promoting carbon capture and storage in...
TRANSCRIPT
Pradeep Tharakan
Climate Change Specialist
Energy Division, Southeast Asia Department
Asian Development Bank
Promoting Carbon Capture
and Storage in Asia
Presentation Outline
• CCS as a mitigation option for Asia
• ADB’s intervention in CCS
• Findings of ADB’s Technical Assistance
Energy Sector Emissions to Increase
• Region’s primary energy demand increases by 76% (2007-2030)
• Coal use set to increase (Source: World Energy Outlook 2009, IEA)
ASEAN Generation Capacity by Country and Fuel
ADB’s Intervention in CCS• ADB’s Energy Policy 2009 supports the promotion of
CCS as a GHG mitigation option wherever appropriate
• Established a A$ 21.5 million CCS Fund in 2009 in partnership with the Global CCS Institute.
• The Fund is aimed at capacity building activities, scoping analyses and capital grants to be combined with ADB’s lending products.
• Active participant in key global fora on CCS – CSLF, CEM etc
• Partnerships with IEA, APEC, WRI, Clinton Foundation etc
ADB’s TA activities
• People’s Republic of China
• Regional TA including PRC and India
• South East Asia – INO, PHI, THA and VIE
source: ADB
• TA to People’s Republic of
China: CCS
Demonstration – Strategic
Analysis and Capacity
Strengthening, approved
in May 2009 ($1.25 M) –
NDRC and Greengen
Company
• ADB loan for coal-fired IGCC
project - $135 million loan and
$5 million grant
• Lower the barriers to CCS
demonstration and develop a
pre-feasibility assessment for a
CCS pilot project
• TA to People’s Republic of China: Carbon
Capture and Storage in Natural Gas-Based
Power Plants - September 2011 ($1.8M)
• Evaluate CCS readiness and identify measures and
investments needed for making this plant "CCS ready";
(ii) pilot test CO2 capture (post -combustion) from NGCC
plant; and (iii) strengthen capacity in relevant areas. It will
be implemented over a period of 2 years. Storage options
and evaluation is a key component of this TA.
3 x 350 MW NGCC plant near Beijing.
Photo courtesy: Datang Corporation
Future Projects in China
• CCS pilot capture and storage up to 120,000 tons of CO2/year from IGCC plant financed by ADB.
• Project is being designed and will be operational by 2013
• Possible $10M grant from the CCS Fund
• Looking for additional funds
• $2 million FEED study proposal for oxy fuel combustion and some policy work with NDRC are being finalized for the 2012 program
•Regional TA to China and India: Demonstration: Analysis of Key Policy Issues and Barriers approved in May 2009 ($350,000)
•Analyze key issues and barriers, in particular, financing issues for CCS demonstration in developing countries
•ADB submitted a report to CSLF on financing CCS in emerging economies
•Key recommendation - set up $5 billion CCS dedicated fund for developing countries
.
Capacity Regional TA – Determining the Potential of CCS in Southeast Asia - August 2010 ($1.25 million) – INO, PHI, THA and VIE
• Identify key sources of GHG emissions. • Undertake screening of storage sites• Source-Sink mapping• Analyze key prerequisites for CCS pilots - policy, technical, geological, regulatory, financial, economic, public acceptance• Capacity building activities for governments, private sector and research institutes • Develop road maps for pilot and demonstration projects • Identify a pilot project and a willing host
.
11
Short List of Existing CO2
Sources in Thailand
No. Plants Technology Capacity EstCO2
(Mt/y)
Distance
from sink
(km)
1 A NG
Processing
1,842
MMSCFD
2.04 220
852
MMSCFD
3 C PP-CC 678 MW 2.15 160
4 D PP-SPC 660 MW 3.14 220
5 E PP-CC 1,468 MW 4.65 250
6 F PP-CC 1,400 MW 4.44 250
7 G PP-CC 713 MW 2.26 250
8 H PP-CC 700 MW 2.22 250
9 I PP-CC 746.8 MW 1.53 200
10 J PP-Thermal 1,346 MW 8.6 220
11 K PP-Thermal 2,400 MW 18.17 200
1602 B NG
Processing
0.94
1111
5
1
23
4
67 8
9
10
Key GHG Sources in Thailand
Source: TA 7575 Report
Storage Capacity for Thailand’s Sedimentary Basins
-
100.00
200.00
300.00
400.00
500.00
600.00
700.00
800.00
900.00
1,000.00
A B C D E F G H I J
Me
ga
ton
ne
s o
f C
O2
Sedimentary Basin
Saline Aquifer Storagein 10 of Thailand's
90+ Sedimentary Basins= 9 Gigatonnes of CO2
5693
Source: TA 7575 Report
Selected
CO2 Sources
100 km
Radius
Vietnam’s
Sedimentary
Basins
Source: TA 7575 Report
0
50
100
150
200
250
300
350
400
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34
Me
ga
ton
ne
s o
f C
O2
Oil & Gas Fields
Viet Nam Oil & Gas Fields Storage Capacity
Gas
Oil
Power Plant
Legend:
Storage Location
Pipeline
Note: Unscaled Map
Gas Processing Plant
GUU
U
Muara Tawar 2,3,4
Combined Cycle Power Plant
3 x 750 MW
Emissions Projection up to
2018: 26.6 MtCO2
Indramayu
Steam Coal Power Plant
2 x 1000 MW
Emissions Projection up to
2018: 65.8 MtCO2
Jawa Sea Offshore
South Sumatera Onshore
East Kalimantan Onshore
Bangko Tengah
Steam Coal Power Plant
4 x 600 MW
Emissions Projection up to
2018: 11.5 MtCO2
Subang
Gas Processing Plant
Emissions Projection up to
2018: 6.2 MtCO2
Muara Jawa
Steam Coal Power Plant
2 x 100 MW
Emissions Projection up to
2018: 10.6 MtCO2
60 km
60 km
320 km
35 km300 km
15 km
129.7 km
Power Plant
Legend:
Storage Location
Pipeline
Note: Unscaled Map
Gas Processing Plant
Power Plant
Legend:
Storage Location
Pipeline
Note: Unscaled Map
Gas Processing Plant
GUU
GUU
U
Muara Tawar 2,3,4
Combined Cycle Power Plant
3 x 750 MW
Emissions Projection up to
2018: 26.6 MtCO2
Indramayu
Steam Coal Power Plant
2 x 1000 MW
Emissions Projection up to
2018: 65.8 MtCO2
Jawa Sea Offshore
South Sumatera Onshore
East Kalimantan Onshore
Bangko Tengah
Steam Coal Power Plant
4 x 600 MW
Emissions Projection up to
2018: 11.5 MtCO2
Subang
Gas Processing Plant
Emissions Projection up to
2018: 6.2 MtCO2
Muara Jawa
Steam Coal Power Plant
2 x 100 MW
Emissions Projection up to
2018: 10.6 MtCO2
60 km
60 km
320 km
35 km300 km
15 km
129.7 km
CCS Scheme in Indonesia
ADB TA Focus area: Merbau CO2 Removal Plant
Source: LEMIGAS
Commonly Used Assumptions
• Economic factors
• Financing parameters
• EOR cost
• CO2 cost
Plant Specific Assumptions• Plant technical parameters• Capital costs• Operating costs• Cost of capital• Selling prices
Calculations • Debt payment schedule• Project income statement• Cash flow for evaluation
Results • Financial viability • Multi-factor sensitivity test
Scenario Analysis • Tabulation• Graphics
CCS Economic Modelling Framework
Conclusions from ADB’s Work
People’s Republic of China
• Near-term focus on power plants (both pre-combustion and post combustion).
• Large numbers of high efficiency, large-sized units being built.
• Aggressive GHG reduction mandates.
• Interest in being a technology leader.
• Appetite to look at concessional financing and feed-in tariffs to support CCS.
• Lot of prep work needed on storage aspects
South East Asia
• Near-term Focus on Gas Processing Facilities.
• Existing capacity within operators
• High CO2 fields provide economic incentive
• Emphasis on coal-fired power plants in the medium term.
• Lack of familiarity with SC and USC coal-fired plants
• Increased tariffs are a hard sell APEC (2010)