Renewable Power from Poultry Litter Presentation by Eric Jenkins VP Commercial Development,...
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Transcript of Renewable Power from Poultry Litter Presentation by Eric Jenkins VP Commercial Development,...
Renewable Power from Poultry Renewable Power from Poultry LitterLitter
PresentationPresentation
by Eric Jenkinsby Eric JenkinsVP Commercial Development, Fibrowatt LLCVP Commercial Development, Fibrowatt LLC
February 2007February 2007
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OutlineOutline
1. What we do
2. How we do it
3. How to structure projects
4. Why it is worth doing
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1.1.
Fibrowatt has Fibrowatt has commissioned commissioned America’s firstAmerica’s first
Poultry Litter Fuelled Poultry Litter Fuelled Power PlantPower Plant
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The 55MW Fibrominn The 55MW Fibrominn PlantPlant
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Commissioning began in May 2007
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Poultry Litter Fueled Power PlantsPoultry Litter Fueled Power Plants
• Generating renewable electricity from poultry litter
• Well proven technology (14 year operating record in the UK)
• Carbon neutral
• Improves and protects water resources
• Improves sustainability and biosecurity for poultry farmers
• Recovering value from the nutrients by selling the ash fertilizer
Biomass power has an important place in rural communities
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Who is Fibrowatt?Who is Fibrowatt?
• Fibrowatt LLC, based in PA
• The founders built the world’s first three poultry litter fuelled power plants in the UK
• Fibrowatt’s Minnesota plant is currently being commissioned
– A 55 megawatt, 700,000 ton/year turkey litter plant– The first in the US– Development work began 1999– Financed with $202m of investment grade rated debt in December 2004– Commercial Operations will commence in August 2007
50MW Projects under development in North Carolina, Arkansas, Mississippi and Maryland
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2.2.
How Power From Poultry How Power From Poultry Litter WorksLitter Works
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Poultry HousesPoultry Houses
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Covered ConveyorCovered Conveyor
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Loading the TruckLoading the Truck
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Tarpaulin CoverTarpaulin Cover
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Truck on ScalesTruck on Scales
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Fuel DeliveryFuel Delivery
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Trucks UnloadingTrucks Unloading
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Thetford Fuel HallThetford Fuel Hall
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TruckTruckCleaningCleaning
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How it WorksHow it Works
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Inside Inside the the
BoilerBoiler
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3.3.
How to Jump-Start How to Jump-Start ProjectsProjects
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How Long Does It Take?How Long Does It Take?
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1. Development phase2 - 4 years
2. Construction phase2 – 3 years
TOTAL 4 – 7 YEARS
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What Does It Cost?What Does It Cost?
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1. Development phase: $3-10M
2. Construction phase: $150-200M
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What are the key requirements?What are the key requirements?
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1. Fuel – adequate fuel already available
2. Sites – multiple sites already offered
3. Electricity contracts – federal incentives needed
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Facilitating the ProjectsFacilitating the Projects
• 1.9 ¢/kWh Production Tax Credit (§45)– To level the playing field
– Poultry Litter should get the same incentives as Wind
• Placed-in-Service Deadline needs to be 7-10 years out– Our plants take 2-4 years to develop, design, permit & finance
– Construction takes at least a further 2½ years
• Option to select 30% Investment Tax Credit– Same incentive as Solar Power
• Ability to utilize tax-exempt bonds
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4.4.
Why it is worth doing Why it is worth doing
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Multiple Benefits of our PlantsMultiple Benefits of our Plants
• Renewable Energy– Producing green, carbon-neutral power from domestic resources
– 750MW of identifiable projects
• Pollution Reduction– Reducing groundwater contamination from excess animal waste
• Agricultural Sustainability– Rural economic development
– Enabling the poultry industry to maintain sustainable growth
– Enhancing bio-security for poultry farmers
– Supporting the Family Farmer
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Challenge & OpportunityChallenge & Opportunity
• Renewable Power from Poultry Litter is (currently) more expensive than Coal
• There is significant potential– The poultry industry is concentrated in Southern States, which have little wind resource
• A viable renewable energy option for Southern States28
Projects Currently Planned
North Carolina 3 plants 155MW
Arkansas 2 plants 110MW
Georgia 2 plants 110MW
Alabama 2 plants 105MW
Mississippi 1 plant 55MW
Maryland 1 plant 45MW
Other States 4 plants 160MW
Total 15 plants 750MW
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NUTRIENTS
CARBON (CO2)
Flue Gases
Ash
ELECTRICITY
EN
ER
GY
BIOMASSBEDDING
& FEED
MANURE
The Carbon CycleThe Carbon Cycle