WOC 5 - Utilization SG 5.1 Industrial Utilization

Case study:

Efficient use of CHP for process & heating in industry in Italy

Egidio Adamoeni gas & power - Italy

Buenos Aires6th October 2009

Agenda - Items

Introduction

Case study in textile sector

Conclusions3

2

1

Cogeneration is the simultaneous generation of electrical and thermal energy in the same process, both considered useful products

Introduction

Example of CHP plant lay out

HOT WATER

GAS

EXHAUST

ENGINE

STEAM

POWER

Less energy wasting in production

Less losses in power transmission

Reduction of emissions

Main benefits of CHP

CHP is mainly suitable if there is a simultaneous demand of power & heat

To evaluate effectiveness of CHP with respect to separate production

Suitability conditions Feasibility study

Suitability and feasibility

Paper mills

In Industry, CHP is particularly suitable in these sectors:

Industrial sectors

Food Brick and ceramicsChemical Textile

Introduction

In many Countries, “high efficiency CHP” is defined by law

Grid Operators

Authority

ESCos

In Italy “high efficiency CHP” is eligible to White Certificates System, a mechanism to incentive energy efficiency

PES ≥

10% (size > 1 MWe)

In European Union (EU Directive 2004/8/EC) starting from 2011, minimum Primary Energy Saving is required

• smooth administrative processes • reduction of CAPEX• incentives to recover external costs of energy market• information & culture

Development of CHP needs also:

Introduction

Case study

Natural gas CHP in textile industry

COTONIFICIO ALBINI S.p.A.Lombardia - ITALY

PROCESS: Cotton dyeing and weaving factory located in Albino

Electricity

Heat

Working program~ 6,500 h/y

12.5 GWh/y

11.1 GWh/y

ENERGY

DEMAND

PROCESS

• Dyeing

• Preparation

• Weaving

• Quality controls

dryingvaporizationsizing

Previous good experience

A 1.8 MWe CHP plant – 3 engines – was already installed, to be substituted because of obsolescence of engines

Case study:Industrial process

Choice of kind and size of CHP

22 internal combustion engines1.7 MWe total

Energy audit1

Energia elettrica consumata

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Energiaelettricaconsumata

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Termico caldaia Termico cogeneratore Termico totalemedia mobile totale media mobile cogenerazione media mobile caldaia

~ 1.8 MWe

~ 2.0 MWt

Case study:Feasibility study

Profits estimation vs. separate production

3

Saving of Primary Energy 25 % *

Economic saving (including O&M costs)

270,000 €/y

* according to Italian regulation

Case study:Main actions

• 2 internal combustionNatural Gas engines: 1/1 heat/power ratio cheaper than GT

1 new engine: 1 MWe

1 existing engine: 0,7 MWe

POWER

Optimization of power generation and heat recovery

• Optimization of plant efficiency & flexibility• Preservation of high quality of productsRESULTS

HEAT

• Direct use of hot water instead of steam

• Hot water storage tank with closed loop

• Low pressure steam (instead of 11 barg)

65 °C, 95 °C

200 m3

4 barg

Case study:Some images…

HOT WATER

N. GAS

EXHAUST

ENGINE

STEAM

POWER

Images of the new 1 MW Engine & Steam Generator

Case study:Saving

N O

CHP 1

90%

815

741%6

9

POWERPRIMARY ENERGYGWh HEAT

CHP

316

6 7

Th. Eff.

42%El. Eff.

38%

3Saving of energy: 30 % *

Efficient

CO2 avoided: 1.8 kt/y **Clean

***compared to separate production

Saving: ~300,000 €/y***~ 20 %

** referred to: 575 tCO2 /GWhe and 2.35 tCO2 /Toe NG

* referred to Italian regulation

Pay back time ~ 4 y

Cost effective

Data are for reference purpose only

13 57 11

FACTORY

Conclusions

District heating Industry

Energy saving

Reducing CO2 emissions

Reducing cost of energy supply

Energy efficiency is a “virtual” energy source, leading to reduction of greenhouse gas emission and stimulation of technology research

CHP can play an important role in:

Good fields of development are:

eni is committed to promoting energy saving behaviourand offers consultancy services aimed at promoting energy efficiency and CHP among industrial clients

Italian firm Cotonificio Albini SpA for information & data on industrial CHP case study

WOC 5 - SG 5.1 Chairman, Vice Chairman & all the members for their cooperation

Thank you for your attention!

Egidio Adamoeni gas & power - Italy

Phone: +39 02 520 51627E-mail: egidio.adamo@eni.it