Natural Gas and Biomethane The Existent Real Alternative to Oil Derived Fuels

Transcription

1 Natural Gas and Biomethane The Existent Real Alternative to Oil Derived Fuels Automotive Summit Brussels, 9th November 2010 Matthias Maedge EU Affairs Manager NGVA Europe Automotive Summit. Brussels, 9th November

2 NGVA Europe Organisation Plan BOARD OF DIRECTORS Chairman: Trevor Fletcher Vice-Chairman: Gerhard Holtmeier Secretary: Hans Wach + Other Directors EU Political Institutions Madrid / Brussels EU/UN Working Parties European Commission (DG Transport, DG Energy, DG Environment) EU Parliament Committees (Industry, Research & Energy, Environment, Internal Market, Transport, Agriculture) Council (Member States Representations) Brussels office: Matthias Maedge Supported by: Manuel Lage EU EU AFFAIRS & MARKETING MANAGER Matthias Maedge GENERAL MANAGER Manuel Lage MANAGEMENT ASSISTANT Pilar Pérez TECHNICAL MANAGER Jaime del del Álamo FIELD OF ACTIVITY: GAS QUALITY CEN/TC234 WG9 ISO/TC193 Martin Seifert (SVGW, Switzerland) Coordinator FIELD OF ACTIVITY: COMPONENTS STAND. CEN/TC326 ISO/TC22/SC25 Flavio Mariani GRSG (ENI, Italy) FIELD OF ACTIVITY: VEHICLE EMISSIONS GRPE/ GFV/ EFV MVEG Stefan Behring (TÜV Saarland, Germany) Members COUNTRY REPRESENTATIVE COMMITTEE Chairman: Peter Boisen Biomethane Coordinator: Matthias Svensson Swedish Gas Centre, Sweden) Dual Fuel Technology Coordinator: Jürgen Brachetti (Brachetti & Partner, Germany) Education / Training Coordinator: G. v. Schoonhoven (Ingenieurbüro v. S., Germany ) Exhibition Coordination Coordinator: Mark Lawday (Luxfer Gas Cylinders, U.K.) LNG & L-CNG Coordinator: Enric Boné (IDIADA, Spain) Successful Market Initiatives Coordinator: Gabriele Gozzi (Idro Meccanica, Italy) TECHNICAL COORDINATOR BoD member: Flavio Mariani (ENI, Italy) Hythane CH CH 4 / 4 / H 2 Mixtures 2 Coordinator: Ezio Volpi (Metatron, Automotive Summit. Brussels, 9th November 2010 Italy) 2

3 1,34 million CNG Vehicles in Europe Source: 18% growth compared with mid 2009! mid 2010 Europe total EU-27/EFTA Rest of Europe Estimations Automotive Summit. Brussels, 9th November

4 Some Highlights (mid 2009 mid 2010) Worldwide the NGV population has grown by 12 % from 10.7 to 12 million vehicles Pakistan went from 2.19 to 2.59 million (+18%), Iran from 1.53 to 1.95 million (+27%), and Thailand from 147,000 to 193,000 (+31%). Colombia grew from 291,000 to 340,000 (+17%), Egypt from 110,000 to 130,000 (+18%), and Korea from 20,200 to 25,700 (+27%). In Europe the NGV fleet increased by 18 % from 1.12 from to 1.34 million vehicles. Italy went from 588,000 to 699,000 NGVs (+19%), Germany from 83,800 to 88,500 (+6%), and Sweden from 18,600 to 28,100 (+51%). Worldwide NG buses increased from 307,000 to 401,000 (+31%) and heavy duty trucks from 161,000 to 218,000 (+35%) Worldwide the number of CNG stations grew from 15,900 to 17,900 (+13%), in Europe from 3,160 to 3,570 (+13%). Within Europe CNG is often, on an energy basis, around 50 % cheaper than gasoline and about 40 % cheaper than diesel!! Automotive Summit. Brussels, 9th November

5 NGVs World Market growth to Worldwide NGVs (in million) years 15% annual growth ,7 M NGVs 6 years 26% annual growth M NGVs years, assuming 18% annual growth M NGVs (9% market share) Automotive Summit. Brussels, 9th November

6 Urban transport accounts for 40% of the total CO2 emissions other (PM, NOx) 70% Automotive Summit. Brussels, 9th November

7 Today s options in the EU fuel mix Alternative fuel options for substituting oil as an energy source for propulsion in transport: Electricity Hydrogen Biofuels (liquids) Methane (natural gas and biomethane) Synthetic fuels LPG Automotive Summit. Brussels, 9th November

8 EU Outlook on alternative fuels Oil in transport an obsolescent model: No security of supply and environmental sustainability! The alternatives Hydrogen: Not yet reasonable Biofuels: Sustainability factor still unclear Electricity: In the long-term yes, but Methane: Immediate solution and beyond Automotive Summit. Brussels, 9th November

9 NG is the cleanest of all fossil fuels - unbeatable when mixing with Biomethane Biogas Upgrading to biomethane Industrial process Heat Natural gas Biomethane as fuel A mix of 80 % NG and 20% biomethane reduces CO2 by 39% compared to petrol! Automotive Summit. Brussels, 9th November

10 Well-to-Wheels balance of vehicle fuels Source: Erdgas Mobil Automotive Summit. Brussels, 9th November

11 Production costs per powertrain Source: CAR Study Automotive Summit. Brussels, 9th November

12 COMM Roadmap to decarbonise transport DG MOVE DG MOVE set up the Expert Group on Future Transport Fuels in March NGVA Europe contributes as the only stakeholder on behalf of the Bio-CNG vehicle related industry. The Draft White Paper on a Common Transport Policy will be published in October First half 2011 DG MOVE will publish the Strategic Technology Plan and in a second step the Clean Transport Systems guide (end 2011) An impact assessment for developing a package with legislative measures on its way. The long-term objective of the EU COMM is to completely substitute oil in transport and a shift from fossil to renewable! Automotive Summit. Brussels, 9th November

13 Summary of the White Paper There is a general support in the Group to a prioritisation of the following main candidates as alternative fuels for oil substitution in the longer term: 1. electricity (via: battery or hydrogen/fuel cells) 2. liquid biofuels in different molecular forms 3. methane (natural gas or biomethane) in compressed or liquefied form Adopted input from NGVA Europe (meeting 29th June 2010): Natural gas reserves are estimated to last around years more than those of oil. Renewable production of bio-methane offers an extension and gradually increasing substitution for fossil natural gas. Bio-methane should preferentially be fed into the general natural gas grid. Hydrogenmethane blends could also offer an additional energy supply channel. CNG is only viable when mixing with biomethane! Nevertheless Automotive Summit. Brussels, 9th November

14 Natural Gas is the fossil fuel of the future Peter Voser, CEO of Royal Dutch Shell, Europe s biggest oil and gas company, said on 13th September 2010 at the World Energy Congress in Montreal: Natural Gas is an abundant resource for 250 years and as a fossil fuel it has the lowest CO2 content. It will therefore play a vital role in electricity generation and in the transport sector. Natural Gas is the fuel of future. Key points: - More than 50% of Shell s production in 2012 will be Natural Gas. - Low taxes for NG need to be secured by policy makers, for both consumers and the industry to support future investments. - Globalisation of standards is needed. Automotive Summit. Brussels, 9th November

15 NGVA Europe s main political postulations Special CO2 fleet average super credits for OEMs producing NGVs need to be introduced, in order to promote the offering and marketing of NGVs. Due to the much lower emission values of pollutants like NOx or PM, NG/biomethane should be promoted as the recommended urban fuel. Introducing a common European price policy for Bio-CNG (taxation). Setting common rules for allowing biomethane injection into the gas grid Europe-wide (only 8 countries are feeding in so far). Studies show that a 10% share by 2020 is possible for all EU + EFTA countries. Acknowledgement of CO2 avoidance potential via biomethane when injected into the gas grid (biomass as a feedstock burns CO2 neutral): Feed-in-tarif (e.g. 10% share would give 10% credit on CO2) Well-to-wheels (WTW) studies need to put more emphasis on Methane. Automotive Summit. Brussels, 9th November

16 The common taxation problem (2 examples) Market launch: - 5 new CNG filling stations by end of 2010 in / around Brussels. - No tax law for CNG Established Market: - CNG is taxed as household gas with 3 Euro cents per kg - LNG + LPG are equally taxed with 38 Euro cents per litre. So far no political interest We therefore require a common clear and stable taxation policy all over Europe! Automotive Summit. Brussels, 9th November

17 Spectrum of technological applications Dual Fuel Trucks LNG Trucks & Ships CNG Hybrids Bio-CNG Racing Running on landfill gas + H2/CH4 blends Automotive Summit. Brussels, 9th November

18 Refuse Trucks: A European Success Story Reduction of yearly emissions with Iveco CNG trucks referred to a Diesel Euro 3 (test in 2006): 450 CNG refuse trucks can save: NOx kg CO + HC + PM kg CO kg Automotive Summit. Brussels, 9th November

19 CNG Buses urban buses burn times more fuel than a passenger car! NG/biomethane should be recommended as the preferred urban fuel! Automotive Summit. Brussels, 9th November

20 CNG urban trucks and buses in Europe CNG Garbage trucks in Europe France approx. 600 Euro 2 - EEV Switzerland approx. 20 Euro 3 - EEV Italy approx. 600 Euro 3 - EEV Spain approx Euro EEV CNG Urban buses in Europe Netherlands Portugal Greece Spain Sweden Germany Turkey France Italy Russia In Europe, most of the heavy-duty vehicles running on NG/biomethane are urban!

21 LNG (Liquefied Natural Gas) Diesel vs CNG & LNG Autonomy equivalence Diesel oil 1 litre 200 bar 200 bar 200 bar 200 bar 200 bar -162 O C CNG 5 litre LNG 1,8 litre LNG opens the way for the medium and long distance road transport Automotive Summit. Brussels, 9th November

22 LNG/LBG Trucks long distance haulage Autonomous range on LNG/LBG of km! Automotive Summit. Brussels, 9th November

23 Dual Fuel Technology is the only way to make existing HD Diesel vehicles cleaner! Members of NGVA Europe offering Dual Fuel technologies: Automotive Summit. Brussels, 9th November

24 NG/biomethane cars and vans for private customers and captive fleets Automotive Summit. Brussels, 9th November

25 NGVA Europe member Magna looks at CNG Hybrid vehicles (Prof. Dr. Burkhard Göschel, Chief Technical Officer for Development of Magna International. Cover story in ATZ autotechnology, April 2010) Automotive Summit. Brussels, 9th November

26 Next CNG Hybrid Vehicles Diesel hybrid 10 m. chassis & bus CASTROSUA TEMPUS CNG Hybrid will be introduced next November Tata Starbus CNG Hybrid Automotive Summit. Brussels, 9th November

27 Natural gas pipe supply to Europe Automotive Summit. Brussels, 9th November

28 LNG supply to Europe Automotive Summit. Brussels, 9th November

29 LNG Terminal in Huelva (Spain) & ships Automotive Summit. Brussels, 9th November

30 Crucial: Quick development of the network of CNG/ L-CNG flling stations Automotive Summit. Brussels, 9th November

31 The bright future of NGV s The development of NGV s in the medium-term future will follow five main lines: Biomethane projects LNG for trucks / buses and ships CNG Hybrid Vehicles Dual Fuel Technology for heavy duties Methane-Hydrogen mixtures Automotive Summit. Brussels, 9th November

32 SWOT analyses for NGVs Strengths Environmetal friendly NGVs well established and accepted by end users Wide range of products available Cost-effective production by OEMs Fuel savings for the user Various policies by national governments Weaknesses Filling station network still poorly developed Currently there seems to be a trend to discontinue national supportive policies National regulations need to be updated Pan-European regulations facing distribution (grid injection, LNG Blue corridors) and technology requirements (e.g. Dual Fuel) are needed. Opportunities Growing interest from fleet operators (long distance road transport) Gas distribution network expanding next five years Vibrant OEM NGV market creating demand Overwhelming support for biomethane projects Bio-CNG quickest way to decarbonise transport Threats Dogma that E-mobility is the saviour of EU transport is grossly negligent! EVs cannot offer solutions today and tomorrow (at least within the next 30 years) with respect to the same environmental benefits that can be achieved via NG/biomethane. Automotive Summit. Brussels, 9th November

33 Conclusion Bio-CNG is thanks to biomethane endlessly useable and the perfect solution for urban buses and trucks, long-distance road transport (LNG) and for those, who don t want to relinquish driving their own affordable passenger cars to cover longer distances. Bio-CNG will certainly remain one of the predominant fuels of the future. Automotive Summit. Brussels, 9th November

34 See you next June in Berlin! Stay informed on Automotive Summit. Brussels, 9th November

35 Driving on CNG is cheaper than flying! Automotive Summit. Brussels, 9th November

36 Thank you for your attention! Any questions? Tel: Automotive Summit. Brussels, 9th November