 99 percent will be the most cost
effective and certainly most politically acceptable approach.
In the Western States, it is nitrates not sulfates that are the biggest
contributor to PM2.5 in the air. The same analogy holds for SCR efficiency.
Although fossil-fueled power plants are not the only sources of NOx, SO2 and
PM2.5 emissions, they are a major source and are seen as perhaps the easiest
source to control. They will, therefore, most certainly face state regulations
requiring greater reductions of PM2.5 particulates as well as the ozone
precursors NOx and SO2. Although turbines operating on gas are considered
“clean”, they will not escape the impact of the rules entirely. In some areas,
the limit on particulate emissions in the turbine exhaust is even lower than the
particulate load in the intake air. CO and NOx will also be tightly controlled,
and when NAAQS limits cannot be met by just reducing power plant emissions,
industrial boilers will be next highest on the hit list.
The following speakers will discuss the problems that will be faced by operators
of fossil-fueled power plants and industrial boilers as a result of the NAAQS,
CASPR and Haze rules. The current status of these rules, suggest possible
strategies and courses of action for operators of fossil-fueled boilers and
turbines to consider, short of plant closure, to deal with these regulations and
the technical solutions for maintaining compliance for existing units as well as
the control technologies and equipment that can be utilized to achieve
compliance.
Brian Stormwind, Manager, Air Quality Engineering & Studies at AECOM, will
present “Dealing with Implementation of the 1-hour SO2 NAAQS: Challenges and
Options.” The stringency and nature of the 1-hour SO2 NAAQS is expected to
significantly impact industrial clients for attainment designations that are
overdue for most areas. EPA's strategy seems to focus on the largest SO2 sources
(at least one thousand tons/year), while environmental groups have already
submitted modeling with purported NAAQS violations due to selected sources to
the EPA and state agencies for consideration in the current designation process.
The Sierra Club has also sued EPA over the delays in the designations and may
force EPA to speed up this process in a settlement agreement. A
soon-to-be-released “Data Requirements Rule” will be very important in this
regard. This presentation addresses how industrial sources that need to act in
light of EPA’s forthcoming guidance and the Data Requirements Rule should assess
their options and embark upon the most advantageous course, involving either
modeling or monitoring strategies.
Richard Hamel, Senior Project Manager, Air Quality and Climate Change (AQCC)
Practice at Environmental Resources Management (ERM), will present “Dark Skies
Ahead: The Challenges of Modeling the New NAAQS for Fossil-Fuel Power Plants.”
The new 1-hour SO2 and NO2 probabilistic NAAQS, as well as the newly tightened
annual PM2.5 standard and already stringent 24-hour PM2.5 standard, have brought
to the table a whole new set of challenges in showing compliance compared to the
older, deterministic NAAQS. This presentation will describe each standard, then
discuss the particular challenges associated with each in the context of
performing compliance demonstrations for the permitting of fossil-fuel power
plants while following the required EPA air-dispersion modeling guidance.
Gale F. Hoffnagle, CCM, QEP, Senior Vice President and Technical Director, Air
Quality Consulting Practice Leader at TRC Environmental Corporation, will
discuss problems related to obtaining permits under the new NAAQS. The changes
to the NAAQS and the way they are being implemented result in very expensive
permit applications. The fact that almost every permit is being challenged is
leading to substantially longer permitting times and greater uncertainty. The
problems and answers to them will be presented.
Mack McGuffey, Partner at Troutman Sanders LLP, will discuss the impact and
status of the NAAQS. EPA is required to update its national ambient air quality
standards every five years, but never in the history of the Clean Air Act has
the Agency issued so many "NAAQS" revisions so quickly. A newly strengthened
standard can seem like changing the rules of the game in the middle of a play to
a facility seeking to construct a new boiler or turbine, or modify its existing
equipment, even before the newly revised standard has been fully implemented.
Many of the standards are also subject to litigation, which can further
complicate the picture. Due to the complex procedure involved in implementing
NAAQS revisions, major emitting facility owners and operators should keep a
close watch on the progress of EPA's recent and promised revisions, particularly
those for fine particulate matter (PM2.5), ozone and sulfur dioxide (SO2), to
avoid unwelcome surprises in the form of unexpected permitting and emission
control requirements.
To register for the February 13, 2014 “Hot Topic Hour” on “Impact of Ambient Air
Quality Rules on Fossil-fueled Boilers and Gas Turbines” at 10:00 a.m. (CST)
click on: http://home.mcilvainecompany.com/index.php/component/content/article?id=675
McIlvaine Hot Topic Hour Registration
On Thursday at 10:00 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 Tracking
System. The cost is $300.00 for non-subscribers.
See below for information on upcoming Hot Topic Hours. We welcome your input
relative to suggested additions.
DATE SUBJECT
February 6, 2014 Review Of EUEC
February 13, 2014 Impact Of Ambient Air Quality Rules On Fossil-Fueled Boilers
And Gas Turbines More information
February 27, 2014
NOx Catalyst Performance On Mercury And SO3
More information
March 13, 2014 Industrial Boiler Fuel Options: Coal, Biomass Or Gas? More
information
March 27 Mercury Control And Removal More information
April 10 NOx And Ammonia Slip Measurement
To register for the “Hot Topic Hour”, click on:
http://home.mcilvainecompany.com/index.php/component/content/article?id=675
----------
You can register for our free McIlvaine Newsletters at:
http://home.mcilvainecompany.com/index.php?option=com_rsform&formId=5
Bob McIlvaine
President
847-784-0012 ext 112
rmcilvaine@mcilvainecompany.com
www.mcilvainecompany.com
191 Waukegan Road Suite 208 | Northfield | IL 60093
Ph: 847-784-0012 | Fax: 847-784-0061