To Be or Not to Be Renewable Energy (RE) in the Mining ... · in the Mining Industry: that is the...

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To Be or Not to Be Renewable Energy (RE) in the Mining Industry: that is the question World Resource Forum, Davos, 11-15 October, 2015 Supervisor: Prof. Dr. Jan C Bongaerts Kateryna Zharan

Transcript of To Be or Not to Be Renewable Energy (RE) in the Mining ... · in the Mining Industry: that is the...

To Be or Not to Be Renewable Energy (RE) in the Mining Industry: that is the question

World Resource Forum, Davos, 11-15 October, 2015

Supervisor: Prof. Dr. Jan C Bongaerts

Kateryna Zharan

Content 1) Introduction: motivation, and research questions

2) Comparative analysis of RE generation and LCOE

3) Production value of mining and quarrying of energy producing materials and share of RE

4) Guideline for the implementation of RE into the mining industry

5) Impact of political and economic system on the availability of electricity from RE for the mining

6) Conclusions

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| June 2015

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Introduction

Motivation – Limitation of fossil resources and increasing prices for energy annually persuades mining industry to substitute fossil for RE

Actuality – Mining industry considers of RE as a potential energy source

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

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Introduction

(1) What is the share of energy from renewables in EU? (2) What is the evaluation of costs for RE implementation and for transmission and distribution systems? (3) What is the guideline for penetration of RE into the mining industry? (4) How can the political and economic system be positioned to improve the availability of electricity from renewables for the mining? (5) What investments are expected be involved for implementation RE in the mining?

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

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Five research questions are addressed:

Introduction

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Share of renewable energies in gross final energy consumption in EU-28 countries in 2013

Comparative analysis of RE generation and LCOE

Source: Annual detailed enterprise statistics on mining and quarrying, Eurostat. 2015

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Primary production and gross electricity generation from renewable sources, EU-28, 1990-2013

Wood & other solid biofuels Wind power

Biogas Solar energy

Liquid biofuels Geothermal energy

Hydro power Renewable wastes Normalized electricity generation

Comparative analysis of RE generation and LCOE

Source: Renewable power generation costs in 2014, IRENA. 2015

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The levelised costs of electricity from utility-scale renewable technologies in Germany, 2010 and 2014

Photovoltaic Wind offshore

Wind onshore

Biomass Geothermal Hydro CSP

Comparative analysis of RE generation and LCOE

Source: Fraunhofer ISE, Germany November 2013 8/20

Levelized cost of electricity (LCOE) in Germany

There is a tendency that the LCOE from renewable sources are decreasing

Photovoltaics

Wind offshore Wind onshore

Biogas Brown Coal Hard Coal

CCGT: natural gas

The production value of mining and quarrying of energy producing materials and share of RE

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

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Ten most important mining countries in EU

The production value of mining and quarrying of energy producing materials and share of RE

Source: Share of renewables in energy consumption up to 15% in the EU in 2013 10/20

Share of energy from renewable sources* (in % of gross final energy consumption)

No Country 2004 2010 2011 2012 2013 Target 2020

1 Czech Republic 5.9 9.5 9.5 11.4 12.4 13

2 Denmark 14.5 22 23.4 25.6 27.2 30 3 Germany 5.8 10.4 11.4 12.1 12.4 18 4 France 9.4 12.8 11.2 13.6 14.2 23 5 Italy 5.6 10.5 12.1 15.4 16.7 17 6 Netherlands 1.9 3.7 4.3 4.5 4.5 14 7 Poland 6.9 9.2 10.3 10.9 11.3 15 8 Romania 17 23.4 21.4 22.8 23.9 24 9 Spain 8.3 13.8 13.2 14.3 15.4 20

10 United Kingdom 1.2 3.3 3.8 4.2 5.1 15

The production value of mining and quarrying of energy producing materials and share of RE

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

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Business Models for Distributed Renewable Energy to Power Off-Grid Industrial Processes

Business Model

Self-Generation

Industrial Pooling

Net Metering

Self-Generation + Powering Township

Guideline for the implementation of RE into the mining industry

12/20 TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

Guideline for the implementation of RE into the mining industry

13/20 TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

Guideline for the implementation of RE into the mining industry

14/20 TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

Impact of political and economic system on the availability of electricity from renewables for the mining

15/20 TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

Impact of political and economic system on the availability of electricity from renewables for the mining

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1 | [email protected]| October 2015

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Impact of political and economic system on the availability of electricity from renewables for the mining

Source: World Energy Outlook 2013 (2013): Renewable energy outlook. International Energy Agency

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Investments for RE in the mining industry

Renewable energy for the mining industry revenue by technology, aggressive investment scenario, world markets: 2013–22

Impact of political and economic system on the availability of electricity from renewables for the mining

Source: World Energy Outlook 2013 (2013): Renewable energy outlook. International Energy Agency

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Investments for RE in the mining industry

Cumulative investment in renewables-based power generation capacity, 2013-2035

Conclusions

(1)There are the economic advantages for penetration RE into the mining according to comparative analysis of LCOE of RE and fossil one and potential benefits of implementation RE in the mining;

(2) Evaluation of costs for RE implementation and for transmission and distribution systems is made;

(3)The guideline for penetration of RE into the mining industry is developed;

(4)RE integration system to the mining industry was suggested as a type of political and economic regulation;

(5)Mining companies have increasing opportunities to invest in RE

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1| [email protected]| October 2015

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The outcomes of the study are fivefold:

TU Bergakademie Freiberg | Umwelt- und Ressourcenmanagement | Schlossplatz 1| [email protected]| October 2015

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Kateryna Zharan PhD Candidate Faculty of Business Administration International Management of Resources & Environment TU Bergakademie Freiberg Schlossplatz 1, 09599 Freiberg GERMANY E-mail: [email protected]