<WG for the Use of Low Rank Coal>
Study Result (1) “Issues around Low Rank Coal - Toward near-future introduction and dissemination of low rank coal utilization technologies in ERIA region -”
Mr. Haruo Inoue, JCOAL, Japan
Presentation (1) “Australian Low-rank Coals - Issues related to efficient utilisation technologies and barriers to their wider introduction -”
Dr. Sankar Bhattacharya, Monash University, Australia
Presentation (2) “Utilization of Brown Coal in China - for the WG on Utilization of Low Rank Coal -”
Dr. Xu Zhengang, CCRI, China
Presentation (3) “The Utilization of Low Rank Coal in Thailand”
Mr. Yaowateera Achawangkul, DEDE, Ministry of Energy, Thailand Presentation (4) “Low Rank Coal Utilization and R&D Status in Korea”
Dr. Sihyun Lee, KIER, Korea
Presentation (5) “Activities in Japan for LRC utilization R&DD and dissemination”
Dr. Tohmei Takekawa, JCOAL, Japan
Special Report (1) “Coal Bank at AIST - Use of standard coal samples and database -”
Dr. Osamu Yamada, AIST, Japan
Special Report (2) “The LRC utilization: impediments and solution”
Prof. Shiro Hori, Kyushu University, Japan
1
Issues around Low Rank Coal
Toward near-future introduction and dissemination of low rank coal utilization technologies in ERIA region
Haruo Inoue
Japan Coal Energy Center (JCOAL) January 27, 2011
at the 3rdWG for Utilization of Low Rank Coal in Tokyo
Study Result (1)
2
1. Current situation of Low Rank Coal Use 2. Policy on Low Rank Coal
3. Utilization Technology of LRC 4. Barriers / Obstacles
- Policy aspect - Economic aspect - Technology aspect - Others
5. Efforts for LRC Utilization and Desired International Support
6. Summary Outline
Australia
・Victoria: Brown Coal resources - Gippsland Basin 394 Bt (158 Bt in Latrobe Valley)
Brown Coal production: appr. 65 Mt/a for power generation (85% of the State power generation ) - Moisture: 60-70%, S: 0.2～0.4%
・South Australia: Leigh Creek (sub-bituminous) resources - 985 Mt
Coal production : 3～4 Mt/a for power generation (40% of the State power generation ) - Moisture: ～30%, S: ～3%
China
・Proven Brown Coal Resources: over 130 billion tons, mostly in Eastern Inner Mongolia and Yunnan Province - Moisture: 33～35% for Inner Mongolian brown coal, 55～65% for Yunnan brown coal
・Production (2009): about 200 million tons per annum at a grow rate of 10-20%.
Mainly used for power generation.
・For expansion of Brown Coal utilization, efforts are being made from basic research to demonstration project aiming at value-addition such as gasification, chemical production, etc
Indonesia
・LRC resources (2009) : Low Class (< 5,100 kcal/kg) - 21.2 Bt (20%), Medium Class (5,100～6,100 kcal/kg) - 69.6 Bt (66%)
・Coal production (2009): 256 Mt (198 Mt for export and 56 Mt for domestic)
・Consumption for power generation: 36.6 Mt (31.1Mt of Coal CV > 5,100 kcal/kg, 5.5 Mt of Coal CV < 5,100 kcal/kg)
・As in the Energy Mix Target in 2025, domestic coal consumption will continue to grow.
Thailand
・Lignite production: 18～20 Mt/a (17.8 Mt/a (2009)) - Moisture contents: appr. 35%, S: 2.5～4%
・Consumption of Lignite: 19.4 Mt/a for power generation(2009), 18.9% of total power generation
・EGAT assumes that coal consumption is to grow by 5% per year.
Korea
・Consumption: 25 Mt/a of low rank coal used for power generation (about 40% of total coal consumption) - Moisture contents: ～25%, CV: 5,300～5,800 kcal/kg (sub-bituminous)
・All of the low rank coal used in Korea is imported from Indonesia.
Japan
・Brown Coal is not imported to Japan at this stage.
・In 2009, Japan imported 31.3 Mt of coal from Indonesia (19.4% of the total import) and some portion of the
1. Current Situation of Low Rank Coal Use 2. Policy on Low Rank Coal
Australia
1) Victorian Government supports for development of low emmission technology of brown coal, which generate 85% of Victorian power generation.
2) Victorian Government sponsored Energy Technology Innovation Strategy, including Brown Coal R&D programs for collaborative research for the brown coal industry. Brown Coal Innovation Australia established by financial support of Victorian Government.
China
1) Central Government has no specific policy on LRC.
2) Provincial/Autonomous/Municipal Governments having LRC resources encourage the clean and high-efficient development and utilizationof of LRC.
3) Stricter environmental measures are considered in the 12th 5-Year Plan such as introduction of Carbon Tax adn Environmental Tax.
Indonesia
1) It is clearly defined under the recent Domestic Market Obligation (DMO) regulations that low rank coals are for domestic use while high rank ones are for export.
2) Effective utilization of low rank coals is not in the scope by and left to further consideration.
3) Energy Mix Target in 2025: taget share of coal is set at 33%, to be increased from the current share of coal at 15.3%. Coal liquefaction share of 2% included in the target.
Thailand 1) No specific policy or obiligation for utilization of low rank coal Korea 1) No specific policy or obiligation for utilization of low rank coal
Japan
1) The position of coal and LRC under the New Basic Energy Plan (June 2010)
- Effective use of low quality coal by developing new and clean energy sources such as SNG is expected to contribute to relaxation of energy supply-demand in LRC producing countries, and also contribute to clean energy supply to Japan
2) Government is promoting the development of LRC utilization technologies through its financial supports and international technical cooperation (ex. Upgraded Brown Coal (UBC)).
5 Gasification Syngas
Conversion
Methanation Ammonia Synthesis Methanol Synthesis
SNG Fertilizer Methanol Combustion
Direct
Utilization Heating
IGCC
Power Generation
Upgrading Upgrading Coal
（UBC, Briquette）
Liquefaction Direct Liquefaction
Indirect Liquefaction
Transportation Fuel Principal Use
Brown Coal
Brown coal is currently utilized mostly as a fuel for power generation (use as a boiler fuel) in the brown coal producing areas.
Upgrading technology to enhance the calorific value of brown coal by drying/de-watering and conversion technology (gasification and liquefaction) are under development.
3. Utilization Technology of LRC ①
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Development Status Country
Under development Australia Japan Korea
Several large-scale demonstration projects are planned
or under contruction. China
Upgraded Brown Coal (UBC) A large-scale demonstration plant (1,000 t/d)
(UBC technology has been established.) Indonesia
(with technical cooperation of Japan) Coal Upgrading Technology (CUT) Pilot Plant (150 t/d; discontinued) Indonesia
Binderless Coal Briquetting (BCB) Commercial plant (1 million t/ y; no good progress) Indonesia
(with technical cooperation of Australia) Demonstration plant (10,000 t/y) under construction Indonesia
(with technical cooperation of Japan) IDGCC Demonstration Project in final stages for commitment. Australia
TIGAR Prototype Plant (50 t/d) under construction Indonesia
(with technical cooperation of Japan) 1 t/d unit scaled-up to pilot plant (10 t/d) Korea
Liquid fuel Testing with pilot plant completed Indonesia
(with technical cooperation of Japan) Direct method Demonstration plant planned (discontinued) Indonesia
(with technical cooperation of Japan) Indonesia
(with technical cooperation of South Africa) China
(with technical cooperation of South Africa)
Circulating Fluidized Bed Combustion (CFBC) Under development Australia Korea
Application of existing technology Indonesia
Application of existing technology China
Application of existing technology Thailand
Technology
Gasification Drying / de-watering
Coal Water Fuel
Direct UtilizationMine-mouth thermal Power generation Mine-mouth thermal Power generation Air pollution prevention measures Upgrading
Liquefaction
Indirect method Conversion
Application of existing technology
LRC utilization technologies are under development in each country.
For instance,
3. Utilization Technology of LRC ②
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4. Barriers / Obstacles - Policy Aspect ①
Environmental Tax (Carbon Tax, etc.)
・Australia, China, Indonesia, Thailand, Korea： No Carton tax
・Introduction of Carbon tax considered:
- Australia: Carbon Pollution Reduction Scheme - China : during 12th5-year Plan (2011-15) - Korea : from mid to long-term viewpoint
・Japan: Petroleum and Coal Tax
(¥700/t-coal, a levy for global warming countermeasures to be added on from October 2011 and will reach
¥1,370/t-coal in April 2015)
In Japan, the revenue from the above tax has been used for fuel supply stabilization and structural improvement of energy supply-demand measures including technology development projects such as coal utilization technology.
・Introduction of Carbon tax could facilitate development of technology to reduce CO2emission.
8
Support by Government for development of LRC technology
・Australia(Victoria) & Japan : positive support for from basic researches through demonstration projects（ex. UBC)
・Indonesia: promoting international cooperation
・China: support limited to basic researches
(pilot & demonstration: mainly by private sector)
・Thailand & Korea: systematic support required for LRC technology development
Others
・Japan：Construction of newly planned coal-fired power plants are to be approved if measures are taken to reduce as much as CO2
emission with the then highest available level of technologies such as IGCC, CCS, etc.
4. Barriers / Obstacles - Policy Aspect ②
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4. Barriers / Obstacles - Economic Aspect ①
Issues
・Australia: Due to a high moisture content (>60%) of brown coal, drying cost is high.
・China: To ensure its advantage in the market, upgraded LRC should be competitive both in terms of calorific value and other factors including ash properties.
・Indonesia:
- Infrastructure: a large capital investment required for development of inland LRC deposits
- gasification: coal gas cannot compete with natural gas.
- liquefaction: the only commercial technology is SASOL.
- Even less sophisticated technologies may be costly for a country like Indonesia.
- LRC with CV of ±3,500 kcal/ kg is also exported.
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4. Barriers / Obstacles - Economic Aspect ②
Issues
・Korea:
- Power companies try to use LRC as a blend fuel to save fuel cost rather than to develop new technology for LRC utilization, which requires additional capital cost.
- Both briquette production technologies, i.e. White Energy's BCB (binderless coal briquette) and Kobelco's UBC, have not shown economic viability yet.
4. Barriers / Obstacles - Technology Aspect
Issues
・Australia, China, Indonesia, Thailand, Korea and Japan:
- Efficient, economic and commercial drying/de-watering technology for LRC has not been developed yet.
・China：Development of conversion technologies (gasification and liquefaction) and pyrolysis, CWM, etc. is required.
（Facilitation of Poly-generation development）
・Indonesia: While UBC is a good technology, drying/de-watering technologies that well suit the characteristics of Indonesian LRC with higher HGI are required.
Bringing-up of engineers
・Australia: Victoria is in need of well-trained young engineers in LRC utilization technology development.
Also, the number of qualified engineers to be leaders in LRC technology development is also decreasing.
・Japan : Succession of technology and necessity of capacity building programs for young researchers are required to sustain
4. Barriers / Obstacles - Others
Public acceptance for coal utilization
・Thailand: Objection by the local community and NGOs is persistent for any of newly planned coal-fired power plants, due to the serious environmental impacts once occurred around the Mae Moh Power Station.
Technology Development System
・Indonesia: There lacks a system that exists in developed countries to facilitate a step-by-step development of technology from the R&D stage through commercialization.
Environmental degradation
・Indonesia: Opencut coal mining development and operation causes deforestation.
13
Australia(Victoria):
- Victoria Government strongly supports for development of LRC utilization technology, by sponsoring the Energy Technology Innovation Strategy (ETIS) and by establishment of and financial support for Brown Coal Innovation Australia.
- Collaborative research activities for the brown coal industry being carried out between research institute, university and power companies.
- International cooperation programs for being carried out with Japan.
Indonesia:
- Internal: “Clean Coal Technology Association” is to be established in early 2011 to promote CCT development.
- International cooperation:
i) bilateral cooperation: Japan and Korea ii) multilateral/regional : ERIA and ASEAN 5. Efforts for LRC Utilization and
Desired International Support ①
14
China: Internal and international information exchange and technological collaboration should be enhanced and strengthened for R&DD of Brown Coal utilization.
Thailand:
- Government is attempting to operate the knowledge-transfer and dissemination about CCT activities to people.
- Thai coal industry has been discussing to establish “Center for Coal Utilization of Thailand” for the long-term development of the Thai coal industry by tackling the coal industry-wide issues.
Korea:
- Support for multilateral and bilateral R&D is needed to introduction and dissemination of URC utilization technology in Asia region.
- Korean Government have launched special purpose program to support international cooperation from 2011.
- Multilateral and bilateral cooperation is strongly suggested and Korea is willing to support R&D program to develop LRC utilization technology.
5. Efforts for LRC Utilization and Desired International Support ②
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Japan:
- has been conducting various bilateral projects for technology development of LRC utilization, including demonstration projects such as Upgraded Brown Coal (UBC) and Efficient Co-production with Coal Flash Partial Hydro-pyrolysis Technology(ECOPRO).
- has been holding bilateral dialogues with coal-producing countries, and also bilateral and multilateral knowledge sharing workshops/
seminars regarding CCT R&D and its dissemination.
5. Efforts for LRC Utilization and Desired International Support ③
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Demand for LRC will continue to expand in the region with the energy demand increase.
Development of Utilization Technology for LRC is very important to meet the efficient use of LRC and also to reduce emissions.
The biggest challenge for LRC utilization is the development of economic and efficient upgrading technology, in particular, drying/de-watering technology.
Each of WG member countries has been making efforts for utilization of LRC by itself and also through international cooperation.
Further international cooperation will enhance and accelerate the development of LRC utilization technology, and will contribute to overcome barriers/obstacles for utilization of LRC.
6. Summary
Thank you for your attention.
Australian Low-rank Coals
Issues related to efficient utilisation technologies and barriers to their wider introduction
Sankar Bhattacharya Associate Professor Department of Chemical Engineering
Low Rank Coal Working Group Meeting, Tokyo 27 January 2011
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Presentation (1)
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Australian low-rank coals : Victorian Resources
•Victoria – estimated resource
• Gippsland – 394 billion tonne
• Otway – 15.5 billion tonne
• Murray basin – 19.5 billion tonne
• potentially economic at this stage – 33 billion tonne
•Current usage
• 64-67 million tonne/year for power generation
• 6555 MW capacity
• 50-70000 tonne /year for briquette production
• cogeneration
• Low cost - $0.5-$1/Gj delivered; HHV - ~25Mj/kg dry
GDSE – 23 -29 MJ/kg NDSE – 6-13 MJ/kg Low-energy and economic drying is key to their
commercial use
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Victorian low-rank coals : Development of technologies for efficient utilization
• Direct Coal Liquefaction – early eighties – BCLV with Japanese involvement
• CFBC pilot plant trials – Lignite CRC, 1999-2000
• Pressurized Fluidized bed gasification – SECV/HRL, Lignite CRC
• Transport Reactor gasification – Lignite CRC, 2003
• Coal to Diesel, Monash Energy (now on hold)
• Assessment for coal-to- DME production
• Coal Drying and Dewatering – Monash University, SECV/HRL, Lignite CRC, Exergen, Several others, RWE/International Power
• Oxy-fuel assessment – Monash University, Victorian Power Generators
• Current efforts
• Victorian government – ETIS, BCIA, Clean Coal Victoria; Generators
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Australian low-rank coals : South Australian Resources
•South Australia – estimated resource of unutilized lignites
• Kingston 985 million tonne
• Lochiel and Bowmans incomplete information
• Sedan and Anna 290 million tonne
•South Australia – estimated resource of utilized low-rank coal
• Leigh Creek (sub-bitunminous) 985 million tonne
• Currently used for power generation
• 780 MW generation capacity
• 3-4 million tonne/year
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
South Australian low-rank coals : Development of technologies for efficient utilization
• assessment of gasification – Bowmans, Lochiel, Kingston coals
• ETSA, Lignite CRC, Hybrid Energy Australia
• Trials in Australia, Germany, USA
• assessment of GTL from Kingston coal
• Syngas Australia
• CFBC pilot plant trials of Lochiel coal – Lignite CRC
• Coal seam methane potential assessment
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Australian low-rank coals : Western Australian Resources
•Western Australia – estimated resource
• Collie and Esperance incomplete information likely to be > 1.3 billion tonne Collie coal is used in the Mineral industry, cogeneration, 300 MW power station
It is in between black coal and lignite Typical composition (% as received)
Collie Esperance
Ash % ~3-11 ~12
Moisture % ~25-30 ~60
NDSE MJ/kg ~15-20 ~8
Sulphur ~1.9
Chlorine ~9
Sodium ~6
Energy, Fuels and Reaction Engineering Research Group
Western Australian low-rank coals : Development of technologies for efficient utilization
• Assessment of gasification – Collie coal
• Entrained flow gasification
• Direct CTL of Esperance coal – status unknown
Energy, Fuels and Reaction Engineering Research Group
Australian low-rank coals : Way Forward for Development of technologies for efficient utilization - 1
• Drying is the Key – efficient, commercial size and economic
• steam fluidized bed/WTA, MHTD, MTE and others – scaling-up still unresolved, as are problems with some of the residual matters produced
• there are some gaps in the fundamental information – needs to be addressed
• Government support essential and being made available
• For some Victorian, SA and WA low-rank coals
• Effective cleaning of sodium and chlorine is also a major issue needs to be addressed
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Australian low-rank coals : Way Forward for Development of technologies for efficient utilization - 2
• Assessment and demonstration of entrained flow gasification warranted
•Low ash and ash composition presents unique challenges
•Assessment of supercritical-pfis also required
• Oxy-pfassessment – retrofitting the existing older units – uneconomic, and technically difficult
• new-build should be explored
• Oxy-CFB assessment – required
• Coal to liquids – DME, Methanol, diesel – should be explored – CCS is the key
Other uses to actively explore – DCFC anodes, chemicals, activated carbon, filter aids, carbon fibres, metallurgical applications, graphite lubricants low ash brown coals could be ideal!!!
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Victorian low-rank coals : Status of policies for efficient utilization
• Active encouragement from State government – fundamental research, large scale development and CO2 storage
•ETIS, Clean Coal Victoria (formed 2009), BCIA
• Some efforts from the Commonwealth as well
• CO2tax – no clear policies under the current political climate
• Some commitments exist from the private industry and Generators
• Lack of industry-led research projects – extremely important
• to ensure research for practical applications, not just publications
• strong and “real” industry participation essential
• Government support is still the key at the stages in which the major technologies are at present
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Victorian low-rank coals
..will remain the mainstay for power generation..
Whether we like it or not!!
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Victorian low-rank coals : any barriers for efficient utilization?
• Political – some “antipathy” always exist, but not widely shared
•Regular engagement with general public on developments is essential to dispel misinformation
•Technical barriers
• urgent need to move to pilot and demonstration phase for some technologies – in particular Drying and Gasification
• successful demonstration of the above two technologies will open up significant and “new” markets from brown coal-derived “exportable”
products identified earlier
• international cooperation is the key
• Japanese multinational technology vendors (drying, gasification, hydrogen use) and coal association can play a major role
• a well coordinated “drying demonstration project” is very urgent
Energy, Fuels and Reaction Engineering Research Group Our focus: Scientific R&D for Practical Solutions
Victorian low-rank coals : other issues related to efficient utilization?
•Student and researcher and technical personnel exchange – should be actively promoted – between Japan and Australia
•Lack of coal scientists and coal engineers – shortage looming
•Industry personnel should be encouraged to participate in university research workshops
•Similarly coal scientists, academics and researchers should be encouraged to spend time in industry
Utilization of Brown Coal in China
for the WG on Utilization of Low Rank Coal
XU Zhengang
Beijing Research Institute of Coal Chemistry China coal Research Institute
IEEJ Working Group Meeting, Tokyo 27 January 2011
Presentation (2)
1. Introduction
• Low Rank Coal (LRC) is normally classified into brown coal and sub-bituminous coal
• Sub-bituminous coal In China includes long flame coal, weakly caking coal and non-caking coal
• Sub-bituminous coal is now broadly used for power generation as main fuels of various kinds of coal-fired boilers, chemical manufacture as main raw materials of different production processes and many other
purposes in China
• There are currently no big problems with development and utilization of sub-bituminous coal
• The hot-spot of Low Rank Coal is currently the development and utilization of brown coal in China
2. Policy
• Policy on utilization of Low Rank Coal
– The central government encourages the clean and high-efficient development and utilization of brown coal. So brown coal production in China will be increased year by year in the coming years
– The local governments require the brown coal owners and developers to convert brown coal to different kinds of coal chemical products at least using half of the mined coal on the spot
– The brown coal owners and developers, especially the ones from power sectors, want to transport a certain amount of mined brown coal to their own end users using brown coal directly as fuel of for coal blending
2. Policy (continued)
• Policy on R&D and import of technology – Introduction and development of LRC technology is
encouraged by the governments at different levels – Special policy for approval of R&D program such as
pilot plants and demonstration project of brown coal upgrading and conversion technologies – Government gives more and more financial support
and encourages more and more investment from enterprises for R&D, demonstration and
deployment of brown coal utilization technologies