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First Order Draft Contribution to Special Report Renewable Energy Sources (SRREN) 1 Best practice, risk-management protocols for induced seismicity implemented by regulators in 2 South Australia are described in Malavazos and Morelli (2008). 3 Over its 100 year history, no commercially operating plant has been stopped due to induced 4 seismicity. No buildings or structures within a geothermal operation or local community have been 5 significantly damaged (more than superficial cracks) by shallow earthquakes originating from either 6 geothermal production or injection activities. The process of high pressure injection of cold water 7 into hot rock, which is the preferred EGS method of stimulating fractures to enhance fluid 8 recirculation, generates local stress changes which usually trigger small seismic events through 9 hydro-fracturing or thermal stress redistribution. Proper management of this issue will be an 10 important step to facilitating significant expansion of future EGS projects. 11 There have been some hydrothermal steam eruptions triggered by shallow geothermal pressure 12 changes (both increases and decreases). Such eruptions are generally caused by rapid boiling in a 13 near-surface water body generating expansion forces that lift rock out of an expanding crater. These 14 risks can be mitigated by prudent field design and operation. 15 Land subsidence has been an issue at a few high temperature geothermal fields, particularly in New 16 Zealand. Pressure decline can affect some poorly consolidated formations (e.g. high porosity 17 mudstones or clay deposits) causing them to compact anomalously and form local subsidence 18 ‘bowls’. Management by targeted injection to maintain pressures at crucial depths and locations has 19 succeeded in preventing subsidence in the Imperial Valley (US) where maintaining levels to allow 20 for irrigation drainage is important. 21 4.5.4 Benefits and impacts 22 Conventional high temperature geothermal power projects effectively contribute to mitigate GHG 23 emissions. 24 25 26 27 28 29 30 31 32 33 34 35 36 One example of the environmental benefits of geothermal direct use is the city of Reykjavik, 37 Iceland, which has eliminated heating with fossil fuels, significantly reducing air pollution, and 38 avoided about 100 Mt of cumulative CO2 emissions (i.e., around 2 Mt annually). Other good 39 examples are at Galanta in Slovakia (Galantaterm, 2007), Pannonian Basin in Hungary (Lund et al., 40 2005; Arpasi, 2005), and Paris Basin in France (Laplaige et al., 2005). 41 In many cases, local deployment opportunities are created from geothermal development, which can 42 be particularly helpful for poverty alleviation in developing countries. Geothermal developments, 43 particularly in Asian, Central and South American and African developing nations, are often located 44 in remote mountainous areas. These same regions may be populated by indigenous people with a 45 relatively poor standard of living and limited land ownership rights. Because drilling and plant 46 construction must be done at the site of a geothermal resource, local workforce development can Do Not Cite or Quote 24 of 47 Chapter 4 SRREN_Draft1_Ch04_Version03 22-Dec-09 A recent, actual example of that is the Darajat III geothermal project, which was developed by a private company in Indonesia under prevailing international market conditions. This project started to operate in 2007 with 110 MWe and was registered by the United Nations’ Clean Development Mechanism (CDM). The CDM provides a clear, market-driven valuation for the very low GHG emissions of geothermal power plants, and the revenue from certified emission reductions (CER) –carbon credits generated by CDM projects– can be used to reduce the price that would otherwise be charged to consumers of the electricity. The CERs, where each credit represents a reduction of one tonne of CO2 or equivalent, are calculated by comparing the CO2 emissions factor for the electricity generator, in tonnes per MWh, with that of the grid to which the electricity will be supplied. The Darajat III plant is currently producing about 650,000 CERs per year. After factoring in the uncertainties of the CER market and the risks of continued CER revenue in the post-Kyoto (post-2012) period, the CDM reduces the life-cycle cost of geothermal energy by about 2 to 4% (Newell and Mingst, 2009) (Chevron, 2007). [TSU: relevance in this context?]PDF Image | Chapter 4 Geothermal Energy
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