Energy from Organics - Using MSW Organics to Produce Bioenergy

Energy from Organics
Using MSW Organics to
Produce Bioenergy
November 24, 2009
Kevin Matthews
What to keep in Mind
Success = Managing Expectations
Not all Waste is the Same
Not all AD Processes are the Same
Costs are Different than Landfill
COMPANY OVERVIEW
Private Canadian Company (1991)
Exclusive North American License for the
BTA Process
THE BTA PROCESS
Wet Pre-treatment
Anaerobic Digestion
COMPANY OVERVIEW
Built North America’s 1st two commercial AD
plants:
Newmarket (private)
• Owned by Halton Recycling
• 200 tpd plant
• Commercial organics
City of Toronto (municipal)
• Build and Operated by CCI-TBN
• 150 tpd plant
• Residential SSO
35 PLANTS WORLDWIDE
Poland
Canada
Italy
Germany
Japan
Austria
Australia
Range of Biogas & Energy
Solid Waste In Ontario – The Facts
How Much MSW Is There? (millions tpy-2004)
Stream =>
Residential
IC&I
C&D
Total
Total Generated
4.4
6.5
1.2
12.0
Total Diverted
.95
1.3
.144
2.4
Total Disposed
3.4
5.2
1.0
9.6*
22%
20%
12%
20%
Total Diversion
* 3.5 Million of these tonnes went to Michigan
What Does It Cost A Residential Taxpayer?
Averages $100 annually for 52 weeks of unlimited collection, OR
$.50 per person per week (family of 4)
What else do individuals spend $.50 per week on? A $1.00?? A $1.50??
Range of Programs
Don’t Confuse Diversion & Capture Rate
•
•
•
•
Keep collection simple
Make it easy for the home owner
Capture at Source
Toronto has a 90%+ participation rate
Not all Waste The Same ?
Commercial Organics
School
Wrigley Gum
Sobey’s
Toronto SSO
Clean Organic Pulp
BTA Waste Pulper System
Rake Fraction
Water Content
Hydropulping
Hydro-Pulper Separation
Rake Fraction
Heavy Fraction
Grit Fraction
Organic Slurry
Basic Digestion Types
Sewage Digestion
Agriculture Digestion
Food Waste Digestion
Sewage - WWTP
Agriculture Digestion
Food & Commercial Digestion
What is Important - Mixing
What is Important - Digester Sizing
Capital Cost?
$500  $1,000 per tonne of Capacity
@ 10,000 tpy  $8 mil ($800/t)
@ 30,000 tpy  $20 mil ($666/t)
@ 50,000 tpy  $30 mil ($600/t)
@ 75,000 tpy  $40 mil ($533/t)
About 25% of cost is AD equipment
Operating Costs
Operating (Food Waste):
Capital:
Equity: $10 mil. (@ 10 years)

Debt: $20 mil (@ 4% average) 
Profit / Opportunity Cost:
$10 mil @ 10% is $1 mil/year

$50/t  $75/t
Total Cost:
$106  $131
(50,000 tpy plant @ $30 million)
$20/t
$16/t
$20/t
Energy Opportunity
1 tonne of SSO
=
1 m3 of Biogas
120 m3 of Biogas
120 m3 of Biogas
@ 65% methane
= 6.5 kwh (potential)
= 780 kwh (potential)
= 273 kwh (el @ 35% eff)
= 296 kwh (th @ 28% eff)
1 tonne of SSO
25,000 TPY
50,000 TPY
=
=
=
273 kwh (el)
838 kw installed power
1.6 mw installed power
Simple Investment Model
Plant Size
25,000 TPY
50,000 TPY
Plant Investment
$20 Million
$30 million
Power Production
Price per kwh
6,825,000
kwh
13,650,000
16 cents (blended rate)
Annual Value
$1,092,000
Input tonne value:
$43
Total Contract Value
$21,840,000
$ 2,184,000
Same
$43,680,000
Simple Investment Model
Plant Size
25,000 TPY
50,000 TPY
Plant Investment
$20 Million
$30 million
Capital Cost Recovery
Equity (10 year money)
Debt (4% average bal.)
Operating Cost
Profit / Return
Total Cost
Less Power Sales
$20
$24
$75
$20
$139
($43)
$20
$16
$50
$20
$106
($43)
Net Tipping Fee Required
$96
$63
What to keep in Mind
Success = Managing Expectations +
Experience
Not all Waste is the Same
Not all AD Processes are the Same
Costs are Different than Landfill
Energy from Organics
Using MSW Organics to
Produce Bioenergy
November 24, 2009
Kevin Matthews