Interpretation of New Guidelines to CHP Directive. CODE Observatory and Dissemination Europe Athens

Transcription

1 Interpretation of New Guidelines to CHP Directive CODE Observatory and Dissemination Europe Athens

2 ahmoud Abu-Ebid Chief Consultant, AEA & Chief Advisor on on CHP to to the UK s Department of of Energy & Climate Change (DECC)

3 Presentation Coverage Background and History Development of the Guidelines and Harmonised Reference Values Alternative ethods UK approach

4 Purpose of this Directive.. is to increase energy efficiency and improve security of supply by creating a framework for promotion and development of high efficiency Cogeneration of heat and power based on useful heat demand and primary energy savings Article 1 of the Directive.

5 The Directive require ember States to: 1. Promote high efficiency CHP wherever an economically justified potential is identified 2. Have a framework, supporting installation and proper functioning of CHP 3. Establish Guarantee of Origin (CHP GOO) system (within 6 months of publishing reference values) 4. Analyse national potential and barriers (every 4 years) Technical and economically viable potential 5. onitor and report on progress towards potential (annual task)

6 Annex I - CHP technologies covered CHP Technology (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) Combined cycle gas turbine with heat recovery Steam backpressure turbine Steam condensing extraction turbine Gas turbine with heat recovery Internal combustion engine icroturbines Stirling engines Fuel cells Steam engines Organic Rankine cycles (k) Other -75%

7 Assessment ethod (Annex II) Gives basis for calculating the electricity from cogeneration Overall efficiency CCGT and ST Extraction: Overall efficiency= 80% (NCV) All others: Overall efficiency=75% (NCV) Excludes backup and top-up Boilers and Condensing Power

8 Assessment ethod (Annex II) If annual overall efficiency < thresholds (75% or 80%), then use E CHP = H CHP * C actual. to determine CHP electricitywhere, C actual is the actual "power to heat ratio" based on measured figures H CHP is the actual useful heat If C actual is not known or difficult to measure, then the following default values may be used Type of the unit Combined cycle gas turbine with heat recovery 0.95 Steam backpressure turbine 0.45 Steam condensing extraction turbine 0.45 Gas turbine with heat recovery 0.55 Internal combustion engine 0.75 Default power to heat ratio, C See Guidelines Later.

9 Annex III Gives a methodology for determining the efficiency of the cogeneration process and the value of the primary energy savings When compared with the Harmonised Reference Values for Separate production of Electricity and Heat

10 Assessment of PES (Annex III) (a) - High efficiency cogeneration shall fulfil: PES 10% compared with the harmonised reference values for separate production of heat and electricity Production from small scale and micro cogeneration units providing PES > zero (b) - Calculation of primary energy savings PES = {1 1/[(CHP Hη/Ref Hη)+ (CHP Eη/Ref Eη)]} Calculations should be based on annual operational data.

11 The Commission is required to: Produce harmonised reference values for separate production of heat and and electricity.. Done Produce Guidelines for Annex II implementation.. Done

12 Harmonised Efficiency Reference values Published on 6 th Feb Same fuel categories compared Best available/economically justifiable technology for separate production of heat and electricity in the year of construction of CHP unit used Units > 10 years of age fixed on the reference values of units 10 years of age Climatic differences between S taken into account.

13 Electricity Reference Values

14 Reference Values for Electricity Values based on NCV and ISO conditions Need to be corrected for: ambient temperature {0.1%-point efficiency loss/gain for every degree above/below 15 C} avoided grid losses.

15 Grid loss correction factors Voltage: For electricity exported to the grid For electricity consumed on-site > 200 kv kv kv kv < 0.4 kv Example: Ref Pη = 51.1% * (0.860 * 85% * 15%) = 44.4%

16 Reference Values for Heat Values are based on NCV Not corrected for climatic differences. Reference values for hot water and steam boilers are the same. Condensate return ignored when calculating CHP steam efficiency (the same as the UK s methodology CHPQA). Different values for direct use of exhaust gases (i.e direct drying).

17 Table of Heat Reference Values

18 Detailed Guidelines for the implementation of the CHP Directive 2004/8/EC

19 Requirement for Guidelines Ensure harmonised methodology for calculating CHP electricity (Annex II) Enable full transposition of Directive by ember States Development of Guarantee of Origin system; Support Schemes etc Clear criteria when screening applications for State Aid/Financial Support

20 Development of Guidelines for Annex II Draft Guidelines originally included legal and technical implementation information Document became too complex The Commission decided to only publish high level legal Guidelines This means that ember States would need to develop their own Technical guidelines These will have to be approved by the Commission

21 Detailed Guidelines for the implementation and application of Annex II of Directive 2004/8/EC C(2008)7294 published 19/11/2008

22 Calculation of Electricity from Cogeneration (Annex 2) Heat only boilers not allowed Remove Input and out puts from heat only boilers fuel CHP CHP part CHP electricity useful heat (H CHP ) fuel non-chp non-chp part non-chp electricity heat Cogeneration Unit fuel boiler heat-only boiler heat Plant

23 Example How can you deal with heat only boilers? Have to remove any heat that does not contribute to electricity generation Also need to remove fuel input to these boilers For the majority of CHP installations this should be easy, Likely to be difficult for GT and CCGT CHP schemes Oil ( by tank dip) Gas Gas Boiler 1 HRB Exhaust gases Gas compressor Gas turbines Import Electricity Export To site Oil ( by tank dip) Boilers 2 3 & 4 KEY Boundary Gas Oil Steam Electricity eter 45 bar steam CHP Boundary Condensate 15 bar steam 2.4 bar steam LP steam to site P steam to site

24 Calculation of Electricity from Cogeneration Step 1-1 Determine Non-CHP electricity and non- CHP fuel fuel CHP CHP part CHP electricity useful heat (H CHP ) fuel non-chp Analysis non-chp part non-chp electricity heat Cogeneration Unit 1- Determine overall efficiency using actual operational data over a reporting period (usually annual) 2- Overall efficiency = (energy output) / (fuel input) 3- Overall efficiency = (Total Elect + Useful Heat) / (fuel input)

25 Useful Heat is the heat produced in a Cogeneration process to satisfy an economically justifiable demand for heat or cooling Article 3 (b) of the Directive Examples of useful heat: Process heating (hot water or steam) Space heating/cooling, domestic hot water Heat for drying purposes What about heat used in AD? Or for drying biomass/waste etc? How about heat for heating fuels?

26 Calculation of Electricity from Cogeneration Step 2-2 Efficiency test Analysis: All electricity is consider as high efficiency Cogeneration electricity, if the overall efficiency of the Cogeneration unit is equal to greater than.. (a) 80% for "Combined cycle gas turbines with heat recovery" and "Steam condensing extraction turbinesbased plants", and (b) 75 % for the other types of cogeneration units, The majority of simple small scale schemes should have no problem meeting these limits

27 Calculation of Electricity from Cogeneration Step 3-3 Determine CHP electricity Analysis: If the η overall < 75% or 80% (depending on technology used), non-chp electricity generation may take place and the plant can be split into two parts, the CHP part and the non-chp part. fuel CHP CHP part CHP electricity useful heat (H CHP ) fuel non-chp non-chp part non-chp electricity Heat?? Cogeneration Unit

28 Calculation of Electricity from Cogeneration Step 3-3 Determine CHP electricity Use E CHP = H CHP * C actual. to determine CHP electricity Where, C actual is the actual "power to heat ratio" based on measured figures.. At full Cogeneration mode H CHP is the actual useful heat How do you measure this?

29 Calculation of Electricity from Cogeneration Step 4-4 Determine Power to Heat ratio Existing plants: C actual = actual (measured) "power to heat ratio" when operating in Full Cogeneration mode If not possible then the plant operator can use default "power to heat ratio" (C default ), as specified in Annex II to Directive 2004/8/EC Type of the unit Default power to heat ratio, C Combined cycle gas turbine with heat recovery 0.95 Steam backpressure turbine 0.45 Steam condensing extraction turbine 0.45 Gas turbine with heat recovery 0.55 Internal combustion engine 0.75 For plants under development or in the first year of operation: where measured data cannot be established, the design "power to heat ratio" (C design ) in full cogeneration mode can be used. The CHP electricity is calculated according to the formula E CHP = H CHP * C design

30 2 x GT (2 x 4 We) with common SF HRB 3 x FB's,???? 1 x BP ST (4.5 We) & 1 x PO/CO ST (5.0 We) Total rated power capacity = 17.5 We Steam generated at 45 bar/380 o C Steam to site at 15 bara (P) and 2.4 bara (LP) Oil ( by tank dip) Gas Gas Typical Industrial CHP Oil ( by tank dip) KEY Boundary Gas Oil Steam Electricity eter Boiler 1 HRB Exhaust gases Boilers 2 3 & 4 Gas compressor 45 bar steam CHP Boundary Gas turbines Condensate 15 bar steam Directive Boundary 2.4 bar steam To site Import Electricity Export LP steam to site P steam to site

31 What progress has been made? 1. S should have transposed the Directive by 21 February, 2006 [have a legislative and regulatory framework in place that encourages high-efficiency CHP] 2. S should have established the national potential for high-efficiency cogeneration (including identifying barriers) 3. S should have established a Guarantee of Origin certification system 4. They should have provided the Commission with a progress report, and 5. Provided annual statistics according to ANNEX II methodology Also need to develop own technical Guidelines

32 What progress has been made? Following table shows the information the Commission has on reporting obligations and transposition. Indicates a number of ember States, have still not fulfilled all the Directive requirements.

33 Reporting Obligations Status

34 To Summarize Harmonised Reference values published in February 2007 The Commission has published High level Guidelines for the implementation of Annex II Nov 2008 These are not detailed enough for complex schemes ember States should develop their own technical Guidelines to cover all technologies, fuels and applications

35 2 nd Presentation Alternative ethods The UK Approach Using the CHPQA programme Which complies with Article 12.2 of the Directive

36 Alternative Calculation ethods Article 12 presents an option of applying alternative calculation methods Subject to the Commission s Approval Article 12.1 allows S to use other methods to determine electricity from Cogeneration without using Annex II method Article 12.3 Until the end of 2010, S can determine electricity from cogeneration without verifying that the CHP production fulfils the criteria in Annex III(a), if it is proved on a national level that the CHP production identified by such an alternative calculation methodology fulfils, on average, the criteria in Annex III(a). Article 12.1 and 12.3 are time restricted to 2010 while the method presented in Article 12.2 has no time restriction.

37 Article 12.2 ethod Article ember States may calculate primary energy savings from a production of heat and electricity and mechanical energy according to Annex III (c), without using Annex II to exclude the non-cogenerated heat and electricity. Provided it fulfils the efficiency criteria in Annex III (a) (i.e PES 10%) and PES Zero for Small scale and micro CHP And Schemes with electrical capacity > 25 We have to meet overall efficiency 70%.(NCV) Have to use Annex II for providing statistics and for issuing Guarantee of Origin certificates.

38 The UK Approach The UK s CHPQA Programme was developed prior to the EU CHP Directive (in 2000/01) The UK complies with the Directive through Article (meeting Annex III requirement mentioned earlier) Have to use Annex II for providing statistics and for issuing Guarantee of Origin certificates.

39 Fiscal Benefits for Good Quality CHP Climate Change Levy (CCL) Exemption on both fuel input and electricity output Business Rates Exemption Hydrocarbon Oil Duty Relief Enhanced Capital Allowance Carbon Allocation under EU-ETS Phase II (Separate CHP sector) 1 ROC/Wh for electricity from EfW CHP~ 50/Wh for the Biomass fraction 2 ROCs for dedicated biomass CHP (from 2009)~ 100/Wh Carbon Reduction Commitment (CRC) Zero Carbon for Heat

40 Why CHPQA? The CHPQA Programme was introduced in 2000/01 following extensive consultation with Industry. CHPQA provides the methods and procedures needed to assess and certify: the full range of CHP Schemes (from 30 kwe to 1,700 We), covering all fuels (conventional and alternative) and technologies (from fuel cells, reciprocating engines to CCGT). It is designed to ensure that schemes that are certified as Good Quality deliver primary energy savings. This has been modified in line with ANNEX III PES requirement.

41 Good Quality CHP Threshold Criteria Quality Index (QI) >100 and Power generation efficiency of > 20% This way we recognise that electricity is harder won than heat. The programme offers the greatest rewards to schemes that save the most fuel, provide PES and displace the most CO2.

42 CHPQA QI Formulas CHPQA value electricity more than heat, but was designed to incentives heat recovery The general definition for QI is QI = (X x η power ) + (Y x η heat ) Where X=power factor and Y=heat factor Power Efficiency (η power ) = CHP TPO /CHP TFI And Heat Efficiency (η heat ) = CHP QHO /CHP TFI

43 QI Formulas for New Schemes registered after Jan 2007 For Alternative Fuels

44 Definition of GQCHP All laid out in the CHPQA Standard. For Existing Schemes: Quality Index (QI) >100 and Power generation efficiency of >20% For Upgraded & New Schemes: Quality Index (QI) >105 and Power generation efficiency of >20%.

45 Self-Assessment and Certification CHP Scheme Forms To Administrator Certificate Qualifying Power Capacity (QPC) Qualifying Fuel Input (QFI) Qualifying Power Output (QPO) Eligibility for ECA EU-ETS Allocation Used to monitor UK capacity Eligibility for CCL exemption on fuel purchases Eligibility for CCL exemption on electricity supplies ROCs for Renewable & EfW

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47 CHPQA Website Primary source for CHPQA information CHPQA Documents Guidance Notes CHPQA forms News Useful Contacts FAQ s Contact us

48 CHPQA Differs from EU Directive - ethodology CHPQA uses electrical efficiency and Quality Index (QI) in assessing the quality of schemes. QI is a function of heat and power efficiencies The EU Directive methodology uses overall efficiency figures (75% or 80%) to determine if a scheme is High Efficiency. Cont.

49 CHPQA Differs from EU Directive - Scheme Boundaries CHPQA based on Black-Box approach. Can include auxiliary/back up heat only boilers if are integral part of the Scheme Also allows supplementary firing in gas turbines. EU Directive methodology allows only the power generation unit and its associated heat recovery equipment to be included. Cont.

50 CHPQA Differs from EU Directive - Scheme Boundaries CHP Boundary By-pass stack Exhaust stack Boiler feedwater 10 bar/180 C (sat) Steam to site Steam meter 4(FR) Electricity meter 3(EQ) Gas meter 1(FcQ) Gas compressor Gas turbine GT1 Supplementary burner Boiler HRB1(SF) To hot well Shell boiler FB1(NO) Gas oil meter 2(FQ)

51 CHPQA Differs from EU Directive Scale-back With CHPQA fully or partially qualified CHP Schemes can qualify for fiscal benefits, scaled-back to GQCHP portion That achieves the PES threshold Non-CHP CHP Scheme Good Quality CHP with QI=100 and PES >10% EU Directive uses a whole Scheme approach. No scale-back This means all-or-nothing approach Cont

52 CHPQA Differs from EU Directive -Calculations Performance is calculated as per CHPQA methodology with QI formulas modified to accommodate Article 12.2 CHPQA Calculations based on GCV, while the Directive is based on NCV

53 To Conclude The UK has a well developed yardstick for evaluating and certifying CHP.. CHPQA This programme was developed prior to the EU- Directive (based on the UK Reference Values) Based on the final RVs Good Quality CHP in the UK, on the national level, achieves PES well above 10%. To comply with the Directive the UK chosen Article 12.2 Alternative ethod route This way we maximise the benefits to GQCHP and still in full compliance with the Directive.

54 Thank you