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Evaluation of improvements in end-conversion efficiency for bioenergy production

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Evaluation of improvements in end-conversion efficiency for bioenergy production ( evaluation-improvements-end-conversion-efficiency-bioenergy- )

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Example: Biomass combustion plant for electricity versus electricity & heat Function Capacity Region Current Alternative Compliance costs range Electricity generation 10 MW but ranging between 5-20MW Larger installations in Northern Europe and Baltic states, also concentration in countries with forest industry BEC producing only electricity, efficiency of 20%, investment cost of 40 Million Euro BEC producing electricity and using heat, overall efficiency 80%, investment costs of 90 Million Euro 50 Million Euro Dedicated biomass combustion plants are spread over Europe and especially used on large scale in countries where forestry and wood resources are present on large scale. They produce electricity in a dedicated and centralized installation and deliver to the central grid as 100% green electricity. Their average efficiency is quite low (around 20%) if they do not use the heat they produce. Using the heat will require investments in a distribution net for the heat. Such a distribution net for a 10MW installation, if assumed that the heat is delivered to surrounding households will need an extra investment in the range of 50 Million Euro. This investment will cause and improvement in overall efficiency with 60%12. In Chapter 1 (1.3.2) it is assumed that there is about 37.5 TWh/yr installed capacity in dedicated biomass combustion plant producing electricity in Europe. Part of these installations (especially those situated in countries where district heating networks are already widely present) already make use of their heat production. For the others that do not, heat delivery is not always an option, because it is possible that no heat demand is present in the surroundings. For some however it could be a good option to raise efficiency. Furthermore using heat produced is a very good option for newly built installations, when heat use can be included in location selection. For commercial installations, the possibility to improve conversion efficiency depends on excess heat utilisation or increasing the scale of the installation. Exploiting excess heat is possible through add-on technology, such as ORC, or by supplying heat to houses or industry. In the examples given, compliance costs for heat supply (above) 12 It should be noted that electrical efficiency will be lowered to 18.5% when heat is delivered. EVALUATION OF IMPROVEMENTS IN END-CONVERSION EFFICIENCY FOR BIOENERGY PRODUCTION 109

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