Creating Innovative Solutions for a Sustainable Future
EXCHANGE VISITS & RESEARCH COLLABORATION
27th July, 2018 | Lawrence Berkeley National Laboratory (Berkeley Lab)
“Enabling Energy Transition towards Low-Carbon Pathways: TERI’s Activities”
Dr. Shashank Vyas, Associate Fellow &
Er. Alekhya Datta, Fellow Electricity & Fuels Division (EFD), TERI
Exchange Visits (to US Labs) Supported By:
Creating Innovative Solutions for a Sustainable Future
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ELECTRICITY DEMAND IN INDIA BY 2030
0
500
1000
1500
2000
2500
2018 2022 2027 2030
Sector-wise demand of Electricity (in TWh)
Commercial
Agriculture
Industrial
Residential
Source: TERI Analysis
Creating Innovative Solutions for a Sustainable Future
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INDIA’S SOLAR TRANSITION/ ELECTRICITY TRANSITION
0
500
1000
1500
2000
2500
3000
2018 2022 2027 2030
in T
Wh
Power Generation in India (By 2030)
Renewable Energy
Conventional Energy
0
500
1000
1500
2000
2500
3000
2018 2022 2027 2030
in T
Wh
Source-wise Power Generation in India (By 2030)
Bio-Mass
Small Hydro
Solar
Wind
Gas
Nuclear
Hydro
Diesel
Coal
0
200
400
600
800
1000
1200
0
2
4
6
8
10
12
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
$/
kW
h
INR
/ k
Wh
Price/ Tariff Trends
Solar in INR/kWh Coal in INR/kWh Cost of LiB in $/kWh
Source: TERI Analysis
Creating Innovative Solutions for a Sustainable Future
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CASE FOR TRANSPORT ELECTRIFICATION AC Electric Bus total cost bid without Subsidy INR/ km lower than of Diesel Bus today:
Diesel Bus = INR 60-80/ km; Electric Bus (AC) = INR 30-55/ km (without Subsidy)
Note: Daily distance travelled = 170-200 kms. Cost includes capita repayment at 10% interest, electricity, O&M costs & battery replacement for purchased buses in year 8. FAME subsidy is excluded in these estimates. *Gross Cost Contract (GCC) & Outright Purchase (OP)
GCC Model* OP Model*
0.66 0.83
0.66 0.74
1.67
Li-ion withSubsidy
Li-ion withoutsubsidy
Lead Acid withSubsidy
Lead AcidwithoutSubsidy
Petrol variant
2-W Running Cost (INR/km) of TVS Scooty Pep vs. Hero Maxi Electric
Note: Daily distance travelled = 40 kms; Battery replacement costs are included.
29
36
48
57
70
33 35 36 37
41
48
0
10
20
30
40
50
60
70
80
INR
/ k
m
Running costs of E-Buses (AC) through competetive bidding
7.7 8.5 8.5
9.9 9.9
0
2
4
6
8
10
12
Kolkata Indore Lucknow Jammu Guwahati
INR
mil
lio
n p
er
Bu
s
Cost of e-Bus discovered in competitive bidding under OP Model
Source: TERI Analysis
Creating Innovative Solutions for a Sustainable Future
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ELECTRIFICATION OF THE INDUSTRY APPLICATIONS
Case study of a typical forging furnace: Switch over from furnace oil (FO) firing to Induction billet heater,
Capacity of FO furnace 400 kg. per shift
Capacity of induction billet heater
45 kW
Investment INR 22 lacs.
Avoided FO consumption
93 kl/ Year
Electricity consumption with induction heater
1,78,000 kWh per Year
GHG reduction potential
270 t CO2/ Year
Switch from thermal heating to electricity in industrial processes:
Fuel switching can be explored in a number of other sectors e.g. foundries, forging, secondary steel, chemicals, textiles, food processing, etc.
Switch over would depend upon availability of suitable technologies (including detailed design & engineering solutions), comparative prices of fuels, finance etc.
Source: TERI Analysis
Creating Innovative Solutions for a Sustainable Future
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NEED FOR TRANSITIONING TO LOW CARBON INDUSTRIES
Many large industry sub-sectors undertaking steps to reduce their energy intensity:
Few are already equivalent to global standards e.g., cement, fertilizer
Opportunities to further reduce Specific Energy Consumption (SEC) levels exist in several units in both large industries and MSMEs;
A major challenge is to transit from fossil fuels to low carbon energy sources for thermal (process) energy requirements in ‘Hard-to-abate’ sectors such as iron & steel, cement, etc.
No commercially available zero carbon technologies globally; few are under development
Need for long-term collaborative R&D with global players
Huge capital investment and long gestation periods
Creating Innovative Solutions for a Sustainable Future
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POSSIBLE STEPS TOWARDS LOW/ ZERO CARBON EMISSIONS – CEMENT INDUSTRY
1. Improve efficiency through modernisation and adoption of EE measures – Reaching global best levels
Reduce SEC-Thermal : From 725 kcal/ kg clinker to 660 kcal/ kg clinker
Reduce SEC-Electrical : From 80 kWh/ t cement to 65 kWh/ t cement
2. Meet all electrical energy needs through RE sources
3. Meet thermal energy requirements for combustion through electric route (fully/ partially) – to be explored
4. Remaining CO2 emissions only from calcination
Alternate routes:
1. Carbon Capture, Utilization, and Storage (CCUS)
2. Explore/ Research and switch over to alternate materials that avoid CO2 generation (e.g., Timber for housing, new chemistry, other options ??)
Creating Innovative Solutions for a Sustainable Future
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POSSIBLE STEPS TOWARDS LOW/ ZERO CARBON EMISSIONS – IRON & STEEL INDUSTRY
1. Improve efficiency through modernisation and adoption of EE measures – reaching global best levels
Blast Furnace (BF)/ Basic Oxygen Furnace (BOF) Route - Reaching to SEC level of 5.5 Gcal/ tcs (giga calories per tonne of crude steel)
Electric Arc Furnace (EAF)/ Induction Furnace (IF) route through RE sources – Increase production to the extent possible; increase circularity
2. Use of hydrogen for iron ore reduction as a substitute for coke/coal
• Hydrogen through biomass route or electrolysis of water
3. Meet thermal energy requirement through RE based electricity and/or, off-gases generated in the process
Creating Innovative Solutions for a Sustainable Future
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FREIGHT TRANSPORT
Technological choices are not yet clear:
Creating Innovative Solutions for a Sustainable Future
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Innovative business models need to promote:
Energy efficient appliances at Household-level, mainly Air Conditioners;
Industrial energy efficiency;
Energy efficient Electric Vehicles (including Charging Infrastructure)
Energy efficient Pump-sets (including Solar pumps) for Agricultural applications, and
Building energy efficiency (promoting ECBC & GRIHA)
PROMOTING ENERGY EFFICIENCY
Creating Innovative Solutions for a Sustainable Future
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Decarbonization of Indian electricity sector is now inevitable;
Promoting energy efficiency through innovative Business Models for large scale adoption of energy efficient technologies & practices;
Electrification of Buses & Two-Wheelers: Challenges – Charging
Infrastructure;
The techno-economic viability of electric heating vis-à-vis fossil fuel based heating should be explored in selected energy intensive industry processes, and
Decarbonizing ‘hard-to-abate’ sectors such as Steel / Iron & Cement – Research on technologies is needed.
CONCLUSION & WAY FORWARD