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Market Development of Biogas in Germany: Experiences and Success Factors

Market Development of Biogas in Germany: Experiences and Success Factors . Dr. Wolfgang Tentscher , Senior Energy Consultant. Market Development of Biogas in Germany: Experiences and Success Factors . Dr. Wolfgang Tentscher , Senior Energy Consultant. Biogas in Germany

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Market Development of Biogas in Germany: Experiences and Success Factors

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  1. Market Development of Biogas in Germany: Experiences and Success Factors • Dr. Wolfgang Tentscher, Senior Energy Consultant

  2. Market Development of Biogas in Germany: Experiences and Success Factors • Dr. Wolfgang Tentscher, Senior Energy Consultant

  3. Biogas in Germany • Cooperation options • Feasibility and operational costs • CHP or engine-generator-set • Digestate, comparative income • Conclusion • Content

  4. Biogas in Germany • Agricultural Biogas in Germany developedoverabout 40 years • „The mountainmoved“ in 1990: firstfeed – in law (StrEG) withtariffsforinjectedrenewableelectricity • This law was completelychanged in 2000 (EEG) andamendedeverytwotofouryears after monitoringandevaluation. • Wenowcelebrate 23 yearsoffeed-in-tariff, amongthis 13 yearsof EEG. • Therearetworegulatingcircles: a) the legal circle b) theinsuranceandbankingcircle. Theytakecarefor environmental andcompensationalaffairs on onesideandforsafetyandservicelife on theotherside. • Chapter 1

  5. Chapter 1, Regulatingcircles

  6. Thereare 4 conditionswhichmakebiogas a success in Germany • Priorityaccessofthe BGP totheelectricalgrid • Priorityinjectionofrenewableelectricity • Priorityacceptanceofelectricity • Feed-in tariffstructure • Banks knowthevalueofbiogasandliketofinanceupto 80% loan. • Insurancesinsuretheriskoffailureand break down sincetheyknowthereliability • Chapter 1, Successstory in Germany

  7. Chapter 1, Development ofnumberand power in Germany Source: German Biogas Association

  8. The roleofthe GBA The roleofthe EBA • The German Biogas Associationiswith 4800 membersthestrongestassociation in Europe. • Itisspeakingwithonevoiceandlobbying in Germany for all topicsconcerningbiogas. • Chapter 1, Successstory in Germany • The European Biogas Associationisrepresentingthebiogasinterests in Brussels.

  9. Cooperation • Spare parts, implements, turn keyplants, design, engineering, projectdevelopment, approvalplanning. • Chapter 1, German companiesofferservices, seekingforcooperation Source of the map: AHK-paper: Market entry in Vietnam – opportunities and challenges

  10. Chapter 2, Cooperation Germany - Vietnam

  11. Income throughelectricity • Isitpossibletoreduce operational costby a factorof 4/11 or 64%? • Chapter 2, Cooperation Germany - Vietnam

  12. Options forcostreduction • Wages: 10 to 20% ofthose in Germany • Concreteasconstruction material: 50% ofthat in Germany? • Engine-generator-set insteadof CHP-unit • Innovative locallow-costmaterials: ? • Chapter 3, Feasibilityand operational cost Options forcombinedincomegeneration • Electricity:coverfarmconsumption, injectionoptions • Engine-generator-set only • Co-generation, CHP-heatin addition • Heatonly, forproductiveuse (drying, heating, steamgeneration) • Fertilizerin digestate, liquid or solid, composted, pelletized? Export?

  13. Chapter 3, Feasibilityand operational cost Source: Tentscher et.al. (2011): Master plan and road map of biogas in Jordan

  14. Simulation, Annuitymethod • Chapter 3, Feasibilityand operational cost Source: Tentscher et.al. (2011): Master plan and road map of biogas in Jordan

  15. CHP versus engine-generator-set • Engine-generator-set in piggery, Thailand, asynchr. generator, 25 kWel • 20-25 % electr. efficiency • MAN E 2842 LE 312, 345 kWel, withsynchronousgenerator • 40% electr. efficiency • Chapter 4, CHP orengine-jenerator-set

  16. Income throughfertilizerishigherthanelectricity • Chapter 5, Digestate, comparativespecificincome

  17. Chapter 5, Digestate, worldpriecesformineralfertilizers Source: World Bank

  18. In Vietnam, thereis high potential ofreducingoperatingcosts • a) due tothecheaplabourforceand • b) throughreducedinvestment, i.e., ifa large partofthebiogas plant ismanufacturedlocally. • Manufacturing optionsare an opportunityandchallengeforthose German companieswhoseekcooperation. More adviceisrequired. • Ifthevalueofthefertilizersisfullyactivatedeveryyear, incomethroughbiogasmaybedoubled. • Conclusion

  19. Born in Oct. 1946 in Germany • 1966: High-school • 1972: M.Eng. Food Technology, Sugar Technology, TU Berlin • 1973: M.Eng. Biotechnology, TU Berlin • 1992: Ph.D., Dr.agr., Justus Liebig University, Giessen • 1975-84: IPAT at TU Berlin andOekotop Ltd, Berlin, Consultant to GTZ • 1985-92: GTZ-biogas expert at AIT, Thailand • Expert stays in Thailand, China, Taiwan, Philippines, South Korea, North Korea, Nepal, India, Birma, Vietnam, Simbabwe, South Africa, Brasil, Peru, Costa Rica, Jamaica, Guatemala, Syria, Jordan, Ukraine, Belarus on behalf of GTZ, GIZ, FAO, ESCAP, UNIDO, KfW, BMZ, EBRD, municipalities, associations etc. • Background ofthespeaker:

  20. Manythanks

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