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Cogeneration Public Hearings

Cogeneration Public Hearings. An embedded cogenerators response Andrew Carr +27 82 339 3887. Embedded Cogenerators. Large industrial players smelters, pulp and paper mills, refineries, steel producers, chemical plants, large mining houses, etc. Smaller industrial players:

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Cogeneration Public Hearings

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  1. Cogeneration Public Hearings An embedded cogenerators response Andrew Carr +27 82 339 3887

  2. Embedded Cogenerators • Large industrial players • smelters, pulp and paper mills, refineries, steel producers, chemical plants, large mining houses, etc. • Smaller industrial players: • Niche plastic and chemical producers, hospitals, prisons, manufacturing processes, agro-processing, confectionary producers, independent miners, etc.

  3. Advantages of Cogeneration • High energy efficiency • No/little need for new transmission infrastructure • Quick implementation for many projects • High capacity factors • Typically electricity is produced where it is consumed • Competitive space developed by private sector

  4. Industrial Cogenerators Net Importer Net Exporter

  5. Industrial Cogenerators Net Importer Net Exporter

  6. Creating an Enabling Environment • The Industrial Sector needs support to develop cogeneration projects; two important typical incentives; • Power Purchase Agreements (PPAs) through Procurement Programme • Capital Incentives for Cogeneration/ Energy Efficiency Projects • These two enablers each enhance the viability of cogeneration projects

  7. Typical Cogeneration Incentives

  8. Match Cogenerator with Incentive

  9. Capital Incentives needed for the embedded cogenerators! • The entity typically sees electricity as non-core, and a business threat • A capital incentive programmewill accelerate efficient cogeneration from private sector • No power purchase agreement (PPA) involved, as power is used on-site • No impact on the grid • These projects represent Demand Side Management (DSM) or Integrated Demand Management (IDM) projects, and alleviate the already overburdened grid

  10. Capital Incentives for the embedded co-generators • ESKOM have an existing Integrated Demand Management (IDM) Programme • Has enabled a few Cogenerator Projects • Reported that these ESKOM IDM initiatives have been suspended by ESKOM and/or NERSA due to funding constraints. • Severe blow to the embedded cogenerator potential • Accelerate the Reinstatement of the Capital Incentive Scheme to realise Cogeneration in this sector

  11. Benefits of a typical Embedded Cogenerator Project An ESKOM IDM Sponsored Project

  12. Results of an Embedded Cogenerator • Up to 6.4MWe will be generated equating to approximately 47 803MWh per year or 3 983MWh per month of cogeneration • Indication of the electricity produced due to “cogeneration” over a typical 24 hour are shown below. Kilowatts electrical 24 Hours

  13. Some Key Benefits From This Project • This project has contributed and contributed favourably to the Sustainable Development of its region • Increased job opportunities in an Industrial center • Transfer of specialist technology and economic growth into the Industrial center. • Combating of climate change by reductions in carbon emissions and water consumption. • Alleviated Transmission and Distribution Constraints

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