NEDO s research and development of Clean Coal Technology for reducing CO 2 emission

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1 NEDO s research and development of Clean Coal Technology for reducing CO 2 emission April 17, 2018 Toshihiro Bannai Director General Environment Department New Energy and Industrial Technology Development Organization (NEDO), Japan

2 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 1

3 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 2

4 Outline of NEDO (1/3) NEDO: New Energy & Industrial Technology Development Organization Mission: Addressing energy and global environmental problems Enhancement of Japan s industrial technologies Chairman: Mr. Hiroaki Ishizuka Organization: -Incorporated administrative agency under the Ministry of Economy, Trade and Industry (METI) of the Japanese government - Established in 1980 Location: Kawasaki City, Japan Personnel: About 900 Budget: Approximately 1.27 Billion US$ (2017 fiscal year) 3

5 Outline of NEDO (2/3) NEDO, an independent administrative agency under METI, promotes R&D as well as the dissemination of industrial, energy and environmental technologies. NEDO plays an important part in Japan's economic and industrial policies as one of the largest public research and development management organizations. 4

6 Outline of NEDO (3/3) Energy and Environmental Field New Energy (380.9 million US dollars) Energy Conservation (91.8 million US dollars) Rechargeable Batteries and Energy System (30 million US dollars) Clean Coal Technology (139.1 million US dollars) Environment and Resource Conservation (23.6 million US dollars) National Projects (1.17 billion US dollars) Industrial Field Electronics, Information, and Telecommunications (111.8 million US dollars) Materials and nanotechnology (113.6 million US dollars) Robot technology (99.1 million US dollars) New manufacturing technology (29.1 million US dollars) Crossover and Peripheral Field (0.9 million US dollars) Support for International Expansion (150.9 million US dollars) Public Solicitation for Proposal Activities (38.2 million US dollars) Total Budget for 2017FY (1.27 billion US dollars) As only an outline of NEDO s activities is shown above, individual budget amounts do not equal the total. 5

7 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 6

8 Japan s latest policy for new energy mix Target Level Electricity Demand in 2030 will be consistent with the level of 2013 with energy conservation. The dependency of nuclear power generation, which was around 30 % share in 2010, will reduce to 20~22% in The dependency of renewable energy such as solar and wind will rose from 22% to 24%, and the one of coal will reduce from 30 % to 26 %. Electricity Demand GDP growth 1.7%/year Electricity Demand 967TWh 2013 (actual result) Energy conservation 196TWh ( 17%) Energy Conservation +Renewable Energy = about 40% Electricity Demand 981TWh (Total Electricity generation) 1,064TWh (Electricity Demand) 1,029TWh Renewable Energy 10% Nuclear 29% LNG 29% Coal 25% Oil 6% (Total Electricity generation) 939TWh Renewable Energy 11% Nuclear 1% LNG 43% Coal 30% Oil 12% Electricity generation (Total mix Electricity generation) 1,065TWh Renewable Energy 22~24% Nuclear 20~22% LNG 27% Coal 26% Oil 3% (Fiscal Year) 7

9 Global primary energy demand and power generation by sources Coal is known as very important energy resource that has the characteristics distributed over a wide area and stable low price relatively, compared with others energy resources. Coal shares will be about 25% in Global Primary energy demand and about 40% in Global power generation in Mtoe Mtoe 29% 24% 47% 37% World primary energy demand by source World power generation by source Reference: World Energy Outlook 2002, 2004, ,

10 Comparison CO 2 emission by power generation Even most efficient coal fired thermal power generation discharge about 2 times CO 2 compared to LNG-Fired. Coal fired thermal power generation needs Improvement of the efficiency and introduction carbon capture utilization and storage (CCS). [g-co 2 /kwh] Reduction by CCS 695 DOT:500 g-co 2 /kwh EIB: 550 g-co 2 /kwh India China U.S. Germany World Coal Fired thermal power in the World Coal Fired (Japan) USC IGCC IGFC Coal Oil Power (Japan) with CCS Coal Fired thermal power in Japan LNG LNG (steam)(gas turbine combined) Reference :Central Research Institute of Electric Power Industry(2009) CO 2 Emissions Fuel Combustion (2012) 9

11 Cumulative CO 2 emissions reduction through 2050 in a 2 by CCS When we don t undertake any measures against CO 2 emission, the quantity of annual CO 2 emission increases to 50 G tons in 2050, and world average temperature will increase approximately 6 degrees. It is necessary to reduce annual CO 2 emission to approximately 15 G tons to keep raise of world mean temperature to 2 degrees in the IEA model. CCS is expected to carry 14% of the quantity of CO 2 reduction. G tons/year Power generation efficiency and fuel switching Nuclear Renewable Energy 6 increase 50Gtons End-use fuel switching End-use fuel and electricity efficiency 14% 2 Increase 15Gtons GCCSI Global Status of CCS

12 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 11

13 High efficiency 65% Power generation efficiency 60% 55% 50% 45% IGCC (Verification by blowing air) 40% Ultrahigh Temperature Gas Turbine Combined Cycle Gas Turbine Combined Cycle (GTCC) Efficiency: 52% CO 2 emissions: 340 g/kwh Ultra Super Critical (USC) Efficiency: 40% CO 2 emissions: 820 g/kwh Efficiency : 57% CO 2 emissions: 310 g/kwh Technological establishment: Around 2020 A-USC Advanced Ultra Super Critical (A-USC) Gas Turbine Fuel Cell Combined Cycle (GTFC) 1700 deg. C-class GTCC 1700 deg. C-class IGCC Efficiency: 46% CO 2 emissions: 710 g/kwh Target: Around 2016 Efficiency: 63% CO 2 emissions: 280 g/kw Technological establishment: 2025 Reduction of CO 2 by 10% Advanced Humid Air Gas (AHAT) Efficiency: 51% CO 2 emissions: 350 g/kwh Target: Around 2017 Reduction of CO 2 by 20% GTFC Reduction of CO 2 by 20% Reduction of CO 2 by 30% IGFC LNG thermal power Coal-fired thermal power Integrated Coal Gasification Fuel Cell Combined Cycle (IGFC) Efficiency55% CO 2 emissions: 590 g/kwh Target: Around 2025 Integrated coal Gasification Combined Cycle (IGCC) Efficiency: 46 to 50% CO 2 emissions: 650 g/kwh (1700 deg. C class) Target: Around 2020 Present Photos by Mitsubishi Heavy Industries, Ltd., Joban Joint Power Co., Ltd., Mitsubishi Hitachi Power Systems, Ltd., and Osaki CoolGen Corporation * The prospect of power generation efficiencies and discharge rates in the above Figure were estimated based on various assumptions at this moment. Around

14 A list of power generating technologies Power-generating technology Outline and characteristics of technology Technological establishment (Year) Transmissio n end efficiency (% HHV) CO 2 discharge rate (G-CO 2 /kwh) 1 USC - high temperature and pressure steam generated by a boiler. - Long experience & reliability A-USC - higher temperature and pressure steam turbine than USC. - Advanced type of USC with heat resistant materials AHAT - A single gas turbine power generation using humid air. - suitable for medium and small turbines GTCC (1700 dig. C class) 5 IGCC (1700 deg. C class) 6 GTFC 7 IGFC - combined cycle power generation technology using a gas turbine and a steam turbine A combined cycle power generation technology through coal gasification and combination of a gas turbine with a steam turbine A triple combined power generation technology combining GTCC with fuel cells This is a triple combined power generation technology combining IGCC with fuel cells Innovative IGCC (Steam entrained bed gasification) - adds steam to gasification furnace on the IGCC system. - reduces oxygen ratio and increases cold gas efficiency. Steam gasification + dry refinement 2030 Highly-efficient oxygen separation 2030~ Closed IGCC (CO 2 -capturing next-generation IGCC) - circulates CO 2 contained in exhaust gas as an oxidant throughout a gasification furnace or gas turbine or later 42 After CO 2 capture - 13

15 Low emission CO 2 separation and capture cost High Oxygen combustion method recirculates highly concentrated oxygen in exhaust gas. Separation and capture cost: 3000 yen level/t-co 2 Utilization of CO 2 Chemical absorption method use a solvent, such as amine. Separation and capture cost: 4200 yen/t-co 2 For pulverized coal thermal power For IGCC This technology utilizes captured CO 2 to produce valuables such as alternatives to oil and chemical raw material Solid absorbent method reduces energy requirement and separate CO 2 by combining amine, etc. Storage of CO 2 To store separated and captured CO 2 in the ground. practical realization of CCS technology by around The plant for this business is under construction, and the storage will be initiated in Physical absorption method CO 2 absorbed into a physical absorption solution under high pressure. Separation and capture cost: Approximately 2000 yen level/t-co 2 Around 2020 Closed IGCC the oxygen fuel technology to the IGCC technology. Membrane separation method separates by using a membrane which penetrates CO 2 selectively. Low Present Around 2020 * The cost prospect in the Figure was estimated based on various assumptions at present. Around

16 A list of CO 2 separation and capture technologies CO 2 Separation and capture technologies Outline of technology Cost (Yen/t-CO2) Technical establishment (Year) 1 Chemical absorption method - utilization of chemical reaction between CO 2 and liquid. 4,200 yen * In the case of post combustion Already established 2 Physical absorption method - dissolved into a liquid for separation and capture. - The absorption capacity depends on the solubility of CO 2 into a liquid. 2,000 yen level Solid absorbent method - solid absorbent and absorption materials. (Solid solvent method) 2,000 yen level * Preliminarilycalculated Membrane separation method - separates a CO 2 from a mixed gas by utilizing the permeation selectivity of the thin membrane of a solid material with separation capacity. - Problem: scale up 1,000 yen level * Preliminarilycalculated Oxyfuel combustion method - separates oxygen from combustion air and burns fuel using this oxygen. 3,000 yen level Closed IGCC (CO 2 capture nextgeneration IGCC) - applied technology based on IGCC system. - circulates CO 2 in exhaust gas as an oxidizing agent throughout a gasification furnace and gas turbine. - Later than 2030 *1)The method for capturing CO 2 from the exhaust gas after combustion. *2)The method for capturing CO 2 from the fuel before combustion * The preliminary calculation of the costs in the above table is based on various assumptions and does not determine future separation and capture costs. Budget amounts are calculated at a rate of 110 yen per US dollar. 15

17 CO 2 capture technologies Coal Firing Boiler Post Combustion CO 2 Capture Developed by Private Companies CO 2 Solid Sorbents Separation Development supported by METI Oxy-fuel CO 2 Capture Private Company development supported by METI Chemical Looping IGCC Pre Combustion CO 2 Capture (Chemical or Physical) CO 2 Membrane Separation Development supported by METI Oxy-IGCC NEDO Development With Capture Unit Without Capture Unit 16

18 Development of clean coal technology For high efficiency and low emission technology Low carbonization in coal-fired power generation Improvement of power generation efficiency Development of CO 2 capture technology NEDO Projects IGCC (EAGLE STEP 1) 2006 Clean-up of synthesis gas for IGFC Establishment of Technology (Year) 2017 Entrained flow steam gasification 2030 Chemical/physical absorption (EAGLE STEP 2 & 3) Oxy-fuel IGCC Chemical looping combustion Low carbonization in iron and steel industry CO 2 capture & emissions reduction CO 2 emissions reduction in iron and steel industry (COURSE50 Project) Utilization of low rank coal Drying & upgrading Consideration of business model/ Demonstration abroad 17

19 Low carbonization in coal-fired power generation Osaki CoolGen (OCG) demonstration project OCG plant will consist of Integrated Coal Gasification Combined Cycle(IGCC) + CO 2 capture + fuel-cell systems. IGCC Air Air separation unit Coal Oxygen Gasification Gasifier Steam turbine Gas clean-up facilities Steam Gas turbine Combustor Syngas (CO, H 2 ) Air Compressor Generator Stack HRSG (heat recovery steam generator) CO 2 Capture System Shift reactor CO 2, H 2 H 2 rich gas CO 2 Capture Technology Fuel Cell System Fuel cell H2 CO 2 CO₂ transportation and storage processes 18

20 Osaki CoolGen (OCG) demonstration plant OCG plant is constructed at the Osaki Kami-jima island in Hiroshima prefecture, Japan. Indoor Coal Storage Yard Coal Gasification Central Control Room Syngas Treatment Gas Turbine Combined Cycle Area of CO 2 Capture Water Treatment System Air Separation Unit 19

21 The schedule for OCG demonstration project CO 2 capture IGCC is to be demonstrated with the result from EAGLE Project. IGFC will be demonstrated with the result from the basic research of syngas clean-up. Now IGCC optimization feasibility study 1 st Stage Oxygen-blown IGCC Design,Construction Operations testing 2 nd Stage CO 2 Capture IGCC FS Design, Construction Operations testing 3 rd Stage CO 2 Capture IGFC FS Design, Construction Operations testing 20

22 Oxy-fuel IGCC IGCC with CO 2 capture which has no CO 2 capture unit nor shift reactor. Target net thermal efficiency is 42% with CO 2 capture. (Loss of efficiency is 2 points for CO 2 capture) The cost for CO 2 capture could be reduced from USD 0.03/kWh to 0.02/kWh. Syn Gas Combustor GT ST G Power Gasifier Coal CO: 66% H 2 : 24% CO 2 : 5% O 2 CO 2 recycle CO 2 GT: Gas Turbine ST: Steam Turbine G: Generator O 2 CO 2 recycle CO 2 capture Recover 100% of CO 2 Establishment of Technology: in

23 Chemical looping combustion A technology for middle-sized coal-fired power stations (100 MW MW). Neither air separation unit nor CO 2 capture unit is required. Target net thermal efficiency is 46% with CO 2 capture. (No loss of efficiency for CO 2 capture) The cost for CO 2 capture could be reduced from USD 0.04/kWh to 0.02/kWh. Steam (for Power Generation) Metal oxide reactor Air Coal N 2 MO X MO X N 2 Cyclone HRSG Cyclone Coal combustor Steam HRSG N 2 : (98%, dry) CO 2 : (98%, dry) MO X-1 Establishment of Technology: in

24 COURSE50 Innovative Iron and steelmaking process (1)Technologies to reduce CO2 emissions from blast furnace (1) Technologies to reduce CO emissions from blast furnace (2)Technologies for CO2 capture (2) Technologies for CO 2 2 Reduction of coke Iron ore Coke production technology H2 amplification for BF hydrogen reduction Coke BFG Chemical absorption Physical adsorption CO-rich gas CO2 storage technology Shaft furnace COG reformer Coking plant Regeneration Tower BF Reboiler High strength & high reactivity coke H2 Iron ore pre-reduction technology Other project Coke substitution reducing agent production technology Sensible heat recovery from slag (example) Hot air Slag Absorption Tower Reaction Reaction control technology for for BF hydrogen reduction CO2 capture technology Waste heat recovery boiler Steam Cold air Kalina cycle Power generation Technology for utilization of unused waste heat Electricity Hot metal BOF -10% CO2 emissions -20% CO2 emissions 23

25 Results of test operations Effects of CO 2 reduction and reproducibility with mathematical model were confirmed in these tests. Experimental Blast Furnace Test condtions Test periods :1month 4 times from 2016 to 2017 Number of conditions: 4 conditions Molten pig iron taping Test results Ratio of H 2 reduction effect (%) simulation Almost same measurement at Nippon Steel & Sumitomo Metal Corporation s Kimitsu Works 24

26 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 25

27 Promotion of CCU and CCS New Energy and Industrial Technology Development Organization Technology for capturing, storing and effectively utilizing (CCUS) can be a key to achieving zero CO 2 emissions from thermal power plants. Technology development/demonstration and geological study are now promoted to reduce costs and secure storage-sites. Thermal power plants CO 2 Capture(Carbon dioxide Captur ) By placing CO 2 separation/capture systems in thermal power plants, more than 90% of CO 2 can be captured. Captured CO 2 Example of separation/capture system CO 2 Storage (CCS: Carbon dioxide Capture and Storage) Technology for storing captured CO 2 in the ground. Although large amounts of CO 2 can possibly be stored, operating capability and storage capacity are the issues. The research and development as well as verification test are in the process toward the realization of CCS technology around Concept of CCS Storage layer Shielding layer CO2 CO 2 Utilization (CCU: Carbon dioxide Capture and Utilization) Shielding layer Storage layer Technology for producing valuable materials such as alternative fuels or chemical materials from utilizing captured CO 2. Development of more efficient technologies and expansion of application areas for utilizing a large amount of CO 2 are the issues. 26

28 Tomakomai CCS demonstration project A large-scale CCS demonstration project is being undertaken by METI. The objective is to demonstrate the viability of a full CCS system, from CO 2 capture to injection and storage. Approximately 100 kt/y or more of CO 2 will be injected and stored in offshore reservoirs in the Tomakomai port area. The implementation of the project has been commissioned to Japan CCS Co., Ltd. Construction of facilities was completed in October 2015, and after a test-run in February, CO 2 injection commenced in April

29 Schematic geological section 28

30 Tomakomai CCS demonstration project CO 2 Source: Hydrogen production unit in oil refinery Capture Type: Industrial separation/ Chemical absorption Storage Formation: Sandstone layer at 1,000 ~ 1,200 m depth and volcanic rocks at, 2,400 ~ 3,000 m depth Injection quantities: 100 kt per year Storage type: Deep saline aquifers NEDO succeeded this project in April 2018 Cumulative injection: 165 kt-co 2 (16 April, 2018) 29

31 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 30

32 Demonstration Project for Establishment of Supply Chain for Mass Marine Transportation of Hydrogen and Gasification of Brown Coal Main objective is to establish and demonstrate technologies necessary for the chain from the production of hydrogen from source materials to transportation, storage and use. The long-term goal is to build and commercialize a CO 2 -free hydrogen energy supply chain to help save the environment. Project period:

33 Contents 1. Outline of NEDO 2. Situation of coal fired power generation 3. High efficiency and low emission technology 4. Demonstration project of carbon dioxide capture and storage technology 5. Hydrogen supply chain with Australia Japan cooperation 32

34 Thank you for your attention.