BOIS ENERGIE 2000

1

BOIS ENERGIE 2000 Lons-le-Saunier France March 30th April 2nd

Biomass and Cofiring experiences in Italy V. Bombelli

1.

ITALIAN ENERGY POLICY

Union Policy, in accordance with Kyoto Climate Change protocol 1 has set the target of the reduction of 8% of greenhouses gas by 2008-2012 compared to 1990.

The doubling of the share of the renewable energy sources from 6 % to 12 % of the EU’s gross inland energy consumption by 2010.2 represents the main tool to achieve the above target.

Moreover Council resolution 11 may 19983, accepting the above RES target, underline the importance and encourage the role of National and local polices for Effective RE market penetration.

The Italian policy, in accordance to Kyoto and UE Commitments and to the Italian White Paper 4, has set the target of the reduction of 6,5% of greenhouses gas by 2010 compared to 1990.

The reorganisation of the Electricity Sector has been set up in Italy in order to achieve the Internal Electricity Market harmonisation 5 and the effective RE market penetration6.

Milestone of this new energy assessment has been:

1

Kyoto Climate Change Protocol, December 1997

2

Commission White Paper on Renewable Energies COM (97) 599,26.11.97

3

Com (98) 353” Climate Change. Toward an EU post Kyoto Strategy”

4

Italian White Paper (National Conference for Energy and Environment 1998)

5

bases: Direttiva 19 dicembre 1996, n. 96/92/CE, del parlamento Europeo e del Consiglio GUCE 30 January 1997, nL 27 Norme Comuni per il mercato interno dell’energia elettrica, Agenda 21.

6

bases: Deliberazione CIPE 19 Novembre 1998. N.137/1998 Linee Guida per le politiche e misure Nazionali di riduzione delle emissioni di gas serra 1

2

The opening of the Electricity market to private producers: The measure CIP 6/92 stated a number of incentives for the power production from Renewables. 7 The compulsory Renewable Energy share from 2002: The electric energy producers(above 100 GWh) from conventional fossil fuels, in accordance to “Decree Law Bersani Art. 11” 8 are obliged from 2002 to put in the net a renewable energy share not below to 2% of the total energy produced, with the priority of use and delivery independent from the production place.

The Statement of the Green Certificate rights: The Ministry of Industry and the Ministry of Environment with a following decree (“RES decree - November 1999”)9, fixed the criteria of the fulfilment of the obligations of the previous decree.

In particular the decree states the certification rights of the renewable energy production and the green certificate bond, which energy unit value is valued in 100 MWh. The beginning of the Green Certificate negotiation : The organisation within the 1/1/2001 of a exchange market for green bonds negotiation is foreseen in accordance to RES decree.

The deregulation of the Electricity Market and the opening of the Green Certificate exchange market force the set up of Renewable Energy Actors.

Those RE Actors operate in the open green energy market, seizing efficient management of the grid assess, RE power quality, tools for electricity trading in the free market etc.

This foster the areas with high potential of Renewable Energy Sources, such as the Mediterranean Countries that can make market negotiation of the share of renewable energy.

7

Law n.9 of 9.1. 1991; Decree 25.9.92

8

Decree Law 16 march 1999 n.79:attuazione della direttiva 96/92/CE recante norme comuni per il mercato interno dell’energia elettrica 9

Decree 11 November 1999: Direttive per l’attuazione delle norme in materia di energia elettrica da fonti rinnovabili di cui ai commi 1,2,3 dell’articolo 11 del decreto legislativo 16 marzo 1999, n.79 2

3

2 ITALIAN BIOMASS STRATEGY Biomass fuels represent a great part of the expected increase of the RES contribution to EU’s gross inland energy consumption.

As far as biomass is concerning, the Price’s National Committee (CIPE) in accordance to Kyoto commitments, and to Italian White Paper has assumed for Biomass Energy Plant the development of 10 2000 MWe as a target by 2008-2012 , with an energy contribution of 2,6 MTOE and 1,7 MTOE from Power and Thermal energy production respectively.

The prospects of supply of biomass fuels to Italian White Paper accounts to:

by 2012 in accordance

7MTOE/yr, on the basis of market situation at 1996 represented by agro-forestry residues, industrial byproducts etc.

12 MTOE/yr, on the basis of the potential of the energy and forestry crops production over 3 million ha (marginal or new land use of surplus agricultural areas) 11 0,8 MTOE/yr from the conversion of 2 million ha coppices in managed forestry plantation As far as environmental issues is concerning in accordance to “ Decree Ronchi 12” most of the biomass fuels (industrial residues and packages) are classified as wastes(special type) and so they have to be treated in accordance to the prescription of the law.

A new regulation is foreseen for the biomass lignocellulosic fuels containing less restrictive constraints.

The emissions in atmosphere, subsequent to their thermal utilisation must satisfy too the Decree Law 12 July 1990 and the Decree Law 6th January 1995.

10 11 12

Italian White Paper for the Renewable Valorisation – Delibera CIPE 6 agosto 1999 (LHV 4000 kcal/kg) Decree Law n° 22, emitted in date 5.2.1997 3

4

3 GENERAL OF BIOMASS FOR MEDITERRANEAN COUNTRIES In order to implement a successful biomass powered system, suited to heterogeneous Mediterranean biomass chain13, the following points must be fulfilled: a reliable biomass source must be available, matching the primary energy requirement for electricity, heat and cool production a long lived and reliable energy conversion systems must be utilised, ensuring high efficiency the requirements in terms of manpower must be low.

3.1 BIOMASS SUPPLY The available biomass fuels in Southern Conditions can come from (fig 1): BIOMASS RESOURCES

FORESTRY

END USERS

PROCESSING STAGE

SHORT ROTATION FORESTRY

FORESTY RESIDUES

INDUSTRY

FARMS

BY-PRODUCTS

DISTRICT HEATING

STORAGE

PREPROCESSING STAGE

POWER PLANT

ELECTRICITY

DISTRICT COOLING

AGRICULTURAL RESIDUES

ENERGY CROPS

FIG. 1 Biomass Chain in Southern Countries The management of the forestry: wood residues and plantation (Thinning wood, wood residues from cutting, SRF, energy crops, coppice conversion) The management of industrial by-products (e.g. sawmill, papermill by-products) 13

Available biomass consists in fact of heterogeneous woody raw materials to be transformed in homogeneous and clean fuel in the pre-processing stage 4

5

The diversification of farming activities (e.g. Energy crops, arable crops, residues) 3.2 Biomass Planning A careful identification of the available biomass and of the amount, which can be produced, is the basis for the biomass supply. A powerful tool to this effect has been developed in the frame of Altener project Sardinia14, that is the GIS (Geographical Information System) and the BEI (Biomass Energy Index) The Geographical Information System has been utilised and adapted to the assessment of the biomass chain potential in the territory.

The results of the application of GIS are: - the subdivision of the study area in homogeneous sectors - the maps restitution for each homogeneous sectors and for the overall area for the understanding of the present and potential land use for biomass production The Biomass Energy Index is: BEI (TOE/yr) = P (t/ha/yr) x CP (TOE /t) x S (ha) x K P= productivity CP=LHV S= area K = correction factor applied to each local condition

Applying these tools it is possible to have the map restitution of the considered area in TOE, introducing and calculating all the possible sources of biomass in accordance to different land use and by-products exploitation15.

Applied planning tools to Sardinia Altener project are shown to make an example of biomass planning at Regional scale: a. Area subdivision in homogeneous sectors Total studied area, 16 is subdivided in homogeneous sectors17, on the basis of land vocation, available resources etc utilising and adapting GIS. b. GIS and Biomass Maps (pedological map, viability map, geological map, biomass map)

14

Altener Project DGXVII /4/ 1030/Al/11/96/IT Development Plan for the Utilisation of Renewable Energy Sources in Sardinia 16

Corresponding to Cagliari and Oristano province (agricultural and marginal area: 180.000 ha, forestry area 70.000 ha)

17

17 homogeneous sectors 5

6

The appraisal of present and potential land use for the different biomass fuel supply is made by means of the maps restitution for each homogeneous sector and for the overall area. c. BEI characterisation Each sectors is investigated for the calculation of BEI on the basis of present land use (e.g. coppice, marginal agricultural area, forestry area etc), the potential land use for biomass (e.g. energy crops in different agronomic conditions), and evaluating the real effective local biomass potential. d. User’s Map The potential energy users ( power, heat, cool) investigated by means of ad hoc interviews to biomass producers, agroindustries, municipalities etc. are shown by means of the User’s map. e. Biomass Energy Index (BEI)Map Biomass Energy Index biomass (TOE/yr) for the study area are represented by means of the BEI maps, where the different potential of each sectors for biomass fuels production are shown.

4. BIOMASS PLANT PROFITABILITY IN ITALY Presently the economical profitability of the biomass plant in Italy is assured by: The planning of biomass resources The heat production The district cooling The progress of high efficient CHP technological options of CHP plant below 1MWe The RES Integration 4.1

The planning of biomass resources

In accordance to Italian White Paper the biomass chain has to be organised in order to achieve a powerful biomass supply.

The planning of biomass resources at Regional and local scale guides the territorial planning (e.g. land use, viability in forestry area), the choice of the biomass energy plant and of its location, on the basis of territorial TOE potential and users availability.

4.2

The heat production

The thermal utilisation of biomass fuels in Italy is represented by:18 18

Italian White Paper (National Conference for Energy and Environment 1998) 6

7

Domestic Heating plants widely present in Italy ( average power 20-30 kWt) Thermal plants fuelled from agro-industrial byproducts ( (average power 0,5- 20 MWt, corresponding in 1998 at an installed power 2.500 MWt).

Biomass District Heating plant installed power of 40 MWt)

(corresponding

in

1998

to

an

Biomass District heating plants are a growing biomass sector Northern Italy with average power below 10 MWth 19.

New plants are under installation in Lombardia, Veneto, Piemonte, thus the total contribution is quickly growing.

in and

Most of the existing heating plants are in Alto Adige region, utilising as main fuel the sawmill by-products: Plant

Rasun Anterselva Valdaora Badia (La Villa) San Candido Verano Terento Dobbiaco Rodengo Valles

Net

length [m]

Number of links

Produced Power [TOE/yr.]

Total Cost [Lire]

Power [kW]

Boiler Number

9.573.744.

000 6.899.000.

000 13.320.000 .000 8.298.457.

000 421.027.30 0 5.748.340.

000 1.617.882.

640 19.870.100 .754 1.511.407.

800 7.400.000.

000

5.000

2

13.000

200

882

3.400

2

4.000

120

-

8.000

2

15.000

251

1234

4.000

2

4.000

140

1260

300

1

150

11

160

1.600

2

1.600

36

553

1.000

1

450

12

160

8.000

2

14.000

230

1550

850

1

852

17

68

4.000

2

7.500

80

495

Table 1. Biomass heating Plant in Alto Adige

19

National Conference for Energy and Environment (1998)-District heating plant in Italy: Evaluation and prospectsKOBA s.r.l. Report 7

8

4.3

The district cooling

The prospect offered by the district cooling extend the local selection of profitable thermal energy utilisation in the Southern Countries context.20 Up to now there are planned experiences for district heating plant and for three-generation plant in Southern Italy (power, cool, and heat) Different solution can be adopted, integrating the district heating and the district cooling in accordance to different energy demand ( e.g. seasonality).

The following figure show a possible solution where, putting the absorber directly at the cooling users site, is possible to exploit the district heating net:

Thermal users

Cool users

Absorber Heating plant

Heat or energy recovery

Fig. 2 – Scheme of district cooling with absorbers

4.4 The progress of high efficient CHP technological options of CHP plant below 1MWe As far as small scale CHP plant is concerning a successful biomass powered system can be the Multifuel combustor combing wood fuel and agrobiomasses of the Thermie project.21 20

National Conference for Energy and Environment (1998)-District heating plant in Italy: Evaluation and prospectsKOBA s.r.l. Report

21

Thermie Project Fuel

BM/060/98/IT/FN ORC Based CHP production from multi biomass 8

9

In this system the power production is made by ORC Rankine Cycle Plant plant, and the boiler can accept wood and agrobiomass fuels with different moisture and calorific content.

4.5

The RES Integration

Moreover on the small scale plant the integration of other renewable energy sources (e.g. solar energy) 22can push the take off of the Rural development and the RES electrification systems in small municipality, firms, tourism centres.

22

Shell Renewables 2000 9

10

5.

COFIRING OF BIOMASS WITH OTHER FUELS

The biomass fuel availability during the year is highly seasonal and logistic dependant. Moreover the biomass costs are variable in accordance to their energy content.

The use of non pure solid biomass fuels, as mixed with residuals or non hazardous wastes, in the solid fuels burner, or in substitution with oil burner extend the local selection of fuel option.

On the basis of the ongoing project Altener Cofiring23, the cofiring of biomass with other fuels seems to be promising for medium size plant, where the difficulties connected to the activation of the biomass logistics can be overcome by the integration of other fuels (waste, industrial by-products) securing the economic profitability of the plants in accordance to their presently economical costs lower than biomass sources.

Plant profitability based on the local availability of biofuels has pointed out the benefit of integration to biomass with more profitable fuels in terms of economical convenience and of energy value such as industrial by products with high disposal costs and wastes in high efficiency plant environmentally safe.

On the medium size plant the economical profitability can be given by: the planning of biomass resources the integration of by-products in the biomass plant the integration of biomass in waste to energy plant the progress safe.

of

high

efficient

cofiring

plant

environmental

Up to now in Italy there are no cofiring plants already running: the selected and evaluated plants are going to start working with cofiring, except for Waste to Energy plant in Brescia on a prerunning demonstrative phase.

23

Altener Project AL/98/593, No XVII .1030/Z/99-593 : AFB-NET V Cofiring of Biomass –Evaluation of fuel procurement and handling in selected existing plants and exchange of information

10

11

5.1 Cofiring Biomass-Byproducts The selected evaluated Plant Ecowatt Vidardo (heat MWth, electricity output 3 MWe) is start running industrial by-products (pulper) and biomass.

output: fuelled

17 by

Main fuel is pulper, papermill byproduct that is produced from the papermill next to power plant and presents high disposal costs.

Presently this by-products is disposed at costs between 6 and 9 EUR The share of biomass is 30 %.

In accordance to the main purpose of the plant (power production CIP 6/92) the net produced electricity (3.000 kWe) is put in the Net at low voltage(15.000 Volt).

5.2 Cofiring Waste- Biomass The selected evaluated Waste to energy plant (Heat output: 102 MWth, Electricity output: 45 MWe) is a valuable source of energy for the town of Brescia.

Thanks to the presence of the district heating system, it is possible to recover not only electricity (as in many other similar plants) but also a remarkable amount of heat.

Main fuel are the municipal solid waste RDF, industrial (nonhazardous) waste, dried sludge from sewage treatment plants, biomass.

The share of biomass fuels is 20%24 The biomass is bought directly by farmers, saw-mills, and food industry.

Biomass fuel pricing is based on energy content in £/Mg. If the LHV is higher than 16 MJ the price may be between 20 –25 Euro/Mg;25 The tipping fee for waste ranges between 50 and 65 Euro/MG. The experiences of cofiring (biomass-waste) are already acting on a demonstrative basis, on the basis of high efficiency of energy production environmental save.

24

olive pressing residues (Humidity = 40-45%, ash = 1-2%, LHV = 16-18 MJ) wine production residues (Humidity = 50-60%, ash = 7-8%, LHV = 7-9 MJ) poultry dejections (Humidity = 35-40%, ash = 1-2%, LHV = 15-17 MJ) Wood, wood residues, logging residues, bark, sawdust, straw (Humidity = 45-55%, LHV = 8-10 MJ/kg).

25

If the LHV is 7-8 MJ the price may be zero and ASM will pay only the transport charges; if the material is difficult to handle as it is the case for poultry dejections the producer will pay a fee that may be as higher as the fee paid by the waste.

11

12

CONCLUSION The reorganisation of the Electricity sectors set up in Italy has produced an advanced law’s system “Bersani Decree and RES Decree” stating new incentives for the promotion of RES in the framework of National Energy Balance, the Green Certificate Bonds and their negotiation process.

This new advanced system, in which biomass plays a key role, pushes the electricity energy producers to put in the net a RE share, open the Green Market negotiation and forces the set up of Renewable Energy actors pursuing economically and environmentally viable biomass plant in Italy.

This can be achieved by means of: Integration of the energy, environmental, agricultural and man power policies RES Planning at Regional and local scale biomass source

assuring a reliable

Competitiveness of biomass fuels supply by means of sustainable and multipurpose utilisation of biomass resources Long lived and reliable energy conversion systems, ensuring high efficiency, matching the primary energy requirement for electricity, heat and cool production Extension of the fuel option to cofiring systems for medium scale plants Integration with other Renewable (e.g. Photovoltaic power) for rural and tourism development Green Bond negotiation in the exchange market

12