%
$
Financing
$
Project company(ies)
Local electricity production
CO
$ $
$
Power purchase agreement, PPA
Energy storage
Municipal waste/ biomass
Cement plant
CO capture plant
LH
$
rCH
H
O
Methanation plant
Electrolyser
Financing a green cement plant
Source: XDH-energy
increase several-fold. If oxycombustion is used with an ASU on site, if electrolysers are installed to provide hydrogen and oxygen (several applications depending on the process), if fuels from waste or syngas are produced, obviously also for CO 2 capture and even more for CO 2 utilisation such as methanation… then, for a standard cement plant load, which is currently around 20 MW, to produce a completely carbon neutral clinker (the main ingredient in cement), its electric load would be in the 200 MW. Therefore, electricity usage has to be optimised, first through efficiency improvement measures, then energy has to be recovered whether to produce electricity or not, and energy has to be stored to account for the interruptible or at least variable nature of renewable electricity generation. Energy saving, recovering and storing is an important pillar towards the decarbonisation of energy-intensive industries. For instance, ORC is often grouped with industrial heat pumps turbo-expanders, frequently offered by the same original equipment manufacturers (OEMs). Combining a heat pump cycle (HP) and an ORC in one reversible cycle and adding thermal storage enables an innovative and reversible energy storage concept. .
there will also be CaaS (de)Carbonisation-as-a- Service companies. Whatever their scope, the important fact is that these third-party companies can finance such WHR projects. They are mostly looking at these key parameters: the soundness of the owner of the plant and the future viability of that plant, has the technology used been proven, are there enough financial benefits to ensure savings to the end user and income to the lenders – usually from revenue stacking (CO 2 credit + electricity price reduction + load fee reduction), are there local specific political risks, an exchange rate, a regulatory environment, and carbon intensity of the grid? One such third-party financier with a track record over its many years in business is Kyotherm, a global investment company that specialises in third-party financing of continuous renewable heat production and energy efficiency projects. It finances turnkey projects that use bankable (proven) technologies linked with reliable user and solid take-off agreement. Kyotherm receives a portion of the saving, which could also include CO 2 credits. To satisfy its investors, the equipment provider and EPC for the project, as well as the client, benefit from part of the saving during the contract period of 5 to 15 years, after which the client takes over full possession of the system. When considering a future industrial plant be it steel, aluminum, glass, cement, or lime, it is undeniable that their electric load is going to
Xavier d’Hubert xavier.dhubert@xdh-energy.com
www.decarbonisationtechnology.com
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