Renewable Energy Options for Leisure Centres

Michael Bell

Tipperary Energy Agency

3rd October 2013

• Which Renewable Energy Option

• Renewable Energy from Biomass

• Biomass Introduced

• Supply Chain

• Project Management Cycle for Biomass Heat Supply

• Specification of Systems

• Contract Options

• Case Studies of Completed Biomass Project in Leisure Centre

• Key Considerations with Biomass

• Renewable Heat from Heat Pumps

• Other Renewable Energy Options

Introduction

• Every site is unique, however there are some common energy patterns

Which Renewable Energy Option?

Nenagh Thurles -

500

1,000

1,500

2,000

2,500

Electrical (MWh)

Thermal (MWh)

En

erg

y C

on

sum

pti

on

(M

Wh

)

• 75% Thermal Energy Consumption & 61% cost (Average)

• Therefore target thermal renewable energy 1st (After Energy Efficiency)

• Thermal Energy from Renewable Energy Sources

• Biomass

• Wood Chip

• Wood Pellet

• Heat Pump

• Solar Thermal

• CHP

• Biomass has been the logical choice in Tipperary (off gas)

• Lowest Cost

• Proven Technology

• Typically the space is available

• Suited to retrofitting to high temperature systems

Which Renewable Energy Option?

• Two fuels:• Wood Chip and Wood Pellet

• Common Source

Introduction to Biomass

Renewable Energy from Biomass

Wood Chip Wood Pellet

  Chip (35% MC) Pellet (8%MC)kWh/tonne 3200 4800€/tonne 125 230

Supply Chain

Partnerships to Supply Heat

• Local wood energy businesses – adopting partnerships

• Feasibility Study & Supply Chain evaluation

• Project Specification

• Project Contract Structuring

• Project Procurement

• ITT Documentation

• Tender award criteria

• Evaluation

• Develop & Set Contract

• Project Implementation on site

• QA/QC!

• Contract management until heat supply has finished

• Procure heat supply contract for further period

Project Management Cycle for Biomass Heat Supply

• Biomass = several interlinked systems in one

• Expert skills required to fully integrate

• Correct structuring of contract is key to success

• Integrate supply of heat where possible to one point of responsibility

• Outline specification required for procurement stage when going for heat supply

• Risk assessment

Specification of Systems

• Thermal Store Size & Location

Specification of Systems

• Boiler Type Size & Location

• Fuel Delivery size & Type & supply chain evaluation

• Fuel Store & Delivery size & Type

Biomass Contract Options

• Separate Contracts for

• Design

• Supply

• Install

• Operate & Maintain

• Supply of Fuel

OR

• Contract to Supply, Install and supply all heat for period of 3 to 5 years, with subsequent contract options after initial heat supply contract finishes (Customer pays capital)

OR

• Contract to Supply, Install and supply all heat for period of 3 to 5 years, with subsequent contract options after initial heat supply contract finishes (ESCO pays capital)

OR ….. Etc

• Each situation is unique and should be evaluated on its own merits

Nenagh Biomass Boiler

Summary

Heat load in kWh 900,000

Biomass cost €42,903

Equivalent oil cost @80c/ litre €91,043

Saving €48,140

Capital Cost €203,165

SERVE EU Grant €80,000

CO2 Saving in Tonnes 207

Nenagh Biomass Boiler

With SERVE EU Grant AidSimple Payback in Years 2.610 Yr NPV €367,00010 Yr IRR 69% Without Grant AidSimple Payback in Years 4.210 Yr NPV €290,03510 Yr IRR 32%

Key Innovation• Contracts• Design Build Operate Contract• Contractor pays for all oil, maintenance, chip

etc.• Single heat supply contract fixed at 4.2c/kWh

for 3 years• All losses, breakdowns covered by contractor• Chip supplied locally.

Thurles Biomass Boiler

SummaryHeat load in kWh (Reducing) 1,500,000Biomass cost €47,000Equivalent LPG cost @55c/litre €115,000Saving €68,000Capital Cost €160,000DoTTS Grant €135,000CO2 Saving in Tonnes 400

Thurles Biomass Boiler

With DoTTS Grant AidSimple Payback in Months 610 Yr NPV €496,00010 Yr IRR 194% Without Grant AidSimple Payback in Months 3010 Yr NPV €377,03510 Yr IRR 59%

Key Considerations with Biomass

• Boiler integration with existing system

• Boiler, pipework & buffer & fuel store sizing

• Pump Control

• Building Energy Management System

• Operation and Maintenance

• Ensure competent personnel

• Supply of fuel

• Asses availability of fuel and level of competition in local market (Wood chip has a local 50km delivery radius)

• Fuel quality

• Fuel Delivery systems and stores

• Ensure systems can accept deliveries from all suppliers in region

• Contract structuring

• Ensure appropriate clauses are covered and structured in contract to cover all parties and enable a long-term sustainable supply of heat (economically & environmentally)

Proper project scoping, specification, procurement, contract & implementation will ensure success

Renewable Heat from Heat Pumps

• Heat Pumps (HP) are suited to low thermal differential situations

• EG: Pool water heating 29 Celsius is an ideal temperature for HP to supply at

• Heat Pumps can be either air source or ground source

• Coefficient of Performance (COP) depends on how well sized and integrated the HP is

• Fesible to supply large portion of Leisure Centre heat load with HP

Economics (simplified):

• Unit of Electricity = 0.15 €/kWh

• Seasonal COP = 3 (est) , thus heat price = 0.05 €/kWh

• Unit of Oil = 0.1€/kWh

• Efficiency = 85%, thus heat price = 0.11 €/kWh

• 55% saving heat pump vs oil (conservative)

Ballina Swimming Pool Case Study

• Open 4 months per annum (summer)

• Outdoor pool, previously unheated & unused

• Solution required to be

• Low maintenance

• Robust

• Suited to leaving switched off over winter

• Low operational cost

• Achieve pool temperature of 24 Celsius

• Options Considered

• Cover

• Solar

• Biomass

• Heat Pump (chosen)

Ballina Swimming Pool Case Study

• 2 x 22kW heat pumps to heat pool Include heat exchanger

• 1 x 9kW heat pump to heat DHW

• 1 x 500l DHW tank

• Aerated shower heads

• CAPEX = €48,000 ex VAT

• Contract structured at procurement stage to include 5 year maintenance

• Annual maintenance is not onerous

• Payback N/A (70% less than oil as system operated during summer with high air & pool temperature) (COP of 4.5)

Other Renewable Energy Options

• Thermal

• CHP – (Only in Natural Gas areas)

• Should always be sized to meet les than peak electrical demand & should be controlled to never dump heat.

• Note also maintenance agreements – look for performance & output based contracts – not run hours

• Solar thermal

• Electrical

• Wind

• CHP

• Solar Photovoltaic

Other Renewable Energy Options

• Wind

• Payback 5 to 20 years (lots of variables)

• Two in operation (at leisure centres)

• Some Considerations• Land Registry & Planning Application

Searches• Local authority zoning & development

plans• Planning & legislative constraints• Wind speed data• Location & selection of wind turbine• Energy & C02 emissions savings• Cost benefit analysis• Site Access• Grid Connection• Social Acceptance

Other Renewable Energy Options

• Solar Photovoltaic

• Cost

• Becoming feasible

Contacts

Tipperary Energy AgencyCraft GranaryChurch StCahir, Co. Tipperary

Michael BellSenior Energy EngineerT: 052 74 43090F: 052 74 43012E: mbell@tea.ie W: www.tea.ie

Thank you.