Points for the Inaugural address of
Shri. Kapil Sibal, Hon’ble Minister for S&T and ES
at the International Workshop on Carbon Capture and Storage
in the Power Sector
on 22nd January 2008 at New Delhi
(Time : about 10 minutes)

As you all know, virtually nothing is possible without the use of energy these days. Naturally then, access to affordable, environmentally sustainable and reliable energy supplies is an essential ingredient to progress, prosperity and for the well being of people everywhere. Energy shortages have hitherto plagued India’s growth rate and some estimates put the shortage as high as 10%. This energy deficit is further set to increase owing to increase in population, urbanization, industrial expansion, transport and rise in living standards. The total electric generation capacity of India stands at about 120 Giga watts. Of this, a major share, that is, 70 per cent is thermal. The share of hydro is about 26 per cent, the remaining is made up of nuclear 2.5 per cent and wind power 1.5 per cent. Ten years ago also the situation was almost the same as at present. The average Plant Load Factor has, however, improved from a low of 60 percent to around 73 per cent presently. This gives an average per capita consumption of electricity per year of around 600 Kilowatt hours (Kwh). The disparity among the states is very wide ranging from less than 100 Kwh to around 900 Kwh. The National Power Policy aims at increasing average per capita energy consumption per year from 600 to 1000 Kwh by the year 2012. We are vigorously promoting the use of alternate energy sources, such as wind and solar energy especially to mitigate this problem in rural settings. Our efforts are directed to promote and provide affordable modern energy services based on local decentralized renewable energy sources. But as these are starting from a low base, their share in the total Indian energy scenario would still be very small even in the next two to three decades. Nuclear energy which presently contributes to a mere 2.5 % of our energy needs may come to play a significant role in electric power generation only two to three decades later due to the maturing of our indigenous development of Thorium based reactors. Fossil fuels will thus remain essential to our economic growth - not only in the near future but even for at least the next four decades. By that time India’s population could rise to 1.5 billion. Annual electricity generation of 8000 Tera watt hours (Twh) (corresponding to an installed capacity of 1250 to 1350 Giga watts-GW) would provide only a little above 5000 Kwh per capita per annum. While 8000 Tera watt hours (Twh) may sound as very large figure, in the context of India, it is on the lower side.

Coal accounts for about 60% of India’s energy supply and we are presently using around half a billion tonnes. No doubt we have coal and lignite in plenty. But, there are several serious problems in their exploitation, namely, relatively lower heat value and poor efficiency of conversion rate, high ash content, difficulties in transportation and disposal of residues and of course carbon dioxide emissions. Obviously, there are technological solutions to all of these and we have to ensure that these are economically and environmentally tenable. Take the case of surface gasification technologies for coal. These have been improved to significantly reduce emissions but with underground gasification, the problem of ash disposal is also eliminated. The low pressure methane so generated can be used for power generation with reasonably high efficiency using the IGCC route at the well-head or pit-head as the case may be. Also, underground gasification offers the additional advantage of complete conversion of coal into gas, eliminating the need to leave out considerable quantities in the conventional mining process. Thus, coal gasification to IGCC power generation to HVDC transmission could provide clean, reliable, affordable electrical power in the near term that can last for at least half a century.

Another advantage of pursuing underground coal-bed gasification is that as and when Gas Hydrate (from ocean bed) recovery technology is mastered, we will be technologically prepared for exploiting the new source as indications are that it is almost entirely methane. India has an estimated gas reserve of 40 t0 120 trillion cubic metre in gas hydrates located in water depths of 2000 metres along our exclusive economic zones (EEZs). When we are successful in exploiting the source, it can take care of India’s energy needs for several tens of decades. But we have to study the environmental impacts of removal of gas from these coastal regions.

Per capita carbon dioxide emissions in India is around 1 tonne against world average of 4 tonne per capita and 19 tonnes per capita in some of the advance developed countries like the USA. In India we shall make efforts to restrict the increase of CO2 emissions by promoting efficient use and conservation of energy. Our prime Minister has committed at the G8 summit that our per capita emissions will not rise at any time above the level reached presently by the developed countries.

Also at the Bali Conference we have made it clear that India is committed to restraining Greenhouse gases. However, we would not like to be bound by the limits of GHG emissions at present because our total carbon dioxide emission levels are 1/5th of the USA and other developed nations including UK.

No single technological option can provide all the emission reductions needed. But we do recognise that Carbon dioxide capture and storage is an emerging technological option with a very high mitigation potential. We are prepared to look at carbon capture and storage as a feasible option for the future especially for large point sources of which power plants are an apt example. But for the present, there are other options too such as natural sinks like forestation and afforestation, enhanced photosynthetic ability of algae, etc. We are deeply committed to conserve and develop forests as they are vital for sustaining livelihood of more than 200 million forest dependent people in India. We are also interested in Research and Development of diverse future technological options such as Advance Clean Coal technologies, Carbon Capture and Storage (CCS), which besides needing very large investments have yet prove its economic and technical viability and safety considerations.

We are aware that a few developed countries have already made plans and invested in the research work in CCS technology. The Carbon Sequestration Leadership Forum (CSLF) of US Department of Energy is focused on development of improved and cost-effective technologies for the separation and capture of carbon dioxide for its transport to storage site and long-term safe storage. India is founder member of CSLF with Ministry of Power taking the lead. India is also a member to AP6 - the Asia Pacific Partnership in Clean Development and Climate and has set up National Clean Development Mechanism Authority to certify projects for carbon trading, with Ministry of Environment & Forests taking the lead. In my Ministry, we have initiated the Indian CO2 Sequestration Applied Research (ICOSAR) network to probe the science & technology solutions to abatement of greenhouse gas emissions in general and carbon dioxide in particular.

Take the case of a typical 1000 Megawatts coal based power plant, it generates around 7 – 8 million tonnes of carbon dioxide annually. The cost of transporting and seguesting such a large volume of gas would add significantly to the already high capital and energy costs. Nonetheless, we concede that CCS is an emerging technology which needs to be developed further, the cost brought down and above all, the safety aspects assured. When these features have been established, and the value of a Certified Emission Reduction unit (CER) through the Clean Development Mechanism (CDM) is sufficiently high, then deployment in India can perhaps be envisaged.

However, because of its potential cost-effectiveness for earning CERs, CO2 Enhanced Oil or Gas Recovery
(EOR) probably represents the best early opportunity for CCS deployment in India. As injection of CO2 into oil reservoirs may perhaps initiate oil displacement by a number of mechanisms. Accordingly, ONGC has identified Ankleshwar oil field, a mature onshore oil field as a candidate for implementation of CO2 EOR method. Laboratory studies for it have indicated significant incremental oil recovery by CO2 injection over water-flood under immiscible displacement conditions. Thus, wherever feasible, we are not averse to CCS.

Also, when looking at the feasibility of CCS deployment in India today, we should be careful to avoid extrapolating the present day doubts / difficulties and uncertainities forward fifteen or twenty years in time. I would thus be cautiously optimistic that by 2020 CCS deployment in India could become considerably more conceivable and perhaps even desirable. In the meantime, our priority is on the enhancement of R&D on CCS and creation of a vibrant multi-disciplinary community of CCS scientists, engineers and policy analysts. It is also our endeavour to involve private sector in this task of mitigating CO2 emissions. Indian CO2 Sequestration Applied Research (ICOSAR) network launched by my Ministry is the first step in promoting such synergistic innovation. We believe that to make CCS option a real one, more research, development, demonstration and capacity building would be needed. Large-scale carbon capture and storage technologies would require substantial R&D investments. Before CCS is in the market, major issues on technology and economics need to be identified and uncertainties safety removed. CCS technologies have yet to be shown to be effective in demonstration plants and then applied on commercial scale to become part of the design of thermal power plants. I therefore believe that a cooperative effort of Indian scientific community with those in developed countries who have made considerable efforts in taking up more then 100 R&D Projects in CO2 capture and storage can be very fruitful. We are thus open to work in partnership with countries like UK. India would obviously need financial support and technology transfer from developed economies, specifically from the OECD countries in this effort

I am happy to note that you have in the Workshop a special series on cross cutting issues to discuss economic, environmental safety and regulatory issues which have to be resolved before technology can be implemented. I am confident that outcomes of this workshop will create new channels of co- operation and exchange of results of R&D effort between Indian, UK and European Scientists to discuss and cooperate in finding effective technologies for CO2 mitigation. I look forward with great interest and expectation to receiving the proceedings and recommendations of the Workshop.

 




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