China to Invest Billions in Waste to Energy Power Plants
The waste incineration for power generation industry in China is estimated to develop rapidly in the next few years, according to a new report with ReportsnReports.com. Waste output in the country continues to increase but the existing equipment has insufficient treatment capacity. As land cost in China increases and environmental protection pressure grows, waste incineration is expected to develop rapidly.
The industry is favored by investors due to clear development plan and profit model. It is predicted that annual growth rate of waste power generation industry in China will be 20 percent in the next few years. Its industry revenue will rise from CNY 3 billion in 2010 to CNY 20 billion in 2020.
Major cities in China are competing to establish waste incineration power plants, and enterprises spend a large amount of money on mergers and acquisitions between waste incineration for power generation businesses. It is predicted that municipal solid waste treatment capacity in China will rise from 456.9 thousand tons/day to 871.5 thousand tons/day in 2015 with the CAGR of 13.8 percent. The waste incineration capacity will increase from 89.6 thousand tons/day to 307.2 thousand tons/day, which grows 3.4 times with the CAGR of 28 percent. If unit size of newly built waste incineration plant is 1,000 tons/day, 200 more waste incineration plants need to be built by 2015.
From a regional perspective, waste incineration scales in some key areas will increase sharply. The top five regions are Chongqing, Hainan, Shanghai, Beijing and Guangxi. The planned treatment scale in 2015 will be 58 times larger than that of 2010. The investment budget of garbage disposal facilities will exceed CNY 200 billion from 2011 to 2015. The total investment in waste incineration for power generation projects will reach CNY 100 billion.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.