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Biomass To Energy Potential On St. Kitts & Nevis

Mark Lambrides (OAS/DSD)K.H. De Cuba (OAS/DSD)M. Rivera-Ramirez (ESG)

Initial Stakeholders Meeting

June13, 2006

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Content

Introduction MissionScope

– Possible Process Overview

ChallengesOpportunitiesBiomassBio-Energy AssessmentFollow up

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Introduction

Justifications for Bio-Energy AssessmentShutdown of the sugar industry

– Unemployment– Decreased sources of income– Recent increase in sugar prices

Current waste management– Health impacts– Environmental impacts

High energy prices– High cost of diesel import for electricity generation– High cost of transportation fuels– Dependent on external geo-political forces

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Introduction

Sugar cane scenario overview (1)

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Sugar Cane Sugar Molasses

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Introduction

Sugar cane scenario overview (2)

Area under cultivation*: 7,000 acres

Quantity produced 170, 000 tons

Molasses*: 5,000 tons

Sugar production*: 14,000 tons

Efficiency*: 8.24 tons sugar/tons of sugarcane

Typical efficiencies: 11.2 tons sugar/tons of sugarcane

Sugar price*:

Current average world sugar price: .17 US$/lb

Unemployment post closure: 2,000 people

*2004 figures

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Introduction

Current energy scenario overview

Current installed capacity: 33.5 MW (2005)

Peak demand: 20 MW

Firm capacity: 19 MW

Demand Growth from 2005-2015: 84.5%

Average electricity price in St. Kitts: .169 US$/kWh (2005)*

Average electricity price in USA: .076 US$/kWh (2004)

*At diesel fuel cost of 1.588 US$/gal, currently diesel fuel cost is 3.37 US$/gal

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Introduction

Current waste scenario overview

Quantity produced*: 17,241 tons/year

Predicted landfill capacity: 14 years

Current landfill capacity**: 8 years

* Organic fraction of waste** Due to new land developments, without treatment or separation of waste streams

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Mission

• Find if there is reliable biomass feedstock supply for long term production

• Highlight commercially viable biomass to energy conversion approach

• Outline strategy for public-private partnership to develop biomass to energy

• Attract commercially proven developers to consider investment approach in SKN

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Scope

• Focused on sugarcane and municipal waste biomass availability on St. Kitts

• Focus on liquid biofuel and electric power production

• Potential for value-added products

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Possible Process OverviewSugarcane MSW

Separation

Biowaste streamBagasseSugar juice

Ethanol

Gasifier (other bioconversion

technologies)

Electricity Fly Ash / Fertilizer

X US$/ton

X m3X US$/m3

X US$/kWh

- Labour- Machinery- Fertilzers- Land- Transport X US$/ton

Tipping fee?

X US$/ton

What is price/ton in the Caribbean region?

Excess bagasse?

Current electricity price St. Kitts?

Process heat Combustion

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Challenges

Economies of scale– Modest biomass feedstock availability– Biomass conversion technologies

Land use competition

Information dissemination on sustainable alternatives– Familiarity with current methods of production

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Opportunities

Environmental/health benefits– CO2 reduction– Increased soil fertility– Sanitary issues

Job provision– Existence of skilled labor force

Energy securityEconomic

– Avoided investment cost: No need for additional landfill/waste management alternatives

– Decreased expenditures on electricity– Diversification of economic activities

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Biomass

Definition and Sources

Organic matter, matter from any living organism• Animal/human waste• Food crops• Grassy and woody plants• Residues from agriculture or forestry• Organic component of municipal and industrial

wastes

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Biomass

As a renewable fuel

No net carbon emissions – Carbon dioxide released when biomass is

used as fuel is balanced by the carbon dioxide captured when the biomass is grown

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BiomassConversionFeedstock

Supply

• Residues

• Dedicated Crops

Harvesting and Handling

•Collection •Processing •Storage•Transportation

ConversionThermochemical•Combustion•Gasification•Pyrolysis•OtherBiochemical•Anaerobic (fermentation)

•Anaerobic Digestion •Alcohol Fermentation

•Aerobic•Composting•Activated (oxygenated) waste treatment

•Direct HydrogenPhysicochemical •Oil extraction• Hydrocarbon extraction

UtilizationBiopower•Process and Space Heating•Power generationBiofuels•Ethanol•Biodiesel•Methanol•Pyrolisis liquids•Biogas (methane + CO2) including digester and landfill gas •Synthesis gases (CO + H2)(for further refinement to liquid/gaseous fuels) •Hydrogen•Charcoal •Biomass solids •OthersBioproducts •Citric and other acids •Composite materials •Fertilizer•Fibers •Lubricants •Others•Pesticides •Structural materials •Surfactants

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BiomassConversions of interest

Feedstock

ConversionThermochemical•Combustion•Gasification•OtherBiochemical•Anaerobic Digestion •Alcohol FermentationPhysicochemical •Oil extraction

UtilizationBiopower•Electrical Power Generation•Process HeatingBiofuels•Synthesis gases (CO + H2) (for further refinement to liquid/gaseous fuels) •Biogas (methane + CO2) including digester gas •Ethanol•Biodiesel•OthersBioproducts (chemicals and materials•Fertilizer

Combustion: direct-fired systems. They burn bio-energy feedstocks directly.

Gasification: biomass is heated with no oxygen or only about one-third the oxygen needed for efficient combustion. Biomass then gasifies to a mixture of carbon monoxide and hydrogen—synthesis gas or syngas.

Biochemical: relies on the abilities of specific microorganisms to convert biomass components to useful liquids and gases, as ethanol or methane.

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Bio Energy Assessment

Objective

Financial and economic analysis of a potential Domestic Bio-Energy Programme to test its commercially sustainability

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Bio Energy Assessment

Methodology

• Resource assessment (supply and demand)

• Technology identification

• Evaluate economic and financial feasibility of technologies given the resource availability

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Bio Energy Assessment

Resource Assessment (1)Agricultural cropsSugarcane or palm oil• Characteristics of sugar cane• Yields and land• Collection, processing, and transport• Residues generated• Storage

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Bio Energy Assessment

Resource Assessment (2)

Municipal Solid Waste and Sewage Sludge

• Characteristics of waste

• Quantities

• Collection and treatment

• Waste landfill capacity

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Bio Energy Assessment

Resource Assessment (3)

Additional market data

• Energy Needs Assessment– Current consumption

• Local markets for products

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Bio Energy Assessment

Technology identification

•Direct contact with experts and manufacturers

•Literature reviews and existing expertise

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Bio Energy Assessment

Economic and financial feasibility

Utilize feedstock supply, conversion and market data elements to evaluate feasibility of Domestic Bio-Energy Programme

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Follow Up

Bio-energy as part of the Sustainable Energy Plan (SEP)

•Legislation

•Social benefits

•Institutional capacity

•Power purchase agreements

•Investors workshop

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Follow Up

Plans for the assessment• Remainder of this week

– Data gathering interviews with stakeholders in St. Kitts and Nevis

• Preparation of preliminary assessment– Draft expected by end of August

• Stakeholder review and comment on draft• Presentation of findings• Initiative to facilitate development