When will biomass gasifiers be present in the Swedish forest industry?

Transcription

1 When will biomass gasifiers be present in the Swedish forest industry? Ole Terland Malmö 16 October

2 The basics of Swedish Forest Industry - flow of wood in 2012 in milj m3fub Net import 6 Lumber 34 Sawn timber Plywood 24 Domestic output 70 Chips 10 Energy wood 6 Pulp wood 36 Pulp Paper 46 Source: Skogsindustrierna 2

3 The basics of Swedish Forest Industry - plenty of raw material available miljon m3sk Standing volume in forest Growth 2012 Accumulate Felling Source: Skogforsk 3

4 The basics of Swedish Forest Industry -energy consumption in 2013, TWh Bio fuels 55 Fossil fuel 3 Net delivered heat 2 Purchased electricity 15 Produced electricity 6 Sold electricity 0,5 Source: Skogsindustrierna 4

5 Miljoner ton The basics of Swedish Forest Industry - production in Sweden, milj tonnes per annum Miljoner ton 4,5 4,0 3,5 Market pulp miljoner m 3 20,0 19,0 18,0 17,0 16,0 15,0 Sawn timber 14,0 13, , ,5 12,0 11,5 11,0 10,5 Source: Skogsindustrierna Paper 10,0 9,5 9,

6 New non-traditional Forest Industry products - Torrified pellets, much closer to energy density of coal - Pyrolysis oil, green combustion oil or green chemicals - Hemicelluloses and lignin in black liquor base for many green chemicals via decanting, evaporation, precipitation, fermentation etc. Keep the larger molecules. Many old applications but increased interest via R&D for new products. E.g. carbon fibers. - Nanocellulose waiting for commercial break through - Biogas from waste water treatment 6

7 Why gasification of wood components? - We have plenty of it in Sweden and it s continuously renewed - Find new products with higher value than cellulose, > 0,6 /kg, and large volumes. The financial value of green heat and electricity is much lower than the value of sawn timber and pulp and paper - Cheapest and most energy efficient way of transforming bio mass into liquid fuel. Methanol, ethanol, gasoline, diesel, DME and gas can be produced but methanol has highest yield and lowest cost of production (prof. B Gillberg) - Gasification technologies already exist and producing syngas which is well defined, clean, and can be synthesized into many potential molecules and chemicals 7

8 For today s discussion on gasification BioMethanol is choosen as final product. Why? Political drive for renewable fuels including transport sector Large volumes in established market Distribution of blended in fuel and engines already at hand without adaption Profitable investments if green tax exempt or legislative blend-in requirement Great potential with green syngas or methanol as a base for green chemicals Two options: 1. Gasification of wood 2. Gasification of black liquor to keep the value of cellulose 8

9 Methanol from wood is most land area efficient Kungliga Vetenskapsakademin reported in 2013 that BioMethanol and DME are the most efficient renewable fuels for Sweden 9

10 Chemrec Black liquor gasification pilot Black Liquor Oxygen Cooling water BFW GAS COOLER Cooled raw syngas BURNER REACTOR LPsteam Raw syngas QUENCH MPsteam Green Liquor Weak Wash Condensate OPT OPT Consulting Consulting Source: Chemrec 10

11 A BioMethanol plant 11

12 Regardless of gasification of wood or black liquor Why hasn t the Swedish Forest industry invested and will they? We talk about a MEuro investment! 12

13 The non-enthusiastic Swedish Forest Industry - Very few companies deliver on financial targets - Many companies fear competition for raw material - Skogsindustrierna takes a very precautious position - Fear for higher fuel costs challenging overall profitability - Have not geared R&D into the area, not know how prepared - Lack of confidence in political predictability, particularly taxes 13

14 Pricing of green petroleum, examples TAX excempt QUOTA or Feed in tarif Petrol SEK/lit SEK/lit 3.18 VAT Energy tax % BioMethanol CO 2 tax Distribution Producer price % black petroleum Petrol BioMethanol 14

15 When will the industry invest in commercial gasification? - my current personal believes 15