Energy, Role of Hydrogen, and NETL
West Virginia Energy Roadmap for Hydrogen Stonewall Resort Roanoke, WV November 19-20, 2003 Rita A. Bajura, Director
National Energy Technology Laboratory
Office of Fossil Energy
Outline
• Definition of hydrogen
energy future
• Drivers • Technology status • WV situation analysis • Closing comments
Photo: NREL
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U.S. Energy Today
Renewable 6% Nuclear 8% Coal 23% N. Gas 24%
34% Other
39% Electricity
Petroleum 39%
27% Transportation End Use
Primary Energy
2000 Data . DOE/EIA Annual Energy Outlook 2003
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Hydrogen Energy Future: A Notional View 2050
Other Fuel Electricity Energy Mix TBD Conservation/ Efficiency Other Onsite H2 Use
Electricity Transportation H2
Onsite H2 Fuel Cells H2 Fueled Vehicles
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Low Carbon Emission Primary Energy
End Use
Confluence of Drivers for H2 Energy Future
Urban Pollution Worries
Increasing Political Will
Climate Change Concerns
Energy Security – Oil Imports
Fuel Cell Technology Maturing
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While Air Emissions Down Sharply, Pressure to Further Reduce
150%
Growth and Emissions
164% 159%
Gross Domestic Product Vehicle Miles Traveled
100% 42% 50% 38% Energy Consumption U.S. Population
0%
-
-48%
-
Aggregate Emissions (6 Pollutants)
EPA Emission Trends
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70 80 90 95 96 97 98 99 00 01 02 Year
CO2 From Energy Is Major Contributor to Anthropogenic Greenhouse Gas Emissions
U.S. GHG Emissions Weighted by Global Warming Potential Other CO2 1.7%
CO2 from 2 Energy 82%
Methane 9.0% Nitrous Oxide 5.6% Other Gases 2.1%
EIA Report #EIA/DOE-0573 “Emissions of Greenhouse Gases in the U.S. 1999,” Executive Summary (Oct. 2000)
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It Probably Doesn’t Matter ─ The Issue Is Here to Stay
• Science unlikely to provide
Global Climate Change: Fact or Fiction?
unequivocal causality answer
• Governments and markets likely
to act on their perception of the science
Portions based on Executive Action Brief No. 23, June 2002,The Conference Board
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Patchwork of State & Local GHG Programs
Seattle, WA: Goal of zero net GHG emissions from electric; purchased reductions from OR Climate Trust OR: New power plants 17% CO2 below most efficient natural gas plant; purchase credits from OR Climate Trust or approved projects Portland, OR: 20% below 1988 CO2 emissions by 2010 CA: GHG registry being developed OK: Law allows OK to certify carbon sequestration from changes in farming practices WI: GHG registry being developed NH: 4P legislation requiring 3 power plants to reduce CO2 emissions to 1990 levels passed House; purchase credits from 11 NE states; GHG registry being developed MA: Law requiring 10% cut in CO2 emissions from 6 power plants; may purchase CO2 offsets; GHG registry being developed NY: GHG Task Force established; recommendations for federal 4P reductions NJ: GHG reduction target of 3.5% below 1990 levels by 2005; voluntary generation of GHG credits/banking in NJ credit registry
Neil Cohn, Natsource Emissions Desk, April 30th, 2002
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TX: GHG registry being developed
States With Incentives for Renewables
38 states have one or more incentives: • State income tax credit
• Renewable portfolio
standard / goal
• State / utility / local
buydown program
• State grant program
Database of State Incentives for Renewable Energy, WWW.dsireusa.org
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Fuel Cell Technology Maturing
Phosphoric Acid
• IFC • 220 200-kW units • > Six “9’s” reliability
Molten Carbonate
• Fuel Cell Energy • 50 MW/year manufacturing plant • 10 million kWh generated
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Nothing Matches Fuel Cell Efficiency
Transportation and Stationary Power
100 80 60 40 20 0 0.01
High-T Fuel Cells Low-T Fuel Cells High-T Hybrid Fuel Cells Gas Turbine Combined-Cycles Diesel Engines IGCC PC Gasoline Engines Gas Engines Micro and Adv Turbines
Efficiency (% LHV)
0.1
1
10
100
1000
Power Output (MWe)
Gas Engine - GRI Diesel Engine - California Advanced Reciprocating Internal Combustion Engines Collaborative, Workshop Proceedings, July 2001
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Fuel Cells Are an Enabling Technology for Hydrogen Future
Hydrogen Basically a battery with an external supply of fuel and oxidant
Electron Flow
Anode Electrolyte
Electricity
Cathode
+
Oxygen from Air
Pure Water Cells stacked together for desired power
Issue: Cost • Fuel cells cost $1,600 - $4,500 per kilowatt • Internal combustion engines cost = $35 per kilowatt
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3-10 kW Solid State Fuel Cells for Multiple Applications
2005 Beta Prototype
• $800 / kW
− Premium power − Auxiliary power in long-haul trucks − Military
2015 2010 Product
• $400 / kW • Vision 21 power plants • Hybrid systems
− Residential − Industrial CHP
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Six SECA Industry Teams
General Electric Company
FuelCell Energy, Inc.
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Energy Security: U.S. Oil Imports Rising
30
Actual Projected
25
Million BBLs/day
Consumption
20 15 10 5 0 1970
68% Imports in 2025 55% Net Imports Today
Domestic supply
1980
1990
2000
2010
2025
DOE/EIA Annual Energy Outlook 2003
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Petroleum Supply, Consumption, and Imports 1970-2025
World Light Oil Supply Is Finite
Pratt 1942 Weeks 1948 MacNaughton 1953 Weeks 1959 Shell 1968 Moody 1970 Moody 1972 Linden 1973 Adams & Kirby 1975 Folinsbee 1976 Nelson 1977 Nehring 1979 Meyerhoff 1979 Halbouty 1981 Nehring 1982 Martin 1984 Masters 1987 Bookout 1989 Campbell 1992 Masters 1994 Campbell 1995 USGS 95% 2000 USGS Mean 2000 USGS 5% 2002
Mean 2.25 Trillion Barrels
Published Estimates World Oil Ultimate Recovery Trillions of Barrels
0
1
2
3
4
USGS and Colin Campbell
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Estimated Date of Peak Light Oil Production
Billion BBLs / year 40 30 20 10 0 1950
2.2
2.6
Assumed World Oil Resource 1.8 Trillion BBLS
1970
1990
2010
2030
World Resources Institute
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Hydrogen Can Be Produced From Many Domestic Energy Sources
Natural Gas
Biomass
Nuclear Power Future Hydrogen • Fusion • Thermochemical • Photochemical
Coal
Solar / Wind
Biomass photo: NREL, Calvert Cliffs Nuclear Plant
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Increasing Political Will
President Bush Launches Hydrogen and Related Initiatives
• Hydrogen • FreedomCAR • FutureGen • Carbon Sequestration
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Beginnings of Hydrogen Infrastructure Exists
• World annual production
equivalent to 1.5% of primary energy
• Most produced by major
Refineries Methanol
Other
industrial gas suppliers:
− − − − − Air Liquide Air Products BOC Linde Praxair
Ammonia
• Used principally as
Space
D. Hart, P. Freund and A. Smith, Hydrogen — Today and Tomorrow, IEA Greenhouse Gas R&D Programme, April 1999
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industrial commodity
Hydrogen Refueling Stations
CTA Chicago, IL CaFCP
Ford Dearborn, MI
Sacramento, CA
Erie, PA
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Hydrogen - Inherently Good But Economically Challenged
• Not naturally occurring − Process derived • Low energy density • Safety challenged • Expensive to: − Produce − Store − Deliver − Transfer
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U.S. DOE Developing Hydrogen R&D Plans
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DOE’s Hydrogen Program Sets Goals for Infrastructure Development
Storage Hydrogen Production Delivery Transfer Hydrogen Use
Hydrogen Storage on Metal Hydrides
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Technology Can Enable Coal to Be Preferred Source for Future H2 Production
U.S. Fossil Fuel Reserves / Production Ratio Years Supply at Current Production
• Abundant reserves • Low and stable
300 246 200
Coal Oil Natural Gas
prices
• Technology
improvements
− Could enable nearzero emissions of air pollutants/GHGs
100 11.7 0
9.2
EIA- U.S. Crude Oil, Natural Gas, and Natural Gas Liquids Reserves: 2001 Annual Report, November 2002; Coal: BP Statistical Review, June 2002, World Energy Council
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FutureGen
One billion dollar, 10-year demonstration project to create world’s first coal-based, zero-emission electricity and hydrogen plant President Bush, February 27, 2003
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FutureGen Concept
Hydrogen Pipeline
Oil Pipeline
E le c tric it y
Refinery
and / or
Coal-Fired IGCC
CO 2 Pipeline
Enhanced Oil Recovery
Geologic Sequestration
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Industry Group Announced Formation of FutureGen Consortium
• American Electric Power • CINergy • PacifiCorp • Southern Company • TXU (Texas Utilities) • CONSOL • Kennecott Energy • North American Coal • Peabody Energy • RAG American Coal
Holding Charter members represent ∼1/3 coalCharter members represent ∼1/3 coalfired utilities and ∼1/2 U.S. coal industry fired utilities and ∼1/2 U.S. coal industry
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FutureGen Uses Coal Gasification Technology
IGCC in Early Commercialization
• Wabash River
−1996 Powerplant of Year Award* − Achieved 95% availability
• Tampa Electric
− 1997 Powerplant of Year
Award* − First dispatch power generator
*Power Magazine
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Significant Worldwide Gasification Capacity
Cumulative Capacity
GWth Syngas
70 60 50 40 30 20 10 0 1975 1985 1995 2005
Planned Real
130 Operating Gasification Plants
• 400 gasifiers • 43,300 MWth of
synthesis gas equivalent
• 24,000 MWe IGCC
Year
DOE’s Worldwide Gasification Database, 2001
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Why Integrated Gasification Combined Cycle?
• Fuel and product flexibility • Environmentally superior • High efficiency • Sequestration ready
Producing concentrated stream of CO2 at high pressure • Improves sequestration economics • Reduces efficiency penalty
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Approaches to Sequester Carbon
Capture and Storage Enhance Natural Processes
Unmineable Coal Seams
Forestation
Deep Ocean Injection
Depleted Oil / Gas Wells, Saline Reservoirs
Iron or Nitrogen Fertilization of Ocean
Enhanced Photosynthesis
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Why Sequestration Is Important
Sequestration Advantages One of Three Carbon Management Options
• Switch to low- and • Compatible with existing
energy infrastructures
• May prove to be lowest
no-carbon fuels
• Increase energy
cost option
efficiency
• Sequester carbon
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Large Potential Worldwide Storage Capacity
100,000 10,000 Potential Capacity Range
Capacity (Gigatons)
6,000 5,000 4,000 3,000 2,000 1,000 0
Deep Saline Depleted Depleted Coal Ocean Reservoirs Oil Gas Seams Reservoirs Reservoirs Annual World Emissions
6.2 Gigatons
Storage Option
Storage Options: IEA Greenhouse Gas R&D Program; Advanced Resources International estimates for coal seams World Emissions: International Energy Outlook 2000, Table A10
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One Million TPY CO2 Sequestration Projects
Weyburn CO2 Project • Pan Canadian Resources • Enhanced oil recovery coupled with sequestration Sleipner North Sea Project • Statoil • Production of natural gas with high CO2 content • CO2 sequestered in saline reservoir under sea
Sequestration Is Feasible
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DOE Sequestration Program Is Dynamic
• Diverse research portfolio
−70 projects
• Strong industry support
−40% cost share
• $140M value of R&D portfolio
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National Energy Technology Laboratory
• One of DOE’s 17 national labs • Sites in West Virginia,
Pennsylvania, Oklahoma, Alaska
• Implements DOE’s R&D
programs in coal, oil, natural gas
• 1,100 Federal and contractor
employees
• $750 million per year budget
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How Can WV Participate in Hydrogen Future?
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Many States Have Hydrogen Activities
• Hawaii – State H2 Plan • California – Fuel Cell Partnership • North Dakota – Coal Gasification/Sequestration • Florida – Solar H2 Initiative • Michigan – FreedomCar/
Next Energy
• Ohio – Fuel Cell Initiative • Montana – Montana
Energy Futures Coalition
Photo: NREL
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Canadian Hydrogen Experience
Stakes are Large!
• 2001-2002
−32 companies −$97 million revenue −$179 million R&D −1,772 jobs • Projected 2002-2003 growth −$165 million −$358 million R&D −2,639 jobs
Photos: NREL
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Hydrogen Industries
• Engineering • H2 production equipment • Testing equipment • Fuel cells • Power generators • H2 storage • H2 transportation • Distributed energy • Electrical components • Purification services • Engines • Safety products • NOx reduction • Fuel reformation • Gas sensors • Carbon sequestration • Coal gasification • Safety training • Many more to come
equipment • Pressure devises • Pressure regulators • Evaluation and certification services
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Coal in West Virginia
• 16,200 payroll jobs • 99% of electricity produced using coal − Average cost $0.05/kWh • 54 billion tons coal reserves − Produced 163 million tons in 2002 • Contributes 13% to State GDP • Coal and electricity industry
pay 60% of WV’s business tax
The Hydrogen Economy in WV: 2002, Alzate and Will, Bureau of Business and Economic Research, July 2003
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U.S. CO2 Emissions From Fossil Fuel Combustion
2,500 2,000 1,500
Relative Contribution by Fuel Type
Natural Gas Petroleum Coal
Tg CO2 Eq.
1,000 500 0
Industrial Electric Residential Commercial U.S. Territories Transportation
Table 2-3, EPA 430-R-02-003, April 2002 Inventory of U.S. Greenhouse Gas Emissions and Sinks: 1990-2000
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West Virginia Situation Analysis
• Coal critical to WV economy and potential target
for carbon emission limits
• Chemical industry has H2 production expertise • Research institutions have H2 production
expertise
• Potential H2 pipeline right-of-
ways along pipelines/electric transmission lines centers
• Near east coast population • Potential sites for geological
sequestration
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WV Has Many Potential Geologic Sequestration Sites
Legend:
1 to 2 Formations 3 to 4 Formations 5 to 6 Formations 7 to 8 Formations 9 to 10 Formations 11 to 12 Formations
Appalachian Basin NETL, Curt White
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In Closing . . . Energy Industry Being Transformed as It Moves Toward a Hydrogen Future
Electricity Sector
Transportation Sector
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Coal Gasification/Carbon Sequestration Path Is Promising
• U.S. has an abundance of coal —
easily enough to get to 2100
• We have technology to gasify
coal and sequester CO2
• Coal-based H2 and electricity
production with near-zero carbon emissions appears less expensive than most other approaches
Ray Smith, LLNL, Southwest Renewable Energy, Conference, Flagstaff, AZ, August 7, 2003
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For West Virginia . . .
Gasification plus carbon sequestration Gasification plus carbon sequestration provides opportunity for coal: provides opportunity for coal:
To continue to be used for electric production
To produce H2 and capture portions of transportation fuel market
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Where U.S. Could Be in 2050
Today
Renewables 6% Natural Gas 24% Coal 23% Oil 39%
2050 Doubling of Energy Use
Natural Gas 10% Hydrogen Fuels Coal 50% Near-Zero Emission Electricity Renewables 20% Oil 10% Nuclear 10%
Nuclear 8%
Total projection an extrapolation of EIA “Reference Case” (1999-2020)
Based on Ray Smith, LLNL, Southwest Renewable Energy Conference, Flagstaff, AZ, August 7, 2003
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Should There Be a WV Hydrogen Initiative? Should It Focus on CoalBased Hydrogen Production ?
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