California Energy Commission and U.S. Department of...

67
California Energy Commission and U.S. Department of Energy Webinar: Combined Heat and Power for Wastewater Treatment Plants July 31, 2014

Transcript of California Energy Commission and U.S. Department of...

California Energy Commission and U.S. Department of Energy

Webinar: Combined Heat and Power for Wastewater Treatment Plants

July 31, 2014

Outline of Presentation CEC CHP Goals and  Programs and 

Incentives

Introduction to DOE CHP Technical 

Assistance Partnerships services

CHP for WWTP

WWTP Anaerobic Digesters & CHP 

Design Considerations

Biogas Revenue Streams

SCAQMD Rule 1110.2 Review and 

Solutions: OCSD, EMWD, 1000 Oaks

Codigestion

Demand Response

Conclusion and next steps

Questions

2

Grant Mack

Gene Kogan Keith Davidson

Chuck Rogers Erik Jorgensen

Presenters

3

Combined Heat & Power in California’s Wastewater Treatment Plants 

Grant MackCalifornia Energy Commission

[email protected](916) 654‐5166

July 31, 20144

California Energy CommissionEstablished in 1974 as the state’s energy policy and planning agency. Seven core responsibilities guide the Energy Commission as it sets California energy policy:

o Forecasting future energy needs;

o Promoting energy efficiency and conservation by setting the state's appliance and 

building energy efficiency standards;

o Supporting energy research that advances energy science and technology through 

research, development and demonstration projects;

o Developing renewable energy resources;

o Advancing alternative and renewable transportation fuels and technologies;

o Certifying thermal power plants 50 megawatts and larger;

o Planning for and directing state response to energy emergencies.5

Combined Heat & Power (CHP) California’s Policy Drivers

• The State Recognizes the Many Benefits of CHP– Fuel Efficiency– Reduced Greenhouse Gas Emissions– Avoided Losses from Transmission and Distribution  – Increased Reliability for Critical Facilities– Grid support– Economic Benefits for Energy Intensive Industries  

• State Policy Goals– Governor Edmund G. Brown’s Clean Energy Jobs Plan

• Additional 6,500 MW of new CHP capacity by 2030

– The California Air Resources Board’s Climate Change Scoping Plan • Sets a target of 4,000 MW of additional CHP capacity, and a reduction of 6.7 million metric tons of CO2 

equivalent by 2020

– The California Public Utilities Commission’s Qualifying Facilities and CHP Program Settlement Agreement

• Mandates that California’s three largest electric investor‐owned utilities procure 3,000 MW of exported CHP capacity and achieve GHG reductions of 4.8 million metric tons of CO2 by 2020. 

6

Programs & Opportunities for CHP in California’s Wastewater Treatment Plants  

• Closure of San Onofre Nuclear Generation Station (SONGS)– Need for generation within Orange and San Diego County due to loss of roughly 2,150 MW of capacity from SONGS– Procurement opportunities available through Southern California Edison and San Diego Gas & Electric for 

excess/exported generation from CHP  (Standard Request for Offers, bilateral contracts etc.)

• Energy Research, Development & Demonstration– Energy Commission program that funds innovative CHP projects focused on reducing barriers and increasing market 

penetration of these technologies (i.e. hybrid/fuel‐flexible systems, highly efficient, low emission, use renewable fuel etc.)

– More information about current and upcoming solicitations ‐ http://www.energy.ca.gov/research/

• AB 1613 – Waste Heat & Carbon Emissions Feed‐in Tariff– Standard contract and fixed price for excess/exported generation from CHP 20 MW and below

• SB 1122 – Bioenergy Feed‐in Tariff– Standard contract and fixed price for excess/exported generation from bionergy projects (includes CHP fueled by biogas) 

3 MW and below– IOU’s must procure at least 250 MW of cumulative rated generating capacity from developers of bioenergy projects that 

commence operation on or after June 1, 2013.– Of this 250 MW, 110 MW has been set aside  for wastewater treatment plant bioenergy projects– CPUC decision is likely to be release sometime this Fall and then the IOU’s move forward with developing and 

administering the program in their territories 

• Self Generation Incentive Program– Up‐front and performance based Incentives for on‐site CHP generation up to 3 MW

7

Thank YouGrant Mack

California Energy [email protected]

(916) 654‐5166

8

WWTP CHP an Efficient, Economic and Energy Security Solution

U.S.DOE Pacific Combined Heat and Power Technical Assistance Partnership 

(Pacific CHP TAP)

Gene Kogan (858) 633‐[email protected]

9

President’s Executive Order 13624:40GW of new CHP by 2020

CHP TAPs are critical components of achieving the goal:◦ Regional CHP experts◦ Provide fact‐based, un‐biased 

information on CHP– Technologies

– Project Development

– Project Financing

– Local electric and natural gas interfaces

– State best practice policies

◦ Vendor, fuel, and technology neutral

http://eere.energy.gov/manufacturing/distributedenergy/chptaps.html

10

Who We Are: U.S. DOE Pacific CHP TAP

Previous  DOE Pacific Clean Energy Applications Center (CEAC)

Regional Coverage for CA, NV, & HI

Pacific CHP TAP Team consists of:◦ Center for Sustainable Energy Team Lead (CSE)

◦ DE Solutions

◦ Energy and Environmental Economics (E3)

11

CHP Technical Assistance PartnershipsKey Activities

Market Opportunity Analysis.Supporting analyses of CHP market opportunities in diverse markets including industrial, federal, institutional, and commercial sectors

Education and Outreach. Providing information on the energy and non‐energy benefits and applications of CHP to state and local policy makers, regulators, end users, trade associations, and others.

Technical Assistance.Providing technical assistance to end‐users and stakeholders to help them consider CHP, waste heat to power, and/or district energy with CHP in their facility and to help them through the development process from initial CHP screening to installation.

http://eere.energy.gov/manufacturing/distributedenergy/chptaps.html

12

What Is Combined Heat and Power? Form of Distributed Generation 

(DG)

An integrated system

Located at or near a                        building / facility

Provides at least a portion of the electrical load and

Uses thermal energy for:o Space Heating / Cooling

o Process Heating / Cooling

o Dehumidification

CHP provides efficient, clean, reliable, affordable

energy – today and for the future.

Source: http://www1.eere.energy.gov/manufacturing/distributedenergy/pdfs/chp_clean_energy_solution.pdf

14

What Are the Benefits of CHP? CHP is more efficient than separate generation of 

electricity and heat

Higher efficiency translates to lower operating cost, (but requires capital investment)

Higher efficiency reduces emissions of all pollutants

CHP can also increase energy reliability and enhance power quality 

On‐site electric generation reduces grid congestion and avoids distribution costs

15

Drivers for WWTF relating to CHP

Desire to reduce energy costs

Resiliency of Critical Infrastructure

Sustainability planning/emissions reduction

Enhanced Reliability

Facility Upgrades

Increase biogas production

Utility load shedding

Availability of incentives

Enhanced biosolidmanagement

“Green” publicity

Source: Oct 2011 EPA/CHP Partnership Report: Opp. For CHP at WWTF: Market Analysis and Lessons

16

U.S. – 167 facilities generating 565 MW CA – 62 facilities generating 233 MW

WWTP Existing CHP Installations (U.S. and CA)

Source: ICF CHP Installation Database, May 2013

28,000

102,100

6,4002,210

94,636

Gen Capacity – CA (kW)Combined Cycle

Turbine

Fuel Cell

Microturbine

ReciprocatingEngine

1

6

9

15

31

Prime Mover Type-CACombined Cycle

Turbine

Fuel Cell

Microturbine

ReciprocatingEngine

17

Overview of Energy Use in WWTF

Source: Opps for and Benefits of CHP at WWTF,April 2007 (EPA/CHP Partnership)

18

What Makes a Great WWTF Anaerobic Digestion CHP Project?

Maximizes revenue streams

Uses co‐digestion: It can flip the economics positive o Some co‐digestion feedstocks are amazing producers of biogaso Track the pH balance & dose in the feedstock

Has a proper design for the climate zone and technology choice matches solids content of the feedstock 

Scrubs the biogas – major importance

Maximizes heat recovery 

Strong O&M support

19

WWTF CHP Design Lessons Ensure all parts of the system are properly sized

o Don’t oversize the genset compared to the biogas supply – Biogas not thermal load or electric load governs sizing

Natural gas can supplement biogas

o Stabilizes gas flow to genset (eliminates flaring or storing biogas)

o Helps match genset size to critical load requirements

o Can support digester temperature requirements

Aggressively recover the waste heat

Consider pasteurization  of biosolids

Biogas scrubbing is a high priority – Don’t scrimp

Consider the system design implications for co‐digestion

20

Biogas Treatment and Conditioning

This is a key biogas design feature for WWTF CHP systems for long‐term system life

Separate steps are needed to remove different pollutants with a proper order for removal◦ Hydrogen sulfide first – Oxidizes to 

Sulfur Dioxide and can form into sulfuric acid with moisture & can disrupt siloxane removal

◦ Moisture removal by chilling – Recover the heat for system efficiency

◦ Siloxanes – Forms a glass‐like deposit with high heat combustion that can build up in CHP system

21

Environmental Considerations

Think through environmental aspects early and deeply 

o Air Quality

o Water quality 

o Biosolids management

o Co‐digestion impacts

Beyond waste – Recycling organic materials and avoiding landfilling

22

CHP Economics for WWTFs Anaerobic Digestion Economics – Maximize co‐products – 7 potential 

revenue streamso Powero Green/renewable power adder (RECs)o Carbon credit due to “add‐on” subsystems that reduce GHGso Pasteurize biosolids for sales/field application – Moisture adds valueo Tipping fee for fat, oil and grease (FOG) & food processor wasteo Co‐digestion increases biogas productiono Waste heat for digester, buildings & small district energy systems

Add‐on systems add cost but also add revenue/reduce other costs Two opportunities to improve CHP economics: 

o 10 % Federal Investment Tax Credit (ITC)o Self Generation Incentive Program (SGIP)

23

What is the Self-Generation Incentive Program (SGIP)?

SGIP provides cash incentives for the installation of clean and efficient distributed generation technologies that are installed on the customer's side of the utility meter.

o Ratepayer funded and overseen by the CPUC

SGIP is one of the longest running incentive programs in the country. SGIP has incentivized distributed generation technologies since 2001, and will continue through 2020.

o The primary goal of SGIP is to reduce statewide greenhouse gas (GHG) emissions  

24

Who Can Participate in SGIP?

SGIP is available to retail electric and gas customers of the major investor‐owned utilities in California:o Pacific Gas and Electric (PG&E)

o Southern California Edison (SCE)

o Southern California Gas Company (SoCalGas) 

o San Diego Gas & Electric (SDG&E)CSE administers the program within the SDG&E service territory

25

Eligible Technologies and Incentive Levels (2014)

Technology Type Incentive ($/W)

Renewable and Waste Energy Recovery

Wind Turbine $1.13

Waste Heat to Power $1.13

Pressure Reduction Turbine $1.13

Non‐Renewable Conventional CHP

Internal Combustion Engine ‐ CHP $0.46

Microturbine – CHP $0.46

Gas Turbine – CHP $0.46

Emerging Technologies

Advanced Energy Storage $1.62

Biogas  $1.62

Fuel Cell ‐ CHP or Electric‐Only $1.83

The biogas incentive is an adder that maybe used in

conjunction with CHP and fuel cell technologies.

26

CHP Champion on site Interaction and Relationship with local Utility System design◦ Collaborate with DOE CHP TAPs◦ Experienced project developer preferred◦ Biogas scrubbing a key balance of plant (BOP) component

Operation and Maintenanceo Requires personnel or 3rd party with appropriate CHP O&M training

o Specific experience with biogas scrubbing issues and maintenance important

Parameters for Success

Source: Oct 2011 EPA/CHP Partnership Report: Opp. For CHP at WWTF: Market Analysis and Lessons

27

CA WWTP CHP Project Profiles Project Profiles available online:

◦ Chiquita Water Reclamation Plant

◦ Burlingame  Wastewater Treatment Plant

◦ East Bay Municipal Utility District

Project Profiles  currently under development◦ Hill Canyon Wastewater Treatment Plant

◦ Orange County Sanitation District

◦ Eastern Municipal Water District

Visit DOE CHP Deployment website for project profiles: http://www1.eere.energy.gov/manufacturing/distributedenergy/chp_projects.html

28

Conclusion & Next Steps Economic advantage – make your own power for on‐site use it 

or sell it

A long‐term Power Purchase Agreement (PPA) can help

Quality design is essential

Use the biogas efficiently – Maximize  heat recovery

Energy independence – Critical facility load requirements 

Support local utility grid with demand response

The CHP TAP s help with next steps

o CHP  Qualification Screenings (go/no go scan of potential) 

o Technical assistance

29

SCAQMD Rule 1110.2 Compliance Solutions

Keith Davidson  (858) 832‐1242kdavidson@de‐solutions.com

30

SCAQMD Rule 1110.2

Extreme non‐attainment for ozone SCAQMD is one of thirty‐five CA air districts –spans LA, 

Orange, Riverside & San Bernardino Counties Home to 17 million Californians Must reduce NOx emissions by 65% over next 10 years Rule 1110.2 addresses stationary and portable engines over 

50 hp

31

Rule 1110.2 – Digester Gas EnginesCurrent Concentration Limits (ppmvd)1

NOx VOC CO

hp ≥ 500: 36hp < 500: 45

250 2000

Concentration Limits (ppmvd)1 Effective January 1, 2016

NOx VOC CO

11 30 250

1. Parts per million corrected to 15% oxygen

55 biogas engines in the Basin

32

New CHP Compliance Solutions

Reliable and effective biogas conditioning will likely be a necessary element of the new portfolio of prospective solutions:◦ Lean burn engine with Selective Catalytic Reduction (SCR) and 

Oxidation Catalyst

◦ Rich burn engine with 3‐way catalyst and premium Air‐fuel‐ratio controller

◦ Microturbine

◦ Fuel Cell

33

Orange County Sanitation District

OCSD Service Area◦ 207 Million gallons per day

◦ 2.5 million population

◦ 2 treatment plants

Thanks to Lisa Rothbart for OCSD’s biogas utilization story

34

Project Profile: OCSD Demonstration Engine Solution to 1110.2

3 identical IC engines 2500 kW each Lean burn Total nameplate capacity: 

7.5 MW

5 identical IC engines 3000 kW each Lean burn 1 MW steam turbine Total nameplate capacity: 16 MW

Plant No. 1 – Fountain Valley Plant No. 2 – Huntington Beach

Both plants combined: 1.4 billion cubic feet of digester gas produced from anaerobic digestion in 2013

In operation since 1994 $25 Million  project cost

$3.5 million per year savings 7.2 year payback w/o incentives

*Project Profile will be available next month at www.PacificCHPTAP.org

35

Project Profile: OCSD Demonstration Engine solution to 1110.2

Cooper‐Bessemer V‐12 

2500 kW

Lean burn

Heat recovery steam generator

NOX and CO Continuous EmissionMonitoring System (CEMS), required on larger prime movers 

36

Fuel Pre-treatment & Exhaust After-treatment Solution

Single carbon bed 9,900 lbs media capacity

Oxidation Catalyst

Urea Injection

SCR Catalyst

37

Emission Levels AchievedPollutant Before

Catalysts (ppmv)

With Catalysts (ppmv)One Year

With Catalysts (ppmv)

Three Years

Rule 1110.2 (ppmv)

NOx 31 7.2 8.3 11

CO 452 7.5 7.5 250

VOC 97 3.6 11.5 30

15‐minute averages.  Validated data only.  Excludes exceedances during engine start‐up (30 minutes) and due to operational issues/systems adjustments.

38

Full Implementation In Progress

• Construction contract awarded on April 23rd 2014• Notice to Proceed was issued in May 2014

CONTACT:Orange County Sanitation District Lisa Rothbart (714) 593-7405

39

EASTERN MUNICIPAL WATER DISTRICT

IC Engines under Rule 1110.2 at EMWD Reclamation Facilities

Erik Jorgensen, P.E.Senior EngineerJuly 31, 2014

www.emwd.org 40

EMWD Overview

www.emwd.org 41

• 542 square miles• Population of 768,000 / 45% Ultimate

Build-out• Water, Wastewater and Recycled

Water Services• 7 Cities plus Unincorporated

Riverside County• Operate Four Regional Water

Reclamation Facilities (RWRFs) treating 45-mgd.

EMWD’s Sustainable Energy Initiatives

www.emwd.org 42

Regional Water Reclamation Facilities (4 RWRFs)• History of internal combustion (IC) engine use (biogas and NG) – power aeration

air and pumping equipment, generate heat for solids digestion• Biogas-fired boilers – generate heat for solids digestions• Fuel cells (2 facilities totaling 1.5 mega-watt electricity + generate heat)• Solar Voltaic Power – generate electricity at each RWRF (5 mW planned)

District-wide• IC engines (NG-fired) – power pumping equipment (56 engines 14 MW)• Micro-turbines – generate electricity/heat for Admin Complex• Adsorption Chiller – provide conditioning for Admin Complex air• Solar Voltaic Power – generate electricity for Admin Complex (0.5 mW installed)

Challenge to EWMD IC Engines at RWRFs

www.emwd.org 43

• Goal - Identify method to achieve Rule 1110.2 compliance using biogas

MVRWRF and PVRWRF Fuel Cells consume biogas (no immediate impact) TVRWRF and SJVRWRF require solution – immediate impact

• District strategy is to evaluate multiple viable options

District trial using NoxTech (in-progress) District trial using Tecogen (planned) District not considering SCRs (cost vs. scale of installation)

Compliance with SCAQMD Rule 1110.2

www.emwd.org 44

CRITERIA FOR SUCCESS

• Digester Gas engine emission compliance by Jan 2016:o NOx ≤ 11ppmo CO ≤ 250ppm

• Emission control system must demonstrate endurance with consistent results.

• Economical to maintain and operate.

EGR HEAT EXCHANGER /BLOWER SYSTEM

SWIRLVANES

REACTORHEAT EXCHANGER REACTOR CORE

BURNEREND PLENUM

INLETPLENUM

STACK ENGINE EXHAUSTIN

START UPBURNER

ADD FUELINJECTORS

UREAINJECTORS

NoxTech Process

45

NG

Urea

Exhaust Gas

~1,000 Deg F

~1,280 Deg F

~1,480 Deg F

NoxTech Exhaust

~1,000 Deg F

Mixing of Engine Exhaust, Add Fuel, andUrea. Formation of Free Radicals

EconomizerPre-Heating of EngineExhaust & Heat RecoveryFrom Reactor Core

46

NoxTech at the Mills Pump Station

47

NoxTech EGR Modifications

Mills Pump Station (NG-focused trial)• Not plug-and-play as expected• Initial testing not successful• Extensive effort by EMWD staff to assist start-up• Ultimately showed compliance on natural gas engines

TVRWRF (biogas- focused trial)• Focus on biogas fired-engine exhaust• Installation recently completed – trial to begin in August

Technical Challenges and Compliance with NoxTech

www.emwd.org 48

NoxTech Schedule

www.emwd.org 49

Task Duration/Date

Complete TVRWRF Installation July 2014

Startup and commissioning August 2014

Complete Field Testing early 2015

District Experience with Tecogen on NG

www.emwd.org 50

CATALYST

HEAT EXCHANGER

CATALYST

INSTALLATION AT HEACOCK PETTIT BOOSTER PUMP STATION

Results: Reduced NOx and CO Emissions

www.emwd.org 51

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

400.0

450.0

500.0

CO @ 15% O2 (ppm)

NOx @ 15% O2  (ppm)

START OF TECOGEN

TRIAL

EMISSIONS AT HEACOCK PETTIT BOOSTER PUMP STATION

Tecogen Demonstration Project - Biogas

www.emwd.org 52

DG ConditioningDG Conditioning

Anaerobic DigestersAnaerobic Digesters

Digester Gas (DG)

Exhaust

EngineEngine

1st Stage Catalyst1st Stage Catalyst

Heat Exchanger

Heat Exchanger

Air

2nd Stage Catalyst

2nd Stage Catalyst

Emission Sampling

Exhaust to ATM

MVRWRF DG ENGINE PROCESS FLOW DIAGRAM (TECOGEN/Digester Gas)

Heat Recovery Supply Water

Heat Recovery Return Water

Tecogen Pilot Schedule

www.emwd.org 53

Task Duration/Date

Issue Purchase Order (Tecogen) August 2014

Complete Modification of Digester Gas Pipes

September 2014

Install Tecogen Equipment and Modification of Exhaust Pipe

November 2014

Modification of Heat Water Secondary Loop

December 2014

Startup and commissioning January 2015

Complete Field Testing September 2015

Contact Information

EASTERN MUNICIPAL WATER DISTRICT

Erik Jorgensen, P.E.Senior Engineer951-928-3777 ext. [email protected]

www.emwd.org 54

Hill Canyon WWTPChuck Rogers

55

Hill Canyon WWTP Energy Program  Focus on conservation, optimization, renewable energy generation, 

Two Power Purchase Agreements:  Solar & Cogeneration

100% of energy used at facility is provided by onsite generation

56

The Road to 100% Renewable Solar (15%) Cogeneration (50%) Enhanced digestion through acceptance of trucked waste = 35%+ or 100%+

FOG, Beer waste, yogurt waste, Frappacino, etc.

57

The Road to 100%Economics: HCTP receives a tipping fee for all wastes received

These wastes create more gas = more electricity

PPA puts all responsibility on owner to construct and operate facilities

Cost of electricity typically half of utility

58

If it was easy everyone would be doing it…. FOG is nasty stuff and it stinks and has variable BTU value

Labor costs to run the business can’t be ignored It’s a business…..

The Road to 100%

59

• Set 100% as a goal, conserve, optimize, and run your digesters and cogeneration system efficiently.

• Expect 50%+ renewable energy generation if you have anaerobic digesters

• Get to 100% through ongoing technology advancements and then consider… waste acceptance

The Road to 100%An alternative plan:

60

What Challenges Remain? HCTP creates 200,000 ft3 more gas than is necessary to meet 100% of energy load

Barriers to exporting electricity beyond what is needed to run facility

Is a private/public partnership opportunity available that will benefit both parties?

61

HCTP has become a national model for entrepreneurship and public/private partnership

Public loves this stuff, leaders are happy, staff is constantly challenged

HCTP is a strong advocate of PPA’s which allows staff to focus on their core competencies

62

Thank You! Taxpayers California Energy Commission Department of Energy City of Thousand Oaks Leadership team:  City Council, City Manager, Public Works Director, & HCTP staff

Good luck with your energy program.  We hope you do it better than us!!!

63

Contact InformationChuck Rogers

City of Thousand OaksHill Canyon Wastewater Treatment Plant

9600 Santa Rosa RoadCamarillo, CA  93012

(805) 491‐[email protected]

Good luck with your energy program.  We hope you do it better than us!!!

64

Next Steps

Contact Pacific CHP TAP for assistance if:

1. Interested in having a Qualification Screening performed to determine if there is an opportunity for CHP at your site

2. If you already have an existing CHP plant and interested in expanding it

Contact Gene Kogan (858) 633‐8561 [email protected]

65

Screening and Preliminary

AnalysisFeasibility Analysis Investment Grade

Analysis

Procurement, Operations,

Maintenance, Commissioning

Uses available site information.

Estimate: savings,Installation costs, simple paybacks, equipment 

sizing and type.

Quick screening questions with spreadsheet 

payback calculator.

3rd Party review of  Engineering Analysis.Review equipment sizing and choices.

Review specifications and 

bids,Limited operational 

analysis

CHP TAP Project Development Technical Assistance

66

Gene Kogan (858) 633‐[email protected]

Keith Davidson (858) 832‐1242kdavidson@de‐solutions.com

http://www1.eere.energy.gov/manufacturing/distributedenergy/chptaps.html

Thank You

Questions?

67