09/05/08 Associação Brasileira do Carvão Mineral Melbourne, 28 April 2014 Brazilian Coal Industry How to Develop. Fernando Luiz Zancan President of the.

Apresentação em tema: "09/05/08 Associação Brasileira do Carvão Mineral Melbourne, 28 April 2014 Brazilian Coal Industry How to Develop. Fernando Luiz Zancan President of the."— Transcrição da apresentação:

1 09/05/08 Associação Brasileira do Carvão Mineral Melbourne, 28 April 2014 Brazilian Coal Industry How to Develop. Fernando Luiz Zancan President of the Brazilian Coal Association - ABCM

2 09/05/08 Associação Brasileira do Carvão Mineral Brazil Energy Resources Source : BEN 2012 - toe

3 09/05/08 Associação Brasileira do Carvão Mineral What about coal resources ? Have we coal in northeast of Brazil? Two decades without geologic survey Incomplete geologic survey

4 09/05/08 Associação Brasileira do Carvão Mineral Source: Informative of Coal Industry – DNPM / 2000 Candiota PR SC RS Barro Branco Bonito Pré-Bonito Iruí / Capané Leão Charqueadas Murungava Santa Terezinha Cambuí Sapopema Mining Areas BRAZILIAN COAL RESOURCES Sub-bituminous and Bituminous coal – high ash

5 09/05/08 Associação Brasileira do Carvão Mineral REMPLAC Program – Ministry of Marine and Brazilian Geologic Service Geological Survey for Coal

6 09/05/08 Associação Brasileira do Carvão Mineral BRAZILIAN COAL INDUSTRY Resources: 31,7 billion ton (90% RS) Production - ROM (2012): 11,5 million ton Saleable Coal – 6,44 million ton Companies: 15 PR (1) – SC (11) – RS (3) Number of Employees (2012): 5.134 Market Share (2012): 84,4 % Power Generation Power Generation = 1.765 MW All industry has ISO 14001

7 09/05/08 Associação Brasileira do Carvão Mineral Brazil - Energy Offer (%) PNE 2030 Source :MME Coal

8 09/05/08 Associação Brasileira do Carvão Mineral Total (MW): Renewable energy: 101 mil 84,0 % 143 mil 83,2 % 221 mil 83,1 % POWER GENERATION MATRIX Source: MME Coal

9 09/05/08 Associação Brasileira do Carvão Mineral Security of supply = Termo power generation Hydro : old = 0,51 Km 2 /MW new = 0,06 Km 2 /MW Less Hydro Annual Storage Source : ONS –may/13 Planning Storage of energy/energy demand

10 09/05/08 Associação Brasileira do Carvão Mineral We will depend ?

11 09/05/08 Associação Brasileira do Carvão Mineral We depend also from… Huge transmission system

12 09/05/08 Associação Brasileira do Carvão Mineral In1865 the same question….. The first great requisite of motive power is, that it shall be wholly at our command, to be exerted when, and where, and in what degree we desire. The wind, for instance, as a direct motive power, is wholly inapplicable to a system of machine labour, for during a calm season the whole business of the country would be thrown out of gear. William Stanley Jevons, The Coal Question: An Inquiry Concerning theProgress of the Nation, and the Probable Exhaustion of our Coal Mines,Macmillan, London, 1865, p. 122

13 09/05/08 Associação Brasileira do Carvão Mineral 3500 MW => 1500 km Northeast Region Southeast Region 7000 MW => 2200 a 2800 km North Region 1 All pay for the electron Expansion

14 09/05/08 Associação Brasileira do Carvão Mineral Source : CCEE Coal is only 2 % 83 % renewable

15 09/05/08 Associação Brasileira do Carvão Mineral 2014 - Lack of water = Thermal dispach With 1 GW of new coal power we can decrease the cost of dispach in 250 million U$D monthly Coal power Thermal Power generation

16 09/05/08 Associação Brasileira do Carvão Mineral The solution: Low cost and security Obs: a % de participação reflete capacidade instalada, não energia firme Source : PSR

17 09/05/08 Associação Brasileira do Carvão Mineral Brazil needs Power Average increase of power: 5 to 6 GW p/y = 3 GW firm energy Demand of power in the National lnterconected Grid Brazil: 2.384 Kwh/hab Portugal : 4.929 Kwh/hab

18 09/05/08 Associação Brasileira do Carvão Mineral Planning - PDE 2021 New power: 63.800 MW : 61 % already contracted 24.100 MW planned is renewable After 2022 ???? No more hydro Thermal Power Generation Instaled Capacity in Integrated System – SIN in 2021 Hydro Other renewables Nuclear Renewables : 85 %

19 09/05/08 Associação Brasileira do Carvão Mineral If these Projects move on.... ProjectCapacity MW Coal Consumption tpy Investment U$D billion USITESC/SC 3001.412.000 0,75 ENEVA/RS1.3276.270.000 3,30 CTSUL/RS 6503.070.000 1,60 Termopampa/RS 3401.600.000 0,85 Total2.61712.252.000 6,50 Coal Production in 2012 : 6.000.000 t

20 09/05/08 Associação Brasileira do Carvão Mineral Coal Gasification – An alternative to oil

21 09/05/08 Associação Brasileira do Carvão Mineral Zaklady Azotowe Pulawy – Polônia dez/2012 ( MET technology) FGD + Fertilizer (ammonium sulfate) Ammonium Sulfate Market (mil ton) Favors high sulfur, low quality coal (Brazilian coal) WorldBrazil

22 09/05/08 Associação Brasileira do Carvão Mineral Brazilian Emissions - 2005 Source : MCT 2.192.602 GgCO2 eq - GWP Electricity: 1.5% of GHG emissions

23 09/05/08 Associação Brasileira do Carvão Mineral 23 Emissions – We will be green MW2015%2030%2035% Hydro105.44370,84%148.64667,82%170.15264,62% Nuclear2.0071,35%5.8612,67%7.4122,81% Gas12.6978,53%12.6975,79%14.6025,55% Coal3.2052,15%14.6656,69%18.2656,94% Oil7.8535,28%7.8533,58%7.8532,98% Biomass10.7047,19%20.9379,55%24.5009,30% Wind6.9474,67%8.5103,88%20.5247,79% TOTAL148.856 219.170 263.308 % Renewable 82,69% 81,26% 81,72% Power generation MtCO241,41 8,31%104,3 8,60% emissions from power generation (%) 2,03%3,77% Total emissions*MtCO22016,062752,67 *Source: LA ROVERE, Emílio L.; DUBEUX, Carolina B.S.; PEREIRA JR, Amaro O.; Wills, William. “Brazil beyond 2020: from deforestation to the energy challenge”. Climate Policy. 13 (2013), S01, PP. 71–87.

24 Centro de Gestão e Estudos Estratégicos Ciência, Tecnologia e Inovação Roadmap Tecnológico para Produção, Uso Limpo e Eficiente do Carvão Mineral Nacional MCTI Brazilian Coal Technology Roadmap 2022 – 2035

25 09/05/08 Associação Brasileira do Carvão Mineral  Develop technologies for coal mining and utilization in a sustainable way CCS  Add value to coal R&D for high value products including CTL to hydrogen  Optimized all process related to the coal economic chain  Capacity Building for all the technologies  Manage the R&D + I resources Central Knowledge Management  Increase partnership: CPRM, CETEM, Petrobras, Eletrobras, private companies, universities network and international partnerships (NETL, etc) RD&I Goals

26 09/05/08 Associação Brasileira do Carvão Mineral Social commitment of coal R&D + Capacity Building CTCL Criciúma /SC 8.000 students SATC Faculty of Engineering: Electric, Mechanics, Chemistry, Computing

27 09/05/08 Associação Brasileira do Carvão Mineral SATC is a philanthropic private institution that deal with education, technology and innovation. Social Commitment of the Coal Industry from Santa Catarina - 1% of the revenue Associação Beneficente da Indústria Carbonífera da SC - SATC

28 09/05/08 Associação Brasileira do Carvão Mineral SATC – Education

29 09/05/08 Associação Brasileira do Carvão Mineral SATC - Social Commitment

30 09/05/08 Associação Brasileira do Carvão Mineral Low carbon technology center - SATC Incubator Auditorium fossil fuels’s laboratory Auxiliary Units Criciúma/SC CTCL CCUS lab

31 09/05/08 Associação Brasileira do Carvão Mineral Coal and sustainability Clean Coal Center - CTCL Investment in R&D+I for a sustainability industry - Investment (2009/2015) U$ 6 million SATC- Criciúma/SC

32 09/05/08 Associação Brasileira do Carvão Mineral Energy Efficiency – Green Building PROCEL : Cooperation SATC/ELETROBRAS June/09 - The first five green buildings in Brasil

33 09/05/08 Associação Brasileira do Carvão Mineral 4 April 2013 CTCL – Clean Coal Technology Center 39 researchers Fields of research: Mining Reclamation, Geology, Coal Convertion, Environment issues

34 09/05/08 Associação Brasileira do Carvão Mineral Technical Courses in Brazil First Course Overview about carbon capture process regarded to coal combusion and gasification  Process involving Solvents, Sorbents and Membranes;  Advantages and disadvantages of each process;  Applications and technical issues;  Economical assessment of the technologies; Second Course Process simulation course applied to post- combustion CO 2 Capture  Process simulation using a suitable software for instance Aspen Plus; Technical and Practical Training in the United States Department of Energy- NETL Practical Training Sequence of the process simulation using a software; Practical training involving carbon capture in lab scale (Morgantown and/or Pittsburgh); Practical training in carbon capture in pilot/engineering scale (Wilsonville-Alabama). Third Course Possible technologies applied in Brazilian coal industry SATC/CTCL & CSLF Program

35 09/05/08 Associação Brasileira do Carvão Mineral CSATC/CTCL/NETL CCUS Research Block-Diagram of ARI’s Moving Bed TSA CO 2 Capture Process  Dry adsorbent-based carbon capture process with internal heat recovery  Zeolite synthesis from ash  Research includes bench scale tests, process modeling, CFD modeling and economic evaluation.  Goal is conceptual design of a carbon capture pilot unit to apply in a slipstream of a pulverized coal electric power plant in Brazil. 2,2 million U$D Project

36 09/05/08 Associação Brasileira do Carvão Mineral KEY POINTS To increase the use of the Brazilian coals it is necessary to address the technology issues regarding the use of low rank coals for conversion into clean fuels. Geologic survey, mining technologies, coal characterization and utilization, environmental technologies and capacity building for all the economic chain, should be done. Modernization of the fleet, new projects and a industrial coal policy to look at the economic chain is our goal.

37 09/05/08 Associação Brasileira do Carvão Mineral Policy Goals for 2014 Under discussion with the Goverment: MDIC : Create a Coal Policy for the Economic Chain ; support a new carbochemistry industry MCTI : Organize the R&D and keep the funding flow MME: Define a modernization program ; Define the competitiveness of Coal Power generation in the auction of the new energy; Define a geology program looking for coal, methane

38 09/05/08 Associação Brasileira do Carvão Mineral Conclusion High energy demand in the world in near term – low offer = high prices => look for domestic energy sources; Brazil will need all sources of energy and coal is important; Coal industry should be ready for a low carbon economy and, ABCM is compromised to contribute to an sustainable energy security future to Brazil.