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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 It is noteworthy that the double flash plant option is comparable with the cost performance of the hybrid options at all reservoir conditions, but is always higher in cost than the single flash options. Reasons for this lesser performance against the single flash option include the following: The double flash options involve greater complexity and cost in steamfield civil works, mechanical works and instrumentation as shown in Table 6.2 and also within the power plant as evident in Table 6.4. These penalize the cost performance of this option at lower resource temperatures, both the first and second stage flash stages are less constrained by silica supersaturation issues and the geothermal water can be flashed to lower end pressures than can be achieved for fluids from higher reservoir temperatures, and in this analysis, the second stage flash pressure has been set at the limit where silica saturation in the waste brine reaches 1.30 (i.e. is 30% over saturated with dissolved silica and quite susceptible to forming scale deposits). It is recognized that a more aggressive approach could be taken to gaining additional second stage flash steam through further reduction of flash pressure, but this is at the risk of increasing potential for silica deposition and involves further cost and complexity of chemical treatment and control measures. It is also noteworthy that ORC plant options have not performed very well in this cost analysis. This is due to the relatively high specific cost of this technology (see Table 6.5). The hybrid steam + binary option reduces specific cost considerably by placing a relatively low cost non- condensing turbine, with relatively high power output, upstream of the higher cost ORC equipment and this achieves a much better specific capital cost performance. Pure ORC plant is better suited to lower resource temperatures than analysed here and it is apparent in the data above that the ORC cost performance is improving as the steam flash down to 230 oC reduces. If this analysis was carried out at lower temperatures it is expected that the ORC option would become the preferred cost option at about 200 oC and below. Adopting the use of well pumping would also change the economics. 7.2 Plant Performance The above review of plant performance is limited to cost performance – i.e. a consideration of the power than can be generated from each option compared with the cost of the equipment. It is instructive to then also consider the thermal performance of these plant options without regard to cost. This can be readily undertaken by using the data in Table 7.1 to obtain the specific heat rate for geothermal fluid that needs to be input into each development option per MW of gross electrical output achieved. A graph prepared on this basis is shown in Figure 7.3. Sinclair Knight Merz. SKM Cost of Geothermal Power Report (2007 Cost Basis)R1.doc PAGE 46

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