Transcript Slide 1

Bali Biomass Gasification
Power Plant 10MW
Who are we?
The Project has been jointly developed by:
PT. Indo Asia Energy Development
CV. Bali Komunika Internasional
Supported by:
Udayana University
The Project Entity will be:
PT. Indo Asia Energy Development
(based on a new share holding structure with the director of
CV. Bali Komunika Internasional holding 50% of the shares
of PT. Indo Asia Energy Development prior to investment
stage proposed)
Who are we?
PT. Indo Asia Energy Development
Indo Asia Energy Development, Ltd (IAED) is an international
development team of business and financial experts who have
come together to build a world class commercial renewable
energy company in Indonesia in the coming decade.
IAED believes there is a real and necessary opportunity to
develop a large scale renewable energy industry in Indonesia.
With petrochemical energy supply continuing to increase in
financial and political cost, a real alternative to Indonesia’s energy
and transport fuels needs are an urgent priority.
Who are we?
CV. Bali Komunika Internasional
(Bali International Consulting Group)
Is an international consulting group advising on sustainable
development, corporate social responsibility, sustainability
reporting, solutions for renewable energy and are now focusing
specifically on the clean development mechanism under the Kyoto
protocol.
At BICG, we advise our clients on project development with their
social and environmental footprint in mind.
We work with selected international partners in Europe, Australia
and Asia and recognize the GRI sustainability reporting guidelines
as Indonesia’s first organizational stakeholder since 2006.
Advantages of GREEN Energy
-Reducing the costs of purchasing energy (electricity and
fuel)
-Additional profit from selling surplus electricity to the grid
-Additional profit from selling
Certified Emission Reduction (CER)
-Additional profit from selling by-products
(e.g. ash from rice husk gasification)
-Increasing security of energy supply
What kind of GREEN Energy?
Bali Green Energy Options:
Geothermal
- currently not preferred due to previous failure
Solar
- not economically
Wind
- not sufficient
Biogas
- not enough supply, logistic problem
Hydro
- small scale opportunities, not scalable yet
Nuclear
- no priority for Bali
Biofuel
- no sufficient supply in Bali, not yet viable
Biomass
- feed stock available, proven, suitable
What kind of GREEN Energy?
Why Gasification and not Co-Generation?
Diversified supply input, less dependency on price fluctuations
>20% more competitive in investment cost
Available technology, no waiting periods
Turn key operations only 10 months from order
Lower maintenance less operational staff
Feed stock treatment cost 50%
Plant power consumption 50%
Smaller land size
Water recycling, no need for water wastage
Lower emissions
Overall proven as more efficient
The Project
Project
Capacity
Feed Stock
: Biomass Gasification “Syngas” Power Plant
: 10 MW
: Biomass Elephant Grass and agricultural by
products from Rice, Maize, Cassava, Coconut, Palm,
Gloves (husk, starch, saw dust, chips, fiber)
Location
Market
: Klungkung/Karangasam, Bali
: Electricity - State Owned Electricity Company
(PT PLN Persero)
Feedstock Supply
Pennisetum perennials, Giant Napier (South Perennial)
Gramineae grass: Pennisetum perennials, Pennisetum Ratoon, China
imported from Colombia, because of its resemblance to bamboo stem it is
referred to as the "Queen of bamboo grass." Plant height of 2.5 m, a total of 1216 sections, diameter 2 to 4 cm, about 160 centimeters long leaves, leaf width
from 3 to 6 cm, dried leaves and stems containing 18.6% crude protein, crude fat
3.33%, 33.64% crude fiber, N-free extract 33.85%, per mu is equivalent to 8 to 10
acres of corn protein content. Leaves soft, crisp, good palatability. At the same
time can produce more than 10,000 aging stem root, bamboo can be used for
aircraft use, as well as in China's southern Henan, Hebei and other places are
growing well. In particular, the products developed root system, root length up to
3 meters may be the formation of fibrous roots in the relatively short period of
time the network can be firmly locked to prevent water and soil erosion on steep
slopes and embankments of wasteland ideal plant. Upstream region in Sichuan
over the past few years the implementation of "planting grass Pennisetum
industrial integration" works to the masses in many poverty-stricken counties to
engage in cattle breeding, poverty, achieving remarkable economic, ecological
and social benefits. Expected output 300 t/ha, calculated at 233 t/ha
Biomass Syngas Power Plant
*information provided by technology provider
Biomass Syngas Power Plant
The biomass gasification system produces a valuable gas named producer
gas - “Syngas” (Synthetic gas). The biomass (agricultural), used for this
purpose is materials such as: rice stems, rice husks, cotton stalks, corn
stalks, millet stalks, wood dust, cane trash, wheat straws, hemp palm husks
and other forms of biomass. This system can produce electric power in the
range of 400kW – 15.0MW by using a few parallel modular units.
Since Biomass itself is almost sulfur free, the gasification process will not
produce any sulfur oxide emissions (SOx). However, fuels such as diesel
and HFO contain a considerable amount of sulfur. HFO could have as much
as 4% sulfur and therefore requires special additional treatment to neutralize
these emissions.
Similarly the gasification of biomass produces very low concentrations (if
any) of nitrous oxide emissions (NOx) when manufacturing the “Syngas”
and thereafter leads also to low emissions in the combustion engines.
*information provided by technology provider
Biomass Syngas Power Plant
Production of 1 KW power, requires only 1.55 - 1.95kg of rice husks, wood
dust or crop stalks as fuel. The water used in the cooling system of this
process can be recycled after undergoing a simple treatment and thereby
having no harmful effects to the ecological system and the environment.
Self power consumption of this systems is low with percentages ranging
between 5 - 8% of the generated total power.
This project is an ideal solution for regions where there are large quantities
of biomass waste resources, mills, farms, nearby forests etc.
In consideration of the above mentioned particulars, the feasibility of such
Power station will give a high ROI (Return of Investments) in a short period
of time. The reasoning to this high ROI is due to the cost of the fuel being
negligible – near ZERO (0), only labor, drying and grinding (if woods) has to
be considered. In most other power stations, fuel cost corresponds to
approximately 60-75% of power selling price, in our case, there is a saving of
approximately 70% compared with other forms of power stations.
*information provided by technology provider
Biomass Syngas Power Plant
The technology of producing power by gasification of biomass is easy to
operate, simple and economical in maintenances and service, has no high
pressure steam/boilers, no turbines, easy to start, run standard combustion
generator- NO STACK / CHIMNEY at ALL !!!
The power station requires a small land area to operate. It is environmentalfriendly, simple to install, and it can gasify most kinds of agricultural
biomass. These will in turn produce very low cost valuable electric power
energy source.
In order to remove the soot, ash and tar particles in the biomass producer
gas - “Syngas” and prevent the formation of secondary pollution to the
environment, the biomass gasifying equipment effectively uses mechanical
& electronic systems, which reduce the soot, dust and tar particle content in
the produced gas to a certain extent, the equipment for collecting soot, ash
and tar is highly efficient, it was designed and developed mainly for largescale fossil-fuel power plants, chemical plants and waste incineration plants.
*information provided by technology provider
Biomass Syngas Power Plant
As the “Syngas” flow is relatively small in ordinary biomass gasifying
generating projects, and there are some differences between biomass gas
and the gas treated in fossil-fuel plants, temperature are low, less oxygen,
therefore the adopting technology can solve most of biomass gasification
demands.
Requirement of the feedstock granule size is ≤2cm, moisture content ≤20%,
the whole project could be supplied with special drying system if needed,
that can be done by using special dryer system which is heated by using the
residual heat for drying.
*information provided by technology provider
Biomass Syngas Power Plant
Biomass pyrolysis gasification has different production ratio of soot and tar at
different operating temperatures. If carbonization temperature is 400-600℃, the
production ratio of tar is 13% - 37%, and it is 5% - 15% when using fixed bed
gasification furnace, when operating temperature is 800℃, the production ratio in a
fluidized bed gasifying furnace is about 2.5%. Tar content in raw Producer gas “Syngas” without treatment is about 1 - 3 g/Nm3. The Syngas must be condensed
to remove soot & tar before it is sent to internal combustion engine. As it is well
known, the caloric value of tar is very high and it is about 30MJ/kg (7,140Kcal/Kg).
The heat value of tar increases up to 10% of total heat value of gas.
“Syngas” standards shouldn’t have particulates more than 50mg/m3 which is the
highest acceptable figure for internal combustion engines, some engine
manufacturers also requires that dust/ash/soot content should be ≤ 25mg/Nm3,
H2S≤10mg/Nm3.
In our gasification system, according to long practical field tests, output content of
soot, tar ash and dust is < 23mg/Nm3 only.
*information provided by technology provider
Biomass Syngas Power Plant
Technological flow-chart of biomass gasification power system
Biomass feedstock:
System Flow Chart
High-heat fan
Biomass
Straw:
Production water
/heating water
Rice stem
Cotton stalk
Millet stem
Wheat straw
Palm husk
Other types of
biomass
Gas Cleaning & Cooling
System
Bamboo stem
Fuel
boiler
Dry Ash, (the carbon ash could be used
for chemical production of Fertilizers, *information
activated carbon and/or silica)
Electrostatic decoking precipitator
Sugar Cane
waste
Recycling fluidized bed
Wood waste
Cyclone dust collector
Corn stalk
Cyclone dust collector
Rice husk
Steam generator
set 2MW—12MW
Fuel
generator
set
0.4
0.8
1.0
1.2
1.5
2.0
Industry
gas/
Domestic
gas
MW
provided by technology provider
Biomass Syngas Power Plant
Raw material*
Feedstock input (KG) per 1 kwh
1
Saw dust
1.4-1.5
㎏/kwh
2
Eucalyptus chips
1.2-1.3
㎏/kwh
3
Woodchip (gen.)
1.4-1.7
㎏/kwh
4
Coconut fiber dust
1.6-2.0
㎏/kwh
5
straw
1.7-1.8
㎏/kwh
6
Palm bunch
1.7-1.9
㎏/kwh
7
Rice husk
1.6-2.0
㎏/kwh
8
Crop stalk
1.7-2.0
㎏/kwh
9
Sugar Bagasse
1.7-2.0
㎏/kwh
Syngas analysis：
CO:12-18%,
CO2: 10-16%,
CH4: 4-8%,
H2: 3-7%,
CnHm: 1-1.4% ,
O2: 0.5-1.2%,
N2: 54-60%.
Heating caloric value - 5,200KJ/Nm3 (LHV 1,240Kcal/Nm3, HHV 1,350Kcal/Nm3).
Content of dry ash after gasification (near 30% of raw material):
Density at free state:
172.5Kg/m3
Density compressed state: 295 Kg/m3
Carbon (when using rice husk) ash: 40 - 45%.
Silica content: 50 - 52%
*information provided by technology provider
Biomass Syngas Power Plant
No.
Item
400KW
800 KW
1MW
1.5MW
2.0MW
3.0MW *
1
Building are (m2)
350
400
480
550
600
740
2
Main building height (m)
6
6
6
6
6
6
12×5
15×5
18×5
22×5
25×5
3
Cooling pool - L x W, Depth 3m
27 x5
4
Total units weight (T)
22
28
32
40
50
61
5
"Syngas" production rate (Nm3/h)
1,400
2,800
3,500
5,300
7,000
10,500
6
Raw material (biomass) consumption
(kg/h)
800
1,600
2,000
3,000
4,000
6,000
7
Acceptable material moisture content
(%)
16
16
16
16
16
16
8
Gasifying efficiency (%)
65
65
65
65
65
65
9
Self consumption (kW)
22
40
48
60
80
97
10
Gasifier dimensions (m)
Φ1.4,H=7.5
Φ2.0,H=10.0
Φ2.2,H＝12.0
Φ3.0,H=12.0
11
Ash discharging type
Dry
Dry
Dry
Dry
Φ3.7,H=14.0
Dry
*information provided by technology provider
Dry
Financial Feasibility
Description
Value
Unit
$/Unit
840,000.00
Total
System Cost
10.00
MW
8,400,000.00
Civil Works
20.00
%
1,680,000.00
Import Tax
7.50
%
630,000.00
Integration, Supervision, Coordination
6.00
%
504,000.00
Transportation to Asia/European port
60,000.00
Land transportation to customer place
30,000.00
Land Cost
33,000.00
sq.m
40.00
1,320,000.00
Construction
110,000.00
Start Up Construction capital
210,000.00
Machinery, Chipper, Sub. Station
507,500.00
Harvesting Machinery
600,000.00
Authorities permission
8,000.00
Un-expected
Equity
Total Technology Cost
5.00
%
702,975.00
0.00
14,762,475.00
14,762,475.00
Financial Feasibility
Operation Cost/day (oc)
Biomass (kg/kW X Annual hours X $/ton)
420.00
Ton
Employees
Management fee/month
2.00
20,000.00
Other Material
Un-expected
Total 1st Year Operation Cost
Total Capital Cost
4.00
%
0.00
2,525,328.00
302.79
110,520.00
666.67
240,000.00
41.10
15,000.00
40.42
14,754.13
1,050.98
2,905,602.13
17,668,077.13
POWER PLANT 10 MW
No.
Description
A.
Income
1
Selling Electricity
2
Fertilizer
3
CDM fuel switch
4
CDM methane only from husk
Qty
Unit
3,650,000.00
Price/unit
US$
End of Year
2
3
4
5
kWh/year
0.055
3,854,400.00
3,854,400.00
3,854,400.00
3,854,400.00
30,660.00
ton/year
50.00
1,686,300.00
1,686,300.00
1,686,300.00
1,686,300.00
40,000.00
ton/year
10.00
400,000.00
400,000.00
400,000.00
400,000.00
ton/year
10.00
0.00
0.00
0.00
0.00
5,940,700.00
5,940,700.00
5,940,700.00
5,940,700.00
2,525,328.00
2,525,328.00
2,525,328.00
2,525,328.00
Total
B
Operation Cost
1
Biomass
2
Employees
1
Packet
110,520.00
110,520.00
110,520.00
110,520.00
110,520.00
3
Management fee
1
Packet
240,000.00
240,000.00
240,000.00
240,000.00
240,000.00
4
Other Material
1
Packet
15,000.00
15,000.00
15,000.00
15,000.00
15,000.00
5
Maintanence
1
Packet
14,754.13
14,754.13
14,754.13
14,754.13
14,754.13
1,113,088.86
1,113,088.86
1,113,088.86
1,113,088.86
10.00%
554,070.00
554,070.00
554,070.00
554,070.00
7.50%
126,472.50
126,472.50
126,472.50
126,472.50
Total Expenditure
4,572,760.99
4,572,760.99
4,572,760.99
4,572,760.99
Net Profit
1,367,939.01
1,367,939.01
1,367,939.01
1,367,939.01
140,000
ton/year
hold back development
6
Interest
7
Loan repayment
8
Tax
9%
POWER PLANT 10 MW
No.
Description
A.
Income
1
Selling Electricity
2
Fertilizer
3
CDM fuel switch
4
CDM methane only from husk
Qty
Unit
3,650,000.00
Price/unit
US$
End of Year
2
3
4
5
kWh/year
0.075
5,256,000.00
5,256,000.00
5,256,000.00
5,256,000.00
30,660.00
ton/year
50.00
1,686,300.00
1,686,300.00
1,686,300.00
1,686,300.00
40,000.00
ton/year
10.00
400,000.00
400,000.00
400,000.00
400,000.00
ton/year
10.00
0.00
0.00
0.00
0.00
7,342,300.00
7,342,300.00
7,342,300.00
7,342,300.00
2,525,328.00
2,525,328.00
2,525,328.00
2,525,328.00
Total
B
Operation Cost
1
Biomass
2
Employees
1
Packet
110,520.00
110,520.00
110,520.00
110,520.00
110,520.00
3
Management fee
1
Packet
240,000.00
240,000.00
240,000.00
240,000.00
240,000.00
4
Other Material
1
Packet
15,000.00
15,000.00
15,000.00
15,000.00
15,000.00
5
Maintanence
1
Packet
14,754.13
14,754.13
14,754.13
14,754.13
14,754.13
1,113,088.86
1,113,088.86
1,113,088.86
1,113,088.86
10.00%
694,230.00
694,230.00
694,230.00
694,230.00
7.50%
126,472.50
126,472.50
126,472.50
126,472.50
Total Expenditure
4,712,920.99
4,712,920.99
4,712,920.99
4,712,920.99
Net Profit
2,629,379.01
2,629,379.01
2,629,379.01
2,629,379.01
140,000
ton/year
hold back development
6
Interest
7
Loan repayment
8
Tax
9%
Financial Feasibility
Mixed Loan & Equity Based Investment
Developer Equity
Investor Equity
Loan
Interest rate
30%
70%
(IP, BC, Development valuation)
USD
5,300,423
USD
12,367,654
5 Year IRR
Equity Return for Investor
20.65%*
2,3
14.45%*
9%
2,3
*1(including operational setup 12 months, loan repayment grace period 60 months)
*2 Including CDM Carbon Credits on fuel switch from fossil to RE
*3 Based on electricity sales to PT. PLN (State Owned Electricity Company) @ USD 0.055/kWh
5 Year IRR
Equity Return for Investor
39.69%
27.78%
*3 Based on electricity sales to PT. PLN (State Owned Electricity Company) @ USD 0.075/kWh
What is the CDM?
The Clean Development Mechanism (CDM) enables countries
that are signatories of the Kyoto Protocol to meet part of their
GHG reduction commitment through projects located in
another host country. Participation is on a voluntary basis
and more and more Kyoto signatories have put in place the
necessary administrative structures.
In the specific case of CDM, countries belonging to the
Annex I of the Kyoto protocol can fund and help implement
projects in non-Annex I countries. Non-Annex I countries are
typically developing countries.
Successful CDM projects generate Certified Emission
Reduction credits (CERs), each CER representing a quantity
of avoided GHG emissions in the non-Annex I host country,
which are then transferred to the Annex I country.
Similar Projects approved
Registered
Title
Host Parties
Other Parties
Methodology *
11 Dec 05
3.5 MW Rice Husk
based Cogeneration
Project at Nahar
Spinning Mills Ltd.
India
Germany
AMS-I.C. ver. 6
22267
0117
16 Dec 05
3.5 MW Rice Husk
based Cogeneration
Project at Oswal
Woolen Mills Ltd.
India
Germany
AMS-I.C. ver. 6
22267
0118
03 Feb 06
Rice Husk based
Cogeneration project
at Shree Bhawani
Paper Mills Limited
(SBPML), Rae
Bareli, Uttar
Pradesh, India
India
United Kingdom of
Great Britain and
Northern Ireland
AMS-I.D. ver. 6
14744
0195
Around 15 projects registered so far
Reductions **
Ref
How to apply for CDM?
Conclusions
Based on similar projects the CERs can amount to ~500,000 for a
ten year fixed period
Based on the Frauenhofer Institute CERs can reach Euro 20/CER
by 2009; general market expectations Euro 25/CER
Over a 5 year term if feedstock supply can be guaranteed at USD
18 and below even without CERs more profitable compared to the
use of diesel generators (constantly rising oil prices and high
maintenance/replacement costs) in case of Vita Life Resort
Next Steps
Feasibility and environmental impact study to apply a 10 MW
gasification biomass plant based on rice husk (mainly)
Validation of applicable technology
Assessment if the power supply is self-operated or in partnership
Identification of partners/investors
Options:
1) Independent Power Plant selling to PT. PLN @ 0.055/kWh
2) JV with Resort selling directly to Resort @ 0.12/kWh (no land
investment cost)*4
Develop the PDD under the CDM for certified emission reductions
*4 Vita Life Resort project not yet financially closed
Additional Data
-Investment cost for imported technology USD 840/kWh
-Annual operational costs ~1.5% of plant investment excluding feed
stock
-Operational labor 12 long term employees additional labor for logistics
(transportation)
-Annual biomass consumption ~140,000 t (90% load factor, 8200 h/y)
-Medium Scale Power Generation using Renewable Energy:
Developer : Business Entity/Capacity : 1 < Cap ≤ 10 MW
Electricity Price by Utility :60% x Utility’s Production Cost, if connected
to the low voltage grid, 80% x Utility’s Production Cost, if connected to
the medium voltage grid; Purchase Contract : 10 years and could be
extended – for overproduction
-byproduct biomass ash assumption to be sold at ~US$ 50/t
Thank you for your
kind attention
[email protected]
PT. Indo Asia Energy Developments
CV. Bali Komunika Internasional