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Agenda. 9:30 Coffee and Welcome 09:40 Biomethane Market Overview John Baldwin, CNG Services Ltd 10:00 Biomethane in the RHI – DECC Policy Update Geraldine Treacher , DECC 10:15 Facilitating the future Richard Court, National Grid 10:30 Biomethane to Grid
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Agenda 9:30 Coffee and Welcome 09:40 Biomethane Market OverviewJohn Baldwin, CNG Services Ltd 10:00 Biomethane in the RHI – DECC Policy UpdateGeraldine Treacher, DECC 10:15 Facilitating the futureRichard Court, National Grid 10:30 Biomethane to Grid Plant Operational ExperienceNick Finding, JV Energen - Rainbarrow Farm Matt Powell, Vale Green Energy - Springhill Farm William Mezzullo, Future Biogas - Doncaster 11:15 Tea/Coffee break and networking 12:00 Euston BtG ProjectCharlie Fillingham, Strutt and Parker Farms 12:15 Virtual Pipeline ProjectAlan Midwinter, Scotia Gas Networks 12:30 Biomethane in the South West - FraddonWinston Reed, Greener for Life 12:45 RHI and SustainabilityPaul Adams, CNG Services 13:00 Lunch and Networking 14:30 Green Gas Certificate SchemeVirginia Graham, REAL 14:45 Biomethane ShippingPeter Rayson, Barrow Green Gas 15:00 EU Projects UpdateAlison Cartwright, BIOMASTER 15:10 EU Projects UpdateAlison Cartwright, BIOMASTER 15:30 Tea/Coffee break and Networking 16:00 Close www.cngservices.co.uk/events www.r-e-a.net/events/uk-biomethane-day-2014
The Future of Biogas?a look at FiTsdegressionbiomethane injection David Collins REA Biogas Biofertiliser Certification Scheme European Biogas Association
REA Events 2014 • Biomethane Day – 9th April – Motorcycle Museum Birmingham • Next REA Biogas Meeting – Thursday 5th June – Burges Salmon – London • AD Operating & Engineering Course – 16th to 18th June – St Ives, Cambridge – plus tour of UK plants 19th to 20th • British Renewable Energy Awards & Gala dinner – 12th June – The Savoy Hotel, London
FiTs Annual Degression Thresholds • Deployment & pre-accreditations capacity in each band is totaled for calendar year • New tariffs announced January 31st • New tariffs in force from 1st April 2014 • Three tariffs but two capacity bands • Protection for small AD? • Toxic mix – plus extension gaming
FiTs Actions on degression in 2013 • Requests to Minister for change from early 2013 • 10th September Minister agreed to review AD FiTs • industry originally divided - so worked with larger & smaller companies to achieve consensus • The final proposal was: • Consolidate the annual capacity • Remove pre-accreditation counting from total • Retain pre-accreditation of tariffs • Change the extension rule • Minister confirms review on 27th November • Ofgem publishes pre-accreditation figures
Average 499kWe Average 183kWe
FiTs Actions on degression in 2014 • “Treasury sees overspend” • 19th February - Senior DECC official withdraws review – now part of wider FiTs Review in 2015 • Industry demand for a Ministerial meeting • Proposals to support sub 250kWe on farm AD • Resolving barriers to medium and large scale • Discussion on long term solutions • Short term action to assist sub 500kWe
measures suggested by members • restrict degression to 10% • RHI – don’t deduct heat from digester • support from Defra? • Enterprise Investment Scheme? • Enhanced Capital Allowances • extending the 12 month limit for pre-accreditations • removal of pre-accreditation counting from totals • additional FiT tariff for sub 250 kWe • survey of pre-accredited plant to eliminate those who cannot deploy
Didcot – UK’s First BtG Project Anaerobic Digesters Propane Storage Gas bag Propane Injector Telemetry Energy & quality Measurement Flow of biogas - 100 m3/hr First gas to grid on 3rd Oct 2010 H2S and Siloxane filters Biogas upgrader
Poundbury • UK’s first commercial project • Membrane CO2 removal plant • Gas injected into 2 bar grid • 500kWe CHP • Development is a JV between Duchy of Cornwall and some of its tenants • Achieving 98% availability Flow of biogas – 500 m3/hr First gas to grid – October 2012 • Prince Charles opened the project in Nov 12
Future Biogas - Doncaster • Agricultural feedstock • 80% gas to grid • 499 kWh CHP • Membrane CO2 removal plant • 7bar gas grid • First project in National Grid area Flow of biogas –900 m3/hr First gas to grid – October 2013
Vale Green 1 • Hybrid Membrane and Cryogenic CO₂ separation plant • Separated CO₂ used to grow more tomatoes • 75% gas to grid with a 490kWh CHP • 7 bar gas grid Flow of biogas – 600 m3/hr First gas to grid – August 2013
ReFood Widnes • Food waste feedstock • 100% gas to grid • Water-wash CO₂ removal plant • 2 bar gas grid Flow of biogas – Estimated 2,000 m3/hr First gas to grid – Estimated Q2 2014
Severn Trent Water Minworth • Sewage feedstock • 20% gas to grid – with existing 7MW CHP • Water-wash CO₂ removal plant • 20 bar LTS grid • Blending allowed so minimal propane Flow of biogas – Estimated 1,200 m3/hr First gas to grid – Estimated Q2 2014
New Projects in 2014 • BiocoreBeccles • Severn Trent Water Minworth STW • Refood Widnes BtG • Crouchlands Farm • Greener for Life Fraddon • 3 Future Biogas Plants • Northumbrian Water Howdon STW • Euston Estates • Coupar Angus • WykeFarms • Large distillery project - Scotland In total 21 projects will go ahead in 2014 and around 17 more in 2015 helping meet 2020 renewable energy targets
Biomethane projects per year 2010-2015 Biomethane to grid likely to be largest RHI technology
Annual Biomethane to Grid and RHI for 2012-2015 TWh annum Millions Biomethane to grid likely to be largest RHI technology
REAL Green Gas Certificate Scheme • Designed to allow ‘tracking of biomethane from injection point to customer’ • Integrity - no ‘double counting’ • Separate from the gas to provide flexibility • Can only be used once GGCS Launch Members • National Grid • British Gas • E.ON • Thames Water (Didcot) • AdnamsBiogroup (Adnams) • Milton Keynes City Council • CNG Services Ltd • http://www.greengas.org.uk/ GGCS is the only UK scheme associated with the recent agreement to harmonise registry Green Gas Certificate rules http://www.greengasgrids.eu/info/news.html
DECC has announced a review of RHI biomethane injection tariffs • Perceived risk of overcompensation for large biomethane to grid plants • only one tariff at present – 7.3pkW • looking for industry input on all scales of plant • Capex, Opex • different components/technologies • feedstocks/build times • summer full consultation
Biomethane to Grid Conclusions • It has taken 7 years but the regime is very good: • Over 50 projects in next 3 years is possible, all technologies • Still behind Europe • Germany – 120 • Sweden – 60 • Need to focus on reducing capital costs • 10 active biomethane equipment providers in UK – competition will bring down costs • Grid Entry Unit costs can fall further - adjustments to the regime • High pressure connections possible • Green Gas Certificates • CNG for trucks and buses and CHP/District Heating for new housing/stores • REAL not for profit scheme is helping to facilitate biomethane projects The biomethane market is set to grow, delivering significant benefits and helping meet 2020 renewable energy targets
RHI – Renewable Heat Incentive • 4th December – Government decision paper • Implementation by “Spring” 2014 • Tariffs for heat • Sub 200kWth – 7.3p (unchanged) • 200 – 599kWth – 5.9p • 600kWth and over – 2.2p • Eligibility • 4th December for >200kWth • sub-200kW this remains 15 July 2009. • For “new” installations – meaning?
REA Events 2014 • Biomethane Day – 9th April – Motorcycle Museum Birmingham • Next REA Biogas Meeting – Thursday 5th June – Burges Salmon – London • AD Operating & Engineering Course – 16th to 18th June – St Ives, Cambridge – plus tour of UK plants 19th to 20th • British Renewable Energy Awards & Gala dinner – 12th June – The Savoy Hotel, London