7 – Case studies in Solid Waste Management Introduction to Climate Change Wim Maaskant BGP Engineers – The Netherlands

7 – Case studies in Solid Waste Management7 – Case studies in Solid Waste Management

Introduction to Climate ChangeIntroduction to Climate Change

Wim MaaskantWim MaaskantBGP Engineers – The NetherlandsBGP Engineers – The Netherlands

www.bgpengineers.comwww.bgpengineers.com


Financial assessment of EFinancial assessment of Emission mission ReductionReduction investments investments

Wim MaaskantWim MaaskantBGP Engineers – The NetherlandsBGP Engineers – The Netherlands

www.bgpengineers.comwww.bgpengineers.com


Financing instrumentsFinancing instruments

Carbon Credits enhance the finances of your projectCarbon Credits enhance the finances of your project: :

Carbon credits:Carbon credits:• It is new since approx.7 years when some European Governments It is new since approx.7 years when some European Governments

have started to buy with purpose of meeting their Kyoto targetshave started to buy with purpose of meeting their Kyoto targets• The start of the European Emissions Trading Scheme in 2005 has The start of the European Emissions Trading Scheme in 2005 has

accelerated the carbon marketaccelerated the carbon market• Clean Development Mechanism (CDM) combines Clean Development Mechanism (CDM) combines financial support financial support

with with sustainable development sustainable development and and technology transfertechnology transfer• Reducing Emissions from Deforestation and Degradation (REDD) Reducing Emissions from Deforestation and Degradation (REDD)

is new mechanism, but still under development, with particular is new mechanism, but still under development, with particular interest for countries with tropical forests (Indonesia, Cameroun, interest for countries with tropical forests (Indonesia, Cameroun, Brazil etc.) and with possibilities for generating incomeBrazil etc.) and with possibilities for generating income



Carbon Credits and credit cash flow, some key issuesCarbon Credits and credit cash flow, some key issues: :

heatheat

electricityelectricitydebtdebt

equityequity

COCO22 reductions reductions

• carbon credits:carbon credits:

– enhancing return on equityenhancing return on equity

– reducing debt leveragereducing debt leverage• comfort for lenders (investors, banks)comfort for lenders (investors, banks)

– supporting debt service with carbon cash flowssupporting debt service with carbon cash flows

– securitising with ERPAsecuritising with ERPA



Financial assessment: the basics (1)Financial assessment: the basics (1)

The purpose of financial assessment is to obtain The purpose of financial assessment is to obtain

1)1)insight and understanding insight and understanding about your budget;about your budget;

2)2)Information about the Information about the profitabilityprofitability of your investment; of your investment;

3)3)Insight into the Insight into the financial risks financial risks of the projectof the project

Key parameter is the Internal Rate of Return (IRR). Key parameter is the Internal Rate of Return (IRR).

We need to understand the We need to understand the time-valuetime-value of money = a Rupia today is not the of money = a Rupia today is not the same as a Rupia after 10 yearssame as a Rupia after 10 years



Time-value of moneyTime-value of money

Financial assessment: the basics (2)Financial assessment: the basics (2)

One barrel of oil = 70 Euo = 110 Dollar = 1 million Rupia

year 1 2 3 4 5 6 7 8 9 10

Invest 1.000.000

If real price remains the same: how much money do you need now to buy one barrel after 10 years? Interest 15%

385.543 424.098 466.507 513.158 564.474 620.921 683.013 751.315 826.446 909.091 1.000.000

If real price increases by X% per year: how much money do need now to buy one barrel after 10 years? 15%

Money: 1.000.000 1.150.000 1.322.500 1.520.875 1.749.006 2.011.357 2.313.061 2.660.020 3.059.023 3.517.876 4.045.558

If real price increases by X% per year: how much money do need now to buy one barrel after 10 years? 5%

Money: 1.000.000 1.050.000 1.102.500 1.157.625 1.215.506 1.276.282 1.340.096 1.407.100 1.477.455 1.551.328 1.628.895

If real price increases by X% and interst rate is Y% per year: how much money do need now to buy one barrel after 10 years?

Money: 628.009 690.810 759.891 835.881 919.469 1.011.415 1.112.557 1.223.813 1.346.194 1.480.813 1.628.895



Case studiesCase studies

Case study 1: Renewable energy in agricultural company (Cyprus)Case study 1: Renewable energy in agricultural company (Cyprus)

Case study 2: Energy efficiency in Textile industry (Macedonia)Case study 2: Energy efficiency in Textile industry (Macedonia)

Case study 3: Landfill Gas Capture and Energy Generation (Indonesia)Case study 3: Landfill Gas Capture and Energy Generation (Indonesia)


Case 1: Renewable energy from wasteCase 1: Renewable energy from waste

Basic information:Basic information:The company is a The company is a animal farmanimal farmIts main production activities are Its main production activities are (i)(i)BreedingBreeding(ii)(ii)Waste managementWaste management(iii)(iii)Energy productionEnergy production


Case 1: Renewable energy from wasteCase 1: Renewable energy from waste

Biogas and electricity:Biogas and electricity:(i)(i)Biogas is produced in digesterBiogas is produced in digester(ii)(ii)Biogas is used in gas engine / Biogas is used in gas engine / CHP-installationCHP-installation(iii)(iii)CHP-installation produces CHP-installation produces electricity and heatelectricity and heat(iv)(iv)Heat is used for climate control Heat is used for climate control in breeding farmin breeding farm(v)(v)Electricity is supplied to public Electricity is supplied to public networknetwork

digesterdigester

CHPCHP

farmfarmPublic electricity networkPublic electricity network

biogasbiogas

Hot waterHot water

electricityelectricity

Diesel (10%)Diesel (10%)



Case 1 – waste-to-energy: input dataCase 1 – waste-to-energy: input data

Biogas / Energy Yield from InputBiogas / Energy Yield from Input

Substrate Substrate % Org. % Org. Input t/yrInput t/yr Biogas Yield m3/tBiogas Yield m3/t Total Biogas Yield per YearTotal Biogas Yield per Year Pig Manure 6 Pig Manure 6 51,000 51,000 22 22 1,122,000 m31,122,000 m3Dairy manure 6 Dairy manure 6 52,560 52,560 23 23 1,208,880 m31,208,880 m3

TotalTotal 103,650103,650 2,330,880 m32,330,880 m3Total per dayTotal per day 284 284 6,386 m3 6,386 m3

Notes:Notes:1 m3 of biogas can produce 6.0 KWh of Total Energy (Electrical and Thermal)1 m3 of biogas can produce 6.0 KWh of Total Energy (Electrical and Thermal)1 m3 of biogas can produce 2.0 KWh of electricity 1 m3 of biogas can produce 2.0 KWh of electricity



Case 1 – basic informationCase 1 – basic information

Combined Heat & Power principle:Combined Heat & Power principle:



Case 1 – basics of financial assessmentCase 1 – basics of financial assessment

Financial assessment:Financial assessment:

1)1)Must comprise Must comprise all financial parameters all financial parameters relevant to the projectrelevant to the project

2)2)Cost information Cost information on: equipment and civil structures, utilities (gas, water, on: equipment and civil structures, utilities (gas, water, electricity etc.)electricity etc.)

3)3)Must include Must include financingfinancing parameters (“how will you pay for the investments?”) parameters (“how will you pay for the investments?”)

4)4)Objective is to assess the Objective is to assess the revenuesrevenues and the and the financial risks financial risks of the investmentof the investment



Case 1 – basics of financial assessmentCase 1 – basics of financial assessment

Financial assessment:Financial assessment:

We make EXCEL sheet for financial analysis (EXERCISE)We make EXCEL sheet for financial analysis (EXERCISE)



Case 1 – approach of financial assessmentCase 1 – approach of financial assessment

Approach:Approach:

1)1)Collect prices of Collect prices of equipment, works and services equipment, works and services relevant to the project; validity relevant to the project; validity of prices; payment termsof prices; payment terms

2)2)Collect price information on input flows and output flows; make Collect price information on input flows and output flows; make price prognosisprice prognosis

3)3)Set-up EXCEL sheetSet-up EXCEL sheet

4)4)Make Make analysisanalysis of risks and price effects of risks and price effects


Case 1 – EXCEL - overviewCase 1 – EXCEL - overview

Organic Waste Digester

Investment Appraisal for the installation of anaerobic digestion

Variables Exchange rate 1,60 $/Euro

Discount rate 7,00%Select applicable

rate CER-income 10 Euro/CER

Period (years) 10

Investment amount € 1.950.000,00 CHP Units and Anaerobic Reactor and Electrical installation and groundwork,engineering

Investment second phase € 750.000,00

Year 0 1 2 3 4 5 6 7 8 9 10

Outflows

Investment Capital (initial) (2.700.000) - - - - - -

Capital Cost - (189.000) (189.000) (189.000) (189.000) (189.000) (189.000) (189.000) (189.000) (189.000) (189.000)

Replacement cost CHP - (47.074) (79.382) (94.613) (94.613) (94.613) (94.613) (94.613) (94.613) (94.613) (94.613)

Maintenance (1) - (58.968) (140.873) (163.811) (163.811) (163.811) (163.811) (163.811) (163.811) (163.811) (163.811)

Diesel Costs (2)(3) - (36.303) (86.726) (100.847) (100.847) (100.847) (100.847) (100.847) (100.847) (100.847) (100.847)

Salaries - (34.200) (35.910) (37.706) (39.591) (41.570) (43.649) (45.831) (48.123) (50.529) (53.055)

General - (3.420) (3.591) (3.771) (3.959) (4.157) (4.365) (4.583) (4.812) (5.053) (5.306)

Total cash outflow (2.700.000) (368.965) (535.483) (589.747) (591.821) (593.998) (596.285) (598.685) (601.206) (603.853) (606.632)

Inflows

Electricity Sales (4)(5)(6) - 279.116 666.801 775.370 775.370 775.370 775.370 775.370 775.370 775.370 775.370

Income from Heating - 43.000 45.150 47.408 49.778 52.267 54.880 57.624 60.505 63.531 66.707

CARBON CREDITS 150.000 150.000 150.000 150.000 150.000 150.000 150.000 150.000 150.000 150.000

Tax Benefit 7Years Depr - 27.000 27.000 27.000 27.000 27.000 27.000 27.000 27.000 27.000 27.000

Tax Benefit on interest payment - 18.900 18.900 18.900 18.900 18.900 18.900 18.900 18.900 18.900 18.900 Total cash inflow - 518.016 907.851 1.018.678 1.021.048 1.023.537 1.026.151 1.028.895 1.031.776 1.034.801 1.037.978

Net Cash Flow (2.700.000) 149.051 372.368 428.931 429.227 429.539 429.866 430.209 430.570 430.948 431.346

Discount factor 1,00000 0,93458 0,87344 0,81630 0,76290 0,71299 0,66634 0,62275 0,58201 0,54393 0,50835

Discounted Value 7.014 (2.700.000) 139.300 325.240 350.135 327.456 306.255 286.438 267.913 250.595 234.407 219.274

(NPV=Total discounted values)

IRR 7%



Case 1 – EXCEL – input dataCase 1 – EXCEL – input data

1)1) Biogas production dataBiogas production data

2)2) Performance data from CHP-installation (IN: gas, OUT: heat, electricity)Performance data from CHP-installation (IN: gas, OUT: heat, electricity)

3)3) Life time of projectLife time of project

4)4) Cost of money (interest rate, non-islamic banking)Cost of money (interest rate, non-islamic banking)

5)5) Currency (import or domestic equipment)Currency (import or domestic equipment)

6)6) Prices of utilities (water, electricity, carbon credits etc.)Prices of utilities (water, electricity, carbon credits etc.)



Case 1 – exerciseCase 1 – exercise

Analysis of optimization of investment (GROUP WORK + PRESENTATION):Analysis of optimization of investment (GROUP WORK + PRESENTATION):

1)1)Which are the Which are the key factors key factors to increase the profitability of the investment project? to increase the profitability of the investment project? -on input sideon input side-on operational sideon operational side-on output sideon output side

2) Which (additional) risks can you identify if:2) Which (additional) risks can you identify if:-the project life time is 6 years instead of 10 years?the project life time is 6 years instead of 10 years?-the project life time is 15 years instead of 10 years?the project life time is 15 years instead of 10 years?(please look for internal risks (= inside of project) and external risks (= cannot be (please look for internal risks (= inside of project) and external risks (= cannot be influenced by project)influenced by project)


Case 2: Energy Efficiency in industryCase 2: Energy Efficiency in industry

Basic information: Basic information: Project Title: Energy Conservation Program at Tetex Textile Mill in TetovoProject Title: Energy Conservation Program at Tetex Textile Mill in Tetovo

Teteks (est. 1951) is a large, vertically integrated, wool textile manufacturer inTeteks (est. 1951) is a large, vertically integrated, wool textile manufacturer inTetovo, Macedonia. It employs 3,200 employeesTetovo, Macedonia. It employs 3,200 employees

Its main production processes are Its main production processes are 1,030 tons of yarn, 800,000 meters of fabric, 1,030 tons of yarn, 800,000 meters of fabric, 700,000700,000pieces for ready-made garments and 330,000 pieces for knitted apparel.pieces for ready-made garments and 330,000 pieces for knitted apparel.

The plant has The plant has two steam boilers and generates large quantities of steam for two steam boilers and generates large quantities of steam for both process and heating purposes (approximately 83,000 tons/year). The both process and heating purposes (approximately 83,000 tons/year). The Company paid approximately $1.37 million for heat and approximately Company paid approximately $1.37 million for heat and approximately $390,000 for electricity $390,000 for electricity (approximately 9,300 MWh)(approximately 9,300 MWh)



Case 2: continued…Case 2: continued…

Energy case:Energy case:

Purpose: to Purpose: to reduce costsreduce costs

Main object: Main object: two operating boilers two operating boilers that generate steamthat generate steam

EE option: tEE option: the coal-fired boiler has the capacity to generate 40 tons of steam he coal-fired boiler has the capacity to generate 40 tons of steam per hour (25-bar). The heavy oil-fired boiler has the capacity to generate 10-15 per hour (25-bar). The heavy oil-fired boiler has the capacity to generate 10-15 tons of steam per hour (7-bar). According to a past survey, however, both tons of steam per hour (7-bar). According to a past survey, however, both boilers were boilers were operating at a much lower capacity operating at a much lower capacity and generated only 18 tons of and generated only 18 tons of steam per hour (7-bar) in total.steam per hour (7-bar) in total.Heat consumption was 2.5 times higher in the winter than during the restHeat consumption was 2.5 times higher in the winter than during the restof the year.of the year.




Approach:Approach:

1) Feasibility study with assessment of options1) Feasibility study with assessment of options2) “Quick fix” measures (short pay-back period)2) “Quick fix” measures (short pay-back period)3) More advanced measures (medium or long pay-back period)3) More advanced measures (medium or long pay-back period)




Collect real data:Collect real data:

•Boiler combustion measurements were taken using a combustion analyzer.Boiler combustion measurements were taken using a combustion analyzer.•A thorough survey of the arrangement, sizing and insulation of the steamA thorough survey of the arrangement, sizing and insulation of the steamdistribution system was conducted to identify potential improvements.distribution system was conducted to identify potential improvements.•A steam trap survey was conducted to identify and quantify failures and leaks A steam trap survey was conducted to identify and quantify failures and leaks and explore how condensation recovery and heat transfer efficiency could be and explore how condensation recovery and heat transfer efficiency could be optimized.optimized.•Hot water systems were inspected to evaluate heat recovery opportunities and Hot water systems were inspected to evaluate heat recovery opportunities and identify physical requirements for making improvements.identify physical requirements for making improvements.•Plant equipment was inspected to assess energy efficiency. Opportunities for Plant equipment was inspected to assess energy efficiency. Opportunities for consolidation to improve efficiency were identified and discussed with consolidation to improve efficiency were identified and discussed with production managers.production managers.




• The condition and thickness of building insulation and weatherproofing were The condition and thickness of building insulation and weatherproofing were inspected. A general lack of building insulation was inspected. A general lack of building insulation was noted. Numerous noted. Numerous openings in doors and windows were also observed.openings in doors and windows were also observed.

• Steam, air and water leak detection and maintenance practices were Steam, air and water leak detection and maintenance practices were assessed. assessed.

• The tracking and management system by which Teteks monitors and The tracking and management system by which Teteks monitors and controls controls energy use was assessed.energy use was assessed.




Key information from study: Teteks consumes 83,143 tons of steam perKey information from study: Teteks consumes 83,143 tons of steam peryear and 9,271 MWh of electricity in 2001. Steam represented approximately year and 9,271 MWh of electricity in 2001. Steam represented approximately 60% of the total energy consumption per year while electricity consumption 60% of the total energy consumption per year while electricity consumption amounted to 35%. Compressed air made up the remaining five percent.amounted to 35%. Compressed air made up the remaining five percent.(-> set priorities!)(-> set priorities!)

Based on the results, it were recommended several Based on the results, it were recommended several low and medium cost low and medium cost measures, as well as a few high cost measures. These measures required a measures, as well as a few high cost measures. These measures required a total investment outlay of $1,587,000 with a simple total investment outlay of $1,587,000 with a simple payback period payback period of of approximately 24 months generating an annual cost savings of $772,683.approximately 24 months generating an annual cost savings of $772,683.




Results: see paperResults: see paper

•Awareness increasedAwareness increased•All management levels involvedAll management levels involved•Reduction of operational roomReduction of operational room•Management strategy is required Management strategy is required




CO2-reduction:CO2-reduction:

In In addition addition to these cost savings, environmental benefits were also generated.to these cost savings, environmental benefits were also generated.Implementation of the improvement measures reduce carbon dioxide emissions Implementation of the improvement measures reduce carbon dioxide emissions by by 20,000 tons per year20,000 tons per year

•Kyoto-period (2008-2012) allows trading of Carbon CreditsKyoto-period (2008-2012) allows trading of Carbon Credits•If all measures are implemented in 2008, 4 years of Carbon Credits can be If all measures are implemented in 2008, 4 years of Carbon Credits can be produced, approx. 80,000 creditsproduced, approx. 80,000 credits•Price of Price of Carbon Credits is approx.12-15 eurosCarbon Credits is approx.12-15 euros

Therefore, the value of the emissions reduction equals to approx. 1 million euroTherefore, the value of the emissions reduction equals to approx. 1 million euro



Case 3: Landfill gas capture and energy generationCase 3: Landfill gas capture and energy generation

Basic information:Basic information:

The landfill is an existing one with some parts not in operation and some parts The landfill is an existing one with some parts not in operation and some parts where waste is disposedwhere waste is disposed

•The landfill was started 8 years agoThe landfill was started 8 years ago•The landfill needs re-structuring (by shape and by organisation)The landfill needs re-structuring (by shape and by organisation)•Waste amounts are expected to increase during 2008-2012Waste amounts are expected to increase during 2008-2012•The upgrading plan foresees the construction of gas wells, flare, processing The upgrading plan foresees the construction of gas wells, flare, processing unit and generation of electricityunit and generation of electricity

Case study will define, calculate and assess the costs and benefits of the Case study will define, calculate and assess the costs and benefits of the envisaged investment and the operations envisaged investment and the operations



Case 3: the current pictureCase 3: the current picture



Case 3: the current picture, continued…Case 3: the current picture, continued…



Case 3: the current picture, continued…Case 3: the current picture, continued…



Case 3: the future pictureCase 3: the future picture



Case 3: the future picture, continued…Case 3: the future picture, continued…










Case 3: Methane (1)Case 3: Methane (1)

Methane Sources are:Methane Sources are:• Oil & gas industry (45%)Oil & gas industry (45%)• Waste sector (25%)Waste sector (25%)• Agriculture (20%)Agriculture (20%)• Natural sources (10%)Natural sources (10%)

Molecular structureMolecular structure

Chemical formulaChemical formula



Methane characteristics:Methane characteristics:• Odourless gasOdourless gas• Invisible gasInvisible gas• Very explosive (@ 5-15 vol% with air)Very explosive (@ 5-15 vol% with air)• High energy content (38 MJ/NmHigh energy content (38 MJ/Nm33))• Non toxicNon toxic• Pure, no contaminantsPure, no contaminants• Global warming potential = 21Global warming potential = 21

• Nm3 = one cubic meter at standard conditions of 0 Nm3 = one cubic meter at standard conditions of 0 ooC (273 C (273 ooK)and 1 atmosphere pressure (10K)and 1 atmosphere pressure (1055 Pa) Pa)• Energy content is defined as higher or lower thermal valueEnergy content is defined as higher or lower thermal value

Question: why is possible that we are able to smell landfill gas? Question: why is possible that we are able to smell landfill gas?



Methane is very important reason for Global WarmingMethane is very important reason for Global Warming



Case 3: Global Warming PotentialCase 3: Global Warming Potential

Global warming potentialGlobal warming potential (GWP) is a measure of how much a (GWP) is a measure of how much a given mass of greenhouse gas is estimated to contribute to given mass of greenhouse gas is estimated to contribute to global warming. It is a relative scale which compares the gas global warming. It is a relative scale which compares the gas in question to that of the same mass of carbon dioxide (whose in question to that of the same mass of carbon dioxide (whose GWP is by definition 1). GWP is by definition 1).

A GWP is calculated over a specific time interval and the value of A GWP is calculated over a specific time interval and the value of this must be stated whenever a GWP is quoted or else the this must be stated whenever a GWP is quoted or else the value is meaningless.value is meaningless.

Carbon dioxide has a GWP of exactly 1 (since it is the baseline Carbon dioxide has a GWP of exactly 1 (since it is the baseline unit to which all other greenhouse gases are compared).unit to which all other greenhouse gases are compared).

Methane has a GWP of 21Methane has a GWP of 21



Case 3: Landfill gasCase 3: Landfill gas

Landfill gas characteristics:Landfill gas characteristics:• Smelly gasSmelly gas• Invisible gasInvisible gas• Very explosive (@ 10-30 vol% with air)Very explosive (@ 10-30 vol% with air)• High energy content (18-20 MJ/NmHigh energy content (18-20 MJ/Nm33))

• Main components are CHMain components are CH44, CO, CO22, N, N22, H, H22S and organic compoundsS and organic compounds• ToxicToxic• It contains contaminantsIt contains contaminants



Case 3: Landfill gas capture and energy generation, continued…Case 3: Landfill gas capture and energy generation, continued…

Basic calculation:Basic calculation:

The landfill is an existing one with some parts not in operation and some parts The landfill is an existing one with some parts not in operation and some parts where waste is disposedwhere waste is disposed

•The landfill was started 8 years agoThe landfill was started 8 years ago•The landfill needs re-structuring (by shape and by organisation)The landfill needs re-structuring (by shape and by organisation)•Waste amounts are expected to increase during 2008-2012Waste amounts are expected to increase during 2008-2012•The upgrading plan foresees the construction of gas wells, flare, processing The upgrading plan foresees the construction of gas wells, flare, processing unit and generation of electricityunit and generation of electricity

Case study will define, calculate and assess the costs and benefits of the Case study will define, calculate and assess the costs and benefits of the envisaged investment and the operations envisaged investment and the operations



Case 3: Landfill gas capture and energy generationCase 3: Landfill gas capture and energy generation

Basic information, more facts:Basic information, more facts:

•Release of methane (landfill gas) has been observed Release of methane (landfill gas) has been observed •There is insufficient structure in landfill activitiesThere is insufficient structure in landfill activities•Approx. 50 people live near or on top of the landfillApprox. 50 people live near or on top of the landfill

Define the immediate problems Define the immediate problems which you have and present which you have and present approach to approach to preparing preparing landfill gas extraction project (SHORT GROUP WORK) landfill gas extraction project (SHORT GROUP WORK)

Make 3-4 bullet point for each questionMake 3-4 bullet point for each question



Case 3: The value of landfill gasCase 3: The value of landfill gas

Basic information, key data:Basic information, key data:

•Weight of methane: 0.72 kg/NmWeight of methane: 0.72 kg/Nm33

•Global warming potential = 21Global warming potential = 21•Landfill gas: high energy content (18-20 MJ/NmLandfill gas: high energy content (18-20 MJ/Nm33) – 50% of landfill gas = CH4) – 50% of landfill gas = CH4•Calculated production of landfill gas = 50 NmCalculated production of landfill gas = 50 Nm33 p per hourer hour•Landfill gas equipment will be operational during 8,000 hours per yearLandfill gas equipment will be operational during 8,000 hours per year•Landfill gas is utilized by gas engine for producing electricity (efficiency = 35% Landfill gas is utilized by gas engine for producing electricity (efficiency = 35% from gas to electricity)from gas to electricity)•Energy conversion: 1 MJ = 0.27 kWh Energy conversion: 1 MJ = 0.27 kWh •Value of Carbon Credit = 9 EuroValue of Carbon Credit = 9 EuroExercise:Exercise:1.1.How much of global warming potential is achieved per year? (express in tonnes) How much of global warming potential is achieved per year? (express in tonnes) 2.2.How much electricty is produced per year? (express in MWh)How much electricty is produced per year? (express in MWh)3.3.How much is value of emissions reduction per year? (express in Euro)How much is value of emissions reduction per year? (express in Euro)


Biogas production is calculated at 50 Nm3/h Number of hours = 8,600 hours per year (simplified)=> 50 x 8,600 = 430,000 Nm3 biogas per yearMethane content of biogas = 50% of volume=> 0.50 x 430,000 = 215,000 Nm3 CH4/yearWeight of methane gas = 0.72 kg/Nm3 => 0.72 x 215,000 = 154,000 kg CH4/year = 154 ton CH4/yearGWP of Methane = 21 ton CO2-equivalent per ton CH4=> 21 x 154 = 3250.8 ton CO2-equivalent Number of operational hours = 8,000 per year (600 hours for maintenance)Emission Reduction = 8000 hours/8600 hours x 3250.8 = 3,024 ton CO2-

equivalent Remains: 3250.8 -/- 3024 = 226.8 ton CO2-equivalent

Exercise: calculate value of landfill gasExercise: calculate value of landfill gas


Electricity:Biogas production is calculated at 50 Nm3/h Number of operational hours = 8,000 per year => 50 x 8,000 = 400,000 Nm3/year => the gas goes to gas engineEnergy content of landfill gas = 20 MJ/Nm3 => Energy production: 20 x 400,000 = 8,000,000 MJ/yearEfficiency of gas engine = 35% => 8,000,000 x 0.35= 2,800,000 MJ/year electricity productionConversion factor = 0.27 kWh/MJ => 0.27 x 2,800,000 = 756,000 kWh/year = 756 MWh/year

Price of kWh = 500 Rp/kWh => 378,000,000 Rp/year = 35,000 Euro/yearCER = 3024/year x 9 euro = 27,216 Euro/year

Exercise: calculate value of landfill gasExercise: calculate value of landfill gas

Documents

7 – Case studies in Solid Waste Management Introduction to Climate Change Wim Maaskant BGP Engineers – The Netherlands