Energy Systems Overview John Jechura – jjechura@mines.edu
Updated: January 4, 2015
Topics
• Energy sources & consumption  U.S. & worldwide
• Basic economics
 How do the various forms compare in cost?
• General concepts to be used throughout course
 Definition of efficiencies
2
Growth of U.S. Energy Consumption
120
15
Energy Consumed (Quad = 10 BTU)
100
80
Wood
Hydroelectric Power
Nuclear Electric Power
60
Coal
Natural Gas
Petroleum
40
20
0
1750
1800
1850
1900
1950
2000
Source: 1850‐1949, Energy Perspectives: A Presentation of Major Energy and Energy‐Related Data, U.S. Department of the Interior, 1975; 1950‐2000, Annual Energy Review 2000, Table 1.3. 4
Energy Markets Are Interconnected
https://publicaffairs.llnl.gov/news/energy/energy.html
5
World Energy Consumption
• The International Energy Outlook 2013 (IEO2013) projects that world energy consumption will grow by 56% between 2010 – 2040
OECD ‐ Organization for Economic Cooperation and Development
Members as of Sept 2012: United States, Canada, Mexico, Austria, Belgium, Chile, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Israel, Italy, Luxembourg, the Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, Switzerland, Turkey, the United Kingdom, Japan, South Korea, Australia, and New Zealand.
Source:
International Energy Outlook 2013, U.S. Energy Information Agency
http://www.eia.gov/forecasts/ieo/
6
World Energy Consumption by Source
• Growth will not be uniform among all energy sources
 Renewable & nuclear power projected to be fastest‐growing energy sources, increasing by 2.5% per year
 Natural gas fastest growing fossil fuel, increasing by 1.7% per year
 Coal grows faster than petroleum because of China’s increasing consumption
Source:
International Energy Outlook 2013, U.S. Energy Information Agency
http://www.eia.gov/forecasts/ieo/
7
World Coal Consumption
• Coal expected to remain 2nd largest energy source worldwide. World coal consumption to rise at 1.3% per year until 2030 & will start to decline after
 Near‐term expansion of coal consumption from significant increases in China, India, and other non‐OECD countries.
 Decline due to GHG concerns and displacement by natural gas
• Global coal production concentrated among four countries
 China
 United States
 India
 Australia
Source:
International Energy Outlook 2013, U.S. Energy Information Agency
http://www.eia.gov/forecasts/ieo/
8
Petroleum & Natural Gas
• Consumption influenced by production & cost of fuels
9
Shale Oil & Gas • Shale oil and gas have the potential to dramatically alter world energy markets
Source: Supplemental presentation is support of International Energy Outlook 2013, U.S. Energy Information Agency
http://www.eia.gov/forecasts/ieo/
10
Electricity from Nuclear & Renewables
• World electricity generation expected to • Fukushima Daiichi disaster could have long‐
grow 93% from 2010 to 2030
term implications for nuclear power
 Renewables fastest growing segment, 80% in wind & hydroelectric
 China halted approval processes for all new reactors until the country’s nuclear regulator completed its safety review
 Germany & Switzerland announced plans to phase out or shut down their operating reactors by 2022 and 2034, respectively
11
U.S. Residential Energy Consumption
http://www.eia.gov/consumption/residential/reports/electronics.cfm
12
Vehicles per Thousand People
Historical U.S. Vehicles per 1000 People
Symbols 1998 vehicles for other parts of the world
United States

Middle East
 Industrialized Pacific
Western Europe
Eastern Europe

Former USSR
 Central & S. America

Developing Asia


China  
20
00
19
90
19
80
19
70
19
60
19
50
19
40
19
30
19
20
Africa
19
10
19
00
900
800
700
600
500
400
300
200
100
0
Sources:
U.S. data
Vehicles: U.S. Department of Transportation, Federal Highway Administration, Highway Statistics 2000, Table VM‐1, and earlier annual editions.
Population: U.S. Department of Commerce, Bureau of the Census Time Series of National Population Estimates: April 1, 2000 to July 1, 2001
Other countries/regions
Energy Information Administration, International Energy Outlook 2002, DOE/EIA‐0484(2002), p. 256.
14
Energy & Oil Prices
http://www.bloomberg.com/energy/
16
Gasoline & Diesel Retail vs. Commodity Prices
Retail Price
Gasoline Retail Cost Contributions
Per Gallon
$2.91
Taxes
Distribution & Marketing
Refining
Crude Oil
15%
17%
6%
62%
$0.44
$0.49
$0.17
$1.80
$18.33
$20.78
$7.33
$75.78
$1.98
$83.11
Diesel Retail Cost Contributions
Per Gallon
$3.65
Per Barrel
$153.30
Refinery Costs / Commodity Price
Retail Price
Per Barrel
$122.22
Taxes
Distribution & Marketing
Refining
Crude Oil
14%
24%
13%
50%
Refinery Costs / Commodity Price
$0.51
$0.88
$0.47
$1.83
$21.46
$36.79
$19.93
$76.65
$2.30
$96.58
Source: http://www.eia.gov/petroleum/gasdiesel/
17
Coal Prices
http://www.eia.gov/coal/news_markets/
18
No Such Thing as a “Global” Gas Price
http://www.slideshare.net/enalytica/gas‐market‐outlook‐lng‐business‐fundamentals
19
Price Changes With Time
Updated January 2, 2015
Sources: http://tonto.eia.doe.gov/dnav/pet/pet_pri_spt_s1_d.htm & http://www.eia.gov/dnav/ng/ng_pri_fut_s1_d.htm
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How do energy prices compare?
RBOB Gasoline ‐ wholesale Heating Oil ‐ wholesale WTI Crude Oil
Brent Crude Oil
Ethanol ‐ rack Natural Gas ‐ Henry Hub Powder River Basin Coal (low sulfur) Illinois No. 6 Coal (high sulfur) Electricity (Residential, winter season)
Electricity Commercial, winter season)
Electricity (Ave consumer, early summe
Hydrogen dispensed cost Given Price
Heating Value
2.7906 $ per gallon 115,000 Btu/gal
2.8373 $ per gallon 130,500 Btu/gal
93.27 $ per bbl
5.8
MMBtu/bbl
102.06 $ per bbl
5.8
MMBtu/bbl
2.71 $ per gallon 75,700 Btu/gal
3.97 $ per MMBtu
10.55 $ per ton
8,800 Btu/lb
45.15 $ per ton
11,800 Btu/lb
4.604 ¢ per kWh
3.920 ¢ per kWh
11.4 ¢ per kWh
4.03 $ per kg
324.2 Btu/scf
Price [$/MWh] Price [$/MMBtu]
82.80
24.27
74.19
21.74
54.87
16.08
60.04
17.60
122.15
35.80
13.55
3.97
2.05
0.60
6.53
1.91
46.04
13.49
39.20
11.49
114.00
33.41
HHV
102.20
29.95
LHV
LHV
HHV
HHV
LHV
HHV
HHV
HHV
References:
Gasoline, Heating Oil, & Crude Oil from Blomberg (6/3/2013)
http://www.bloomberg.com/energy/ Ethanol price from NYMEX (6/3/2013)
http://quotes.ino.com/exchanges/category.html?c=energy
Coal from US EIA Coal News & Markets (week ending 5/31/13).
http://www.eia.gov/coal/news_markets/ Xcel Energy electric tariff book (as of 12/28/2011) http://www.xcelenergy.com/About_Us/Rates_&_Regulations/Rates,_Rights_&_Service_Rules/CO_Regulatory_Rates_and_Tariffs
Hydrogen cost from DOE report, DOE Hydrogen & Fuel Cells Program Record, Sept. 24, 2012
http://www.hydrogen.energy.gov/pdfs/12024_h2_production_cost_natural_gas.pdf
23
General Concepts for Class
• ROM (Rough order of magnitude) vs. precise calculations
 Is it on the order of 1, 10, 100, 1000 ,or something else?
• Unit conversions!
 Example: relationship of kJ/sec to kW; kJ/hr to MW
• Physical properties to further relate quantities
 Example: what property is needed to convert kg CO2/kg fuel to kg/L?
• Production of products & by‐products from stoichiometry
 Example: kg CO2 produced per kg of fuel
 Example: kg CO2 produced per mile driven
• Efficiency as relationship between available energy (potential) vs. energy transferred
 Example: kW electricity produced per kJ/sec heat transferred through boiler
 Example: kWh electricity produced per kg coal (with specified assay)
25
Efficiencies
• Thermal efficiency – ratio of net work out of system to heat input to system
th 
Wnet Wout , j  Win , j

Qin
 Qin, j
• Ratio of useful energy out of system to all energy input to the system

E
E
out , j
in , j

W
Q
in , j
out , j
 Win , j
• May need to account for chemical potential energy effects (i.e., heating values)
E

E
out , j
in , j

W  m
Hˆ 



 Hˆ 
Q  W   m
out , j
in , j
j ,products
in , j
c
i
j ,reactants
c
i
• “Heat rate” is the reciprocal of thermal efficiency based on heating value
W

 m
 Win , j
ˆc
j ,reactants Hi
out , j
 
 
 j ,reactants Hˆic
1 m
 Heat Rate  
 Wout , j  Win , j
26
Thermodynamic Efficiencies
• Thermodynamic – ratio of actual energy change to that for reversible situation
 No energy lost to universe – transfer of possible energy different from ideal but stays within the fluid
 Isentropic efficiency
 H 
fluid
 thermo  H fluid S 0 and  H fluid  pump
turbine
H 


fluid S 0
thermo
• Mechanical efficiencies – relates energy to/from fluid that is lost to the universe due to friction, …
Wturbine  mech  H fluid  and Wpump 
 H 
fluid
mech
27
Heating Values
• Depends on state of produced water
 Lower / Net Heating Value (LHV) — water in gas state
Fuel + O2  CO2  g   H2O  g   N2  g   SO2  g 
 Higher / Gross Heating Value (HHV) — water in liquid state
Fuel + O2  CO2  g   H2O     N2  g   SO2  g 
H HHV  H LHV  nH2O  H Hvap
Tref 
2O
Compound
Methane
Propane
n‐Hexane
Cyclohexane
Benzene
Methanol
Ethanol
Hydrogen
Ideal Gas Heating Value (60°F)
Net
Gross
Btu/scf
Btu/scf
909.4
1010.0
2314.9
2516.2
4403.8
4756.0
4179.7
4481.6
3590.9
3741.8
766.2
866.9
1447.5
1598.5
273.8
324.2
Liquid (in Vacuum) Heating Value (60°F)
Net
Gross
BTU/lb
BTU/lb
19,758
19,232
18,675
17,256
8,561
11,523
21,490
20,783
20,036
17,989
9,753
12,776
28