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Cw w w. c o s p p . c o m
OnSite Power Production
WORLD ALLIANCE FOR DECENTRALIZED ENERGY
In Association With
CO
GEN
ERA
TION
& O
NSITE P
OW
ER P
RO
DU
CTIO
NJa
nu
ary - Fe
bru
ary 2
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3
January - February 2013
SUPERCRITICAL CO2 REFINES COGENERATION n ENHANCING SCADA FOR
COGENERATION n EFFICIENCY BREAKTHROUGH IN SOLAR THERMAL CELLS n
REFURBISHMENT DRIVES GROWTH IN RUSSIA n AWARD-WINNING CHP IN THE
UKS n MEXICAN INDUSTRY TAPS COGEN POTENTIAL n THE MAN DRIVING
DOUBLE-DIGIT GROWTH AT MWM
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London 2012 Games leave CCHP legacy
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WORLD ALLIANCE FOR DECENTRALIZED ENERGY
In Association With
CO
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PAKISTAN ONCE AGAIN TURNS TO BIOGASSE COGEN n SELF GENERATION
TAKES HOLD IN UK n YOUR HRSG AND ADRESSING THE FAC CORROSION
ISSUE
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AT AN INDUSTRIAL CHP FACILITY IN PORTUGAL n GUIDE TO POWER-GEN
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Biomass CHP: A how-to guide to optimize operations
DIRECTORY ISSUE 2013
1307cospp_C1 1 7/18/13 4:37 PM
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METKA is a leading EPC (Engineering-Procurement-Construction)
contractor for large-scale energy production projects,
well-known for its ability to reliably deliver complex projects
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Experience in large scale cogeneration power plants
METKA has successfully completed a major co-generation project
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Steam quality. The requirement is for the cogeneration plant to
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complex so that can work independently of the national grid if
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com2
Contents Volume 14 Number 4July-August 2013
12
12 Promoting biogasse cogen in Pakistan Pakistan would gain much
if it greatly scaled up its cogeneration fred by biogasse, the
sugar mill by-product. But is its new plan to do so more promising
than previous
failed initiatives?
By Rahimullah Yusufzai and Robert Stokes
20 Biomass-fred CHP plant optimization Flue gas condensing and
combustion air humidifcation can beneft the operations of a
cogeneration/ CHP plant. Using a wood-burning facility in Sweden as
an example, these
processes are shown to help optimize operations over a yearly
cycle.
By Daniel Jedfelt, Risto Etelaho and Tarja Korhonen
26 Growing popularity of self-generation in the UK ENER-G
reports an acceleration in the uptake of its pay-as-you-save
discount energy purchase scheme in the UK, and more businesses are
warming to the idea of green power
self-generation.
By Richard Baillie
39 CHP in Belgiums Flanders Over a period of 20 years, CHP in
Flanders has evolved from a marginal technology, primarily serving
the process industry, to an important contributor to the Flemish
energy
system. How the sector developed over that time-frame is
explored, and what the future
may hold is pondered.
By Erwin Cornelis and Kaat Jespers
46 Water/steam chemistry: HRSG protection A core part of many
modern cogeneration/CHP units is the heat recovery steam generator
(HRSG). However, there is concern that the industry is ignoring
fow-accelerated corrosion in
HRSGs, which are particularly susceptible, and is doing so at
its peril.
By Brad Beucker
FeaturesCw w w. c o s p p . c o m
OnSite Power Production
WORLD ALLIANCE FOR DECENTRALIZED ENERGY
In Association With
July - August 2013
PAKISTAN ONCE AGAIN TURNS TO BIOGASSE COGEN n SELF GENERATION
TAKES HOLD IN UK n YOUR HRSG AND ADRESSING THE FAC CORROSION
ISSUE
n FLANDERS 20-YEAR LOVE AFFAIR WITH COGENERATION n OPTIMIZATION
AT AN INDUSTRIAL CHP FACILITY IN PORTUGAL n GUIDE TO POWER-GEN
BRASIL
Biomass CHP: A how-to guide to optimize operations
DIRECTORY ISSUE 2013
Cover photograph: The Moskogen biomass-fred CHP plant
provides
90% of the district heating consumption in the city of
Swedish
city of Kalmar. See the feature article staring on p.20. PHOTO:
KALMAR ENERGI
1307cospp_2 2 7/18/13 4:40 PM
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www.cospp.com
ISSN 14690349
Chairman: Frank T. Lauinger
President/CEO: Robert F. Biolchini
Chief Financial Offcer: Mark C. Wilmoth
Group Publisher: Glenn Ensor
Chief Editor: Dr. Heather Johnstone
Managing Editor: Dr. Jacob Klimstra
Production Editor: Mukund Pandit
Consulting Editor: David Sweet
Contributing Editor Steve Hodgson
Design: Keith Hackett
Production Coordinator: Kimberlee Smith
Sales Manager: Natasha Cole
Advertising:
Natasha Cole on +1 713 621 9720
or [email protected]
Editorial/News contact:
Diarmaid Williams,
e-mail: [email protected]
Published by PennWell International Ltd,
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Waltham Abbey, Essex EN9 1BN, UK
Tel: +44 1992 656 600
Fax: +44 1992 656 700
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Web: www.cospp.com
Published in association with the World Alliance for
Decentralized Energy (WADE)
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reserved. No part of this publication may be reproduced in any form
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Production is published six times a year by Pennwell Corp., The
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www.cospp.com
39 20
28
Project Profle
28 Optimization of industrial CHP in Portugal
The operators of a CHP plant at
a large petrochemcial facility in
Portugal were struggling to run the
plant in the most economic way
because of the requirement for
high operational fexibility, liquidity
of the cost and constantly varying
site demands. We fnd out how
this issue has been successfully
resolved.
By Joo Coelho and Pascal Stijns
6 Editor Letter
8 Insight
10 WADE Comment
54 WADE pages
91 Diary
92 Advertisers index
Regulars
An international directory of the key
companies in the felds of cogeneration and
on-site power generation.
58 Directory index
59 Product & services listing
69 A-Z company listing
Directory
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Editors Letter
Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com6
The heat is on
This editors letter is not about a
famous 1980s song but about new
opportunities for cogen/CHP and
on-site power production. This June,
Maria van der Hoeven, executive director of
the International Energy Agency (IEA), cited
its recent report by stating that in fve years
time, 25% of the worlds electricity supply will
come from renewable sources. This will be
predominantly the result of a steady growth
in the installed capacity of wind turbines and
photovoltaic panels. Generators based on
biomass and biogas are also expected to
contribute to the increase.
Reducing the use of fossil fuels and the
associated emissions is the main reason that
renewable energy is now globally promoted.
Government-introduced incentive schemes
compensate investors in renewable energy
sources in case of negative fnancial yields. As
a result, some countries have so many wind
turbines and solar panels that the traditional
electricity generators are at times almost
completely excluded from the grid. Examples
are found in Germany and Denmark.
Nevertheless, the intermittency of
renewables ensure that fuel-based power
plants still have to fll the gaps when the sun
sets, the wind subsides or demand changes.
Traditional power plants running on coal,
for example, lack the necessary fexibility
for this. Moreover, if only 1 GW of power from
dispatchable power plants remains on line
for a total demand of 10 GW, a substantial
number of generating units should deliver
this 1 GW. Having just two larger units of each
500 MW in parallel providing this 1 GW could
result in insuffcient reliability. Distributed
generators, in contrast, have the right capacity
and the right properties to provide fast ramping
up and down of their output to enable the
application of renewable electricity sources.
Policy makers often focus on making
electricity production sustainable. Yet,
there is a substantial demand for heat in
the world, not only for space heating but
also for sanitary water and for industries.
Cogeneration systems have proven to
provide electricity and heat at very high fuel
effciency, sometimes exceeding 90%.
If the demand patterns of power and
heat do not fully coincide, heat storage
offers a solution. Storing heat in water tanks is
relatively cheap. The nice thing now is that in
times of surplus electricity from renewables,
and consequently low electricity prices,
heating coils can easily be used to heat
the water in such storage tanks. The extra
investment costs are almost negligible. This
can be seen as an integrated solution to
make district heating systems and stand-
alone cogeneration units even greener.
Distributed electricity generation can
also help to stabilize voltage by injecting
reactive power into the grid. Reactive power
needs are best solved locally to avoid high
transmission losses.
Ultimately, the prediction by the IEA
about a gradual increase in the fraction of
renewable electricity sources is a positive
message for cogeneration and on-site
power production. The utilisation factor of
such generators might decrease somewhat
compared with that in the past, but a
reduction in global fuel consumption has
always been the intention.
Nevertheless, distributed generation
and cogeneration based on units of a
moderate power capacity each will be
an indispensable link in any future power
supply systems.
Jacob Klimstra
Managing Editor
P.S. Dont forget to visit www.cospp.com to
see regular news updates, the current issue
of the magazine in full, and an archive of
articles from previous issues. Its the same
website address to sign-up for our fortnightly
e-newsletter too.
Dr. Jacob Klimstra
1307cospp_6 6 7/18/13 4:41 PM
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com8
Insight
Sydney aims for major trigeneration plan
Imagine a major global city planning
to cut its (mainly coal-fred) carbon
emissions by 70% by 2030, through
the development of a co-ordinated,
decentralized network of gas and
refuse-fuelled trigeneration schemes.
That city is Sydney, Australia, which
has just adopted a Trigeneration
Master Plan to add fesh to the bones
of its 2008 Sustainable Sydney 2030
the Vision report.
The original vision set out a path for
reaching the carbon reduction target
through the use of a wide range
of measures improving energy
effciency, encouraging people to
cycle and walk, utilizing waste as a
resource, converting non-recyclable
waste to energy, recycling water,
renewable energy and crucially
a decentralized energy network,
powered by a series of trigeneration
schemes.
Central to Sydneys vision are what
it calls green transformers the
co-location of trigeneration plants
with waste collection/treatment and
recycled water treatment plants to
make low-carbon precincts. These
transformers expected to deliver the
greatest reduction in greenhouse gas
emissions.
So far, so ambitious. The city aims
to replace electricity supplied to city
buildings from remote, coal-fred,
electricity-only power stations; with
power from local, smaller-scale, gas
engine-based trigeneration plants
that will also feed hot and, using
absorption chilling equipment,
chilled water around local thermal
energy networks. Buildings in Sydney
need cooling as well as heating
hence trigeneration as opposed
to cogeneration. Aside from system
effciency gains, the new infrastructure
will also eliminate the losses caused
by transmitting coal-fred electricity
into the city from remote generating
plants.
Some 350 MWe of new trigen
schemes will eventually be needed
to deliver the planned carbon
reductions. Individual schemes are
likely to be based on gas engines,
will each be less than 30 MWe in size,
and will be developed by a variety
of energy services agreements. The
frst of these low-carbon precinct
agreements was signed in March
this year for plant to serve buildings
being developed in the Broadway
area of the city. Sydney acknowledges
that four-ffths of the buildings to be
present in the City in 2030 are already
built, so the local energy schemes will
have to connect existing, as well as
new buildings.
Theres still a long way to go in
Sydney, but the city is beneftting from
experience gained in London by its
Chief Development Offcer for Energy
& Climate Change, Allan Jones, who
previously did this type of work for the
London Climate Change Agency, in
pre-recession days. The UK capital
continues to work towards a target of
a quarter of its energy to be supplied
from decentralized sources by 2025. A
London Heat Map has been drawn-up
to highlight the best opportunities
for new cogeneration (less need for
cooling in London) schemes.
In both cities, the involvement of
private sector funding is, of course,
crucial. Costs for establishing new
district energy infrastructure mainly
underground hot and chilled water
pipelines can be very high indeed.
The standard practice is for local
government to commit its own
buildings to provide baseloads
for new district energy schemes;
simultaneously persuading private
sector operators to do the same.
So will Sydney realise its ambitions
for new decentralized energy
schemes? Theres no doubting the
scale of the ambition shown in the
plans. The city seems to have many of
the ingredients for success a bold,
ambitious plan, solid support from
local government, and the interest of
the private sector.
The case for cogeneration and
trigeneration is, of course, well-
understood by readers of COSPP. In
many cases, the effciency gains from
replacing old, ineffcient, remote and
electricity-only power generation with
modern, highly effcient, modular and
local technology are high indeed.
Whether high enough to attract
suffcient investment to fund initial
capital costs the City of Sydney is
currently fnding out.
Steve Hodgson
Contributing Editor
Steve Hodgson
1307cospp_8 8 7/18/13 4:41 PM
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com10
Comment
For many reasons, historians
consider the city of Boston
in the British Colony of
Massachusetts, the birthplace
of the American Revolution.
While the US recently celebrated
Independence Day on 4 July in
honour of the ratifcation of the
Declaration of Independence, there
were in fact many other key events
and forces that moved the Colonies
to the tipping point where they were
willing to risk their lives and property
rather than continue under British
rule.
On December 16, 1773, the Sons
of Liberty in Boston rose up against
taxation without representation
and destroyed the cargo of the
East India Company by dumping
342 chests of tea into Boston Harbor.
Today, we may think of the Tea
Party as a conservative political
movement, however, for over 200
years it has been a symbol of
revolution and the ability of the
people to triumph against the forces
of government. Boston was also the
home of a silversmith and patriot
named Paul Revere, who became
famous for his midnight ride warning
of an imminent attack by the British
and for the intelligence strategy of
communicating whether the troops
were coming by the land route or
by sea across the Charles River. He
instructed the sexton of the North
Church to light one lantern in the
steeple to signal the land route and
two if they were coming by sea.
While Boston may be steeped
in revolutionary war history, it will
also be the site for discussion of
a much more modern revolution
and power struggle that is
taking place in the way that we
produce and deliver energy. From
19 November to 21 November, WADE
will be meeting with the Northeast
Clean Heat and Power Initiative
for a discussion of decentralized
energy policy, technology and
commercial opportunities.
Among the notable speakers and
guests will be Christoph Burger,
who along with Jens Weinmann,
authored The Decentralized Energy
Revolution, Business Strategies for
a New Paradigm. As they explain:
The value proposition offered by
decentralized generation differs
fundamentally from the current
energy system confguration: It turns
the one-way street from producer
to consumer upside-down. It
enables every household, as well
as all types of commercial and
industrial consumers, to become
active agents and autonomous
providers of energy, either for [their]
own consumption purposes or
to generate revenues by feeding
electricity into the central grid.
While this revolution is driven
not only by a search for self-
determination and control, it is also
fueled by a need for clean, reliable
and affordable electricity. The
developments in fossil and renewable
power generation technology and
in the production of abundant
supplies of natural gas are forcing
all consumers to take a fresh look at
the centralized grid model of power
delivery and question whether there
are better solutions for our energy
future. In the aftermath of Hurricane
Sandy, the need for a more resilient
and robust power system has never
been greater, and decentralized
energy technologies are in the lead
as potential answers.
We urge you to come to Boston
for this groundbreaking meeting
and dialogue and to meet with
customers, colleagues, friends and
industry leaders from the region
and around the globe. For those
with a thirst for knowledge, we will
be holding a technical workshop
on CHP and trigen systems at the
Harpoon Brewery, including a tour of
their CHP facility (and opportunities
for tasting the local brew).
We will also be discussing a
range of cutting edge issues and
topics, including: microgrids, smart
grids, community energy, distributed
renewables and intermittency,
innovative fnancial and business
models, the latest on policy issues
such as interconnection net
metering and standby charges, and
a global roundup on decentralized
energy developments around the
world. In addition, there will be
opportunities for quick pitches of
new and exciting technologies and
projects to this global audience.
We look forward to seeing you
in Boston and enlisting you in the
revolution. Please go the WADE
website, www.localpower.org for
more details or contact me if you
have any questions on how you and
your organization can get involved
with this conference.
David Sweet
Executive Director, WADE
[email protected]
David Sweet
Theres going to be a revolution
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com12
Promoting biogasse cogeneration in Pakistan
After many false
starts and delays,
Pakistan appears
to be ready to
expand its bagasse-based
cogeneration output.
It was in March, ahead of
the countrys general election,
which saw the frst handover
of one elected government to
another, that a policy to scale
up cogeneration through
the use of sugar mills was
announced by the cabinets
Economic Co-ordination
Committee. Pakistan is aiming
to persuade its 83 sugar mills
to start producing electricity
on a commercial basis, The
expansion would build on the
experience of some pioneering
cogeneration projects already
built in Pakistans sugar sector,
which have demonstrated
such development is feasible.
The incentives planned
by the government include
Pakistan would gain much if it greatly scaled up its
cogeneration fred by this sugar mill
by-product. But is its new plan to do so more promising than
previous failed initiatives,
ask Rahimullah Yusufzai and Robert Stokes
Bagasse,sweet success this time round?
Sugarcane being crushed in a rudimentary machine in Charsadda, a
rural area near Peshawar, Khyber Pakhtunkhwa Credit: Mohammad
Sajjad
1307cospp_12 12 7/18/13 4:41 PM
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www.cospp.com Cogeneration & OnSite Power Production | July
- August 2013 13
Promoting biogasse cogeneration in Pakistan
an attractive upfront power
purchase tariff and help
towards capital fnancing.
A widespread sense of
urgency exists among most
political parties in Pakistan to
overcome bureaucratic red
tape and make use of every
resource to generate electricity
to meet the acute shortages
that are causing social unrest,
affecting industrial production
and slowing down the
economy.
For this reason the new
policy framed within
the Framework for Power
Cogeneration 2013 Bagasse
and Biomass, itself an annex to
the governments renewable
energy policy is expected
to be continued in the new
government of Mohammad
Nawaz Sharif and his Pakistan
Muslim League (N) party,
which came to power in the 11
May election.
One of the frst things that the
two-time former premier Sharif
did when he came to power
and even before assuming the
position of prime minister was
to set up a team of experts to
come up with short and long-
term proposals to tackle the
countrys crippling energy
crisis. Plans to diversify the
sources of energy also came
under discussion because the
rising prices of fossil fuels are
hitting the already depressed
economy hard.
A few days later, Sharifs
younger brother Shahbaz
Sharif called a meeting of
government offcials, sugar
mills owners and experts to
discuss proposals for electricity
generation from bagasse, or
crushed sugarcane. Shahbaz
Sharif is the chief minister of
Pakistans most populous
and economically advanced
province, Punjab. He gave
a committee of government
offcials and members of the
Pakistan Sugar Mills Owners
Association (PSMA) until 29
May to fnalise and submit a
plan to this effect.
Previous attempts
However, this is not the frst
time that the Sharif brothers
and others in power have
focused attention on bagasse
in a bid to diversify Pakistans
energy sources. Four years
ago, Shahbaz Sharif invited
sugar mill owners to work out
a plan for utilizing their plants
and waste feedstock to fuel
the cogeneration of electricity
and heat on a commercial
basis to meet the growing
demand for energy. However,
discussions stalled over issues
such as setting the tariff for
the electricity that the mills
would produce and sell to
the state-owned Water and
Power Development Authority
(WAPDA).
Today, the team of the
Pakistan Muslim League (N),
headed by Nawaz Sharif in
the central government, and
Shahbaz Sharif in the Punjab,
appears keen to use every
resource to produce more
electricity and stave off protests
by consumers. However,
unluckily for them, the general
election took place when the
weather becomes hot and
the demand for electricity
increases. The two brothers
were installed in power in
the frst week of June when
the temperatures in most of
the country rise to over 40C
and shortfalls in power reach
phenomenal levels.
On 27 May, for example,
the total generation from
all sources, including hydro,
thermal and nuclear, was
10,500 MW against a demand
of 17,500 MW. Inevitably a
series of load-shedding power
cuts followed.
Promising option
The bagasse option does have
promise, however. Pakistan
is the ffth largest sugarcane
producer in the world. Forty-
fve of its 83 sugar mills are
located in Punjab, with most
of the remaining mills in Sindh
province and some in Khyber
Pakhtunkhwa, which borders
Afghanistan and was formerly
called North West Frontier
province. The total installed
sugarcane crushing capacity
in the country is around
65 million tonnes per season.
Pakistans annual sugar
production is reported to be
5 million tonnes.
In addition there are
19 distilleries that process
the molasses by-product
1307cospp_13 13 7/18/13 4:41 PM
-
Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com14
Promoting biogasse cogeneration in Pakistan
into ethanol. These have a
combined capacity of around
400,000 tonnes. Until 2005 most
of the molasses was exported
but the situation changed as
companies adjusted to the
demands of the market and
began exporting ethanol as a
value-added product instead
of molasses. Thus, some could
now be used as a domestic
power feedstock.
All the sugar mills have
an in-house bagasse-based
power generation capability
but they use ineffcient boilers
and primitive back-pressure
small turbines to generate
power. A Punjab government
offcial has said a sugar mill
produces on average of
23 MW of electricity to meet
its energy requirements.
Hussain Ahmad Siddiqui,
former chairman of the State
Engineering Corporation,
opined that a sugar mill
crushing 2000 tonnes of
cane daily could, if the waste
is effectively harnessed,
generate 11 MW of electricity.
He said a mill could use 2 MW
for its own consumption and
sell the remaining electricity to
the grid.
According to government
offcials and experts, it could
be possible to produce
20003000 MW of electricity
from local bagasse during the
sugarcane crushing season,
which normally begins in
October and continues for
about 120 days. However, last
year the former chief offcial for
the Ministry of Water and Power,
Secretary Zafar Mahmood,
was more conservative. He
said Pakistan could generate
1500 MW of electricity daily by
using bagasse once the sugar
mills were able to acquire
effcient machinery. Other
government offcials, such as
Jehanzeb Khan, the secretary
of the Punjab governments
energy department, feel a
more realistic fgure would be
8001000 MW to begin with,
which could be increased
gradually to 15002000 MW.
Mill owners have said
rice husk, cotton and wheat
stocks, coal and other locally
available raw materials could
be used to generate electricity
during the rest of the year.
A more appealing aspect
of power generation by sugar
mills would be to bring much-
needed electricity to rural
communities because the mills
are mostly in those areas. The
power would also be available
during the winter, when
hydropower is reduced due
to the decreased fow of rivers.
As one offcial put it, it would
be nice to complement the
countrys power generation
by making available bagasse-
generated electricity to the
national grid at a time when
there is less production of
hydroelectric power, which
is a major power source in
Pakistan.
Slow progress
Although successive
governments in Pakistan
began paying attention to
the potential of bagasse
producing electricity many
years ago, the progress in
making this happen has
been slow. In November
2005, the cabinet Economic
Co-ordination Committee
approved plans for increasing
the existing capacity of the
cogeneration power plants to
700 MW but, as with the more
recent arguments on the issue
in Punjab, the sugar industry
was not keen as it wanted a
higher tariff for power sales to
cover the cost of investment
for upgrading their boilers and
related machines.
In January 2006, the
government released its
National Policy for Power
Co-Generation by Sugar
Industry, which offered
incentives to sugar mills.
However, only one major
company showed interest,
Fatima Sugar Mills. It wanted to
build a dual-fuel power plant
to generate 125 MW, using
natural gas as a secondary
fuel. The project, however, did
not take off. The policy was
revised in January 2008 in
consultation with the PSMA,
with government backing for
a series of 60+ MW projects to
produce a total of 1000 MW on
a commercial basis by 2010
and doubling the capacity by
2012, yet Fatimas project still
stalled.
In June 2008, the National
Electric Power Regulatory
Authority (NEPRA) announced
an indicative tariff of
US$0.083/kWh for a period
of 30 years of a projects life.
The PSMA however found it
unacceptable. Subsequently,
NEPRA offered an upfront tariff
of $0.093/kWh, but the PSMA
wanted $0.11/kWh.
These failures represent
one reason why the outgoing
Pakistan Peoples Party-led
coalition government has
been criticised for neglecting
the energy sector during its
fve-year rule after the 2008
general election. But on
8 February, towards the end
of its rule, Chaudhry Ahmad
Mukhtar, the water and
power minister, presided over
a meeting in Islamabad on
the fast-track development
of bagasse-based power
generation projects. It aimed
Villagers in Charsadda, in Khyber Pakhtunkhwa, carrying
sugarcane stalks (left) and bagasse (right) Credit: Mohammad
Sajjad
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com16
Promoting biogasse cogeneration in Pakistan
to approve a draft national
policy for cogeneration by
utilising bagasse and biomass
the policy released in March.
A delegation headed by
PSMA chairman Shunaid
Qureshi also attended
the meeting and received
assurances that a reasonable
upfront tariff would be given
for fast-track projects and
the producers would have
the option to sell electricity
to distribution companies
working under WAPDA or the
Central Power Purchasing
Agency.
The meeting heard that
around 12 million tonnes of
bagasse annually generated
by the sugar mills should
be used for cogeneration
rather than being wastefully
incinerated. It would reduce
imports of costly furnace oil
and save foreign exchange,
the meeting also noted. It has
been calculated by experts
and the PSMA that $500 million
could be saved in fuel costs
by consumers if 2000 MW is
generated from bagasse. The
foreign exchange savings for
the country through the use of
this indigenous fuel in place of
imported heavy fuel oil is said
to exceed $1 billion annually.
Immediately after the
election, NEPRA approved
PKR10.5 ($0.11) per kWh as
an upfront tariff for sugar mills
utilising bagasse, and the
Alternate Energy Development
Board was tasked to progress
bagasse-based projects under
the governments umbrella
renewable energy policy. A
NEPRA spokesman said at
the time that the move could
encourage sugar mills to
generate around 1500 MW
of electricity on a fast-track
basis. Government offcials
and experts have calculated
that the cost of hydropower is
PKR2.50 ($0.02) per kWh while
it is around PKR5 ($0.5) per
kWh if gas is used to generate
power. Electricity generated by
standard thermal plants cost
PKR1418 ($0.140.18), while
diesel-based generation costs
PKR2328 ($0.230.28) per kWh.
Scepticism remains
Some of the sugar mill owners
remain sceptical of the
governments promises and
wish they had been made
earlier. Iskander Khan, a director
at the privately-owned Premier
Sugar Mills, Frontier Sugar Mills
and Chashma Sugar Mills, in
Khyber Pakhtunkhwa, says if
NEPRA had offered $0.11 in
2008, the sugar mills would
have started operations by
now, saving precious foreign
exchange due to reduced
demand for furnace oil.
Khan also says his aim
is to make electricity the
main product and sugar
the by-product of the sugar
mills in due course. We are
producing enough electricity
from bagasse to run our sugar
mills and would be happy to
produce more by installing
pressure boilers, provided the
tariff being offered is attractive,
he says. Lamenting the missed
opportunities, he adds that
the new government should
streamline its policies and
adhere to decisions taken in
meetings with the corporate
sector to overcome the crises
facing the economy.
Javed Kiyani, who served
as PSMA chairman from
201012, is also critical of
the government for failing
to offer a reasonable tariff
to the sugar industry in
the past. The previous
government was interested
in projects [involving] rental
power and those proposed
by independent power
producers, he says, as
those in authority could
demand commissions to fll
their pockets. There was little
interest in cheaper sources of
energy and renewable energy
projects. He also points out
that Pakistan has lacked a
comprehensive sugar policy
while neighbouring India
devised one many years ago,
increasing sugar exports and
encouraging sugar mills to
produce 3500 MW of electricity
from bagasse and biomass.
According to Kiyani,
Pakistan had the potential
to substantially increase
bagasse-generated electricity
from the current 225250 MW
by pursuing realistic policies.
From the 48 million tonnes
of sugarcane that is crushed,
Pakistan produces 15 million
tonnes of bagasse, he says.
One tonne of steam is
generated from two tonnes
of bagasse. By installing
high-pressure boilers in place
of low-pressure [types], our
sugar mills would be able to
effciently use bagasse for
electricity generation and sell
it to the national grid.
When reminded that NEPRA
had offered a better upfront
tariff to the sugar mills owners
by raising it from $0.098/
kWh to $0.11, Kiyani says the
20% devaluation of Pakistani
currency and the rising costs
of machinery mean that the
tariff had to be raised to make
it competitive and attractive to
the owners.
Kiyani and other mills
owners also complain that
they can no longer sell their
surplus electricity to the
national grid because NEPRA
last year instructed the mills to
frst obtain a power generation
licence. More than 200 MW of
our surplus electricity is being
Pakistans neighbour India can offer good practice on bagasse
cogen if the new government succeeds in improving Indo-Pakistani
relations. Here trucks unload sugarcane at the Khatauli sugar mill
in Uttar Pradesh, India, which generates renewable heat and power
from the waste bagasseCredit: Land Rover Our Planet (Flickr)
The high-pressure boilers of the fagship Almoiz bagasse-fred
cogeneration plant Credit: D.I. Khan, AEDB
1307cospp_16 16 7/18/13 4:41 PM
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com18
Promoting biogasse cogeneration in Pakistan
wasted as the mills couldnt
sell it last year, he says, adding
that mill owners did not apply
for generation licences as they
frst wanted the tariff issue to be
sorted out with NEPRA.
Good reception
Pakistans progress towards
a more supportive policy for
cogeneration in general and
bagasse or biomass co-fred
projects in particular has been
welcomed by international
groups promoting these forms
of heat and power production.
As our own reports
show, theres an abundant
opportunity for the wider
use of bagasse-based
cogeneration in sugarcane-
producing countries and to
contribute substantially to high
effciency energy production,
but this potential remains
largely unexploited, says Syed
Hassan, programme director
at the World Alliance for
Decentralized Energy (WADE),
which works to increase the
market share of cogen and
on-site renewables in the
global power mix.
Hassan summarises the
Pakistani situation in this way:
The governments framework
for power generation based
on bagasse offers a very
attractive power purchase
agreement, high price per
unit, tax holidays, accelerated
depreciation, almost 20%
return on investment, and
import duty exemption on
plants and equipment. The
government agencies are
also being directed to look at
assistance with fnancing and
feasibility studies.
He adds that the time is
ripe to raise global awareness
of what Pakistan has to offer
in this regard. Bagasse and
biomass power generation
offers great potential for global
vendors, says Hassan.
Opportunities
Pakistan does have native
companies that are more than
capable of making equipment
for cogeneration and on-site
power plants that use
bagasse, biomass or biogas
produced from molasses. They
include Descon Engineering, a
Karachi-based multinational,
which has worked worldwide
to help equip cogeneration
projects.
However, if the new policy
unlocks new domestic
projects and results in the
upgrading of older generating
equipment, there will be
greater opportunities for
foreign suppliers or designers
of equipment such as stokers,
boilers and steam turbines,
and for consultants of various
kinds.
As of 31 January, seven
cogen proposals linked to
sugar mills and totalling
585 MW were on the table,
according to the private
power and infrastructure
board of Pakistans Ministry
of Water and Power, with the
majority in Punjab These are:
JDWP/JSMLs 80 MW JDW
project near Rahim Yar Khan;
the Ramazan Energy/Sharif
Groups and Ramaz Sugar
Mills 100 MW plant planned
for Bhawana; Janpur Energy/
RYK Mills 60 MW scheme
at Rahim Yar Khan; Fatima
Energy/Fatima Sugar Mills
100 MW proposal for
Sanawan; CPL/CSMLs
Chistia 65 MW project at
Sargodha; Dewan Energys
120 MW plan for Dewan City
near Sujawal in Sindh province;
and Etihad Power Generations
60 MW facility for Rahim Yar
Khan.
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1307cospp_18 18 7/18/13 4:41 PM
-
www.cospp.com Cogeneration & OnSite Power Production | July
- August 2013 19
Promoting biogasse cogeneration in Pakistan
However, foreign frms with recent direct
experience of selling into the country
include Brazilian equipment maker NG
Metalurgica, which in 2005 made an HB 420
model 9 Type B multi-stage steam turbine
for the Almoiz bagasse cogen project,
a 27-MW facility generating power for
Lahore-based Almoiz Industries Paharpur
sugar mill, in Khyber Pakhtunkhwa.
The output of the NG Metalurgica back-
pressure turbine is 12 MW, with rotation
speeds of 9250 rpm for the turbine and
1500 rpm for other equipment. The steam
conditions are: a temperature of 480C,
an inlet pressure 4500 kPa and an exhaust
pressure of 300 kPa.
A separate condensing extraction
turbo-generator of 15 MW for Almoiz
was made in 2006 by the Guangzhou
Guangzhong Enterprise Group of
Guangzhou, China.
The Almoiz project demonstrates what
scope there is to do business in Pakistan
without necessarily being there. Descon
Engineering, for example, provided two
80 tonnes/h, 6500 kPa high-pressure
boilers for the plant. These were based
on the latest designs from Eckrohrkessel
of Berlin, Germany, which licenses out
engineering designs to manufacturers
worldwide. Similarly, ipro Consulting of
Kalsruhe, Germany, was the engineering
consultant on the project.
Det Norske Veritas Certifcation of
Norway has conducted validation
analysis and reports for bagasse and
biomass cogeneration and on-site power
production in Pakistan, and Ecoenergy
of Sao Paolo, Brazil, has provided
carbon market consultancy for bagasse
cogeneration in Pakistan and South
America.
First Climate of Zurich, Switzerland, a
world-leading carbon asset management
and consultancy company, was involved
in a recent project that established
cogeneration from biogas produced
from molasses left over in sugar refning at
Shakarganj Mills in Jhang, Punjab. While,
GE Jenbacher of Austria, has supplied
eight 1 MW JGS320 gas generators
and the gas dehumidifcation unit for
the project. A desulphurisation unit to
sweeten the gas came from Denmarks
ScanAirclean.
Trailblazer projects such as Almoiz
and Shakarganj could encourage other
Pakistani sugar mills to consider new
or upgraded cogeneration plants as
part of the new government policy. And
international suppliers and consultants
may be encouraged to participate in
such cogen projects in Pakistan because
they know that external development
agencies are likely to support the projects.
These include international development
fnancial institutions such as the Asian
Development Bank, which already has
in place incentives that include debt
fnancing and meeting part of the cost
of initial feasibility studies. Its priorities for
co-operation and investment in Pakistan
include the all-important energy security.
Rahimullah Yusufzai and Robert Stokes
are freelance journalists specializing in
energy matters. Rahimullah is based in
Peshawar.
This article is available
on-line. Please visit
www.cospp.com
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com20
Biomass-fred CHP plant optimization
Various fees, taxes
and incentives
facing power
plant owners have
given them an increasing
interest in the effcient
operation of their facilities in
general. Even though these
stick-and-carrot stimuli vary
from country to country, the
trend is towards the better
use of renewable resources.
One way to achieve this is
to improve the economics
of operating a plant, which
depend mainly on the
energy sold compared to
operating costs.
Swedish utility Kalmar
Energi has turned to fue gas
condensing and combustion
air humidifcation to optimize
the operation of its biomass-
fred CHP plant in Moskogen.
Experience there has shown
the company how the latter
process enhances the heat
recovery from the former. But
when is their employment
economically justifed, what
are the operating hours of
these processes at Moskogen
and how do they affect the
plants capacity profle?
The CHP plant
Kalmar Energi has been
operating Moskogen
since 2009. It comprises a
90 MWth bubbling fuidized
bed (BFB) boiler that produces
30 MW of electrical power and
85 MW of district heat. Bark,
forest residue and wood chips
are the main fuels, and its total
Flue gas condensing and combustion air humidifcation can beneft
a CHP plant.
Daniel Jedfelt, Risto Etelaho and Tarja Korhonen describe how
these processes help
to optimize operations over a yearly cycle at a wood-burning
facility in Sweden.
A high water mark for effciency
Kalmar Energis Moskogen CHP plant provides about 90% of the
district heating consumed in the city of Kalmar Credit: Kalmar
Energi
1307cospp_20 20 7/18/13 4:41 PM
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Cogeneration & OnSite Power Production | July - August 2013
www.cospp.com22
Biomass-fred CHP plant optimization
output is about 400 GWh of
district heating and 130 GWh
of electricity per year, providing
about 90% of the district
heating consumed in the city
of Kalmar.
When biomass or other
high-moisture fuel are fred, it
is quite common to boost the
effciency of a plant by using
fue gas condensing systems,
which can help to raise the
overall plant effciency to 110%
or more.
The heat effect of fue gas
condensing depends on the
fuel moisture content and
the temperature of the return
water in the district heating.
High fuel moisture content and
low return temperature of the
district heating water enable a
high heat effect, which makes
fue gas condensing very
interesting in an economic
sense.
Figure 1 shows how a
greater content of moisture in
the fuel means the fue gas
contains more moisture and
has a higher dew point. The
process of condensing fue
gas produces hot water at a
dew point temperature that
again depends mainly on the
fuel moisture content.
Biomass-fred boilers
produce fue gas that contains
plenty of heat (mainly latent
heat) because the moisture
content of the fuel is relatively
high. As the fue moisture is
in a vapour form, it has high
enthalpy, which is measured
in kJ/kg.
Energy is released when the
water vapour condenses, a
process that occurs when the
temperature of the fue gas
falls to that of the water dew
point, in other words when the
relative humidity is 100%. About
1 m3 of condensed water per
hour corresponds to 1 MW of
recovered heat.
In the case of biomass-
fuelled plants the temperature
of the hot water produced
in the fue gas condensing
process is typically 6570C.
Although a CHP plant
commonly uses this hot water
to raise the temperature of
the return water in the district
heating system, there can be
other consumers of the heat,
such as large-scale industrial
processes. So the higher the
temperature of the water
produced by the fue gas
condensing process, the more
energy can be transferred to
the district heating system.
Figure 2 shows how a
typical district heating systems
return water temperature
varies according to the heat
demand in the network. A
high return temperature limits
heat transfer from the fue
gas condensate to the district
heating water.
In the case of Kalmar, the
high temperature of the return
water in summer occurs when
the CHP plant is shut down
and the heat plant provides
hot water to the Moskogen
plant. Figure 3 shows the
approximate heat recovery
potential at Moskogen as
the temperature of the return
water changes.
A combustion air humidifer
uses waste heat from the fue
gas to raise the temperature
of the combustion air, which
allows additional moisture
to transfer into it. After the
humidifer, the relative moisture
content of the combustion air
can reach 100%.
Figure 4 shows how the
addition of moisture to the
combustion air which
increases the fue gas moisture
content increases the
condensing heat effect.
Combustion air
humidifcation is an effective
method to increase heat
production. However, its use
requires some optimization of
the operation of a CHP plant
because the increase in the
condensing heat effect can
reduce the electrical effect.
Two-stage scrubbing
At Moskogen, an electrostatic
precipitator removes particles
from the fue gas coming
from the BFB. The fue gas
then passes to a two-stage
condensing scrubber. A frst
washing process occurs in a
spray stage, with a packed bed
performing the fnal cleaning.
The scrubber removes oxides
of sulphur, ammonia slip and
any remaining particles.
Condensation takes place
in the scrubber, where the
condensate is pumped over
a packed bed layer. In the
packed bed, heat from the
water-saturated fue gas is
transferred to the condensate.
The condensate is continuously
pumped through a set of plate
Figure 1. The direct correlation between the moisture content of
the fuel and the moisture level in the fue gas and its dew point
temperature
Figure 3. The heat recovery potential as the temperature of the
district heating return water at the Moskogen CHP plant changes
Figure 2. The variability in the return temperature of the
district heating water at the Moskogen CHP plant over a year
1307cospp_22 22 7/18/13 4:41 PM
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Biomass-fred CHP plant optimization
heat exchangers to transfer
the heat to the district heating
return water its temperature
after the heat exchangers is
typically 60C.
After the fue gas condenser,
the district heating water
fows through the turbine
condensers and is heated to
the actual temperature set
point of the departing district
heating water, which typically
ranges from 85C to 100C.
Operational profle
Moskogen typically starts
up for the heating season
in September, when heat
demand is high enough for
the minimum load operation
of the boiler. The plant is in
operation through the entire
heating season, and typically
shuts down in early June, when
heat demand is too low for
operation at minimum load.
In winter, the heat effect
from fue gas condensing
amounts to nearly 30% of
the total plant heat effect.
Figure 5 shows how the plants
production of electricity and
district heat varied between
the plants startup in 2009
and summer 2012. The fgure
also displays the change in
the district heat effect from
fue gas condensing over the
same period.
Moskogen employs
combustion air humidifcation
most of the time, but not in
early autumn and late spring.
The CHP plant operates for
about 260 days annually, with
the duration of the scheduled
summer shutdown in the
region of 100 days.
Optimizing operations
The most important variable
for heat and electricity
production in a CHP plant is
the heat demand in the district
heating system, which in turn
depends on the weather. At
ambient air temperatures of
0C or lower, the heat demand
load is high enough to allow
full operation of the CHP plant,
the fue gas condenser and
the air humidifer.
This heat demand
decreases at higher ambient
temperatures, when the CHP
cannot run at full load. In this
situation there are alternative
ways to optimize the energy
production of the plant.
The most important
variables are the price
achieved for the electricity
sold and the cost of fuel. If the
ratio of the two is high enough,
it becomes proftable to limit
fue gas condensing and
keep up steam production
in the boiler. This enables full
electricity production, even
though the plants full heat
output potential cannot
be delivered to the district
heating system. Moskogen
is also equipped with a hot
water accumulator to enable
shorter term optimization
between heat and electricity
production.
The limitation of heat
recovery in the fue gas
condensing process is
carried out in steps. The frst
step involves turning off the
air humidifer. In the second,
condensate fow from the
condensing scrubber to the
heat exchangers is reduced
and the minimum heat output
from the fue gas condensing
is determined on the basis of
the maximum temperature of
the packed bed layer or the
minimum condensate fow of
about 5 m3/h.
The minimum condensate
fow is maintained to avoid the
concentration of solids in the
scrubber. It is also possible to
stop the condensate fow to the
heat exchangers, but then the
scrubber consumes expensive
city water for cooling and
makeup, so this is done only
at minimum load just before
plant shutdown. This strategy
avoids starting up other boilers
that use more expensive fuels,
such as dry wood powder.
Planning of the operation
takes place on a weekly basis.
Plans are reviewed daily and
adjusted for weather and
ambient temperature.
In summary
Thus in winter, the CHP plant
is operated at a full load with
fue gas condensing and
combustion air humidifcation
in full operation. At this time
of year fue gas condensing
produces about 28% of the
plant heat effect. Without
combustion air humidifcation
the additional heat effect
would be slightly lower at 22%.
At the end of the heating
season, the operation of
fue gas condensing and
combustion air humidifcation
is adjusted. When summer
approaches and heat
demand in the district heating
system decreases towards the
minimum load of the boiler,
fue gas condensing is limited.
The frst step is to turn off the
air humidifer, then reduce the
condensate fow.
Daniel Jedfelt is operation
manager at Kalmar
Energi Vrme AB, Sweden,
Risto Etelaho is product
manager at BFB Metso
Power Oy, Finland and
Tarja Korhonen is product
manager, Environmental
Systems, at Metso Power Oy,
Finland.
www.metso.com
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on-line. Please visit
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0
5
10
15
20
25
30
35
35 40 45 50 55 60 65
Condensing heat efect, %
of plant heat efect
District heating return temperature, C
Efect of combustion air humidifcation
@50% fuel moisture content
Without humidier
With humidier
Figure 4. The temperature of the returning district heating
water affects the condensing heat effect, with and without the use
of a humidifer
0
10
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30
40
50
60
70
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100
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District heating efect [MW]
Generator active power [M
W]
Turbine condenser district heat power[MW] Turbine electric power
[MW]
Flue gas condenser power [MW] Total district heat power [MW]
Figure 5. The variability of the Moskogen CHP plants heat and
electrical effects between 2009 and 2012
1307cospp_24 24 7/19/13 9:58 AM
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Cogeneration & OnSite Power Production | July - August 2013
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Growing popularity of self-generation in the UK
Co g e n e r a t i o n
specialist ENER-G
has seen an
a c c e l e r a t e d
uptake of its discount energy
scheme as the economic
downturn continues to hit
the UKs small-to-medium
(SME) enterprises and
organizations hard.
According to the company,
its pay-as-you-save Discount
Energy Purchase scheme,
which was pioneered in the
1990s, gives cash-strapped
organizations access to
energy-effcient combined
heat and power (CHP)
technology, without any
upfront investment. The cost of
the CHP system is paid for via
a competively-priced metered
energy charge.
ENER-G reported earlier this
year that it had now sold
more than half its small-
scale cogen systems to UK
business customers under
the scheme.
The discount energy
purchase concept is simple
and places virtually no risk on
our clients, says sales director
Ian Hopkins, explaining that
customers at times of recession
do not want to tap into capital
savings or take out expensive
loans.
He adds, that because
the cogeneration system is
highly effcient ENER-G is able
to charge customers less for
electrical output than from
the grid and provide free
heat, while still recouping
adequate funds to cover the
investment cost and ongoing
maintenance of the system.
Our clients can use their
capital to fund core projects
and sit back and enjoy bottom-
line savings from CHP, which
can achieve cost savings of
up to 40% compared with
electricity from the grid and
heat generated by on-site
boilers.
Furthermore, CHP systems
primed by natural gas, or other
fossial fuels, can cut carbon
emissions by about 20%,
compared with conventional
plants, according to ENER-G
calculations, he adds.
ENER-Gs cogeneration
systems on offer range from
just 4 kWe to over 5 MWe. CHP
is typically 90% effcient for
on-site energy consumption
around twice as effcient
as conventional plants, where
the generated heat is wasted,
while another 7% in effciency
losses occur by transmitting
electricity from remote power
stations to end-users, Hopkins
concludes.
Among the businesses
that are benefting from
funded cost and carbon
savings is Tangerine
Confectionery, which has fve
ENER-G cogeneration and
trigeneration systems funded
through the Discount Energy
Purchase scheme.
ENER-G reports an acceleration in the uptake of its
pay-as-you-save
discount energy purchase scheme in the UK, and more businesses
are
warming to the idea of green power self-generation, writes
Richard Baillie.
On-site powercontinues to gain favour in the UK
ENER-Gs 230 kWe CHP system installed at Tangerine Confectionary
under its Discount Energy Purchase scheme Credit: ENER-G
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www.cospp.com Cogeneration & OnSite Power Production | July
- August 2013 27
Growing popularity of self-generation in the UK
Peter Sanders, operations
director for Tangerine, says, We
are continually seeking ways
to raise our environmental
performance and this move to
on-site generation of power is
a key element of our carbon
cutting strategy.
ENER-G is able to provide
us with a total service, from
initial design to long-term
care of the systems. This has
required no capital investment
as the technology is supplied
by ENER-G in return for us
purchasing the generated
electricity at a favourable rate.
ENER-Gs Hopkins adds, We
have clients that have enjoyed
the benefts of Discount Energy
Purchase for 15 years and are
now replacing their equipment
under the same simple
contract structure. It is a very
effective way for companies to
regain some control over their
energy costs while electricity
rates continue to rise.
Growth in renewable
self-generation
Recent research from Opus
Energy, a business energy
supplier, also suggests a
growing level of interest
among UK frms in generating
renewable energy on their
premises, compared with 2011.
More than a third of those
surveyed 39%, up from 32%
in 2011 expect to introduce
solar panels, wind turbines,
or anaerobic digestion, for
example, and almost half
(48%) expect to generate their
own green electricity within
two years.
In 2011, just 26% were
looking to introduce on-site
renewables within fve years.
Of those surveyed, 15% are
already generating renewable
power, versus 6% in 2011.
Interestingly, SME owners aged
55+ are leading the charge
20% already generate green
power on site.
Opus Energy is also seeing
more companies sign up
to its renewable power
purchase agreements (PPAs),
which enable the supplier to
purchase excess renewable
power from businesses for
its customers. This means
companies can generate an
extra income and enhance
their corporate responsibility.
In the survey, the three main
benefts stated by businesses
for self-generation were: self-
suffciency (28%), generation
of income (23%), and doing
our bit to combat climate
change (17%).
Successful PPA signings
In December, Opus Energy
announced the signing of its
500th renewable PPA.
A relatively recent signing
is with Knocknain Farm in
Scotland, which now sells all
its 330 kW wind-generated
power to Opus Energy. The
Port of Milford Haven also
signed an agreement last year,
enabling the energy supplier
to buy excess power from solar
photovoltaic (PV) systems
installed on multiple buildings.
This includes the Ports fagship
100.8 kW Phoenix Power PV
plant the largest integrated
solar PV system in Wales
located on the roof of a tenpin
bowling centre.
According to Charlie
Crossley Cooke, managing
director of Opus Energy:
Its great to see companies
warming to the idea of
generating their own
renewable energy adding
that Opus Energy can work
with companies to help them
realise the extra revenue and
benefts to be gained by
entering this market.
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on-line. Please visit
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Project Profle:
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Project profle: Optimization of industrial CHP in Portugal
The operators of a CHP plant at a large petrochemcial facility
in Portugal were struggling to run the
plant in the most economic way because of the requirement for
high operational fexibility, liquidity of
the cost and constantly varying site demands. Joo Coelho and
Pascal Stijns explain how this issue
has been successfully resolved.
How to optimally runa complex industrial CHP plant
The Sines petrochemical complex is Repsols largest chemical
facility in Portugal Credit: Repsol
1307cospp_28 28 7/18/13 4:51 PM
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Repsol is an
integrated global
energy company
with a presence in
more than 30 countries. It
operates in the upstream
areas of exploration and
production of hydrocarbons,
as well as downstream
refning and the production
of chemicals, and new
energy.
Repsols largest chemical
facility in Portugal is a
petrochemical complex in
Sines, which manufactures
polymers. The heat and
power requirements for this
large chemical complex are
provided by a cogeneration
facility. The CHP plant consists of
three high-pressure boilers and
one medium-pressure auxiliary
boiler, and has a maximum
steam production capacity of
600 tonnes, which is used to
meet the sites electricity and
heat requirements.
The boilers are able to
combust six different fuels of
varying quality, availability and
cost simultaneously. The steam
is reduced and distributed via
fve steam headers within the
site via a 35 MW back-pressure
turbine or pressure reducing
stations. A 24 MW condensing
turbine is also available to
produce extra electrical power
when needed. The site has two
different electrical contracts, of
which the condensing turbine
contract is the most complex.
However, due to the
requirement for operational
fexibility, liquidity of cost
and constantly varying site
demands it was proving almost
impossible for operations to
make the right economical
decisions to achieve the
optimal utility production cost.
Thus, the Sines facility,
working with Honeywell,
decided to develop and
install an on-line and real-
time thermodynamic and
economic model that could
determine the optimal
production settings, and
thereby enable operations to
run the CHP plant in the most
economical way.
The optimization model
The plants Honeywell Experion
PKS distributed control system
(DCS) enabled the use of
various Microsoft standard
tools such as Task Scheduler,
Excel and Visual Basic,
which helped to simplify the
optimization application.
Furthermore, three MicroSoft
Excel add-ins are employed:
the Honeywell Water and
Steam Physical Properties,
the FrontSys Premium Solver
and the Microsoft Excel Data
Exchange. Figure 1 shows a
sample optimization window
from the application.
Data are read from the
DCS into an Excel workbook
via Honeywells Medex
OPC-based add-in. On-line
values, pricing information,
physical properties, etc, are
linked to the model. The Solver
add-in executes and inputs
the results into the model
tab. From there the values
are written to defned SCADA
points in the DCS for further
display, historization, reporting
and alarming via OPC.
A copy of the workbook,
without the input and output
sheets, can be used for off-line
optimization too, enabling
the user to run various multi
periods (i.e. hours, days, weeks,
months, years) and analyse
what if scenarios.
The Solver add-in enables
the use of various solving
techniques, ranging from
Mixed Integer Linear
Programming (MILP) to Mixed
Integer Quadratic Constraint
Programming (MIQCP), as
well as the more commonly
used, Mixed Integer Non Linear
Programming (MINLP).
The objective function of
the model represents the
sum of the variable and fxed
costs, including depreciation,
personnel, insurance and
fxed charges. The user is
able to view the impact of
various optimization modes,
constraints and loading,
including switching devices
on or off. The model also
provides the operating cost of
the CHP in actual mode and
optimum mode in a real-time
environment.
Positive outcome
Repsol Sines found some
surprising results. Running the
station with a 1 MW electrical
feedwater pump instead of
a turbo pump delivered an
astonishing saving of more
than 9%. Even more surprising
was the 13% saving by running
the station with two feedwater
lines and a turbo pump,
compared to running with a
single feedwater line and one
electrical pump.
Comparing several different
operational scenarios before
and after the optimizer also
proved to be an eye opener,
as can be seen in Figure 2.
The vertical axis represents the
cost (%) relative to the way the
CHP plant was operated in the
past at low loads.
The difference in Scenarios
1 (frst left, red) and 2 (second
left, red) is small in terms of
cost , although a 2% difference
does represent a considerable
amount of money on a yearly
basis. However, these were
rejected by Repsol due to
environmental considerations.
Scenarios 3, 4 and 5 (in
blue) all comply to Repsols
sustainability targets (i.e. no
faring and steam venting)
and clearly show signifcant
differences in operating
cost close to 22% between
operating the power station
with only the condensing set
at a minimum and one boiler
(scenario 3) and scenario
5, i.e. running the station as it
used to run.
www.cospp.com Cogeneration & OnSite Power Production | July
- August 2013 29
Project profle: Optimization of industrial CHP in Portugal
Figure 1. A representative screenshot
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Cogeneration & OnSite Power Production | July - August 2013
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Project profle: Optimization of industrial CHP in Portugal
In addition, users are able to
justify improvements, including
various effciency improvement
projects by changing the layout
of the plant and comparing it
with previous scenarios over a
certain ope