Current Costs of Geothermal Power Generation in New Zealand

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Current Costs of Geothermal Power Generation in New Zealand ( current-costs-geothermal-power-generation-new-zealand )

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Assessment of the Costs of Geothermal Power Generation in New Zealand 3.3 Geothermal Power Plant There are several different types of power cycle that can be used for generation of power from geothermal energy. Those applicable to the New Zealand market include: Single flash steam Rankine cycle direct contact condensing plant Double flash steam Rankine cycle direct contact condensing plant Organic Rankine cycle (ORC) and Kalina binary power plant, and Hybrid steam-binary cycle plant. Refer to Appendix B for the basic principles of the various power generation cycles. Each of these cycle types has different applications depending on geothermal fluid temperature, NCG content, enthalpy and supply pressure and quite widely differing thermal performance and specific capital costs. Broadly speaking, these cycle types fall into two categories; one where the geothermal resource fluids are used as the process fluid, and the other where a secondary fluid, such as a relatively low boiling point hydrocarbon such as C4H10 or C5H12 (as used in ORC plant) or an ammonia-water mixture (as used in Kalina plant), is used as the working fluid and is separated from the geothermal resource fluids. 3.3.1 Steam Rankine Cycle Steam Rankine cycles utilise pressurised steam directly to drive a turbine (and generator), with the steam either being exhausted directly to atmosphere in the case of back pressure turbines or into a condenser operating at high vacuum (typically 0.1 bara8) in the case of condensing steam turbines. In order to reject the energy of steam condensation, condensing steam turbines require substantial balance of plant and equipment such as condenser, hotwell pumps, cooling tower, and non- condensable gas removal system, which adds to the capital cost, but condensing turbine units produce about twice the power output for any given steam flow compared to back pressure units (steam turbines exhausting to pressures above atmospheric pressure). Since there is usually a substantial fixed cost for drilling wells and for providing the fluid handling (steamfield) system, the portion of the required electricity tariff arising from wells and steamfield is considerably less for a condensing plant when compared to a back pressure plant. Back pressure units at overseas projects are most often used on high temperature resources at an early stage in a development as a temporary measure to gain early reservoir production data and /or generate cash flow, where there is very strong pressure to cut capital costs (and where wells may 8 bara = bar absolute (1 bar = 0.1 megaPascal) Sinclair Knight Merz SKM Cost of Geothermal Power Report (2007 Cost Basis)R1.doc PAGE 9

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