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Strategies for Implementation of Combined Heat and Power Technologies

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Title: Strategies for Implementation of Combined Heat and Power Technologies


1
Strategies for Implementation of Combined Heat
and Power Technologies
Sponsored by Illinois Department of Commerce
Economic Opportunity US Department of Energy
Midwest Regional Office Presented By John
Cuttica Leslie Farrar
Midwest CHP Application Center
www.CHPCenterMW.org
Steam and Combined Heat Power Workshop
2
Acronyms
  • Combined Heat Power (CHP)
  • Buildings Cooling, Heating Power (BCHP)
  • CHP for Buildings (CHPB)
  • Integrated Energy Systems (IES)
  • Total Energy Systems (TES)
  • Trigeneration (Trigen)
  • CHP for Industry
  • Cogeneration

3
What is Combined Heat and Power?
  • CHP is
  • An Integrated System
  • Located At or Near a Building/Facility
  • Providing a Portion of the Electrical Load and
  • Utilizes the Thermal Energy for
  • Process Heat
  • Heating
  • Cooling
  • Dehumidification

4
Typical Industrial CHP System
5
CHP System Sizes (Terminology)
6
Why CHP?
  • High Efficiency, On-Site Generation Means
  • Competitiveness
  • Lower Energy Costs
  • Better Reliability
  • Better Power Quality
  • Environmental
  • Lower Emissions (including CO2 )
  • Conserve Natural Resources
  • Synergies
  • Potential Generation Asset
  • Especially Municipal/Co-ops
  • Support Grid Infrastructure
  • Fewer TD Constraints
  • Defer Costly Grid Upgrades
  • Facilitates Deployment of New Clean Energy
    Technologies

7
What Makes A Good CHP Application?
  • Coincident Needs for Power Thermal Energy
  • Cost of Buying Electric Power from the Grid
    Relative to the Cost of Natural Gas (or Some
    Other Appropriate Fuel)
  • a.k.a Spark Spread
  • Installed Cost Differential Between a
    Conventional and a CHP System

8
Why is There and Opportunity?
  • DOE/EIA Project Over 360 GWe of New Capacity
  • To Meet Growing Demand
  • To Compensate for Plant Retirements
  • Todays Central Station Plants Lose 23 Quads of
    Thermal Energy
  • Aging Electric Transmission/Distribution System
  • Difficult to Site New Lines
  • Capacity Constrained
  • Costly to Maintain

9
Why is There and Opportunity?
  • Rising Concerns Over
  • Blackouts/Brownouts
  • Power Supply Constraints
  • Electricity Prices
  • Selected Power Outage Costs

10
The Current and Near Term Market
11
Existing Industrial CHP
  • 45.5 GW


Six States Cover 54 of CHP Capacity
LA 7
FL 5
Source Hagler Bailly, Nexus
12
Potential for Industrial CHP is Large
Estimated CHP Potential 88 GW
Other Industrial 29
Source Nexus
13
What is the Status of CHP in theMidwest Today?
14
Installed Capacity in the Midwest
MI
IN
IL
MN
WI
OH
IA
MO
15
Number of Installations in Midwest
IL
MI
WI
MN
OH
IN
IA
MO
16
Status in the Midwest
  • Increasingly More Difficult to Promote
  • Poor Economy
  • Uncertainty in Energy Prices
  • Lack of Utility Support (Electric Gas)
  • Lack of Customer Recognition / Enthusiasm
  • Quantifying the Value of the Heat
  • Quantifying Other Operating Benefits

17
CHP Technologies
  • Prime Mover
  • Steam Turbine
  • Reciprocating Engine
  • Gas Turbine
  • Micro-Turbine
  • Fuel Cells
  • Heat Recovery
  • Steam
  • Hot Water
  • Direct Exhaust
  • Thermally Activated
  • Absorption Chillers
  • Desiccant Dehumidifiers
  • Other Equipment
  • Controls
  • Interconnect

18
Steam Turbines
  • Run from lt1 MW to 500 MW
  • 3 Classes of Interest Here
  • Back Pressure
  • Condensing(not for CHP)
  • Extraction

19
Industrial CHP Steam Systems
20
Backpressure Steam Applications
Before
After
21
Backpressure Steam Applications
22
Backpressure Steam Turbine
  • Lowest Cost of All Types
  • Available in the Smallest Sizes
  • Pass Large Amounts of Steam per MW of Output
  • Inefficient if Used Alone
  • Can Be Part of a Very Efficient System if Exhaust
    Steam is Re-Used (Cogeneration)
  • Simple Construction
  • Often SINGLE STAGE One Row of Turbine Blades
  • SINGLE VALVE OneSet of Steam Nozzles

23
How Much Power Can Be Developed?
24
How Much Power Can Be Developed?
25
How Much Power Can Be Developed?
24 kW/Mlb-hour
26
How Much Power Can Be Developed?
27
Calculation Blank
28
Extraction Turbine
  • Steam Can Be Extracted at Higher Pressures at
    Different Points on the Turbine Case
  • Allows Switching from Pure Power to Cogeneration
    / CHP Operation
  • Generally a Custom Unit Designed for the
    Application

29
Complete Centralized Steam System
30
Gas Engine Industrial Cogeneration
31
Gas Engine Industrial Cogeneration
  • Gas Engine - Fastest Selling, Least Expensive CHP
    Prime Mover Technology Below 5 MW
  • Typical Power Range 5 kW - 10 MW
  • Efficiency Range ? 25 - 40 LHV
  • Reject Heat to Cold to Make High Pressure Steam
  • Type of Engines
  • Spark Ignited --- Natural Gas / Gasoline / Biogas
  • Compression Ignition --- Diesel
  • Dual Fuel Diesel Pilot

32
Gas Turbine Industrial Cogeneration
33
Gas / Combustion Turbines
  • Available Size Range 500 kW - Hundreds of MW
  • Typical for CHP Several MWs to Tens of MWs
  • Efficiency Range 25 to 40 LHV (Simple Cycle)
  • Typically 3 Configurations
  • Simple Cycle (Most Common in CHP)
  • Recuperated
  • Combined Cycle
  • Thermal (Recoverable) Energy
  • Exhaust Gas _at_ 900 ?F to 1100 ?F
  • Excellent for High Grade Steam _at_ 150 psig and
    Higher

34
Microturbines
  • Small Turbines with Recuperation
  • Capacity Range 25 kW to 400 kW
  • Efficiency Range 25 to 30 LHV
  • Recoverable Heat Gas Exhaust _at_
    Approximately 500 ?F

35
Microturbines
  • Advantages
  • Compact Size
  • Low Emissions (lt 0.49 lbs/MWh or 9 ppm)
  • Fuel Flexibility
  • Modular
  • Lower Maintenance
  • No Oil Change (Applicable to Some Units)
  • No Spark Plug Change
  • No Valves
  • Small of Moving Parts
  • Quicker Start

36
Fuel Cell System Scheme
Natural Gas
AC Power
Fuel Reformer
Power Conditioner
Power Section
Standard Power 480 Volts, 3 phase, 3 wire,
60Hertz
37
Fuel Cells (Rules-of-Thumb)
38
Heat Recovery Technologies
  • Steam
  • Hot Water
  • Exhaust Gases

39
Thermally Activated Technologies
40
Other Components
  • Grid Interconnect
  • Isolation Switch
  • Switchgear
  • Protection Relays
  • Synchronizing Equipment
  • Installation
  • Equipment Footprint
  • Floor Loading
  • Proximity To HVAC Equipment
  • Number of Electrical Feeds

41
CHP Is A Low Technical Risk
  • Utilize Proven Technologies
  • Employ Standard Design Practices
  • Incorporate Good Maintenance Practices

42
When Does CHP Make Goodense?
43
Economic Concepts
  • Never be Fooled by the Electric Energy Rate Alone
  • Industrial Loads May or May Not Be Highly
  • Affected by Demand

44
Economic Concepts
  • Term Spark Spread in Common Use
  • Problem Doesnt Include Maintenance
  • Doesnt Account for Cogeneration Heat Recovery

45
Calculating Cogeneration Spark Spread
46
When Does CHP Make ense?
  • High Thermal and Electric Loads that Occur
    Coincidentally
  • Sufficient Spark Spread
  • Long Operating Hours
  • Central Heating and Cooling System
  • Minimal Electric Distribution Connections
  • Special Electrical, Cooling or Heating Needs

47
Plastics Processing
  • Harbec Plastics Rochester, New York
  • Why CHP
  • Provide Reliable Electric Power Eliminate
    Outage Costs
  • Provide Thermal Output to Drive Heating/Cooling
    Systems
  • Deliver Better Total Fuel Efficiency
  • Reduce Environmental Impact vs. Utility Power
    Gas Heating
  • 36 Net Energy Cost Reduction (2.5 year payback
    New York Rates)

48
Plastic Processing
  • System Operational Summer, 2001
  • 25 Capstone Microturbines (30kW each)
  • 5 Heat Recovery Boilers (210 F Hot Water)
  • 750 kWe with 5.12 MMBtus/hr
  • 200 Ton Absorption Chiller
  • System Efficiency gt 70
  • Theres No BeforeandAfter
    Difference Other Than Power Certainty Lower
    Energy Costs! Bob Bechtold, President
    Harbec Plastics

49
Harbec Plastics Plant
50
Metal Plating
  • Faith Plating Hollywood Calif.
  • Why CHP
  • To Offset Grid Electricity Use Improve Power
    Reliability Reduce Costs
  • To Meet Stringent Boiler NOx Emission Standards
  • To Derive Value Added Benefits of Direct Exhaust
    Drying of Waste Sludge

51
Metal Plating
  • 4 Capstone Microturbines (30 kW each)
  • 1 Heat Recovery Boiler
  • 112 kWe Provides 60 of Peak Power Needs
  • 845,000 Btus/hr (170 - 190F Loop for Heating
    Plating Tanks)
  • 600F Exhaust Sludge Drying
  • Estimated 2.5 year payback (CA Rates)

52
Faith Plating Plant
53
Plastic Steel Forming
  • Taylor Industries Mansfield, Ohio
  • 3.45 MW Waukesha Recip. Engines
  • 16.2 MMBtu/hr Heat Recovery(Jacket Water
    Exhaust)
  • Heat Utilized for Process and Warehouse Heating
  • First Year of Operation --- 2000

54
Engine Manufacturer
  • Navistar International Melrose Park, Illinois
  • 12 Caterpillar Engines with Catalytic Converters
    (770 kW each)
  • Total Capacity 9.24 MW
  • Six of Twelve Engines Have Heat Recovery Boilers
    Producing 30 psig Steam

55
Engine Manufacturer
  • Caterpillar WLED Plant Aurora, Illinois
  • 2 7.25 MW Dual Fuel Gas Turbines (Solar Taurus
    70s)
  • 14.5 MW Capacity (Plant Loads 18 MW Peak 8 MW
    Minimum)
  • 2 HRSGs Total of 290,000 lbs/hr Steam
  • Decommission 3 coal boilers Remove Baghouse,
    Coal Elevator, and Crusher
  • Project Payback 4 Years

56
Caterpillar WLED Plant
57
Tape Manufacturing Plant
  • 3M Company Hutchinson, Minnesota
  • Conducted Plant Wide Energy Assessment
  • Cooling Chiller Consolidation
  • Cooling Air Compressor Cooling
  • Heat Recovery Thermal Oxidizer Heat Recovery
    Boiler
  • Cogeneration Back Pressure Steam Turbine
  • Stem System Relative Humidity Project

58
3M Hutchinson Plant
  • Thermal Oxidizer Heat Recovery
  • Heat Recovery Boiler for Low Pressure Steam
  • 164 Million lbs/yr
  • Project Payback --- lt 2 years
  • Cogeneration
  • Steam for Plant Produced at 220 psi and Reduced
    to 125 psi 15 psi
  • Back Pressure Steam Turbine Replaces Pressure
    Reducing Valves --- 3 millon kWh/yr produced
  • Project Payback --- 3.6 years

59
Ethanol Production
  • Adkins Energy (Illinois) 43 M Gallons/Yr.
  • 5 MW Gas Turbine / 25,700 lbs/hr 125 psi Steam
  • Cost 3M Savings 903K Annually 3.3 Yr.
  • Operational August, 2002
  • US Energy Partners (Kansas) 40 M Gallons/Yr
  • 15 MW Gas Turbine (2 Units) / 65,000 lbs/hr 100
    psi Steam
  • City of Russell Municipal Utility Ownes Gen.
    Equipment
  • Ethanol Plant Realizes 10 20 Savings on
    Process Steam
  • Operational August, 2002

60
Ethanol Production
  • Northeast Missouri Grain 40 Million Gallon
  • 10 MW Gas Turbine / 51,000lbs/hr 125psi Steam
  • City of Macon Missouri Municipal Utility Ownes
    Generating Equipment
  • Ethanol Plant Realizes 15 25 Savings on
    Process Steam
  • Operational April, 2003

61
Adkins Energy Plant
62
Food Processing
  • Purpose Power and Large Supplies of Steam for
    Cooking Processes
  • Examples in Minnesota
  • Crystal Sugar 19 MW
  • Southern Minnesota Beet Sugar 7.5 MW

Coors Power House Golden Colorado
Food Processing Waste Boiler Babcock Borsig
63
Recycling and Renewables
  • Trash Incineration
  • Landfill Gas to Power Systems
  • Numerous Small Units
  • Bio-Digester Gas at Water Treatment Plants
  • Growth Area
  • Bio-Digestion for Large Farming Operations

Trash to Energy PlantBroward Co. FL
Landfill Gas to Energy Plant SRP Arizona
64
Summary Messages
  • CHP Is Not Right For Every Application In Every
    Location
  • Where CHP Makes Sense, It Can Will
  • Lower Energy Costs
  • Increase Reliability
  • Improve Power Quality
  • Provide Standby Power
  • Lower Emissions

65
Summary Messages
  • CHP Is A Low Technology Risk
  • Utilize Proven Technologies
  • Employ Standard Design Practices
  • Incorporate Good Maintenance Practices
  • Each Application Must Be Evaluated
  • Initial Screening Rules Of Thumb/ Averages
  • Capital Investment Detail Analysis Provides
    Accurate Estimates of Savings/ Cash Flows

66
CHP is a Triple Win
  • Energy Efficiency andCleaner Environment --- Gove
    rnment
  • Saves Money --- End User
  • Provides BusinessOpportunity --- Industry

Bottom Line
Recovers Energy that Otherwise Would be Wasted!
67
Midwest CHP Application Center
  • Sponsored by US Department of Energy
  • Initial CHP Regional Application Center
  • Started in May 2001
  • Partnership Between
  • University of Illinois at Chicago Energy
    Resources Center (UIC/ERC)
  • Gas Technology Institute (GTI)
  • Source of Unbiased
  • Information
  • Education
  • Technical Assistance

68
Help from Our Friends!
69
Application Center Services
  • Education
  • Training Courses
  • Targeted Education
  • Website www.CHPCenterMW.org
  • State Utility Commission Interactions
  • Information
  • Permitting Guidebook (Illinois)
  • Characterization Studies (Illinois Other
    States)
  • Case Studies
  • CHP Guidebook
  • Technical Assistance / Support
  • Site Screening
  • Financial / Technical Analyses

70
Thank You
  • And Now
  • The
  • Panel Discussion
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