Transcript Dias nummer 1 - Energinet.dk

DONG Energy
Welcome to Avedøre
Multi Fuel Power Plant
22 February 2010
Knud Pedersen, Vice President, Group R&D
The World's energy can be produced much more efficiently
Power plat efficiency level
DONG Energy
Imagine if all power plants in the World
were as efficient as DONG Energy's…
Others
Global Average - 31%
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0,8
0,6
0,4
0,2
 Global CO2 emissions from coal: 30%
 Global CO2 emissions: 9%
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Source: Morgan Stanley Research Feb. 2007
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Avedøre
Multi Fuel
Power
Plant
Avedøre Multi Fuel Power Plant
-movie introduction
http://vital/Processer%20og%20services/Kommunikation/Brandguide/Sider/Film.aspx
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DONG Energy – Overview
DONG Energy is one of the leading energy companies in Northern
Europe
We are headquartered in Denmark. Our business is based on
procuring, producing, distributing and trading in energy and related
products in Northern Europe
The average number of employees in 2008 was 5,347
EBITDA result in 2008: DKK 13,622 million
DONG Energy is an integrated energy company
-with activities across the entire energy value chain
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From black to green energy
85 / 15
15 / 85
VISION
To provide reliable
energy without CO2
STRATEGY
 Eliminate 50% of
CO2-emission per
kWh before 2020
 Eliminate 85% of
CO2-emission per
kWh before 2040
320 g
CO2/kWh
An electron in
2006
An electron in 2020:
50% CO2-reduction
1) 2006 total heat and power production 28,5 TWh eleq/ CO 2- emissions 18,2 mt = 638 g CO2/kWh
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100 g
CO2/kWh
An electron in 2040:
85% CO2-reduction
85/15 implies more focus on renewables and gas
Wind (onshore and offshore)
Biomass
CONSIDERABLE CHALLENGES
 Technical
 Commercial (business model)
Gas
 Regulatory
New tech
2008: 19 TWh
2015: ~ 34 TWh
STRATEGY TO 2015
 More balanced thermal portfolio
6000 MW
Coal and oil
Gas
Biomass and waste
Wind and hydro
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 Significant position within
offshore wind
With change comes opportunities…
Emission in Gt CO2equivalents
Global CO2 emissions
90
80
Emission
projections
Projected emissions
70
60
Necessary
Reductions
Business Opportunities
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Emissionspath
if if 2
Emissions
degrees
increase
tempature
increase
is kept at 2 degress
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30
20
10
0
2010
2020
2030
2040
Year
Source: IPCC, Climate Change 2007 Synthesis report
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2050
DONG Energy initiatives
-selected innovation examples
Inbicon – from biomass to ethanol
REnescience – from waste to energy
Better Place – powering transportation
Offshore wind – experience in integration of wind
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Inbicon – from biomass to ethanol
Ethanol replaces oil
in transportation
Ethanol
C5 molasses
Cellulosic biomass
(Waste)
Lignin biofuel
C5 molasses
increases food
production
- or replaces more
oil in transportation
- or produces biochemicals
Biofuel replaces coal in
power and heat generation
Inbicon's proven technology
Large demonstration plant in operation today:
Annual output:
5,4 mill. liters ethanol
11,100 MT biofuel
11,250 MT C5-melasse
Annual input:
30,000 MT Wheat straw
Kalundborg, Denmark – 7 December 2009
December COP15 Limousines
powered by Inbicon's bio-ethanol
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Renescience – from waste to energy
Facts
Biotechnological separation of urban waste into:
1. Liquefied organic part for biofuel production e.g. biogas, ethanol or gasoline
2. Inorganic e.g. plastics may be converted to electricity and heat
3. Metals, glass and fertilizers for recycling
All waste components are utilized as a resource
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REnescience means
Renewables, Science
and Renaissance of
the energy system
Better Place - powering transport
 Electric cars can utilise excess wind power and recharge at night using cheap electricity.
Timing-control is essential
 One 2 MW wind turbine can provide 3,000 electric cars with energy.
700 turbines can fuel the total stock of Danish cars
 Recharge primarily takes place at night when excess wind-capacity is high
 Batteries are four times more effective as an energy provider compared to hydrogen
 Even if all electricity were provided solely by coal-fired power plants, the CO2 emission from
an electrical car would be only 50% of that of a conventional car
 The electric engine can be a major contribution in the
liberation of oil dependency of the transportation sector
 The electric engine is remarkably more efficient than
combustion engines
 The change can reduce resources needs for transportation
significantly
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Electricity markets and pricing
Electricity Markets
Day Ahead
 Intraday (24h to 60min before)
 Intrahour (60-15 min before)
Example of prices on the day ahead market
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Market forces put a price on flexibility
Price duration curve for 2009

Price peak at 200 EUR/MWh

56 hours with zero or negative
prices
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
In December 2009, negative
electricity prices were
introduced

December alone had 9 hours
with negative prices
Trade across borders and optimal utilisation of highperforming thermal plants is the backbone of wind integration

Cross-border trade in Denmark - December 2007
MW
1000
Danish wind power is optimised with
Nordic hydro power and continental
thermal power
Import
500
0
1

Gross trade in 2007 was 22 TWh,
corresponding to 60% of consumption
 Net trade in 2007 was 1 TWh,
corresponding to 3% of consumption
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5
7
9
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-500
-1000
-1500
Export
-2000
Coalat plant
efficiency
Efficiency
power plants
DONG Energy
Others
Global average 31%
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
High efficiency thermal plants balances
wind power and utilise heat for district
heating

0,8
Average efficiency of Danish coal plants in
2006 was 55%
0,6
0,4
0,2
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0
Kilde: Morgan Stanley Research feb. 2007
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Increasing wind power is also an economic challenge
 Already today Denmark exports a large share of the produced energy – at low prices
 Low prices for wind energy make wind investments less profitable if they are highly market driven.
Even if regulated, the need for public financing to pursue RE will pose a threat
Low prices are a threat to the vision of a low carbon society
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Interaction and integration is key to realizing the full potential
of new energy technologies
The handles
 Operational optimization within and
across sectors

Trade within and across country borders

Customer participation
FROM Coal, natural gas, wind, straw,
manure, industrial waste, sun…
TO Electricity, heat, fertilizer, ethanol…
Trade between market players, sectors and
countries, using transport infrastructure,
markets and exchanges
Development of new concepts for clever
but busy customers, which gives them an
opportnity to use energy intelligently.
Strong
infrastructure for transport of electricity,
gas and heat is the backbone of dynamic
interaction.
The liberalized market is a prerequisite.
New business opportunities is the driving force.
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From system challenge…
…to business opportunity
GW
Production
and
in DK
West,
18 2009
Produktion
ogconsumption
forbrug i DK
Vest,
18 Jan
Januar
2009
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Tools for balancing the system
 Thermal production
Parts of consumption is moved
Noget
forbruget
from
peakaf
demand
to low peaks in
flyttes
demandfra spidslast til
4
lavlast
3
2
 Import / export
 Flexible consumption / energy storage
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0
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Time
Hour
Vindkraft
Termisk
- varmebunden
Wind power
Thermal
– heat
bound
ThermalTermisk
– not heat
bound
- uden
varmebinding Consumption
Forbrug
 Electricity production
Market driven mobilisation through
decentralised storage and exploitation of
synergies
 System responsibility
 Wholesale market
 Sales
 Distribution
Market driven development should be ensured by assessing the regulatory and
infrastructural challenge of flexible consumption
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The Power Hub
-a crucial element in the "intelligent power consumption"
Power markets
Ancillary services
and grid
optimisation
DONG Energy
Power
control room
Power plant
master
controller
Wind farm
controller
Power Hub of
consumption
aggregators
Aggregation
of electric
cars
Aggregation of
micro units
Power Hub of
large and medium
size consumption
units
Power Hub of
medium-size
power
production units
Emergency
generators
heat pumps, freezers etc.
Hydropower
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Thank you for your attention
Knud Pedersen, Vice President
Group R&D, DONG Energy
[email protected]
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