Environmental compatibility of energy production at global, regional and local scale (paper ID 189) G. Genon* E. Brizio** D. Russolillo*** F. Becchis *** * Dept. DITAG, Polytechnic of Turin ** Environmental Protection Agency of Piedmont *** Fondazione per l’Ambiente “T.Fenoglio” International Symposium on Sanitary and Environmental Engineering Organized by ANDIS and DICEA (UniFi) 25th of June 2008, Florence

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THE GOAL OF THE WORK | Straight to the point… We want to point out the strong need for a multi-disciplinary evaluation methodology as a common tool for stakeholders in order to assess new power generation plants and/or to compare innovative scenarios taking into account environmental compatibility Even if we are living in the Kyoto implementation period, it is important to point out that containment of greenhouse gas is not the only concern at stake Primary energy efficiency has to go hand in hand with environmental compatibility at regional and local level and with economic and financial sustainability

We want to point out the strong need for a multi-disciplinary evaluation methodology as a common tool for stakeholders in order to assess new power generation plants and/or to compare innovative scenarios taking into account environmental compatibility

Even if we are living in the Kyoto implementation period, it is important to point out that containment of greenhouse gas is not the only concern at stake

Primary energy efficiency has to go hand in hand with environmental compatibility at regional and local level and with economic and financial sustainability

Main drivers that make us focus our attention on the environmental compatibility issues. They are like three open calls to responsibility Methodology draft proposal Some applications taken from our own experience Final remarks and Conclusions TOC | Table of contents…

Main drivers that make us focus our attention on the environmental compatibility issues. They are like three open calls to responsibility

Methodology draft proposal

Some applications taken from our own experience

Final remarks and Conclusions

DRIVERS 1/3 | The urbanization: higher pop. density Data from UN, 2007 World Urbanization Prospects: The 2007 Revision Population Database (http://esa.un.org/unup)

DRIVERS 2/3 | Technology lock-in effect… Data from IEA, 2008 World Energy Outlook 2007: China and India Insights CO2 Emissions from Coal-Fired Power Stations built prior to 2015 in China & India Capacity additions in the next decade will lock-in technology & largely determine emissions through 2050 & beyond

DRIVERS 3/3 | Distributed Generation: always ok? Data from Mussinatto A. (2007) Produzione termoelettrica e inquinamento atmosferico. Proceedings of the Conference “Consumo e produzione di energia in Provincia di Torino: la strada per una svolta verso l'efficienza energetica e le fonti rinnovabili ” Effects of two energy generation scenarios on urban air quality (NOx daily average concentrations) standard boilers (separate generation) DG with CHP (50% of small NG Engines)

DRIVERS 3/3 | Distributed Generation: always ok? Small generation i.e. <10 MW Microgeneration (MG) i.e. <1 MW Data from AEEG, 2006 Italian Energy Regulatory Authority national survey on DG, http://www.autorita.energia.it

DRIVERS 3/3 | Distributed Generation: always ok? In 2004 in Italy, DG ( 2,481 plants and a total of 3,852 MW ) has generated 14.3 TWh (gross production), i.e. 5% of the national production of the power sector (303 TWh). The quota of DG production covered by MG is 15%, i.e. 2.15 TWh (1,437 plants and a total of 578 MW installed) Data from AEEG, 2006 Italian Energy Regulatory Authority national survey on DG (reference: Delib. 160/06) Year 2004 14.3 TWh (gross prod.) 23rd of June 2008, Decision no. 74/08 of the Italian Energy Regulatory Authority www.autorita.energia.it New integrated text about on-site generation (into force since 1st of January 2009 - high efficiency CHP up to 200kW - RES systems up to 20 kW)

METHODOLOGY 1/6 | Draft-proposal in 7 steps… The application of Best Available Tecniques (BAT) : it is the mandatory preliminary step to accept a specific technology structure as suitable (reliable references and sources for BAT are well known, but BAT have to be applied taking strongly into consideration the specific environmental context and the financial sustainability) A classic analysis of direct market cost and benefits (CBA) , in order to evaluate the financial sustainability Compatibility at global level : the overall energy efficiency has to insure a rational usage (and choice) of primary energy and a low carbon profile (low specific CO2 emissions) Compatibility at regional and local level : the production of specific air quality maps Monetization of negative/positive externalities of steps 3) and 4) in order to generate indicators easy to understand for policy makers and planners with no specific technology background Comparison with a second/n-th scenario Positive decision on the favourite generation system

The application of Best Available Tecniques (BAT) : it is the mandatory preliminary step to accept a specific technology structure as suitable (reliable references and sources for BAT are well known, but BAT have to be applied taking strongly into consideration the specific environmental context and the financial sustainability)

A classic analysis of direct market cost and benefits (CBA) , in order to evaluate the financial sustainability

Compatibility at global level : the overall energy efficiency has to insure a rational usage (and choice) of primary energy and a low carbon profile (low specific CO2 emissions)

Compatibility at regional and local level : the production of specific air quality maps

Monetization of negative/positive externalities of steps 3) and 4) in order to generate indicators easy to understand for policy makers and planners with no specific technology background

Comparison with a second/n-th scenario

Positive decision on the favourite generation system

METHODOLOGY 2/6 | Simplified Flow-Chart… Assessment of market costs and benefits during life-cycle Technology design preliminary assessment with BAT references Environmental compatibility at global level (energy efficiency) Environmental compatibility at regional and local level (air quality maps) Monetization of negative/positive externalities Multi-objective Cost-Benefit Analysis Clear and complete results for planners and policy makers

Data from UN, 2007 World Urbanization Prospects: The 2007 Revision Population Database (http://esa.un.org/unup) METHODOLOGY 3/6 | Monetization: the IPA…

Data from Externe, 2005 Methodology 2005 update (http://www.externe.info) METHODOLOGY 4/6 | Monetization: Externe…

METHODOLOGY 5/6 | Monetization: after Externe…

www.needs-project.org New Energy Externalities Development for Sustainability FP6, 7 Million Euros, 63 partners , 09/2004 - 08/2008 www.feem-project.net/cases/ Cost Assessment for Sustainable Energy Systems FP6, 26 partners , 04/2006 - 10/2008 On-going research projects: METHODOLOGY 6/6 | Monetization: after Externe… More can be found here:

APPLICATIONS 1/2 | MSW incinerator localization Data from Genon, Brizio, Poggio (2004) Assessment of different sites for a MSW incinerator

APPLICATIONS 2/2 | District Cooling vs. BAU Data from Fondazione per l’Ambiente, 2005 DICON Project - District Cooling: economics, governance and environmental aspects

FINAL REMARKS 1/3 | A survey from NEEDS… Survey performed in the framework of the NEEDS Project questionnaire sent to 2205 addresses (representing 49 countries) resulting data from two rounds: Jan/Feb 2007 and May/Jun 20007 Data from NEEDS, 2007 – http://www.needs-project.org Deliverable n° 12.2 - RS 2b. Reporting and evaluation of the survey on the “externality concept”

FINAL REMARKS 2/3 | Externalities & Monetisation

FINAL REMARKS 3/3 | Knowledge about IPA… Data from NEEDS, 2007 – http://www.needs-project.org Deliverable n° 12.2 - RS 2b. Reporting and evaluation of the survey on the “externality concept”

CONCLUSIONS 1/2 | Responsibilities… technologists: concerning the proposition of a priori best process solutions environmental analysts: concerning the outline of the compatibility scenario made taking into account phenomena like atmospheric transport, transformation and dispersion of air pollutants policy makers and local planners: concerning the interpretation and usage, in order to estimate the compatibility, of the detailed descriptions of the outcome scenarios

technologists: concerning the proposition of a priori best process solutions

environmental analysts: concerning the outline of the compatibility scenario made taking into account phenomena like atmospheric transport, transformation and dispersion of air pollutants

policy makers and local planners: concerning the interpretation and usage, in order to estimate the compatibility, of the detailed descriptions of the outcome scenarios

CONCLUSIONS 2/2 | Networking and data exchange Further research is under consideration about the full implementation of the methodology to some new real case studies and about the investigation on innovative aggregated evaluation indexes for the maps defined in the evaluation process Networking and data exchange is welcome , especially regarding the application of NEEDS&CASES results and case studies that might follow our methodology draft proposal

Further research is under consideration about the full implementation of the methodology to some new real case studies and about the investigation on innovative aggregated evaluation indexes for the maps defined in the evaluation process

Networking and data exchange is welcome , especially regarding the application of NEEDS&CASES results and case studies that might follow our methodology draft proposal

Daniele RUSSOLILLO [email_address] Fondazione per l’Ambiente Via Pomba 23, I-10123, Torino, Italy Tel +39 011 571 4750 Fax +39 011 571 4751 www.fondazioneambiente.org THANKS ! | Contacts