4 ENERGY CARRIERS 4.1 From sources to market: energy carriers 4.1.1 Introduction Modern economic systems depend to an ever-increasing extent on the availability of energy, both for their operation and, in particular, for their development. The various forms of energy, however, are not the same, as they differ in their availability, profitability, usability and efficiency compared to their end-use. None of the different forms of energy available (fossil fuels such as oil, natural gas, coal, fissile materials, and renewable sources such as solar or wind power, hydropower, etc.) is capable of satisfying the energy needs of society that are linked to the main markets: heating (or cooling) supply, mobility and transport, and ancillary services (mechanical, electronic, etc.). It is therefore necessary to introduce forms of energy that can guarantee a better link between the availability of energy sources and the particular use required: it is precisely in this sector that the energy carriers play their special role (Peet, 2004). The energy carrier is a secondary form of energy which lends itself to being transported (often by means of special networks) to the place of use (Fig. 1). It consists of either a transportable substance that can easily release the energy Fig. 1. From primary sources to energy services. contained in it (as in the case of solid, liquid or gaseous fuels, steam, hot water, etc.), or of electricity (electric energy). At present, the latter best enables its energy content, produced from the most varied primary sources, to be exploited for the needs of the end-user. In some cases, it is not necessary to introduce an energy carrier, as the primary source is sufficiently versatile: for example, natural gas is capable of heating houses, fuelling motor vehicles, etc., but it is not always the most suitable form of energy for every use (it is not used as aircraft fuel or in maritime transport, whereas it is used for road transport, but only a limited amount). 4.1.2 Life cycle of the energy carrier The various phases involved from generation to the end-use of an energy carrier constitute its ‘life cycle’. The basic operations involved in the life cycle are (Fig. 2): a) generation from the primary source; b) transport; c) storage (when required); d ) distribution; e) end-use (with consequent impact on the environment, both in local terms in the form of emissions, and in global terms of efficiency in conserving the energy contained in means primary energy end end-use technologies supply technologies secondary energy supply efficiency VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY lifestyle satisfaction of needs energy services end-use efficiency lifestyle efficiency 301 ENERGY CARRIERS energy source carrier production process transportation carrier storage final use distribution performance and impact on environment Fig. 2. Life cycle of the energy carrier. the primary fuel throughout its transformation cycle). Operations are not necessarily carried out in the aforementioned order; for example, storage could even precede transport or could be carried out at the same time as the final use (as in the case of road transport). Linking energy sources with the market, therefore, entails technological and strategic choices as far as the processes for obtaining the carriers, the logistics of the sources and the end-uses are concerned. Before making a thorough study of the impact of the various phases on the different carriers, it is useful to review which forms of energy are most used for a number of end-uses. Table 1 shows the fuels used for the different uses, also highlighting the possible alternative fuels currently proposed as energy carriers (of synthetic origin) for the near future (described in greater detail below). In Table 2, there is a comparison of the various fuels (both carriers and primary sources) with the different end-uses, differentiating them on the basis of their frequency of use at world scale (obviously, depending on the geographical area concerned and, above all, on the relative degree of development, there can be very different situations). In spite of this, for some of these fuels, niche uses can be foreseen (not shown in the table). There are a number of considerations to be made: • A few carriers are dedicated to well-defined uses; for example, the use of gasoline and of diesel gas oil is specific for road transport. • A few sources can be used directly without the intermediate phase of generating the energy carrier. The most important of these is definitely methane; actually, it should be noted that also for methane there is a natural gas treatment stage to remove not just the carbon dioxide, the nitrogen and the hydrogen sulphide, but also the higher hydrocarbons. It would thus be more correct to consider natural gas as an energy source, whereas methane used commercially, should be regarded as an energy carrier. • Among fossil fuels, crude oil has practically no direct use, but is converted in the refinery into the various liquid carriers that feed a significant part of the end-uses. • Carriers are distinguished also by their different physical form: gaseous for methane and hydrogen; liquefied gas for LPG (Liquefied Petroleum Gas) and DME (dimethyl ether); liquid for all petroleum derivatives, alcohols and biodiesel; solid for some other fuels; less easily definable in the case of electric energy, for which the real carrier is an electric current, i.e. a flow of electrons. These brief considerations, regarding the chain of production, transport and use of the energy carrier, make us realize that the success that oil has had as an energy source cannot be attributed only to its great availability but also, and perhaps above all, to the ease with which liquid hydrocarbon derivatives can be transported, stored and distributed for their final use. Table 1. Fuels used for end-uses (in bold, fuels likely to be used in future as energy carriers) Heating (air-conditioning) Methane, LPG, electric energy, firewood, naphtha, coal, gas-oil, heavy oils, solar heat, biodiesel 302 Cooking Methane, LPG, electric energy, firewood, coal, DME Industrial/civil uses Road transport Methane, LPG, electric energy, naphtha, coal, gas-oil, heavy oils Gasoline, diesel oil, LPG, methane, electric energy, hydrogen, methanol, ethanol, biodiesel, DME Air transport Sea transport Rail transport Jet fuel, aviation fuel Marine diesel, bunker oil, Electric gasoline, energy, hydrogen, diesel, coal biodiesel ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS Table 2. Frequency of use of fuels for different end-uses (in bold, alternative fuels likely to be used in future as energy carriers) Heating/airCooking conditioning Methane Civil/industrial uses Road transport +++ +++ ++ + LPG + +++ ++ + Naphtha (gasoline) + + +++ Kerosene/jet fuel + ++ Gas-oil (diesel) ++ ++ Heavy oils ++ + Coal + (+) Firewood + + Electric energy ++ ++ ++ (+) Solar (heating) + (+) + + Hydrogen (+) DME Sea transport + + + Rail transport +++ +++ +++ + ++ + Methanol (ethanol) Biodiesel Air transport + ++ (+) (+) + + + + (+) +++, of very general use; ++, of frequent use; +, seldom used; (+), could be used in future In fact, their liquid state enables their energy density per unit of volume to be optimized (Table 3 shows various characteristics for some of the carriers considered), and this has great advantages for the storage and the distribution of the carrier. Actually, this aspect is reflected in the higher price attributed to the ‘liquid’ thermal unit compared with the ‘gaseous’ or ‘solid’ one. An ideal energy carrier (Bossel et al., 2003) could be represented by a liquid with a relatively high boiling point (above 80°C) and a low melting point (below ⫺40°C); such a carrier would remain liquid under any climatic condition and at various altitudes. In fact, gasoline and diesel gas oil are excellent examples; their physical properties are almost ideal for applications in the transport field as they optimize all the phases downstream of production of the energy carrier, from transport to storage and to the final use. But this observation VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY should not be considered as conclusive, otherwise there would be no explanation for the great current success of natural gas; for this, environmental and economic aspects play an important role. No particular attention will be given below to the liquid derivatives of petroleum, since they represent the term of reference: they are produced in the refinery, transported by ship, pipeline or tank truck, can easily be stored in tanks, and can be readily distributed to the end-users. Nor will solid carriers be dealt with because they are used as carriers only in developing countries and, eventually, this area of the world will tend to do without this use. Attention will be focused solely on a number of conventional carriers (electric energy, methane and LPG), and the opportunities and problems for certain alternative synthetic carriers, such as hydrogen and alcohols (methanol and ethanol) will be discussed with a glance at bio-fuels and dimethyl ether. The various carriers 303 ENERGY CARRIERS Table 3. Physical-chemical and motor properties of various energy carriers Gasoline Diesel Chemical structure Density in liquid state (kg/m3) Propane Butane Methane Hydrogen RCOOCH3 C2H5OH CH3OH (CH3)2O C3H8 C4H10 CH4 H2 750 831 870 790 790 667 500 579 410 (LNG) 29 (200 bar) 40-55 49 125 91 130 140 90-100 Boiling point (°C) 40-200 180-350 Lower heating value (mass) (MJ/kg) 45 33.7 76 110 119 260-370 78.5 65 ⫺25 ⫺42 ⫺0.5 ⫺162 ⫺253 43.5 36 27 20 28.8 46.4 45.7 49 120 36.1 31 21 16 19.4 23 26 8.1 3.4 464 350 457 430 540 316 will be examined synthetically throughout the sector, from production to end-use, paying attention also to the effects on the environment; the production of the energy carrier, however, will be examined in general terms, as it is dealt with in the following chapters. 4.1.3 Conventional energy carriers Electric energy The demand for electric energy (e.e.) will go on increasing in the years to come, both in the industrialized countries and in the developing countries, at average rates of above 3% per annum. As already observed, e.e. is the typical energy carrier and its cycle is examined below. Production E.e. can be obtained, both on a large and on a small scale, from fossil fuels (especially coal, natural gas and oil), from fissile fuels (nuclear energy) and from renewable sources (hydroelectric, wind power, photovoltaic); it therefore has the great advantage of being able to be produced from a wide variety of sources. 304 DME CnH1,87n Octane number Self ignition temperature (°C) Ethanol Methanol CnH2,1n Cetane number Lower heating value (volume) (MJ/l) Biodiesel Transport The development of the electricity market also depends on the development of advanced technologies of electric transmission, already now vital for meeting the growth in demand of the deregulated markets. E.e. is transmitted from the generating stations to users by means of electric currents along cables or lines classified as follows: a) HV (High Voltage) or VHV (Very High Voltage) lines over very long distances; b) MV (Medium Voltage) lines with buried cables in urban areas or crossing basins; c) MV suspended lines in cities and in suburban areas for industrial and commercial users; and d ) LV (Low Voltage) distribution lines for small-scale users. Worldwide, the majority of the present e.e. transmission and distribution systems operate on alternating current, even though direct current systems, in given circumstances, can compete economically with traditional alternating current systems. In the transport field, high-temperature superconductors could provide radical advantages, but at the moment, the technology is still in its infancy. It should be emphasized that the recent blackouts in various countries has focused attention on the ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS electricity network and its fragility. Following the spread of deregulation processes, the demand for carrying e.e. has gone up, thus increasing the likelihood of congesting (overloading) the transmission networks, which is becoming an ever more pressing problem in all advanced areas. Storage Unlike transport, which is consolidated and efficient, e.e. storage is the weak point of this energy carrier. Once e.e. has reached the end-user, it has to be consumed immediately. This does not mean that no e.e. storage systems exist (Mazza and Hammerschlag, 2004): there are various technologies covering a broad range of applications, from those able to deal within fractions of a second with variations/interruptions of electricity (power quality) to those that enable electricity supplies to be managed according to market demand (energy management). These technologies are called upon to ensure continuity of service; for instance, whenever passing from one e.e. generator to another one (bridging power). The applications connected with power quality include supercapacitors, flywheels, superconducting magnetes and various types of buffer batteries. Energy management technologies are those that enable e.e. to be supplied for prolonged periods (for some hours) and which produce load levelling or peak shaving, such as pumping water back into hydroelectric basins, pumping compressed air, and fluid electrolyte batteries. An overview of these options is given in Fig. 3. discharge time at rated power system power ratings The accumulation/storage systems are potentially useful as they can be combined with renewable sources (such as photovoltaic and wind energy) so as to mitigate their characteristics of intermittence and to ensure the recovery of the e.e. produced during periods of slack demand. Storage systems based on batteries (Linden and Reddy, 2002) come up against their main barrier in the high investment costs which limit their application to niche markets. The only renewable energy that has solved this problem commercially is hydropower, as the system of pumping water back into hydroelectric basins is widespread (about 100 GW installed in the world) and is used also for generating very high power (Donalek, 2003). Uses and impact on the environment E.e. can be put to many different uses and at very varied scales (see again Tables 1 and 2). Its environmental impact is locally very positive because, as opposed to other carriers, there is no polluting emission in the place where the e.e. is used. Natural gas As already observed, natural gas is the only energy source whose use is equivalent to that of the energy carriers – in this case, there is no point in strictly speaking of ‘production’ of the carrier – although to transform the fuel into a carrier, various treatments are necessary, and they may be more or less radical, depending on the end-use. While acid gases and inerts are generally always removed, hydrocarbons higher second fractions seconds power quality minutes bridging power high power hours peak shaving load leveling high energy superconducting magnets supercapacitors flywheels range of usage of technologies for the storage of electric energy sealed batteries fluid-electrolyte batteries Na-S batteries pumped hydro compressed air Fig. 3. Electric energy storage systems. VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY 305 ENERGY CARRIERS than methane, which are known as ‘natural gas liquids’, can be separated upstream or sent directly to the final application. The present high, constant growth in the demand for natural gas is sustained, above all, by its success in electric generation in various parts of the world; as a consequence, this growth acts as a definite stimulus to the development of new transport and distribution facilities, also for uses other than the generation of electricity (see again Table 2). The problems connected with transport and storage are especially examined below. Transport A crucial aspect for the success of gas is the transport cost which is high compared to that of oil, and in the past, has limited both exploration and the development of a global energy economy based on natural gas. Indeed, the lack of economically acceptable alternatives for the evacuation of associated gas, now no longer possible to be flared, at times conditions the production of oil itself. Various technologies compete in enabling gas to be transported over long distances: high-pressure and high-capacity pipelines (overland or submarine), liquefied natural gas (LNG), compressed natural gas (CNG), the conversion of natural gas into liquid hydrocarbons (GTL, Gas To Liquids) and Gas To Wire (GTW). In the first three cases, the end market is always natural gas, whereas in the case of GTL, it is liquid hydrocarbons, especially for road transport. The process involves the chemical conversion of natural gas into fuels, especially diesel oil (or intermediates for petrochemicals) and, above all, enables stranded gas to be exploited; this gas is present in proven reserves, but is not marketed because the reserves are situated too far away for transport to be economically viable (Harries-Rees, 2004). GTL, in its most typical version, foresees the transformation of natural gas into synthesis gas (syngas), which is converted into waxy hydrocarbons by means of the Fischer-Tropsch reaction (see also Chapter 2.6); the waxes are then transformed into high quality fuels by hydrocracking; at present, various industrial projects are underway or have been announced, and by 2010, they should enable about 250,000 bbl/d of products to be placed on the market. In this chapter, attention will mostly focus on the GTL approach which involves the synthesis of oxygenated products such as methanol or DME. As far as GTW is concerned, if e.e. generation systems were convenient and feasible at the well mouth, the optimal solution would be to transform the 306 gas into e.e. and transport the latter, applying technologies already available such as the high-voltage direct-current transmission of e.e. to reach great distances (Subero et al., 2004). However, the most common way of supplying gas to the markets is making pipelines that connect the reserves to the end-users. This system requires a relatively simple technology and an energy waste of no more than 3%. However, this is not always feasible due to the excessive distance or geopolitical restrictions. In such cases, when there is easy access to the sea, the main alternative can be LNG, even if costly liquefaction, transport and regasification systems are required and there is about 15% energy waste. The two options are discussed in brief below, focusing attention on the energy carrier’s most typical transport and storage aspects. The option of compressed natural gas is also examined briefly, as it could be attractive over the short period in particular situations. High-pressure pipelines. In overland transport, the constraint of distance (the limit is generally around 2,000 km) can be mitigated by using high-grade steels (X80, X100 or X120) which enable the gas to be transported in high-pressure pipes (up to 150 bar), a technology that is vital for exploiting gas fields in remote and inland areas (such as Alaska, Canada, Siberia, etc). In order to be economically viable, these systems operating at high pressure have to transport large volumes of gas using pipes of such dimensions so as not to require any substantial modification to the construction processes: nominal diameters from 48 to 56 inches (122-142 cm) and thicknesses of 20 to 32 mm. This requires the use of higher transport pressures (100-150 bar against 70-80 bar in traditional ones), thereby permitting, at least in principle, the transport of approximately double the mass for the same diameter (Bruschi, 2004). At equal cost of the thermal unit transported, high-pressure transport involves greater distances than covered by traditional pipelines, and is definitely of interest to the market. Fig. 4 shows the field of application of the various technologies currently used in gas transport in relation to volumes and distance. So, gas transport under high pressure in overland pipelines (like underwater pipelines that have been used for decades) can be a competitive solution even for distances of over 3,000-4,000 km. Liquefied natural gas. LNG is a liquid mixture of hydrocarbons consisting mainly of methane, but it can contain small quantities of ethane, propane and nitrogen. At atmospheric pressure, it boils at a temperature of ⫺160°C (Johnson, 2005). ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS 30 pipelines gas volume (109 Sm3/y) 25 high pressure pipelines 20 LNG 15 10 gas to liquids syndiesel, dimethyl ether, methanol 5 CNG GTW 0 0 1,000 2,000 3,000 4,000 distance (km) 5,000 6,000 Fig. 4. Options for the transport of natural gas to the market. Investments in the LNG chain are very great; in the 1990s, a series of technological innovations and process optimization measures led to a considerable reduction in costs. Although the technology is considered mature, the strategic lines of technological development are focused on reducing costs in the whole LNG sector, so as to make it more and more competitive compared to transport with pipelines. The LNG technological chain (Fig. 5) includes, first and foremost, the pretreatment of the natural gas to remove the components that can jeopardize the subsequent liquefaction process (water vapour, CO2, H2S and heavy hydrocarbons) or damage the plants (mercury). Liquefaction is accomplished by means of refrigeration under atmospheric pressure, with heat transfer to a cooling fluid through heat exchange surfaces. The LNG is then stored in insulated tanks at temperatures of ⫺162°C and at slightly higher than atmospheric pressure. There are three categories of storage systems: in the single container, only the internal wall of the tanks needs the requisites established for the low temperatures, whereas the function of the external wall is to support the insulating material and not to prevent losses of liquid; in the double container, the external wall has to prevent losses of liquid, not vapour; and in the full container, the external wall has to stop losses of both liquid and vapour. Maritime transport of LNG requires special vessels with capacities now reaching 150,000 m3 but which, in the near future, will be as much as 215,000 m3 (Chabrelie, 2004). Qatar, which possesses some of the largest gas reserves, has programmed investments equal to 15 billion dollars over the next five years to add 70 vessels to its fleet, so as to increase LNG exports. At the end of the procedure, the LNG is discharged from the ships, stored again in tanks, and then pumped to the regasification units. These are normally operated using ‘primary’ low-head pumps, situated directly inside the tanks and immersed in the LNG, followed by ‘secondary’ pumps for compressing the liquid until it reaches the final pressure required by the user. In the LNG chain, the production plant, the liquefaction system, the fleet for transport and the regasification terminal are calibrated so as to best satisfy the specific requisites of the project. Compressed natural gas. In the case of gas reserves being available near markets with limited volumes of potential demand, a technological innovation claiming to transport CNG at competitive costs compared to LNG or underwater pipelines could be applied (Economides et al., 2005). The system in question is a series of containers of composite material, inside which are small-diameter pipe coils made of high-strength steel, acting as a tank; the materials used make it possible to increase the gas/container mass ratio. At the moment, no large-scale projects based on CNG have yet been carried out, but this solution could bea viable alternative to the reinjection of gas, particularly in the case of associated gas produced offshore (CNG gains […], 2005). Currently, CNG finds one of its most important applications as a clean fuel for the road transport market (in the world, there is a circulation of about 3.3 million motor vehicles using CNG). Storage Leaving aside the LNG and CNG sectors, natural gas can be stored differently according to the quantities concerned: from the big wells which act also as strategic reserves for the use of this resource, to the small reservoirs of motor vehicles running on gas. In spite of the physical-chemical natural gas natural gas gas pretreatment liquefaction storage shipping storage regasification Fig. 5. LNG technological chain. VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY 307 ENERGY CARRIERS characteristics of this carrier, storage is not a problem and further improvements are likely, especially for small reservoirs, using porous adsorbent materials that are often coal based (Lozano Castellò et al., 2002). Liquefied petroleum gas LPG, a mixture with a variable content of propane and butanes, is a product of the refining industry and, to an increasing extent, processing the wet fraction of natural gas; although very promising, from both the economic standpoint and for environmental properties, its limited production volumes direct use mostly towards specialized sectors. At world scale, LPG deriving from natural gas accounts for about 60% of the market. A growing source of LPG stems from LNG projects, whose market success leads to the production of ever larger quantities of LPG stemming from the treatment of associated gas. LPG is used mainly as a fuel for household, civil and industrial purposes: the majority of this demand regards areas (China, India, etc.) where more than 3.5 billion people live, i.e. about 56% of the world population (economic growth in these areas will have a definite impact on the LPG market); a smaller but very significant part is used as a raw material for petrochemical derivatives (ethylene, propylene, etc.) or for fuel components such as methyl tert-butyl ether (MTBE) and isooctane; an even smaller part is used in road transport. In the various end-uses, LPG always has low emissions. The LPG markets are in constant expansion, especially east of Suez Canal. Japan is the chief importing country, followed closely by China, whereas the Middle East is the main exporter (Chandra et al., 2005). Production As in the case of natural gas, LPG production also consists essentially in separation processes from the streams from which it originates. It should, however, be stressed that a significant part of the LPG produced in refineries is a by-product of various refining processes (FCC, Fluid Catalytic Cracking, coking, hydrocracking, etc.). Transport Over long distances, LPG is generally transported by ships which have an increasingly large capacity nowadays up to around 85,000 m3 (Hatta, 2004). There are also some examples of long-distance transport by pipeline, for instance in the territories of the former Soviet Union (although rail transport is at present preferred). Recently, a 308 pipeline of almost 300 km was constructed in Amazonia (Wertheim, 2005). The handling of LPG in cylinders makes this product particularly interesting for use in countries where an adequate distribution network, e.g. of gas, does not exist; i.e. when there are long distances or geographical constraints or, more generally, in developing countries. Precisely for this reason, LPG is regarded as a ‘transition fuel’, suitable for countries that are approaching higher levels of development. Storage Considering the liquid nature (under slight pressure) of LPG, storage is not considered a problem, except with regard to safety, for which the maximum attention is always necessary, even though the control techniques are by now consolidated. 4.1.4 Innovative energy carriers Hydrogen In the last few years, hydrogen has been the centre of attention of public opinion as a possible ‘pole star’ of a new energy future (Coonitz et al., 2004; Kennedy, 2004). The reasons for these great expectations can certainly be ascribed to the use of fossil fuels which is perceived as one of the main causes of environmental pollution at both global and local scale (assuming also that this type of pollution cannot be remedied or mitigated). On the other hand, hydrogen (which if burnt, produces only water) is regarded as the definitive solution to free us from fossil fuels and from the ‘carbon’ economy. Furthermore, hydrogen, whose storage is simpler than electric energy (at least in principle), could solve the problems of sporadically generated electric energy from renewable sources. Hydrogen can be produced from these sources, then can be stored and transformed again into e.e. when desired. Hydrogen is certainly very abundant in nature, though it is never present in its free state, but in a combined form and mostly in very stable molecules such as water, methane, higher hydrocarbons, etc. To produce this energy carrier, i.e. to extract it from these molecules, it is therefore necessary to spend energy from primary sources. Certainly among the main advantages of hydrogen are its very clean combustion (at the most, only a small emission of NOx) and the possibility (with methanol and ethanol) of direct use in fuel cells, an extremely efficient energy system that can obtain zero emissions (in the case of using hydrogen) and energy yields to partly offset the energy spent in the hydrogen generation stage. ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS Fig. 6. Hydrogen: technological map from fossil sources. steam reforming partial oxidation natural gas coal gasification waste and heavy oils gasification Production One of the great advantages of hydrogen is that it can be produced not only from numerous energy sources, both fossil (Fig. 6) and renewable (Fig. 7), but also from nuclear energy, both by means of the direct thermochemical splitting of water and through intermediate production of e.e. (as described in Fig. 7 for renewable sources). Many production methods are well established and available at a large scale (especially those based on fossil fuels); the only problem could be their profitability as far as large-scale energy use is concerned. On the other hand, hydrogen is already produced and used on a large scale in the refining and chemical industry. The sole difference (compared with an energy use) is that for most uses, it is consumed immediately after having been generated; for example, in refining and in syntheses of methanol and ammonia, thus eliminating the problems of transport, distribution and storage. Actually, the syngas itself (a mixture of CO and H2) is an energy carrier from which hydrogen is often CO2 syngas conversion H2 produced. Indeed, it had already been used as a carrier known as town gas in cities, but its high rate of toxicity, caused by its high carbon monoxide content and its widespread production process (coal gasification), made its further use inadvisable. Transport and distribution A distribution network already exists for the present industrial uses of hydrogen, consisting in short pipelines or limited road transport of cylinders. For an extensive application of hydrogen, you would need an adequate network of pipelines for the areas of high demand, and road connections for the areas of low demand, such as rural zones. From a physical-chemical standpoint, hydrogen has similar characteristics to methane and does not differ greatly as far as problems associated with its transport are concerned (although its lower energy density implies a smaller flow capacity); however, other complications arise linked to the need to use more sophisticated materials to avoid embrittlement. Another constraint for the use of hydroelectric source photovoltaic electric energy wind power electrolysis turbogas shift waste and biomass thermochemical water splitting gasification H2 syngas biological processes Fig. 7. Hydrogen: technological map from renewable sources. VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY 309 ENERGY CARRIERS 310 hydrogen in natural gas distribution networks is the impossibility of using the same compression stations because of the different behaviour of the two gases in the compression stage (Bechis, 2003). Then there are a number of unresolved problems to be considered, such as the odorization of hydrogen and the current lack of adequate regulations (Birgisson and Lavarco, 2004); these obstacles are, however, not insurmountable. Stricly regarding distribution, two systems could be possible. The first centralized one foresees the production of hydrogen in large plants (if possible, coupled with CO2 sequestration) and then its transport in pipelines. The second decentralized one, however, foresees the production of hydrogen on a small scale (both by reforming natural gas and by means of electrolyzers) directly in the service stations. It is likely that this second system will be used in the shorter term, then going over to the centralized one when the hydrogen economy has become more mature. problems of cost, recycling, energy efficiency and infrastructure. • Adsorption is the emergent technology, but processes and materials are still in the R&D phase. Very contradictory results have been obtained with carbon nanotubes and nanofibres, and at the moment, scepticism seems to prevail regarding this approach. For the innovative solutions, the durability of the materials and the rate of release of hydrogen still have to be tested for thousands of loading/discharge cycles; as the field concerned is basically unknown, the future is still uncertain. Storage Prospects Whichever distribution system is chosen, it will be necessary to address the problem of storage, either on a large or on a small scale, for example in the reservoir tanks of motor vehicles. Hydrogen can be stored at high pressure (350-700 bar), and at the moment, this seems to be the most reliable method; otherwise it can be liquefied and stored in cryogenic containers. Some more advanced solutions are also being studied, such as metal hydrides which decompose at high temperatures releasing hydrogen or chemical hydrides, or else adsorption on activated carbon (Jacoby, 2005). However, none of these technologies seems yet able to satisfy the storage criteria that manufacturers and users want (Zorzoli, 2004); in fact: • Storage in the gaseous phase is a mature technology, but is still too wasteful in terms of weight, volume and costs, and therefore not particularly suitable to be used on vehicles. • Storage in the liquid phase has better volumetric efficiency which would make it more suitable for use on vehicles, but the complexity of handling liquid hydrogen, losses during storage and the energy required for liquefaction (about 1/3 of the energy content of the hydrogen) make its commercial use difficult and, thus, far off. • Metal hydrides permit storage at a low temperature and with reasonable volumetric efficiency, but they are heavy and the question of their heating aboard the vehicle poses a lot of problems. • Chemical hydrides (sodium borhydride, etc.) have In the scientific community and elsewhere, the future role of hydrogen is much debated (Competing [...], 2005). It is possible that hydrogen could eventually become an alternative to the use of energy sources of fossil origin, but only as a long-term prospect, since certain problems still have to be resolved (in particular, the cost of production and storage); reduction in costs, moreover, requires much technological innovation. Furthermore, it will still have to compete, on the one hand, with electric energy which is far more consolidated on the market from an infrastructural standpoint (Mazza and Hammerschlag, 2004; Beretta and Pedrocchi, 2005). On the other hand, it will be in competition with biofuels which exploit the same principles (derived from renewable energy) but which, as described below, considerably simplify the logistics element. End-use The other great advantage of hydrogen is its considerable versatility of use both in the centralized or distributed production of electric energy and in the transport field (both for internal combustion motor vehicles and in fuel cells). Its low discharge emissions make this type of fuel of great interest. Methanol Methanol and ethanol have often been put forward as interesting synthetic fuels. Methanol, which is easy to synthetize (from natural gas by reforming and conversion of the syngas) and cheaper, has mainly been used in trials, whereas ethanol obtained from sugar crops (sugar cane, maize, straw, waste agricultural products, etc.) is used as a fuel for road transport, especially in Brazil and the United States. Being liquid fuels, it is far easier to transport and store them, even if their hydrophilic nature may lead to new problems. In the United States, ethanol has a different distribution network from ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS gasoline, and is splash blended into the latter only prior to final distribution at the pump (precisely to avoid any problem of water contamination or phase demixing). The following discussion is dedicated to methanol, while ethanol is dealt with among the biofuels. Methanol looks like being one of the most versatile intermediates for exploiting natural gas, and is an alternative to imported gas. The efficient production technology via syngas, in fact, allows it to be exploited optimally in terms of carbon and hydrogen use; when produced on a large scale (7,500-10,000 t/d) from low-cost gas (⭐1 $/MBtu), the production cost can be very low (around 100 $/t). Thanks to its liquid nature (Silver, 2003), it can be easily stored and transported in vessels of huge capacity (already around 100,000 t, but even more in future). At present, methanol is used, above all, as a chemical intermediate for the synthesis of formaldehyde and acetic acid. However, it can be useful for various applications in the energy field: • As a fuel for power stations: emissions of turbines supplied by methanol are substantially in line with those supplied by natural gas, and the use of methanol could be economically competitive with LNG, at least in a number of specific cases (Pollesel et al., 2005). • As a component for gasolines: although used directly in the 1980s as an additive and even as an alternative fuel (experimented in California) at the beginning of the 90s, methanol came into the fuel field indirectly as a precursor of MTBE, a well-known gasoline component. The MTBE market has recently gone into recession because of the problems of biodegradability and aquifer pollution in the United States (Di Girolamo et al., 2005). However, methanol not used in the MTBE synthesis could rapidly find a space in the production of biodiesel, whose market is, instead, strongly on the upswing (see below). • As an intermediate for fuels: as early as the 1980s, the conversion of methanol was proposed with zeolitic catalysts in gasoline (Mobil process), but that approach rapidly became costly because of the collapse of the price of crude as from 1986. Now, this process could attract fresh interest following the pinpointing of catalysts that enable ethylene and/or propylene to be synthetized selectively and then converted into quality fuels by means of the oligomerization of these olefins (Koempel et al., 2005). • As fuel for fuel cells in which methanol can feed the cells directly or indirectly through the formation of hydrogen; in the case of direct VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY supply, various problems still have to be overcome, above all, due to the large crossover of methanol through the polymeric membrane of the fuel cells. A promising market could open up, especially for ‘portable’ applications (to substitute batteries for computers, mobile phones, etc.); at the end of 2004, Toshiba (and also Smart Fuel Cell) announced prototypes fed by methanol with a new configuration of the cell design which should avoid the crossover of methanol (Baker et al., 2005). • As an indirect reserve of hydrogen, which could be easily obtained from methanol through reforming. Applications of this type can be found, for example, with the Topsøe Methanol To Shift (MTS) process, in which the methanol is fed in a hydrogen plant directly to the water/gas shift reactor, maximizing the production of hydrogen (Kane and Romanow, 2004). Although a new methanol economy has been called for in the last thirty years (Olah, 2004), this product has not yet succeeded in establishing itself fully as an energy carrier, except as a derivative. This is possibly due to its characteristics as a toxic and poisonous liquid which have always hampered its penetration of the market; in reality, many other commercially available fuels are far more dangerous. Dimethyl ether Interest in the use of DME as an alternative fuel for various uses (Fig. 8) is very recent: as fuel for power generation, as household fuel, in diesel engines as a possible substitute of conventional diesel gas oil or as a fuel for fuel cells (Peckham, 2004; Fleisch and Sills, 2005). The main boost for using this component is that it can be produced (similarly to methanol) economically and on a large scale from natural gas – especially where there are large quantities of natural gas available at practically zero cost, or almost (e.g. associated gas that can no longer be flared), and there are no markets close enough to make the installation of the typical natural gas industry feasible. In such cases, it could be advantageous to transform natural gas into liquids and to transport these by ship. In specific cases (depending also on the distance between the place of production and that of use), it could therefore be convenient to produce and use DME. DME has physical-chemical properties very similar to those of LPG (but less heating power) and could partly replace it in various uses (for example, in households), while in other cases, it could exploit the pre-existing distribution network in theory. As for LPG, handling DME in cylinders makes it particularly interesting for use in developing 311 ENERGY CARRIERS Fig. 8. DME and its applications. home fuel .LPG substitute .fuel cell fuel transportation fuel multi resources syngas .diesel fuel .fuel cell vehicle .hydrogen source DME power generation fuel .gas turbine .diesel co-generation chemical use .olefins/gasoline .methanol chemistry Production DME can be produced from natural gas, directly from syngas with a process very much like methanol synthesis, or indirectly by means of dehydrating methanol in large-scale plants (5,000-7,500 t/d of DME) at extremely low production costs, around 120 $/t, inclusive of transport (equivalent to 4.5 $/MBtu compared to LPG’s price of 4-14 $/MBtu, according to variations in the price of crude and seasonal factors). It 312 should be observed that this production cost refers to a natural gas cost of 0.5-0.75 $/MBtu; it is clear that the different cost of the raw material and of the scale of the plant can influence quite significantly the value of the cost indicated above. DME does not have to be produced only with very large investments based on natural gas; in fact, it can also be produced at a small scale at a limited cost based on methanol by means of its dehydration. This type of synthesis can favour a gradual entry of DME into the market without excessive investments. At the moment, world production of DME stands at about 200,000 t/yr, and is covered by some twenty methanol dehydration plants; Asia is, however, an emergent producer with a recent expansion in China (Nogi, 2005) of about 300,000 t/yr (1 million t/yr by 2009). A project has also been recently approved for the large-scale production of DME in Iran (800,000 t/yr) by methanol 50 lower heating value (MJ/kg) countries where an adequate distribution network does not exist. Compared to pure DME, a DME/LPG mix has the advantage of possessing a higher energy content. As illustrated in Fig. 9, the heating power of the mix depends linearly on the proportion of the two components. From the standpoint of the different energy content of the molecules, the same cylinder with DME instead of LPG (50% C3/50% C4) contains 23% more weight of product and, in all, weighs 12% more than the same cylinder containing only LPG, but supplies 23% less energy; if DME/LPG mixes were used, these differences would be reduced as a function of the DME content. The degree to which the cylinders using DME are filled can, however, even reach 85% (against 80% of LPG), thus partly diminishing the energy gap between a cylinder filled with DME compared to one with LPG. There is consolidated experience of using DME as a propellant, in lieu of CFC (chlorofluorocarbon), in sprays. Basically, there are no problems as far as its behaviour in the atmosphere or stratosphere is concerned (Ministerie van Volkshukvesting, 1985). In fact, DME is a non-toxic, non-carcinogenic, non-corrosive and fairly inert compound. LPG LHV 45 diesel LHV 40 35 30 DME LHV 25 0 20 40 60 80 100 LPG in the mixture (% weight) Fig. 9. Lower Heating Value (LHV) of the DME/LPG mixture (50% C3/50% C4). ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS dehydration through the Topsøe technology (Perregard, 2004). Moreover, various consortia, especially in Japan, are preparing for the industrial production of DME. For fifteen months, a consortium headed by the Japanese company JFE (including Total) has been experimenting a new process for the production of DME from syngas in a 100 t/d demonstration plant, and is preparing to establish a large-scale industrial plant (probably around 2 million t/yr) by 2010 (Ogawa et al., 2005). Transport and distribution DME can be transported using the same equipment and the same precautions as for LPG. The main modifications generally concern the type of seals and gaskets that have to be used because of the different ‘solvent power’ of DME. It should be noted that this aspect is quite general and holds for every application, both of DME alone and of DME/LPG mixtures. LPG vessels (or any type of facility in general) can also be used for DME with the limits already discussed; allowing for the smaller energy content, it would be more convenient to transport DME in special vessels of about 70,000 t (Hatta, 2004). Storage and end-use Like LPG, also DME’s characteristics of a compressed gas liquid do not seem to present any major difficulties. The manifold uses of DME are described below in greater detail. DME for thermoelectric generation. It can be used in conventional gas turbines with minimum modifications and with very low emissions, comparable to those of natural gas. Although there have been trials which have verified these characteristics (with guarantees by the manufacturers regarding performance), as yet, there is no long-term experience. Energy can be generated also with stationary Diesel engines. DME as substitute/complement of LPG. In this field, the use of DME does not display any particular technological difficulties. It seems sure to undergo rapid penetration, above all, in sizeable markets, and is of great interest for developing countries like China and India. Experience in this field is being gained in China (Weidou et al., 2005) and in neighbouring countries, and will be extended also to Iran. It has been demonstrated that for this use, DME/LPG mixtures (LPG rich) can also be utilized without altering, in the slightest, the LPG infrastructure that already exists (Sanfilippo et al., 2004). DME emissions are even less than LPG’s which are excellent from an environmental standpoint. VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY DME as an alternative fuel for diesel engines. The excellent characteristics of DME as an alternative diesel fuel (high cetane number, high percentage of oxygen and absence of carboncarbon bonds in the molecule) make it a fuel with excellent performance and minimum emissions (particulate is virtually absent). This enables very severe specifications to be respected without modifying the engines (except for the injection system) or the post-treatment systems (Marchionna, 2002). Use as an alternative diesel fuel involves a greater added value compared to the household/industrial type; its nature as a liquefied fuel makes it more interesting for use in heavyduty motor vehicles. Many technical difficulties have recently been overcome, but the automobile industry (with the exception of Volvo and some Japanese manufacturers of heavy vehicles) should increase its efforts and, above all, the facilities have to be built. Despite this, the number of demo trials is continually increasing (including the development of prototypes of heavy-duty motor vehicles, supply stations, etc.) both in Japan (Matsuda, 2005) and Europe, especially in Sweden (Landalv, 2005). Fuel cells. DME, like methanol, can easily be converted into hydrogen and then supplied in fuel cells of both membrane and solid oxides type (Bogild-Hansen, 2005). DME (as well as methanol) can be derived also from renewable sources by gasification of biomass and subsequent conversion of the derived syngas; a life cycle analysis has recently shown that bio-DME used in Diesel engines is one of the fuels that has the least environmental impact at both local and global scale (Klintbom and Danielsson, 2005). Biofuels At present, there is great interest in biofuels: on the one hand, they give rise to less net production of carbon dioxide per energy consumed because they derive from renewable sources – although a lively debate is still ongoing (Hess, 2005) – and on the other hand, they partly allow a substitution of petroleum derivatives. The main biofuels are ethanol (or its derivative ethyl-tert-butyl ether, ETBE, homologous to MTBE) used as an additive for gasoline, and biodiesel used as an additive for gas oil. The fact that these products are liquids means that they can easily be transported and stored (even if ethanol, as already said, requires an independent distribution network due to its hydrophilic properties). Furthermore, they can be used as additives in moderate percentages (⭐10% vol) and, generally 313 ENERGY CARRIERS speaking, there is no particular problem when used in normal internal combustion engines. Recently, legislation in Europe and the United States has favoured the rapid expansion of these biofuels. In Europe, the minimum percentage of biofuels must be 2% by the end of 2005, and 5.75% by the end of 2010, while in the United States, the law establishes that not less than 7.5 billion gallons (c. 28.4 billion liters) of biofuels (above all ethanol) must be introduced into road transport by the end of 2012. The great success of these fuels is favoured also by the considerable tax subsidies which make them economically more competitive with fossil fuels, as their cost of production is generally higher. The high price of oil and technological improvements in their production chain could, however, reduce this gap. Ethanol Ethanol has always been used as a fuel for spark-ignited combustion engines, especially in Brazil, with 4 billion gallons (c. 15.2 billion liters) produced in 2004 for about one million vehicles running on gasoline with ethanol or just ethanol; in the United States, it is used as an antiknock component in percentages of up to 10%, with 3.4 billion gallons (c. 12.9 billion liters) produced in 2004. Ethanol is obtained through fermentation of sugars from any plant raw material which contains or can be converted into sugars, such as starch or cellulose (the production of ethanol from cellulose, presently still in the experimental stage, promises to appreciably reduce the alcohol production cost). In Brazil, the main raw material is sugar cane, while in the United States it is corn. After pretreatment, the raw material (Fig. 10) is subjected to enzymatic hydrolysis which produces glucose that is transformed into ethanol after fermentation (Hall, 2005). Considerable reductions in cost and improvements in energy yield can derive from using advanced biotechnological processes and innovative separation methods (by means of membranes). Also the oil company Shell is particularly active in the sector: in 2005, it invested 46 million dollars in the Iogen project, the purpose of which is to convert straw and woody wastes (containing cellulose) into ethanol by using enzymes design in accordance with advanced genetic techniques. A plant producing 200,000 t/yr of biomass feedstock preparation hydrolisis ethanol should come into operation by the end of 2008 for an estimated cost of ethanol of only 1.30 $ per gallon (c. 3.79 l) (Wechem, 2005). Biodiesel Biodiesel is produced from vegetable oils (rapeseed oil and palm oil), from waste oils and from animal fat; these raw materials contain triglycerides, generally triesters of glycerine with fatty acids that have a long alkyl chain (Lotero et al., 2005). After the biomass has been processed, the oil is transesterified with methanol to produce glycerine and the trimethyl ester deriving from the oily matter, which constitutes biodiesel. Slightly less than two million tons were produced in Europe in 2004 (of which one half in Germany and, in all, another third in France and Italy), but more than triple this amount should be produced by the end of 2010. The typical characteristics of biodiesel are set out in Table 3; it has properties similar to those of gas oil, although it possesses only 90% of its heating power, on the other hand, it is more easily biodegradable. Biodiesel is generally produced by homogeneous basic catalysis (as a rule, using potash or caustic soda), although more efficient alternative processes have recently been proposed by means of using either heterogeneous basic catalysis or acid or enzymatic catalysis. The use of supercritical methanol also seems interesting. Glycerine is, however, an essential product of this production; at present, it finds an outlet on the chemical oil market, but the increase in biodiesel production gives rise to a growing marketing problem (McCoy, 2005). Biomass to liquids Biomass, whatever its nature, has always been used to produce thermal or electric energy; recently, different processes have, however, been proposed to transform it into liquids for the fuel market (as well as the aforementioned ethanol and biodiesel). There are basically two approaches, one direct and the other indirect, for transforming Biomass To Liquids (BTL). In the direct one, the biomass (often after pretreatment) feeds a typical refining plant, either a dedicated one or a co-processing one with oil loads. In the indirect one, the biomass is gasified to produce syngas which can then be converted into liquids through the Fischer-Tropsch synthesis method into glucose fermentation ethanol recovery ethanol Fig. 10. Ethanol production process from biomass. 314 ENCYCLOPAEDIA OF HYDROCARBONS FROM SOURCES TO MARKET: ENERGY CARRIERS oxygenates such as methanol or DME, or into hydrogen. The direct approach is perhaps more recent, and has been promoted by the recent European directive on the minimum content of biofuels in gasoline and gas oil. It means using the same oils and greases that act as the basic material for the synthesis of biodiesel to feed a conversion unit directly (either a cracking unit, FCC, which causes the molecules of long-chain fatty acids to break, or a hydrogenation unit in which the ester bond is broken, mainly producing long-chain paraffins as well as carbon dioxide and water) (Buchsbaum et al., 2005). The direct approach is very simple and has the great virtue of supplying a product substantially the same as petroleum. In the case of hydrogenation, the product can be of very high quality with cetane numbers as high as 90, and this has led to the setting up of special plants, as in the case of Neste Oy in Finland (Neste [...], 2005; Koskinen et al., 2006). The indirect approach, instead, is more complex as it requires intensive processes with high investment costs, such as gasification and the subsequent conversion of the syngas into liquids. Despite this, considerable research and development is going on in this field (Peckham, 2005). 4.1.5 Conclusions In this chapter, the various aspects that make each energy carrier more or less interesting have been analysed, always making reference to its complete life cycle. The availability of energy sources for its production and the variety of uses are certainly the strong points of the carrier; nevertheless, the intermediate phases of storage and distribution are even more decisive. On the basis of what has been stated, it can be inferred that liquid carriers considerably simplify the transport and storage phases, and they are, by far, more advantageous than gaseous and solid ones. This is probably one of the keystones in the use of oil as a primary fuel, as it is not only relatively cheap and available in great quantity, but also able to produce highly appreciated liquid carriers. To support this, the use of fuel oil (or even emulsions) in power generation may be recalled. Although it is surely not the fuel of choice for this purpose, its main merit is the simplicity of use due to its liquid nature (as well as being relatively cheap in the past due to the low prices of crude). Innovative liquid carriers such as methanol and ethanol have almost ideal characteristics as energy carriers: methanol is cheap and can be produced at a large scale, but its toxicity has so far hindered its VOLUME III / NEW DEVELOPMENTS: ENERGY, TRANSPORT, SUSTAINABILITY success. Ethanol is more costly and less available at a very large scale, but as it derives from renewable sources, it has often encountered government support, partly due to pressure from public opinion and agricultural lobbies. The same may also be said about biodiesel. The liquefied carriers (LPG and eventually DME) can be particularly useful in developing countries where no adequate distribution network exists. Gaseous carriers such as methane (and eventually, but with many complications, hydrogen) can, in any case, be successful if their use is cheap, eco-friendly, and justified by the availability of large quantities of primary fuels (above all gas). Electric energy, the carrier par excellence, is used everywhere and has zero emissions in its place of use. Storage is its weak point, but it should be noted that every small improvement in this field could lead to an increase in its use well beyond all imagination. Competition also exists among the various carriers (although in some cases, they may even complement each other), especially between emergent ones. Hydrogen could have certain advantages over electric energy, above all, regarding storage, but at the moment these advantages are merely hypothetical because storage is still a weak link in the hydrogen chain. As it is, biofuels are currently perhaps the main alternative to a rapid and incisive development of the hydrogen carrier; they meet many of the expectations for which hydrogen is desired, even if not to the same extent and, furthermore, they are now already in use. Lastly, it must be emphasized that considerable development of biofuels means intensive exploitation, above all, of arable land, making it unavailable for agricultural use. 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