future focus for eeca and why - gasnz.org.nz
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![Page 1: Future Focus for EECA and Why - gasnz.org.nz](https://reader030.vdocument.in/reader030/viewer/2022013009/61cde1fc26dd9d40266946ba/html5/thumbnails/1.jpg)
Andrew Caseley – Chief Executive
Gas Industry Forum November 2017
Future focus for EECA and why
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EECA’s mission
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Energy use profile
Sources: MBIE (2017), Energy in New Zealand & EECA (2015), Energy End Use Survey Note: Process Heat Includes process requirements, space heating, water heating and cooking. It excludes electricity.
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Overarching Strategy
NZ Energy Efficiency and Conservation Strategy (NZEECS) 2017-2022
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Three priority areas
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15%
85%
99.9% 72%
28%
Energy in New Zealand: 2016 calendar year edition, MBIE
NZ Renewable/Non-renewable Energy
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NZEECS targets
NZ Energy Efficiency & Conservation Strategy (2017-2022)
Goal: New Zealand
has an energy
productive and low
emissions economy
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Gas use in NZ by sectors
0.9%
3.7%
4.8%
27.1%
30.4%
33.2%
0 10 20 30 40 50 60 70
Agriculture/ Forestry/ Fishing²
Residential
Commercial
Non-Energy Use
Electricity Generation¹
Industrial
Gross PJ
Observed Gas Consumption by Sector
Source: Ministry of Business, Innovation and Employment
1 Includes cogeneration
2 Includes transport
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Emissions profile of gas vs other energy sources
Fuel Indicative relative emissions kg CO2-e / GJ
Coal 91
LPG - delivered 60
Natural gas – wholesale & delivered
60
Electricity (direct use)
(includes thermal generation) 36
Electricity (heat pump @COP=3)
12
Geothermal (direct use) 4
Wood chip
(assumes replanting of trees)
2
( diesel used for harvesting)
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Gas as transition fuel to low carbon economy
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EECA’s work
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Energy efficiency deliverables
• Productivity improvements
• Cost reductions
• Emissions reductions
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EECA – upcoming levy consultation
• EECA consults soon on its levy-funded work programme for 2018-19
• Electricity, gas, petrol and motor vehicle fuels are being levied to support energy
efficiency and renewable energy projects
• Funds from the gas levy will be invested to improve efficiency of gas use
• EECA will demonstrate the links between those groups being levied and
whether they benefit from, or cause a need for, the levy-funded
programme
• Consultation set for 16 November – 15 December 2017
• EECA reports back to Minister in February on outcomes of consultation with final decision announced in Budget 2018
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Proposed gas levy funding
(Subject to Ministerial approval)
• Proposed that EECA’s 2018/19 gas levy will help fund:
1. E3 programme - standards for appliances/equipment
2. Engagement with large energy users – advice & services
3. Technology demonstrations – introduction to under-utilised technologies and processes
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Improving gas efficiency – process heat
• Makes up one third of NZ’s overall energy use and 9 percent of
gross emissions
• Industrial sector uses 88 percent of process heat*. 60 percent
of process heat is from fossil fuels, mainly coal and gas
• Process heat is one of our largest opportunities to improve
energy efficiency and switch from fossil fuels to renewable
energy
• EECA & MBIE working on plan - Process Heat in New Zealand
(PHINZ)
* Sources: MBIE (2017), Energy in New Zealand & EECA (2015), Energy End Use Survey Note: Process Heat Includes process requirements, space heating, water heating and cooking. It excludes electricity.
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Examples of process heat improvements
Boiler economiser (pictured) 32MW gas boiler fitted with
oxygen trim, flue gas economiser and condenser achieving
90% efficiency
ANZCO
Fonterra
Refrigeration & hot water heat recovery, plus boiler upgrade programmes
Achieving 16 % energy savings reduction and carbon emissions reduced by 14%
Whakatane Mill Gas boiler tuning and control helped achieve
6% reduction in energy use saving $500 thousand each year
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Questions?