a Business Spectator publication

100% renewables, no hot air

The Zero Carbon Australia Stationary Energy project has paved the way for Australian researchers to contribute their best scenarios for transitioning to a 21st century renewable powered economy in a decade.

When we first set out on the momentous task to write the plan, recruiting dozens of engineers, physicists and scientists, we really hoped that we would create a competition around the goal on who could write the best scenarios for transition. We wanted to see reports like ours being written by state and federal governments, public and private research institutions and universities. We congratulate UNSW for being the first institution to take up the challenge.

As the community partner in the ZCA project, Beyond Zero Emissions welcomes the UNSW’s contribution with its soon to be released scenario for taking the economy to 100 per cent renewable energy.

Before we can discuss the merits of their proposal, we need to consider the two schools of thought on how to achieve a completely decarbonised economy: those who think we should have a fossil fuel powered "transition;" and those who think that transition using fossil fuel “lite” technologies – namely fossil gas – is a diversion, not a shortcut. Beyond Zero Emissions fit into the latter category while the UNSW fit somewhere in between.

Based on what is known about the UNSW plan, the research recommends building gas peaker plants to generate 14 per cent of Australia’s electricity needs. These plants would run on fossil gas – which would include petroleum gas and coal seam gas – and switch to gasified biomass at an unspecified point in the future.

We believe that it is simplistic and naïve to believe that fossil gas feedstock will be replaced with biomass feedstock, and think that future scenarios from universities and environmental organisations will send a green light to oil and gas companies Origin Energy, AGL, Santos, etc, to proceed with their massive expansion of coal seam gas in the food producing areas and forests of NSW and QLD; not to mention their intentions for Tasmania, Victoria, West Australia and their shale gas dreams in SA.

Even if the switch to biomass was contemplated on the studies' proposed scale, BZE’s research team had already looked seriously into biomass burning for the specific task of addressing reduced solar and wind resources in the winter. After diligent analysis, it was decided that a combination of overcapacity and biomass co-firing would be the best, least environmentally damaging and cheapest way to meet the more challenging winter demand.

The UNSW team, by their own admission, hasn’t done the economics on their transition plan, and so Beyond Zero Emissions can’t actually comment on the costs directly. What we do know is that our researchers ruled out the gasification of biomass due to the lack of demonstrated commercial-scale projects, the lack of project pipeline and known cost curves, and the fact that storage wasn’t demonstrated on any scale.

The UNSW use of biogas or biomass gasification was investigated, however research found that no technology existed on the scale needed and the costs quoted were as much as 10 times the cost of transporting biomass pellets. Palletisation as chosen by the Zero Carbon Australia team is a very well known process, with a significant scale industry operating in Europe and the US.

The challenge for the UNSW team is to either size their gas production for the maximum peak demand of their turbines, which I would expect would be in the order of 20-50GW of capacity, or to add storage for their gasified biomass, which is a costly option. The UNSW proposals might combust hydrogen and carbon monoxide directly, or alternatively reform the gasified biomass into methane, but both these options would prove to be very expensive. We are confident that our plan will be cheaper than the UNSW plan if they decide to stick to their choice of gasified biomass.

Gas generation is the most notable difference between the Zero Carbon Australia plan and the UNSW scenario but it’s not the only one.

The ZCA included a significant energy efficiency program, the most ambitious one proposed to date, which shows how we can deliver half the end use energy we currently deliver. How we do that is being comprehensively detailed in the work of the Zero Carbon Australia Buildings plan, which will be published in February next year.

Then there’s our plan to link the main electricity grids in Australia: the Mount Isa mine grid in the north and the eastern seaboard grid with the West Australian grids. This proposed updating of infrastructure is on par with what’s happening in China, in South America, and serious plans to connect North Africa and the Middle East to Europe. Our plan to link eastern and Western Australia with HVDC, creating a national grid, is consistent with the recommendation of Siemens Australia. The cost of this technology has come down since we researched and produced our report.

In his article last month, UNSW's Mark Diesendorf questioned whether Australia has the available labour force to build the renewable energy system, even though it is adequately addressed in the ZCA plan. When the coal industry is set to triple in size, we hear a bit about capacity constraints, but nobody concludes it’s a showstopper. When the gas industry decides its going to build $100, $200 or even $400 billion worth of LNG trains, no one says that it can’t be done because of capacity constraints. Not only does the same logic apply to a rapid rollout of renewables, but workers are crying out for jobs in the renewable powered cleantech economy.

Australian technical colleges and Universities can ramp up training to provide the skilled labour needed to build a national renewable energy system. Yet even if governments choose not to pursue this worthy goal, then the shortfall can be met by bringing in skilled workers from overseas – similar to what now occurs in the mining industry and other sectors of the economy. Additionally, the domestic workforce can be redeployed to the renewable sector. When given the choice, many of those who currently work in the fossil fuel sector will choose  cleantech jobs ahead of the jobs that are stuck in the 19th century fossil economy.

Lastly, I contest Diesendorf’s dismissal of the Zero Carbon Australia Stationary Energy plan as a first-of-a-Kind study that makes "simple assumptions." Beyond Zero Emissions accept there are always new things to learn and, with additional research, our team, or other teams, can come up with more comprehensive, indepth and cost-effective work. But due to the resources at our fingertips (50 volunteer researchers at that time), we were able to test a range of assumptions and backtest and backcast most of them.

What we will see with the development of more scenarios is an evolutionary process that involves keeping abreast of changes in technology and costs and what comes about when you put more and more minds to the task.

Beyond Zero Emissions adopted a model that leverages volunteer, pro-bono researchers with day jobs in industry, academia, and the public service. This model allowed us to do far more innovative study than traditional research, that is siloed in universities, has been able to achieve to date.

Beyond Zero Emissions welcomes the UNSW study and looks forward to the ensuing debate on the proposal once it is released.

Matthew Wright is executive director of Beyond Zero Emissions

The Zero Carbon Australia Stationary Energy Plan was released in 2010 and will be significantly updated in 2012. In the meantime we'll be releasing the ZCA Buildings and Transport plans.

Comments on this article

No reply to email of Nov 15 re comment of Nov 10

Test comment system...

BZE2020 Vs Diesendorf

What a grudge match this is turning out to be.  In one corner, the proponents of a discredited plan - see Nicholson's comment above - and in the other, the superoptimistic nonsense spruiker Diesendorf from UNSW.

I wouldn't buy a used car from either of them, let alone an energy future for the planet.

 

 

Within 10 years ?

@ Petra Liverani

Petra you state that "The climate science demands that we reduce emissions to zero within 10 years".

If we accept that as fact then nothing we do matters at all. There is a ZERO chance of the world even stabilising CO2 output in that time. You can't say the science demands it to be done in 10 years but accept solutions that will take 200.

A solution that does NOT work is NOT a solution.

Action on climate change that does NOT affect the climate is NOT action on climate change.

I will go further, by your definition, the Gillard Govts action on setting up a carbon tax and an emissions trading system in Australia is less than useless. Our emissions under that plan will increase even by 2050 and what about our increasing coal and gas exports?

You can't have it both ways Petra. Either the world has only 10 years to go to ZERO emissions or it doesn't.

Scaremongering is rife with you guys. You need a doomsday senario to get your agenda done.

A real debate

Ah, a healthy debate between environmentalists and renewable energy supporters on the best way forward to a zero or low carbon future. These are the debates we need. A sure sign that the country has turned a corner. From the outside it might seem that the clean energy future supporters haven't got consensus and haven't got their act together, but at least we're debating real solutions, not debating whether there is a problem. Baby steps.

OMG - I agree with Matthew Wright and Mark Diesendorf!

Matthew says above "We believe that it is simplistic and naïve to believe that fossil gas feedstock will be replaced with biomass feedstock". I wholeheartedly agree. No doubt he will take this into account when he recalculates the amount biomass needed for his solar thermal/biomass hybrid plants in the new plan.

Alas, he also says "The ZCA included a significant energy efficiency program, the most ambitious one proposed to date, which shows how we can deliver half the end use energy we currently deliver." Unfortunately he didn't explain how this was to be done in this article. In the current BZE proposal it partly involved shutting down domestic air travel - but perhaps that will change. This may have been one of Diesendorf's "simple assumptions".

I look forward to the updated BZE plan. Perhaps my analysis of it will receive more feedback from BZE than the last one did.

http://bravenewclimate.com/2010/08/12/zca2020-critique/

Mistaken Obsession with Off-the-Shelf technology

Claude,

The climate science demands that we reduce emissions to zero within 10 years so there isn't time to wait for developing technologies. The big advantages of using a limited number of technologies is that you get economies of scale and as more infrastructure is built the cost goes down steeply. When you need to repower a whole economy in a short space of time it's the only viable option. If we'd started acting when we first knew about climate change we could have some utopian distributed, diversified energy situation but we didn't - we can probably have it in the future though.

Carbon price compulsions

The price of carbon creates debate that is just what we need - how to design renewables. I am glad these clear thinking scientists are on it. Let the state-based parochialism begin ! If no gas is needed, we might have obscure allies in Alan Jones & Barnaby Joyce.

Mistaken Obsession with Off-the-Shelf technology

One assumption in the broad set of assumptions made by the BZE report is that going to 100% RE in 10 years using only so called "off the shelf" technology is the best way to go.

In fact, if your overall goal is to encourage the whole world to get over our addiction to fossil fuels, then the biggest contributions can be made by developing new technologies and industries. 

Further, what about distributed generation? Is it not true that we could defer the huge cost of upgrading networks by building smart grids with the capacity to utilize distributed generation, both available now and the technologies of the future?

The BZE report, with its obsession with just two in a wide array of technologies misses the point and repeats the same mistakes made when we rolled out energy and transport systems based on coal and oil. 

I'm very skeptical that Australia can build itself enough thermal solar on $370 billion in 10 years to make us 100% renewable powered. Even if were possible, I'm sure we could build a much smarter, more secure energy system for the same price. 

If people had take the attitude of beyond zero emission's approach 10 years ago and said "right, we only use commercially proven technology" then we wouldn't even have solar thermal now. Think about that.

Delayed action

Were'nt we told a few years ago that the cost of delaying was going to cost more but fast forward to today and solar panels have (we are told) halved in value as has the price of carbon in Europe.  Seems like the longer we hold off the cheaper it is going to get.

economic benefits of urgent action

The IEA report also says that:

"Delaying action is a false economy: for every $1 of investment avoided in the power sector before 2020 an additional $4.3 would need to be spent after 2020 to compensate for the increased emissions"

The sooner we get started, the better we will be in the carbon constrained global economy of the future. And pseudo-clean tech like gas is not an option, if the capital investment means we cannot switch them off soon enough.

The CEFC has potential to invest in gas.. this must be changed... it should be the REFC - renewable energy finance corporation..

Mike

A National Goal

100% renewable energy should be made a national objective.  Of course the companies who benefit from producing fossil fuel based energy, and their supporters, will find all sorts of reasons why it won't work but the cost of producing fossil fuel based energy is going up while renewables costs are coming down and will continue to reduce as technologies improve and become more efficient and production costs fall with economies of scale and increased competition.  Any government that ignores this fact could be rightly accused of deriliction of duty and of not acting in the best interests of the country.  Parity is not that far away and when it arrives renewables will be chosen simply because they are more economical ( not to mention their other advantages! ).  There will be no need for political debate or academic reports to justify their existence, it will just make profound economic sense.  This transition will definitely happen, its just a matter of time.  So why don't  we just get on with it!