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© OECD/IEA 2011 Improving the efficiency of coal-fired power generation plants Carlos Fernández Alvarez – Senior Coal Analyst. Moscow, 20 September 2011
© OECD/IEA 2011 Content will address … Potential for efficiency improvement Barriers to achieving improvement High Efficiency, Low Emissions Coal Technology Roadmap Wrap up
© OECD/IEA 2011 A wide range of technologies will be necessary to reduce energy-related CO 2 emissions substantially. source: IEA Energy Technology Perspectives 2010 Key technologies for reducing global CO 2 emissions
© OECD/IEA 2011 Global average efficiencies for coal- fired power plant Values are far from Best Available Technologies: Nordjyllandsvaerket 3 (hard coal, Denmark) reports 47% net on a LHV basis. Niederaussem K (lignite, Germany) reports 43% net on a LHV basis Source: author’s analysis Average plant efficiency does not appear to be improving.
© OECD/IEA 2011 Some reasons to explain it Technology is improving, best practices have been disseminated, SC/USC have been built; BUT Subcritical plants continue to be built ; SC/USC is not cost-effective for smaller unit sizes; Coal quality is becoming poorer; Existing stock is getting older; Cleaning systems consume energy. Generation efficiencies are not contributing sufficiently to the ambition to achieve 450ppm.
© OECD/IEA 2011 Impact of efficiency on CO 2 emissions Example for illustration only. Approximations by the author based on emissions of 1 ton CO2 per MWh for 0.33 efficiency A 1 percentage-point rise in efficiency can reduce emissions of CO 2 from the average plant by 3%.
© OECD/IEA 2011 … and on coal resources Example for illustration only. Approximations by the author based on the current fleet. Efficiency increases lead to substantial savings in fuel costs.
© OECD/IEA 2011 It is not a trivial matter Reporting efficiency is difficult, with no globally-agreed procedure or standard: LHV/HHV Gross/net Different plant boundaries or time limits Efficiency is influenced by conditions at each plant: Coal quality Cooling water temperature Operating conditions Maintenance capacity
© OECD/IEA 2011 … and high barriers hamper the aim Financial challenges: Lack of financial resources may be an issue Regulated tariffs may hinder a fair return on investments Coal quality issues: Is the coal washed? And at what price? Can I recover my investment? Is the purchaser ready to burn clean coal? Plant compatibility. Local/regional configuration: District heating Heat and power plants Free externalities: No emission limit/charge
© OECD/IEA 2011 Current Policies Scenario New Policies Scenario 450 Scenario World primary coal demand by scenario Coal consumption is strongly affected by policies.
© OECD/IEA 2011 To identify milestones for the development of coal technologies for power generation to 2050; To cover technical, financial, policy and other matters important to realise more efficient generation of electricity from coal; To address regional implications of this development pathway, particularly for major coal-using countries. HELE Coal Roadmap – content
© OECD/IEA 2011 Jun 2011Workshop on the long-term vision for the deployment of clean coal May – Sep 2011Review of coal-fired power generation: technologies, policies, regulation, … Jun – Dec 2011Regional workshops in US, China, India and Eastern Europe Jan – Feb 2012Drafting of roadmap Mar 2012Workshop to review conclusions Apr – June 2012Final drafting, review, editing and design Jul 2012Publication of roadmap HELE Coal Roadmap – provisional timetable
© OECD/IEA 2011 Wrap up Improving efficiency is essential to our aims for environmental sustainability, energy security and long term economic development; There remains much scope for improving technology. Research and development in this field must continue; Technologies exist to improve efficiency. Unfortunately, there are also barriers hampering the realisation of the huge potential to deploy them. Removing these barriers is important and urgent.
© OECD/IEA 2011 Thank you for your attention
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