UK-China Near Zero Emissions Coal Initiative Dr Matthew Webb

1. 00 MONTH 2004 UK-China Near Zero Emissions Coal Initiative Dr Matthew Webb Department for Environment Food And Rural Affairs, UK International Workshop on Carbon Capture and Storage in the Power Sector, R&D Priorities for India Ashok Hotel, New Delhi, 22-23 January

2. Some Opening Remarks • UK recognises the potential of CCS to reduce carbon dioxide emissions from fossil fuelled power generation; • The global challenge is to demonstrate CCS at commercial scale, not only in Europe, but also in developing countries whose economic development and energy security will be heavily dependent on coal; • Agreements on technology transfer and the deployment of low carbon technologies such as CCS are likely to feature strongly in any global post-2012 settlement;

3. World Energy Outlook 2007 • World energy demand could be well over 50% higher than today. • Global energy-related emissions of carbon dioxide could rise from 27Gt in 2005 to 42Gt in 2030 – and increase of 57%. • Confirmed China and India as the emerging giants of the world economy and international energy markets. • Govt action must focus in curbing the rapid growth in CO2 emissions from coal fired power stations. • ‘CCS is one of the most promising routes for mitigating emissions in the longer term and could reconcile continued coal burning with the need to cut emissions in the longer term - if the technology can be demonstrated on a large scale and if adequate incentives are put in place’.

4. Coal Will Dominate the Power Generation Mix in China CO2 Emissions from China's Coal-fired Power Plants 7 000 Existing New 2015-2030 New to 2015 6 000 5 000 4 000 Mt of CO2 3 000 2 000 1 000 0 2006 2010 2015 2020 2025 2030 2035 2040 2045 2050 2055 2060 2065 2070 2075 2080 2085 2090 Source: IEA WEO 2007 Capacity additions in the next decade will lock-in technology, and be crucial for emissions through 2050 and beyond

5. EU-China Political Agreement • EU-China Summit (Sept 2005) declaration on Climate Change & Energy: • “ We will aim to achievethe following co-operation goals by 2020:To develop and demonstrate in China and the EU advanced, near-zero emissions coal technology through carbon capture and storage” • Agreement followed by two complementary MoU with associated projects: • China-UK MoU (Dec 2005)  UK NZEC Phase 1 • China-EC MoU (Feb 2006)  COACH • Key Chinese Partners are the Ministry of Science and Technology (MOST) supported by the Administrative Centre for China’s Agenda 21 (ACCA21) • Chinese partners also in GeoCapacity, MoveCBM and Cachet

6. Phase 1 Explore options for CCS with coal fired power in China Assess options by early 2009 Phase 2 Detailed design of identified project(s) Definition Stage c.a. 1-2 years complete by 2010-11 Phase 3 Construct & Operate Demonstration Project Execute stage 3-4 years by 2014 NZEC Ambitious Phased Approach

7. Current Status • Extensive project development period • Major workshop in July 2006 • Project launched on 20th November 2007 in Beijing, attended by Ministry of Science Vice-Minister Liu Yanhua and Deputy Ambassador Barbara Woodward • 18 month programme of collaborative work undertaken by 28 partners to complete in early 2009

8. NZEC Phase 1 • WP1 – Knowledge Sharing and Capacity Building; websites, workshops, seminars, exchanges. • WP2 – Future energy Technology Perspectives; future energy demand, existing and advanced power generation technologies. • WP3 – Case Studies for Carbon Dioxide Capture; techno economic studies of capture options. • WP4 – Carbon Dioxide Storage Potential; regional assessment and field selection for demonstration. • WP5 – Policy Assessment and Roadmap; including legislative and regularity issues and socio-economic impacts.

9. WP1 Knowledge Sharing and Capacity Building • Internal and external websites www.nzec.info (dual language) and www.ccsinchina.info as a Chinese information hub. • Interim and Final Workshops in Beijing (Sept 2008 and June 2009). • Study Tour to Europe (June 2008). • Sponsored attendance of Chinese delegates at key CCS schools and events e.g. IEA GHG CCS summer School and GHGT9 in Washington (November 2008). • Sponsored exchange of students and industrial experts to UK. • Development of Chinese reference material and course training material. • Technical and non-technical journals and articles.

10. WP2 Future Energy Technology Perspectives • Future energy demand projections for China to 2050. • Refinement of National scenario (Markal) model to include CCS technology deployment. • Assessment of energy intensive sectors and of existing and advanced technologies. • Assessment of role of potential role of CCS in cutting carbon emissions.

11. WP3 Case Studies for Carbon Capture • Common understanding of potential applications of a range of capture technologies in the power generation sector in China. • To locate techno-economic characteristics of CCS technologies for application in China. • To identify the role of each option (short to long term). • To recommend the preferable case for demonstration. • Undertaking 8 case studies including Oxyfuel, Post Combustion and Pre-Combustion capture for new build (and also capture ready). • Transportation and separation technologies.

12. WP4 Carbon Dioxide Storage Potential • Evaluating storage potential and undertaking first stage site characterisation for site selection. • Future potential at regional basin level and at site specific level for CO2 storage through enhanced oil recovery, enhanced coal bed methane and storage in saline aquifers. • Basins include Songliao (Jilin oilfield and aquifers), Subei (Jiangsu oilfield) and Quinshi (ECBM). • GIS model to be compiled of select regions within Songliao basin.

13. WP5 Policy Assessment and Roadmap • Integration of technical reports from other work packages to produce summary report. • Technology roadmapping for short term activities leading to demonstration and long term activities for wider deployment. • Additional Social Economic Impacts modelling undertaken. • Further dialogue and discussion on specific factors and barriers impeding the application of CCS technology in China.

14. UK’s Success Criteria for NZEC? • To implement a truly collaborative project between Chinese and UK experts, which; • Builds capacity in China to determine the best options for carbon dioxide capture, transport and geological storage, and; • Makes recommendations for the development and demonstration of CCS technology in China and considers the viability of CCS deployment in the future.

15. Common Global Challenges for CCS • Verification of the location, capacity and permanence of geological storage of carbon dioxide. • Need to reduce the energy penalty associated with capture. • Validation of integrated capture, transport and storage components for commercial-scale operation.

16. Chinese Partners • BP Clean Energy Research and Education Centre, Tsinghua University (THCEC), Centre for Energy and Environmental Policy Research (CEEP), China United Coalbed Methane Co Ltd, China University of Petroleum (Beijing), China University of Petroleum (HuaDong), Department of Environmental Science and Engineering of Tsinghua University. Department of Thermal Engineering, Tsinghua University (DTE), Energy, Environment and Economy (3E) Research Institute, Tsinghua University, Energy Research Institute (ERI), GreenGen, Institute of Engineering Thermophysics, Chinese Academy of Science (IET), Institute of Geology and Geophysics Chinese Academy of Sciences (CAS), Tsinghua University. Jilin Oilfield, North China Electric Power University (NCEPU), PetroChina, State Key Laboratory of Chemical Engineering, Tsinghua University (DCE), Thermal Power Research Institute (TPRI), Wuhan University (WHU), Zhejiang University (ZJU) • Implementation, Monitoring and coordination undertaken by the Administrative Centre for China’s Agenda 21 (ACCA21)

17. UK Partners • Consortium led by AEA Energy and Environment • Consortium members: Air Products, ALSTOM Power, Doosan Babcock, British Geological Survey, BP, Shell, Cranfield University, Imperial College, Heriott Watt University

18. EU - CHINA NEAR ZERO EMISSIONS COAL EU ZEP Flagship Programme EC-China-UK Steering Group Broad alliance of EU/Chinese Government, Industry and Academic partners implement demonstration Expanded R&D collaboration UK, European Commission and other Member States Initial Scoping • UK NZEC • EC COACH Phase 1 Assessment Phase 2 Design Phase 3 Construction 2009 2010 2012 2013 2007 2011 2008

19. Developing work with India • UK is pleased to be holding an active dialogue with the Government of India and is supporting several capacity building and technical activities including: • Co-sponsored BGS study into storage capacity. • Attendance of Indian Students at UK-Italy International School. • Study into efficiency of new build coal fired power plants (UMPP’s). • Study into capture ready concepts for UMPP’s.

20. Thank you for your attention!