Technologies
Waste to Energy
JP Hoffman
Siemens
Agenda
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Why WtE?
Before Putting Into Service
Challenges
Opportunities
Risks
Rewards
Lessons Learned
Waste Material Utilization: Reuse, Recycle,
Energy Recovery
http://www.seas.columbia.edu/earth/RRC/waste_material_utilization.h
tml
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Why Waste-to-Energy?
Benefits
• Reduce U.S. dependence on
fossil fuels
• Increase energy security
• Reduce GHG emissions
• Meet future policy emissions
controls
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Environmental Aspects1
Reduction of GHG
• Avoided methane emissions from landfills
• Avoided CO2 emissions from fossil fuel combustion
• Avoided CO2 emissions from metals production
Water
• Use
• Discharges
1 – http://www.epa.gov/cleanenergy/energy-and-you/affect/municipal-sw.html
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Environmental Aspects
Solid Waste Generation
• MSW Waste-to-Energy generation creates a solid waste called ASH
• Depending on state and local restrictions, non-hazardous ash may be
disposed of in a MSW landfill or recycled for use in roads, parking lots, or
daily covering for sanitary landfills
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Before Putting into Service
Preliminary Requirements1
Applicable Concept and Design
• Feedstock management
• Design/Build/Operate/Maintain Agreement
Environmental Considerations
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Air Emissions Permit
Water Use/Discharge Permit
Environmental Impact Requirement
Regulatory Conformance
1 – http://www.seas.columbia.edu/earth/wtert/faq.html
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Before Putting into Service
Preliminary Requirements1
Siting
• Permits
• Waste Availability/Supply Commitments
• Ash Disposal (landfill) Capacity
Financing Options
• Contract Vehicles / PPA / EUL
• Incentives & Guarantees
• Exploration Expense
• Tax Credits
1 – http://www.seas.columbia.edu/earth/wtert/faq.html
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Facing Challenges
Public Opposition
• Environmental groups often form opposition against new WtE plants
regardless of technology used
• Need to understand the impact this may have on permitting process, utility
process and financing options
• Understand timeline for public notification
Technical and Performance Issues
• System must meet performance criteria to remain economically viable
• Newer, more experimental systems are risky because they have no
demonstrated performance records
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Facing Challenges
Cost Challenges
• Exploration
• New Infrastructure
• New Generation Plant
Waste Stream Supply Issues
• Lack of supply could void any third party guarantee
Funding and Financial Issues
• Changes in government contract vehicles and/or restrictions
• Lack of seed money for start-up projects
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Facing Challenges
Scale Issues
• Long term growth must be considered when determining applicable size
of plant
• Smaller scale projects have higher levelized costs of production
Lack of Support for Decision Making
• Lack of defined, documented economic, environmental, and technology
performance metrics to inform the decision-making process and states’
varying definitions of municipal solid waste, biomass, and WTE
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New Opportunities
ACHIEVE ENERGY MANDATES
Energy security and availability
• Promotes long-term affordable
energy prices
Reduces waste stream direct
and indirect costs
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Tipping fees of disposal
New landfill cell opening fees
Transportation costs
Labor costs
Provides base-load power
• Augment on-site intermittent
renewable energy generation
technologies
• Solar and Wind
• Unconsumed/overproduced
electricity could be sold to the utility
Valuable by-products for use in
other areas
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Bottom ash
Biogas
Bio-char
Bio-oil
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Understanding Risks
Under-trained staff performing incorrect operation and maintenance
procedures
• Improper O&M can cause low production or failure of systems
Energy price escalation
• Evolving energy landscape leads to difficulty forecasting energy prices
• Utility energy pricing fluctuation based on market conditions
Waste Stream Supply
• Intended use of buildings may change over time
• Conservation methods may change volume or type of waste stream produced
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Understanding Risks
Changing Emissions Standards/Environmental Legislation
• Increasingly stringent emission standards may create future costs to comply if
goals are not aggressive enough in design
Plant Equity
• Useful life is considered to be 20+ years
– Current market estimate at 20+ years
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Understanding Risks
Contract Clarification
• Risk Responsibility Matrix
• Understanding of scope of supply, limits of liability, liquidated damages,
defects liability, periods, intellectual property, interface agreements and
financial projections/guarantees prior to signing contracts
Funding
• High capital costs for Waste-to-Energy plant
• Construction costs based on specific time period, if completion is delayed,
damages may accumulate
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Earning Rewards
Increased energy security and energy savings
• May allow installation to increase and change mission objectives, diverting
energy spend for other uses
Prestige associated with achievement of energy goals
• Plants are eligible for REC credits that may be sold to other energy users to
offset carbon footprint and provide additional funding for the installation
As technologies are used and refined, the next generation becomes
less expensive and more efficient
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Lessons Learned
Market
• Look for projects with financial incentives, skilled workforces, adequate
transmission and abundant input source
Project Team
• Create a team with decision makers, compliance officers, financial
experts and appropriate engineering staff
• Find common goals and determine generation misconceptions early to
prevent unnecessary roadblocks during negotiations
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Lessons Learned
Project Schedule
• Projects that are shovel ready can better adapt to changing conditions
• Understand the environmental regulations required prior to committing to a
schedule, certain studies can only be performed during specific intervals
within the year
Site Considerations
• Clearly defining the level of priority for project development and creating
master site and energy plans can help resolve any land-use conflicts existing at
potential sites
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Lessons Learned
Utility Regulations as Barriers
• Interconnection, net-metering
O&M is Key for Success
• Improper maintenance reduces system efficiency and threatens the useful life
of equipment.
Training
• Required interval training and proper documentation
Feedstock management
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Questions?
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