using bagasse in power co-generation
TRANSCRIPT
Using Sugar Cane Bagasse in Power Generation
Mitr Phol Sugar Group, ThailandMitr Phol Sugar Group, Thailand
Dan Chang Bio-Energy Co.,Ltd.Dan Chang Bio-Energy Co.,Ltd.Phu Khieo Bio-Energy Co.,Ltd.Phu Khieo Bio-Energy Co.,Ltd.
Sugar Cane
Juice 73%
Bagasse 27%
Sugar Mill
Power and Steam
Sugar
Power Cogeneration in Sugar Mills
National Grid
Excess Power
Bagasse Storage New Power House
Fuel
Outline
• Company overview• Thailand Sugar Cogeneration Development• Dan Chang Bio-Energy Project• Challenges• Recognition
Mitr Phol Group
Company overview
Core Businesses of Mitr Phol• 5 Sugar Mills• 2 Particle Board Plants• 2 Biomass Power Plants
(Dan Chang & Phu Khieo Bio-Energy) • 3 Ethanol Plants
sugar
sugar + ethanol
sugar + ethanol + biomass power
sugar + ethanol + biomass power + particle board
particle board
Bio-Energy CompaniesDan Chang Phu Khieo
Investment 60 Million USD 60 Million USD
First Sync to the Grid July 2004 September 2004
Power Generating Capacity 64 MW 76 MW
Steam Generating Capacity 710 Ton/hr 600 Ton/hr
PPA with EGAT (Firm) 27 MW+10 MW 29 MW+10 MW
Carbon Credits 93,000 (tCO2/yr) 102,000 (tCO2/yr)
Cane Crushing Capacity 32,000 T/D 27,000 T/D
Sugar Mill Sugar Mill 3,000,000 3,000,000
TC/y TC/y
Particle Particle BoardBoard
54,000 TB/y54,000 TB/y
Ethanol Ethanol PlantPlant
200,000 L/d200,000 L/d
Bio-Energy (Power Bio-Energy (Power Plant)Plant)
345,000,000 KWh/y345,000,000 KWh/y 2,400,000 Tons 2,400,000 Tons
Steam/ySteam/y
PHU KHIEO COMPLEX OVERVIEWPHU KHIEO COMPLEX OVERVIEW
Bio-Energy CompaniesDan Chang Phu Khieo
Investment 60 Million USD 60 Million USD
First Sync to Grid July 2004 September 2004
Total Generating Capacity 53 MW+11.4 MW 65 MW+11.4 MW
Total Steam Capacity 710 T/hr 600 T/hr
PPA with EGAT (21 years) 27 MW+10 MW 29 MW+10 MW
Estimated Carbon Credit 93,000 tCO2/y 102,000 tCO2/y
Power Plant Area 14.7 Ha 10.2 Ha
Sugar Mill Capacity 32,000 t cane/day 27,000 t cane/day
Company overview
• Mostly low-pressure boilers (< 25 bar)
• Some are very old (> 30 years)
• Mostly within the sugar mill.
• Boilers have been designed deliberately with low efficiency.
• Purchase of used equipment are common.
Thailand sugar cogeneration development
Cogeneration by Sugar Mills in Thailand
Before Year 2000
Development in the past few years
• Use of medium-pressure boilers and high efficiency turbine
• Excess electricity export to the national grid.
• Professional approach in project development.
• Use of special purpose company
Thailand sugar cogeneration development
What drove the change?
Oil Price
OLD PARADIGMBagasse is free and have
little commercial value
NEW PARADIGMBagasse has high commercial value
Renewable Energy Policy
SPP Regulation
CDM Potential
New Management
Climate Change
Thailand sugar cogeneration development
Dan Chang Bio-Energy Project
Owner/developer : Dan Chang Bio-Energy Co., Ltd.Major shareholders : Mitr Phol Sugar Co., Ltd. & MP Particle Board;Location : Dan Chang, Suphanburi, ThailandTotal capacity : 53 MWFuel : Bagasse, cane leaves, wood bark, and rice huskMajor off-takers : EGAT 27 MW (SPP, 21-year firm contract)
Mitr Phol Sugar Co., Ltd. (steam + power)Major equipment : Boilers - 2x120 t/h, 68 bar, 510 oC (Alstom)
Turbine - 41 MW extraction-condensing (Alstom) Existing boilers + turbines (from sugar mill)
O&M : InternalIncentives : BOI privileges, EPPO subsidy 4.2 cent/kWhFinancing : Project finance
Project Feasibility Study
Nov 01 - Oct 02Bidding & Engineering
Jan 03 - July 04Construction
July 15, 2004Commercial Operation
Nov 20, 2004Inauguration
Dec 01 - Jan 03Public Hearing and EIA
Project Timeline
Dan Chang Bio-Energy Project
October 2001
~# 1
New Boiler
# 2 New T/G (41 MW)
Sale to Grid 27 MW
AfterAfter AfterAfter
#1
Steam16 bar
Sugar millSteam 1 bar
Steam Turbine
~
T/G # 5 (12 MW)
Steam 30 bar
Boiler
# 2
# 3
# 7
Before Before
T/G # 1,2,3,4
(3, 2.5, 2.5, 5 MW)# 4# 5
# 6
~
Steam 68 bar
Sale to Grid 6 MW
12 kWh/ton cane
55 kWh/ton cane
How did we do it?
Mechanical force to shredder and milling
115 kV
22 kV
Dan Chang Bio-Energy Project
2 Boilers 240 t/h ( 68 Bar , 510 C )
Turbine Generator 41 MW Substation 115 kV
3 Boilers 310 t/h ( 16 Bar , 370 C )1 Boiler 160 t/h ( 30 Bar , 370 C )
Turbine Generator 12 MW
New Power PlantNew Power Plant
Existing Existing PlantPlant
Major Technical Attractions
• First high-pressure boiler turbo-generator system in ASEAN sugar industry
• Boiler efficiency over 90 % (LHV basis)• Cogeneration thermal efficiency over 60 %• High flexibility in operation• High electricity export to the grid: 27 MW• Multi-fuel firing capability• Water-cooled vibrating grate furnace• Modern monitoring & control system (DCS)• Use of steam transformers
Dan Chang Bio-Energy Project
Favorable Environmental Impacts
• Stack emission
Particulate 20 - 50 ppm
NOx 120 - 160 ppm
SOx 0 - 8 ppm
• Solid waste: ashes from boiler are mixed with filter cake from
the sugar mill and goes back to sugar cane plantation as soil
improvement substance.
• CO2 mitigation potential : 100,000 ton CO2/year
Dan Chang Bio-Energy Project
Supplemental Fuels
Rice Husk
Bark, Cane leave, Woodchip
Dan Chang Bio-Energy Project
Socio-Economic Benefits
• Increased business activities in the province
• More jobs have been created
• Created value added to many agricultural waste
• Capacity building of the existing workforce
• New technology transfer to the sugar industry
• Reduction of the nation’s import of fossil fuel for power
generation
Dan Chang Bio-Energy Project
Challenges
• Technical Challenges Seasoning Priority Technology
• Operation Challenges Fuel Handling Supplemental fuels
• Financial Challenges• Management Challenges
Seasoning Operation
Technical Challenges
Crushing Remelting
Steam Consumption, ton/hr 490 160
Power Consumption, MW 15.1 6
Bagasse Production, ton/day 8700 0
Operation Period, months 4 (Dec-Mar) 8 (Apr-Nov)
What capacity should the biomass power plant be ?
Priority : Internal vs. External
Technical Challenges
Components Sugar Mills EGAT
Process type Batch + Continuous type Continuous
Main parameter Steam pressure and flow Electrical Power
Load characteristics High load variation Stable load
Flexibility High Low
Maintenance period Short Long
Defaults Event Negotiable Penalty
Who should have the priority?
Technology Consideration
• Type of Boiler Heat recovery system Emission control system: wet scrubber, ESP, bag filter Supplemental fuel : rice husk, cane leave, woodchip,
coal
• Type of Turbine Back pressure + condensing VS extraction condensing Single shaft or dual casing turbine
• Protection Equipment• Control System
Technical Challenges
Fuel Handling System
• Storage area• FIFO system• Transportation• Dust control• Moisture control• Bottleneck
Operation Challenges
Supplementary Fuels
• Rice husk High silica content High demand :competition with other rice husk power plants
• Cane leaves High chloride content Difficult to handle : shredding, fire
• Wood chips High lignin content Limit supply :competition with pulp mills
• Coal SOX issue Dust issue
Operation Challenges
Supplemental Fuels
Rice Husk
Bark, Cane leave, Woodchip
Dan Chang Bio-Energy Project
Financial Challenges• Security arrangements:
Mortgage of all land, building and equipment to the bank Assignment of PPA (DC vs. EGAT) 21 yrs firm contract Assignment of Utilities Supply Agreement (Dan Chang vs. Mitr Phol) Corporate guarantee of the loan All risk insurance for equipment & all assets in the name of the creditors
• Exchange Rate Risk : All foreign contracts had been converted to local currency loan.
• Project Implementation Risk : Fix price lump sump, fix time turnkey• Income
Energy payment, indexed to natural gas price Capacity charge, indexed to Dollar exchange rate Carbon credit from CDM project
Management Challenges
Current New Scheme
Main Concern Internal production External customer
Efficiency Less priority Major concern
Engineering In-house Out-source
Investment Low High
People• Recruitment• Compensations
Sugar industry Power plant
Communication Informal Formal
Need a new management concept !
RENEWABLE ENERGY AWARD WINNER
BIOMASS
COGENERATION PROJECT THAILAND,
JUNE 2005
RENEWABLE ENERGY AWARD WINNER
BIOMASS
COGENERATION PROJECT ASEAN,
JULY 2005
Recognition
Questions & Comments