[Bioconversion] Prospects for clean coal technologies

[MMBTUPR at aol.com]

          to      Gasification list                    from     Lewis L. 
Smith

     We have suggested previously that the speed at which the use of biomass 
energy in general [and biomass gasification in particular] must be expanded 
and the mix of feedstocks and technologies which are likely to be used, depends 
in good part on whether or not "clean [?] coal" technologies can become 
environmentally acceptable and economically and technically viable within the next 
decade. These coal technologies include [a] pressurized, fluidized-bed 
combustion boilers [b] integrated coal gasification, combined cycle units and [c] 
integrated coal gasification, fuel cell, combined cycle. In brief, the required 
schedule of implementation for biomass depends to a significant degree on that 
for coal.

     Option [a] has already been commercialized in Europe, Japan and the USA; 
option [b] in Europe and the USA. Option [c] is expected to become commercial 
in Japan by 2009. However, in most locations, all are more expensive in terms 
of both capital and operating cost than most traditional alternatives for the 
generation of electricity.

     However until now, no one has made any projections as to the rate at 
which these technologies could be introduced into a real electric system and what 
kind of subsidy might be required. The latest issue of the online newsletter 
of the International Association for Energy Economics 
[ < iaee.org > ] contains a summary of what appears to be the first such 
study, "Economic aspects and policy options of clean coal technologies", based on 
a detailed model of the Japanese energy market, with eight demand sectors, 
thirteen feedstock markets and 82 processes ! The model covers the years 1999 to 
2044, in five-year increments. Several cases are run with this model to 
explore the introduction of the three coal technologies for the generation of 
electricity in Japan. 

     The assume a carbon tax and energy tax that collectively will reduce 
total CO2 emissions in Japan by 10% by 2044. Ironically the carbon tax bares most 
heavily on the new technologies, as they use coal with the highest carbon 
content ! The energy tax bares most heavily on the traditional technologies, 
because they are less efficient. These taxes are imposed in graduated steps 
through 2004. Finally total CO2 output by the electricity sector increases in all 
cases, despite the taxes and increased efficiency because of the increase in 
total generation.

     However, revenues from the two taxes are used to close the cost gap 
between the clean-coal technologies and traditional ones, In some cases, the 
subsidy to the new technologies comes in the form of a reduction of 10% in its 
capital cost per unit of capacity. This is enough to make them cost competitive 
with traditional technologies.

     The model is solved by the META-Net system developed by Lawrence 
Livermore National Laboratory [DOE] . This is a partial-equilibrium system which 
allows for explicit price competition among technologies, constraints on emissions 
and/or taxes on emissions. 

     Because of the summary nature of the article, it is not possible to say 
much more of interest to our list. However, the article makes clear that there 
is a good possibility for clean-coal technologies will be environmentally 
acceptable and economically competitive in Japan by 2044. If something like this 
turns out to be case for other countries and the urgency of doing something 
about Global Warming does not increase significantly, I believe that this is a 
time frame with which the biomass community can live with very comfortably.   
However, for me, the jury is out until we have the results of the Canadian 
research on which I reported previously.

     Cordially.

     End.

     

     

     
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