Energy- and technology-related GHG mitigation from industry in Georgia. Anna Sikharulidze

Transcription

1 Energy- and technology-related GHG mitigation from industry in Georgia Anna Sikharulidze Sustainable Development Centre Remissia Enhancing Capacity for Low Emission Development Strategy (EC-LEDS) 2/2/2017 Transport Working group Meeting, Tbilisi, Georgia 1

2 Contents Energy consumption and energy related emissions in Industry sector Mitigation policy and measures in Industry sector (both energy and Industrial Processes Work performed under: USAID s EC-LEDS project (energy emissions) prepared by Remissia ClimaEast Technical Assistance (industrial processes emissions) - prepared by Ricardo Energy & Environment, a trading name of Ricardo-AEA Ltd.

3 Industry Sector in Georgia As of the data of 2014, industry sector ranks No 2 with 16.9% in sectoral structure of Gross Domestic Product (GDP), the share of Buildings Sector being 7.1%. The number of persons employed in industry sector in 2014 was thousand people, production was amounted to million GEL and fixed assets totaled million GEL. There were industrial enterprises registed in Georgia in 2015 including 536 large, 661-medium and small sized ones. Most of them are registered in food product, beverage and tobacco sub-sectors.

4 Energy Consumption in Industry Industry sector consumed PJ energy in 2014, accounting for 18.7% final energy totally used in Georgia. Breakdown by subsectors Breakdown by Fuel

5 PJ Energy intensive industrial sectors Final Energy Consumption Gg CO2eq GHG Emissions Chemical Iron and Steel Food, Non-metallic Beverages Minerals and Tobacco 0 Chemical Iron and Steel Food, Non-metallic Beverages Minerals and Tobacco Wood Coke Coal Natural gas Oil Products Electricty Indirect Emissions from electricity consumption GHG Emission from Fossil fuels combustion

6 Different types of mitigation measures in Industry (technological) To increase energy efficiency in the industrial sector that includes maximum growth of energy efficiency of production via substitution of old technologies and processes by new and efficient ones; Fuel substitution, implying to replace currently used high-carbon-containing energy source by cleaner low-carbon-containing substitute; Application of Carbon sequestration and storage technologies

7 Different types of mitigation policy in industry Mandatory measures, such as establishment of a cap on energy consumption and/or emissions,demand mandatory energy audits etc.; support to overcome investment, knowledge and technologies related barriers. economic and fiscal policies. Supporting of energy efficient/low-carbon technology research, development and demonstration to create new, climate change mitigation technologies and technology transfer. Education and outreach.

8 LEDS strategy for Industry sector Short-term ( ): To determine shape of the legislative regulation of the GHG emissions (or rates of energy consumption) and prepare relevant legislative portfolio based on a dialogue with the industry sector representatives; To develop financial mechanisms to promote emissions reduction measures in the industry sector (including for audits, etc.) and organize state monitoring on financial aids; To implement flexible monitoring system on energy consumption and the GHG emissions; To deploy permit systems for industrial emissions; To study the possibility of introducing the Best Available Techniques (BAT)in the industry sector Long-term ( ): To implement/commence legislative regulations of the GHG emissions in the industry sector To prepare short-/long-term state program/plans to reduce annual amount of emissions from existing facilities (it includes both the GHG emissions and other industrial gases)

9 Mitigation Policy and Measures for Industry (LEDS) Policy measures: IPOL1: Determination of emissions regulation types from large, energy intensive industries of Georgia IPOL2: Financial instruments and their monitoring to carry out emissions reduction activities in the industry sector POL3: Inventory of energy and the GHG at the enterprise level and identifying energy consumption and the GHG emissions guideline for each field/sector IPOL4: Study of possibility of introducing energy audit and Best Available Techniques (BAT) practice

10 Individual Technological Measures (energy related) IMEA1: The transfer of clinker production from wet method to dry method in Kaspi and Rustavi Heidelberg Cement Plants. IMEA2: Other energy efficiency measures in producing non-metallic mineral products IMEA3: Energy efficiency measures in chemical industry. The measure includes several energy efficiency measures in Rustavi Azoti plant, such as energy efficient natural gas burners in ammonia production, rehabilitation of steam network, cogeneration in nitric acid production and other measures. IMEA4: Energy efficiency measures in ferroalloys production, which result in improvement of energy intensity of the plants. IMEA5: Energy efficiency measures in iron and steel industry. The measure assumes the increase the use of automatic controls to reduce gas consumption in iron and Steel industry (reinforcement production). IMEA6: Energy efficiency measures in food products, beverages and tobacco industry, assuming increase of utilization of advanced process heat technologies IMEA7: Efficient motors. Increase the utilization of advanced and variable speed motors in all industries.

11 Emission reductions associated with these measures Gg CO 2 eq GHG emissions from fuel combustion annually by Gg is saved in the industry sector caused by technological and energy efficiency measures, representing 17.5% of expected energy related emissions by Additional 33.8 Gg CO 2 eq emissions are saved in energy generation sector caused by reduction of electricity consumption in industry and representing 1.5% of expected emissions in electricity generation sector by 2030.

12 Individual Technological Measures (Process Related) Ammonia Production - Carbon capture Ammonia Production - Hydrogen by electrolysis Cement Production - Reduced lime saturation factor Cement Production - Carbon capture Ferroalloy Production - Substituting coal/coke reductant with biomass carbon (charcoal)

13 Emission reduction associated with these measures Emission reductions between 46,020 tco2eq (reducing the lime saturation factor in cement production) to 541,638 tco2eq (generating hydrogen by electrolysis in ammonia production). All of the measures have positive costs per t CO2- eq. reduced, meaning that the GHG emission reduction does not lead to overall cost savings.

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