Cost and energy efficient, environmentally friendly micro and small scale CHP Walter Haslinger, Bioenergy Alexander Weissinger, KWB

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1 Cost and energy efficient, environmentally friendly micro and small scale CHP Walter Haslinger, Bioenergy Alexander Weissinger, KWB Dublin, 23 April 2013

2 Micro scale CHP are residential scale heating systems with electricity production grid independent / grid parallel operation, typical Pel < 5 kw serial product cogeneration systems for small industries, the service sector, micro grids, base heat for >>2.000 hours / year, typical Pel < 50 kw serial product Small scale CHP are cogeneration for industries, service sector, DHC base heat for >5.000 hours / year, typical Pel < 250 kw plant rather than product 2

3 Micro scale CHP (0.1-5 kwel) Electricity producing residential heating system Main feedstock High quality solid biomass (woody sources) Biogas, bio-oil Technologies covered Thermoelectrics, Stirling engine, steam cycles, organic Rankine cycle (ORC) Internal combustion engine (IC), micro gas turbine (MGT), (fuel cell) Main products Heat, by-product electricity 3

4 Micro scale CHP (5-50 kwel) for small industries, the service sector, micro grids, Main feedstock Solid biomass (mostly woody sources) Syngas, synthetic natural gas (SNG), biogas, bio-oil Technologies covered Stirling engine, steam cycles, ORC Gasification + IC IC, externally fired micro gas turbine (EF-MGT) Main products Heat, electricity 4

5 Small scale CHP ( kwel) cogeneration systems for industry, services, DHC, Main feedstock Solid biomass (wood chips) Biogas, syngas, bio-oil Technologies covered Stirling engine, steam cycles, ORC Gasification + IC, IC, EF-MGT Main products Heat, electricity 5

6 Main technological challenges - Cost reduction by technical optimization with consideration of serial production - Reduction of maintenance costs - Development of high temperature- and high corrosionresistant heat exchanger - Material development (seals, heat exchanger,...) - Integration in smart houses and smart grid - Development of efficient storage systems (electricity, heat) to avoid grid losses 6

7 R&D activities needed Basic research (10 %) - Material research: Thermoelectric materials, working fluids, working machine materials Applied research (45 %) - Component and system development, cost reduction Demonstration (45 %) - Long-term performance, cost reduction (overcoming the valley of death) 7

8 European added value Contribution to the decarbonisation of the EU economy Contribution to decentralized electricity production in smart grids Contribution to electrification of the EU energy system In 2020: 5% of new installations (residential and small commercial applications) are CHPs In 2050: No heat production without cogeneration and storage systems 8

9 Key performance indicators - Electricity production costs will decrease by 50% through a technology specific mix of - Decreasing investment and maintenance costs - Increasing electric efficiency and availability - Energy efficient and cost effective storage systems - Proven lifetime of micro and small scale CHPs: h (<5 kwel) / h / h (>50 kwel) - Instantaneous use of produced electricity will be cheaper than electricity from the grid for all applications 9

10 Timeline (specific wording under development, EF-MGT missing) -> Thermoelectrics BR AR Stirling engine AR Demo M Steam Cycle AR Demo ORC Demo M Fuel cell Demo M Micro gas turbine AR Demo Gasification +IC AR Demo BR AR Demo M basic research applied research & experimental development demonstration market-ready 10

11 R&D budget needed for the value chain - Total 500 million - EU-funding and national public funding about 250 million - Industrial funding 250 million - Long-lasting commitment beyond RTD&D support required to overcome the valley of death! - Up to 10 times more money needed than for RTD&D 11

12 Main industrial actors Boiler and stove manufacturers (Component suppliers of and/or) automotive industry Utilities and grid operators Others (engineering companies, material and component producers, ) Key actors mostly identified 12