The Development of Clean Coal Technology in the US

Transcription

1 The Development of Clean Coal Technology in the US Jhih-Shyang Shih Fellow Resources for the Future CTCI Foundation Environmental & Energy Convention Taipei, Taiwan, ROC January 16, 2007

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3 Overview Coal and Electricity Electricity Demand Electricity Supply Strategic Drivers for Clean Coal Economics, Energy Security and Environment Clean Coal Technology Coal Liquefaction, Combustion Technology, Carbon Capture and Sequestration, and Emission Control Technology Cost and Performance Comparison Policies/Programs and CCT Future Roadmaps Summary

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5 Coal and Electricity

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7 US Electric Power Generation (2005) Petroleum 3.0% Natural Gas 18.7% Other Gases 0.4% Nuclear 19.3% Hydroelectric 6.5% Other Renewables 2.3% Coal 49.7% Others 0.1% Total = 4,055 Billion kwh Data Source: EIA, Electric Power Annual

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9 Annual Electricity Sales by Sector (billion kwh) History Projections Commercial Residential Industrial Data Source: AEO 2006

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11 Electricity Generation by Fuel 2005 and 2030 (billion kwh) Coal Nuclear Natural Gas Renewables Petroleum Data Source: AEO 2006

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13 Coal Generation Demand by gigawatts of new coal capacity are projected to be needed (EIA). 153 new coal-fired plants and 93 gigawatts of new capacity are under consideration.

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15 Strategic Drivers for Clean Coal

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17 Economics Historical Crude Oil Price Crude Oil Price ($/bbl) With oil and natural gas prices rising, the world s appetite for coal is soaring. Historical Natural Gas Price Jan-70 Jan-73 Jan-76 Jan-79 Jan-82 Jan-85 Jan-88 Jan-91 Jan-94 Jan-97 Jan-00 Jan-03 Jan-06 Time NG Price ($/ft^3) Data Source: EIA Jan- 02 Jul- 02 Jan- 03 Jul- 03 Jan- 04 Time Jul- 04 Jan- 05 Jul- 05 Jan- 06 Jul- 06

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19 Coal Reserve Source: World Coal Institute Total recoverable reserves of coal around the world are estimated at 1,001 billion tons enough to last approximately 180 years (compared to 41 years for oil and 65 years for gas). 67 percent of the world s recoverable reserves are located in four countries: the United States (27 percent), Russia (17 percent), China (13 percent), and India (10 percent).

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21 Coal Market and Price Source: World Coal Institute Coal is readily available from a wide variety of sources in a well-supplied worldwide market. Coal prices have historically been lower and more stable than oil and gas prices. Coal is likely to remain the most affordable fuel for power generation in many developing and industrialised countries for several decades.

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23 However

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25 Environment Coal Use & the Environment Coal is the major emitter of CO2, a greenhouse gas. Coal is also an emitter of particulate matters, SOx and NOx, and mercury. Coal Mining & the Environment land disturbance, mine subsidence, acid mine drainage, dust & noise pollution. Rehabilitation.

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27 Environment Changes in the Qori Kalis Glacier, Quelccaya Ice Cap, Peru, are shown between 1978 (top) and The glacier retreat during this time was 1,100 meters. Source: Scripps Institution

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29 Environment

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31 Challenges The electricity is a major contributor to economic and social development. However, electricity generation faces many challenges in this century: To improve global living standards and enable sustainable economic and social development for both rich and poor countries. To continue to supply secure and affordable electricity in the face of growing demand. To provide more efficient energy, reducing pollution, and increasing the emphasis on environmental sustainability.

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33 Clean Coal Technology

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35 Clean Coal Technology Coal Liquefaction Coal to Liquid (CTL) Combustion Technology Pulverized Coal (PC) combustion Advanced PC technology Supercritical PC (SCPC) combustion Ultra-supercritical PC (USCPC) combustion Fluidized Bed Combustion (FBC) Integrated Gasification Combined Cycle (IGCC) Carbon Capture and Sequestration Capture Sequestration Emissions Control Technology

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37 Coal Liquefaction Coal liquefaction is the conversion of coal into a synthetic oil in order to supplement natural sources of petroleum. Coal liquefaction and heavy oil refining were potentially the two largest sources of transportation fuels that could be used to mitigate the peaking of conventional oil.

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39 Pulverized Coal (PC) Combustion Source: IEA Coal-fired electricity generation today normally uses conventional subcritical pulverized coal (PC) combustion.

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41 Advanced PC Technology Two types: supercritical (SC) & ultra-supercritical (USC) Power plants operate at high temperatures and pressures. This results in higher efficiencies up to 46% for supercritical and 50% for ultrasupercritical Lower coal consumption and pollutant emissions than conventional PC plant Advancements in materials, controls and temperature mixing led to improved performance and reliability

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43 Subcritical vs. Supercritical Heatrate Efficiency Boiler Capital Cost Plant Capital Cost Non-Fuel O&M Fuel Cost Controlled Emissions US Operating Units Subcritical 34-37% HHV Base Base Base Base Base 1,338 Units Supercritical 36-44% HHV 0-9% Higher 1-6% Higher 0-2% Higher Lower Lower- Higher Efficiency 117 Units Source: Supercritical Plant Overview

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45 Fluidized-Bed Combustion (FBC) Fluidized beds suspend solid fuels on upwardblowing jets of air during the combustion process. The technology burns fuel at temperatures of 1,400 to 1,700 degrees F, well below the threshold where nitrogen oxides form and hence is able to control pollutant emissions without external emission controls (such as scrubbers). Greater fuel flexibility (waste coals, pet coke, fuels,..)

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47 FBC Capacities Have Been Increasing Great Lakes Scott Paper Ultrasystems Shawnee (Repower) Thames/Shady Point TNP One Warrior Run Provence, KEPCO Red Hills Enel 1x65MW 15-43MW 1x150 MW 75 MW 2x155 MW 210 MW MW 2x250 MW 320 MW Sources: Energy Ventures Analysis Inc

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49 Integrated Gasification Combined Cycle (IGCC) 117 plants with 385 Gasifiers in operation in These facilities produce mostly chemicals (37%), gas (36%) or power (19%) Current IGCC power technology applications focus on producing CO rich syngas that can be burned in turbines. Gasifier converts coal, oxygen and steam to syngas Cleaned syngas is burned and by product is recovered Combustion gases expand in gas turbine, generates power Waste heat generates steam Steam expands in steam turbine, generates more power Future IGCC technologies maybe developed to produce hydrogen rich syngas with maximum carbon capture ( zero emission IGCC). 28 Proposed IGCC power projects

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51 Source: NETL

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53 Planned Coal-Fired Power Plants as of 2006 No. of Plants CFB Supercritical Ultra-Supercritical Gasification 2 Data Source: NETL

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55 Carbon Capture There are a number of options for the capture of CO 2 : Post-combustion: Aqueous amines are the state-of-theart technology for CO 2 capture for PC power plants. Pre-combustion: CO 2 can be captured from a synthesis gas (coming out of the coal gasification reactor) before it is mixed with air in a combustion turbine. Oxyfuel: Coal is burned in an oxygen-rich atmosphere to produce a pure stream of CO 2. Chemical looping: Metal oxide is used as a solid oxygen carrier. Metal oxide particles react with a solid, liquid or gaseous fuel in a fluidized bed combustor, producing solid metal particles and a mixture of carbon dioxide and water vapor.

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57 Carbon Sequestration Sequestration is the placement of CO 2 into a repository in such a way that it will remain sequestered for hundreds of thousands of years. Efforts are focused on three categories of repositories: geologic sequestration, terrestrial sequestration, and oceans sequestration.

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59 Current Maturity of CCS Systems Components Source: IPCC

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61 The World Current, Planned and Completed Storage Sites Source: IPCC

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63 Emissions Control Technology In the last three decades, technologies have been developed to capture conventional pollutants contained in the exhaust systems from coal combustion technologies. Pollutants that can be removed include sulfur oxides, nitrogen oxides, and particulates. Mercury has been regulated since March 15, The technologies that can be utilized to remove these pollutants are: Sulfur Oxides: Wet and Dry Flue Gas Desulfurization Plant Nitrogen Oxides: Low NOx burners, Post Combustion Catalytic Reduction Systems Particulates: Electrostatic Precipitator, Fabric Filters Mercury: Activated Carbon Injection Systems

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65 Mercury Emissions

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67 Hg Speciation by Coal Rank

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69 Mercury Control Oxidized mercury: water soluble, high removal with FGD Elemental mercury: non-water soluble, not removed by most existing control configurations Particulate mercury: can be removed by existing particulate controls

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71 Mercury Emissions Control

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73 Performance and Cost

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75 HHV Efficiency (%) IGCC IGCC w CO2 Sub PC Sub PC w CO2 Super PC Super PC w CO2 NGCC NGCC w CO2 Source: NETL

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77 Total Capital Requirement ($/kw, 2006 dollars) IGCC IGCC w CO2 Sub PC Sub PC w CO2 Super PC Super PC w CO2 NGCC NGCC w CO2 Source: NETL

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79 Cost of Electricity (cents/kwh, 2006 dollars) IGCC IGCC w CO2 Sub PC Sub PC w CO2 Super PC Super PC w CO2 NGCC NGCC w CO2 Source: NETL

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81 Performance and Cost of Hg Emissions Control Mercury removal performance has been observed to vary between 70% and 98% using sorbent technology. The range of sorbent consumption costs is quite large, depending on the combustion technology. According to an NETL report, the estimated cost of mercury removal from an IGCC plant was $3,412 per pound of mercury, compare to $37,800 per pound of mercury removal from a PC plant.

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83 Policies/Programs and CCT

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85 Relevant Policies Energy Policy Act of 2005 Provide many incentives: authorization, tax incentives and loan guarantees. The Energy Policy Act of 2005 (EPAct) authorized the Department of Treasury to provide tax credits as incentives to move advanced technologies to the marketplace. EPAct focuses on clean energy, efficient energy use, energy conservation, and advanced technologies. Energy and Treasury Secretaries Announce the Award of $1 Billion in Tax Credits to Promote Clean Coal Power Generation (11/30/2006).

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87 Relevant Policies Clean Air Act Clean Air Interstate Rule (CAIR) It contains an annual SO2 cap-and-trade program, as well as an annual and Ozone Season NOx cap-and-trade program, dependent on a state s contribution to downwind PM and Ozone concentrations. Clean Air Mercury Rule (CAMR) It is a mercury cap-and-trade program affecting new and existing coal fired units greater than 25 MW.Phase I starts in 2010 and has a national cap of 38 TPY; Phase II starts in 2018 and has a national cap of 15 TPY.

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89 Relevant Policies Climate Change Regional Greenhouse Gas Initiative (RGGI) is a regional initiative by states in the Northeastern United States region to reduce greenhouse gas emissions. The RGGI is designing a cap and trade program for emissions from power plants. In August 2005, the RGGI staff working group proposed an emissions reduction program that would start in 2009 and lead to a stabilization of emissions at an average of levels by California Governor s Executive Order # S-3-05 (June 1, 2005) and AB 32, the California Global Warming Solutions Act of 2006.

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91 Relevant Programs The Clean Coal Power Initiative (CCPI) is a 10-year, $2 billion program designed to support the Clean Coal Technology Roadmap milestones with the government providing up to 50 percent of the cost of demonstrating a range of promising technologies. Power Plant Improvement Initiative (2000) was established in October 2000 to further the commercial-scale demonstration of clean coal technologies at existing and new electric generating facilities. The FutureGen Initiative (12/6/2005) is a $1 billion industry/government partner- ship to design, build and operate a coal gasification-based, nearly emission-free, coal-fired electricity and hydrogen production plant.

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93 Source: NETL FutureGen

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95 CCT Roadmap

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97 Clean Coal Technology Roadmap It is the U.S. DOE's plan to develop the technology needed for future power plants. The Roadmap was developed cooperatively by DOE/NETL, the Coal Utilization Research Council (CURC) and the Electric Power Research Institute (EPRI).

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99 Clean Coal Technology Roadmap Areas Air Emissions CO2 Management By-Product Utilization Water Use and Discharge Plant Efficiency Reliability Capital and Production Cost

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101 Source: NETL Area Targets

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103 Source: NETL Area Targets

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105 Critical Needs

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107 Summary Coal plays important role in meeting future energy demand Power generation electricity demand Liquid fuels and chemicals (substitutes for gas and oil) Constraints on the use of coal Environmental requirements Path of technology development/deployment Technology, Public Policy and Coal: Making the Connection More efficient and environmental friendly

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109 Thank You!

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