22nd January 2008

UK-China Near Zero Emissions Coal Initiative

Dr Matthew Webb

Department for Environment Food And Rural Affairs, UK

International Workshop on Carbon Capture and Storage in the Power Sector,

R&D Priorities for India

Ashok Hotel, New Delhi, 22-23 January

00 MONTH 2004

AUGUST 07

UK recognises the potential of CCS to reduce carbon dioxide emissions from fossil fuelled power generation;

The global challenge is to demonstrate CCS at commercial scale, not only in Europe, but also in developing countries whose economic development and energy security will be heavily dependent on coal;

Agreements on technology transfer and the deployment of low carbon technologies such as CCS are likely to feature strongly in any global post-2012 settlement;

Some Opening Remarks

AUGUST 07

World Energy Outlook 2007

World energy demand could be well over 50% higher than today.

Global energy-related emissions of carbon dioxide could rise from 27Gt in 2005 to 42Gt in 2030 – and increase of 57%.

Confirmed China and India as the emerging giants of the world economy and international energy markets.

Govt action must focus in curbing the rapid growth in CO2 emissions from coal fired power stations.

‘CCS is one of the most promising routes for mitigating emissions in the longer term and could reconcile continued coal burning with the need to cut emissions in the longer term - if the technology can be demonstrated on a large scale and if adequate incentives are put in place’.

AUGUST 07

Coal Will Dominate the Power Generation Mix in China

CO2 Emissions from China's Coal-fired Power Plants

0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

2006 2010 2015 2020 2025 2030 2035 2040 2045 2050 2055 2060 2065 2070 2075 2080 2085 2090

Mt o

f CO

2

New 2015-2030New to 2015Existing

Capacity additions in the next decade will lock-in technology, and be crucial for emissions through 2050 and beyond

Source: IEA WEO 2007

AUGUST 07

EU-China Political Agreement

EU-China Summit (Sept 2005) declaration on Climate Change & Energy:

“ We will aim to achieve the following co-operation goals by 2020: To develop and demonstrate in China and the EU advanced, near-zero emissions coal technology through carbon capture and storage ”

Agreement followed by two complementary MoU with associated projects:

China-UK MoU (Dec 2005) UK NZEC Phase 1

China-EC MoU (Feb 2006) COACH

Key Chinese Partners are the Ministry of Science and Technology (MOST) supported by the Administrative Centre for China’s Agenda 21 (ACCA21)

Chinese partners also in GeoCapacity, MoveCBM and Cachet

AUGUST 07

NZEC Ambitious Phased Approach

Execute stage

3-4 years by 2014

Construct & Operate Demonstration Project

Phase 3

Definition Stage c.a. 1-2 years complete by 2010-11

Detailed design of identified project(s)

Phase 2

Assess options by early 2009

Explore options for CCS with coal fired power in China

Phase 1

AUGUST 07

Extensive project development period

Major workshop in July 2006

Project launched on 20th November 2007 in Beijing, attended by Ministry of Science Vice-Minister Liu Yanhua and Deputy Ambassador Barbara Woodward

18 month programme of collaborative work undertaken by 28 partners to complete in early 2009

Current Status

AUGUST 07

NZEC Phase 1

WP1 – Knowledge Sharing and Capacity Building; websites, workshops, seminars, exchanges.

WP2 – Future energy Technology Perspectives; future energy demand, existing and advanced power generation technologies.

WP3 – Case Studies for Carbon Dioxide Capture; techno economic studies of capture options.

WP4 – Carbon Dioxide Storage Potential; regional assessment and field selection for demonstration.

WP5 – Policy Assessment and Roadmap; including legislative and regularity issues and socio-economic impacts.

AUGUST 07

Internal and external websites www.nzec.info (dual language) and www.ccsinchina.info as a Chinese information hub.

Interim and Final Workshops in Beijing (Sept 2008 and June 2009).

Study Tour to Europe (June 2008).

Sponsored attendance of Chinese delegates at key CCS schools and events e.g. IEA GHG CCS summer School and GHGT9 in Washington (November 2008).

Sponsored exchange of students and industrial experts to UK.

Development of Chinese reference material and course training material.

Technical and non-technical journals and articles.

WP1 Knowledge Sharing and Capacity Building

AUGUST 07

Future energy demand projections for China to 2050.

Refinement of National scenario (Markal) model to include CCS technology deployment.

Assessment of energy intensive sectors and of existing and advanced technologies.

Assessment of role of potential role of CCS in cutting carbon emissions.

WP2 Future Energy Technology Perspectives

AUGUST 07

Common understanding of potential applications of a range of capture technologies in the power generation sector in China.

To locate techno-economic characteristics of CCS technologies for application in China.

To identify the role of each option (short to long term).

To recommend the preferable case for demonstration.

Undertaking 8 case studies including Oxyfuel, Post Combustion and Pre-Combustion capture for new build (and also capture ready).

Transportation and separation technologies.

WP3 Case Studies for Carbon Capture

AUGUST 07

Evaluating storage potential and undertaking first stage site characterisation for site selection.

Future potential at regional basin level and at site specific level for CO2 storage through enhanced oil recovery, enhanced coal bed methane and storage in saline aquifers.

Basins include Songliao (Jilin oilfield and aquifers), Subei (Jiangsu oilfield) and Quinshi (ECBM).

GIS model to be compiled of select regions within Songliao basin.

WP4 Carbon Dioxide Storage Potential

AUGUST 07

Integration of technical reports from other work packages to produce summary report.

Technology roadmapping for short term activities leading to demonstration and long term activities for wider deployment.

Additional Social Economic Impacts modelling undertaken.

Further dialogue and discussion on specific factors and barriers impeding the application of CCS technology in China.

WP5 Policy Assessment and Roadmap

AUGUST 07

UK’s Success Criteria for NZEC?

To implement a truly collaborative project between Chinese and UK experts, which;

Builds capacity in China to determine the best options for carbon dioxide capture, transport and geological storage, and;

Makes recommendations for the development and demonstration of CCS technology in China and considers the viability of CCS deployment in the future.

AUGUST 07

Common Global Challenges for CCS

Verification of the location, capacity and permanence of geological storage of carbon dioxide.

Need to reduce the energy penalty associated with capture.

Validation of integrated capture, transport and storage components for commercial-scale operation.

AUGUST 07

BP Clean Energy Research and Education Centre, Tsinghua University (THCEC), Centre for Energy and Environmental Policy Research (CEEP), China United Coalbed Methane Co Ltd, China University of Petroleum (Beijing), China University of Petroleum (HuaDong), Department of Environmental Science and Engineering of Tsinghua University. Department of Thermal Engineering, Tsinghua University (DTE), Energy, Environment and Economy (3E) Research Institute, Tsinghua University, Energy Research Institute (ERI), GreenGen, Institute of Engineering Thermophysics, Chinese Academy of Science (IET), Institute of Geology and Geophysics Chinese Academy of Sciences (CAS), Tsinghua University. Jilin Oilfield, North China Electric Power University (NCEPU), PetroChina, State Key Laboratory of Chemical Engineering, Tsinghua University (DCE), Thermal Power Research Institute (TPRI), Wuhan University (WHU), Zhejiang University (ZJU)

Chinese Partners

Implementation, Monitoring and coordination undertaken by the Administrative Centre for China’s Agenda 21 (ACCA21)

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UK Partners

Consortium led by AEA Energy and Environment

Consortium members: Air Products, ALSTOM Power, Doosan Babcock, British Geological Survey, BP, Shell, Cranfield University, Imperial College, Heriott Watt University

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2007 2008 2009 2010 2011 2012 2013

Phase 1Assessment Phase 2

Design Phase 3Construction

Initial Scoping•UK NZEC•EC COACH

Expanded R&D collaborationUK, European Commissionand other Member States

Broad alliance of EU/Chinese Government, Industryand Academic partners implementdemonstration

EC-China-UK Steering Group

EU ZEP Flagship Programme

EU - CHINA NEAR ZERO EMISSIONS COAL

AUGUST 07

Developing work with India

UK is pleased to be holding an active dialogue with the Government of India and is supporting several capacity building and technical activities including:

Co-sponsored BGS study into storage capacity.

Attendance of Indian Students at UK-Italy International School.

Study into efficiency of new build coal fired power plants (UMPP’s).

Study into capture ready concepts for UMPP’s.

AUGUST 07

Thank you for your attention!