Mr. Tom Cutler

U.S. Department of Energy

Developments in Clean Coal Technology: Developments in Clean Coal Technology: Opening the Door on a New Era in EnergyOpening the Door on a New Era in Energy

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Hokkaido Summit - 2008Opens the Door to a New Era

Hokkaido Summit - 2008Opens the Door to a New Era

Group of Eight (G8) and major emerging economiesAgreement to deal with Greenhouse Gases (GHG)Developed nations – stop growth of CO2 emissions and then cut by 50 percent by 2050Developing nations – agreement to slow the growth of emissionsMajor Economies Meeting on Energy Security and Climate Change – pursuing post-2012 successor to the Kyoto Protocol

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Addressing Energy Security and Climate Change - Outline

Addressing Energy Security and Addressing Energy Security and Climate Change Climate Change -- OutlineOutline

Three parallel tracks must be developed simultaneously

International events and recent developments in the United StatesDevelopments in advanced coal research, development and demonstration in the United States

• CO2 capture and storagePolicy

Technology Development Markets

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Recent United States EventsRecent United States EventsRecent United States Events

April 2008 – President Bush’s new goal:•To stop the growth in CO2 and CO2-equivalent greenhouse gases by 2025, and thereafter to reverse them

April 2008 Rose Garden speech: “We have slowed the growth in emissions…. Now is the time for the U.S. to look beyond 2012 and take the next step.”

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Changes in Net GHG Emissions* 2000-2006 for 17 Major Economies

Changes in Net GHG Emissions* 2000-2006 for 17 Major Economies

*Includes emissions of carbon dioxide, methane, nitrous oxide, sulfur hexafluoride, hydrofluorocarbons, and perfluorocarbons, as well as emissions and removals of carbon dioxide, methane, and nitrous oxide from land-use, land-use change and forestry activities.**2006 UNFCCC data not yet available; 2001 through 2005 UNFCCC data used.***No UNFCCC data available for time period; 2001 through 2005 IEA data used.Sources: 2008 National Inventory Reports and Common Reporting Formats at http://unfccc.int/national_reports/annex_i_ghg_inventories/ national_inventories_submissions/items/4303.php and IEA Online Energy Services a http://data.iea.org/ieastore/statslisting.asp (Accessed June 2 2008).

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Reducing Emissions through Efficiency and Carbon Capture and Storage (CCS) Reducing Emissions through Efficiency and Carbon Capture and Storage (CCS)

Efficiency• Maximizing efficiency is a major pathway to

reducing CO2; • At least 1.7 gigatons of CO2 emissions per

year could be avoided through steps to raise worldwide efficiency (IEA report)

Carbon Capture and Storage (CCS)• Indispensible technology to deal with

energy and climate concerns

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Sequestration Program Statistics FY2008

Sequestration Program Statistics FY2008

020406080

100120140160

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

req

Fiscal Year

DO

E B

udge

t (M

illio

n $) Strong industry support

~ 39% cost share on projects

Federal Investment to Date~ $481 Million

FY 2008 Budget

Regional Partnerships,

57%

Non-CO2 GHG Mitigation, 0.3%

General, 10%

Capture of CO2, 12%

Sequestration, 8%

MMV, 7%

Breakthrough Concepts, 3%

Asia Pacific Partnership, 2%

Diverse research portfolio

~ 70 Active R&D Projects

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U.S. Department of Energy Carbon Capture Projects

U.S. Department of Energy Carbon Capture Projects

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Carbon Capture Project Awards –July 2008

Carbon Capture Project Awards –July 2008

July 2008 – awarded $36 million to 15 projects to develop cost-effective carbon capture retrofit technologies

• Two projects with membrane separation• Three projects for solvent capture• Three projects for solid sorbents• Two projects for flue-gas purification in oxy-

combustion• Three projects for oxy-combustion boiler

development, and• Two projects for chemical looping combustion

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Seven Regional Carbon Sequestration Partnerships

Seven Regional Carbon Sequestration Partnerships

1. Big Sky Regional Carbon Sequestration Partnership (Big Sky)

2. Plains CO2 Reduction Partnership (PCOR)

3. Midwest Geological Sequestration Consortium (MGSC)

4. Midwest Regional Carbon Sequestration Partnership (MRCSP)

5. Southeast Regional Carbon Sequestration Partnership (SECARB)

6. Southwest Regional Partnership on Carbon Sequestration (SWP)

7. West Coast Regional Carbon Sequestration Partnership (WESTCARB)

• 350 Organizations• 42 States• 4 Canadian Provinces• 3 Indian Nations• Total of 34% Cost Share

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Phase III –Large-Scale Test Locations

Phase III –Large-Scale Test Locations

Stars indicate location of projects

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Third Round of the Clean Coal Power Initiative (CCPI-3) and Revised FutureGen

Third Round of the Clean Coal Power Initiative (CCPI-3) and Revised FutureGen

CCPI-3• $340 million• Multiple

demonstrations capable of 90 percent CO2 capture

• Storage or beneficial use of CO2

• At least 300,000 tons of CO2 per year

Revised FutureGen• Increased Federal

funding at $1.3 billion

• Multiple demonstrations capable of 81 to 90 percent CO2 capture

• Cover cost of adding CCS or 50 percent of project cost

• Expected to capture and store up to 1 million tons of CO2 per year in deep saline reservoir

Both Initiatives are aimed at commercial-scale capture and storage and aim at multiple demonstrations.

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Commercialization StatusCommercialization Status

Duke Energy construction of 630 megawatt (MW) Integrated Gasification Combined Cycle (IGCC) plant

• Edwardsport, Indiana• Replace very old 160 MW coal fired plant• 45 percent less CO2 per kilowatt-hour

Other IGCC plants and advanced coal systems are under construction around the worldStorage technologies are in developmentNear-zero emissions plants are moving forward

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Climate Change Mitigation TracksMust Work in Parallel

Climate Change Mitigation TracksMust Work in Parallel

All three tracks, policy, technology development, and market (commercialization) are needed on a global scale and in parallel.Incentives will enable early deployment

Policy

Technology Development Markets

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Visit Office of Fossil Energy & NETL Websites

http://www.fe.doe.gov http://www.netl.doe.gov