Current Trends in Energy-from-Waste

Transcription

1 Current Trends in Energy-from-Waste NJ SWANA Spring Conference 2012 Atlantic City, NJ By Kenneth E. Armellino, P.E. Director, Environmental Science and Community Affairs

2 Agenda Who am I & who is Covanta Energy-from-Waste (EfW) Synopsis Greenhouse Gas Benefits Current Emissions Trends Market Picture from EfW perspective Alternative Technologies Looking Forward

3 Who Am I & Who Is Covanta?

4 Who is Covanta Energy? # 1 EfW Company in North America NYSE Company (CVA) Over two-thirds of EfW capacity Dispose of 6% of U.S. waste 8% on non-hydro renewable power Focus on attractive, densely-populated Northeast markets High waste disposal prices Liquid electricity markets Corporate headquarters EfW facilities Development projects Biomass Hydroelectric Landfill gas-to-energy Ashfills and landfills Transfer stations Ontario PA NY CT ME MA Portfolio 41 EfW facilities Other renewable generation 8 wood biomass facilities 3 landfill gas projects 4 hydroelectric facilities Complementary waste operations 13 transfer stations 4 landfills (primarily for ash disposal) HI BC WA OR CA MN OK MI IN AL PA VA FL NY ME VA MA CT NJ MD NJ

5 Energy-from- Waste (EfW) Synopsis

6 Solid Waste Management Hierarchy

7 After Recycling, Composting, Producer Responsibility, Product Stewardship, etc.? Two Paths Remain: Energy-from-Waste Landfills

8 The Energy-from-Waste Process Provide disposal of non-hazardous post recycled waste Technologically advanced facilities combust waste at high temperatures Steam is sold directly or used to produce electricity for sale Metals are retrieved from the process and sold to recyclers 550 kwh of Power 50 lbs of Recycled Metal One Ton of MSW Ash: 10% of Original Volume

9 Environmental Management System Radiation Detectors at Scalehouse Annual Stack Testing Storm Water/Waste Water Reuse* Flue Gas Scrubbers Carbon Injection Turbine Generator Continuous Emission Monitoring System (CEMS) Odors Burned in Boilers NOx Control Enclosed Unloading and Storage Areas High-temperature Combustion Ash Quench System Particulate Control * Some Facilities

10 EfW A Solution to Key Challenges Sustainable Waste Management Most attractive solution after recycling Waste volume reduced by 90% Avoids impacts of landfills Generates Renewable Energy Reliable baseload power 24/7; located near demand centers Advances goals of domestic energy security Combats Climate Change 1:1 CO2 offset for each ton of waste processed Fewer fossil fuels burned: 1 ton of waste ¼ ton of coal Methane from landfills: 20+ times more potent than CO2 as a greenhouse gas Green Jobs Average plant construction can produce approximately construction jobs and 50 permanent jobs New plant construction: hundreds of millions in economic activity for a community

11 Global Waste Management Landfill Recycling/ Composting EfW 0.2 Billion tons Recycling 0.5 Billion tons Landfill 1.2 Billion tons EfW U.S. Denmark Sweden Netherlands Germany Average Italy U.K. Ireland Japan Taiwan Singapore China U.S. 90 EfW facilities Western Europe 400 EfW facilities Asia 300 EfW facilities

12 Greenhouse Gas Benefits

13 EfW is a net Reducer of GHGs Benefits recognized by U.S. EPA: EPA Scientists: Is it Better to Burn or Bury? Office of Solid Waste Webpage: Benefits are well recognized internationally: Recognized as a key GHG mitigation measure by the Nobel Prize winning IPCC Exempted from the EU Emissions Trading Scheme Eligible to generate carbon offsets under the Kyoto Protocol Recent U.S. expansions generating & selling carbon offsets under a voluntary program

14 EfW is a Net Reducer of GHG CO 2 from the combustion of biomass not counted as an emission Ton CO 2 e / ton MSW CO 2 from the combustion of plastics counted as an emission CO2 from combustion of MSW Fossil CO2 avoided by EfW power Methane avoided by EfW Net GHG factor EfW Life Cycle Unit Operations DATA FROM JOURNAL OF ENVIRONMENTAL ENGINEERING ASCE / AUGUST 2010

15 Energy-from-Waste GHG Savings

16 Current Emissions Trends

17 Air Emissions - Dioxins

18 Air Emissions - Mercury

19 Market Picture from EfW Perspective

20 Revenue Generation Revenue generation from 3 main sources: Fees charged for waste disposal or operating projects Sale of electricity and steam Sale of recycled ferrous and non-ferrous metals Revenue by Source Other 6% Energy & Steam Sales 34% Waste & Service Revenue 57% Metals 3%

21 Waste (Fuel) Market Drivers Decreasing volumes Economy Recycling Abundant landfill capacity Rail and bail increase disposal range Transportation costs Flow Control NYC Interim to Long Term Transition

22 Highly Contracted Revenues Over 75% of waste and service revenue contracted Long-term strategy: seek to maintain majority of facility capacity under long-term contracts Over 70% of energy revenue contracted and not subject to market price fluctuation

23 Alternative Technologies

24 Alternative Technology Development Covanta R&D continues to lead the state of the art for conventional EfW High Pressure boilers with increased energy output Advanced APC for lower emissions Semi-dry ash systems Improved metal recovery Durham / York, Ontario Canada Ince Park, UK

25 Alternative Technology Development Covanta Investments in alternative technologies Goal of smaller physical and environmental footprint Gasification Waste to diesel Organics recovery and conversion Improved metal recovery Ash reuse Pilot and demonstration project investments have positioned Covanta for continued leadership in generating energy from waste

26 MSW Gasification Processes 1. GASIFICATION / COMBUSTION Goal of Improved Emissions and Higher Energy Efficiency MSW Low Temperature Gasification Low Quality Syngas Post Combustion Reduced NOx, CO & gas flow Conventional Boiler, APC, Power Gen Air 2. GASIFICATION TO SYNGAS Goal of Combined-Cycle Power or High-Value End-Products MSW O2/Air High Temperature Gasification High Quality Syngas Syngas Cleaning Combined Cycle Power Liquid Fuels Production Hydrogen Production

27 Looking Forward

28 Energy from Waste Looking Forward Public Acceptance Science based decision-making(?) Efficiency/Output Lowest net energy use/greatest energy output target Climate sensitive Lowest net GHG target Emissions Improvement round 2 of MACT Valuation of costs of alternatives to the public

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