What and Why Co Generation

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator1 of 26

    Leif MortensenCOGEN 3 Chief Consultant

    What is cogenerationWhat is cogeneration

    and why cogenerationand why cogeneration

    Malaysian Cogeneration Week 20046 7 July 2004, Sheraton Subang Hotel & Towers, Subang Jaya8 July 2004, Puteri Pan Pacific Hotel, Johor Bahru

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator2 of 26

    COGENERATION PROJECT DEVELOPMENT

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator3 of 26

    Simultaneous generation oftwo different forms of

    useful energy using one single primary energy source

    Most usual:

    electrical (or mechanical)

    thermal: heating orcooling

    COGENERATION OR

    COMBINED HEAT AND POWER (CHP)

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator4 of 26

    WHY COGENERATION

    COGENERATION vs CONVENTIONALPOWER & HEAT GENERATION

    Cogeneration definition:Simultaneous generation of

    two different forms of useful

    energy using one singleprimary energy source

    Most usual:

    electrical

    thermal: heating or

    cooling

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator5 of 26

    For the End-users/Cogenerators:

    Reduced energy bills Additional profit from selling surplus electricity

    Additional profit from selling GHG CertifiedEmission Reduction (CER)

    Additional profit from selling by-products (e.g. ash

    from rice husk burning)

    Increasing security of energy supply

    BENEFITS OF COGENERATION (1)

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator6 of 26

    For the Power Utility & National Economy:

    Saving primary energy consumption

    Reducing transmission and distribution losses

    Less burden on national government for powergeneration investment

    Less environmental pollution

    Creating new market for local energy equipment

    suppliers/manufacturers

    Creating more jobs

    BENEFITS OF COGENERATION (2)

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator7 of 26

    S / HA< 210Tapioca flour and pellets

    S / HA80 180Vegetable oils, animal oils, fats

    S1.8140Milk

    S< 180Bread, cookies, noodles

    S100 225Frozen food, food canning

    S3, 6, 10130 180Fruit

    S / HW< 200Chemicals, medicine and toiletries

    S / HW / HA< 200Rubber products

    HA50 70Smoked rubber sheets, blocks, andcrape rubber

    S / HW< 200Plastic sheets and productsChemical

    S / HA< 200Animal feeds

    S / HW5 7150 165BeverageFood

    FormPress. (bar)Temp. ( C)

    Steam and heat requirementsSectorIndustry

    S = steam HA = hot air HW = hot water

    SECTORS SUITABLE FOR COGENERATION (1)

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    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator8 of 26

    S< 270Textile

    S / HA2 5110 150Wood

    S1.5 2110Rice mill

    S7< 200Pulp and paper

    S3 4Palm oilAgro andwood

    S2.8, 13.8140 240Petrochemical (lube based oil)Other

    S2 370 130Sugar

    FormPress. (bar)Temp. ( C)

    Steam and heat requirementsSectorIndustry

    S = steam HA = hot air HW = hot water

    SECTORS SUITABLE FOR COGENERATION (2)

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    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator9 of 26

    Cogeneration can be done from a variety of fuels Installations may be designed to accept more than one fuel

    Oil not supported in COGEN 3

    FUELS FOR COGENERATION

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator10 of 26

    Straw Rice paddy FFB Wood chips Sugar

    BIOMASS FUELS FOR COGENERATION

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    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator11 of 26

    COGEN 3 Programme and ActivitiesCOGEN 3 Programme and Activities

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator12 of 26

    An economic cooperation programme between

    European Commission (EC) &

    Association of South East Asian Nations (ASEAN)

    Funded by the EC (15 Mill. EURO)

    3 year programme January 2002 December 2004 Coordinated by Asian Institute of Technology (AIT)

    & Carl Bro International AB

    ECEC--ASEAN COGEN Programme Phase IIIASEAN COGEN Programme Phase III(COGEN 3)(COGEN 3)

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator13 of 26

    Promote awareness and use of cogeneration in ASEAN

    Promote proven, clean and efficient European

    cogeneration technologies

    Create business opportunities for cogeneration plants

    using biomass, coal and gas as fuels

    COGEN 3 ObjectivesCOGEN 3 Objectives

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator14 of 26

    Stakeholders

    in EuropeProject developers

    Equipment suppliers

    Banks & financiers

    Stakeholders

    in ASEANProject developersEquipment suppliers

    Banks & financiers

    Policy makers

    COGEN 3 Organisation & stakeholdersCOGEN 3 Organisation & stakeholders

    COGEN 3

    European OfficeMalm, Sweden

    COGEN 3

    ProgrammeManagement Unit

    Bangkok, Thailand

    COGEN 3

    ASEAN CountryCo-ordinators in

    7 Countries

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator15 of 26

    Energy Conservation Center ofThailand, Bangkok

    Research Center for Energy and

    Environment, Hanoi

    SIRIM Berhad,

    Shah Alam

    Energy Development and

    Utilization Foundation, Manila

    Energy Ventures Pte. Ltd.,Singapore

    Research and Development

    Center for Energy and Electricity

    Technology, Jakarta

    Ta Prohm Consultants,

    Phnom Penh

    COGEN 3 Country CoCOGEN 3 Country Co--ordinatorsordinators

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator16 of 26

    Facilitation of cogeneration project development

    Capacity building, awareness & information

    Cogeneration policy guidance

    Full Scale Demonstration Projects (FSDPs)

    Outline: COGEN 3 activitiesOutline: COGEN 3 activities

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator17 of 26

    Technical / Environmental Analysis

    Advice on technology selection & investment decisions

    Financial packaging and advises

    Announcement of identified ASEAN cogeneration projects to European

    cogeneration suppliers

    Tools for development & evaluation of cogeneration projects Cogeneration Project Development Guide

    Technical Financial Analysis (TFA) model (ver. 2)

    Facilitation of cogeneration project development:

    Services to project developers & end-users

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator18 of 26

    Directories on European & ASEAN equipment suppliers &

    service providers

    Report on Cogeneration Technologies: Part 1: Definitions and Systems

    Part 2: Technologies and Products

    Applicability of European Technologies in ASEAN Market Cogeneration equipment status in the ASEAN market

    Sector overview: Suitable applications and equipment

    National Cogeneration Policy Reviews (7 country reports) Overview of existing policies

    Guidance for policies promoting cogeneration

    Facilitation of cogeneration project development:

    Technical, Business & Market Information

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator19 of 26

    Cogeneration Weeks in 7 countries (1,200 participants)

    Training courses in cogeneration project development(5 events, 143 participants)

    Seminars on financing of cogeneration projects

    in Thailand, Malaysia & Indonesia (85 participants)

    Clean Development Mechanism seminar in Malaysia(80 participants)

    Major exhibitions & conferences Power Gen Asia (Ho Chi Minh City)

    Sustainable Energy Asia (Singapore)

    Site visits to 8 cogeneration plants (183 Participants)

    Policy forum & study tour in Thailand & Policy maker

    study tour to Europe (25 high ranking ASEAN policy makers)

    Capacity building, awareness & information:

    2003 COGEN 3 events

    EC ASEAN COGEN P Ph III

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    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator20 of 26

    Opening ceremony: Policy and financing

    Forum & Mini-exhibition with European cogeneration suppliers

    Cogeneration project development seminar

    Site visit & individual consultations

    Capacity building, awareness & information:

    2004 Cogeneration Weeks

    Kuala Lumpur & Johor Baru6 8 JulyMalaysia

    Manila & Isabela Province21 24 JunePhilippines

    Phnom Penh & Battambang8 11 JuneCambodia

    Jakarta & Balikpapan18 19 MayIndonesia

    (Cogeneration Day)23 AprilSingapore

    Hanoi & Ho Chi Minh City6 9 AprilVietnam

    Bangkok23 25 MarchThailand

    EC ASEAN COGEN Programme Phase III

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator21 of 26

    Major exhibitions & conferences:

    World Conference & Technology Exhibition on Biomass (Rome, May) - done

    Power Gen Europe (Barcelona, May) - done

    Asian Energy Business Forum (Manila, June) - done Power Gen Asia (Bangkok, October)

    Clean Development Mechanism seminars in Thailand & Indonesia

    Visit to Full Scale Demonstration Projects

    Capacity building, awareness & information:

    Other 2004 COGEN 3 events

    EC ASEAN COGEN Programme Phase III

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator22 of 26

    Objective:

    Improve regulatory conditions to enhance further cogeneration

    development

    Activities:

    National energy policy reviews & guidance for 7 countries

    ASEAN Policy maker study tours to Europe

    Seminars & meetings

    Cogeneration Weeks

    Cogeneration policy guidanceCogeneration policy guidance

    EC-ASEAN COGEN Programme Phase III

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    EC-ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator23 of 26

    Objective:

    Demonstrate the technical reliability and economic viability of provenEuropean cogeneration technology to ASEAN end-users

    24 FSDP Candidates selected

    Capacity: 0.3 41 MW (Total: 174 MW)

    Total Amount of EC support: 8.6 mill. EURO

    Total Investment: 209 mill. EURO

    17 projects are expected to be implemented by end of 2004

    Full Scale Demonstration Projects (FSDPs)Full Scale Demonstration Projects (FSDPs)

    EC-ASEAN COGEN Programme Phase III

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    EC ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    2 projects in Indonesia

    4 projects in Thailand

    1 project in Cambodia

    1 project in Philippines

    7 projects in Malaysia

    2 projects in Singapore

    EC-ASEAN COGEN Programme Phase III

    Ri h k 4 Palm oil waste : 4

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    EC ASEAN COGEN Programme Phase III

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    Bagasse : 2 Rice husk : 4

    Wood waste : 3

    Biogas : 3 Bio-oil : 1

    EC-ASEAN COGEN Programme Phase III

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    g

    Proven, Clean & Efficient Biomass, Coal, Gas Cogeneration

    The EC-ASEAN Business Facilitator26 of 26

    Thank You !

    For more information,

    please visit COGEN 3 Website at:

    http://www.cogen3.net