The Lake Trasimeno Regional Park

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1 The Lake Trasimeno Regional Park Creation of a system in the Trasimeno area for producing energy from biomass of vegetable origin. Economic assessment and environmental impact study Paper drafted by: Angelo Cecchetti head of the Technical Department of the Park Marco Gerbino trainee care of the Technical Department of the Park Passignano, September 2008 Purpose of the Study The purpose is to evaluate the creation of a cogeneration power plant for producing Energy from vegetable biomass in the area of Lake Trasimeno, in financial terms and of incidence on the environment..

2 Methodology Investigation of the use of vegetable biomass for producing energy; Investigation of the technology involved and of the various systems for producing energy; Research aimed at acquiring knowledge of the techniques used for converting biomass of vegetable origin into energy in the various plants set up in Italy; Analysis of the qualitative and quantitative production potential achievable in the study area in order to identify the most suitable type of system, size and location; Economic assessment; Environmental impact assessment. Biomass of vegetable origin suitable for this application straw obtained from cereals and corn-stalks; prunings from trees grown for agricultural purposes; wood originating from forestry activities and residues obtained following felling of trees; residues from agro-industrial processing; energy-producing crops (dedicated crops); spontaneous vegetation; residues of ornamental vegetation.

Local framework Analysis of the local area The study area is situated inside the natural hydrographic basin of Lake Trasimeno: - Total surface area: 308 km 2 - Surface

3 Local framework Analysis of the local area The study area is situated inside the natural hydrographic basin of Lake Trasimeno: - Total surface area: 308 km 2 - Surface area of the land: 188 km 2 - Surface area of the lake: 120 km2 Municipalities affected: ocastiglione del Lago omagione opanicale opassignano sul Trasimeno otuoro sul Trasimeno

4 The Natural Basin of Lake Trasimeno Several homogeneous sub-areas have been identified within the system of the Lake Trasimeno basin: A) The actual lake B) The area around the lake and islands, within which the following can be identified: 1) agricultural areas 2) fragmented and mixed areas 3) nature reserve areas C) Low hills and irrigated land within which the following can be identified: 1) irrigated plain areas 2) sites of Community interest D) Hilly environment E) High hilly environment F) Anthropised areas

Lake Trasimento Regional Park This is a site of natural interest since it consists of wetlands classed as SACs (Special Areas of Conservation) and SPAs (Special Protection Areas) on the basis of EEC

5 Lake Trasimento Regional Park This is a site of natural interest since it consists of wetlands classed as SACs (Special Areas of Conservation) and SPAs (Special Protection Areas) on the basis of EEC Directive no. 92/43 on the conservation of natural habitats and of wild fauna and flora (Habitat Directive). The perimeter of the Lake Trasimeno Regional Park has been defined by the Umbria Regional Council in Regional Law no. 9/95. The Park authorities have designated an additional strip of land as a contiguous area. Northern Area Land-Use Map of the Park Area

6 Southern Area Land-Use Map of the Park Area Overall, the park and the designated continuous area occupy 14, hectares, of which 12, consist of the actual lake.

7 An analysis of the Park area Revealed that the surface areas able to produce vegetable biomass are the following: Classification of the area Natural vegetation Agricultural areas Class of use Surface area, hectares Lake-side reed beds Hydrophilic vegetation (trees and shrubs) Sewed crops (simple crops and trees) 1, Trees grown for agricultural purposes Anthopogenic vegetation* Ornamental trees and shrubs ** * This classification also includes the classification of the urban areas and infrastructures. ** This class includes plants grown in rows, as hedges and in groups, the trees on road and railway embankments, parks and gardens and tree-lined avenues. Quantity of biomass obtainable for use as fuel for the production of energy Classification of surfaces Crops Surface in Ha Biomass Yeld t/ha Total yeld t Natural vegetation Hydrophilic trees and shrubs Farming areas Anthropogenic vegetation Lake reeds Willow and Poplar Dedicated poplar Grains Tree plantations Ornamental trees and shrubs Ditch reed Poplar wood TOTAL BIOMASS PRODUCED Poplar and willow wood Straw and stalks Prunings from trees Prunings from trees and shrubs ,000 6,400 14, ,000 Allowing to set up a co-generation plant with an electric capacity of 2.5 MW and a thermal power of 3 MWt.

8 The energy-producing plant, situated in a rural district from which all the biomass is obtained, calls for: construction of the plant, creation of three local collection areas. The chain consists of the following operational phases: collection and accumulation of the biomass; preparation of the fuel in chips for feeding the system; transport of the chips; combustion and production of steam; production of electricity by means of a turbo-alternator with the combined production of electricity. Location of the facilities The energy-producing plant is situated in an area intended, according to the municipal town plans for production facilities. The local collection centres are on farmland. The plant uses only biomass produced locally by local producers involved in the production process. A short local agricultural cycle is created that enables the plant to receive an increased-value green certificate.

9 Location of the plant Municipality of Passignano s. T.

10 Area for production facilities according to the town plans of Passignano Municipality of Castiglione del Lago

11 Municipality of Panicale Technical specifications of the biomass system for producing energy Boiler output 2.5 MW e + 3 MWt Type of boiler mobile grid type Yearly fuel consumption 30,000 t onnes Length of distribution road network 2,000 m Length of connection network 1,000 m Average yearly yield of the boiler 90% Overall investment for the plant 4,900,000 Hours of operation per year 6,000 hours Electricity produced 13,200 MW e Thermal Energy produced 18,000 MW t

12 Design diagrams of the facilities Plant for the production of energy Design diagrams of the facilities Shed for the production of chips

13 Design diagrams of the facilities Trench-type bin for storing chips Overall view of the structures of the production centre and of the adjoining local collection area

14 Economic assessment of the system Constant cash flow method. Indicators: VAN: Current Net Value IP: Profitability Index TIR: Internal Yield Rate PRS: Recovery Period Investments for implementing the project (in )? Energy co-generation system 4,000, Local collection centres 1,140, Thermal energy distribution networks 900, Total investment 6,040,000.00

15 Proceeds from the production of energy Description MW Price per produced MW, Total Production of electricity 13, ,828,000 Production of thermal energy 8, ,000 Total value of production 4,353,000 Plant management costs N Description Sub-totals 1 Depreciation o f plant 402, Interest on capital invested 181, Wages and salaries 384, Maintenance and insurance 20, Miscellaneous costs 1,765, Disposal of ash 60, Control of emissions 92, Transport of chips 120, Purchase of biomass 1,350, Advisory services for management of green certificates 100, General and administrative expenses 43, Unforeseen events Total management costs 2,840, The result of operating the plant is the difference between the value of the energy produced and sold and the cost of producing it, and amounts to + 1,512,

16 Results of the Economic Assessment and Sensitivity Test Hypoth esis PR TIR VAN ANN IP (annual) (%) (ratio) Base ,993, ,251, % , , % , , % >16.00 not calculated. - 5,947, , As shown above, the project is highly profitable and very reliable. The investment involved is a very low risk. Environmental Impact Assessment The environmental impact of the project concerns: transport and storage of the biomass. the energy conversion process, and. improvement of the balance in the lake area.

17 Emissions from the Plant Polluting substances Legal Limits Emissions from the pl ant Carbon monoxide < 300 mg/m 3 < 180 mg/m 3 Nitrogen oxide < 500 mg/m 3 < 125 mg/m 3 Sulphur oxide < 200 mg/m 3 < 5 mg/m 3 Total dust < 30 mg/m 3 < 10 mg/m 3 The polluting substances are below the legal limits. CO 2 emissions = 0. If the plant were fuelled by Diesel oil, the CO 2 emissions into the air for producing the same amount of energy would amount to 11,656 tonnes. If it were methane-fired, it would have produced 9,520 tonnes of CO 2. Collection of the reeds from the lake enables the removal from the waters of the lake of a yearly average of: 42,000 Kg of nitrogen; 24,000 Kg of phosphorus; 900,000 Kg of mineral elements; 9, Kg of vegetable biomass; Aspects facilitating eutrophic and anoxic phenomena acknowledged as responsible for deterioration of wetlands such as the Lake Trasimeno area.

18 Environmental compatibility matrix CONTROL MATRIX Attachment n 10 ACTION Pos Neg None A 1 A 2 A 3 A 4 A 5 A 6 A 7 A 8 A 9 A 10 A 11 A 12 N N N CR 1 / / - / / / / / / / / / CR 2 / / / / + / / / CR 3 / / / / + / / / CR 4 / / - / / / / / / / / / CR 5 / / / / + / / / CR 6 / / / / + / / / / CR 7 / / / / + + / + / / / / CR 8 / / / + / / / / / / / / CR 9 / / / + / / / / / / / / CR 10 / / / / / / / / / / / / CR 11 / / / + / / / / / / / / CR 12 / / / / / / / / / CR 13 / / / / / / / / / CR 14 / / / / / / / / / CR 15 / / / / + / / / / CR 16 / / / / / / / / CR 17 + / + / / / / / / / / / CR / / / / / / CR 19 / / / / / / / / / / - / CR 20 / / / / / / / / / OB 1 / / / / / / / / / / / / OB / + / / / OB 3 / / / / / / / / + / / / OB 4 / / / / / + / / OB 5 / / + / / / / / / / / / OB 6 / / / / / / / / / OB 7 + / / / / / / / / OB 8 + / / / / / + / / / + / TOT INTERACTIONS TARGETS + = the action interacts positively with the target/criticality OB 1 = maintaining the water levels - = the action interacts negatively with the target/criticality OB 2 = sustainability of anthropic activities in the area / = no interaction between the action and the target/criticality OB 3 = definition of sources of pollution in the area (all fields) OB 4 = protection of the quality of the water OB 5 = rationalisation of possible uses of water CRITICALITIES OB 6 = protection of the fauna, vegetation and agricultural and forestry assets CR 1 = lowering of the level of the water OB 7 = maintenance and management activities CR 2 = quality of the water OB 8 = lowering of greenhouse gas emissions into the atmosphere (Kyoto Treaty) CR 3 = balance of the lake ecosystem CR 4 = water consumption CR 5 = addition of pollutants in the form of mineral elements ACTIONS CR 6 = addition of pollutants in the form of organic elements A 1 = creation of a co-generation plant running on vegetable biomass CR 7 = disappearance of areas of natural value A 2 = construction of local collection centres CR 8 = presence of nutrias A 3 = growing of dedicated crops CR 9 = presence of wild boars A 4 = cutting of reed beds CR 10 = presence of competitive allochthonous fish species A 5 = cutting of riparian vegetation CR 11 = allochthonous plant species A 6 = re-profiling of shorelines CR 12 = insects (chironomids) A 7 = harvesting of dedicated crops CR 13 = silting A 8 = delivery of vegetable biomass to the local collection centre CR 14 = aartificial raising of the shores A 9 = cutting of vegetable biomass into chips CR 15 = floating and submerged macrophytes (potamogeton and sedge) A 10 = transport of chips from local collection centres to the plant CR 16 = eutrophication A 11 = combustion CR 17 = CO2 emissions A 12 = disposal of ash CR 18 = other gaseous emissions CR 19 = dust emissions CR 20 = landscape Results of the Environmental Impact Assessment The polluting substances produced by the combustion are within the legal limits. There are no CO 2 emissions. The removal of biomass hampers eutrophic and anoxic phenomena. The plant will not occupy valuable habitat, will not have any negative impact on the soil, on the water or on the air, and will fit into the landscape context very well. The environmental compatibility matrix shows that of the 336 interactions, 71 are positive, 10 negative and 255 neutral.

19 Conclusions It would be possible to set up a co-generation system based on biomass of vegetable origin with an output of 2.5 MW e and 3 MW t, using a short local cycle. All the economic indicators have a high level of positivity, so that the project is definitely profitable and highly feasible. The environmental impact assessment indicated that the project: is compatible with the local area in which it will be situated. has a positive landscape value since it uses agricultural waste and sub-products, products of the vegetation surrounding the lake and a few dedicated crops. Produces positive effects on the wetlands : - Decrease in anoxic processes, - Hampering of eutrophication, - Hampering of silting up processes

20 The production of energy from vegetable biomass is also a concrete production opportunity in the natural basin of Lake Trasimeno for the farms and contributes towards improving the quality of the environment. In its PSR and in its POR the Umbria Regional Council is planning to allocate large amounts to the whole biomass chain. Thank you for your attention

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