Appendix A: Summary of Reviewed Existing <strong>CCS</strong> <strong>Ready</strong> LiteratureAuthor, Year Mott MacDonald Group. (2008).Document TitleFull ReferenceElement of <strong>CCS</strong>AddressedRelevantTechnology/Plant TypeSummary ofDocument<strong>Definition</strong>Need for <strong>CCS</strong><strong>Ready</strong>EconomicJustification for<strong>CCS</strong> <strong>Ready</strong>CO2 capture-ready UMPPs, India.Mott MacDonald Group. (2008). CO2 capture-ready UMPPs, India. Brigh<strong>to</strong>n, UK: Author.Capture and s<strong>to</strong>rage.4,000MW coal fired plants; Ultra Mega Power Projects (UMPPs).This report presents the results of an innovative study carried out by Mott MacDonald on behalf of theBritish Government <strong>to</strong> identify and evaluate options for making nine 4,000MW plants in India “CO2Capture-<strong>Ready</strong>.” The study makes new recommendations on the suitability of proposed coal-firedcapacity in India for capture-ready design.The concept of CO2 ‘capture-ready’ plant is <strong>to</strong> design new-build generation plants without <strong>CCS</strong>, whileavoiding the lock-in of CO2 emissions from these plants caused by technical or economic costbarriers, implying low upfront costs and unimpaired performance, and encompassing the transportand s<strong>to</strong>rage of CO2.*Note: the study does not imply that this is the consensus definition.At the outset this study recognises that the necessary political, financial and regula<strong>to</strong>ry framework for<strong>CCS</strong> does not exist within India at present (nor in any other jurisdictions). The study argues, however,that the commercial drivers are very likely <strong>to</strong> emerge during the lifetime of the UMPPs that couldcover the relatively low costs for retrofit of <strong>CCS</strong>.Future commercial drivers are likely <strong>to</strong> emerge.Author, Year Sekar, R.C. (2005).Document TitleFull ReferenceElement of <strong>CCS</strong>AddressedRelevantTechnology/Plant TypeSummary ofDocument<strong>Definition</strong>Need for <strong>CCS</strong><strong>Ready</strong>EconomicJustification for<strong>CCS</strong> <strong>Ready</strong>Carbon dioxide capture from coal-fired power plants: A real options analysis.Sekar, R.C.. (2005). Carbon dioxide capture from coal-fired power plants: A real options analysis(Masters of science thesis, Massachusettes Institute of Technology: MIT LFEE 2005-002 RP).Retrieved from http://sequestration.mit.edu/pdf/LFEE_2005-002_RP.pdf.Capture.PC; IGCC baseline; IGCC with pre-investments.In this study, investments in three coal-fired power generation technologies are valued using the “realoptions” valuation methodology in an uncertain carbon dioxide (CO2) price environment.All coal-fired power plants can be retrofitted <strong>to</strong> capture CO2. So, even though the cost and technicaldifficulty <strong>to</strong> retrofit may vary greatly, all coal-fired power plants can be considered “capture-capable”.However, initial design and investment that take in<strong>to</strong> consideration such future retrofit, makes thetransition easier and less expensive <strong>to</strong> accomplish. Plants that have such an initial design can beconsidered <strong>to</strong> be “capture-ready”.<strong>An</strong>thropogenic CO2 emissions are being increasingly viewed as a problem by policy makers in theUS, and it is reasonable <strong>to</strong> expect that they may regulated in the future. Against this backdrop, itbecomes increasingly important <strong>to</strong> consider building flexibility in<strong>to</strong> coal-fired power plant design suchthat they can be retrofitted efficiently, both from a technical and economic perspective, <strong>to</strong> captureCO2.A <strong>CCS</strong> <strong>Ready</strong> plant will face lower retrofit costs.23 February 2010 74
Appendix A: Summary of Reviewed Existing <strong>CCS</strong> <strong>Ready</strong> LiteratureAuthor, Year Stephens, J.C. (2005).Document TitleFull ReferenceElement of <strong>CCS</strong>AddressedRelevantTechnology/Plant TypeSummary ofDocument<strong>Definition</strong>Coupling CO2 capture and s<strong>to</strong>rage with coal gasification: defining “sequestration-ready” IG<strong>CCS</strong>tephens, J.C.. (2005). Coupling CO2 capture and s<strong>to</strong>rage with coal gasification:defining“sequestration-ready” IGCC (Belfer Center for Science and <strong>International</strong> Affairs (BCSIA) Discussionpaper 2005-09). Cambridge, MA: Energy Technology Innovation Project, Kennedy School ofGovernment, Harvard University.Capture and s<strong>to</strong>rage.IGCC.This paper assesses a spectrum of progressively more involved potential requirements forincorporating consideration of CO2 capture and s<strong>to</strong>rage technology in the design of new IGCC powerplants. The paper first reviews the technical and economic details associated with adding CO2capture technology <strong>to</strong> the design of an IGCC power plant and then identifies and explores severalpotential CO2 capture and s<strong>to</strong>rage requirements with varying degrees of integration that could beincluded in a federal financing plan designed <strong>to</strong> support IGCC deployment.Although various policy proposals associated with supporting the deployment of IGCC specificallymention or allude <strong>to</strong> the capability of IGCC power-plants <strong>to</strong> capture and s<strong>to</strong>re CO2 in the future, theterms “sequestration-ready” or “<strong>CCS</strong>-ready” have not been defined. A minimal requirement for a“<strong>CCS</strong>-ready” IGCC power plant would include a conceptual plan for a future retrofit. This wouldrequire that future CO2 capture capability has been considered in the design of the current plant, butwould not add any significant additional costs <strong>to</strong> the plant. Additional requirements could include:additional size requirement – pre-investment; identification of an appropriate s<strong>to</strong>rage location, andinstallation of CO2 capture equipment without full integration.Need for <strong>CCS</strong><strong>Ready</strong>EconomicJustification for<strong>CCS</strong> <strong>Ready</strong>Growing concern over the impacts of climate change has resulted in growing anticipation of US CO2regulation. Furthermore, coal plants have a 50-70 year lifetime, which means decisions in <strong>to</strong>day’snew coal plants will have a large affect on future carbon emissions.n/a23 February 2010 75