TITLE PAGE. Steps to Making it Possible. Keith Henn & Matt Krumenauer

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1 TITLE PAGE Power Insert Your Tt World Fleet Graphic with Biogas Steps to Making it Possible Keith Henn & Matt Krumenauer 0

2 Diamond in the Rough something that has a hidden exceptional characteristic or future potential, but currently lacks the final touches that would make it truly stand out from the crowd. 1

3 The Challenges WWTPs are an essential process in every community WWTP consume a lot of energy Biogas is often generated but frequently underutilized or flared to the atmosphere How can we transform this liability into asset? How do we optimize the biogas generated from WWTP for beneficial reuse? 2

4 The Steps 3 START FINISH

5 Your Energy Balance! ENERGY & EMISSIONS CHEMICALS EFFLUENT OTHER FUELS IN OUT PLANT RECLAIM WATER WASTEWATER IN POTABLE WATER SOLIDS OUT

6 Increase Biogas Generation General rule of thumb 1 MGD ~30 KW cogen Generation of more biogas: 1. Enhance digestion performance 2. Addition of Co-substrates Fat, oil & grease (FOG) Other organic wastes

7 Biogas Yield from Anaerobic Digestion Feedstock Type Animal Fat Waste Wheat (Whole Grain) Bakery Waste Fats - Grease Separator Sugar Residual Fats Grease Blood Floated Waste (DAF) Corn Silage Animal Carcass Triticale Food Waste (Left Over Food) Rye Straw Corn Silage Switchgrass Green Clippings (Garden) Waste Oats Municipal Wastewater Sludge Brewers' Grain (Waste) Potato Peelings Paunch Poultry - Chicken Manure Distiller Grain Wastewater Whey Fruit Waste Brewery Yeast Solution Swine Manure Dairy Manure 23,308 22,319 21,189 19,246 18,540 18,540 16,774 15,009 15,009 13,437 12,431 10,330 10,047 8,087 7,416 6,357 6,092 5,898 4,591 4,414 4,061 3,002 2,913 2,260 2,119 1,942 1,642 1,271 1,006 28, ,000 10,000 15,000 20,000 25,000 30,000 35,000 Biogas yield, cubic feet/wet ton 6

8 The Goal Optimize Biogas Utilization at WWTP in Oregon Define/assess scenarios that makes $ense Provide meaningful results from which clear management decisions can be made 7

9 Overview of Options 8

10 The Scenarios a 1. Baseline current conditions (boilers) 2. Utilization of biogas in an CHP 3. Injection of biogas into the natural gas pipeline 4. Utilization of biogas for renewable - compressed natural gas (R-CNG) vehicle fuel generation Note: a. There are numerous other options/permutations of these but funding limited it to these absolute options. 9

11 Cogeneration / CHP 10

12 Biogas Treatment Technologies Moisture Removal (H 2 O) Purification technologies (H 2 S, siloxanes) (1) activated carbon, (2) silica gel, (3) iron sponge, (4) biofiltration, and (5) scrubbers Upgrading technologies (CO 2 & purification) (1) water scrubbing/washing, (2) Pressure Swing Adsorption, (3) Amine Scrubbing, (4) Membranes, and (5) Cryogenic treatment. Biogas End Use VOL.<250 (SCFM) 250 <Vol.<2,000 (SCFM) VOL. > 2,000 (SCFM) Pipeline N/R Water Scrubbing/PSA Amine/Cryogenic R-CNG Vehicle Fuel Membranes Water Scrubbing/PSA N/R 11

13 Tetra Tech Example 1250 scfm Bio-catalyzed scrubber > H 2 S polish > PSA > Cooling/Compression > grid injection 12

14 Market Rules of Thumb for Biogas Use Technologies CHP RNG-Pipeline R-CNG Biogas Production > 150,000 scfd > 350,000 scfd > 250,000 scfd Biogas Composition CH 4 > 50% CH 4 > 50%; [O 2 + N 2 ] < 0.2% CH 4 > 50%; [O 2 + N 2 ] < 1.5% Electricity Price >$0.07/Kw.hr <$0.07 / kw-hr <$0.08 / kw-hr Natural Gas City Gate Price - >$10 / MMBTU >$5 / MMBTU Existence of NG pipeline Not required Required Preferred Value of REC >$2 / kw-hr - - Value of RIN - - >$0.20 / gge Gasoline Price - - >$2.7 / gallon Heat Requirements >1,500 MMBTUs - - Fleet Requirements Vehicle CNG powered fleet Transit or School Buses, or Refuse Trucks 13

15 Fleet Baseline Analysis Public transit CNG & R-CNG Fleet Development Potential Waste Management Haulers Truck/shipping transport Public works Taxis Photos Courtesy of Clean Energy Fuels 14

16 Components of a Successful CNG & R-CNG Fleet 1. Regional infrastructure and support 2. Fueling infrastructure in place or will be installed 3. Large capacity fueling or staggered fill times 4. Captive fleet 5. High mileage (but local use) 6. Ability to purchase new 7. Expansion plans 8. Institutional commitment 15

17 CNG & R-CNG What works best! Best logistically & economically: Captive, owned fleet & infrastructure Photo Courtesy of Volvo/Mack Trucks PM: Floriano Ferreira (Tetra Tech); Photo Courtesy of Fair Oaks LLC 16

18 Value of (R-)CNG to Standard Fuel Diesel Fuel Equivalent CNG Pricing (USEIA) PPP000:nom_T_DieselFuel Diesel Fuel distillate # Price (Cents/gal) CNG Fuel Price ($/MMBTU) 30% discount Price ($/'000cf) CNG is sold by volume as gasoline gallon equivalent (gge) or diesel gallon equivalent (dge). There are approximately 115 scf / 1 gge and 137 scf / 1 dge Local R-CNG Prices Equivalent Natural Gas Value ($/ gge) ($/ 000cf) Low $1.41 $12.27 High $2.20 $19.14 Average $2.00 $

19 Renewable Fuel Standard 2 Source: National Academy of Sciences For biogas, 77,000 BTUs is equal to 1 gallon equivalent or 1 RIN 18

20 Renewable Identification Number (RIN) RINs have value Predictability is difficult Figure 4 5: Historic Prices by RIN Categories Location RINs / year RIN Value ($ / gge) Low Mid High $0.02 $0.20 $0.86 CBWTP Scenario 4 1,560,158 $31,203 $312,032 $1,341,736 CBWTP Scenario 5 2,548,499 $50,970 $509,700 $2,191,709 Gresham Scenario 4 641,983 $12,840 $128,397 $552,105 For biogas, 77,000 BTUs is equal to 1 gallon equivalent or 1 RIN 19

21 Case Studies: 4 WWTP Plants Columbia Boulevard WWTP 1,500,000 standard cubic feet per day (scfd) of biogas Currently use newer CHP, sale to adjacent user Gresham WWTP 175,000 scfd of biogas Currently use newer CHP, early stages of co-digestion Willow Lake Water Pollution Control Facility 300,000 scfd of biogas Have an antiquated CHP Tri-City WWTP 105,000 scfd of biogas Have an antiquated CHP 20

22 Existing Systems (Example) 21

23 The Scenarios a 1. Baseline current conditions 2. Utilization of all available biogas in an CHP 3. Utilization of all available biogas for injection into the local natural gas pipeline 4. Utilization of all available biogas for renewable-compressed natural gas (R-CNG) vehicle fuel generation 5. Utilization of existing CHP + balance R-CNG b Note: a. There are numerous other options/permutations of these but funding limited it to these absolute options. b. CBWTP only 22

24 Columbia Boulevard WWTP 1,500,000 scfd of biogas Newer CHP, sale to adjacent user $0.075 kw-h Parasitic load - cost avoidance 23

25 Columbia Boulevard WWTP 24

26 Gresham WWTP 175,000 scfd of biogas Use newer CHP, co-digestion $0.089 kw-h Parasitic load lower than CBWTP 25

27 Willow Lake Water Pollution Control Facility 300,000 scfd of biogas Have an antiquated CHP $0.073 kw-h More analysis needed 26

28 Tri-City WWTP 105,000 scfd of biogas Antiquated CHP $0.073 kw-h More biogas & analysis needed 27

29 Community Diamond Green in the Power Rough Machine something with a hidden exceptional characteristic or future potential, but currently lacks the final touches that exhibit its true value. 28

30 Conclusions 1. Economies of Scale rule applies 2. Revenue streams from biogas utilization (electricity, heat, pipeline RNG, R-CNG vary widely and rules of thumb should be used with extreme caution 3. CNG fleets & infrastructure in development 4. Technically it works, but logistically there are challenges ( Chicken and the Egg ) 5. Best CNG scenario (logistically & economically): Captive, owned CNG, fleet, & infrastructure 29

31 Recommendations 1. Detailed analysis is needed to make sound decisions 2. Policies, incentives, environmental & markets need to catch up! Most plant currently lean toward CHP because these are simpler and arguably the most lucrative 3. R-CNG is a viable option 30

32 Acknowledgement Bioenergy Steering Committee: ODOE Matt Krumenauer AWCA Janet Gillespie Energy Trust of Oregon Thad Roth Columbia Boulevard Wastewater Treatment Plant Paul Suto Gresham WWTP - Paul Eckley, Alan Johnston Willow Lake Water Pollution Control Facility Stephanie Eisner Tri-City WWTP - Kathryn Spencer Tetra Tech Floriano Ferreira, Jeff Coombe, Jeff Coombe Good Company Josh Proudfoot, Aaron Tooney 31

33 TITLE PAGE Insert Thank Tt World You Graphic! Keith Henn & Matt Krumenauer 32