MEDIUM AND SMALL SCALE CHP: Technologies, Legal Framework and Potential in Greece

Transcription

1 4 th International Conference on Legal Framework, Investment Opportunities and Technical Innovation in the Electricity Sector Athens, Greece, October 2009 MEDIUM AND SMALL SCALE CHP: Technologies, Legal Framework and Potential in Greece Christos A. Frangopoulos National Technical University of Athens School of Naval Architecture and Marine Engineering 1

2 MEDIUM AND SMALL SCALE CHP: Technologies, Legal Framework and Potential in Greece Definition The names CHP and cogeneration are used interchangeably to imply the simultaneous generation of useful thermal energy and electrical and/or mechanical energy from the same initial energy source. 2

3 MEDIUM AND SMALL SCALE CHP: Technologies, Legal Framework and Potential in Greece 1. Technologies 3

4 1. Technologies CHP technologies identified in the Directive: a. Combined cycle gas turbines with heat recovery b. Back pressure steam turbines c. Condensing-extraction steam turbines d. Gas turbines with heat recovery e. Reciprocating internal combustion engines f. Microturbines g. Stirling engines h. Fuel cells i. Steam engines j. Organic Rankine Cycles k. Any other type of technology or combination of technologies satisfying the definition of cogeneration. 4

5 1. Technologies Fig CHP system with back-pressure steam turbine. Fig CHP system with condensing-extraction steam turbine. 5

6 1. Technologies Fig Bottoming cycle CHP system with condensing steam turbine (Also: Bottoming organic Rankine cycle CHP system). 6

7 1. Technologies Fig CHP system with open-cycle gas turbine. Fig CHP system with closed-cycle gas turbine. 7

8 1. Technologies Fig CHP system with reciprocating internal combustion engine. 8

9 1. Technologies Fig Gas-turbine combined cycle CHP system with back-pressure steam turbine. 9

10 1. Technologies Fig Stirling engine. 10

11 1. Technologies Fig Hybrid CHP system with a solid oxide fuel cell and a gas-turbine. 11

12 System Electric power Annual average availability MW % Electric efficiency % Load 100% Load 50% Total efficiency % Power to Heat ratio Steam turbine Open cycle gas turbine Closed cycle gas turbine Joule-Rankine combined cycle Diesel engine Reciprocating internal combustion engine package 1. Technologies Table 1.1. Typical technical characteristics of CHP systems Fuel cells Stirling engines * The value 100 MW is a usual upper limit for industrial applications. Systems of this type can have higher capacities too. 12

13 MEDIUM AND SMALL SCALE CHP: Technologies, Legal Framework and Potential in Greece 2. Legal Framework 13

14 2. Legal Framework Main documents at the European Union level: Directive 2004/8/EC of the European Parliament and of the Council of 11 February 2004 on the promotion of cogeneration based on a useful heat demand in the internal energy market. Commission Decision of 21 December 2006 establishing harmonized efficiency reference values for separate production of electricity and heat in application of the Directive 2004/8/EC. Commission Decision of 19 November 2008 establishing detailed guidelines for the implementation and application of Annex II to Directive 2004/8/EC. 14

15 2. Legal Framework Main documents in Greece: Law 3734, : Promotion of cogeneration of two or more useful forms of energy. Law 3468, : Production of electrical energy from renewable energy sources and high efficiency cogeneration. Ministerial Decree Nr. Δ5-ΗΛ/Γ/Φ 1/οικ , , establishing harmonized efficiency reference values for separate production of electricity and heat. Ministerial Decree, Nr. Δ5-ΗΛ/Γ/Φ 1/οικ , , establishing α detailed procedure for the calculation of the electric energy from cogeneration, of the efficiency of cogeneration and of the primary energy savings due to cogeneration. 15

16 2. Legal Framework Law 3468/2006: Main provisions for High Efficiency CHP Priority of Independent Producers for connection with the System or the Interconnected Network is given to (a) CHP systems operating on renewable energy sources or a combination of RES and gaseous fuels, with no limit on installed capacity. (b) Other CHP systems with installed capacity up to 35 MW e. Priority of Autoproducers for connection with the System or the Interconnected Network is given to (a) CHP systems operating on renewable energy sources or a combination of RES and gaseous fuels with installed capacity up to 35 MWe, for the total of the electricity production. (b) Other CHP systems with installed capacity up to 35 MW e for the excess electricity production and up to 20% of the total annual production. 16

17 2. Legal Framework Law 3468/2006: Main provisions for High Efficiency CHP (continued) On islands not connected to the network, priority is given first to electricity produced by RES and then to the excess electricity produced by CHP. The Law also establishes the prices for the CHP electricity sold to the network. These prices are adjusted with time. 17

18 2. Legal Framework Law 3734/2009 Purpose: The harmonization of the Greek legal framework with that of the European Union, as established with the Directive. Main provisions: Definitions: Cogeneration, Useful heat, Electricity from cogeneration, Efficiencies of cogeneration, Small scale cogeneration (<1 MW e ), Micro-cogeneration (<50 kwe), Guarantees of Origin, etc. Electricity from cogeneration: E CHP = H CHP C Primary Energy Savings due to cogeneration (with respect to the separate generation of electricity and heat) Various procedural aspects 18

19 2. Legal Framework Ministerial Decree 15606/2009 It specifies the efficiency reference values for the separate generation of electricity and heat, which are used for calculation of Primary Energy Savings due to cogeneration. It specifies correction factors for difference in climatic conditions, network losses avoided with cogeneration. 19

20 2. Legal Framework Ministerial Decree 15641/2009 It defines the efficiencies of a cogeneration unit: Electrical efficiency: Thermal efficiency: E η e = F c c H η h = F CHP c Total efficiency: η =η +η e h It defines the Primary Energy Savings: PES = FE + FH Fc and the Primary Energy Savings Ratio: PESR F + F F PES 1 or: PESR = 1 FE + FH FE + FH η e η h + η η E H c = = er hr 20

21 2. Legal Framework Ministerial Decree 15641/2009 It gives a detailed procedure for splitting a cogeneration unit in CHP and non-chp parts, if needed, and for calculating the efficiencies, the PES and the PESR of each part. Cogeneration Unit H ul-chp : unavoidable losses F c F CHP F non-chp CHP Part non-chp Part H CHP E CHP E non-chp E c H ul-non CHP : unavoidable losses H w : waste (avoidable) Fig CHP and non-chp (conceptual) parts of a cogeneration unit. 21

22 MEDIUM AND SMALL SCALE CHP: Technologies, Legal Framework and Potential in Greece 3. Cogeneration Potential in Greece 22

23 3. Cogeneration Potential in Greece Table 3.1. Installed capacity of CHP systems in Greece in Sector Installed Capacity Electric (MW e ) Thermal (MW th ) Public Power Plants 63,7 345,6 Oil Refineries 112,6 159,22 Industry: Food, Drink and Tobacco 59,7 254,06 Industry: Textile and Leather 3,3 3,6 Industry: Non-Ferrous Metals 10 36,67 Industry: Non-Metallic Minerals 1,1 3,68 Tertiary: Hospitals 0,75 0,89 Tertiary: Universities 2,72 3,09 Greenhouses 9,77 11 Total 263,6 818,8 23

24 3. Cogeneration Potential in Greece The CHP potential has been estimated by the Centre for Renewable Energy Sources in 2008 with two approaches: (a) a bottom-up approach, starting with an estimation of the needs in electrical and thermal energy in various sectors (industrial, residential, tertiary, agricultural) and then estimating the technical and economic potential, and (b) a top-down approach, using the MARKAL model and software. A summary of the results of the two approaches is presented in the following. 24

25 3. Cogeneration Potential in Greece Approach (a) - Residential Sector Table 3.2. Technical potential in the Residential Sector (values in peak load demand). Thermal load in settlements near electricity generation plants: MW th District heating from independent producers: Thermal load: MW th Electric load: MW e Single houses: Thermal load: Electric load: Apartment buildings: Thermal load: Electric load: MW th MW e MWth MW e The following have been excluded from the estimate: The area of the prefecture of Athens, because it requires a special study Cities and settlements with fewer than 5000 inhabitants. 25

26 3. Cogeneration Potential in Greece Approach (a) - Industrial Sector Table 3.3. Technical potential in the Industrial Sector (based on questionnaire data analysis). Type of Industry Technical Potential Electric (MW e ) Thermal (MW th ) Food, beverages & tobacco 629, ,36 Paper, pulp and printing 82,78 189,93 Wood and Products 25,01 249,71 Textile, leather and clothing 108,74 236,66 Chemical & petrochemical 106,36 166,50 Iron & steel + non-ferrous metals 955, ,83 Non-metallic minerals* 98,52 171,55 Total 2005, ,54 * brick manufacturing 26

27 3. Cogeneration Potential in Greece Approach (a) - Tertiary Sector Table 3.4. Technical potential in the Tertiary Sector. Type of buildings Technical Potential Electric (MW e ) Thermal (MW th ) Hotels - Mainland 147,72 200,58 Hotels - Islands 26,48 33,18 Hospitals 109,18 164,42 Universities 67,34 97,26 Airports 2,5 3,99 Total 353,32 499,43 Office buildings

28 3. Cogeneration Potential in Greece Approach (a) Economic Potential in the Industrial Sector Industrial Sub-sectors participating in the sample: Iron, steel and non-ferrous metals Chemicals, Petrochemicals Food, beverages and tobacco Paper, pulp and publishing Wood and wood products Textiles, leather and clothing Non-metallic minerals (bricks) 28

29 3. Cogeneration Potential in Greece Approach (a) Economic Potential in the Industrial Sector Economic Potential for Cogeneration in all Industrial Sub-sectors participating in the Sample Cogeneration Potential (kw e ) % 10% 20% 30% DPB (0-5) 40% 50% Subsidy (% of the investment cost) DPB (>20) DPB (0-15) DPB (0-12) DPB (0-8) Potential Payback Period (Years) Fig Economic potential of cogeneration in the Industrial Sector as a function of the subsidy on investment and the acceptable payback period. 29

30 Cogeneration Potential (kw e ) 3. Cogeneration Potential in Greece Approach (a) Economic Potential in the Industrial Sector Economic Potential for Cogeneration in all Industrial Sub-sectors participating in the Sample % -30% -20%-10% 0% 10% 20% Cost of Fuel (0% corresponds to the current price) Potential Payback Period (Years) DPB (>20) DPB (0-12) DPB (0-15) DPB (0-8) DPB (0-5) 30% 40% Fig Economic potential of cogeneration in the Industrial Sector as a function of the cost of fuel and the acceptable payback period. 30

31 3. Cogeneration Potential in Greece Approach (a) Economic Potential in the Tertiary Sector Economic Potential for Cogeneration in the total of Hotels in Greece in relation to the Potential Payback Period (Grid-Connected and non-connected) Cogeneration Potential (kwe) Grid Connected System non-connected Systems DPB (0-5) DPB (0-8) DPB(0-12) DPB(0-15) DPB(>20) Potential Payback Period (Years) Fig Economic potential of cogeneration in Hotels as a function of the acceptable payback period. 31

32 3. Cogeneration Potential in Greece Approach (a) Economic Potential in the Tertiary Sector Economic Potential for Cogeneration in relation to the Subsidy for the Investment in hospitals Cogeneration Potential (kwe % 10% 20% 30% Subsidy (% of the cost of the investment) 40% 50% DPB (0-8) DPB (0-5) DPB(0-15) DPB(0-12) DPB(>20) Potential Payback Period in Years Fig Economic potential of cogeneration in Hospitals as a function of the subsidy on investment and the acceptable payback period. 32

33 3. Cogeneration Potential in Greece Approach (b) : MARKAL Model Table 3.5. Development of electric and thermal capacity of CHP in Greece MW e MW th MW e MW th MW e MW th Tertiary Sector Hotels Grid Connected Hotels Island Systems Hospitals University Campuses Office Buildings Other Tertiary Grid Connected Other Tertiary Island Systems Residential Sector Industry Food, Beverages and Tobacco Textile, Leather and Clothing Pulp, Paper and Printing Chemical Industry Wood & Products Aluminum Iron & Steel Non-Metallic Minerals Refineries Total

34 Thank you for your attention 34