Presentation on theme: "Opportunities for On-Site Industrial Renewable Energy David Sjoding Northwest Clean Energy Application Center April 21, 2010."— Presentation transcript:
Opportunities for On-Site Industrial Renewable Energy David Sjoding Northwest Clean Energy Application Center April 21, 2010
Alaska Idaho Montana Oregon Washington Northwest Clean Energy Application Center About the Center A multi-state effort – AK, ID, MT, OR & WA WSU Extension Energy Program serves as lead 100 plus Regional CHP projects totaling over 1,300 MWc 94% industrial projects Technical assistance information, reports and case studies Problem solving & trouble shooting Website www.northwestcleanenergy.orgwww.northwestcleanenergy.org Support of regional & state CHP initiatives CHP, district energy and waste heat recovery
Alaska Idaho Montana Oregon Washington Industrial Energy Efficiency and Renewables Fit Together A major national effort is underway 25% Reduction in energy intensity by 2017 Goal of U.S. Department of Energy Industrial Technologies Program Goal of an 18% reduction in carbon intensity by 2018 Save Energy Now – Reduce energy intensity by 25% in 10 years – Lots of state energy office support
Alaska Idaho Montana Oregon Washington Industrial Energy Efficiency and Renewables Fit Together A major national effort is underway (cont.) Energy Intensity – Accommodates production variation Excellent fit for CHP, district energy and waste heat recovery Especially Renewable CHP http://www1.eere.energy.gov/industry/
Alaska Idaho Montana Oregon Washington CHP - Combined Heat and Power National Industrial CHP Goals 241 GW by 2030 – 85 GW Today 20% of U.S. electricity capacity for CHP – 9% today CO2 Reduction of 848 MMT – 248 MMT today Equivalent to 154 million cars off the road – 45 million today How does this work? – CHP is very efficient 60-90% It exceeds power production only systems Needed policy and incentive changes vary by state and region http://www1.eere.energy.gov/industry/distributedenergy/
Alaska Idaho Montana Oregon Washington Where does CHP fit? Both sides of the equation Is it an energy efficiency measure - Yes Washington Energy Independence Act (I-937) High efficiency CHP is included (33% thermal) Is it renewable? Yes, if from a renewable energy source A major opportunity for pulp and paper/forest products Is it its own third category? Sometimes Northwest Power Act treats CHP as a third priority behind energy efficiency and renewables
Alaska Idaho Montana Oregon Washington Where does CHP fit? Both sides of the equation (cont.) Waste heat recovery fit? – Hmm, energy efficiency Organic Rankine Cycle – An emerging technology for the Northwest Seattle City Light with Nucor Steel kudos
Alaska Idaho Montana Oregon Washington Renewable CHP Pulp and Paper/Forest Products Yields a competitive advantage Rough & Ready Lumber, Cave Junction – 1.28 MW Simpson Tacoma Kraft – 60 MW Reduce the Moisture! – Biomass Drying & Dewatering for CHP - Moisture reduces efficiency Ensure you have the wood waste supply – If you own it, you control it Washington – 142 MW of CHP ARRA Stimulus Projects – Most are wood waste CHP
Alaska Idaho Montana Oregon Washington Renewable CHP Food processing, WWTFs, dairies, high solids composting Anaerobic digesters Ensure the technology/design works Northern Climate precludes some designs – Insulate Scrub the biogas – Be kind the genset and use the H2S Parasitic load concerns Good history & Bad Multiple revenue streams Vander Haak Dairy in Lynden, WA – 9 Revenue Streams No longer any reason for technology problems
Alaska Idaho Montana Oregon Washington CHP Project Economics Many options to improve the economics Buy all, Take all power purchase arrangements CHP Wheeling – Need willing utilities – Sierra Pacific Additional co-products Tradable Renewable Energy Credits Selling carbon credits – See NW CEAC report Utility ownership co-location – Amalgamated Sugar in Nampa Integrated resource plans for base case Fulfilling RPS & EPS requirements Selling carbon credits – See NW CEAC report Key Point: The days of simple Whats your power rate? calculations are gone
Alaska Idaho Montana Oregon Washington CHP Project Economics And more options to improve the economics State incentive grants and loans Federal grants and loans – USDA Rural Development, U.S. & ARRA Tax reduction incentives Utility incentives Key Point: Work with the project economics to get a win!
Alaska Idaho Montana Oregon Washington CHP Policies & Incentives Kudos to Oregon An amazing set of policies and incentives A key was the OPUC report : Distributed Generation in Oregon: Overview, Regulatory Barriers and Recommendations www.northwestcleanenergy.org See Policy - Oregon www.northwestcleanenergy.org Standby rates, PURPA, net metering, decoupling, IRPs and interconnection Plus BETC, Energy Trust of Oregon, Climate Trust Comparative OR study by Bill Carlson: Biomass Power as a Firm Utility Resource: Bigger Not Necessarily Cheaper Interconnection grades: Oregon a B, Washington a D – Source is Freeing the Grid by IREC
Alaska Idaho Montana Oregon Washington Contact information Northwest Clean Energy Application Center Dave Sjoding (360) 956-2004 email@example.com www.northwestcleanenergy.org Regional list of Industrial Qualified Specialists – See www.northwestcleanenergy.org www.northwestcleanenergy.org Regional State Energy Office Industrial Programs Christine Love Industrial Service Project Manager (360) 956-2172 firstname.lastname@example.org www.energy.wsu.eduwww.energy.wsu.edu See Industrial Services
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