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# OAR Box 

# 1828 Prepped by Ollie Stewart



### Document

Number: 

# 318 ) IV-B-2 2

Docket Number: 

# A-83-2 7

Printed 11/12/200811:12:59 AM Sheet 318 of 325P. 2



# * RADIA N 

# A-83-2 7

^ CORPORATIO N IV-B-2 2

MEMORANDU

M

To : Wal t Stevenson , EPA/OAQPS/ESE D . From : Davi dWhite , Radia nCorporatio n Date : Ma y

15 , 198 7 Subject : Estimatio no f C E Value s fo r SO - Reduction s fro m Utilit y

Boiler s

Thi s mem o summarize s Radian' s recen t analysi s o f cos t effectivenes s (CE ) associate dwit hpercen t reductio nove r low-sulfu r coa l fo r reducin g S0 - emission s fro

m electri c utilit y

boilers . Th e objectiv e wa s t o develo putilit y C E value s tha t ar e appropriat e fo r compariso nwit hthos e develope dfo r industria l boilers . A mode l utilit y

boile r i n EP

A Regio nV

wit han electrica l outpu t o f 40 0 megawat t (roughl y equa l t o 4,00 0 millio nBtu/hou r hea t inpu t capacity ) wa s use din th e analysis . Complianc e wit ha 1. 2 lb s SOp/millio nBt u emissio nlimit , a 9 0 percen t reductio nstandard , an d th e existin g Subpar t D a standar d(70-9 0 percen t slidin g scale ) wer e examined . Tabl e 1 summarize s th e annualize dcos t (includin g bot hfue l an d flu e ga s desulfurization ) an

d SO - emission s fo r thes e thre e regulator y option s an

d fo r fou r selecte dcoals . C E value s fo r eac hpercen t reductio noptio nrelativ e t o low-sulfu r coa l ar e presente din th e fa r righ t colum no f th e table . Al l cost s
ar e o n a pre-ta xbasi s i n constan t 198 5 dollars . Eac ho f th e input s use di n th e analysi s ar e discusse dbelow .
Coa l Selection . Costing , an d Emission s
Fou r differen t coal s wer e examined : low-sulfu r bituminou s (B-Bit) , medium-sulfu r bituminou s (F-Bit) , high-sulfu r bituminou s (H-Bit) , an d low-sulfu r subituminou s (B-Sub) . Ke y characteristic s o f eac hcoa l ar e show n i nTabl e 2 . Excep t fo r delivere dcost , thes e coa l parameter s ar e consistan t wit hthos e use di n recen t industria l boile r C E analyses . Adjustment s i n delivere dcoa l cos t wer e mad e usin g factor s provide db y IC F t o reflec t econo mie s o f deliverin g large r tonnage s o f coa l t o utilitie s versu s industria l

2 consumers . Annua l fue l cost s wer e calculate dbase do n thes e adjuste dcoa l costs , a 40 0 M

W boiler , a stea

m cycl e hea t rat e specifi c t o eac hcoa l (se e

Progres s Center/320 0 E

. Chape l Hil l Rd./Nelso n Hwy./P.O

. Bo x13000/Researc h Triangl e Park , N.C

. 27709/(919)541-910 0P. 3

<"

-

Tabl e 2) , an

da capacit y

facto r o f 0.6 . Sulfu r dioxid e emission s assum e 10 0 percen t conversio no f coa l sulfu r t o SO - (i.e. , no SO - retentio ninth e ash) . Emissio nContro l Cost s Emissio ncontro l cost s fo r sulfu r dioxid e an dparticulat e matte r (PM )
wer e develope dusin g th e Integrate dAi r Pollutio nCostin g System (IAPCS ) compute r cod e develope dfo r th e EPA Ai r an dEnergy Engineerin g Researc h 3 Laborator y

(AEERL ) b

y PE I Associates , Inc . Lime/limeston e scrubbin g (LLS )
wa s use dfo r SO - control ; a nelectrostati c precipitato r (ESP ) wa s use dfo r P M control . Th e LL S cod e inIAPC S i s base do nth e Tennesse e Valle y Authorit y

LL S compute r mode l develope dfo r AEERL . Paramete r input s t o IAPC S ar e show nin Tabl e 3 . Targe t SO - remova l efficiencie s wer e se t a t two percen t abov e th e regulator y

limi t t o accoun t fo r variabilit y incoa l qualit y

an dFGD system performance . Complianc e wit hth e Subpar t D a standar dwa s modele dusin g th e IAPC S flu e ga s bypas s optimizatio nroutine . Conclusion s
Fo r al l o f th e case s examined , C E value s range dfro m abou t $1,450-1,85 0 pe r to no f S0- . B

y comparison , fo r a 15 0 millio nBtu/hou r hea t inpu t capacit y industria l boile r i nRegio nV , th e cos t o f percen t reductio n(base do n9 0 percen t reductio nan dF-Bi t coal ) ove r low-sulfu r coa l (base do nB-Bit ) wa s abou t $1,80 0 pe r ton .

Reference s 1 . Memorandum

fo r Martinez , J . A. , an dE . F . Aul , Radia nCorporation , t o Porter , F . L. , an

dW . H . Stevenson , EPA/OAQPS/ESED , Ma y 15 , 1987 . Assumption s an

dProcedure s Use dt o Generat e Mode l Industria l Boile r Cos t an dCos t Effectivenes s Estimates . 2 . Memorandu

m fro m Ebert , C . D. , ICF Incorporated , t o Porter , F . L . an dW . H . Stevenson , EPA/0AQPS/ESED , Januar y 19 , 1987 . Incrementa l Cost s t o Supply'Ver y

Lo w Sulfu r Coals . 3 . Palmisano , P . J. , an dB . A . Lasek e (PE I Associates , Inc.) , User' s Manua l fo r th e Integrate dAi r Pollutio nContro l System Desig nan

dCost Estimatin g Mode l Versio nII . Prepare dfo r .th e U.S . Envrionmenta l Protectio nAgency , Researc hTriangl e Park , N.C . EPA-600/8-86-031a .TABL E 1 . COMPARISON OF S0 2 COS T EFFECTIVENES S FO RUTILIT YBOILER S

SIZ E REGION

COAL UN C COA L COS T REGULATORY— EMISSION

CONTROLS —

TOTAL -S0 2 EHISSIONS HH TYP E S02 * $/HHBTU*/Y RREQUIREMEN T TYP E I RE D$/YR l $/Y

RTONS/YRl/TO

N
BITUMINOU S COA

L 40 0 5 B-BI T 1.0 8 1.9 8 4107387 4 Subpar t D(1.21 ) ES P 0 595210 0 4702597 4 1126 1 40 0 5 H-BI T 5.5 4 1.7 0 3568746 3 Subpar t Da (90X ) ESP+LL S 9 2 2313760 0 5882506 3 464 1 178 2 40 0 5 F-BI T 2.8 6 1.9 2 4033555 7 90 1 Reductio nESP+LL S 9 2 2118310 0 6151865 7 239 7 163 5 40 0 5 F-BI T 2.8 6 1.9 2 4033555 7 Subpar t Da (0.61 ) ESP+LL S 8 1 1693910 0 5727465 7 565 0 182 7 SUBITUHINOU S COA

L 40 0 5 B-SU B 0.9 5 1.5 9 3473854 4 Subpar t D(1.2t ) ES P 0 616360 0 4090214 4 1039 6 40 0 5 B-SUB 0.9 5 1.5 9 3473854 4 90 XReductio nESP+LL S 9 2 2239870 0 5713724 4 83 0 169 7 40 0 5 B-SUB 0.9 5 1.5 9 3473854 4 Subpar t Da (0.6# ) ESP+LL S 7 2 1707240 0 5181094 4 289 3 145 4
f Uncontrolle dS0 2 eaission s pe r ai1lio nBt uhea t inpu tTABL E 2 . COAL CHARACTERISTIC S AND BOILE RHEA T RATE S P. 5

Coa l Typ e Heatin g Valu e (Btu/lb ) Sulfu r Conten t (% ) As hConten t (% ) Moistur e Conten t (% ) Coa l Cos t ($/millio nBtu ) Hea t Rat e (Btu/kilowatt-hour ) 

### 1 B-Bi t 12,52 5 0.6 8 11. 0 10. 0 1.9 8 9,86 7 H-Bi t

11,66 0 3.2 3 11. 0 10. 0 1.9 2 9,97 1 F-Bi t

11,48 5 1.6 4 11. 0 10. 0 1.7 0 9,99 4 B-Sub

8,82 5 0.4 2 

### 7. 0 21. 0 1.5 9 10,39 2 

### 1 Calculate db

y IAPCS .

TABL E 3 . IAPC S INPUT S

Boile r Desig nan

d Operatio n Siz e Typ e Capacit y Facto r Ai r Heate r Exi t Ga s Temperatur e Sulfu r Retentio ni n As h SO - Remova l Efficienc y Economi c Assumption s Economi c Premise s Boile r Lif e Discoun t Rat e Ta xRat e 40 0 megawatt s Wall-fired , dry-bottom , pulverize d coa l 6 0 percen t 300° F Non e Se e Tabl e 1

EPR I (Electri c Powe r Researc hInstitute ) 3 0 year s 1 0 percen t Zer o (i.e. , pre-tax )