Waste Minimization Branch U.S. EPA Office of Solid Waste

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1 RCRA Gasification Initiative Knoxville, Tennessee April 12, 2005 Rick Brandes,, Chief Waste Minimization Branch U.S. EPA Office of Solid Waste 4/18/ An Opportunity Turn an expensive waste problem into a partial solution to our expanding energy needs: the use of gasification to help eliminate hazardous and non-hazardous waste materials by turning them into energy and/or industrial raw materials 4/18/ Petroleum Gasification Exclusion 1

2 U.S. Energy Sources (96.4 Quads) Natural Gas 22.9% Nuclear Electric 8.0% Coal 22.5% Renewable Energy 7.5% Petroleum 39.1% 4/18/ Renewable Sources (7.2 Quads) Hydroelectric 48.7% Wind 0.6% Solar 1.0% Geothermal 5.2% Biomass / Waste 44.5% 4/18/ Petroleum Gasification Exclusion 2

3 Waste Energy Sources (2.2 Quads) MSW Combustion 13.7% MSW Landfill Gas 4.9% Industrial Wood Waste 75.6% Industrial Waste Combustion 5.8% 4/18/ SUSTAINABILITY FOCUS H2 Economy Gasification MARKET FORCES Waste-to-Energy STRATEGIC VISION Landfill 4/18/ Petroleum Gasification Exclusion 3

4 Comparisons: Coal vs. Gasification Greater energy recovery IGCC plant 38%-47% efficient. (NETL & Marano, 2003). Cleaner emissions without substantial emission control Conventional coal plant 34% efficient (EPA,( 2001). - Increased emission controls lowers plant efficiency 4/18/ Emissions Comparisons: Coal vs. Gasification SO2 (lb/mmbtu MMBtu) PC plant 0.2 IGCC 0.08 PM-10 (lb/mmbtu MMBtu) PC plant <0.03 IGCC /18/ Petroleum Gasification Exclusion 4

5 Mercury Mercury reduction 40 tons of mercury released from coal combustion for energy High priority reduction target for EPA Major cost advantage to mercury removal from gasification (about $3,000/lb.) vs. conventional pulverized coal plants (about $30,000/lb) 4/18/ Office of Solid Waste - Gasification Efforts Regulatory change to the hazardous waste regulations governing wastes going to gasification Working with companies seeking to build gasifiers handling municipal wastes, agricultural wastes, and special wastes such as tires significant increase in contacts over the past year 4/18/ Petroleum Gasification Exclusion 5

6 Why Gasification of Hazardous Wastes? Has the potential to convert hazardous materials into energy and products in an environmentally sound way. Beneficial properties: preventing pollution due to higher efficiency, reduction in air emissions over some other technologies, breakdown of pollutants into basic components 4/18/ What Regulatory Hurdles Would Need to be Overcome? Technologies that utilize or treat hazardous wastes are usually subject to RCRA and its requirements. Not only do units usually require a RCRA permit but: - hazardous wastes sent to the gasifier would need to be manifested 4/18/ Petroleum Gasification Exclusion 6

7 Regulatory Hurdles (continued) hazardous waste code carry-through causes residuals to be hazardous wastes syngas would have to meet fuel specs to remove waste-derived label storing hazardous materials at the site would require a RCRA permit 4/18/ Why Would Gasifiers and Generators Want to Gasify Hazardous Waste? potential additional revenue source - charging a fee to take hazardous materials replaces some of the regular feed that would otherwise have to be paid for clean energy systems which may qualify for tax incentives 4/18/ Petroleum Gasification Exclusion 7

8 Universe of Secondary Materials Being Combusted Now According to 1997 EPA data, total non- wastewater hazardous wastes managed in United States was 35.1 million tons. Total hazardous waste combusted in 1997 was 3.3 million tons (nearly 10% of total above). 4/18/ Petroleum Refineries Potentially the proposal would directly affect the petroleum refineries in the U.S. EPA data shows these facilities generating between 7 and 10 million tons of hazardous waste, some of which could be gasified. 4/18/ Petroleum Gasification Exclusion 8

9 Petroleum refineries and future energy sources In 2002, refineries consumed 821 trillion Btu (TBtu)) of natural gas for fuel and non-fuel purposes (EIA, 2005). Annual refinery production of petcoke is equivalent to 1,508 TBtu (Bailey & OAR, 2004). Production is expected to increase from 40.8 million tons to 42.3 million tons/year by 2010 (NETL & Marano, 2003). Energy content in annual petcoke generation rivals energy content in Alaska gas pipeline. 4/18/ Summary of EPA s Gasification Proposal (see 67 FR 13684) A conditional exclusion from the definition of solid waste. If promulgated, it will say.. hazardous oil bearing secondary materials generated at petroleum refineries (SIC 2911) and inserted into gasifiers to produce a syngas used as an ingredient in chemical manufacturing or as a fuel... are not solid wastes. 4/18/ Petroleum Gasification Exclusion 9

10 Conditions to Meet Proposed Exclusion: Gasifier meets definition of gasification system Synthesis gas meets fuel specification Limits on metals for materials placed onto the land Materials Management 4/18/ Expansion of Exclusion EPA is also considering expanding this exclusion from the definition of solid waste to include any other hazardous wastestream generated in industry. Rationale: if hazardous waste from 2911 can be used as gasification feedstock, why not other wastestreams going to gasification? 4/18/ Petroleum Gasification Exclusion 10

11 Potential Benefits (cont) increased efficiency in the production of electricity, especially in integrated gas turbine systems; reduction in emission of greenhouse gases, particularly CO2, in higher efficiency gasification systems over more conventional power generation (plus potential sequestration) reduction in emission of acid rain causing pollutants; 4/18/ Potential Benefits (cont) reduction in particulate matter; and reduction in energy usage and pollution from reductions in the acquisition, transportation, and preparation of virgin materials used in electricity production, petroleum refining, and chemical manufacturing industries. 4/18/ Petroleum Gasification Exclusion 11

12 Potential Benefits (cont) Any gasification system can be a viable source of hydrogen ready to provide H2 as a fuel for transition to a hydrogen-based transportation system Ideally distributed system for hydrogen supply Industries (and municipalities) could be fuel suppliers and each plant manager or mayor becomes a mini oil sheik 4/18/ Status of the Gasification Proposal Working on the final rule now. Comment period closed September 10, comments received from States, industry, environmental groups Planning to issue the final rule by the end of this year. 4/18/ Petroleum Gasification Exclusion 12

13 Status of the Gasification Proposal (cont) Current plan is to issue gasification exclusion in phases First phase is to exclude hazardous secondary materials from petroleum refineries Second phase is to expand the exclusion to any hazardous wastes 4/18/ Status of the Gasification Proposal (cont) Staff recommendation to reduce the conditions attached to the exclusion Drop the condition requiring the product to meet a synthesis gas specification Drop or modify the requirement for the resulting frit to meet Universal Treatment Standards 4/18/ Petroleum Gasification Exclusion 13

14 Municipal and other solid wastes Significant increase in start up companies briefing EPA on municipal waste gasification Much of these briefings involve venture capital investments and plasma arc technologies Major barrier to construction of an infrastructure of gasifiers with waste materials as feedstock is economic, not technical 4/18/ Municipal and other solid wastes (cont) Municipalities could benefit from having a gasification system for their wastes in many ways: - increase landfill lifespans,, no closure costs - power municipal transportation systems - generate electricity for municipality 4/18/ Petroleum Gasification Exclusion 14

15 United States CO 2 Emissions by Sector and Fuels in 2000 Millions of metric tons per year carbon equivalent Natural Gas Petroleum Coal Residential Commercial Industrial Transportation Electric Generation Source: U.S. EPA Inventory of Greenhouse Gas Emissions, April /18/ Next Steps Issue final rule for petroleum refineries Begin another rule to expand the exclusion to any hazardous wastes Work within EPA media offices to promote the use of gasification for a wide range of non- hazardous wastes Work with other federal agencies (e.g., DOE, USDA) to promote gasification as a method for handling wastes 4/18/ Petroleum Gasification Exclusion 15