What is CCS Ready - Alice Gibson

GLOBAL CCS INSTITUTE

CCS Ready WorkshopGlobal CCS InstituteAlice Gibson, Capacity Development ManagerWednesday 22 June 2011.


THE GLOBAL CCS INSTITUTEThe Global CCS Institute connects parties around the world to solve problems, address issues and learn from each other to accelerate the deployment of CCS projects by:

1.SHARING KNOWLEDGE providing a central repository for CCS information; and analysing and disseminating information to fill knowledge gaps and build capacity.

2.FACT-BASED ADVOCACY using facts to inform and influence domestic and international low carbon policies; supporting the commercialisation of CCS by advancing the understanding of

appropriate funding and financing solutions and risk regimes; and increasing the awareness of the benefits of CCS and the role it plays within a

portfolio of low carbon technologies.

3.ASSISTING PROJECTS bridging knowledge gaps between demonstration efforts; and developing project-specific solutions particularly amongst early movers.


OUTLINE OF PRESENTATIONThis presentation will cover:

1.What is Carbon Capture and Storage (CCS)?

2.An overview of CCS Ready and potential benefits;

3.Regulatory and economic drivers; and

4.Case studies (CCS Ready in action)


WWW.GLOBALCCSINSTITUTE.COM

What is CCS?

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WHAT IS CCS?

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THE IEA BLUE MAP SCENARIOCCS PROVIDES ~20 per cent OF CO2 MITIGATION BY 2050

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What is CCS Ready?

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WHAT IS CCS READY?

• CCS Ready is about ensuring that CCS is taken into consideration when designing and building future power plants.

• This includes:– planning for sufficient land, pipelines for

removal of CO2, suitable storage sites and connectivity of the generator to CCS technologies; and

– developing appropriate policy, regulation and legislation

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INTERNATIONAL DEFINITION

9Home Page: www.globalccsinstitute.com


PROPOSED INTERNATIONAL DEFINITION

Capture Ready Plant

A CO2 Capture Ready plant satisfies all or some of the following criteria:

1) Sited such that transport and storage of captured volumes are technically feasible;

2) Technically capable of being retrofitted for CO2 capture using one or more reasonable choices of technology at an acceptable economic cost;

3) Adequate space allowance has been made for the future addition of CO2 capture-related equipment, retrofit construction, and delivery to a CO2 pipeline or other transportation system;

4) All required environmental, safety, and other approvals have been identified;

5) Public awareness and engagement activities related to potential future capture facilities have been performed;

6) Sources for equipment, materials, and services for future plant retrofit and capture operations have been identified; and

7) Capture Readiness is maintained or improved over time as documented in reports and records.

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Transport Ready Plant

A CO2 Transport Ready plant satisfies all or some of the following criteria:

1) Potential transport methods are technically capable of transporting captured CO2 from the source(s) to geologic storage ready site(s) at an acceptable economic cost;

2) Transport routes are feasible, rights of way can be obtained, and any conflicting surface and subsurface land uses have been identified and/or resolved;

3) All required environmental, safety, and other approvals for transport have been identified;

4) Public awareness and engagement activities related to potential future transportation have been performed;

5) Sources for equipment, materials, and services for future transport operations have been identified; and

6) Transport Readiness is maintained or improved over time as documented in reports and records.

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Storage Ready Plant

A CO2 Storage Ready plant satisfies all or some of the following criteria:

1) One or more storage sites have been identified that are technically capable of, and commercially accessible for, geological storage of full volumes of captured CO2, at an acceptable economic cost;

2) Adequate capacity, injectivity, and storage integrity have been shown to exist at the storage site(s);

3) Any conflicting surface and subsurface land uses at the storage site(s) have been identified and/or resolved;

4) All required environmental, safety, and other approvals have been identified;

5) Public awareness and engagement activities related to potential future storage have been performed;

6) Sources for equipment, materials, and services for future injection and storage operations have been identified; and

7) Storage Readiness is maintained or improved over time as documented in reports and records.

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WHY CCS READY?

CCS Ready is NOT CCS, but preparation for future CCS retrofits.

CCS Ready:

•Can prolong operational life of a plant

•Helps avoid uneconomic retrofits in the future

•Reduces potential carbon lock-in or stranded assets

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WHY CCS READY?

• Plant has planned for future costs up front

• CCS Ready ensures that power generators:

– do early stage planning for future integration of capture technology;

– look into transport options; and

– perform due diligence on suitable storage options.

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Regulatory and Economic Drivers

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REGULATORY AND ECONOMIC DRIVERS

• CCS Ready Policy is most appropriate when drivers to adopt CCS exist or are expected soon.

• Governments could require CCS Ready plants by law or regulation, or could encourage it through incentives such as grants or loan guarantees.

• Potential mechanisms for implementing CCS Ready Policy include:

– A mandate for CCS Ready could require new and/or modified plants to be CCS Ready;

– Emissions standards that tighten over time;– Economic incentives for readiness;– Voluntary education and certification programs.

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REGULATORY AND ECONOMIC DRIVERS

• Chances of successfully implementing a CCS Ready policy can be increased by:

– Establishing clear roles and responsibilities for regulatory authorities, such as environmental agencies, technical and economic regulatory bodies, geological agencies, land use and zoning commissions etc.

– Integrating CCS Ready regulations with existing approval processes will reduce the likelihood of large new administrative burdens.

– Providing clear guidance and information to project developers (such as details on locations of potential suitable storage sites and planned CO2 pipeline locations).

– Taking into account jurisdiction issues, such as sources and volumes of GHG emissions and local economics of CCS.

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Nelson 6: Example of a CCS Retrofit

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FGDAbsorbers



Absorber

FGD

BoosterFan

Duct

Compressor Electrical

CO2 Compression& Dehydration

Solvent Reclaim

CoolingTower

Control Bldg.



CCS Ready in actionFeasibility Study of CCS-Readiness in Guangdong Province, China

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CCS-READY IN GUANGDONG PROVINCE

The Project Implementers are:• The South China Sea Institute of Oceanology;• The Guangzhou Institute of Energy Conversion;• The Wuhan Institute of Rock and Soil Mechanics;• The Energy Research Institute (ERI) of the China

NDRC;• Linkschina Investment Advisory Ltd;• Edinburgh University; and• Cambridge University.

Funded by the Government of the United Kingdom and the Global CCS Institute.24


CCS-READY IN GUANGDONG PROVINCE

• Over the past 15 years Guangdong Province has generated over 8% of China’s total electricity every year.

• The current government is actively promoting low-carbon economic development and is proposing a low carbon roadmap, which is the first of its kind in China.

• Guangdong Province has recognised that it is well-placed to consider CCS and CCS Ready deployment.

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CCS-READY IN GUANGDONG PROVINCE: PROGRESS

• The Project has progressed as planned in the first year

• The team have established one of the first CCS partnerships in

China: The China Low-carbon Energy Action Network (CLEAN)

• CLEAN provides a communication and cooperation platform for

promoting CCSR in Guangdong and China.

• Established links with government and industry

• Emissions analysis

• Analysis of onshore and offshore storage capacity

• Cost and benefit analysis26


CCS-READY IN GUANGDONG PROVINCE: THE WAY FORWARD

• Storage research will be completed and effective storage capacity

will be calculated for each of the basins

• Cost models constructed

• Capture-ready designs for 1 – 2 plants will be completed and the

expected cost savings with respect to non-CC Ready plants will be

calculated

• By 2013 the Roadmap and policy recommendations for Guangdong

will be proposed based on the project findings.

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Global Status of CCS Ready

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What is CCS Ready - Alice Gibson