Smart Communities

By actively introducing power from renewable energy sources and storage batteries to the electrical grid, a PEB produces energy in excess of what it c...

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2014.

No.52

Reporting on Today and Tomorrow’s Energy, Environmental and Industrial Technologies

Featured Article

No.1

Smart Communities Developing Towns of the Future that Coexist with the Environment

Featured Article

No.2

Attracting Global Attention

Japan’s Clean Coal Technology

Reporting on Today and Tomorrow’s Energy, Environmental and Industrial Technologies

C ONTENTS Featured Article

No.1

2014. No.52

Smart Communities Developing Towns of the Future that Coexist with the Environment 2

Featured Article

No.1

Smart Commu Developing Towns of the Future that Coexist with the Environment

NEDO’s Ongoing Smart Community Demonstration Projects in Collaboration with Other Countries 2

NEDO’s Ongoing Smart Community Demonstration Projects in Collaboration with Other Countries

NEDO Smart Community Department Director General, Masaaki Yamamoto Discusses:

Constructing total solutions to address the unique energy situations in each country by combining technologies from both countries, then verifying practical operability through demonstration projects.

Initiatives in the Area of Smart Communities 4

Future Cities Coming to Life Current Status of NEDO’s Demonstration Projects

Lyon, France 6

New Mexico, USA

Aiming for the Stable Supply of Solar Power

6

Hawaii, USA

Maximizing the Use of Renewable Energy

8

Page 10

We aim to create an eco-friendly, futuristic smart community model city in Lyon, the Confluence district where the Rhone and Saone Rivers meet, with introducing large-scale renewable energy and expanding the use of electric vehicles (EV).

Málaga, Spain

Building Infrastructure for an Electric Vehicle Society

9

Lyon, France

Constructing a Model City of the Future in an Ancient City

10

Java, Indonesia

Aiming for the Development that Balances Economy and Environment 11

Featured Article

No.2

Attracting Global Attention:

Japan’s Clean Coal Technology

12

NEDO Environment Department Clean Coal Group Director, Nobuyuki Zaima Discusses:

Supporting the Improvement of Global Energy Efficiency and the Diversification of Energy Sources

Project Formation Research on HighEfficiency Coal Utilization Systems 15

Front cover: Post-redevelopment image of the Lyon Confluence, France, the subject of NEDO’s Smart Community Project Source: SPL Lyon Confluence, Les espaces verts.© Depaule/Asylum

2

1. PEB (Positive Energy Building) 2. EV charging management system and EV sharing utilizing Photovoltaic power 3. Home energy monitoring system 4. CMS (Community Management System)

What is PEB?

What is CMS?

PEB stands for “Positive Energy Building”. By actively introducing power from renewable energy sources and storage batteries to the electrical grid, a PEB produces energy in excess of what it consumes from the grid.

CMS stands for “Community Management System”. By aggregating and analyzing data collected from a variety of sources such as PEBs and EV charging management systems, a CMS reveals important indicators that can be used to manage power throughout an entire region.

Málaga, Spain

Making Great Contributions to Resolving Global Environmental Problems through 12 Clean Coal Technology

NEDO Topics

Demonstration project details

16

Page 9

We are constructing a management system to guide each individual electric vehicle driver to their optimal charging station through their navigation system in advance of the large-scale expansion of electric vehicles and the necessary infrastructure to support them. Through mass dissemination, we aim to mitigate overloads in the electrical grid through mass dissemination and make effective use of renewable energy. Demonstration project details 1. Technology to reduce the load 2. Charging guidance through navigation systems 3. Integrated ICT (Information and Communication Technology) platform 4. Integrated services (car-sharing, charging guidance based on location, etc.)

nities Manchester, UK

What is a “smart community?” A smart community is a mechanism to use energy intelligently by sharing data in both directions between the supply and demand sides of the system using ICT. This enables the optimal use of renewable energy such as solar power, wind power, and biomass while limiting the impact on the environment and increasing energy efficiency.

Page 16

New Mexico, USA

Pages 6-9

A smart grid demonstration project was launched in 2009, the same year when “Green New Deal” policy proposed by the Obama administration drew attention. This project aims to resolve issues related to the largescale penetration of solar power generation in commercial buildings as in Albuquerque site as well as in typical individual homes as in Los Alamos site.

Six Demonstration Projects Underway Worldwide

Demonstration project details 1. Demonstration of a smart grid in Los Alamos 2. Demonstration of smart houses in Los Alamos 3. Demonstration of a commercial district smart grid in Albuquerque 4. Comprehensive research

What is a “smart grid?”

What is a “smart house”?

A smart grid is a power grid that optimizes power supply by using information on both energy supply and demand utilizing the networked control functions of devices with communication capabilities such as smart meters.

A smart house is a home that manages the energy supply and demand balance of an entire house by introducing a HEMS (Home Energy Management System).

Hawaii, USA Java, Indonesia

Page 11

First demonstration project in Asia. We aim to establish a stable power supply by introducing a system that solves issues such as voltage fluctuations and sudden power outages at industrial park enabling what we call a “smart and ecofriendly industrial park model” that makes optimal use of energy.

Page 8

A demonstration project was launched in 2013 on Maui Island in Hawaii where the use of renewable energy is expanding. The goal is to construct a smart grid that integrates electric vehicles to resolve problems related to the large-scale introduction of renewable energy.

Demonstration project details 1. Power quality stabilization technology 2. Promotion of energy conservation through FEMS (Factory Energy Management System) and control demand through DSM (Demand Side Management) 3. Development of an ICT (Information and Communication Technology) platform to support 1. and 2. mentioned above

What is FEMS?

What is DSM?

FEMS is a factory energy management system that controls energy consuming devices using ICT. It enables the visualization of energy consumption and the optimization of the industrial facility operations.

DSM is a demand side management system for electric power. It suppresses factory power consumption based on demand suppression requests from the power company to adjust the balance of power supply and demand in the system.

Demonstration project details 1. Demonstration of a smart grid for remote islands utilizing EVs on Maui Island 2. Demonstration of a smart grid at the distribution substation level in the Kihei District 3. Demonstration of a low voltage (low voltage transformer level) smart grid system 4. Comprehensive research

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NEDO Interview

Initiatives in the Area of Smart Communities Since around the year 2000, NEDO has been developing grid interconnection technologies to deal with the large-scale connection of power generated from sources such as solar and wind as well as conducting demonstration projects, and our efforts to expand their practical use have advanced. Building upon our knowledge and experience, we are conducting our demonstration projects with the aim of realizing “smart communities” that use not only electricity but also heat as an energy source, and can share information with the consumer side and the transportation system, and improve efficiency and optimize overall local energy supply and demand. We spoke with NEDO Smart Community Department Director General Masaaki Yamamoto about the current situation and progress in this area.

Addressing shared global environmental issues through international cooperation

to counter global environmental issues as well as micro-grids used to prepare for natural disasters. These are shared global technological challenges, and this is the reason why NEDO is

—Please explain the definition of “smart community” and

conducting technology demonstrations within an international

tell us about the special characteristics of the demonstration

cooperative framework. With the energy conservation, system

projects NEDO is working on.

control, and storage battery technologies Japan has developed

Yamamoto: A smart community is a mechanism to use energy

over many years, we recognize the contribution we can make.

wisely by utilizing ICT to turn what was until now a one

side into a bidirectional mechanism that includes the demand

Creating demonstration opportunities through bilateral partnerships between two governments.

side by sharing information. At NEDO we use the term “smart

—Please tell us about NEDO’s roles and mission, as well as

community” rather than “smart grid.” More than just the power

current progress of your demonstration projects.

system called the grid, this definition encompasses a broader

Yamamoto: In order to conduct technical and social demonstrations

range of fields we would like to work on, such as consumer

with government agencies in other countries, NEDO is creating

sides including transportation systems, housing and office/

“demonstration opportunities” through negotiations with national

commercial buildings.

and local government partners.

directional energy supply mechanism focused on the supply

The major characteristic of the smart community demonstration

We use the term “technical demonstrations” because we try to

projects NEDO is currently working on is that we are not just

combine technologies from both countries and optimize them

examining things from a technological perspective, but similar

in order to meet the different needs of each partner country and

to demand response we are exploring human reactions from a

region.

social perspective.

Additionally, we chose to use the term “social demonstrations”

—Please tell us about the future prospects of smart communities

to convey the importance of exploring the human reaction

in the world.

aspect in smart community demonstrations as I mentioned

Yamamoto: Smart communities have become a global trend

before. In order to make these kinds of demonstrations

with hundreds of smart community demonstration projects

successful we must share a similar awareness of the issues,

being performed in both developed countries as well as

and obtain the cooperation of a local government that is

emerging nations. In addition, smart community technology

willing to ask for the participation of its residents in societal

has become essential to the intensive use of renewable energy

experiments. Furthermore, with the varying interest in energy

4

Column

Japan Smart Community Alliance (JSCA) In anticipation of growing business

between public and private entities as

cooperation of multiple companies on four

opportunities following the completion

well as information collection and sharing

working groups: International Strategy,

of smart community demonstrations,

across industry boundaries. NEDO is in

International Standardization, Roadmap,

JSCA was established in April 2010. The

charge of administrative work of JSCA

and Smart House & Building.

association has 322 member companies

while promoting coordination with not

Furthermore, JSCA is active not only

and organizations participating from a

only the Ministry of Economy, Industry

in Japan, but also promotes global

broad range of industries including power

and Trade (METI) but also other ministries

collaboration through participation in

and gas, automotive, information and

and related organizations.

initiatives like the Global Smart Grid

communications, electronics, construction,

JSCA deals with issues that are

trade, local government, academia, and

difficult for individual companies to

more. JSCA promotes collaborations

work on through the participation and

Federation that includes 17 alliance members from around the world. (As of August 2014)

and environmental issues among local residents, it is necessary

results that correspond to local needs.

to configure the environment and establish mechanisms to

—How will NEDO expand these projects in the future?

encourage more and more people to cut peak energy usage and

Yamamoto: The number of demonstration sites where we

participate in energy-saving behavior.

are starting operations will increase going forward. I think

With these ideas in mind, we are currently conducting

that we want to contribute to worldwide smart community

demonstration projects in the United States, France, Spain,

development by analyzing data from demonstration projects

Indonesia and the United Kingdom.

and diffusing our technical results. I also believe that it is

—Are you already seeing the results of these projects?

NEDO’s role to raise the awareness within global society about

Yamamoto: As a whole the situation is that we have many

the effectiveness and necessity of smart communities to save

projects that have just recently started demonstration

energy and make intensive use of renewable energy.

operations, but in New Mexico we have a demonstration that

Moving forward, I think that we want to contribute the

is starting to produce concrete experimental results such as the

development of smart communities by pursuing the dual tracks

realization of a micro-grid to contribute to a stable regional

of overseas smart community demonstrations and fundamental

power supply and economical power procurement by using

technology development.

the actual power grid along with batteries for stationary use to appropriately absorb fluctuations of solar power generation based on weather forecast information, and a successful transition at a commercial facility to an independent power supply in the event it is cut off from the power system during an emergency. Due to measures to deal with power outages caused by natural

Masaaki Yamamoto Director General NEDO Smart Community Department

disasters and growing expectations that power generation will move toward low-cost distributed power sources amid the shale gas revolution, interest in micro-grids has been growing in the United States, and we think that we are getting timely 5

Future Cities Coming to Life

Current Status of NEDO’s Demonstration Projects

A commercial building at the Albuquerque site (Mesa del Sol Center Building)



New Mexico, USA

Aiming for the Stable Supply of Solar Power Scope of NEDO demonstration

Exploring the potential of a smart grid from smart buildings and smart houses Demonstration projects have been conducted to resolve issues related to the introduction of large quantities of power to the grid

Demonstration of a commercial building capable of autonomous operation

Grid monitoring Direct energy consumption level

from unstable solar power generation at commercial buildings and ordinary homes in the state of New Mexico.

Mesa del Sol Center Building Gas engine

Solar power generation system

In Albuquerque, a project was conducted to demonstrate a building system that could provide ancillary service to absorb fluctuations from solar power generation in the grid through the building’s gas engine-type electric generator. In an emergency,

Monitor grid voltage and frequency

BEMS

Storage batteries

the building system was disconnected from the grid but yet could operate autonomously to supply power for the entire building. So far, the uninterrupted transition to independent operation has been successful primarily by using the flexibility of the gas engine. It is safe to say that this is a world-class smart building

Absorb system fluctuations

Substation Solar power generation system

Storage batteries

General households

demonstration. In Los Alamos, there is an ongoing smart grid demonstration that maintains an optimum electric supply through the use of electric storage batteries designed for grid and consumer household 6

Power grid Information system ○Legend Demonstration of a smart building which is capable of responding to requests from the power grid (autonomous operation is also possible). This system will be critical when new energy accounts for most of our energy generation and consumption.

Currently NEDO is conducting various smart community demonstration projects that are designed to meet the different needs of partner countries and regions around the world. Expectations and acclaims for Japanese technology at the local level are high, and we are making a great progress in contributing to solving global environmental problems by realizing smart communities.

A 1MW solar power generation system at the Los Alamos site

In New Mexico, which is blessed by about 300 days of sunny weather per year, we have conducted three demonstration projects aimed at providing a stable electricity supply from the irregular output of solar power generation. This includes a world-class smart building in Albuquerque, a micro-grid dealing with large amounts of renewable energy and smart house that allow the “visualization” of electricity use and costs in Los Alamos. demand-response (changing the volume of the power used on the demand side based on the available supply of electricity) as part

Satoshi Morozumi NEDO Smart Community Department

Scope of NEDO demonstration Control micro grid via µ-EMS

of an actual power grid to maintain the optimal electric supply.

Grid monitoring

Direct charging and discharging

Storage batteries

As a distribution system-level micro-grid, this is the world’s first successful implementation of power flow control that combines

Monitor power generation volume

mega solar and storage batteries. In addition, we are promoting the demonstration of smart houses that integrate energy storage

Monitor grid voltage and frequency

devices and smart appliances and control household energy consumption through HEMS (Home Energy Management System). In particular, the testing of communication, coordination and co-operation between micro-grid control system (µ-EMS) in the grid and the smart house HEMS was the first in the world. Although most of the demonstrations in New Mexico were

Solar power generation system

Demonstrate real-time pricing and demand-response

Substation

Communication of pricing data via high-speed PLC communication

General households

Smart houses with HEMS, etc. installed

completed in March 2014, the demand-response demonstration in Los Alamos was extended for another year. Starting from July of 2013, we recruited volunteers to install smart meters in their residences, and as a result we had 900 households participate in the demonstration. We are currently gathering data and already getting very interesting results.

Smart meters

Scope of NEDO demonstration Power grid Information system ○ Legend Demonstration of energy management under circumstances where a large amount of solar power generation has been introduced in an actual power grid in a residential area.

7

Hawaii, USA ★

Maximizing the Use of Renewable Energy In December of 2013, in order to provide a stable supply of electricity and reduce environmental impacts, a demonstration project to make efficient use of renewable energy and overcome issues including supply and demand fluctuations and load on the power grid by utilizing the storage capacity of electric vehicles was launched on the island of Maui in Hawaii, where the transition to renewable energy has been advancing.

Absorbing fluctuations in wind and solar power through electric vehicle storage capacity The introduction of renewable energy production such as wind and solar power generation has been increasing in the state of Hawaii, and there is a plan to meet over 40% of electricity demand through renewable energy by 2030. Underlying this are concerns about the adverse effects on the environment of heavy dependence on fossil fuels and rising fuel costs due to transportation cost increases that are a specific challenge for

Kazuyoshi Takada NEDO Smart Community Department

Renewable energy

Island-wide smart EV system ■ Peak shift (utilization of nighttime surplus wind power and avoidance of EV charging during peak times) ■Issue EV charging termination command to correct frequency issues associated with interruptions to wind power generation

Wind power generation

Solar power generation system

Energy management system EVMS (Electric Vehicle Management System)

Information on power generation volume

Transmission grid

EV charging station

island communities.

Power distribution management system

Maui, which is the second largest island in the state of Hawaii, is

Distribution substation

currently operating 72MW of wind power generation and 40MW of Charging terminated during power shortage

solar power generation to meet an electricity demand of 90 to 200MW. However, problems have already emerged that threaten the stability of the power supply and prevent the effective utilization of renewable energy, such as power surpluses during times of lower demand, frequency variations due to changes in the volume of power generation,

Power distribution grid

District where the PV system, EVs and the electric power system can communicate. Development of µ-DMS capable of coordinated operation with higher-level DMS without burdening grid equipment

and excessive load on the distribution line. µ-DMS

As part of the NEDO project we are conducting demonstrations of smart grid technologies at various levels including the power grid, distribution substations, and low-voltage transformers. For example, at the power grid level, we have introduced an EVMS (Electric Vehicle Management System) to take advantage of surplus wind power when

Low-voltage transformers

General households

Power grid Information system ○ Legend The goal is to mitigate impacts on grid frequency due to introduction of large-scale wind power generation by realizing the charging of EVs using surplus wind power at night.

demand is low at night and control the optimal timing to perform the charging of electric vehicles (EVs) based on the balance of supply and demand. In addition, we are trying to optimize the balance of electric supply and demand on the island by instantly interrupting charging in situations where the power supply is insufficient, such as when wind power generation stops unexpectedly. Interest among the public is very high. By May 2014, 300 individuals had volunteered their own EVs and expressed interest in participating. Based on our upcoming analysis and review results, we would like to expand this system that can help to achieve a low-carbon society on islands and subtropical regions that have an environment similar to Maui’s. 8

Constructing a system that does not overload grid equipment by controlling EV charging and other operations

Málaga, Spain



Building Infrastructure for an Electric Vehicle Society Electric vehicles are one of the essential elements in the development of a smart community. In Spain, where transportation accounts for 40% of total energy consumption, they set a goal of introducing 250,000 EVs by 2014. Accordingly, NEDO is conducting a demonstration project in the southern city of Malaga in expectation of the large-scale introduction of electric vehicles in urban areas.

Demonstration technologies to reduce the load on the power system.

Takeshi Yoshida NEDO Smart Community Department

Using 200 EVs and charging infrastructure including quick chargers, we are demonstrating smart community technology in expectation of the large-scale introduction and dissemination of EVs.

Our demonstration project in Spain is part of the Japan-Spain

From the control center, we manage the position, charging status, and

Innovative Program based on a technology development cooperation

navigation systems of the EVs in an integrated manner. For drivers

agreement with the Spanish government and the Centre for the

who want to charge their EVs, the system presents them with the best

Development of Industrial Technology (CDTI).

charging location, of the nine locations in the city where we installed

The project is conducted in Spain associated with its various initiatives

aimed

at

achieving

the

European

“20-20-20”

23 chargers, based on consideration of the influence charging has on the grid. By guiding drivers through the navigation system, we are taking full advantage of ICT that are linked to EV management

environmental targets. The project started in April 2013 as one of collaborative efforts of

systems and power management systems in an attempt to reduce the load on the grid posed by the mass dissemination of EVs.

Malaga City’s Smart City Malaga Project.

In this project, Málaga citizens and businesses participate by Scope of NEDO demonstration EV management center

Verify optimal charger allocation

leasing the EVs. Although we had a hard time gathering interested

EV charger locations

city the response was favorable, and currently there is a waiting list

Provide information such as charger location

Manage EV charging condition, position, and navigation system in an integrated manner

participants at first, once the vehicles started hitting the streets of the for people interested in leasing EVs. User reactions have also been

EV charger

extremely positive, and we’ve heard comments such as “I want to use it more” and “I want chargers installed in the suburbs too.” This demonstration project is planned to continue through FY2015. Our aim is to establish the technology and systems necessary for the

EV management, navigation, etc.

expansion of EVs in the urban areas. Coordination

Storage batteries

Renewable energy

* “20-20-20” (Triple 20) is an energy policy implemented by the EU. By 2020 the aim is to, compared to 1990 levels, reduce greenhouse gas emission by 20%, increase the share of renewable energy by 20%, and improve energy efficiency by 20%.

Solar power generation system

Smart buildings Smart mobility

Regional energy management system Wind power generation

Smart meters

Smart City Málaga Project Power grid Information system ○Legend Demonstrating technology to reduce the load on the grid caused by large-scale EV recharging by encouraging changes in EV user behavior through making full use of ICT (Information and Communication Technology)

quick charging station installed in Málaga City

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Lyon, France

Constructing a Model City of the Future in a Historic City In Europe, where environmental regulations are strict, NEDO has started a project to turn a historic city “smart” utilizing Japanese technology. We are aiming to build an environmentally friendly urban city model through demonstration projects in smart buildings and EV sharing.

NEDO demonstration project with the four tasks draw high expectations from local residents

Smart battery

NEDO Smart Community Department

Demonstrate Positive Energy Building (PEB)

P-plot building

In this demonstration project in the Lyon Confluence (area of 150

HEMS

hectares), we are building a urban city model using electric vehicle (EV), photovoltaic (PV), and smart building technologies.

Shintaro Matsuoka

PV system

There are four specific tasks involved in the project. Task 1 is

LED

the construction of PEB (Positive Energy Building) that actively

BEMS

introduce renewable energy and storage batteries to produce energy in excess of the amount consumed within the building. Task 2 is the implementation of EV charging management system and EV sharing that utilize PV. Task 3 is the promotion

EV car sharing

Community management system

Build a system to optimize the energy use of the entire city

of energy-saving behavior among residents by visualizing the Visualize energy consumption in the home

energy consumption of existing housing. Finally, Task 4 is to aggregate energy information from Tasks 1, 2, and 3 to construct a community management system that presents indicators for use throughout the entire region.

Charging stations

General households

Solar power generation system

At present, Task 2 regarding EV sharing is making the most progress, and we are compiling data received from the registered citizen users of our 30 EVs. In addition, with Task 3 on visualizing energy consumption, we began monitoring energy consumption by distributing tablets to 270 households concentrated in the target district this summer. Both countries are bringing technologies to complete the PEB in 2015. The PEB is currently under construction

Implement EV charging management system and EV sharing utilizing solar power generation

Tablet

Power grid Information system ○ Legend Demonstration of the development of a comfortable and environmentally friendly urban city model through the integration of advanced Japanese energy technology with Europe’s strict environmental goals and the environmental urban planning concept of “Grand Lyon.”

and this will be a pioneering project in Europe where the “20-2020” * initiative has been implemented. Although there are now tens of different types of smart community projects underway in Lyon, this project is considered to be a centerpiece and it has attracted great expectations. This futuristic city being constructed as a joint project between Japan and France is a message to the world, and we want to keep contributing to a low-carbon revolution not only in Europe but also globally. * “20-20-20” (Triple 20) is an energy policy implemented by the EU. By 2020 the aim is to, compared to 1990 levels, reduce greenhouse gas emission by 20%, increase the share of renewable energy by 20%, and improve energy efficiency by 20%.

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Illustration of proposed completed Positive Energy Building (PEB) that creates more energy than the entire building consumes through implementation of solar panels, BEMS/ HEMS and energy-saving equipment..

(Source: SPL Illustration made by Asylum for SPL Lyon Confluence © Illustration made by Asylum for SPL Lyon Confluence)



Java, Indonesia

Toward the hamonized development of “Economy and Environment” In Indonesia, with its remarkable economic growth, we aim to transform an industrial park with high energy density to a “smart and eco-friendly industrial park” by using smart community technology.

Yoshinori Furukawa NEDO Smart Community Department

by introducing equipment for voltage stabilization and

Achieving improved power quality and energy savings through mutual cooperation

uninterruptible power supplies. In addition, we are promoting the efficient use of energy through the implementation of

As Indonesia’s rapid economic development continues, its

FEMS (Factory Energy Management System) along with

energy demand is also expanding remarkably. Because of this,

DSM (Demand Side Management System), with the goal of

insufficient electricity, frequent electricity outages and unstable

controlling power consumption in response to power shortages

electricity quality are often to be seen. In order to reduce the

through cooperation between FEMS and DSM. In order to

risk of lower productivity and equipment damage due to this,

achieve this we will lay down high-quality communication

many factories are introducing their own power generation

infrastructure in the industrial park to build a common

equipment.

underlying ICT (Information and Communication Technology) platform.

For Indonesia to develop further in the future, it is necessary to build systems that stabilize the quality of electricity and enable efficient use of energy. To that end, Japan and Indonesia are working together on a demonstration project at the industrial park in Suryacipta City of Industry, aiming to achieve high quality electricity supply and energy conservation with the goal of creating a “smart and eco-friendly industrial park model.” In addition to achieving a reduction in the length of outages through the implementation of automated power distribution systems, we are building a system to supply high quality

The Suryacipta industrial park that will become the site for the “smart and eco-friendly industrial park model” demonstration project

electricity without fluctuation in voltage or frequency PLN

Substation

Industrial park Automated power distribution system

Conventional electricity

PLN

Load dispatching center

DAS server

Switches

Factory

High quality power supply system Voltage stabilization equipment UPS

ICT platform FEMS ○ Legend Conventional electricity High quality electricity Communication lines (monitoring/control)

Demonstration of smart community technology achieved through integration of power and ICT in an industrial park with high energy density

Power visualization Load control

EMS DSM, FEMS, EMS server

Energy visualization Optimized control

DSM system

DSM client

FEMS manager

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Featured Article

Japan’s

Attracting Global Attention:

No.2

NEDO Interview

Making Great Contributions to Resolving Global Environmental Problems through Clean Coal Technology Coal is a cheap, stable resource, and its importance will increase further

electricity remains high. In this respect, coal is inexpensive, and from

—Why is coal now receiving global attention once again?

the cost of natural gas.

the perspective of strengthening Japanese industry it is extremely important given that coal can generate electricity for about one-third

Zaima: There are large coal reserves that are not geographically

In this way, from the perspectives of both energy security and

concentrated. Moreover, compared with other fossil fuels the price is

economics, coal will be an important energy source in the future,

low and relatively stable, and unlike oil or natural gas there is almost

contributing to the stability of Japan’s energy market structure.

never a steep rise in price. For this reason, coal is currently fulfilling estimated that the demand for coal will expand even further heading

Japanese Coal-fired Power Generation Technology is Among the Most Advanced in the World

towards 2035.

—I understand that coal-fired power generation has a lot of

—In Japan, since the Great East Japan Earthquake, coal-fired

CO2 emissions. On this point, won’t there be a concern with

power generation is being reconsidered. Please tell us about the

continuing coal-fired power generation?

role of coal in meeting Japan’s energy demand in the future.

Zaima: Japanese coal-fired power generation technology is among

Zaima: Due to the risk of resource-poor Japan favoring one type

the most advanced in the world, and at the most cutting-edge power

of energy, it is important to utilize an ideal mix of various types of

plant the thermal efficiency of 42% and a CO2 emission rate of 0.8kg/

energy. Coal-fired power generation amounts to roughly one-fourth

kWh make it the highest level among all other countries. If all of

of Japan’s current power supply portfolio, and we believe that coal

the world’s coal-fired power generation technology were converted

will continue to be an important energy resource in the future.

to Japanese technology, emissions of CO2 would be dramatically

roughly one-fourth of the entire world’s energy demand, and it is

In the case of oil or natural gas power generation, the cost of

reduced.

The role of coal among global energy resources 9000

7000

12000

■Other

10000

■Hydroelectric

5000

8000

■Nuclear

4000

6000

■Oil

3000

■Coal

2000

Source: IEA, “World Energy Outlook 2012”

5

0

20 3

5

20 3

0

20 2

5

20 2

0

20 1

5

0 19 9

5

0

20 3

5

20 3

0

20 2

5

20 2

0

20 1

20 1

20 0

20 0

19 9

19 9

5

0

0

0

5

1000

0

2000

20 1

4000

0

■Natural gas

6000

20 0

■Biomass

5

14000

Projected global power generation capacity

8000

20 0

16000

19 9

Projected global energy demand Mtoe

Mtoe

18000

Source: IEA, “World Energy Outlook 2012”

Coal satisfies one-fourth of global energy demand and accounts for more than 40% of power generation capacity; global energy demand is projected to increase by a factor of 1.2 and power generation by a factor of 1.4 by 2035.

12

Clean Coal Technology “Clean Coal Technology” enables the efficient use of coal in an environmentally friendly way. Coal was one of the resources NEDO focused on for technology development when it was established. We spoke with Environment Department Clean Coal Group Director, Nobuyuki Zaima about the current situation and future plans. Composition of Japanese power supply (by amount of electricity generated)

NEDO is aiming for even more efficient coal-fired power generation

increasing the thermal efficiency to 48%. As thermal efficiency goes

0

up, the amount of coal used decreases, which also reduces the amount

order to capture the CO2. For this reason, we tried to reduce this energy in the EAGLE project and we have succeeded in reducing energy required roughly by 30%

China

33

India

31

Australia

08 20

06

04

20

27

02

29

20

critical problem was that it requires a substantial amount of energy in

USA

35

00

and this technology directly captures this. However, until recently the

37

20

fashion, carbon dioxide is generated during the gasification process,

Germany

98

gasifying coal. When coal is burned CO2 is released; in the same

■Coal

Japan

39

20

separates and recovers CO2 directly as it occurs in the process of

41

96

Zaima: With EAGLE we are aiming to establish technology that

■Oil

43

19

(CCS) technology.

■Natural gas

FY1980 1990 2000 2010 2012 Source: The Federation of Electric Power Companies of Japan

90

—Please tell us about EAGLE’s CO2 Capture and Storage

■Nuclear power

Coal-fired thermal efficiency by country Gress thermal efficiency (LHV, %)

Aiming for Coal-fired Power Generation that Doesn’t Emit CO2

28%

■Other

Japanese coal-fired power generation accounts for roughly one-fourth of the amount of total power generation. The importance of coal-fired power generation has been increasing, especially since the Great East Japan Earthquake.

19

of CO2 emissions.

18%

2,000

19

the waste heat to generate electricity through a steam turbine,

4,000

94

gasifies coal, which then turns a gas turbine, and by further utilizes

42%

6,000

19

EAGLE is a type of combined cycle generation technology which

10% 2%

8,000

92

for Gas, Liquid and Electricity). The technology developed with

10,000

19

technology development called EAGLE (Coal Energy Application

Electricity generated (kWh)

through a project for innovative CO2 recovery-type coal gasification

Source: International Comparison of Fossil Power Efficiency and CO2 Intensity 2011, by Ecofys

Japanese coal-fired power generation is recognized as having the world’s highest thermal efficiency through efforts in continuing technology development, technology commercialization and appropriate operations and management.

by using chemical and physical absorption method. Although we concluded the EAGLE pilot test this fiscal year, we have now begun a large-scale demonstration test using the EAGLE results with what is called the “Osaki CoolGen Project” at the Osaki Power Plant in Hiroshima Prefecture. This is a project subsidized by Ministry of Economy, Trade and Industry (METI), and they are considering a demonstration of the ultimate coal-fired

Nobuyuki Zaima

Director Clean Coal Group, Environment Department NEDO

power generation with an increase in thermal efficiency to 55% by integrating fuel cells utilizing hydrogen by-products produced during the gasification process in the process. —How will NEDO continue the work on Japan’s world-class clean coal technology in the future? 13

Improvement of Thermal Efficiency Although Japan’s coal-based technology is already at the highest level in the world, NEDO is concentrating on developing technology for even higher efficiency coal-fired power generation in order to maintain competitiveness and contribute to resolving global energy and environmental issues. Net thermal efficiency (HHV), %

70 65

Integrated coal gasification fuel cell (IGFC) combined cycle

60 55 50 45 40

A-USC (Advanced Ultra-Supercritical Coal-fired power plants)

Technology that increases thermal efficiency by placing steam that is being used for thermal power generation above the critical pressure of water to reduce the thermal energy. METI has been working on development of A-USC that can achieve an efficiency ratio of 46% in 2015 and 48% by 2020.

A-IGFC 65% A-IGCC 57%

55%

IGCC (Integrated coal gasification combined cycle)

1700°C class GT Integrated coal 50% gasification 1500°C class GT combined Ultra-supercritical 46~48% 750°C class cycle (IGCC) (USC) coal-fired 48% power plants 700°C class Advanced ultra-supercritical 46% 600°C class (A-USC) coal-fired power plants 42%

2000

2010

2020

2030

2040

High-efficiency power generation technology that uses gasified coal as fuel for gas turbines. Utilizing EAGLE results, METI plans to begin demonstration test operation at the Osaki Power Plant in Hiroshima Prefecture in 2017.

IGFC (Integrated coal gasification fuel cell combined cycle)

2050

Year

Compiled from “CoolEarth Energy Innovative Technology Plan” data

Triple combined cycle that generates electricity through a combination of fuel cells, gas turbine, and steam turbine, using gasified coal. If achieved, it is expected that the net thermal efficiency will exceed 55%, and in comparison with preexisting pulverized coalfired power plants, CO2 emissions are also expected to decrease roughly by 30%.

Zaima: We are promoting the strategic development of clean coal

EAGLE (innovative CO2 capture coal gasification technology development)

technology according to three pillars of technological promotion:

Tests and verification were conducted at the pilot-level, aiming to optimize highefficiency power generation and CO2 capture for the realization of zero emissions coal-fired power plants.

saving energy and reducing CO2 in the process of high-efficiency coal-fired power generation and steel production; achieving zero

Coal gasification unit

emissions-type coal-fired power generation; and deploying facilities

Air separation unit

and technology related to Japan’s superior high-efficiency use of coal. While we strive to make progress with the expansion of world-class cutting-edge clean coal technology as well as the development of coal-fired power generation technology with an improved efficiency,

Gas clean-up unit

eventually we want to achieve “zero-emissions coal-fired power generation” that eliminates CO2 emissions.

CO2 capture unit (physical absorption method)

We believe that we can reduce the load on the environment due to the use of coal and stabilize a balance between demand and supply of energy globally by advancing Japanese clean coal technology.

CO2 capture unit (chemical absorption method)

Gas turbine unit

Exterior of pilot test plant. This pilot test combining IGCC and CO2 capture is considered as one of the world’s most advanced efforts.

EAGLE 150t/d pilot plant system diagram Coal gasification unit Coal

Gasification furnace

Gas clean-up unit Fine desulfurizer

Syngas cooler

No.2 water scrubber tower

Sulfur capture tower

Char Filter GGH Slag

No.1 water scrubber tower

Char

N2

N2

O2 Air

Comp

Air feed compressor

Rectification tower

Air separation unit

GT

G

Air

Gas turbine unit

COS converter

Absorption tower

Regeneration tower

Sour shift

CO2 capture unit (physical absorption method)

Sweet shift

CO2 capture unit (chemical absorption method)

Gypsum

Incinerator heat recovery boiler

Generated gas incinerator Stack

Aiming to verify the applicability of IGCC and reduce energy required for CO2 capture.

14

Column

Supporting the Improvement of Global Energy Efficiency and the Diversification of Energy Sources

Project Formation Research on High-Efficiency Coal Utilization Systems NEDO has started the “Project Formation Research on High-Efficiency Coal Utilization Systems” to promote the export of infrastructure from Japan. In order to export Japan’s technologies related to highly efficient use of coal to overseas, NEDO is conducting the “Project Formation Research on HighEfficiency Coal Utilization Systems.” This is in line with an infrastructure export strategy by the Japanese government, which sets an export sales target for 2020 at 30 trillion yen, three times as much as the current export sales of 10 trillion yen. This export sales target includes 9 trillion yen from energy field. NEDO began this project in 2011. Specifically, a feasibility study has been conducted in order to advance the overseas expansion of highefficiency coal utilization systems that include Japan’s high-efficiency power generation technology, carbon dioxide capture and storage (CCS) technology and operation management technology. Through the study we are examining each country’s energy efficiency and market conditions to expand systems matched to country-specific issues. For example, Japanese technology would enable a country to make use of unused low rank coal in ways that are highly efficient and environmentally-friendly. Combustion tests and other tests for partner countries to show how they can properly make use of coal can be used as effective promoting tools for Japan’s advanced technological achievements.

Southeast Europe

・Foundational study on high-efficiency coal utilization system

Poland

・FS on implementing USC project

Kazakhstan

・Foundational study on high-efficiency coal utilization system

Kyrgyzstan, Uzbekistan and Tajikistan

・Foundational study on high-efficiency coal utilization system

China

・FS on low-grade boiler operation optimization project

USA

・FS on implementing HECA IGCC project

Bosnia/Herzegovina

・FS on USC project

India

Taiwan

・FS on conversion of existing power plant to a CCS facility project

・FS on Upgraded brown coal (UBC) + USC project

Vietnam

・FS on High efficiency power generation from cofiring imported and domestic coal project

Indonesia

Australia

・FS on improved power plant efficiency through STD drying system project ・FS on high-efficiency power plant using low quality coal (CFB) project

・FS on implementing hydrogen supply infrastructure chain project ・FS on high efficiency coal-fired CCS project

Overseas dissemination of NEDO’s high-efficiency CCT technology (2012 results) Our goal is to improve the energy efficiency and support the diversification of energy sources in partner countries while at the same time strengthening the global competitiveness of Japan and contributing to solving global environmental problems.

Since NEDO is a governmental agency it seems that the level of trust from partner country representatives is high. 32 research projects have been conducted in 19 countries by 2013. Since partner country representatives understand the high level of the Japanese technology, we anticipate that, while we do not predict immediate agreements, projects with signed agreements will emerge in the near future. We have high hopes because if all of the project formulation research of the past two years reaches project

implementation stage, we can achieve reductions of roughly 1,500 tons of CO2 emissions. If coal-fired power plant construction goes forward, the scale of investment may reach the 100 billion yen mark, and this holds major significance for Japanese industry if they are selected to participate in the project. The “Project Formation Research on High-Efficiency Coal Utilization Systems” will serve as a part of infrastructure system export strategies and has the ability to make great contributions to both developing the Japanese economic growth and reducing CO2.

Research project objective: Dissemination of Japanese Clean Coal Technology 1. Promote a project by Japanese entities in areas where it is difficult for private entities to develop the project on their own. 2. Conduct activities to gain understanding and cooperation about the high level and efficacy of Japanese technology from partner countries and the management teams of partner companies through result reporting, policy discussions and bilateral meetings. 3. In addition to the research studies, provide assistance for testing processes to verify possible applications of Japanese technologies in partner countries (combustion technology, furnaces, gasification, etc.).

Yoshiko Yamamoto Clean Coal Group, Environment Department NEDO

15

NEDO TOPICS 2014

Mar. 12

th

NEDO and UK Government Concludes MOU for Smart Community Project in Manchester

NEDO concluded on March 12, 2014 a memorandum of understanding (MOU) with the Department for Business Innovation & Skills (BIS), the Department of Energy and Climate Change (DECC) of the British government and the Greater Manchester Combined Authority (GMCA) to conduct a smart community demonstration project in Manchester leveraging Japan's heat pump technology and Information and Communication Technology (ICT). NEDO Chairman Furukawa, at the MOU signing ceremony in the presence of Mr. Hayashi, Japan's ambassador to the United Kingdom in the Houses of Parliament, stated that this unprecedented demonstrative project that would aggregate residential negawatt (conserved electricity by the demand side) to trade in the power market could play a significant role in making a shift of the principal source of energy from gas to electricity as well as in establishing a low-carbon society in England, drawing a number of lessons Japan could learn at the same time and contributing to the advancement of economic and technological exchange between Japan and England through the dissemination of the state-of-the-art smart technology.

MOU signing ceremony

Domestic Offices

Kansai Branch Office

Head Office

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New Energy and Industrial Technology Development Organization MUZA Kawasaki Central Tower, 1310 Omiya-cho, Saiwai-ku Kawasaki City, Kanagawa 212-8554 Japan Tel: +81-44-520-5100 Fax: +81-44-520-5103 URL: http://www.nedo.go.jp/english/index.html March 2015