TURNING WOOD WASTE INTO CLEAN ENERGY

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1 TURNING WOOD WASTE INTO CLEAN ENERGY Andrew Haden President, Wisewood Energy Oregon s Future Energy Conference May 22 nd, 2018 Portland, Oregon Copyright Wisewood Energy. All rights reserved. Our Mission We outfit communities and businesses with state-of-theart biomass energy systems that strengthen local economies, lower energy costs and promote environmental stewardship. Technology in Service of Community and Environment 1

2 ABOUT WISEWOOD ENERGY Project Development: Project planning, project finance, fuel supply contracts, third-party owned thermal energy generation assets Design/Build: Biomass energy installations including complete system engineering, procurement and construction (EPC) Technical Consulting: Feasibility studies, financial modelling, and project management Territory: OR, WA, AK, CA, ID, MT, CO Oregon s Future Energy Conference BIOMASS ENERGY BASICS 2

3 WHAT IS WOODY BIOMASS? Cordwood Pellets Clean Chips Hog Fuel C&D Waste Yard Debris BIOMASS HEATING TECHNOLOGIES Technology Fuel Typical Installed Capacity User Pellet/clean chip boiler Pellets and/or clean chips Wood chip boiler District heating CHP Hog fuel wood chips Hog fuel wood chips Hog fuel wood chips < 3 MMBtu MMBtu 2 30 MMBtu >3-300 MMBtu Single-family homes, light commercial, institutional Commercial, institutional, and light industrial Commercial, institutional, municipal, industrial Industrial and district heating 3

4 MODERN BIOMASS HEAT & COMBINED HEAT AND POWER (CHP) Efficient: high conversion efficiency (>85%) Clean: low particulate, NOx and CO emissions Economical: lowers costs, supports local jobs Sustainable: supports sustainable forest management, diverts waste streams, low carbon fuel, locally abundant Scale: renewable energy system appropriately scaled for the resource and demand EFFICIENT Development of emissions of Austrian Biomass Boilers, measured by the federal agency for agricultural engineering Wieselburg (BLT) 4

5 CLEAN Development of emissions of Austrian Biomass Boilers, measured by the federal agency for agricultural engineering Wieselburg (BLT) > 4.5 CLEAN Particulate Emissions (lbs/mmbtu) x cleaner than EPA-certified woodstoves Very Low Emissions Possible Open Pile Burning EPA Certified Woodstove Pellet Stove Wood Chip Boiler Wood Pellet Boiler Oil Furnace Biomass CHP (w/ Particle Filter) Gas Furnace 5

6 ECONOMICAL $30.00 Energy Cost $/mmbtu (2018) $26.37 $25.00 $20.00 $22.99 $21.93 Gas is cheap, but most rural locations still depend on propane, oil, and electricity $15.00 $14.71 Rich in forest resources! $10.00 $9.47 $5.00 $4.15 $1.73 $- Electricity (retail) Heating oil (retail) Propane (retail) Wood pellets (bulk) Natural gas (retail) Forest Biomass (50%mc) Mill Residuals (20%mc) SUSTAINABLE RESOURCE 6

7 Oregon s Future Energy Conference MODERN WOOD ENERGY IN PRACTICE Ketchikan International Airport Pellet Boiler in Ketchikan, Alaska 7

8 8

9 Harney Community Energy District Heating with Wood Chips in Burns, OR 9

10 Photo: Marcus Kauffman 10

11 Photo: Marcus Kauffman 11

12 Plumas Health & Human Services Small-Scale CHP in Quincy, California 12

13 Versatile Wood Products Manufacturing Residuals Boiler in Portland, Oregon Photo: Dan Bihn 13

14 Photo: Dan Bihn Photo: Dan Bihn 14

15 Oregon s Future Energy Conference REDUCING URBAN WOOD WASTE WITH MODERN COMBUSTION TECHNOLOGY OVERVIEW Wood-fired energy systems are common in the wood products industry throughout Oregon and the USA Paper mills have historically accepted Portland s wood waste for use as boiler fuel, replacing natural gas Paper mills are closing or shrinking and over 100,000 tons of waste wood is now being landfilled in Arlington, OR (~180 miles from PDX) This is a problem for waste haulers and METRO Could this be an opportunity? 15

16 THE OPPORTUNITY There are essentially two kinds of waste wood in the eyes of permitting authorities Clean: pallets, 2x4s, tree care trimmings, etc. Contaminated: painted, treated, creosoted In order to generate industrial heat and power within the city limits of Portland, obtaining the necessary permits is critical Given current regulations, clean wood is the most likely source of wood to be used for urban wood waste energy projects Scale of the project will determine the technology used CLEAN WOOD WASTE 16

17 CONTAMINATED WOOD WASTE FIRST STEP IS CLEAN COMBUSTION 17

18 Photo: Mike Billman NEXT STEP IS FLUE GAS CLEANING IN ORDER OF COST AND COMPLEXITY Cyclones: simplest technology, reduces large dust particles by 50-70% Electrostatic Precipitators: 97% reduction of particulate matter including (PM 2.5) Fabric Filters: 99.8% particle reduction SNCR: reduction of NOx by urea injection Dry sorption: reduction of heavy metals and acids using hydrated lime and sodium bicarbonate injection 18

19 CYCLONES Source: Scheuch FABRIC FILTERS Source: Scheuch 19

20 ELECTROSTATIC PRECIPITATORS Source: Scheuch SNCR (SELECTIVE NON CATALYTIC REDUCTION) Source: Scheuch 20

21 DRY SORPTION Source: Scheuch OBSTACLES TO DEVELOPMENT High capital cost compared to conventional energy generation systems Cheap fossil fuels make for longer payback Misinformation and lack of education about small to medium scale biomass and emissions No direct incentive programs 21

22 PATHWAYS FORWARD Creative financing to help close the payback gap with conventional energy sources Tax incentives that recognize thermal biomass as a renewable energy for private investment Public loans and grants for long-term financing Philanthropic foundations with flexible, low interest terms for community energy systems Open minded citizens able to differentiate between different biomass technologies that value converting waste into useable energy over landfilling THANK YOU! Technology in Service of Community and Environment ANDREW HADEN PRESIDENT andrew@wisewoodenergy.com ADDRESS 2409 N Kerby Avenue Portland, OR WEBSITE wisewoodenergy.com 22