1 / 31

Federal Environmental Symposium East June 18, 2009

Federal Environmental Symposium East June 18, 2009. Ed Gee, Chair, Interagency Woody Biomass Utilization Group, USDA Forest Service, Washington, DC. Development of a Federal Bioenergy Facility in Using Woody Biomass. Overview Background Barriers & Challenges Criteria for success

berny
Download Presentation

Federal Environmental Symposium East June 18, 2009

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Federal Environmental Symposium EastJune 18, 2009 Ed Gee, Chair, Interagency Woody Biomass Utilization Group, USDA Forest Service, Washington, DC

  2. Development of a Federal Bioenergy Facility in Using Woody Biomass • Overview • Background • Barriers & Challenges • Criteria for success • The next steps involved in successfully implementing a federal bioenergy facility.

  3. ... to sustain the health, diversity, and productivity of the nation’s forests and grasslands to meet the needs of present and future generations ...

  4. Shift from commodity production to restoration of ecosystem function and resiliency while at the same time • A decade long drought in the West • A multi-decade increase in the forest density and increased incidents of fire, insects and disease • An expansion of residential developments into forests • Growing concern over the effects of climate change on forests

  5. National Fire Plan

  6. Putting towns at risk and damaging watersheds

  7. Buffalo Creek Fire - 1996 In 1996, the Buffalo Creek Fire in Colorado did major damage to Denver’s water supply, with one storm dumping more than 300,000 cubic yards of soil into the Strontia Springs Reservoir, causing millions of dollars of damage. (And killing two people)

  8. Forest growth greatly exceeds removals on NFS lands in the Interior West When net forest growth exceeds removals, live biomass is increasing

  9. When dense forests combine with extended drought, the ecological stress sets the stage for increased insect epidemics and wildfire Western Pine Bark Beetle Damage -- Prescott National Forest, Arizona

  10. We can decrease the effect of drought, pests, and wildfires • Strategically placing these bioenergy facilities in areas close to the raw material • Decrease the many large fires that are in diseased and drought-stressed forests.

  11. For most of human history, renewables were predominant energy sources. • Biomass, Water, Wind, Solar, Geothermal

  12. Energy market shares of renewables declined sharply during 19th and 20th centuries while total energy production grew rapidly.

  13. The Role of Renewable Energy Consumption in the Nation’s Energy Supply, 2008

  14. National Renewable Energy Goals Adapted from BR&Di – Biomass Research & Development Initiative

  15. Key Recent Development • Growing concern about unintended consequences of using food crops to produce biofuels. • Focus of US biomass energy policy has started to shift away from corn-ethanol toward “ligno-cellulosic” feedstocks.

  16. Today, there is a resurgence of interest in renewables. • Oil Prices • National Security • Climate Change • Agriculture Policy

  17. Wood is an obvious feedstock choice for biomass energy in some regions.

  18. Concept Private sector firms 16 Energy Savings Contractors- design, construct, and operate power plants Federal, State, Tribal and private-owned forests provide wood residues RTOs manage dedicated green energy markets for federal agencies Federal agencies purchase the green energy Government Private Sector Government

  19. Private Sector Developer 2 -3 Years 1 Year Development Stage Financing Negotiations Close Feasibility Study Staffing Site PPA Fuel O&M Design Government • Establish agreement with RTO • RTO to create dedicated wholesale green energy market for the government • Engineering review of developer’s plans • Negotiate PPAs with federal agencies

  20. Private Sector Developer 2 – 3 Years 10 – 30 Years < 1 Year Commercial Operations Construction Phase Provisional Acceptance Start-up, testing Site Work Final Acceptance Fabrication, erection, etc Punch List Shakedown Government • Continued development of PPAs with federal agencies

  21. Government Sector Functions • Strategic Planning • Establish MOUs with federal agencies as needed • Identify new projects • Project Management and Facilitation • Identify biomass resources and broker their acquisition • Provide list of potential federal green energy buyers • Conduct independent Power Plant design engineering review • Conduct System analysis and modeling, i.e. Supply-Generation-Transmission-Sale

  22. Private Sector Functions • Design/Construction Firm • Overall Project Owner • Feasibility Study • Legal Review • Project Risk Management • Permitting • Land acquisition • Site analysis/planning/development • Plant design • Construction • Operation

  23. Barriers • Supply Chain – Feedstock • Fear of over-scale and non-sustainability • Transportation costs • Economic resources for start-up • Lifecycle analysis vs capitalization costs • Mixed support from legislative branch

  24. Challenges • Competing priorities of appropriated funds • Climate change • Wildfire suppression • Forest health restoration • Providing green jobs • Economic resources • Socio-political support

  25. Criteria for Success • Social licensing • Reliable and predictable supply of woody biomass • Transportation network • Close proximity to transmission lines/substations • Financial support • Power purchase agreement

  26. The Next Steps Involved in Successfully Implementing a Federal Bioenergy Facility • Developing a strong federal partnership with DOE-Federal Energy Mgmt Program – 16 ESCO’s • Secure the geographical location – vertical alignment • Use ESCO/traditional financial venture • Pre-feasibility study • Assurance of feedstock supply – stewardship contracting • Construction of bioenergy facility-thermal and CHP • Power Purchase Agreement • Monitor pilot bioenergy projects

  27. Cost efficiency and potential savings of various sources to generate thermal energy. • Source Price Unit MMBtu/unit $/MMBtu Commerical Residential • Wood Chips $ 40 grn ton 10.1 $6.09 $27,525 n/a • Wood Pellets$ 160 ton 16.4 $12.20 $67,805 $1,153 • Cordwood $ 175 cord 19.5 $12.82 $62,372 $1,060 • Natural Gas $ 1.05 therm 0.1 $13.13 $72,975 $1,241 • Heating Oil $ 2.95 gallon 0.139 $28.30 $147,500 $2,508 • Propane $ 2.10 gallon 0.0905 $29.01 $161,271 $2,742

  28. Key Concepts to Advocate: • The government doesn't just dictate to the public but leads by example. • The 'example' includes demonstrating how to advance 2 important sustainability principals, i.e.residual/waste minimization and generation of green energy. • It also includes use of the latest and cleanest resource-to-energy technologies - many of which were developed with government funds.

  29. Accomplishment’s with Bioenergy Facilities • Meeting Executive Order 13423 • Decreasing fossil fuel dependency • Decreasing wildfires through hazardous fuel reduction • Decreasing thermal and CHP costs • Decreasing GHG through wood substitution • Decreasing our CO2 emissions - climate change • Increasing Forest Health Restoration • Increasing National Security

  30. Thank You Q&A’s

More Related