TBLI CONFERENCE™ EUROPE 2014 - Energy Transition - Giffen Ott - Synova
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Transcript of TBLI CONFERENCE™ EUROPE 2014 - Energy Transition - Giffen Ott - Synova
©Synova LLC – Proprietary and Confidential
Workshop 2b: Energy Transition Synova Case Study
!(Giffen Ott—28 October 2014)
“If you want to fight climate change, improve public health, find new sources of wealth for poor people and create new entrepreneurs, the closest thing to a silver bullet in the world in most countries is closing all the landfills in all the cities.”
-President Bill Clinton, Clinton Global Initiative 2010
©Synova LLC – Proprietary and ConfidentialSource: What a Waste report, World Bank 2012; From Waste to Resource 2009 world waste survey; Synova analysis
Global waste generation is immense, and most waste ends up in “landfills”, most of which are uncontrolled dumps . . .
10/28/20142
Worldwide MSW Market > 3.7 Million Tonnes Per Day% Disposition Within Each Geographic Area
% Share of Global MSW Generated Per Day
BrazilItaly Russia
JapanOther OECD High WtE
FranceGermany
UKOther OECD Low WtE
United States China Other Non-OECD
Global WTE Penetration ≈ 11% (virtually all incineration)
©Synova LLC – Proprietary and Confidential
A clean, Waste-to-Energy alternative to “landfills” presents a classic “triple bottom line” effect, solving major environmental and health issues as well as clean power . . .
10/28/20143
► Diverts waste; reduces litter, vermin (rats, mosquitoes), and associated disease
► Curtails fugitive emissions; saves up to net 1.4 tons CO2e / ton of MSW diverted
Climate change (methane emissions)
Land pollution (open dumping)
► Reduces water contamination and associated disease
Water pollution (leachate)
► Provides clean (base load) energy to supplant fossil fuels
Air pollution (odors and smoke)
©Synova LLC – Proprietary and ConfidentialSource: World Bank, What a Waste report, March 2012; management calculations
The opportunity (or threat) is massive and growing rapidly; after discounting for current WTE and realistic collection potential, waste volumes imply a build-out of more than €500 Billion . . .
10/28/20144
0
1,5
3
4,5
6
MT / day (000s)
2025 “Available
Market”
2011 Base
Less: Current
Incineration
2011-2025 Expected Growth
80/20 Rule: Assume 20%
Is Not Collectible
@ .880 thousand tonnes per day (average Synova 18 MWe plant) ! ≈ 111,500 MWs !@ € 4.6 MM/MWe ! ≈ Implies investment of > € 500 B
3,682
(405)
2,388
(1,133)
4,532
Non-OECD
OECD
Non-OECD
OECD
©Synova LLC – Proprietary and Confidential
In the non-OECD world, “waste destruction” is insufficient; conversion efficiency must essentially pay the way for sanitary disposal . . .
10/28/20145
0
75
150
225
300
8891
13,3110,89
90,75
77,44 157,8261131,521756,8095
Power €/MWh
Tip Fee €/MT
OECD v Non-OECD Power Prices and Tip Fees (Prime Examples—EUR/MWH and EUR/MT)
€
UK Philippines Thailand
CfD Top-up €/MWh
225
143
8 8
171
Tip Fee €/MWh
Conversion efficiency is fundamental to WTE in developing countries
©Synova LLC – Proprietary and ConfidentialSources: 1US EPA - NEEDS database, pre-sort estimates; at comparable scale
The required breakthrough begins with gasification, a process of gasifying waste and cleaning the “syngas”, which enables more efficient forms of power (or transport fuels) . . .
10/28/20146
IncinerationCommon
Gasification
Synova Gasification
(“IGCC”)Installed Average
New, Pre-Sorted
Waste sorted to remove inorganics or recyclables? No Yes Yes Yes
Gas cleaning stage Exhaust Exhaust Primarily Exhaust
Syngas
Gas cleaning efficacy 1x 1x 1x 10x
Power plant Steam Boiler and Turbine
Steam Boiler and Turbine
Steam Boiler and Turbine
Combined Cycle Gas
TurbineAll-In energy efficiency 18% 24% 24-30% 36%
Conversion to recyclables and
clean energy
Waste destruction, with an energy by-
product
©Synova LLC – Proprietary and Confidential
• Air Intake Filtration
• Gas Treatment
• Exhaust Systems
• Inlet Volutes
• Acoustical
!!
• Enclosures
• (Blow Off) Silencers
• Lube Oil Packages
• Ventilation Packages
Synova has partnered with a 128-year old specialist in gas cleaning, Royal Dahlman, who brings expertise well-suited to Integrated Gasification Combined Cycle systems . . .
10/28/20147
Oil & Gas Industry Power industry Renewable Energy Technology
• Fluidized Catalytic Cracking (FCC)- FCC slurry oil filtration (bottom)- FCC flue gas emission control
• Desulfurization / CO2 removal- Filtration of Amines
• Filtration of Heavy Coker Gas Oil • Filtration of cooling / process water
with Dual Media (sand) filter technology
Hot Syngas Filter System
Delivery of FSS (Hot Gas Filter)
FCC Slurry Oil FIlterGE Quality of Excellence
Award WinnerTurbine Serviced In
Dahlman Shop
Close partnership with ECN • OLGA Tar Removal • Product Gas Filtration and Scrubbing • Energy Recovery • MILENA Gasification • Pipeline of future developments
800 kW MILENA pilot (ECN)
800 kW OLGA pilot (ECN)
4 MW OLGA Portugal
©Synova LLC – Proprietary and Confidential
Together we offer an integrated, modular system that provides an end-to-end solution—from MRF to IGCC—enabled by a breakthrough that removes contaminants from the raw “syngas” . . .
10/28/20148
Proven MRF Hundreds of
successful systems worldwide
Proven Gasifier Track record of
operating successfully on RDF/Biomass
Proprietary OLGA Gas Cleaning
Oil scrubbers proven at countless petro
plants
Caterpillar Solar Gas Turbine
Thousands operating reliably around the
world
MSW, industrial waste, biomass
Power Future Liquid Fuels or SNG
Heavy Tars Light Tars Tar removal is our “special sauce”; it is
what enables high value conversion
©Synova LLC – Proprietary and Confidential
Although its comprised of proven components, financing requires creative solutions . . .
Source: Dahlman BV 10/28/20149
• System is comprised of standard modules • “Breakthrough” gas cleaning is unique, but every
unit is a traditional refinery unit (integration risk, but no technology risk)
• Extensive pilot development at Energy Center of the Netherlands, with meticulously collected data
• 1 MWe demonstration of integrated plant is running smoothly (Tondela, Portugal)
Financing Strategy: • “Belt and braces” strategy--First plants enable underwriting a base case
of low-tech, cleaned gas going to a (pre-existing) boiler; gas turbine serves as an “upside”
• FullCycle—Formed a dedicated yet independent equity fund with Ibrahim Al Husseini, with special terms, to provide equity for initial projects
• Exploring green bonds and alternatives for larger plants
©Synova LLC – Proprietary and Confidential
Thank you!
10/28/201410
Giffen Ott Chief Executive Officer Synova Power Noordzee 8 3144 DB Maassluis The Netherlands [email protected] www.synovapower.com