ANNUAL MEETING CANBERRA 2 – 5 May 2000
Dr John Wright graduated with a PhD in extractive metallurgy from the University of New South Wales in 1970. He began his scientific career at the Australian Mineral Development Laboratories (AMDEL) in 1970. In 1973 he joined the then CSIRO Division of Mineral Chemistry in Sydney, and in 1980 took up a senior position with Hatch Associates in Toronto, Canada. In 1984 he re-joined CSIRO in the Division of Mineral and Process Engineering in Melbourne to develop coal gasification processes. Dr Wright became Chief of CSIRO Energy Technology in 1994 and is the coordinator of the CSIRO Energy Sector. He is responsible for the strategic development of all of CSIRO’s energy activities other than those applied to the petroleum industry.
Current energy technologies coping with change
by John Wright
j.wright@det.csiro.au
Abstract
Australian energy suppliers – be they the producers of the energy materials, the power generators or the distributors – are facing a brave new world. The break-up and privatisation of power utilities, the deregulation of the gas and electricity markets, the emergence of independent power suppliers and ever increasing environmental pressures (particularly greenhouse gas (GHG) mitigation) have set up a changing situation that is vastly different to that of only a few years ago. Environmental instruments such as efficiency standards for power generators, emissions trading, renewable energy certificates, green power schemes and the like, are largely at odds with the new, highly competitive domestic market in which the main emphasis is power generation at minimum cost. There is also an air of uncertainty in the industry as the regulatory systems are developed.
In order to survive in what will be a GHG-constrained future, the energy suppliers are having to rethink their approach to their businesses and the technologies used to deliver their products. Many companies have taken early action to cope with future requirements and all are actively reviewing possible actions in the knowledge that environmental requirements will only get tougher in the future.
Dr Wright will consider the entire conventional energy chain from the resource extraction/collection and conversion to end use. Examples of innovations that will be needed to 'transform' the current energy industry are given, together with the cost and environmental implications. Some of the innovations are being actively pursued, while others are only in the thinking stages. However, all will require an enhanced R&D effort and these areas will be highlighted.
Finally, Dr Wright will attempt to show how the progressive changes taking place in current energy systems over the next decades will merge and link with the newer technologies in the transition to a truly sustainable energy future.
The Kyoto Agreement on climate change has started us on a journey towards addressing greenhouse gases in Australian society. We no longer talk about how long fossil fuels will last but about the ability of the Earth to cope with the consequences of burning them.
The straightforward path to sustainability is to improve existing processes, to change the fuel mix, use more renewables, and to improve the storage of energy.
But change won’t happen easily or quickly. There will have to be some societal changes to make it happen. In the brave new world, the Kyoto Agreement will lead to conflict between economics and lower greenhouse gas emissions. The break-up of the power utilities and market deregulation has led to lower power prices. On the other hand, governments are mandating targets for renewable sources of energy, emissions trading, power generation standards and environmental regulations. There is uncertainty in the power generation industry as to how to stay in business.
To meet greenhouse gas targets we will need innovation all along the energy chain. Examples of innovation can be seen in coal mining and power generation.
Coal mining produces a lot of export income for Australia. It also produces methane and other greenhouse gases from energy consumption and waste coal oxidation. These emissions can be reduced by using more energy-efficient mining systems, by mine site rehabilitation and by capturing methane, which in turn can produce power.
Conventional power generation can be made less greenhouse gas intensive by growing forests, using bagasse for cogeneration, using mine gases to produce power, or burning wastes such as sawdust with coal.
Coal gasification, combined with gas turbines emit less greenhouse gas than coal-fired systems for each megawatt-hour produced. Other new power generation systems can make coal more efficient. One system (IGCC) has two bites: first it converts the coal to gas, which is combusted in a turbine; then the hot exhaust is used to generate more power in a steam turbine. Gas fuel cell systems may eventually run on gas from coal.
Another way to reduce the greenhouse gas intensity of electricity is via hybrid systems which combine solar energy and fossil fuels. An idea from the Australian National University uses solar dishes to generate steam in a coal-fired power plant. A CSIRO method uses solar energy to re-form natural gas into hydrogen which can then be used in fuel cells and gas turbines. This process allows the capture of carbon dioxide.
These are intermediate technologies, they still produce carbon dioxide. But the capture of carbon dioxide from flue gases and elsewhere and its disposal in disused oil and gas reservoirs, deep aquifers, deep coal seams and under the ocean instead of in the atmosphere can lead to zero emissions from fossil fuel power generation.
All of these changes require considerable research and development. Enabling technologies include fuel flexible turbines and engines, high performance combustion and gasification, gas purification, fuel cells and carbon dioxide disposal options. Supporting technologies include high temperature materials, controls and sensors, and environmental controls. Systems integration is needed in areas of technical and economic analysis, life cycle analysis, systems engineering and dynamic control systems. It is an exciting area to be in.
The Australian energy industry is in a transitional phase. There is a sense of urgency. Those who take early action will have a competitive edge. There are great opportunities for science and industry to create a very different energy future.
Session discussion
Does the cost of solar voltaic include the cost of the silicon and the pollution created during manufacture?
David Mills. We have to take that into account in full cost accounting. Biomass and hydroelectricity have social costs, mostly land. These should be in the costs. We need an energy technology-independent assessment.
Should nuclear power be considered as a means of reducing greenhouse gas emissions?
Karl Föger. That is a hotly debated issue. Politically it is not attractive. It is also not attractive on cost the capital and decommissioning costs, and storage of spent fuel, are large. Unless there are strong innovations, it won’t be viable. Germany, the USA and Sweden are phasing out nuclear power. France and Japan are still building.
John Wright. Nuclear is not an issue in Australia. The real problem is cost. Japan is putting in a large number of new plants. Their plans may not be achievable.
What is the ratio between domestic and industrial use of energy? Are there policies to encourage domestic users to be more efficient?
David Mills. There are Commonwealth programs to encourage consumers to lower emissions. There are also State programs.
Karl Föger. In some European countries there are incentives to make houses more energy efficient.
Are there incentives to use roofs to produce electricity?
David Mills. The Federal Government offers a subsidy for solar generation.
Is there any sustainable technology that can be applied to the aviation industry?
David Mills. Pollution is a major cost of travelling overseas; aviation is a bad polluter. There has been no effort to use ethanol as the basis for jet fuel.
What about the use of hydrogen as an energy source, for transport, cooking and so on?
John Wright. Thirty years ago we talked about the hydrogen economy. There is no longer the fear of running out of resources. But there will be a swing back towards the hydrogen economy. We will extract the carbon from hydrocarbons before their use as a fuel, using only the hydrogen. It could also be used in gas turbines. We will produce hydrogen from solar technology. There has been a lot of innovative research.
Karl Föger. Shell has recognised that hydrogen may be the way of the future and set up a subsidiary Shell Hydrogen.
David Mills. Hydrogen is an electricity carrier, not a source. The former uses of hydrogen might be able to be handled by the existing electricity system.
Hydroelectricity appears to have dropped off your list of options.
John Wright. Not at all. This country is limited in its water resources, or it would have more hydro schemes. Hydro has other environmental impacts. There will be no more large dam projects. However, a lot of mini-hydro systems are being set up without building dams or chainsawing land.
David Mills. People in the hydro field see a big increase in its use. However, there are severe restrictions on land.
We need scientists who can not only do research but also communicate and lead projects. Does the education system have a role to play in producing such scientists?
Karl Föger. Engineering courses include project management but very few science courses. Advanced problem solving teaches you how to solve problems most efficiently in minimum times and with minimum resources. Communication needs to become an important part of science courses.
Is the secondary science curriculum boring?
Karl Föger. My comments were geared more towards university education, but of course, interest in science is raised in primary and secondary school. An interesting and broad curriculum in secondary science education will play an important part in attracting able students to a science career.
How can we solve the aircraft fuels problem?
David Mills. From biological sources.
What about heat pumps and greenhouse gas emissions?
David Mills. There are three types of heat pumps: geothermal (using heat in the ground), air and solar. They can address only a fraction of the total thermal market.
Do geothermal energy sources include deep drilling?
David Mills. Yes. Deep drilling hot dry rocks and conventional drilling are different techniques, and one can also use geothermal heat pumps.
