Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
Page 11
Page 12
Page 13
Page 14
Page 15
Page 16
Page 17
Page 18
Page 19
Page 20
Page 21
Page 22
Page 23
Page 24
Page 25
Page 26
Page 27
Page 28
LIQUIDAIRTECHNOLOGIESAGUIDETOTHEPOTENTIAL17Aliquidaireconomycouldhelpsolvesomeofourtoughestenergychallenges.4.THELIQUIDAIRECONOMYgenerate800MWtheequivalentofadecentsizedpowerstationforabout312hoursperday.Thiscouldbeusedtosupplylowercarbonenergyatpeaktimeswhenemissionsareusuallyhighest.Atleastsomeoftheindustrialgasproductionsitesarelikelytobeinareasofgridcongestionwhereadditionalstoragecapacitywouldbevaluable.ThoseinMotherwellTeessideandHullmighthelpmanageowsbetweenScotlandandEnglandincreasinglyimportantaswindcapacitygrowsnorthoftheborder.SpareliquidnitrogenproductioncapacityisavailableimmediatelywithoutfurtherinvestmentanditspotentialintransportwillbeassessedinourforthcomingreportLiquidAirontheHighway.FleetoperatorsandmanufacturingMuchoftheindustrialgassuppliersbusinessinvolvesdistributingcryogenicgasesbyroadtankersthatreloadwithbothproductanddieselatasinglesite.ThispresentsanobviousopportunitytointroducetheDearmanengineheathybridconceptwithnoneedforanypublicrefuellinginfrastructure.IfindustrialgastankerswerettedwithICE-DEhybridstheycouldalsorefuelwithliquidnitrogenatbasesavingupto25ontheeetsdieselbill.Inanyeventtheindustrialgasproductionsitesarewellspacedaroundthecountryandcoulddeliverliquidnitrogeneconomicallytothemostlikelycentresofnewtransportdemandseemap.HauliersandsupermarketchainscouldbeearlyadoptersofDearmanengineheathybridandrefrigerationconceptsbecauseofthepotentialfuelandcarbonsavings.WithaliquidnitrogentankinstalledatalogisticshuborsupermarketdistributioncentreitmightalsomakesensetoinstallaCryogensetforemergencypowerandtoreducethecompanysexposuretopeakelectricitypricesandgeneraterevenueinthecapacitymarkets.Inindustriesthatalreadyconsumelargeamountsofliquidnitrogensuchasfoodprocessingexpandingtheexistingon-sitestoragecapacitywouldallowthecompanytoincreasethenumberoffunctionsitperformswithliquidnitrogenincludingback-uppowerwasteheatrecoveryon-sitevehiclessuchasforklifttrucksandoff-sitetransportrefrigeration.Overathousandcompaniesstorelargeamounts15tonnesofnitrogenasaliquidbutuseitasagaswhocouldinstallacryogenicenginetogenerateelectricityduringvaporisation.Evenindustriesthatdonotcurrentlymakeuseofliquidnitrogencouldndacompellingcasetointegrateemergencypowerheatrecoveryrefrigerationandtransportaroundasingletankofcold.LNGterminalsBritainsthreeLNGimportterminalsofferlargescaleintegrationopportunities.AllthreeterminalsoneatIsleofGraininKentandtwoatMilfordHaveninSouthWalescouldprovideprodigiousamountsofcoldtoincreasetheefciencyofairliquefactionataco-locatedLAESplant.IfallthecoldfromprojectedUKLNGimportsin2030wereusedinthiswayitwouldproduce8.1milliontonnesofliquidair.Thiscouldthenbeusedtodeliver0.81TWhbacktothegridatpeaktimeswhichequatesto0.2oftotalUKelectricitydemandin2012.Alternativelythatmuchliquidaircouldinprinciplefuel9.3billioncarkilometresequivalenttoalmost2ofthedistancedrivenbycarsinGreatBritainin2011or111000heathybridbusesmorethan2.5timestheexistingUKbuseet.6IfanLNG-LAESplantwereusedtobolsterenergysecurityasingleLNG-sizestoragetanklledwithliquidaircouldmakegoodthelossof5GWofgeneratingcapacityfor3hours.ThiscouldbeincreasinglyvaluabletowardsthemiddleofthisdecadewhenOfgempredictstheriskofpowercutswillrisesharply.IfthewastecoldatLNGterminalswereusedtoproduceliquidairfortransportfuelIsleofGraininparticularwouldhelplloneofthefewgapsintheindustrialgasdistributionnetworktheeastsideofLondonandcouldeasilysupplythecapitalsbusdepots.BusoperatorshaveastrongincentivetoadopttheDearmanengineheathybridbecauseitwouldcutfuelcostsandcarbonemissionsbydisplacingdieselwithliquidnitrogenenablestop-starttechnologydeliveringfurthersavingsincostandcarbonandprovidefreeairconditioning.Aheathybridbuswouldconsumearound200kgofliquidnitrogenperdaymeaningthecapitalslargestbusdepot196busescouldbesuppliedby2tankerdeliveriesandtheaveragedepot100busesbyonedelivery.Thecapitalsentireeetofaround7600buseswouldneedlessthan555000tonnesperyear7lessthanasixthof68.1milliontonnesofliquidair365200kgperbusperday110958buses77600busesx200kgperdayx365554800tonnesofliquidairperyear