Transcript Document

Capturing Energy Waste
Dick Munson
Senior Vice President, Recycled Energy Development, LLC
Virtual Energy Conference
June 11, 2008
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Overview
• Energy waste is pervasive.
• Focus on supply-side efficiency.
Inefficient generation of heat and
power is elephant in the room.
• See climate change legislation as an
economic opportunity. Focus on the
profitable reduction of greenhouse-gas
emissions.
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Homer Simpson’s Power Plant
(Springfield, ?)
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Real Electric Generation Plant
(Craig, CO)
Two-thirds of the fuel’s energy is vented to atmosphere.
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Inefficient Power System
• Three units of fuel are used to generate each unit of power
– 33 percent efficiency.
• Efficiency has not improved since President Eisenhower.
• Thomas Edison’s power plants achieved 50% efficiency by
capturing excess heat to warm nearby buildings.
• U.S. is an international laggard. Germany, Japan, and
other industrialized countries capture heat and power at
more than twice the U.S. rate.
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Decline of electric-sector efficiency
US Electric Industry Fuel-Conversion Efficiency
70%
Recovered Energy
60%
U.S. Average Electric Only
50%
40%
30%
20%
10%
1990
1980
1970
1960
1950
1940
1930
1920
1910
1900
1890
1880
0%
Implications:
•US grid less efficient than 100 years ago
•We pay too much for electricity so we can emit too much CO2
•$70 billion potential savings if US returned to 1920s model
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50%
40%
30%
20%
US Electric Power
Sector’s CO2 Emissions
10%
00
20
90
19
80
19
70
19
60
19
50
0%
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Percent of Total US CO2 Emissions
Electric Generation’s Increasing
Contribution to Domestic CO2 Emissions
Year
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US Carbon Dioxide Emissions, 2005
Breakdown of Emitting Sources:
Other Transport
12%
Electricity
42%
Cars
19%
Thermal
27%
Heat & Power;
69% of all fossil
fuel CO2 emissions
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220 MW from Steel Smelter’s Waste Energy
• Significantly enhances mill’s competitive position.
• Annual CO2 savings of 916,000 metric tons/year – more than all grid
connected solar worldwide.
Courtesy Primary Energy
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44 MW from Silicon Production (Alloy, WV)
• $55-million investment
• Recycles exhaust into 45
megawatts
• More efficient plant will
expand production and jobs
by 20%
• We are taking silicon
manufacturing back from
China!
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Trigeneration in Oklahoma City
• 1.2 MW of electric capacity
• 17,500 tons of chilled water
• 290,000 lbs/hr of steam
• 26 downtown customers
•
Trigen Energy
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Efficiencies of Energy Recycling
Projects
100%
90%
Industrial Waste Heat Recovery
(6 Projects)
80%
Steam Pressure Recovery
(190 Projects)
Efficiency
70%
60%
50%
Combined Heat & Power
(56 Projects)
40%
30%
20%
U.S. Delivered Electric Efficiency
10%
00
20
90
19
80
19
70
19
60
19
50
19
40
19
30
19
20
19
10
19
19
00
0%
12
Year
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Clean Energy Standard Offer
Program (CESOP)
• Calculate the true costs of generating and delivering power
from new centralized facilities.
• Offer 20-year CESOP contracts to anyone delivering clean
power for 80% of that cost.
• Consumers obtain a discount against current best deal for
new power. Utilities keep their customers.
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Output-Based Allocations
• Provide each electric (and thermal) producer
with allowances equal to average emissions.
• Every plant must obtain allowances equal to its
CO2 emissions – dirty plants purchase extra
allowances from clean plants at market rates.
• Reduce allowances every year to cut emissions.
• Fiscally neutral – dirty generators pay clean
generators.
• Provides both sticks and carrots – immediate
financial incentives to everyone who lowers
GHG emissions.
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Thank You
Dick Munson
Recycled Energy Development
[email protected]
www.recycled-energy.com
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