Memorandum submitted by Fuel Cell Power
1. Fuel cells could replace central power
stations and enable the heat produced when electricity is generated
to be utilised. Fuel cells are efficient, clean and quiet in operation
and if used in conjunction with renewable energy, no global warming
gases are emitted.
2. The aim of Fuel Cell Power is to implement
the introduction of lower cost fuel cell systems to provide CHP
or to enable the storage of intermittent renewable energy supplies.
The introduction of fuel cells will enhance markets for small
scale renewable energy technologies. Intermittent supplies of
electricity from wind or solar power can be stored as hydrogen
for use when required.
GENERATION GAP
3. Present nuclear capacity of 12GW is expected
to reduce to 6GW by 2010 and 1GW by 2020. It would be possible
for coal to continue to provide substantial back up.
INVESTMENT OPTIONS
4. There is little information about the
costs of generating electricity from renewable energy sources
which are not grid connected. Fuel Cell Power has in the past
sought Government support for evaluations of renewable energy
and hydrogen fuel cell systems, but there was no interest. Small
generators may be discouraged by the low price paid if they sell
electricity to the grid and there is not a guaranteed market under
the terms of the Renewable Obligation.
5. A fundamental re-appraisal of our built
environment and energy infrastructures is needed. Renewable energy
should be used in well designed buildings where it will not be
wasted. With the advent of LED lighting, new batteries and fuel
cells, markets are opening up for micro wind turbines producing
relatively small quantities of electricity. Micro wind turbines
range from 200W systems with battery storage to 3 kW units. They
could be the forerunner of a changing electricity infrastructure,
encouraging a new perception of energy, from the throwaway attitude
to one of conservation.
6. A low cost non-grid connected system
could include LED lamps with small battery or fuel cell storage,
which would be activated by movement or by a zapper. It would
power computers, TV, possibly fridges and emergency controls for
central heating in the event of grid failure. There would be export
potential in developing countries which do not have their own
electricity infrastructure. As fuel cell technologies are commercialised
and costs come down, micro wind turbines, combined with solar
energy, will be suitable for powering all electrical household
appliances.
7. Micro wind turbines are being designed
to utilise wind from any direction at speeds as low as 3 mph.
Once volume production is achieved, a system producing about 1,000
kWh per annum would cost approximately £800 including installation.
Life time is estimated to be at least ten years. Larger 2 kW units
under development which would produce on average 5,000 kWh per
annum would cost about £4,000. It is estimated that 10 million
units could be installed at suitable UK properties, providing
at least 10,000 GWh or about a third of the renewable electricity
objective of 35,000 GWH by 2010. An additional 30% electricity
may be generated from these systems with an innovation yet to
be patented.
8. Solar thermal and photovoltaic panels
could contribute to heat and power requirements in buildings.
Costs will come down in volume production and new technologies
such as the Tandem Cell developed by UK based Hydrogen Solar Ltd
and the Dye Solar Cell are projected to be more cost effective.
In Germany the commercialisation of photovoltaic panels is encouraged
with a subsidy of over
0.50/kWh.
9. Many other technologies will contribute
to our energy needs. Low head hydro is unexploited and ground
source heat pumps can provide constant background warmth. Energy
crops, forestry and farm residues, waste food and sewage can provide
biofuels or hydrogen for fuel cells. The Grünhaus, which
is planning a new centre in Liverpool, has a database covering
many energy efficiency and renewable technologies which could
be developed to meet our energy demands.
CAPACITY BUILDING
POLICIES FOR
RENEWABLES
10. In view of the run down of British engineering
industries in recent decades, the Government should treat it as
priority to help bridge the large gap between the funding of R
& D and the commercialisation of new energy technologies.
Most innovators are held back by lack of funding and there is
little incentive for financiers to invest in energy saving.
11. Even if an innovative energy company
achieves sufficient funding to bring its product to market, Government
funding programmes, such as the RO and the EU Climate Trading
Scheme, are only applicable to CHP units which are grid connected.
The public does not have a choice, but according to the National
Audit Office, will have to pay about £1 billion per annum
by 2010 in order to get 10% of UK electricity from renewables,
mainly from large scale wind farms.
COMPARATIVE EFFICIENCIES
12. Micro CHP systems are generally at least
twice as efficient as conventional systems as they produce both
electricity and heat from the same quantity of fuel which at present
is used to generate only electricity. It is uneconomic to transport
the vast quantities of heat produced when electricity is generated
in large central power stations but it is estimated that it would
be sufficient to heat every building in the country. The primary
energy efficiency of a CHP unit is about 85% compared with only
35% for the UK's electricity grid.
13. Fuel cells can be designed to provide
both electricity and heat or to generate electricity up to 70%
efficiency in conjunction with other systems such as heat pumps
or solar thermal panels. Heat pumps operate at an efficiency of
about 300%, producing three times the heat from a given electrical
input. Hydrogen fuel cells can also be used with solar PV and
micro wind turbines to provide electricity and heat when there
is no wind or solar power available.
BACK UP
FOR LARGE-SCALE
WIND AND
MARINE ENERGY
14. Hydrogen fuel cell systems can provide
grid back up for large scale wind and marine energy farms. Studies
in the USA have shown that in the longer term, when cars are powered
by hydrogen fuel cells, during the 95% of the time that they are
parked, they could generate all the nation's electricity ten times
over. This could provide a massive energy supply and reserve capacity
in 10 to 20 years time.
FUTURE INVESTMENT
15. Financiers generally require a lead
from Government but in the UK they have had no encouragement to
fund the development of fuel cells powered by renewable energy.
Major Government funding of central electricity generating stations
would continue to discourage financiers of local renewable energy
infrastructures. However, if sufficient finance is made available
to establish micro CHP units powered by renewable energy, this
will considerably reduce the need for large scale capital investment
in the national grid.
SECURITY AND
SAFETY
16. Efficiency measures, combined with local
CHP generation using indigenous energy sources, would ensure that
the UK is not so vulnerable to terrorist attack or global price
rises or shortages. There would be no addition to the volume of
nuclear waste which must be disposed of and, if renewable energy
were used in the production, transport and operation of fuel cells,
there would be no further anthropogenic emissions of global warming
gases.
17. In view of scientific evidence given
at this month's meeting of the British Association indicating
that reductions in carbon dioxide emissions to meet the UK's Kyoto
target in 2010 will probably be offset by CO2 emissions
from the warming soil, the implementation of efficient, non carbon
energy technologies is essential. The UK's 2010 target for CO2
emissions reduction should be at least doubled to take into account
the additional emissions from our soil and the 2050 target for
60% reduction brought forward. We should take a leading role in
the implementation of new technologies in developing countries
so that they can also meet stringent targets under the principles
of Contraction and Convergence. The Government should tell the
nation what is happening and take a lead in effective action to
change from burning fossil fuels.
21 September 2005
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