“Enabling Energy Transition towards Low Carbon Pathways ... · Creating Innovative Solutions for...

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Creating Innovative Solutions for a Sustainable Future EXCHANGE VISITS & RESEARCH COLLABORATION 27 th July, 2018 | Lawrence Berkeley National Laboratory (Berkeley Lab) “Enabling Energy Transition towards Low-Carbon Pathways: TERI’s Activities” Dr. Shashank Vyas, Associate Fellow & Er. Alekhya Datta, Fellow Electricity & Fuels Division (EFD), TERI Exchange Visits (to US Labs) Supported By:

Transcript of “Enabling Energy Transition towards Low Carbon Pathways ... · Creating Innovative Solutions for...

Creating Innovative Solutions for a Sustainable Future

EXCHANGE VISITS & RESEARCH COLLABORATION

27th July, 2018 | Lawrence Berkeley National Laboratory (Berkeley Lab)

“Enabling Energy Transition towards Low-Carbon Pathways: TERI’s Activities”

Dr. Shashank Vyas, Associate Fellow &

Er. Alekhya Datta, Fellow Electricity & Fuels Division (EFD), TERI

Exchange Visits (to US Labs) Supported By:

Creating Innovative Solutions for a Sustainable Future

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ELECTRICITY DEMAND IN INDIA BY 2030

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2018 2022 2027 2030

Sector-wise demand of Electricity (in TWh)

Commercial

Agriculture

Industrial

Residential

Source: TERI Analysis

Creating Innovative Solutions for a Sustainable Future

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INDIA’S SOLAR TRANSITION/ ELECTRICITY TRANSITION

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2018 2022 2027 2030

in T

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Power Generation in India (By 2030)

Renewable Energy

Conventional Energy

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1500

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3000

2018 2022 2027 2030

in T

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Source-wise Power Generation in India (By 2030)

Bio-Mass

Small Hydro

Solar

Wind

Gas

Nuclear

Hydro

Diesel

Coal

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2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

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/ k

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Price/ Tariff Trends

Solar in INR/kWh Coal in INR/kWh Cost of LiB in $/kWh

Source: TERI Analysis

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CASE FOR TRANSPORT ELECTRIFICATION AC Electric Bus total cost bid without Subsidy INR/ km lower than of Diesel Bus today:

Diesel Bus = INR 60-80/ km; Electric Bus (AC) = INR 30-55/ km (without Subsidy)

Note: Daily distance travelled = 170-200 kms. Cost includes capita repayment at 10% interest, electricity, O&M costs & battery replacement for purchased buses in year 8. FAME subsidy is excluded in these estimates. *Gross Cost Contract (GCC) & Outright Purchase (OP)

GCC Model* OP Model*

0.66 0.83

0.66 0.74

1.67

Li-ion withSubsidy

Li-ion withoutsubsidy

Lead Acid withSubsidy

Lead AcidwithoutSubsidy

Petrol variant

2-W Running Cost (INR/km) of TVS Scooty Pep vs. Hero Maxi Electric

Note: Daily distance travelled = 40 kms; Battery replacement costs are included.

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Running costs of E-Buses (AC) through competetive bidding

7.7 8.5 8.5

9.9 9.9

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Cost of e-Bus discovered in competitive bidding under OP Model

Source: TERI Analysis

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ELECTRIFICATION OF THE INDUSTRY APPLICATIONS

Case study of a typical forging furnace: Switch over from furnace oil (FO) firing to Induction billet heater,

Capacity of FO furnace 400 kg. per shift

Capacity of induction billet heater

45 kW

Investment INR 22 lacs.

Avoided FO consumption

93 kl/ Year

Electricity consumption with induction heater

1,78,000 kWh per Year

GHG reduction potential

270 t CO2/ Year

Switch from thermal heating to electricity in industrial processes:

Fuel switching can be explored in a number of other sectors e.g. foundries, forging, secondary steel, chemicals, textiles, food processing, etc.

Switch over would depend upon availability of suitable technologies (including detailed design & engineering solutions), comparative prices of fuels, finance etc.

Source: TERI Analysis

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NEED FOR TRANSITIONING TO LOW CARBON INDUSTRIES

Many large industry sub-sectors undertaking steps to reduce their energy intensity:

Few are already equivalent to global standards e.g., cement, fertilizer

Opportunities to further reduce Specific Energy Consumption (SEC) levels exist in several units in both large industries and MSMEs;

A major challenge is to transit from fossil fuels to low carbon energy sources for thermal (process) energy requirements in ‘Hard-to-abate’ sectors such as iron & steel, cement, etc.

No commercially available zero carbon technologies globally; few are under development

Need for long-term collaborative R&D with global players

Huge capital investment and long gestation periods

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POSSIBLE STEPS TOWARDS LOW/ ZERO CARBON EMISSIONS – CEMENT INDUSTRY

1. Improve efficiency through modernisation and adoption of EE measures – Reaching global best levels

Reduce SEC-Thermal : From 725 kcal/ kg clinker to 660 kcal/ kg clinker

Reduce SEC-Electrical : From 80 kWh/ t cement to 65 kWh/ t cement

2. Meet all electrical energy needs through RE sources

3. Meet thermal energy requirements for combustion through electric route (fully/ partially) – to be explored

4. Remaining CO2 emissions only from calcination

Alternate routes:

1. Carbon Capture, Utilization, and Storage (CCUS)

2. Explore/ Research and switch over to alternate materials that avoid CO2 generation (e.g., Timber for housing, new chemistry, other options ??)

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POSSIBLE STEPS TOWARDS LOW/ ZERO CARBON EMISSIONS – IRON & STEEL INDUSTRY

1. Improve efficiency through modernisation and adoption of EE measures – reaching global best levels

Blast Furnace (BF)/ Basic Oxygen Furnace (BOF) Route - Reaching to SEC level of 5.5 Gcal/ tcs (giga calories per tonne of crude steel)

Electric Arc Furnace (EAF)/ Induction Furnace (IF) route through RE sources – Increase production to the extent possible; increase circularity

2. Use of hydrogen for iron ore reduction as a substitute for coke/coal

• Hydrogen through biomass route or electrolysis of water

3. Meet thermal energy requirement through RE based electricity and/or, off-gases generated in the process

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FREIGHT TRANSPORT

Technological choices are not yet clear:

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Innovative business models need to promote:

Energy efficient appliances at Household-level, mainly Air Conditioners;

Industrial energy efficiency;

Energy efficient Electric Vehicles (including Charging Infrastructure)

Energy efficient Pump-sets (including Solar pumps) for Agricultural applications, and

Building energy efficiency (promoting ECBC & GRIHA)

PROMOTING ENERGY EFFICIENCY

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Decarbonization of Indian electricity sector is now inevitable;

Promoting energy efficiency through innovative Business Models for large scale adoption of energy efficient technologies & practices;

Electrification of Buses & Two-Wheelers: Challenges – Charging

Infrastructure;

The techno-economic viability of electric heating vis-à-vis fossil fuel based heating should be explored in selected energy intensive industry processes, and

Decarbonizing ‘hard-to-abate’ sectors such as Steel / Iron & Cement – Research on technologies is needed.

CONCLUSION & WAY FORWARD