DKTI Development of a Sustainable Bioenergy Market in Serbia Current biomass projects in Serbia 20.03.2018 20. Mar 2018 page 1
Facts about the GIZ DKTI programme Objective : To strengthen capacities and create an enabling environment for sustainable use of bioenergy in Serbia Funded by : German Federal Ministry for Economic Cooperation and Development (BMZ) under the German Climate Technology Initiative (DKTI) In Cooperation with: Public Investment Management Office Ministry of Agriculture, Forestry and Water Management Ministry of Mining and Energy Ministry of Environmental Protection January 2018 – December 2020 (2 nd phase) Duration : (1 st phase from 2013 till 2017) 20. Mar 2018 Rainer Schellhaas page 2
Structure of the programme: Biomass supply Project KeepWarm Policy advice development GIZ: GIZ: GIZ: KfW: Advise to the Improvement of Support to Advise to implementation efficiency in harmonization of investments in of cost efficient district heating laws and district heating and innovative systems regulations to EU companies. bioenergy standards projects co-financed by GIZ: EU under Support to policy Technology and Horizon 2020 definition and Support to the knowlege programme strategy creation of a transfer implementation sustainable supply with bio- resources Cross-cutting theme: Sustainability 20. Mar 2018 Rainer Schellhaas page 3
GIZ contribution to the development of the bioenergy market in Serbia in the medium term • Supporting political partners in realization of additional biomass utilization projects as best practice examples • Building capacities to implement bioenergy projects at different levels from implementing institutions to operators • Developing sustainable biomass utilization concepts customized to the Serbian context , like BLTCs, utilization of roadside vegetation, wood processing residues etc. • Environmental aspects (reduction of emissions and ground water pollution) • Rural economic development by creation of new local jobs along the supply chains, in the biogas sector and supporting services • Macroeconomic effects on local income and trade balance 20. Mar 2018 Rainer Schellhaas page 4
Development of sustainable supply chains for district heating companies (DHC) to switch from fossil fuel to biomass • 18 active municipalities • first projects are going into realization in 2019 • combined heat and power projects and heat only boilers • financed by KfW, commercial banks or private/PPP • utilisation of woody and agricultural biomass • Public Investment Management Office is requesting support for additional DHCs KfW offers 2 nd tranche of credit for additional 15-20 DHCs • • negotiations ongoing • additional pre-feasibility studies are planned 20. Mar 2018 Rainer Schellhaas page 5
Developing sustainable supply chains location and development status of DHCs to switch to biomass start of construction in 2018/19? KfW financed Valjevo , Mali Zvornik, Bajina Bašta, Priboj, Prijepolje, Nova Varoš, Novi Pazar, Majdanpek, Kladovo start of construction in 2019 commercial credit or PPP Kruševac , Boljevac start of construction in 2019 commercial credit, state fund or PPP Šabac, Knja ž evac , Bor, Mionica, Svilajnac, Medvedja, Prokuplje, Smederevo next potential DHCs Vranje, Pirot, Gornji Milanovac, Senta 20. Mar 2018 Rainer Schellhaas page 6
Fuel switch in public buildings for municipalities, schools and hospitals, partly with local heat network • 35 active municipalities • first projects are going into realization in 2018 • most cases wood chip boilers • financed by state funds • Technical concepts published • ESCO-PPP-project realized 20. Mar 2018 Rainer Schellhaas page 7
Fuel switch in public buildings location and development status financed by state funds start of construction in 2018 Priboj, Svilajnac, Despotovac, Mali Zvornik, Mionica, Arilje, Prijepolje, Nova Varos, Sokobanja start of construction in 2019 Ose č ina, Pirot, Kosjeric, Losnica, Smederevo, Aleksinac, Senta, Valjevo, Surdulica, Vranje, Gornji Milanovac start of construction in 2020 Lajkovac, Vrbas, Sremska Kamenica, Ž agubina, Jagodina, Čačak, Vršac, Razanj, Velika Plana, Petrovac na Mlavi …. 20. Mar 2018 Rainer Schellhaas page 8
Development of biogas projects for farmers and cooperatives • 8 projects • 5 projects are realized • 3 in planning phase • Technical concepts published • support of Serbian Biogas association 20. Mar 2018 Rainer Schellhaas page 9
Biogas projects location and development status financed by commercial banks in operation Sombor, Žabalj , Čestereg , Potaje, Aleksinac start of operation 2019 Veru š i ć, Selenča , Botoš (extension and heat usage), 20. Mar 2018 Rainer Schellhaas page 10
Further considerations • expected investments in the bioenergy arena is huge • up to 50 million EUR for biomass supply • up to 140 million EUR for district heating systems • 80-100 million EUR for biomass heating systems in public buildings • up to 80 million EUR for biogas plants • domestic mazut production will stop this year (July 2018) • restrictions following the EU directive on medium sized combustion plant will hit most of industrial boiler, requiring desulphurization, DeNOx and dedusting equipment 20. Mar 2018 Rainer Schellhaas page 11
well then, easy going ….. ? 20. Mar 2018 Rainer Schellhaas page 12
How to proceed? • technical documentation for 9 DHCs in preparation • Europe-wide tender starting end of 2018 • technical documentation for (some) public buildings available • technical concepts for local heat networks available • e.g. see GIZ website • an example … 20. Mar 2018 Rainer Schellhaas page 13
Implemented by: Concept of the fuel switch to biomass in Mionica including economical evaluation and recommendations for district heating grid 20. Mar 2018 page 14
Implemented by: Task of the study Assignment of the study is to establish: • Technical concept for fuel switch to biomass heating for public buildings, Phase I • Designing the system for future connection of residential buildings, Phase II • Installation of a wood chip heating plant • Installation of distribution system including grid and substations • Reduction of CO2 emissions 20. Mar 2018 page 15
Implemented by: Evaluation of current situation Public buildings Public buildings and buildings with public institutions of Mionica are located around the town at a great distance. Technical parameters of public buildings are: • heated area 13,426 m 2 • capacity 1,931 kW 20. Mar 2018 page 16
Implemented by: Evaluation of current situation Residential buildings By type in Mionica there are residential buildings: • with more apartments • family houses Reserve provided for residential buildings are: • heated area 12,917 m 2 • capacity 1,615 kW 20. Mar 2018 page 17
Implemented by: Evaluation of current situation Existing heating systems Existing heating systems Electric Coal Local electric Crude oil boilers boilers boilers heaters Public Public and Public and Public and buildings residential residential residential 20. Mar 2018 page 18
Implemented by: Technical design concept Heating plant - capacity New heating plant contain biomass boiler assisted by the existing boilers with fuel oil during periods of high consumption. This would reduce the investment costs The existing boilers and their installation would be relocate from main municipality building. The existing boilers with fuel oil have a power of 750 and 900 kW Calculate participation Heating Capacity of boiler Phase Heating Plant biomass Plant Biomass Oil Oil capacity boiler capacity (kW) (kW) (kW) (kW) (kW) I 2.217 900 3.050 60% 1.400 750 I+II 4.071 900 4.150 60% 2.500 750 20. Mar 2018 page 19
Implemented by: Technical design concept Heating plant - location Location intended for the construction of new power plant located on cadastral plot 115/1 KO town Mionica, surface 1,950m 2 . The location is in the central town area and an existing access road. 20. Mar 2018 page 20
Implemented by: Technical design concept District heating network Heating network is designed to connect objects in first and second phase, and to enable the connection of new users. Since new users will later be added, pipe network is designed for larger capacity than needed in phase I and II The network of pipes consists of pre- insulated steel pipes that direct the flow at pre-prepared soil Temperature regime of heating network is 110/70 o C 20. Mar 2018 page 21
Implemented by: Technical design concept Heat substations District heating transfer stations provide the link between district heating suppliers and customers’ systems Substations are designed for installation in areas which are currently housing boiler rooms The operating pressure in the primary part of the substation will amount to a maximum of 6 bar and will correspond to the parameters of the heating network, while the temperature range will be 110/70 ℃ in the primary part and 80/60 ℃ in the secondary part Danfoss substations 20. Mar 2018 page 22
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