·        Overview

·        Hot Topic Schedule

·        Utility E Alert - May 6, 2011

·        Record Setting Renewables

·       A New Knowledge Bridge to the End Users

 

 

Overview

 

Nonattainment and MACT need to be evaluated simultaneously

 

The Utility MACT rule is going to have a big impact, but there are lots of issues to resolve.  The biggest problem for utilities will be to coordinate MACT decisions with nonattainment needs.  PM2.5, ozone, and other ambient air quality limits need to be met by 2017. However, the determination of whether a State is in compliance will be by averaging air quality for the three preceding years (2014, 2015, and 2016).

 

It is very possible that 98 percent SO2 removable will be required in many States as the most economical route to attainment.  The States do not seem to be moving forward with regulations even though they are already behind schedule. So does a utility gamble and spend the lowest amount necessary to meet the MACT requirement or does it make a selection based on anticipated non attainment limits.

 

The other issue is New Source Review.  A utility which makes a big capital expenditure must be anticipating extending the life of its plant. This will mean that there will need to be additional investments in air heaters, fans, and other equipment at some point in time. Will these investments trigger New Source Review?  This clause was inserted in the CAA to prevent life extension without meeting NSPS, so is it not likely that every one of these power plants will risk triggering NSR?

 

Remember NSR has gone through the litigation and judicial review stage just once.  This was the First Energy decision that any power plant which capitalized maintenance expenses or attended a life extension meeting was subject to NSR.  With that criteria as a basis, all coal-fired power plants will be at risk of becoming modified new sources.

 

Renewables are the Future but Not the Present

 

The progress of renewables is chronicled in an analysis appearing later in this newsletter.  With solar, wind and maybe even wave power, we will be able to generate clean energy economically at some point in the future. The problem is that for the next 25 years renewables are not the answer. We need to transition to renewables but the best way to do so is to build a whole new fleet of ultra supercritical coal-fired power plants and operate them for the next 25 years and then start relying on renewables for our base load needs.

 

California is an example of what not to do. With lots of renewables supplying the grid, the State is building an 800 MW peaking gas turbine power plant.  The inefficient selection of a single cycle plant is because of the fast start-up need. A N.Y. Times front page article exposed the high methane emissions from natural gas extraction and transmission and, therefore, high greenhouse gas warming potential of CCGT.  A peaking plant is going to have 50 percent higher emissions per MWh.  Seventy percent of all the new gas-fired units and 30 percent of the capacity are peaking plants.

 

There are no more shallow gas resources. Unconventional sources such as the Marcellus Shale are our future.  The problem with California is that it sets its strategy myopically.  If CO2 is not released within the State, then this is a plus for global warming.  But the reality is that shale gas extracted in Pennsylvania to provide energy to Californians is just as relevant. California is the largest purchaser of Chinese goods. The CO2 generated in China to make these goods is just as relevant as if it were generated in California. This State and the rest of the nation need to view the forest through the trees and not myopically become transfixed on one tree.

 

 

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Lots of “Hot Topics” Slated but None Next Week

 

We have canceled the session for next week (a rare occurrence) but here is our schedule in coming weeks:

 

   May 26, 2011

   Status and Technology of Solar Power Generation

   June 2, 2011

   Valves for Power Plant Steam and Cooling Water

   June 9, 2011

   Status of Carbon Capture Programs and Technology

   June 16, 2011

   FGD Wastewater Treatment

   June 23, 2011

   Operation and Maintenance of Steam Generators

   June 30, 2011

   Fuel Impacts on SCR Catalysts (including Biomass)

 

 

You can register for these sessions at:

http://www.mcilvainecompany.com/brochures/FGDnetoppbroch/Default1.htm

 

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Here are the Headlines for the May 6, 2011 – Utility E Alert

 

 

UTILITY E-ALERT

 

#1023– May 6, 2011

 

 

Table of Contents

 

COAL – US

§  Riley Power to Supply SCR for 435 MW Coronado 2

§  State Line Power Plant to close at end of 2012

COAL WORLD

 

 

GAS / OIL - US

 

 

GAS / OIL – WORLD

 

 

BIOMASS

 

 

GASIFICATION

 

 

CO2

 

 

NUCLEAR

 

 

BUSINESS

 

 

HOT TOPIC HOUR

 

 

 

For more information on the Utility Environmental Upgrade Tracking System, click on: http://www.mcilvainecompany.com/brochures/energy.html#42ei

 

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Record Setting Renewables

 

Renewable Energy is breaking records in all areas. Just a few of the recent items published in McIlvaine’s Renewable Energy Update illustrate that point.

 

In 2010, customers of Arizona Public Service Company received record amounts of renewable energy, enough to surpass Arizona’s energy goals for the third straight year. Renewables powered more than 3 percent of all customer electric needs last year – on track to 10 percent from renewables by 2015 and 15 percent by 2025. Last year customers received 826,534 megawatt-hours of renewable energy, 26 percent more than the previous year.

Wind Energy set two new records in March: it was the month in which it produced the most electricity in its history and, for the first time, it was the technology that generated the most power in Spain with a total production of 4,728 GWh. It was followed by nuclear energy, combined cycle and hydro. Wind power covered 21 percent of the electricity demand.

 

Wind production in California the third week in April hit a new peak of 2,432 megawatts (MW), outpacing last year’s peak of 1,915 MW. It symbolizes the beginning of an important shift in the state’s power mix.

 

The record-high level of wind comes as the California snowpack reaches 160% of historical average. The heavy snow inventory, combined with warm temperatures, could lead to fast stream flows that fuel a glut in hydroelectricity.

 

On the technology front Solar Junction, a developer of high efficiency multi-junction cells for the concentrated photovoltaic (CPV) market announced another swift leap forward in cell efficiency. Just one month after achieving 40.9 percent efficiency, the company has now reached 41.4 percent on a production cell; both milestones have been validated by the National Renewable Energy Laboratory (NREL).

 

Advanced Energy Industries, Inc. announced that its 500kW Solaron® PV inverters have achieved a 98 percent efficiency rating from the California Energy Commission (CEC), a record breaking efficiency rating for any inverter in this power class. Advanced Energy also held the previous industry benchmarks of 97 percent and then 97.5 percent.

 

Astroenergy announced plans to construct the world’s largest single-building PV System – a grid-connected 10 MW system integrated into the new Hangzhou East Railway Station in China.

 

The station, located in East Hangzhou, will serve as a major hub for high-speed rail, subway, buses, taxis and other forms of transportation. The PV project will integrate grid-connected power generation into building infrastructure and will make full use of the building surfaces, roofs and other surfaces. This project will become one of the most prominent low-carbon projects in Hangzhou’s history and will serve as a model for other PV initiatives across the nation.

 

Mount Diablo Unified School District in California announced an award to SunPower for the design, installation and maintenance of solar power systems at 51 schools, totaling 11.2 MW of solar capacity. The agreement is the largest contract issued to install solar by a school district in the U.S., and is expected to save the district $192 million over the 30-year life of the systems.

 

The solar systems by SunPower, to be completed in phases through early 2012, will be shade structures installed in school parking lots and hard court areas. The systems will be financed through Clean Renewable Energy Bonds (CREBs) secured by the district under the American Recovery and Reinvestment Act of 2009.

 

RWE npower renewables, the U.K. subsidiary of REW Innogy, has started to build its biomass combined heat and power (CHP) plant in Markinch, Fife, Scotland. The new plant is the biggest of its kind in the U.K. The CHP plant will have an installed output of 50 MW and will be able to deliver up to 120 metric tons of industrial steam per hour. In all, REW Innogy is investing approximately €235 million in the construction of this biomass plant. The construction period is estimated to be about two years. During the construction phase up to 400 workers will be on the building site at the same time

 

The Scottish Government has approved ScottishPower Renewables’ plans to develop a 10MW tidal power array in The Sound of Islay on Scotland’s west coast.  The project, the first of its kind in the world, envisages generating enough renewable electricity to power the equivalent of the whole island. 

 

Duke Energy announced plans to match a $22 million grant from the U.S. Department of Energy (DOE) to install large-scale batteries capable of storing electricity produced by the company’s 153-megawatt (MW) Notrees wind farm, located in Ector and Winkler counties. Duke Energy chose Xtreme Power to design, install and operate a 36 MW-capacity Dynamic Power Resource™ system at the wind farm. When complete, the battery storage system will be one of the largest of its kind in the world.

 

The McIlvaine Company has been tracking the Energy field since 1974 and has been following the renewable energy field for the last five years.

 

Further details may be found at:  http://www.mcilvainecompany.com/brochures/Renewable_Energy_Brochure/renewable_energy_WM_brochure.htm

 

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A New Knowledge Bridge to the End Users

 

http://t3.gstatic.com/images?q=tbn:ANd9GcTHfJlsteG5KL71gpdeNA0lmpy0mE05PV1Zoj4Bi_Nu3ZuQVeQ3cg

 

Bridge with Four Fast Lanes in Each Direction

 

Bike:  Personal networking with

 

http://home.mcilvainecompany.com/index.php?option=com_content&view=article&id=183       

Utility People http://www.mcilvainecompany.com/brochures/energy.html#43i

Chinese Utility Plans http://www.mcilvainecompany.com/brochures/energy.html

 

Truck Lane:   use all the media opportunities

 

·         Power Plant Air Quality Insights Power Plant Air Quality Insights

·        Magazine articles written by McIlvaine but to include you

Analysis:  The Potential of Gas Shale

·        White papers  Apparel

·        Show insights  Show Insights

Auto Lane:  Digital initiatives

 

·        InterWEBviews™  http://www.mcilvainecompany.com/Decision_Tree/subscriber/Tree/UnivDB/textd2.asp?text+descriptor=InterWEBview

 

·        Shared webinars e.g. Neuendorfer, Paragon, Storm, United Dynamics http://www.mcilvainecompany.com/brochures/FGDnetoppbroch/Default1.htm     

·        Custom webinars (we can deliver large audiences)

Express Lane:  Be the first to show up in a search

 

http://www.mcilvainecompany.com/Decision_Tree/subscriber/Tree/Default.htm

 

·        Google

·        YouTube

http://www.mcilvainecompany.com/Decision_Tree/subscriber/Tree/UnivDB/textd2.asp?text+descriptor=YouTube

·        Your site with good case histories that inspire the prospect                

 

Traffic Control: 

 

General

 

·        Custom website to coordinate among individuals and divisions

·        Periodic sales and training webinars

·        Tactical support and forecasting

Air Markets and Strategy

 

·        FGD World Markets http://www.mcilvainecompany.com/brochures/air.html#N027

·        NOx Control World Markets http://www.mcilvainecompany.com/brochures/air.html#n035

·        Fabric Filter and Elements: World Market http://www.mcilvainecompany.com/brochures/air.html#n021

·        Electrostatic Precipitator World Markets http://www.mcilvainecompany.com/brochures/air.html#n018

·        Monitoring and Sampling of air, gases, water http://www.mcilvainecompany.com/brochures/air.html#no31

 

Water Markets and Strategy

 

·        Water & Wastewater Treatment Chemicals: World Market

http://www.mcilvainecompany.com/brochures/water.html#NO26

·        RO/UF/MF http://www.mcilvainecompany.com/brochures/water.html#no20       

·        Liquid Cartridges http://www.mcilvainecompany.com//brochures/water.html#nO24

·        Macrofiltration http://www.mcilvainecompany.com/brochures/water.html#n006

·        Sedimentation and Centrifugation http://www.mcilvainecompany.com/brochures/water.html#n005                                                                                               

·        Ultrapure Water http://www.mcilvainecompany.com/brochures/water.html#n029

·        Pumps World Markets http://www.mcilvainecompany.com/brochures/water.html#N019  

·        Industrial Valves: World Markets http://www.mcilvainecompany.com/brochures/water.html#n028

 

Energy Markets and Strategy

 

·        Fossil and Nuclear http://www.mcilvainecompany.com/brochures/energy.html#n043

·        Renewable Energy including solar, wind, geothermal, and hydro http://www.mcilvainecompany.com/brochures/Renewable_Energy_Brochure/renewable_energy_WM_brochure.htm

 

·        Biofuels http://www.mcilvainecompany.com/brochures/energy.html#47ai

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You can register for our free McIlvaine Newsletters at: http://www.mcilvainecompany.com/brochures/Free_Newsletter_Registration_Form.htm

 

 

Bob McIlvaine
President
847 784 0012 ext 112

rmcilvaine@mcilvainecompany.com

 

 

 

 

Copyright © 2011 McIlvaine Company. All Rights Reserved
191 Waukegan Road Suite 208 | Northfield | IL 60093

Ph: 847-784-0012 | Fax; 847-784-0061

 

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