energy its generation, use and costs pmi mtg

Energy: ItEnergy: It’’s Use, Generation, Costs, and PMs Use, Generation, Costs, and PM

Presented by:Presented by:David Tennant, PE, PMPDavid Tennant, PE, PMP

770770--846846--08280828dvtentdvtent@windward.@windward.wsws

DilbertDilbert by Scott Adams

A little bit about me:

� Experience includes Engineering, Marketing, Executive Management, Managerial Consulting and Coaching� Successfully implemented over $3.5-Billion in projects� Currently developing two alternative energy projects in

North America� Possess BS, MS and MBA, registered Engineer in

Georgia, PMP certified Project Manager� Project assignments include USA, Finland, Canada, the

Caribbean basin, Honduras, Germany, New Zealand, Czech Republic

David TennantWindward1@comcast.net

Power Generation and PM

Today’s Objectives:

• Introduce you to different types of power production (energy)(Pros and Cons)

• Share the costs associated with each

• Discussion of PM in the energy industry

When you flip on the light switch at home:

• Where does electrical energy come from?• How is it made?• How is it transported to your home?• Is it safe?• How much does it cost?• What kind of fuel is used to create electricity? Why should I care?

Additional Types of Energy not common in SE (yet)

Biomass:• WTE, Waste-to-Energy (i.e. garbage)• Human & animal wastes

Other:• Wind• Solar (limited at present to demo plants)• Geothermal

Coal Coal used in many power plants around the world

Pro:� Plentiful� Relatively inexpensive� Large reserves in USA

Con:� Hard, dangerous work for miners� Contributes to greenhouse gas/global warming and air pollution

Control Room

Coal power plants

How Electricity is Made from Coal

Notice coal pile for this fossil-fueled power plant

WaterWater: : used in power plants near a high source of water

Pro:� Very inexpensive� Several large hydro-electric facilities in USA� Clean Energy –no pollution or greenhouse gasses

Con:� Limited– all the good sites have already been developed� Some controversy about downstream ecologic damage (fish, river banks)

How Electricity is Made in Hydro Facilities

Hydro-electric Facilities

Hydro-electric Facilities

Con:� Nuclear waste from spent fuel stays radioactive for tens of thousands of years� Where to store the wastes� An accident could have wider, more serious consequences than other power plants� Spent fuel must not fall into terrorists hands

UraniumUranium: : used in nuclear power plants

Pro:� Moderate cost� Clean Energy—no greenhouse gasses of any kind� Safe� One plant generates a huge amount of power

Nuclear Power Facts:

� 430 nuclear plants worldwide� 104 nuclear plants in USA� 77% of power in France is nuclear� 65% of power in Lithuania is nuclear� 20% of power in USA is nuclear

A nuclear powerFacility in Switzerland

More facts:� Uranium is found in nature as U-238 and has a ½ life of 4.5-billion years. This decay is a natural process.� It has been around since the planet was formed.� U-235 is used in both nuclear power plants and for nuclear bombs.� It is also found naturally; but must be processed for use as a fuel. It gives off alpha radiation.� Splitting the atom releases heat and gives of gamma and beta radiation. Uranium must be enriched by 3% for fuel; 90% for bombs.� One pound of U-235 (enriched) is equal to about 1-million gallons of gasoline in energy content.

Turbine - Generator

How Electricity is Made from Uranium

Reactor Containment Vessel

Reactor fuel bundles(About 200)

Fuel storagepool

Nuclear Plant in SE

Natural Gas: Power Production

Pro:� Clean—some greenhouse gases, but much less than coal� Large supply in the United States

Con:

� Getting expensive� Natural gas not available in all states

Natural Gas Power Plant

Remember, Biomass includes:

• Wood • Plant materials such as peanut hulls, pecan shells, sawgrass, etc.• Sugar cane residues• Garbage• Human and animal wastes

Biomass: Power Production

Pro:� Clean—some greenhouse gases, but much less than coal� Large supply worldwide� Minimal air emissions

Con:

� More expensive than traditional energy sources� Plants are limited in size and power output� Fuel must be available within a 50-mile radius

Wood-fueled Power Plants

Energy content of:Wood: 4,500 btu/lbCoal: 15,000 btu/lb

Poultry Litter power plant

Garbage: Wastes-to-Energy Power Production

Pros:• Good way to dispose of waste when running out of landfill space• Good when water table is too high for landfill use (Florida)• Good for islands with limited space (Caribbean, others)

Cons:• Expensive• Serious air emissions challenges• Usually a lot of truck traffic

How Electricity is Made from GarbageHow Electricity is Made from Garbage

WTE PlantHawaii

WTE PlantMassachusetts

Wind Energy

Pro:• No air emissions or greenhouse gasses• Competitive costs

Con:• Not much power output per unit• Hazardous to birds• What if there’s no wind?

Solar Energy Pro:• Clean, non-polluting• Energy Source is free (sun)

Con:• Very Expensive- not yet competitive• Technology for PV’s is still being perfected

Photo-voltaic cells on rooftopsGenerate 18 kW

Critical to commercial success of PV technologies are advances in module efficiencies; and improvements in cost and reliability.

Also used to create steam for use in power plant turbines

Solar collectors near Newnan, GA

What about costs?

Project Management Challenges In

The Energy Industry

Always assess your risks…

Project Management ChallengesIn the Energy Industry

•• Not yet Not yet ““in tunein tune”” with PMIwith PMI•• HavenHaven’’t adopted new techniquest adopted new techniques•• Some utilities are changing (competitive issue)Some utilities are changing (competitive issue)•• Technology of energy production has evolved but Technology of energy production has evolved but

PM has notPM has not•• Not familiar with PMP designationNot familiar with PMP designation•• Believe that Believe that ““Technical ManagerTechnical Manager”” is best suitedis best suited

for this type of projectfor this type of project

Project Management ChallengesIn the Energy Industry

Techniques that Energy Biz would really find useful:

• Risk Reviews• Use of Earned Value to Track Projects• Communications Planning• Team Building Techniques• Better Project Planning • Stronger Definition of Roles and Responsibilities• Improved Documentation

Project Managers need key managerial skills more than technical skills:

• Strong communication skills—written & verbal• Ability to grasp situations and its implications• Can sell ideas and obtain executive support

(negotiations)• Motivate the team• Staying focused on the deliverables and end results• Managing client expectations• Resolving conflict

Project Management ChallengesIn the Energy Industry

Project Management ChallengesIn the Energy Industry

Yearly Utility Conferences:

PowerGen Power Engineering ASME Power Conference IEEE

More recently, a variety of biomass power conferenceshave been conducted

Project Management ChallengesIn the Energy Industry

Key Points in Energy:Key Points in Energy:

Energy biz is growing--worldwide. Especially in: • Nuclear• Wind• Biomass• Alternative fuels (bio-diesel)

Not growing:• Coal (at least in USA)• Ethanol

Project Management ChallengesIn the Energy Industry

Positions available:•Project Management•Engineering•Marketing•Sales•Planning•Safety

Note that alternative energy will most likely be funded with Federal spending. The private sector is taking a “wait and see” approach.

Summary Points

• The demand for energy is growing world wide• There is a shift away from coal—in the USA• There is an emphasis on a mix of alternative energy sources:

Biomass, wind, solar, geothermal, nuclear

• These alternative sources of energy are more costly than traditional energy (coal, gas, oil)

• Project Management can and should play a leading role inthe energy industry

• There are career opportunities for strong PMs—esp if youhave a technical background

Dilbert Dilbert by Scott Adams

Thank you!