Biogas Preliminary Design Study Yukon Biomass Forum March

Biogas Preliminary Design Study Yukon Biomass Forum March 16 th, 2016 Funded by Yukon Energy and Cold Climate Innovation and City of Whitehorse 1

Why are we looking at this project? ü To continue to look at renewable energy options ü To produce electricity and heat from a waste ü To find synergies with integrating Biogas with the current compost systems. 2

Biogas: What is it? • Biogas is ~ 60% methane, ~ 40% CO 2. • Anaerobic digestion of organic waste • Food waste, paper waste, cooking oils, slaughterhouse wastes, sewage sludge • Two applications: Boiler (heat) or CHP (heat and electricity) 3

Tonnes Incoming Organic Feedstock 4 SSO - Source Sorted Organics ICI - Industrial, Commercial, Institutional DGW – Dry Garden Waste FGW - Fresh Garden Waste

Technology Selection: Dry digestion, horizontal batch ü Technology chosen by feedstock and on-site conditions. ü Simple to operate, does not need water, can handle contaminants, ü less energy needs, more stable process 5

Tonnes Estimated biogas production for 2016 6 SSO - Source Sorted Organics ICI - Industrial, Commercial, Institutional DGW – Dead Garden Waste FGW – Fresh Garden Waste

Biogas System 7

1. 16 GWhe CHP: Annual electrical production 1. 20 Second 100 k. W unit 1. 00 0. 80 GWhe 0. 60 First 100 k. W unit 0. 40 0. 20 2016 8 2020 2024 2028 2032 2036

Biogas plant configuration with Boiler ü One 500 hp boiler • Heat loop to local buildings (compost and KBL Building) or theoretical greenhouse. • Greenhouse is designed at 486 m 2, which would be approximately 2% of Whitehorse’s demand for vegetables. 9

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Boiler: Annual Heat Production 12000 10000 8000 Thermal Energy (GJ) 6000 4000 2000 0 2016 11 2020 2036

Economics: CHP ü Capital Expenditures: $7. 1 M ü Operational Expenditures: $250, 000 Lifecycle Cost of Energy (LCOE) Sensitivity Analysis 12 Gate Fees $/Tonne Capital Subsidy LCOE ($/k. Whe) 38 36 45 45 50 50 0% 70% 0% 50% 0% 40% $0. 64 $0. 21 $0. 58 $0. 26 $0. 53 $0. 28

Economics: Boiler ü Capital Expenditures: $6. 1 M ü Operational Expenditures: $247, 000 LCOE Sensitivity Analysis GATE FEES $/TONNE 38 38 45 45 50 50 13 CAPITAL SUBSIDY 0% 70% 0% 60% 0% 40% LCOE ($/GJ) $63. 0 $23. 5 $56. 4 $22. 5 $51. 7 $29. 1

Heating Greenhouse ü CAPEX: $167, 625 ü OPEX per year: $79, 485 Greenhouse CHP Boiler Peak heat Heat required generation Dec - Feb 167 k. Wth 14 41 k. Wth 118 k. Wth

Conclusions ü Waste seasonality can be an issue ü Greenhouse heat demand is highest in the winter, when production is low. ü Project is only economic with significant capital subsidy ü CHP scenario economics fare better than the heat only project ü Not enough demand for heat only 15 ü Could be other values/benefits of a project like this beyond an energy project

Next steps ü Could look into landfill gas capture to boost energy production ü Look at project economics of an Integrated Composting and Biogas facility • Reduction in composting time after Biogas could save operational costs 16

Thanks ü City of Whitehorse: Miles Hume, Clayton Peacock, Dan Jordan, Shannon Clohosey, David Albisser, Jackie Taylor, Wayne Tuck ü Cold Climate Innovation: Stephen Mooney, Ziad Sahid, Aaron Roberge ü Garret Gillespie 17