Renewable Gas Biomethane 4 th October 2013 Alison

Renewable Gas Biomethane 4 th October 2013 Alison Cartwright MSc, CEng, MIMech. E

Summary • • Why Biomethane Support for biomethane What is biomethane Injecting biomethane into the gas grid Use of biomethane in vehicles Current and future projects Barriers and issues Conclusions

Why Biomethane? • UK total gas demand 750 TWh • UK domestic gas demand approximately 300 TWh/annum – Investment in insulation and efficient heating reduce to 200 TWh/annum • 7 TWh/annum 2020 target for biomethane • Realistic biomethane MAX is 20 TWh/annum – potenially 10% of UK domestic demand • Biomethane is a constant source of energy • Essential to the mix with bio SNG and Power to Gas • Closed loop with ‘waste to wheel’ • Low CO 2 - especially if waste food is used

Support for Biomethane • Renewable Heat Incentive – 7. 3 p/k. Wh for injected biomethane into the gas grid • Ofgem group ‘Energy Market Issues for Biomethane’ (EMIB) – Expert group to address issues – Reduction in capital costs • European wide projects promoting biomethane and green gas funded by Intelligent Energy Europe – Biomaster – Green Gas Grids – Bio-methane regions

• Kitchen Waste • Commercial food waste • Landfill • Sewage • Farm Wastes • Industrial Waste What is Biomethane?

Anaerobic Digestion

Biogas Composition • • Methane (CH 4) CO 2 N 2 H 2 S H 2 O Siloxanes 55 - 60% 35 - 40% 0. 1 – 0. 4% 0. 4 – 1. 6% 200 – 2, 000 ppm Biogas is saturated with water Typically present in sewage derived biogas To get biomethane into the grid, need to remove all H 2 S, most CO 2 and dry the gas

Clean-up and Upgrade

Propane Addition • Increase the calorific value (CV) of biomethane to the same as that in the gas grid

Grid Entry Unit • Measures quality and energy values • Entry Facility comprises the following: • • • Odorant storage and injection Gas quality monitoring Gas CV measurement Gas flow measurement Pressure control • Aim Total capex <£ 300 k for this plant in 2013 – Falling to < £ 150 k by 2015

Biomethane as Vehicle Fuel Typically 1 bar Local Gas Grid Pipe 250 bar CNG-CBM Compressors Storage Cascade Dispenser Supply from gas grid Odorant and gas quality x 0. 02 bar 7 bar 3 bar Propane Added Biogas Cleanup and upgrading plant Biogas supply from Anaerobic Digester There are practical difficulties running vehicles directly on biomethane because AD production is constant, vehicle fill patterns very lumpy…. . need to use the gas grid

• • • With CNG it is not chicken and egg because of our £ 10 billion gas grid Its entirely about the vehicles We now have them and many more on the way

Didcot – UK’s First Bt. G Project Anaerobic Digesters Propane Storage Gas bag Propane Injector Telemetry Energy & quality Measurement H 2 S and Siloxane filters Biogas upgrader Flow of biogas - 100 m 3/hr First gas to grid on 3 rd Oct 2010

Poundbury - Dorset • Approximately 37, 000 MWh injected p. a. • Electricity and gas injection • First injection 2012

Springhill (Vale Green) near Evesham • Approximately 37, 000 MWh p. a. • Go live – August 2013

Future Biogas - Doncaster • Agricultural • Approximately 35, 000 MWh p. a. • Go live Q 4 2013

Barriers and Issues • RHI uncertainty – – No pre-accreditation Minimum 18 month projects No sight of incentive past April 2015 Degression possible if multiple large projects • German AD companies in financial difficulties due to cut in tariffs • Public perception of Anaerobic Digestion • Injection into the gas grid set up for large flows – Lengthy procedures in some areas

Conclusions • It has taken 7 years but the regime looks good – 40 projects in next 2 – 3 years is possible • UK has extensive gas grid and the full support of UK gas distribution network owners • 3% of domestic customer gas supply by 2020 is a reasonable target • 7 TWh+ out of around 300 TWh demand (around 150 projects of 600 M 3/hr biogas) • Biomethane project economics are attractive • Important to get capital costs down via competition and innovation • Green Gas Certificates • CNG for trucks and buses and CHP/District Heating for new housing The biomethane market is set to grow, delivering significant benefits and helping meet 2020 targets – fuel of the future!