CO2 Capture Systems. IEAGHG International Summer School Beijing. Ludger Schlueter 16/08/2012

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1 CO2 Capture Systems IEAGHG International Summer School Beijing Ludger Schlueter 16/08/2012

2 Agenda Introduction Technology Options 1 st Generation 2 nd Generation Cost of CCS ALSTOM Carbon Capture Technology P CC 16/08/2012

3 Three main activities in 4 sectors* Equipment & services for power generation Alstom Thermal Power Equipment & services for rail transport Alstom Transport Alstom Renewable Power Equipment & services for power transmission Alstom Grid * Organisation as of 4 July 2011 P 3

4 Some key numbers 92,500 employees in 100 countries Thermal Power 9.7 bn 46% 17% Grid 3.6 bn 10% 27% Transport 5.6 bn Renewable Power 2 bn Total sales 2010/11: 20.9 billion P 4

5 CO2 emissions Scénarios GtCO2 Global CO2 emissions due to fossil (all sectors, coal, gas, oil) CO2 Réduction * Source: WEO/IEA 2011 Outstanding effort needed to reach 450 ppm objective +2 C The door is closing! P 5

6 Evolution of global CO 2 emissions Global Fossil related CO 2 emissions 43 GtCO2 21 GtCO2 29 GtCO2 Other sectors Power Generation 36 % 41 % 46 % * Source: IEA Current Policies Scenario 2035: Power Generation remains the main contributor of CO2 emissions P 6

7 Evolution of Power CO 2 emissions Power sector Annual CO2 emissions GtCO By fuel Oil Gas Coal By region RoW India China Europe NAM * Source: IEA Current Policies Scenario Developing countries represent 100% of incremental CO 2 emissions Alstom CO2 Capture Systems - P 7 P 7

8 CCS is essential for Power generation 25 Power generation CO 2 Emissions Gt/y Includes CCS 75 GWe Includes CCS 540 GWe Current Policies path +6 C Source : Alstom analysis from IEA WEO New Policies path +3,5 C ppm Needed path +2 C Today 400ppm 12 CCS pilots 5 large-scale demo in development CCS on gas and coal power generation is essential to massively reduce CO2 emissions from fossil plants complementary to REN & NUC technologies P 8

9 Decarbonized Power within Alstom Hydro Nuclear (Conv. Island) Wind Biomass Geothermal Tidal Solar P 9

10 Production Efficiency within Alstom Retrofit Plant Optimisation: Turbine retrofit: Boiler retrofit: CO 2 emissions -5% CO2-5% CO2-3% CO2 New Plants Smart Fuel Selection Efficiency CO 2 emissions Coal Gas 30% to 50% 40% to 60% 40% 33% P 10

11 Alstom s CCS Technology development Development of technologies with minimized impact on cost and performance (e.g. cost of electricity for a power plant). Optimized process and thermal integration with the base installation. Post-combustion (New + retrofit) Oxy-combustion (New + retrofit) Pre-combustion (New only) Source: Vattenfall Solutions developed by Alstom Chilled Ammonia Advanced Amines Regenerative Calcium Cycle 1st Generation 2nd Generation Integrated Oxy Systems Chemical Looping P 11

12 Technology Options for Carbon Capture CO 2 Separation Absorption Adsorption Alternative Technologies Chemical Physical Adsorber Beds Regeneration Methods Cryogenic Membranes Looping Other Amine Alternative Absorbent Primary Ammonia Rectisol Alumina Pressure Swing A. Oxy Combustion + Distillation Gas Separation Chemical Ionic Liquids Secondary Tertiary Alkaline Compound Salts of AminoAcids Selexol Other Zeolite Activated Carbon Temperature Swing A. Electro-thermal Swing A. Frosting / Antisublimation Gas Absorption Ceramic based Carbonate / RCC Microbial/ Algal Sterically Inhibited Vacuum Swing A. Washing Based on Oexmann J. and Kather A.: Postcombustion CO2 Separation in VGB PowerTech ½, pp , 2009 P 12

13 1 st Generation 3 Main Options for CCS from Power Plants VGB Report on State of the Art CO2 Capture 2009 P 13

14 Technology of Choice Today - Examples When to Choose Post Combustion Capture Technology Integration in existing Power Plant Infrastructure If existing Power Plant is CCS-Ready If retrofit with Oxy-Combustion is not possible When to Choose Oxy-Combustion Capture Technology For new Power Plants If retrofit with Oxy Combustion is possible for existing Power Plant When to Choose 2 nd Generation Technology today For Small Scale Plants For Demo-Plants When Technology is Available for Commercial Scale General decision basis (examples) CAPEX / OPEX / (Parasitic Load) Situation in existing plant (e.g. Space available, Basis of Design) Capacity of Power Plant P 14

15 Advanced Amine Process Technology Overview Principle An amine based solvent reacts with the CO 2 in the flue gas Raising the temperature reverses this reaction, the CO 2 is released and the solvent recycled 2R-NH 2 + CO 2 (g) -> R-NH R-NH-COO- (1) Advantages of Alstom s AAP Proven in natural gas & syngas purification CO2 capture from flue gas is a new application More efficient capture of CO 2 and less solvent degradation than MEA Higher tolerance against oxygen & trace contaminants Source: Alstom Joint Development A strong team to develop a new application P 15

16 Advanced Amine Process (AAP) Process description Simplified Process Schematic of the Advanced Amine Process (AAP) Flue Gas Water Rich Solution Lean Solution Clean Flue Gas To Stack Pressurized CO 2 CO 2 to Pipeline CO 2 CO 2 Compressor CO 2 Drying System Water Wash Cooler CO 2 Cooler Lean Cooler Water Wash Pump CO 2 Absorber Lean/Rich X Exchanger Amine Regenerator Column Flue Gas From FGD Amine Reclaimer Amine Filter Reboiler DCC CO 2 Absorption Rich Solution Pump Simplified Process Schematic of the Advanced Amine Process (AAP) Lean Solution Pump CO 2 Regeneration P 16

17 Advanced Amine Process Update on Alstom roadmap Pilot Industrial / Validation Large-scale demonstration Commercial University of Texas USA Dow Chemical Co. USA - 2MWth, Coal EdF Le Havre France - 5 MWth, Coal PGE Belchatow Poland MWe net, Lignite Tests completed In construction In operation Targeted Moving forward to scale-up the technology P 17

18 Advanced Amine Process Field Pilot - Le Havre C2A2 - field pilot - Le Havre - France Designed to capture 25 t CO2/ day, 90% CO2 capture EdF Le Havre coal power plant (field pilot represented in orange) Advanced flow scheme & operation validation Flue gas: slipstream from 600 MWe coal plant (EdF host facility) French funding by ADEME Project schedule - Overall program - Test from Q3 12 to Q2 13 (1 year) P 18

19 Advanced Amine Process Large scale demonstration - Belchatow Belchatow - Large scale - Poland - PGE Belchatow Power Plant MOU Alstom - PGE Elektrownia Belchatow Large-scale CCS demonstration facility 260 MWe net Host facility 850 MW lignite unit (built by Alstom) 1.8 Mt CO2 to be captured and stored per year Selected for EERP funding, preselected for NER300 Project schedule: Engineering for permitting completed 2012: Finalizing Contract Target for operation 2015 Reaching large scale demonstration phase P 19

20 Chilled Ammonia Process Technology Overview Principle Ammonium carbonate solution reacts with CO2 of cooled flue gas to form ammonium bicarbonate Raising the temperature reverses this reaction, pressurized CO2 is released, the solution is recycled CO2 (g) == CO2 (aq) (1) (NH4)2CO3 (aq) + CO2 (aq) + H2O (l) == 2(NH4)HCO3 (aq) (2) (NH4)HCO3 (aq) == (NH4)HCO3 (s) (3) (NH4)2CO3 (aq) == (NH4)NH2CO2 (aq) + H2O (l) (4) Side reactions SO2 (g) + 2NH3 (g) + H2O (aq) == (NH4)2SO3 (aq) (5) (NH4)2SO3 (aq)+ 1/2O2 (g) == (NH4)2SO4 (aq) (6) Advantages High CO2 purity Tolerant to oxygen and flue gas impurities Stable reagent, no degradation nor emission of trace contaminants Low-cost, globally available reagent A perfect match P 20

21 Chilled Ammonia Process (CAP) Process Description Flue Gas from CAP Flue Gas from FGD Gas Cooling and Cleaning Scrubbed Flue Gas Reagent CO 2 CO 2 Cooled CO 2 CO 2 Regenerator CO Flue Gas Absorber 2 Heat Transfer CO 2 Rich Clean CO 2 to Storage CO 2 is captured from flue gas by direct contact with lean ammoniated solution. Rich ammoniated solution is heated in a regeneration system operated at pressure to release CO 2. Regenerated solution is returned to the absorber where it is reused the capture CO 2. Reagent Lean Heat and Pressure P 21

22 Chilled Ammonia Process (CAP) Process description Electrical Consumers To Absorber American Electric Power Mountaineer Power Plant CCS Product Validation Facility New Haven, WV Thermal Consumers P 22

23 Chilled Ammonia Process Update on Alstom roadmap Test Rigs Industrial Pilots Validation Pilots 2015 Large-scale demonstration Commercial Alstom Vaxjö Sweden 0.25 MWth We Energies Pleasant Prairie USA - 5 MWth, Coal EoN Karlshamn Sweden - 5 MWth, Oil AEP Mountaineer USA - 58 MWth, Coal TCM Mongstad Norway - 40 MWth, Gas Tests completed In operation In construction Targeted Roadmap to scale-up promising Chilled Ammonia! Getica Turceni Feasability Romania - >250 Mwe net, Lignite Datang - Dongying (Post AAP or CAP) China MWe eq., coal - MOU P 23

24 Chilled Ammonia Process Validation Pilot - AEP Mountaineer Mountaineer - Validation coal pilot - USA WV- AEP Validation of complete CCS Chain Designed to capture & store 100,000 tco2/year Commenced engineering and permitting Oct07 First CO2 captured in Sept 09, Captured CO2 sequestered into through two wells on the plant property, first injection started 1st of October 2009 Alstom responsible for CAP island (others by AEP) Alstom s Chilled Ammonia Process at AEP s PP Approx tons of CO2 captured Approx tons of CO2 stored CO2 product quality : 99.94% Capture rate: 90% validated Low ammonia emissions observed Tests completed - Technology validated Ready for scale-up P 24

25 Chilled Ammonia Process Validation Pilot Mongstad Norway European CO2 Technology Centre Mongstad (TCM) Flue gases from natural gas CHP plant and a catalytic cracker (refinery) Designed to capture tons CO2/year Amine Plant Aker Solution Mechanical Completion and Commissioning finished Started up July 2012 Chilled Ammonia Plant ALSTOM CCS technology validation on gas P 25

26 Chilled Ammonia Process Demonstration project at Turceni Turceni Power Plant 4x330 MW Romanian CCS Demonstration Project Integrated CCS demo: 1.5 Mtpa CO2 Capture: 85% minimum capture Transport: onshore pipeline Storage: deep saline aquifers (>800m) within a radius of 50 km Developers-Operators: Capture: Turceni Energy Complex Transport: Transgaz Storage: Romgaz Technical Consortium: Project Management and Technical & Financial Consultant: ISPE (Institute for Studies and Power Engineering) Capture Plant: Alstom Storage: GeoEcoMar, Schlumberger Alstom feasibility study completed Candidate for NER 300 funding P 26

27 Oxy-Combustion Process Technology Overview Principle Fuel is burned in a mixture of oxygen and re-circulated flue-gas. Due to the absence of Nitrogen, the resulting flue gas is enriched in CO2 After water condensing and further purification, CO2 is compressed and send to storage Advantages Reliability Adaptable to all boiler types and fuels Rapid scale-up to 1,000 MWe range Retrofit feasible Higher efficiency with supercritical/ultrasupercritical cycles Suitable for Coal and Gas fired power plants An excellent technological option! P 27

28 Oxy GPU Design and Typical Conditions Example for Coal fired Power Plants for EOR and Sequestration Quality Design for CO2 to saline formation : CO 2 feed quality %vol CO2,dry > 75 CO 2 separation by condensation Compression, chilling and pumping to the conditions necessary for transport and storage Product quality : %vol CO2 > 95 % Residual Oxygen < 0,8 % CO 2 Capture Rate > 90% Boiler flue gas DCC FGC Purification Regeneration Drying H 2 O CO 2 Cond/Dist CO 2 Separator Off gas vented Design for CO2 with EOR quality : Addition of distillation for CO2 separation Product quality : vol-% CO2 > 99 % Residual Oxygen < 10 ppm H 2 O H 2 O CO 2 Comp. Pump CO 2 to T&S P 28

29 Gas Processing Unit (DCC and GPU) Downstream of the oxy-boiler and the AQCS the flue gas is treated to reach the necessary CO2 purity according product specification. Main process steps : Direct Contact Cooler (DCC) reduces H2O to <5% Multi Stage Flue Gas Compression to >30 bar Conditioning and Drying Regeneration Gas System Chilling and CO2 Separation Off-gas System CO2 Recompression

30 Oxy-Combustion Process Update on Alstom roadmap 90 s R&D and Lab scale In operation Coming Pilots Vattenfall Schwarze Pumpe Germany - 30 MWth, Total Lacq France - 30 MWth, Alstom BSF USA - 15 MWth, GPU mobile pilot Large scale demonstration White Rose 426 MWe g - Selby (UK) Daqing 350 MWe g Datang (China) Moving forward to scale-up the technology 2017/18 Commercial P 30

31 Oxy-Combustion Process Vattenfall Schwarze Pumpe 30 MWth pilot Boiler ESP FGD Air Separation Unit Control Room Objective Demonstration of the technology path at pilot scale Alstom-Scope Oxy-boiler, ESP and other components Technology Partnership with Vattenfall FGC (source: Vattenfall) CO 2 Purification CO 2 Compression Schwarze Pumpe Pilot Status of Operation Start of operation: Sept 2008 Test with Alstom Burners completed Experience makes success possible P 31

32 Oxy-Combustion Process TOTAL Lacq - 30 MWth Pilot Main features (source: Total) 30 MWt retrofitted Boiler Lacq, France Retrofit to oxy-combustion of a 30 MWth existing boiler (natural gas) Located in SW of France Oxy-combustion process started Jul 09 End test expected end 2012 (18 mths extension of the original programme) Approx 120,000 t CO2 to be stored in a depleted gas field ALSTOM scope : Boiler retrofit First fully integrated CCS with pipeline transportation & storage P 32

33 Oxy-Combustion Process Alstom Windsor 15 MW Pilot Main features Located at the Alstom Power Plant Laboratory (PPL) in Windsor, CT, USA 15 MWth oxy-fuel boiler simulation facility (BSF), multi-burner arrangement (tangential firing system) 15 MWth oxy-fuel industrial scale single burner test facility (ISBF) Bituminous coals and lignites Modification of the existing BSF and ISBF test facilities with support from the US Department of Energy (DOE) Started testing in Sept. 09 Oxygen supply via tanks Wet and dry flue gas recycle options Boiler Simulation Facility (BSF) P 33

34 Oxy-Combustion Process GPU Pilot in Växjö GPU Compression and Purification Pilot at Växjö, Tests to follow in Windsor Purification Pilot Compression Pilot Removal of gas impurities and separation of CO2 at high pressure P 34

35 Project Snapshot Datang New supercritical 350MWe Gross Oxy Boiler Island with 2-pass Boiler Local Lignite (30%+ moisture) as fuel Clean power generation with the entire flue gas treated to capture ~2 Million t/y CO 2, partly re-use in EOR (Daqing oilfields) Located at Daqing site, Heilongjiang, northeast China Regional CO 2 transport & onshore storage network under investigation Project development activities on-going, Feasibility Study finalized Feasibility Study for Oxy-fuel CCS Demo in China P 35

36 Comparison 2 nd Generation CCS Chemical and Carbonate Looping Chemical Looping: Advanced Oxyfuel N 2 CO 2, H 2 O Carbonate Looping - RCC: Post Combustion Flue gas lean in CO 2 CO 2, H 2 O Air Reactor 1050 C MeO or CaSO 4 Me or CaS Fuel Reactor 970 C Carbonator 650 C CaCO 3 Calciner >900 C CaO Air Coal Flue gas Coal O 2 P 36

37 Chemical Looping Process Principle Solid oxygen carrier circulates between Air Reactor and Fuel Reactor: Carrier picks up O2 in the Air Reactor, leaves N2 behind and burns the fuel in the Fuel Reactor Typically, Oxygen Carriers can be metal oxide or limestone-based. Alstom is developing both types Advantages Avoids large costs and parasitic power of ASU Captures CO2 at temperatures higher than the power cycle temperatures, eliminating thermodynamic penalty associated with CO2 capture Uses conventional material of construction and fabrication techniques Largely based on Alstom s proven CFB technology A Promissing Breakthrough Technology P 37

38 Oxy-Combustion - Chemical Looping Process Alstom development logic kwth Pilot Chalmers University Test Rig Sweden - 10kWth MWth Prototype Eclair Darmstadt Germany - 1 MWth, Coal European RFCS funding MWe Demonstration Tests completed In commissioning In construction Coming Alstom Windsor Test rig USA - 65 kwth test rig Phase IV DOE/Alstom Programme, Windsor US - 3 MWth, Coal. Long-term agreement with DoE P 38

39 Oxy-Combustion Process ECLAIR EU program - 1 MWt prototype (Darmstadt) TECHNISCHE UNIVERSITÄT DARMSTADT ECLAIR Chemical looping 1 MWth - Coal RFCS EU contract Coordination and Technical Integration: Alstom Contractors : TU Darmstadt, Chalmers Univ., CSIC, SINTEF, Air Liquide, Vattenfall Dedicated building Darmstadt (GER) 48 months program: Design of main components: July 09 End of Commissioning : Feb 11 First tests with coal : March 11 Air Reactor Main objectives: Design and operation of a CLC 1 MWth pilot coal solid fuel Technical and economical assessment Total budget: 6.5 M - RFCS Funding : 2.27 M with Fuel reactor On-going CCS projects jfl 15 Nov 2010 P 39

40 Chemical Looping Combustion (CLC) 2nd Generation OXY CLC is an energy-efficient, clean combustion process that produces steambased power generation or clean hydrogen fuel while capturing CO2 for storage/re-use. CLC is similar to oxy-combustion in terms of producing a high CO2 concentration flue gas, but achieves this with the use of solid O2 carriers, rather than the conventional, costly and inefficient cryogenic air separation. CLC is a "game changing" technology in terms of overall efficiency and cost. It is the lowest cost (cost of electricity, or COE) CO2 solution identified to date for coal. DOE/Alstom Windsor US 3 MWth Chemical looping - coal RFCS EU -Darmstadt Germany 1 MWth Chemical looping - coal

41 Excursion: What is Regenerative Calcium Cycle RCC? The Feed CaCO 3 The Product CaCO 3 + CaO RCC - Limestone to Lime P 41

42 Carbonate Looping RCC Process CO 2 depleted flue gas CO 2 to compression CaCO 3 CaO +CO 2 CARBONATOR 650 C CaCO 3 CaO CALCINER 900 C Make-up CaCO 3 (limestone) CaO +CO 2 CaCO 3 Coal Oxygen Flue gas from power plant with CO 2 Ash deactivated lime O 2 supply to calciner (~ 1 / 3 of an Oxyfuel process) P 42

43 Flow Chart and 3D-Modell Carbonate Looping Pilot Height 20 m Flow chart - 1 MWth Pilot Arrangement of 1 MWt Pilot Carbonate/ Chemical Looping Test Plant TU-Darmstadt P 43

44 Applications Scheme for Retrofit Off gas CO 2 captured by CaO Q CaO +CO 2 CaCO 3 Q CaCO 3 CaO + CO 2 Power Plant Q ESP COND CO 2 Cement Iron & Steel Lime stone Potential breakthrough PCC technology for PP and industrial applications Increased plant net output Less external energy requirements Carbonator CaO CaCO 3 Calciner CaO CaCO 3 First tests passed successful at TU-Darmstadt in 1 MW th Pilot Coal Q ASU O 2 P 44

45 RCC CO2 emissions from cement production Raw Meal Limestone Clay Sand Iron ore Flue Gas CO 2 25% + O 2 6% N 2 69% Fuels 60 to 65% 1- PREHEATING 2- PRECALCINER 80 to 90% calcination 3- ROTARY KILN CaO & raw mat.sintered at high T into clinker CO 2 from calcination : 60% direct emissions CaCO 3 -> CaO + CO 2 at high T CO 2 from fuel comb n : 40% direct emissions Fuels 35 to 40% Clinker + Additives -> CEMENT CO 2 direct emission sources i) calcination (60%) ii) fuel (40%) CCS Seminar Taiwan Ludger Schlueter ALSTOM ALSTOM All rights All rights reserved. reserved. Information Information contained in contained this document in this is indicative document only. is No indicative representation only. or No warranty representation is given or or should warranty be is given or should be relied on that it is complete or correct or will apply to any particular project. This will depend relied on on thethat technical it is complete and commercial or correct or will circumstances. apply to any particular It is provided project. without This will depend liabilityon and the is technical subjectand to commercial change without circumstances. notice. Reproduction, It is use or disclosure to third parties, without express written authority,

46 Applications Scheme for Retrofit Flue Gas from Power Plant, Cement Plant, Iron & Steel, Development Strategy for 2nd Generation CCS - P 46 CO 2 captured by CaO CaO +CO 2 CaCO 3 CaCO 3 CaO +CO 2 Potential breakthrough PCC technology for Power Plants and Industrial solutions with increased plant net output. First tests passed successful at TU-Darmstadt in 1 MW th Pilot P 46

47 2 nd Generation Technologies The ALSTOM Contribution ALSTOM has a vast experience in design & construction of fluidized circulating bed systems and also indirect fired calciners Despite pure coal combustion also other solid materials handling has been engineered Use of sand to adjust ash properties Limestone injection in CFB boilers for sulfur removal BAIMA - China 1 x 300 MW Presentation title - 31/07/ P 47

48 Summary RCC RCC is a robust and competitive Post Combustion Capture technology Eligible to CCS-ready, retrofit on power and industrial plants Electrical power output of total plant increases Potential for lower net cycle efficiency penalty Confirmed CO2 capture rate of > 80 and up to 90% achievable Consumed lime/limestone to be re-used (e.g. in cement process) Addition of fresh limestone consumed to be confirmed in further testing Great optimization potential through integration Strong interest from Power and Industry Presentation title - 31/07/ P 48

49 Alstom activity on demonstration 1st and 2nd Generation CCS Tests complete Operating Large-scale projects-under development NER300 NER300 AEP Mountaineer US - 58 MWth Chilled Ammonia, coal Dow Chemical Co. US -2 MWth Adv. Amines - coal Vattenfall Schwarze- Pumpe Germany- 30 MWth Oxy - Lignite Total Lacq France - 30 MWth Oxy - Gas PGE Belchatow Poland 260 MWe Adv. Amines - Lignite NER300 White Rose CCS Project UK MWe Oxy coal EoN Karlshamn Sweden - 5 MWth Chilled Ammonia Fuel oil WE Energie US - 5 MWth Chilled Ammonia, Coal Construction complete, Operation 12 Alstom Labs Växjö Sweden 0.25 MWth Post C. multi purpose 2 nd Gen Alstom BSF Windsor US - 15 MWth Oxy - coals 2 Gen Getica - CET Turceni Roumania >250MWe Chilled ammonia - Lignite Datang- China Oxy 350 MWe lignite, Post 350 MWe eq. coal Task reaching Demo Scale TCM Mongstad Norway - 40 MWth Chilled Ammonia - Gas EDF Le Havre France 5 MWth Adv. Amines - Coal DOE/Alstom Windsor US 3 MWth Chemical looping - coal RFCS EU -Darmstadt Germany 1 MWth Chemical looping - coal Alstom GPU Pilot Mobile 0,3 MWth CO2 Purification NER300: Applied for EU ETS New Entrant Reserve funding Selected for receiving EEPR funding P 49

50 CO 2 capture and storage Projects and partnerships Postcombustion Pilot West Virginia (US) coal Joint development programme Adv. Amines Pleasant Prairie (US) coal Chilled Ammonia Karlshamm (Sweden) Fuel/Gas Chilled Ammonia Alstom labs Växjö (Sweden) multi-purp. Le Havre (France) Coal Adv. Amines Mountainer (US) Coal Chilled Ammonia Mongstad (Norway) Gas Chilled Ammonia Getica-Turceni (Romania) Lignite Chilled Ammonia-feasibility study Application NER 300 Belchatow (Poland) Lignite Adv. amines - FEED complete Application NER 300 Dongying (China) Coal - MoU signed 2 MWth 5 MWth 5 MWth 0.25 MWth 5 MWth 58 MWth 40 MWth 250 MWe 260 MWe 350 MWe tco 2 captured t/y t/y t/y 400 t/y eq t/y t/y t/y > t/y > t/y > t/y Schwarze Pumpe (Germany) Lignite 30 MWth t/y Oxycombustion 2 nd Gen Lacq (France) Gas Alstom Windsor (US) Coals White Rose CCS demo (UK)- Coal Application NER300 Daqing (China) Lignite Feasibility study signed Chemical Looping (Germany)-Coal Chemical Looping(USA) - Coal 30 MWth 15 MWth 426 MWe 350 MWe 1 MWth 3 MWth t/y Eq +/ t/y t/y > t/y t/y eq t/y eq. P 50 Tests complete Under construction Operating

51 CCS-ready CO 2 regulation already applied CO 2 regulation to be developed No CO 2 regulation to date, IFIs only Coming requirements to be able to meet CO2 reduction target in the future European Union Scope: Coal & Gas fossil plants >300 Mwe Requirement is an assessment of: availability of suitable storage sites, technical and economical feasibility of CO2 capture and transport Suitable space for future CO2 capture UK requires CCS-Readiness (not assessment only) Australia Federal: Requirement to be defined for all new coal PPs Queensland: the requirements for all new coal PPs are: Use of world s best practice low emission technologies CCS-ready + retrofit within 5 yrs after CCS validation NSW & WA: recommendation for all coal power plants: Implement CCS if economically & technically feasible International Financial Institutions Looking at CCS readiness as a requisit to finance

52 Capture-Ready study Identified pre-investments for future capture retrofit - Coal Electrical & Control Building: Extra space Waste Water Treatment System: foresee interconnection with power block WWTS Optimisation of the cooling system recovery of heat in CO2 capture and compression Steam Turbine: reservations in turbine design for future steam extraction Optimisation of the Boiler heat transfer surfaces according Modifications of heat load sharing FGD: leaving space for upgrade Stack duct: potential longer stack duct Transformer Area: installing an isolated bus Provisions in arrangement planning Alstom Capture Ready solutions developed upon three pillars: Early and substantial investment in Capture technologies development Integrated power plant expertise (EPC supplier of turnkey power plant) Component supplier experience (major equipt in 25% of the world installed base) Partnership with Schlumberger to cover the entire CCS chain Alstom CO2 Capture Systems - P 52 P 52

53 CCS competitiveness against other low carbon alternatives in Europe in Íncludes 14 EUR/t CO2 price Source : Alstom analysis CCS Post amine 2017 costs, including on shore T&S and CO 2 price (Flue Gas Recirculation case for CCS Gas CC) - Cost for firming intermittent Power Generation not accounted Under realistic assumptions and with a conservative variation range, CCS is already competitive on coal and gas from 2017 P 53

54 Hardcoal CCS power plant Sensitivity analysis - CoE 2032 EUR 2032 Base case: Post amine, onshore T&S, no CO2 price Fuel cost, Economic life, WACC have a strong impact P 54

55 Hardcoal CCS power plant Cost of Electricity (CoE) without CO2 Price CoE /MWh net EUR CoE /MWh net NAM CoE /MWh net SEA All with T&S in on-shore saline aquifer EUR 2032: CCS => +45% increase in CoE; NAM/SEA: lower CoE P 55

56 Hardcoal CCS power plant Fuel and Capex/Opex contribution in CoE / MWh net CoE Ref Plant & Incremental CCS in 2030 High capex, expensive coal Cheap coal, lower efficiency low Capex, expensive coal Regional differences in Fuel, Capex/Opex costs P 56

57 Hardcoal CCS Power Plant Post Amine CO2 price impact, base case on-shore T&S 2025: CO 2 price 42 /tco2 => ref & CCS plants CoE = 82 /MWh A relatively low CO 2 price could trigger the CCS deployment P 57

58 Conclusion Fossil Plants will still remain for several decades Reducing CO 2 emissions from these plants is an absolute need to limit global warming to 2 C (the current path leads to 6 C!) CCS is the only alternative to do it. It is competitive and affordable on both gas and coal Alstom is currently developing CO 2 capture technologies and is on the good path to commercialise the technology by Large scale demonstrators must happen now to validate the technology on time Policy instruments are needed to support demonstration and early commercial phases (ex: FITs...) Retrofitable CCS technologies and CCS-Ready are also a must to reach CO2 target Alstom: a key partner in CCS! P 58

59 Thank You!!! Ludger Schlueter

60 Backup CO2 reduction of new and existing units Service and Retrofit New equipment Specific CO2-Emissions [g/kwh] Production efficiency Average Germany 25% 30% 35% 40% 45% 50% 55% 60% Overall Plant Efficiency VT-HS-MA - Entkarbonisierung der Stromerzeugung durch CCS - 02/Okt/ P 60 New Plants 2009 New Plants 2020 New Plants 2009 CO 2 -Reduction through High Efficiency and Smart Fuel Selection Lignite Hard Coal Hard Coal with 20% Biomasse Natural Gas