From coal to biomass: Electrabel's world premiere
Biomass, the oldest form of renewable energy, has been used for thousands of years. However, its relative share of use has declined with the emergence of fossil fuels. In 2002, the Belgian utility Electrabel decided to convert a 50-year old coal-fired power plant into one firing only biomass, thereby becoming a pioneer in large-scale bioenergy production. The World Business Council for Sustainable Development has an interesting overview [*.pdf] of this project. The case-study is of interest to the Biopact because Electrabel's Les Awirs plant imports biomass from all over the world, developing countries included. The development of this industry promises to open a world market for large-scale biomass trade, in which the global South stands to play a key role.
Currently some 13% of the world’s primary energy supply is covered by biomass. With environmental effects such as climate change coming to the forefront, people everywhere are rediscovering the advantages of biomass. Potential benefits include:
Based in Belgium, Electrabel, 98.62% owned by French giant SUEZ, Electrabel had 15,794 employees and revenues of € 12.2 billion (US$ 15.5 billion) in 2005. All of Electrabel’s strategic decisions take full account of environmental protection and sustainable development. In converting the coal-fired plant in Les Awirs into one firing only biomass, Electrabel aims to:
In Les Awirs, near Liège in Belgium, Electrabel has retrofitted a pulverised coal power plant for using biomass as its sole fuel. This biomass is made up of pelletized wood dust that is again pulverised at the power plant. This method of producing electricity is a world premiere.
The production process comprises: production and supply of wood pellets, grinding these into wood dust on site and burning the wood dust using dedicated burners in the former pulverised coal boiler:
biomass :: bioenergy :: biofuels :: energy :: sustainability :: trade :: pellets :: wood :: coal :: developing world ::
The biomass used is recycled forestry/wood conversion waste which otherwise would be lost and create useless greenhouse gas (GHG) emissions.
The biomass used in the plant comes from producers worldwide, but with a particular focus on local Belgian production in order to avoid transportation costs and environmental burden.
Results
The modification of this site has had a substantial impact on the surrounding communities and those involved in supplying the plant with wood pellets. It has:
-Created direct (local) employment on site for at least 10 years (duration for the grant of green certificates);
-Created indirect employment and economic development (forestry, wood pellets producer, shipping companies);
-Improved the quality of the local environment by reducing emissions in the air and road traffic required for waste product disposal;
-Recycled an industrial site, thereby maintaining local electricity production and creating the option to supply green electricity;
-Recycled the residual products from forestry, up to 350,000 metric tons per year;
-Avoided CO2 emissions of around 500,000 metric tons per year;
-Saved some 280,000 metric tons of coal annually;
-Added additional products to the company’s portfolio available to about 200,000 household customers (green electricity) while enhancing the company’s image (creating “goodwill”).
The plant has a net electric efficiency of 34% and is not a cogeneration plant that would have required getting access to a potential customer for the residual heat.
The market price of wood pellets today is about € 130/ton which makes it comparable to natural gas, but twice as expensive as coal.
Article continues
Currently some 13% of the world’s primary energy supply is covered by biomass. With environmental effects such as climate change coming to the forefront, people everywhere are rediscovering the advantages of biomass. Potential benefits include:
- Reducing fossil carbon emissions if managed (produced, transported, used) in a sustainable manner;
- Enhancing energy security by diversifying energy sources and utilizing local resources;
- Providing additional revenues for the agricultural and forestry sectors;
- Reducing waste (see the World Business Council for Sustainable Development. Biomass Issue Brief 2006)
Based in Belgium, Electrabel, 98.62% owned by French giant SUEZ, Electrabel had 15,794 employees and revenues of € 12.2 billion (US$ 15.5 billion) in 2005. All of Electrabel’s strategic decisions take full account of environmental protection and sustainable development. In converting the coal-fired plant in Les Awirs into one firing only biomass, Electrabel aims to:
- Manage its carbon dioxide emissions;
- Encourage the production of electricity from renewable energy sources;
- Obtain 300,000 green certificates that allow Electrabel to fulfill the obligation established by the Walloon Region and avoid paying penalties of some € 100 per lacking green MWh;
- Create the possibility of offering customers green electricity;
- Recycle the residual raw materials from forestry (the cultivation of forest trees for timber or other purposes);
- Diversify the fuels used to supply energy;
- Save fossil fuel reserves;
- Increase the share of green electricity from 15% to 18% within Electrabel Group.
In Les Awirs, near Liège in Belgium, Electrabel has retrofitted a pulverised coal power plant for using biomass as its sole fuel. This biomass is made up of pelletized wood dust that is again pulverised at the power plant. This method of producing electricity is a world premiere.
The production process comprises: production and supply of wood pellets, grinding these into wood dust on site and burning the wood dust using dedicated burners in the former pulverised coal boiler:
biomass :: bioenergy :: biofuels :: energy :: sustainability :: trade :: pellets :: wood :: coal :: developing world ::
The biomass used is recycled forestry/wood conversion waste which otherwise would be lost and create useless greenhouse gas (GHG) emissions.
The biomass used in the plant comes from producers worldwide, but with a particular focus on local Belgian production in order to avoid transportation costs and environmental burden.
Results
The modification of this site has had a substantial impact on the surrounding communities and those involved in supplying the plant with wood pellets. It has:
-Created direct (local) employment on site for at least 10 years (duration for the grant of green certificates);
-Created indirect employment and economic development (forestry, wood pellets producer, shipping companies);
-Improved the quality of the local environment by reducing emissions in the air and road traffic required for waste product disposal;
-Recycled an industrial site, thereby maintaining local electricity production and creating the option to supply green electricity;
-Recycled the residual products from forestry, up to 350,000 metric tons per year;
-Avoided CO2 emissions of around 500,000 metric tons per year;
-Saved some 280,000 metric tons of coal annually;
-Added additional products to the company’s portfolio available to about 200,000 household customers (green electricity) while enhancing the company’s image (creating “goodwill”).
The plant has a net electric efficiency of 34% and is not a cogeneration plant that would have required getting access to a potential customer for the residual heat.
The market price of wood pellets today is about € 130/ton which makes it comparable to natural gas, but twice as expensive as coal.
Article continues
Thursday, November 16, 2006
Wade tells oil firms in Africa to share wealth, or face expulsion
Oil companies operating in Africa must plough part of their oil profits into fighting poverty there or risk being expelled from the continent by unrest and turmoil fuelled by inequality, Senegal's president said. Violent situations like the one in the Niger Delta, where oil is pumped up in huge quantities, but where local people live in dire poverty, might spread to other regions in Africa if oil companies don't change their approach to exploiting the resource.
Furthermore, Wade insisted that it was "indecent, immoral" that oil majors should be raking in multi-billion dollar profits from higher oil prices while poor, oil-importing African states saw their own energy bills increase by tens of millions of dollars. Developing country economies are energy intensive and very sensitive to rising fossil fuel prices.
The 'Wade Formula'
The Senegalese leader told a recent news conference he was proposing a formula -- the "Wade Formula" -- to distribute oil profits more equitably between oil companies, African oil-producing countries and non-oil producing states on the world's poorest continent. Earlier, Wade surprised many by announcing the creation of a 'Green OPEC', aimed at promoting biofuels and bioenergy in non-oil producing African countries. One of the ideas behind the project is to create a mechanism through which African oil producing countries invest in biofuels in non-oil producing states on the continent (earlier post).
Talking about the social sustainability of oil production as being the key to energy security, Wade thinks "we can create a system where everyone wins". Facing an energy crunch in oil-importing Senegal where summer power cuts have badly hit economic activity and home consumers, the President presented his plan last month in the United States to executives of Chevron and Exxon Mobil, which have extensive operations in sub-Saharan Africa.
He said he warned them about the dangers of ignoring poverty in Africa, while reaping huge profits from its oil. "I said to the oilmen, you're free to carry on like that if you want. But in the long term, you'll be expelled from Africa," Wade said.
The Senegalese president said the societies of some African oil producers were already showing signs of violent rejection of energy companies which failed to sufficiently share the profits of oil. "It's started, bit by bit it will spread," he added:
biofuels :: energy :: sustainability :: energy security :: oil :: poverty :: social justice :: social sustainability :: Africa ::
He gave no examples, but communities in Nigeria's oil-rich Niger delta have stepped up attacks and kidnappings targeting foreign oil firms and their staff, as part of a campaign to try to gain more benefits from oil production.
Wade said the U.S. oil executives had accepted his argument and were willing to see how more could be done to fight poverty in Africa, using its oil.
Strategic infrastructures
He said the continent also needed massive investments in big strategic infrastructure projects, such as a plan for a trans-continental railway linking Johannesburg in South Africa to Dakar in Senegal on Africa's northwest coast.
Other similar projects contemplated included a road and rail link stretching from Dakar in the west to Djibouti in the eastern Horn or Africa.
"The world has the means to do it, our partners have the means to do it," Wade said, saying the United States had completed such trans-continental rail projects across its own huge territory in the 19th century.
Recently, the European Union, the largest donor to Africa, launched a €5 billion fund for infrastructure development in Africa, recognizing that rail, road, waterways, ports, harbors and energy infrastructures are key to help the continent lifting itself out of poverty (earlier post).
Lauding China's approach to mutual development
Wade also urged governments in Africa not to view the growing political and economic competition for the continent's trade and resources between China and the West as a threat, but as an opportunity to reap material benefits for their countries.
He rejected comparisons with the Cold War battle over Africa in past decades between United States and the former Soviet Union, which spawned several proxy wars on the continent.
"Nobody's playing that game anymore," he said, adding that commercial competition in Africa between the West and China was positive. "It's up to Africa to manage that," Wade said.
He praised what he called China's global, multi-faceted approach to trade and cooperation which he said was based on non-interference in domestic affairs and mutual benefit.
Asked about criticism that China turned a blind eye to bad government, corruption and human rights in its growing relations with Africa, Wade said he opposed human rights violations.
But he added: "That polemic is one thing, and our economic relation with China is another".
More information:
Daily Nation (subscription), (Kenya): Oil firms told to fight poverty - Nov 15, 2006
Reuters: Senegal's Wade wants fairer oil share-out in Africa - Nov 14, 2006
Business Report: Fund Africa's poor or face expulsion, oil firms told - South Africa - Nov 14, 2006
Article continues
posted by Biopact team at 10:28 PM 0 comments links to this post