Large Scale Biomass Plants

Transcription

1 Large Scale Biomass Plants The challenges, opportunities and lessons to be learnt Washington Renewable Power Ltd 1 Introduction Biomass is plant based material used for the production of energy. Biomass combustion is considered to be carbon neutral by virtue of a lifecycle analysis in that biomass combustion produces carbon dioxide but the production of the biomass fuel has previously absorbed that carbon dioxide from the atmosphere. Therefore considered a renewable technology in the UK and benefits from 3 key areas of UK government support: - ROCS (Renewables Obligation Certificates) - LECS (Climate Change Levy Exemption Certificates) - CO2 ETS (Emissions Trading Scheme for CO2) Washington Renewable Power Ltd 2 Government renewable incentives for biomass; ROC s, LEC s, ETS ROCS: Government requires suppliers to surrender a certain number of ROCs for each unit electricity supplied. ROCs produced by generators from renewable technologies. Suppliers must buy ROCs from these companies or face penalties. LECs: Government levies a Climate Change Levy on suppliers for each unit of electricity supplied to industrial customers. Suppliers can avoid the levy by surrendering Levy Exemption Certificates (LECs) LECs are produced by electricity generators from using renewable technologies. Washington Renewable Power Ltd 3 1

2 Government renewable incentives for biomass; ROC s, LEC s, ETS CO2 ETS: Electricity generators are required to surrender permits for each tonne of carbon they emit. Generators are given a free initial allocation of permits, and must buy their remaining requirement either bilaterally, or in government auctions. The cost of emissions are therefore factored into the price at which companies are willing to sell electricity. Biomass generation is considered carbon neutral, thus no permits are required to be surrendered by biomass generators. Biomass generators therefore benefit from the increased price of the power they sell by virtue of the additional cost imposed on other means of generation. Washington Renewable Power Ltd 4 ~18GW of Generation scheduled to be shut down by 2018, including Didcot A Power Station 2000MW, (to close by end 2015) Ferrybridge Power Station 2000MW, (50% closed by end 2015) Ironbridge Power Station 1000MW, (to close by end 2015) Kingsnorth Power Station 2000MW, (to close by end 2015) Tilbury Power Station 1000MW, (to close by end 2015) Dungeness B Power Station 1100MW (predicted closure 2018) Hartlepool Power Station 1200MW (predicted closure 2014) Heysham Power Station 1200MW (predicted closure 2014) Hinkley Point B Power Station 1260MW (predicted closure 2016) Oldbury Power Station 470MW (predicted closure 2011) Fawley Power Station 1000MW, (to close by end 2015) Grain Power Station 1300MW, (to close by end 2015) Littlebrook D Power Station 2000MW, (to close by end 2015) Washington Renewable Power Ltd 5 Nuclear? Japanese disaster implications Storage & security of waste Public perception Timing probably too late Washington Renewable Power Ltd 6 2

3 Clean Coal / CCS? Practicality - Still at pilot project stage Still coal & unpopular with environmentalists Timing probably too late Cost Yet More Gas? The right use for a premium energy fuel? Security of Supply Timing possible, but not much happening Washington Renewable Power Ltd 7 Energy from Waste? Should be a priority but. Political appetite not a vote winner Public perception as incinerator Recycling removes much of the energy content Wave / Tidal / New Large Hydro? Cost Huge environmental issues Washington Renewable Power Ltd 8 Wind? Strong portfolio player, but not the complete answer Unreliable output Needs expensive and non-green electricity balancing plants Washington Renewable Power Ltd 9 3

4 The need for more reliable generation (i.e. non-wind) in the renewables portfolio Wind Creating Problems 2007 data Source: National Grid Winter Consultation Report Washington Renewable Power Ltd 10 Biomass? Reliable Baseload operation Sustainable biomass = CO2 Neutral Desirable part of energy portfolio Washington Renewable Power Ltd 11 Challenges, Opportunities & Lessons Main Issues: Location Planning Sustainable fuel sourcing Fuel logistics Washington Renewable Power Ltd 12 4

5 Location Potential locations only at or near to major ports? Local Infrastructure What is available? Road? Rail? Is it cost effective and environmentally efficient? Grid connection Washington Renewable Power Ltd 13 Planning & Permitting Localism Bill Effective & open consultation LPA -vs- IPC Washington Renewable Power Ltd 14 Fuel Sourcing - Type, Availability & Sustainability Woodchip & pellet will inevitably be main fuel Good availability without competing with food or felling tropical forests MUST be sustainably produced FSC or equivalence with re-planting Large worldwide commercial wood production for timber & pulp already complementary to paper industry slowing as biomass requirement rises Carbon only sequestered permanently when wood used for furniture / construction etc, and even then only if furniture or demolition wood not burnt or landfilled Washington Renewable Power Ltd 15 5

6 Fuel Sourcing - Type, Availability & Sustainability If trees just allowed to die they will rot & decompose, releasing their CO2 for no gain Many trees are simply felled & burnt at end of commercial life, eg rubber trees, releasing their CO2 for no gain 40% of a felled tree, bark, branches, etc is usually burnt or left to rot on the forest floor, releasing their CO2 for no gain Can be complementary to environmental schemes invasive species harvesting / clearance as an alternative to burning Agri-products useful but not in sufficient quantities, and may compete against foodstuffs / animal feed Washington Renewable Power Ltd 16 Logistics For same heat 1 tonne of coal, tonnes of biomass are required. Must be in large efficient shipments to minimise carbon footprint Rail not road for land transportation Small plants, small shipments. doesn t really add up Washington Renewable Power Ltd 17 Conclusions Biomass fuel is carbon neutral, but must be sustainably produced and transported Every renewably generated megawatt displaces a dirty one The UK needs a balanced portfolio of power generation sources, and all have a place due to their individual environmental, economic or strategic contributions. Successful renewable infrastructure projects will not always be sited where we want them to be LPA s must accept a responsibility to consider infrastructure projects in national, security of supply and strategic terms, alongside the requirements of the Localism Bill Washington Renewable Power Ltd 18 6