Heat and ETIBryan SillettiJanuary 22, 2008

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AgendaAgendaBrief Introduction to the ETI

Heat Demand

Heat Supply

Summary

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Energy Technologies Institute

Bringing together the complementary capabilities of global industrial groups in a unique approach with government

Addressing the challenges of climate change and low carbon energy

Demonstrating technologies and systems

Energy usage, efficiency, supply and generation

Developing knowledge, skills and supply-chains

Informing development of regulation, standards and policy

Enabling deployment of affordable, secure, low carbon energy systems

ETI Programme Associates

Public Sector

ETI Project Partners

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ETI programmes focus: Key Energy Challenges ETI programmes focus: Key Energy Challenges

Wind

Offshore specific systems

Marine

Tidal stream and wave

Distributed Energy (DE) and energy use in Buildings

Heat, power, demand side management, efficiency

Carbon capture, handling and storage (CCS)

Storage, capture, monitoring and verification

Energy Networks

Infrastructure, management, operation

Storage technologies

Transport

Electric mobility, vehicle efficiency

Systems modelling

Low CO2

Energy Security

Affordable Energy

Skills

Technology

Capacity

Heat Demand

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The Importance of HeatThe Importance of HeatHeat for the UK

Represents over 39% of the UK CO2 emissions and 70 Mtoe of annual consumption

1Mtoe ~ heating 0.8 Million homes in one year*

*Office for National Statistics and Carbon Trust Energy and Carbon Conversions"Energy Consumption in the UK", BERR, July 2008"Digest of United Kingdom Energy Statistics 2007", BERR

"Updated Energy and Carbon Emissions Projections", Nov 2008, DECC Table 4.3.

CO2 Emissions from UK Energy End-User Consumption

95

37

61

42

32

32144

0

20

40

60

80

100

120

140

160

Residential Service Manufacturing Transport

mtC

O2

CO2 emissions from heating (mtCO2) Non-heat CO2 emissions (mtCO2)

UK Energy Consumption for Heat in 2006Excludes energy industries, energy transformation industries and

blast furnaces

Electricity

Natural Gas

Oil

Solid Fuel

Energy consumption for heat Mtoe

Electricity 10Natural Gas 49Oil 8Solid Fuel 2

Total 70

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Heat consumption by sector and useHeat consumption by sector and use

All in Mtoe Space heating

Water heating

Low temp process

High temp process

Cooling / Ventilation

Residential 26 11 1 0 N/AService 9 2 2 0 1

Manufacturing 6 N/A 8 5 N/A

Is there scope for system optimisation minimising exergy loss and heat discarded to the environment?

UK Energy Consumption Residential space heating and hot water account for a significant amount of heat demand

The Heat and Electricity market is currently decoupled Led to inefficiencies in the generation, distribution, and use of heat and power

Transport: 42 MtoeElectricity Production: 50 Mtoe

"Energy Consumption in the UK", BERR, July 2008"Digest of United Kingdom Energy Statistics 2007", BERR

"Updated Energy and Carbon Emissions Projections", Nov 2008, DECC Table 4.3.

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Prospect for domestic heat loadProspect for domestic heat load

Current policy and technology for homes. Decarbonise supply?

The needs of retrofit systems for additional reduction.

Space Heating and Cooling is about comfort How do we meet comfort needs more efficiently? 70% of the 2050 housing stock is already built now

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Heat Demand ManagementHeat Demand ManagementNear Term: Use heat more effectively

• Mitigate losses in existing commercial and domestic buildings • Insulation, integrated controls, building management

• Ensure new builds use Best Available Technology• Industrial heat recovery for mid and low temperature heating markets

Long Term: • Residential and commercial space heating and hot water reduction• System level optimisation to manage supply and demand• New technology integration

Cost-effective retrofit technologies for demand reduction for balance with a decarbonised heat supply

Heat Supply

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Heat Supply De-Carbonisation OptionsHeat Supply De-Carbonisation OptionsHeat Production Options

Using surplus heat from power and other industries

Local heat and power supply (micro and macro CHP)

Renewable heat: Solar thermal, Biomass, Waste to Energy, etc.

De-carbonised electricity supply

Enabling Technologies

Heat Networks

Heat pumps

Heat Storage

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Recover heat from Industrial Systems – Potential Saving Consumption* & saving in million tonnes of oil equivalent

Recover heat from Industrial Systems – Potential Saving Consumption* & saving in million tonnes of oil equivalent

Mtoe Natural Gas Oil Coal

• UK total wasted heat production * 23.9 5.3 34.9• Power Stations

20 (16 Million Homes)

• Refineries2 (1.6 Million Homes)

• Other Industry (> 20MW) 1 – 2 (0.8 – 1.6 Million Homes)

*UK Consumption as per Energy Flow Chart 2007 (BERR-Dept of Business Enterprise & Regulatory Reform )

Heat forward (hot water)

Electricity

Return(cold water)

Diverse Supply

•Available for use as low temperature heat source with a viable heat sink from 60-120 oC

•Technical heat recovery potential at temperatures up to 1500°C with commercial technology

• Approximate technical potential estimated for a generic multi- stage steam turbine power station. Detailed and site level analysis has not been performed

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Copenhagen Case Study – DHCopenhagen Case Study – DH

Distributed heat networks

Powerplant and distributed CHP (30% reduction in CO2)

Developed a diverse fuel supply for security

Significant use of biomass and waste CHP

Renewable firming

50% reduction in CO2 intensity since 1972

* Danish Energy Authority

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UK Heat NetworkUK Heat Network

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Enabling TechnologiesEnabling Technologies

Heat Storage

Allow for efficient use of energy

Temporal match management• Key needs: Range, Storage Capacity, time

Heat Pumps

Use small amount of high level energy to upgrade low level heat

Use low level heat to drive heat pumps for cooling

Generally applicable for relatively small scale equipment

Low Temperature Heat utilization

Increases system efficiency using lower temperature distribution

Other…

Solar thermal

Fuel cell

Micro CHP

Heat exchangers

MVR (mechanical vapour recompression)

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System Benefits of CHP and Heat Networks System Benefits of CHP and Heat Networks To meet 800MW of electrical demand and 200MW heat demand in each case. Losses in DH ignored.

Emissions(t CO2 /hour)

Current Grid System - heat from condensing gas-fired boiler

776

… as above plus district heating off-take from the power station 756

With CCS on all generating plants 147… as above plus district heating off-take from the power station 96

Short Term

CHP & Local heat networks to initiate decarbonisation

Long Term

Integrated centralized heat and power networks with CCS

Summary

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Hea

t Con

tribu

tion

to C

O2

I n d u s t r ia l H e a t R e c o v e r y fo r lo c a l h e a t s u p p ly

L o w C a r b o n E le c t r ic H e a t in g

D is t r ib u te d H e a t a n d P o w e r N e tw o r k s

B io m a s s a n d W a s te T o E n e r g y

H e a t P u m p s

C e n t r a l ly - s u p p l ie d H e a t n e tw o r k

H e a t S to r a g e S o la r T h e r m a l a n d M ic r o g e n e r a t io n

2050Timeline

80% R

eduction in CO

2

Low Carbon Supply Technology Development

Demand Management

The Vision of Heat The Vision of Heat

• Affordable Comfort• Low Carbon System• Secure Supply

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ConclusionsConclusions

Issues that need to be addressed to meet the Carbon Emission Reduction standards of 80% reduction:

Actively reduce heat demand through affordable building technologies

Efficiently deliver and use of space heating and hot water • Meet consumer comfort more effectively and efficiently• Low carbon new build and retrofit has a critical role to play

Efficiently use our resources• Potentially 30% of total demand can be met with Industrial and Power wasted heat

Proactively develop a diverse mix of supply solutions including,• Waste as a renewable source of heat, Solar Thermal, heat storage, heat pumps, etc

How do we achieve a deep integration of de-carbonised supply and demand reduction for Low carbon heating?

That’s why we’re here….