EPA-450/3-85-011
  Industrial Boiler SO2
         Cost Report
               Prepared by-
             Radian Corporation
        Under Contract No. 68-02-3816
   -   v'-ro'i'.v .•*••! ^v,;-:ct:on Agency
fregjon V,  LiUt-ry
230 South Dearborn Street
Chicago, Illinois  60604>;
               Prepared for:
   U.S. ENVIRONMENTAL PROTECTION AGENCY
          Office of Air and Radiation
    Office of Air Quality Planning and Standards
    Emission Standards and Engineering Division
        Research Triangle Park, NC 27711

              November 1984

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                                        DISCLAIMER

This report has been reviewed by the Office of Air Quality Planning and Standards, U.S. Environmental
Protection Agency, and approved for publication as received from the Radian Corporation. Approval does
not signify that the contents necessarily reflect the views and policies of the U.S. Environmental Protection
Agency, nor does mention of trade names or commercial products constitute endorsement or recommenda-
tion for use. Copies of this report are available from the National Technical Information Services, 5285 Port
Royal  Road, Springfield, Virginia 221 61
     U,S. Environmental Pretsctlon Agency.

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                              TABLE OF CONTENTS



Chapter                                                               Page


1.0  INTRODUCTION	  1_1


2.0  COSTING METHODOLOGY	  2-1

     2.1  COSTING APPROACH	  2-1
          2.1.1  Capital Costs	  2-2
          2.1.2  Operation and Maintenance (O&M) Cost	  2-6
          2.1.3  Annualized Costs	  2-10

     2.2  BOILER AND CONTROL DEVICE SPECIFICATIONS	  2-10
          2.2.1  Uncontrolled Boiler Costs	    2-13
          2.2.2  Participate Matter (PM) Control Costs	..'..  2-14
          2.2.3  NO  Control Costs	  2-14
          2.2.4  SO;; Control Costs	',,[',  2-19

     2.3  OTHER COST CONSIDERATIONS	  2-19
          2.3.1  Continuous Emission Measurement Costs	    2-22
          2.3.2  FGO Malfunction Costs	  2-22
          2.3.3  Regional  Cost Considerations	  2-24

     2.4  REFERENCES	  2-28


3.0  COST OF S02 CONTROL ON COAL-FIRED MODEL  BOILERS	  3-1

     3.1  REGION V  COSTS	  3.4
          3.1.1  Capital  Costs	  3-4
          3.1.2  Annual O&M Costs	[','/,  3.5
          3.1.3  Annual ized Costs	  3_6

     3.2  REGION VIII  COSTS	  3_15
          3.2.1  Capital  Costs	            3_15
          3.2.2  Annual O&M Costs	[','.'/.  3-15
          3.2.3  Annualized Costs	  3_15

     3.3  REFERENCES	  3_2Q

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                        TABLE OF CONTENTS  (Continued)







Chapter






4.0  COST OF S02 CONTROL ON RESIDUAL OIL-FIRED MODEL BOILERS	  4-1



     4.1  REGION V COSTS	                                .

          4.1.1  Capital Costs	'.'[	  l~t

          4.1.2  Annual O&M Costs	!!."!!.'!!!	  43

          4.1.3  Annualized Costs	!!!!!!.*!!..*	  4*3



     4.2  REFERENCES	          4_7



APPENDIX A - COST ALGORITHMS	    A_}



APPENDIX B - COST ESCALATION FACTORS...                               R ,
                                       	  D-i

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                                LIST OF TABLES



 Tab1e                                                                 Page


 2-1        CAPITAL  COST COMPONENTS	   2-3

 2-2        CALCULATION  OF INTEREST COSTS DURING CONSTRUCTION	   2-4

 2-3        CONSTRUCTION PERIODS  AND INTEREST DURING
           CONSTRUCTION FACTORS	   2-5

 2-4        WORKING  CAPITAL  CALCULATIONS FOR  BOILERS AND  CONTROL
           DEVICES	   2-7

 2-5        OPERATING AND  MAINTENANCE  COST COMPONENTS	   2-8

 2-6        UNIT COSTS USED  IN  CALCULATIONS	   2-9

 2-7        CAPACITY UTILIZATION  AND LABOR FACTORS USED FOR
           MODEL BOILER COST CALCULATIONS	   2-11

 2-8        ANNUALIZED COST  COMPONENTS	   2-12

 2-9        DIRECT O&M COST  MULTIPLIERS  TO ACCOUNT FOR ECONOMIES
           ASSOCIATED WITH  MULTIPLE BOILER INSTALLATIONS.'.....'	   2-15

 2-10       SPECIFICATIONS FOR  COAL-FIRED  MODEL  BOILERS	   2-16

 2-11       SPECIFICATIONS FOR  RESIDUAL  OIL-FIRED MODEL BOILERS	   2-17

 2-12       GENERAL DESIGN SPECIFICATIONS  FOR PM CONTROL SYSTEMS	   2-18

 2-13       NOY COMBUSTION MODIFICATION  EQUIPMENT REQUIREMENTS
           ORXMODIFICATIONS	  2-20

 2-14       GENERAL DESIGN SPECIFICATIONS  FOR FGD SYSTEM FOR
           S02 CONTROL	  2-21

 2-15       CONTINUOUS EMISSION MEASUREMENT COSTS	  2-23

 2-16       REGIONAL FUEL PRICES IN $106 BTU	  2-25

3-1       SPECIFICATIONS FOR COAL DELIVERED  TO REGION V  AND
          REGION  VIII	  3_2

3-2       PM/S02  CONTROL COSTS FOR A 44 MW (150 MILLION  BTU/HR)
          BOILER  IN REGION V	  3.3

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                          LIST  OF  TABLES  (Continued)
Table
3-3       CAPITAL COST OF S02 CONTROL  IN  REGION  V	   3.5

3-4       O&M COSTS FOR A 29 MW (100 MILLION BTU/HR) MODEL
          BOILER IN REGION V	   3.7

3-5       O&M COSTS FOR A 44 MW (150 MILLION BTU/HR) MODEL
          BOILER IN REGION V	   3_8

3-6       O&M COSTS FOR A 73 MW (250 MILLION BTU/HR) MODEL
          BOILER IN REGION V	   3.9

3-7       O&M COSTS FOR A 117 MW (400 MILLION BTU/HR) MODEL
          BOILER IN REGION V	   3_10

3-8       ANNUALIZED COSTS OF SO, CONTROL FOR A  29 MW (100 MILLION
          BTU/HR) MODEL BOILER IN REGION  V	   3_H
          ANNUALIZED COSTS OF SO, CONTROL FOR A 44 MW (150 MILLION
          BTU/HR) MODEL BOILER IN REGION V	
3-9
                  - —  -__-_  ._ .   _. „ , ,  —-w.ir.iwta  i \s i \  f i  r~i  i i»i  \ ± *J \J  (l^l^Lv^VJIf
          f"» Tl I / l l r\ \ » j /M~s i—i  n /^ v i *» **. ~r L-.  n _• ^ . A . .
                                                                    .   3-12

3-10      ANNUALIZED  COSTS  OF  SO,  CONTROL  FOR  A  117 MW  (250 MILLION
          BTU/HR) MODEL BOILER IN  REGION V	   3-13

3-11      ANNUALIZED  COSTS  OF  SO,  CONTROL  FOR  A  117 MW  (400 MILLION
          BTU/HR) MODEL BOILER IN  REGION V	   3-14

3-12      CAPITAL COST OF S02  CONTROL  IN REGION  VII	   3-16

3-13      O&M COSTS IN REGION  VIII	   3_17

3-14      ANNUALIZED COSTS OF S02  CONTROL  IN REGION VIII	   3-18

4-1       SPECIFICATIONS FOR RESIDUAL OILS DELIVERED TO REGION V
          AND REGION VIII	   4_2

4-2       CAPITAL COSTS OF SO, CONTROL FOR RESIDUAL OIL-FIRED
          MODEL BOILERS	f	   4.4

4-3       O&M COSTS OF S02 CONTROL FOR MODEL BOILERS IN REGION V....   4-5

4-4       ANNUALIZED COSTS OF SO, CONTROL  FOR RESIDUAL OIL-FIRED
          MODEL BOILERS IN REGION V	   4-6

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                               LIST OF FIGURES








Fl'9ure                                                                 Page





2-1       FEDERAL REGIONS OF THE UNITED STATES	   2-26
                                    VI

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                              1.0  INTRODUCTION
     This report presents a cost analysis of alternative sulfur dioxide
(S02) controls on coal- and residual oil-fired industrial boilers in EPA
Regions V (Midwest) and VIII (North Central).  Alternative S02 controls
examined included the use of various low-sulfur fuels and flue gas
desulfurization (FGD) techniques.  For each alternative control method, the
capital costs, operating and maintenance costs, and annualized costs are
presented.
     Chapter 2 discusses the methodologies and cost bases for estimating
boiler and control  costs.  Chapter 3 presents the capital and annualized
costs for coal-fired model boilers, and Chapter 4 presents costs for
residual  oil-fired model boilers.
     Two appendices are also included for reference.  Appendix A is a
listing of the cost algorithms  used to estimate the boiler,  PM control, S02
control,  and N0x control costs.  These algorithms are all based on mid-1978
dollars.   The cost  basis used in this report corresponds to  January 1983
dollars.   The factors used to convert algorithm costs to this later basis
are presented in Appendix B.   Appendix B also provides factors for adjusting
report costs to other bases  selected by the reader.
                                    1-1

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                           2.0   COSTING  METHODOLOGY

      This  chapter  presents  the  methodologies  and  bases  used  to  calculate  the
 costs of model  boilers and  S02  controls  presented in  Chapters 3 and 4  of
 this  report.  Section 2.1  discusses  the  basic costing approach  used in
 calculating  capital, operating and  maintenance,  and  annualized costs  for
 boilers and control devices.  The specific equipment  specifications used to
 calculate  the model boiler  and  control device costs are presented  in
 Section 2.2.  Lastly, Section 2.3 discusses other cost  considerations  such
 as continuous emission measurement costs, FGD malfunction costs, and
 regional cost differences.

 2.1  COSTING APPROACH

     In this report, the cost impacts of applying S02 controls to various
 types and  sizes of industrial boilers are assessed through an analysis of
 "model boilers".  These model boilers are selected to represent the
 population of new industrial boilers expected to be built in the future, and
 thus cover a range of boiler sizes, fuel types, and S02 control  methods.
 The costs of each model  boiler can be broken down into three major cost
 categories:

          Capital Costs (total  capital investment required to construct
          and make operational  a boiler and control  systems),
          Operation and Maintenance (O&M) costs (total annual cost
          necessary to operate and maintain a boiler and control
          systems), and
          Annualized Costs (total  O&M costs plus annualized capital-related
          charges).
Each of these cost categories can  be further subdivided  into  individual  cost
components.  Sections  2.1.1, 2.1.2,  and 2.1.3  present  the  individual cost
                                     2-1

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 components  and  the  methods  used  to  develop  the capital, O&M, and  annualized
 costs,  respectively,  for each of the model  boilers.

 2.1.1   Capital  Costs
     Table  2-1  presents the  individual components of capital cost and the
 general methodology used for calculating total capital costs.  Direct
 capital costs consist of the basic  and auxiliary equipment costs  in addition
 to the  labor and material required  to install the equipment.  Equipment and
 installation costs for boilers and  control  systems are calculated using the
 algorithms  presented  in Appendix A.  Section 2.2 of this report discusses
 the bases for each of these algorithms.
     Other  capital cost components  are calculated using the factors shown in
 Table 2-1.  Indirect costs are those costs  not attributable to specific
 equipment items.  Contingencies  are included in capital costs to compensate
 for unpredicted events and other unforeseen expenses.  However, in some
 cases, factors for indirect costs and contingencies different from those
 shown in Table 2-1 may be used.  For example, in the cases of dual alkali
 and dry scrubbing FGD systems for boilers with heat inputs of 58 MW (200
million Btu/hr) or less, engineering costs are calculated as 10 percent of
 the total  direct costs for an FGD system applied to a 58 MW (200 million
Btu/hr) boiler.  And for sodium  scrubbing FGD systems,  turnkey capital  costs
are calculated directly, based on vendor and plant cost data.
     The interest cost incurred during the period of construction  of the
boiler and associated control equipment is also included in the boiler  total
capital costs as a function  of the turnkey capital  cost.   It is assumed  that
payment terms for boilers  and control  equipment typically  consist  of a  down
payment of approximately 20  percent  of the turnkey capital  cost with the
balance paid in equal  progress  payments  over the  period of construction  and
startup.  The interest cost  is  a  function of turnkey cost,  interest  rate,
period of  construction and  total  number of equal  progress  payments.   The
equations  used to calculate  interest cost are shown  in  Table 2-2.  Table 2-3
lists the  construction period and the  interest during construction factors
as a  function of turnkey capital  cost.
                                     2-2

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                     TABLE 2-1.   CAPITAL COST COMPONENTS3
 (1)   Direct  Costs

           Equipment
        +   Installation	

        =   Total  Direct  Costs

 (2)   Indirect  Costs

           Engineering (10  %  of  total  direct  costs)b
        +   Construction  and Field  Expenses     (10%  of  total direct  costs)5
        +   Construction  Fees                   (10%  of  total direct  costs):
        +   Start  Up Costs                       (2%  of  total direct  costs)5
        +   Performance Costs                    (1%  Of  total direct  costs)0

        =   Total  Indirect Costs

 (3)  Contingencies5 = 20%  of (Total Indirect + Total  Direct Costs)

 (4)  Total Turnkey Cost =  Total Indirect Cost + Total Direct Cost +
                           Contingencies

 (5)  Interest During Construction

 (6)  Working Capital6

 (7)  Landf

 (8)  Total Capital  Cost = Total  Turnkey  + Interest During Construction +
                          Working Capital  + Land


 Boiler and each control system costed separately;  factors apply to cost of
 boiler or control  system considered;  i.e., the engineering cost for the PM
 control system is  10% of the direct cost of the PM control system.
 Reference 1.

GReference 2.

dSee Tables 2-2 and 2-3.

eSee Table 2-4.

 Land costs for boiler and  control system are included in capital  cost  of
 boiler.
                                    2-3

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        TABLE 2-2.  CALCULATION OF INTEREST COSTS DURING CONSTRUCTION3
Assume:   interest (i) = 10 percent effective annual rate

          terms =   20 percent of total turnkey capital cost paid at
               contract award and balance paid in equal monthly installments
               over the period of construction.

Future value of the 20 percent down payment is found by using the compound
interest law or,


     S = P (1 + i)n, where S = Future Value
                           P = Present Worth
                           n = Number of years


Future value of the equal  monthly installments is calculated by the
following equation:

           R(l + i/m)"1" -  1      R = Equal  payment = P/np

           (1 + i/m)    -  1      m = No.  of times corpounded per year =  1

                                 n = No.  of years (see  Table 2-3)
                                 P = No.  of payments per  year = 12

Combining the two equations yields,

                                p   (I + i/m)" - 1
     s = 0.2 P U .i )"*  o.so-
Reference 3 and 4.
                                      2-4

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   TABLE 2-3.   CONSTRUCTION PERIODS AND INTEREST-DURING-CONSTRUCTION FACTORS
 Boiler  or  Control  Equipment
 Approximate
Construction
   Period
  (Months)3
Interest During
 Construcjtion
   Factor0
 Boilers  and  NO   Control:

 For  Packaged Oil  and Gas-fired  Boilers        12

 For  Field-erected Oil  and  Gas Boilers         18

 For  Coal-fired Boilers _<_ 150 MM Btu/hr        20

 For  Coal-fired Boilers > 150 MM Btu/hr        24


 For  PM Control:

 For  Q £  150  MM Btu/hr                         8

 For  Q >  150  MM Btu/hr                         11


 For  SOp  Control:

 Sodium Scrubbing:  all  sizes                6.75

 Dry  Scrubbing:   all  sizes                    27

 Dual  Alkali:   all sizes                      27
               IDC = 0.056 * TKc'd

               IDC = 0.087 * TK

               IDC = 0.095 * TK

               IDC = 0.120 * TK




               IDC = 0.036 * TK

               IDC = 0.051 * TK




               IDC = 0.030 * TK

               IDC = 0.137 * TK

               IDC  =  0.137 * TK
 Reference 3.

 All  factors are based on 10% effective annual  interest rate.
r
"IDC  = interest costs during construction.

 TK = turnkey  capital  cost.
                                   2-5

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     Costs of land for the boiler and control system are all included in
boiler capital costs.  All model boilers except pulverized coal boilers are
assumed to require one acre of land and have land costs of $2,800.  Pulver-
ized coal boilers are assumed to require two acres of land and have land
costs of SS./OO.1
     The computation of working capital requirements for fuel and non-fuel
items differs slightly as shown in Table 2-4.  These equations are based on
three months of direct annual non-fuel operating costs and one month of fuel
costs.

2.1.2  Operation and Maintenance (O&M) Costs
     Table 2-5 lists the individual  cost components and the general
methodologies used in calculating total O&M costs.  Direct O&M costs include
operating, supervisory, and maintenance labor,  fuel, utilities, replacement
parts, supplies, waste disposal  and chemicals.   Direct O&M costs for model
boilers and control  systems are calculated using the algorithms presented in
Appendix A.  Indirect operating costs include payroll  and plant overhead and
are calculated based on a percentage of some key O&M cost components (e.g.
operating labor, supervisory labor,  maintenance labor, and replacement
parts). •
     Table 2-6 presents the unit costs for utilities,  raw materials, waste
disposal, and labor used in calculating non-fuel  O&M costs for the boilers
and control equipment.  The largest  O&M cost for boilers  is fuel.   Fuel
costs and specifications such as heating value, sulfur content, and  ash
content for coals and residual  oils  used in this  analysis are presented  in
Chapters 3 and 4, respectively.
     Operating and maintenance  costs incurred are dependent upon the boiler
capacity utilization, defined as the actual annual  fue1  consumption  as a
percentage of the potential  annual  fuel  consumption at maximum firing rate.
Fuel costs, raw material costs,  utility costs,  and waste  disposal  costs
decrease in direct proportion to the capacity utilization factor.   However,
labor costs do not decrease in  direct proportion  due to  shift manpower
requirements.  In order to account  for reduced  labor costs for boilers
                                     2-6

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  TABLE 2-4.  WORKING CAPITAL CALCULATIONS FOR BOILERS AND CONTROL DEVICES
Working Capital (WC)

Boilers - Assume three months of direct annual non-fuel operating costs
          and one month of fuel costs

          WC  = 0.25 (Direct annual non-fuel operating costs) +
               0.083 (Fuel costs)


Control Equipment - Assume three months of direct annual  operating costs

          WC  = 0.25 (Direct annual operating costs)


Reference 5.

 Reference 1.
                                     2-7

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           TABLE 2-5.  OPERATING AND MAINTENANCE COST COMPONENTS
                                                                a
(1)  Direct Operating Costs
             Operating Labor
          +  Supervision
          +  Maintenance Labor, Replacement Parts and Supplies
          +  Electricity
          +  Water
          +  Steam
          +  Waste Disposal
               Solids (Fly ash and bottom ash)
               Sludge
               Liquid
          +  Chemicals	

             Total Non-Fuel O&M
          +  Fuel
          =  Total Direct Operating Costs


(2)  Indirect Operating Costs (Overhead)13

             Payroll (30% Operating Labor)
          +  Plant (26% of Operating Labor -t- Supervision + Maintenance Costs
             + Replacement Parts)


(3)  Total Annual Operating and Maintenance Costs = Total  Direct +
       Total Indirect Costs


aBoilers and control systems are costed separately; factors apply to boiler
 or control system being considered, (i.e., payroll overhead for FGD system
 is 30°; of the labor requirement for the FGD system).

 Factors recommended in Reference 6.
                                     2-8

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                TABLE 2-6  UNIT COSTS USED  IN CALCULATIONS3'13
Utilities
     Electricity
     Water
     Steam
Raw Materials
     Na2C03
     Lime
     Limestone
Labor
                         S0.0390/Kwh
                         $0.06/m3  (SO.23/103 gal)
                         S4.55/GJ  (S5.3/103 Ib)
                         $0.150/kg ($136/ton)
                         $0.059/kg  ($53/ton)
                         $0.014/kg  ($12/ton)
                         $18.15/man-hour
                         $23.60/man-hour
                         $22.09/man-hour
     Direct Labor
     Supervision
     Maintenance Labor
Waste Disposal
     Solids (Ash, Spray Dried Solids)   $0.0251/kg ($23/ton)
     Sludge                             $0.0251/kg (S23/ton)
     Liquid
                                        $0.88/m3    (SO.60/103  gal)
 All  costs  in January  1983 S.  Updated  from 1978 using a multiplier 01
 1.51  (see  Appendix B).
 Reference  7.
                                    2-9

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 operating  at  reduced capacity utilization, the algorithms also incorporate
 labor  factors.  Table 2-7 presents the capacity utilization factors and
 corresponding  labor factors assumed for various model boilers.

 2.1.3  Annualized Costs
     Total annualized costs are the sum of the annual O&M costs and the
 annualized capital charges.  The annualized capital charges include the
 payoff of  the  capital investment (capital  recovery), interest on working
 capital, general and administrative costs, taxes (real estate and local
 taxes but  not  corporate taxes), and insurance.
     Table 2-8 presents the methods used in this report to calculate the
 individual annualized capital  charge components.  The capital  recovery cost
 is determined  by multiplying the capital  recovery factor, which is based on
 the real interest rate and the equipment life, by the total  turnkey costs
 (see Table 2-8).  For this analysis a 10 percent real interest rate and a
 15 year equipment life are assumed for the boilers and control equipment.
This translates into a capital recovery factor of 13.15 percent.   The real
 interest rate of 10 percent was selected as a typical constant dollar rate
of return on investment to provide a basis for calculation of  capital
 recovery charges.  This interest rate is  the Veal" interest rate above and
beyond inflation.
     Table 2-8 also presents the methods  used to calculate other  components
of the annualized capital  charges.   Interest on working capital  is based on
a 10 percent interest rate.   The remaining components (general and
administrative costs,  taxes, and insurance)  are estimated as 4 percent of
total  turnkey costs.

2.2  BOILER AND CONTROL DEVICE SPECIFICATIONS

     Direct capital  and direct O&M  costs for model  boilers and PM, NO  ,  and
                                                                     A
S02 control techniques  are estimated  in this  report by  the use of cost
"algorithms".   Each  algorithm  is an  algebraic function  which projects
capital and O&M costs  for  a  particular system based on  key process
                                   2-10

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           TABLE 2-7.   CAPACITY UTILIZATION AND LABOR FACTORS USED
                      FOR MODEL BOILER COST CALCULATIONS3
                                Capacity
Boiler Type              Utilization Factor (CF)       Labor Factor (LF)

Coal-fired                        0.60                       0.75
(Spreader stoker,
pulverized coal)

Residual oil-fired                0.55                       0.62


Labor Factor Equations

          CF                            LF

        >0.7                             1
      0-5 - 0.7                  0.5 + 2.5 (CF - 0.5)
        <0.5                           0.5


References 5 and 8.
                                    2-11

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                   TABLE 2-8.  ANNUALIZED COST COMPONENTS
(1)  Total Annualized Cost = Annual O&M Costs + Capital  Charges
(2)  Capital Charges = Capital recovery + interest on working capital +
          miscellaneous (G&A, taxes and insurance)
(3)  Calculation of Capital Charges Components
     A.  Capital Recovery = Capital Recovery Factor (CRF)  x Total  Turnkey
           Cost
         CRF-1 (1 + 1^
             i = interest rate
             n = number of years of useful  life of boiler or control  system
          Item                         n                i              CRF
          Boiler, control systems     15               10            0.1315
     B.   Interest on Working Capital  = 10%  of working  capital3
     C.   G&A, taxes and insurance = 4" of total  turnkey  cost3

Reference 1.
                                    2-12

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 parameters (e.g., heat input to boiler, S02 removal efficiency, capacity
 utilization factor, flue gas flow rate).  The boiler and emission control
 costing algorithms used in this report are provided in Appendix A.   It
 should be noted that the algorithms in Appendix A are given in 1978 dollars.
 The cost factors used to update the 1978 estimates to January 1983  dollars
 are presented in Appendix B.  It should also be noted that all  algorithms
 are based on  a Midwest (i.e.,  Region V) boiler location.   However,  these
 algorithms can be used to predict costs in any other region of the  U.S.  (see
 Section 2.3.3 for discussion of regional  cost differences).
      The battery limits of the  boiler extend from the fuel-receiving
 equipment to  the ash disposal  operation.   Excluded are steam and  condensate
 piping beyond the boiler building.   Costs  of ducting and  the stack  are also
 included in the  battery limits  of the boiler.   Battery limits  of  the PM,
 N0x,  and S02  emission  control  systems include the  control  devices
 themselves, auxiliaries,  raw material  handling, waste  disposal, and any
 additional ducting  required.  The  specific  equipment lists  and  assumptions
 used  to  develop  the  various  algorithms  are  discussed in the  following
 sections.

 2.2.1   Uncontrolled  Boiler Costs
      This  section presents the  specific cost  assumptions and methodologies
 that  were  used to calculate  the  industrial  boiler  costs presented in
 Chapters  3 and 4.  References 8  and 9 detail  the specific equipment lists
 and assumptions  used to develop  the boiler  algorithms  presented in
 Appendix A (Tables A-4  through A-7).
     All of the coal-fired model boilers in this analysis are field-erected
 units.   In addition, all coal-fired boilers have the same heat transfer
 configuration  ir, that they are  watertube units, although the firing
mechanism varies according to size.  Model  boilers with heat inputs  of  less
than 73 MW (250 million Btu/hr) are assumed to be spreader stokers and
 larger model  boilers are assumed to fire pulverized coal.   All  of  the
residual oil-fired model boilers in this analysis  are package watertube
units designed with the capability of firing residual oil  or natural gas.
                                     2-13

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     All boiler costs are based on a new boiler constructed at a new plant
in the Midwest.  It is assumed that new plants will operate multiple boilers
rather than one boiler where economically justified.  Annual O&M costs such
as labor, utilities, chemicals, spare parts and ash disposal will be reduced
per boiler because of the economies of scale.  To account for the O&M cost
reductions associated with multiple boiler installations, multipliers for
the annual O&M costs are incorporated into the algorithms presented in
Appendix A.  These multipliers are presented in Table 2-9.  These
multipliers are not included in the PM, NO. or S09 control  algorithms,
                                          X       c.
however.  It is assumed that a single PM and/or S02 control  system will be
used at each facility regardless of the number of boilers used.   And, the
major component of NOX control O&M costs is fuel  cost (or savings), which
does not exhibit economies of scale.
     The boiler specifications presented in Tables 2-10 and  2-11  have been
used to calculate the boiler capital  costs presented in this report.  It is
assumed that all  boilers operate under low excess air firing conditions.
The flue gas flow rates for various model  boilers are calculated  using the
algorithms presented in Appendix A (Table  A-15).

2.2.2  Particulate Matter (PM) Control  Costs
     The algorithm used to calculate  capital  and  operating costs  for PM
control on coal-fired boilers is presented in Appendix A (Table A-8).   The
cost algorithm for reverse-air fabric filters for coal-fired boilers was
developed by PEDCo, Inc.    Table 2-12 lists the  general  specifications for
a reverse-air fabric filter.   It is assumed that  no separate PM control  is
required for residual  oil-fired boilers;  it is assumed that  the small  amount
of PM generally emitted by oil-fired  boilers can  be controlled through  the
use of FGD systems for SO- control  or through the use of low sulfur/low ash
oils.
2.2.3  NO,. Control  Costs
         A       ^™™^—i «i
     The algorithms used to calculate capital  and  operating  costs  for  NO
                                                                       A
control  devices are presented in  Appendix  A  (Tables  A-12  through A-14).  The
                                    2-14

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         TABLE 2-9.  DIRECT O&M MULTIPLIERS TO ACCOUNT FOR ECONOMIES
               ASSOCIATED WITH MULTIPLE BOILER INSTALLATIONS3
Coal-Fired Boilers:

                                                       Multiplier

Utilities, chemicals, and ash disposal                   0.848

All labor, replacement parts, and overhead               0.767



Residual Oil-Fired Boilers:


Utilities and chemicals                                  0.845

All labor, replacement parts, and overhead               0.799

Reference 5.
                                     2-15

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                                   TABLE 2-10.  SPECIFICATIONS FOR COAL-FIRED MODEL BOILERS
cr>
 Thermal  input, MW
 (10°  Btu/hr)

 Fuel  firing method

 Excess air, %

 Flu^ gas flow rate,d
  m /s (acfm)

Load factor, %

Efficiency (%)

Steam quality
  Pressure, kPa  (psig)
  Temperature, °k (°F)
                                                 29.0  (100)        44.0  (150)         73.0  (250)         U7.2  (400)

                                              Spreader stoker   Spreader stoker   Pulverized coal   Pulverized coal

                                                 35                35                 35                 35
     Dependent upon coal  heatimj value.
60
80.0
3100 (450)
590 (600)
— 	 	 	 	 ._
60
80.9
3100 (450)
590 (600)
— ' 	 	 	 , 	 . 	
60
82.0
5170 (750)
670 (750)
60
83.1
5170 (750)
670 (750)
                                     See Table  A-k, u, calculate flue gas flow rate for various coal types.

-------
                                  TABLE  2-11.   SPECIFICATIONS  FOR  RESIDUAL  OIL-FIRED  MODEL  BOILERS
ro
i
t—•
-j
 Thermal  input,  MW  (106  Btu/hr)


 Excess air, %


 Flue gas flow rate, m3/s (acfni)a


Load factor, %


Efficiency (%)


Steam quality

  Pressure, kPa  (psig)

  Temperature, °K (°F)
5170 (750)

 670 (750)
5170 (750)

 670 (750)
     Based on a heating value of 43,000 kJ/kg (18,500 Btu/lb).

-------
r\>

i—*
oo
                      TABLE 2-12.  GENERAL DESIGN SPECIFICATIONS FOR PM CONTROL SYSTEMS
                Control Device                     Item
                                                                                  Specification
Fabric Filter                     Material  of Construction       Carbon steel  (insulated)
(FF) for coal-fired boilers       Cleaning  method                Reverse-air (multi-compartment)
                                  Air to  cloth ratio             2  ft/min

                                  Bag material                    Teflon-coated fiberglass
                                  Bag life                        2  years

                                  Pressure  drop                  6  in.  H90 gauge
          a
           Pressure drop refers to gas-side  pressure  drop  across  entire  control  system.

-------
 cost algorithms for low excess air (LEA) operation, and staged combustion
 (SCA) were developed by Radian based on costs presented in the Individual
 Technology Assessment Report (ITAR) for NO  Combustion Modification.11
                                           A
 Table 2-13 presents the general  specifications for LEA and SCA.

 2.2.4  SOp Control  Costs
      The cost algorithms used to calculate capital  and annual  operating
 costs for flue gas  desulfurization units are also  presented in Appendix A
 (Tables  A-9 through A-ll).   The  cost algorithms  are based  on  information
 presented in the  FGO ITAR and Reference 12,  but  are not exact
 representations of  these costs.   The ITAR costs  were modified  to  reflect
 revised  installation factors  for double alkali FGD  systems  and revised
 fabric filter costs for spray drying FGD systems.13'14  A  revised  cost
 algorithm for sodium scrubbing FGD systems was developed based on
 information received from vendors  and  plants;15  this algorithm also  includes
 wastewater treatment costs.16'17
      The  cost algorithms  used to  estimate FGD  capital  costs are based  on
 shop-fabricated,  or packaged,  FGD  units.13  These algorithms were  developed
 using  techniques  consistent with  typical  "budget-cost"  estimates provided by
 vendors  to  clients  in the  preliminary  stages of  project  evaluation.  These
 estimates  are  considered  accurate  to within  ±30  percent  of the actual
 installed  costs of  FGD  systems.
     Table  2-14 presents  the  general specifications  for  the FGD systems
 analyzed  in  this  report.  These specifications are typical  for FGD systems
 currently  in  use.

 2.3  OTHER COST CONSIDERATIONS

     This section  addresses additional cost considerations  that may be
 incurred by boiler operators and/or regulatory agencies that have  not been
addressed in Section 2.2.  Section 2.3.1 presents costs associated with
continuous emission  measurement,  Section 2.3.2 presents the costs  of
                                    2-19

-------
            TABLE 2-13.  N0v COMBUSTION MODIFICATION EQUIPMENT REQUIREMENTS  OR MODIFICATIONS
                           A
Control Device
Low Excess Air (LEA)
     Specification
Oxygen trim system - 0? analyzer, air flow
  regulators

Wind box modifications (may be required for
  multi-burner boilers)
Staged Combustion Air (SCA)
  Pulverized coal-fired boilers:
  Residual  oil-fired builers:
Oxygen trim system - 0~ analyzer, air flow
  regulators

Air ports

Wind box modifications

Larger forced draft fan power

Oxygen trim system - 0~ analyzer, air flow
  regulators

Up to 30 percent larger boiler to accommodate
  longer flame

-------
              TABLE 2-14.  GENERAL DESIGN SPECIFICATIONS FOR FGD SYSTEM FOR S02 CONTROL
Control Device
          Item
                                                                    Specification
Double Alkali FGD
(S09 removal only)
 Scrubber  type

 Pressure  drop3
 L/G
 Scrubber  sludge
 Sludge disposal
                                                            Tray tower

                                                            8 in.  H90,
                                                            10 gal/foj acf
                                                            60% solids
                                                            Trucked to off-site landfill
Sodium Scrubbing FGD
(S09 removal  only)
(SOD)
                              Scrubber type
                              Pressure drop3
                              L/G
                              Disposal  method
                              Spray baffle
                              8 in. H90,
                              40 gal/TOJ acf
                              Oxidation and sewerage
Dry Scrubbing (spray
drying, SO^ and PM
removal)
(DS)
Material of construction


Reagent


Fabric filter


Pressure dropa

L/G

Solids disposal
                                                           Carbon  steel  spray  dryer  and  fabric
                                                           filter  (insulated)

                                                           Lime; with  solids recycle at  2  kg
                                                           recycle solids/kg fresh lime  feed

                                                           Pulse jeti  air-to-cloth ratio of
                                                           4 acfm/ft

                                                           6 in. H20

                                                           0.3 gal/acf

                                                           Trucked to off-site landfill
 All  pressure  drops  refer  to gas side pressure drop across entire control system.

-------
 requiring S02 control  during periods of FGD malfunction,  and  Section 2.3.3
 discusses the impacts  of regional  cost differences.

 2.3.1  Continuous Emission Measurement Costs
      Table 2-15  presents estimates for continuous  emission  measurement  costs
                           18
 for opacity,  NOX, and  SO^. °  Costs are shown  in January  1983  dollars.   For
 the purposes  of  this analysis,  it  is assumed that  continuous  NO   monitors
 are required  on  all  coal- and residual  oil-fired boilers  with  a  heat input
 capacity greater than  29 MW (100 million  Btu/hour).   Opacity  monitors are
 required for  all  boilers except those equipped with wet FGD systems.  Units
 with FGD are  assumed to  require continuous  monitors for inlet  and outlet S0?
 and a diluent (CO^ or  02)  monitor.   Units without  FGD are assumed to require
 a  single S02  monitor and a single  diluent monitor  at  the  outlet.   An
 automatic data reduction system is  included as part of monitoring costs  for
 all  model  boilers.  Continuous  emission measurement costs shown  in Table
 2-15 are included in the total  costs  presented in  subsequent chapters.

.2.3.2  FGD Malfunction Costs19
      In order to  maintain  compliance  with applicable  emission  requirements
 during  periods of FGD  malfunction,  several  alternative methods of S02
 control  may be used.   One  alternative is to install a  spare scrubbing unit
 for operation during FGD malfunction.   However, sparing is  a capital
 intensive alternative.   Another alternative would be  to fire low  sulfur
 fuels such as natural  gas,  low  sulfur oil,  or low sulfur  coal  during FGD
 downtime.   Nearly all  new  boilers will  be designed for multi-fuel firing or
 will  be installed at facilities where  spare  natural gas or  low sulfur
 oil-fired  boiler  capacity  is  available.  Therefore, there are essentially no
 additional  capital costs  associated with the firing o^ natural gas or low
 sulfur  oil  during malfunction.
      Malfunction  costs can  vary as  a  function of boiler size, capacity
 factor,  type  of  FGD system,  FGD system  reliability and differential  cost
 between fuels fired during  normal  operation and during FGD malfunction.   In
 general,  however,  malfunction costs  represent less than 3 percent of the
                                     2-22

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    TABLE 2-15.  CONTINUOUS EMISSION MEASUREMENT COSTS (January 1983 $)a'b
Capital Cost
System ($1000)
Opacity
NO
X
S02 (outlet only)
S02 (inlet and outlet)
02/C02 (outlet only)
02/C02 (inlet and outlet)
57
57
44
64
9
18
0 & M Cost
($1000/yr)
8
36
36
72
8
15
Annual ized Cost
($1000/yr)
15
44
42
81
9
18
Reference 18.


 See Section 2.3.1  for discussion  of continuous  emission  measurement costs
 assumed for each model  boiler.
                                    2-23

-------
 total  boiler  annualized  costs.   In order to maintain consistency  throughout
 this  report,  it  is  assumed that  FGD operators fire natural gas during
 periods of malfunction.  The FGD system reliability is assumed to be 95
        20
 percent.    Malfunction  costs are included in the total annualized costs  in
 subsequent chapters.

 2.3.3  Regional  Cost Considerations
     Model boiler costs  can vary on a regional basis due to differences in
 fuel price, labor rates, utility rates, raw material costs, and waste
 disposal costs.  However, since fuel costs generally represent 50 to
 75 percent of the total  O&M costs for coal-fired boilers and 80 to
 90 percent for residual  oil-fired boilers,  regional differences in fuel
 price have a much greater impact on regional  model boiler costs than do
 non-fuel O&M components  such as labor rates,  etc.21  Table 2-16 shows how
 fuel prices vary by Region and, for reference, Figure 2-1 depicts each
 region geographically.
     This report presents costs for coal-fired model  boiler in Regions V and
VIII.  As shown  in Table 2-16, a large number of bituminous and
subbituminous coals are readily available in  Region V.   Generally, only low-
and medium-sulfur content bituminous and subbituminous  coals  are delivered
to Region VIII.  Table 2-16 also shows that coal  prices in Region V do not
differ significantly from prices in  Regions I  through  VII.   Coal  prices in
Regions VIII, IX, and X are typically lower than  in the other regions,  with
Region VIII having the lowest prices anywhere  in  the  U.S.   Therefore,
Regions V and VIII were selected for analysis  in  this  report  - Region  V
because it is representative of many other  regions,  and Region VIII  because
it has significantly lower coal  prices than any  other  region  in  the  U.S.
Table 2-16 shows  that regional  variations  in  residual  oil  prices  are  not  as
important as  variations in coal  prices.   In addition,  the  premium price for
a low sulfur  oil  compared to high sulfur oil  is  essentially constant  for  all
regions.   Therefore, this report presents costs  for residual  oil-fired  model
boilers in Region V only.  These costs should  be  representative  of costs  in
all  regions.
                                      2-24

-------
                                            TABLE 2-16.   REGIONAL FUEL PRICES IN $/106 BTU (JANUARY 1983 $)a>b>c
ro
 i
ro
en
Sulfur Content .
Fuel Type (Ib S0?/10° Btu)a I
COAL
Bituminous
B 0.80 - 1.08
D 1.08 - 1.67
E 1.67 - 2.50
F 2.50 - 3.33
G 3.33 - 5.0
H >5.00
Subbi luminous
B 0.80 - 1.08
D 1.08-1.67
E 1.67-2.50
RESIDUAL OIL fi
0.8 Ib S02/10be 0.80
NATURAL GAS
aReference 22.
1990 level ized fuel prices in
cTo convert $/106 Btu to $/kJ,
To convert lb/10 Btu to ng/J
Subtract 10.70/106 Btu for 3.
0.37/10° Btu for 0.3 Ib S02


3.76
3.71
3.65
3.46
3.16
3.26

-
-
-

5.50
5.83

January 1983
multiply by
, multiply by
0 Ib S0,/106
/10° Btb oil.
II


3.52
3.45
3.30
3.13
2.82
2.85

-
-
-

5.49
5.79

dol lars
0.947.
430.
Btu oil;
III


3.14
2.94
2.85
2.75
2.42
2.39

-
-
-

5.49
5.73




subtract
IV


3.19
2.98
2.96
2.88
2.80
2.62

-
-
-

5.46
6.02




$0.38/ 106
REGION
V VI


3.32
3.18
3.08
2.93
2.67
2.50

3.38
3.34
3.30

5.63
5.88




Btu for


3.34
3.21
3.20
3.19
3.09
2.96

3.49
3.39
3.32

5.49
5.41




1.6 Ib
VII


3.14
3.08
3.04
2.92
2.62
2.47

2.74
2.69
2.72

5.60
5.45




S02/106 Btu
VIII IX


1.99 2.80
1.86 2.82
1.87 2.77


-

1.40 2.84
1.39 2.74
1.28 2.65

5.29 5.11
4.91 5.44




oil; add
X


3.18
2.97
2.84


-

2.66
2.60
2.09

5.07
5.57






-------
ro
 i
ro
en
      BostM
      »





New Ywk City


Philadelphia


         O.C.
                                                                                   f\f

-------
      It was  assumed  that  all  costs  other  than  fuel  (capital  charges,
 non-fuel O&M costs)  remain  constant on  a  regional  basis.   Regional
 variations in  labor  rates,  utility  rates,  raw  materials costs  and waste
 disposal costs can result in  regional variations  in absolute costs  for any
 given alternative.   However,  the purpose  of  this  analysis  is not to compare
 the absolute costs of S02 control in various regions but rather to  determine
 the difference in cost between various  alternatives within a given  region.
 In other words, the  objective of this analysis is  to determine the  cost
 difference between a given  S02 control  alternative and the baseline
 alternative, and to  determine whether that difference varies significantly
 from region  to region.
     The incremental  cost of one alternative as compared to another includes
 differences  in fuel   prices  and/or differences  in the capital  and operating
 costs of FGD systems.  The  variation in FGD capital and operating costs from
 region to region due to differences in  labor rates, utility rates,  raw
material  costs, and waste disposal  costs is small  in comparison to
variations in regional fuel  prices, and can therefore be neglected.21   For
this reason,  the results presented  here include only fuel  price variations
and assume all other  unit costs are equal  on a  regional  basis.
                                     2-27

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2.4  REFERENCES

1.   Devitt, T., P. Spaite, and L. Gibbs.  (PEDCo Environmental)  Population
     and Characteristics of Industrial/Commercial Boilers in the U.S.
     (Prepared for U. S. Environmental Protection Agency.)  Research
     Triangle Park, N. C.  EPA-600/7-79-78a.  Cincinnati, Ohio
     August 1979.  462 p.

2.   Dickerman, J.C. and K.L.  Johnson, (Radian Corporation.)  Technology
     Assessment Report for Industrial Boiler Application:  Flue Gas
     Desulfurization.  (Prepared for U. S. Environmental Protection Agency.)
     Research Triangle Park, N. C.  EPA-600/7-79-78c.  November 1979
     664 p.

3.   Memo from Laughlin, J. H., and S. C. Margerum,  E. F. Aul., Radian
     Corporation, to C. B.  Sedman, EPA/ISB.  July 3, 1984.  6 p.  Interest
     during construction cost calculations.

4.   Perry, R. H.  Chemical Engineers' Handbook.   Fifth ed.   New York,
     McGraw-Hill  Book Company.  1973.  p. 25-39.

5.   Letter from Medine, E. S., Energy and Environmental Analysis, Inc. to
     Short, R., EPA:EAB.  September 14, 1981.  6  p.   Comparison of IFCAM and
     Radian Cost Algorithms for SCL and PM Control  on Coal-  and Oil-Fired
     Industrial Boilers.

6.   Reference 1, p. 117.

7.   U. S.  Environmental Protection Agency.  Fossil  Fuel Fired Industrial
     Boilers - Background Information.  Volume I.  Research  Triangle Park,
     N. C.   Publication No. 450/3-82-006a.  March 1982.  pp.  4-1 - 4-213.

8.   PEDCo  Environmental, Inc.  Cost Equations for  Industrial  Boilers.
     Final  report.   Prepared for U.S. Environmental  Protection Agency.
     Research Triangle Park, N.C.   EPA Contract No.  68-02-3074.
     January 1980.   22 p.

9.   Reference 2, p. 118-122.

10.  PEDCo  Environmental, Inc.  Capital  and Operation Costs  of Particulate
     Controls on  Coal- and  Oil-Fired Industrial Boilers.   (Prepared  for
     U.S.  Environmental  Protection Agency.)  Research Triangle Park,  N.C.
     EPA-450/5-80-009.   August 1980.   129 p.

11.   Lim,  K.J.,  et. al.  (Acurex Corporation)  Technology Assessment  Report
     for Industrial  Boiler  Applications:   NO   Combustion Modification.
     (Prepared for  U.S.  Environmental Protection  Aaency.) Research  Triangle
     Park,  N.C.  EPA-600/7-79-178f.  December 1979!
                                    2-28

-------
 12.   Gardner,  R.,  R.  Chang,  and  L.  Broz.   (Acurex  Corporation.)   Cost,
      Energy and  Environmental  Algorithms  for  NO  ,  SCL,  and  PM  Controls  for
      Industrial  Boilers.   Final  Report.   (Prepared f6r  U. S. Environmental
      Protection  Agency.)   Cincinnati,  Ohio.   EPA Contract No.  68-03-2567
      December  1979.   p. 20-52.

 13.   Memo  from Aul, E.F.,  M.A. Palazzolo,  and  R.S.  Berry, Radian
      Corporation,  to  C.B.  Sedman, EPA/ISB, May 16,  1983.  Revised Cost
      Algorithms  for Lime Spray Drying  and  Dual Alkali FGD Systems.

 14.   Letter from Berry, R.S. (Radian Corporation)  to C.B. Sedman  (EPA/ISB)
      Changes to  FGD Cost Algorithms.   July 5,  1983.

 15.   Berry,  R. S., and G.  S. Shareef,  Radian Corporation.  Sodium Scrubbing
      Cost  Algorithm Development.  February 7,  1984.

 16.   Berry,  R. S., Radian  Corporation.  Update of  the Sodium Scrubber
      Wastewater  Issue.  January 24, 1984.

 17.   Berry,  R. S., Radian  Corporation.  S0? Re-emissions from the Sodium
      Scrubbing Wastewater  Stream in Aerobic Environments.  May 31, 1984.

 18.   Dicker-man,  J.C.  and M.E. Kelly.   "Issue Paper:  Compliance Monitoring
      Costs."  Radian Corporation.  Durham, N.C.  September 25,  1980.   20 p.

 19.  Memo from Margerum, S. C., Radian Corporation, April 6, 1984, to
     Sedman, C. B., EPA/ISB.   FGD System Malfunction Costs.

20.  Radian Corporation.  SO. Technology Update Report.   Final.  (Prepared
     for U.S. Environmental Protection Agency).  Research Triangle Park
     N.C. EPA Contract No.  68-02-3816.   July 21,  1984.   p.  2-30.

21.  Margerum,  S. C.  and J. A.  Maddox.   An Analysis of  Regional Coal  and
     Residual Oil Model  Boiler  Costs.   Radian  Corporation.   Durham, N C
     January 6, 1984.

22.  Projected  Environmental, Cost  and Energy  Impacts of Alternative  SO
     NSPS for Industrial  Fossil  Fuel-fired Boilers.  (Prepared  for U.  S~
     Environmental  Protection Agency).   Energy and  Environmental  Analysis
     Arlington, Virginia.   July 27,  1984.   pp.  9-10.
                                    2-29

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             3.0  COST OF S02 CONTROL ON COAL-FIRED MODEL BOILERS

      This chapter presents the results of an  analysis of S02  control  costs
 for coal-fired model  boilers in Region V and  in Region VIII.   Capital  and
 annualized costs  are  examined for boilers with  no  S02 control  (baseline) and
 for boilers  equipped  with  FGD systems  achieving 50 percent, 70 percent,  and
 90  percent S02 removal.   Costs are examined for several  boiler sizes  and for
 numerous  coal  types.   The  boiler sizes selected for this analysis  are  29,
 44,  73  and 117 MW (100,  150,  250 and 400 million Btu/hr)  heat  input.
      Specifications and  prices of coals  delivered  to  Region V  and  to  Region
 VIII  are  presented  in  Table  3-1.   To maintain consistency with  the
 Industrial  Fuel Choice Analysis  Model  (IFCAM),  which  is  used to  project the
 national  impacts  of alternative  S02  standards,  the values in Table 3-1 are
 projections  for 1990 delivered fuel  prices expressed  in  January  1983
 dollars.   The projections ignore  the  effects of inflation but assume that
 fuel  prices  will  escalate  in  real  terms.   In addition, the fuel  prices have
 been  "levelized"  over  the  life of  the  boiler (i.e., an equivalent constant
 price has  been calculated  after  allowing  for escalation and the  time value
 of money).
     The  PM  and N0x controls  examined  are the same under the baseline and
 for each  of  the S02 control alternatives  selected.   All model  boilers are
 assumed to require a fabric filter for particulate matter control.   Spreader
 stoker boilers [boilers with  heat  inputs of less than 73 MW (250 million
 Btu/hr)] are assumed to require  the use of low-excess air (LEA) operation
 for N0x control and pulverized coal boilers [boilers with heat inputs of 73
MW (250 million Btu/hr) or greater] are assumed  to  require staged combustion
air (SCA) operation in addition to LEA.
     Several types of FGD systems are available  for control  of S0?  from
 industrial boilers, including double alkali,  sodium scrubbing,  and  dry
scrubbing FGD.   Table  3-2 presents the costs  for a  44 MW (150  million
Btu/hr)  boiler in  Region  V for each of the FGD systems above for two  coal
types.  The same relative relationships as those shown in Table 3-2 would
                                    3-1

-------
               TABLE  3-1.   SPECIFICATIONS FOR COAL DELIVERED  TO  REGION  V  AMD  REGION VIIIa
Coal
Type
Region V:
B-sub
D-sub
E-sub
B-bit
D-bit
E-bit
F-bit
G-bit
H-bit
Region VIII:
B-sub
D-sub
E-sub
B-bit
D-bit
E-bit
Uncontrolled SO,,
Ng/J (lb/10 BtO)

409 (0.95)
624 (1.45)
903 (2.10)
409 (0.95)
624 (1.45)
903 (2.10)
1,226 (2.85)
1,785 (4.15)
2,382 (5.54)

409 (0.95)
624 (1.45)
903 (2.10)
409 (0.95)
624 (1.45)
903 (2.10)
Fuel Price
$/kJ ($/lO° Btu)

3.20 (3.38)
3.16 (3.34)
3.13 (3.30)
3.14 (3.32)
3.01 (3.18)
2.92 (3.08)
2.77 (2.93)
2.53 (2.67)
2.37 (2.50)

1.33 (1.40)
1.32 (1.39)
1.22 (1.28)
1.88 (1.99)
1.76 (1.86)
1.77 (1.87)
Heating Value
kJ/kg (Btu/lb)

20,524 (8,825)
20,524 (8,825)
20,524 (8,825)
29,000 (12,500)
29,300 (12,600)
27,400 (11,800)
26,700 (11,500)
26,700 (11,500)
27,200 (11,700)

20,400 (8,770)
20,000 (8,620)
20,000 (8,620)
25,300 (10,900)
23,900 (10,300)
23,900 (10,300)
Sulfur
Content
Wt. %

0.42
0.64
0.93
0.60
0.91
1.24
1.64
2.38
3.23

0.42
0.63
0.91
0.52
0.75
1.08
Ash
Content
Wt. %

6.9
6.9
6.9
11.0
11.0
10.5
10.9
12.2
12.0

8.4
6.9
6.9
10.0
10.0
10.0
 Reference 1.



b!990 levelized fuel price in 1983 $.

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CO
i
CO
           TABLE 3-2.  PM/SO? CONTROL COSTS FOR A 44 MW (150 MILLION BTU/HR) MODEL BOILER IN REGION Va'b
                                                   (JAN 1983 $)
Sodium Scrubbing0

Capital Cost ($1000):
High Sulfur Bituminous Coal6
Low Sulfur Subbituminous Coal
Annual ized Cost ($1000/yr):
High Sulfur Bituminous Coal6
Low Sulfur Subbituminous Coal
Fabric
Filter

1,549
1,607

419
440
FGD

919
698

919
458
Total

2,468
2,305

1,338
898
Dry Scrubbing
Total

3,102
2,617

1,504
1,095

Fabric
Filter

1,549
1,607

419
440
Double Al
FGD

2,403
1,894

1,171
811
kalic
Total

3,952
3,501

1,590
1,251
      Includes  applicable  monitoring  costs as shown  in Table 2-15.

      Includes  FGD  malfunction  costs.

     °Assumes 95 percent FGD  reliability.

     Assumes 90 percent FGD  reliability.

     6Heating value = 27,200  kJ/kg  (11,700 Btu/lb);  Sulfur content = 3.23 wt. %; Ash content  12.0 wt.  '
     Uncontrolled  S02 = 2380 ng/J  (5.54 lb/10  Btu).

     Heating value = 20,500  kJ/kg  (8,825 Btu/lb); Sulfur content = 0.42 wt. %; Ash Content 6.9 wt. %;
     Uncontrolled  S02 = 409  ng/J (0.95 lb/10  Btu).

-------
exist  for  other  regions and other boiler  sizes.  Dry  scrubbing  FGD  systems
are designed for combined control of S02  and particulate matter, whereas
sodium scrubbing and double alkali FGD systems are designed for SCL control
only.   For this  reason, Table 3-2 also shows the cost of a fabric filter  for
particulate matter control for sodium scrubbing and double alkali FGD
systems.   Table 3-2 shows that the capital and annualized costs of  sodium
scrubbing  are lowest for both high and low sulfur coals.  Also the  capital
and annualized costs of double alkali are highest for both coal types.  In
general, dry scrubbing costs fall between the costs of sodium scrubbing and
dual alkali.  In order to maintain consistency throughout this report, all
FGD costs  are based on sodium scrubbing.   Sodium scrubbing is currently the
most widely used FGD technology and its costs are considered representative
of FGD  costs in general.

3.1  REGION V COSTS

3.1.1   Capital  Costs
     The capital  costs presented in this  report are based on the assumption
that industrial  boilers will  be designed  specifically to fire either
bituminous or subbituminous coal.  The FGD system capital  costs reflect the
current practice of industrial  boiler owners to design and install  FGD
systems capable of achieving  90 percent SO^ removal  on the highest sulfur
coal available in order to provide maximum fuel  firing flexibility.
     Table 3-3 presents the capital  costs of S02  control  for 29, 44, 73,  and
117 MW  (100, 150, 250,  and 400  million Btu/hr)  model  boilers  firing
bituminous and subbituminous  coals.   Capital  costs  for boilers  at  the
baseline firing  subbituminous  coals  are higher  than  for those  firing
bituminous coals  due to the lower heating value  of  subbituminous coals
which,  in turn,  require larger  boilers in order  to  achieve  the  same  heat
input.  Total  capital  costs for boilers equipped  with  FGD  systems  are  also
higher for subbituminous coals  than  for bituminous  coals.
                                      3-4

-------
 TABLE  3-3.   CAPITAL  COST  OF  SO-  CONTROL  IN  REGION  V  ($1000)  (JAN  1983  $)a
Boiler Size/
Coal Classification
29 MW (100 million Btu/hr)
Bituminous
Subbituminous
44 MW (150 million Btu/hr)
Bituminous
Subbituminous
73 MW (250 million Btu/hr)
Bituminous
Subbituminous
117 MW (400 million Btu/hr)
Bituminous
Subbituminous
Baseline
10,106
10,998
14,050
15,200
24,026
25,023
33,154
34,379
With FGDC
10,787
11,561
14,899
16,001
25,142
25,943
34,616
35,578
Includes applicable monitoring costs as shown in Table 2-15.



Baseline costs include PM/NO  control costs.
                            A


Based on sodium scrubbing FGD.
                                   3-5

-------
3.1.2  Annual O&M Costs
     Tables 3-4 through 3-7 present the annual O&M costs of SCL control for
the various boiler sizes examined.  These tables show that, at the baseline,
fuel costs represents 50 to 60 percent of the total O&M costs for a 29 MM
(100 million Btu/hr) boiler and 60 to 70 percent of the total for a 117 MW
(400 million Btu/hr).  For the 90 percent S02 removal cases, fuel costs
represent about 45 to 55 percent of the total O&M costs for a 29 MW (100
million Btu/hr) boiler and about 55 to 65 percent of the total for a 117 MW
(400 million Btu/hr) boiler.  As expected, these tables show that the annual
O&M costs at the baseline for bituminous coals increase with increasing fuel
price for all boiler sizes.  The annual  O&M costs at the baseline for
subbituminous coals are generally comparable to costs for medium sulfur
bituminous coals (Types D, E, and F coals).  As expected, the annualized
cost of S02 control  for boilers equipped with FGD systems increases with
increasing coal sulfur content.  However, total  O&M costs for boilers
equipped with FGD control  generally track fuel price rather than sulfur
content, indicating the importance of fuel  price in estimating SCL control
costs.

3.1.3  Annualized Costs
     As discussed in Section 2.1.3, annualized costs are calculated as the
sum of  annualized capital-related charges and annual  O&M costs.   Tables 3-8
through 3-11 present the annualized costs of SO- control for the various
boiler  sizes and coal types examined.
     These tables show that the difference  in annualized costs of S0«
control for 50 percent, 70 percent, and  90  percent  FGD  for a particular coal
type is relatively small  when compared to the total  annualized costs of the
boiler.  These tables further show that,  as expected,  the annualized cost of
SO- control increases with increasing  coal  sulfur content.   However, the
total  annualized costs generally track fuel  price rather than sulfur
content, such that the total  annualized  costs of 90 percent FGD  are lowest
for a Type H coal for all  boiler sizes examined.
                                    3-6

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                      TABLE 3-4.   0 & M COSTS FOR A 29  MW (100 MILLION BTU/HR)  MODEL  BOILER  IN REGION  Va
                                                   ($1000/YR)   (JAN  1983  $)
Coal Type
Type B -
Type D -
Type E -
Type F -
Type G -

-------
                      TABLE 3-5.  0 & M COSTS FOR A 44 MW (150 MILLION BTU/HR) MODEL BOILER IN REGION Vd
                                                   ($1000/YR)  (JAN 1983 $)
Coal Type
Type B - bit
Type 0 - bit
Type E - bit
Type F - bit
Type G - bit
Type H - bit
Type B - sub
Type D - sub
Type E - sub
Fuel
2,593
2,484
2,406
2,289
2,086
1,953
2,640
2,609
2,578
Baseline
Other
1,420
1,419
1,421
1,423
1,425
1,424
1,430
1,429
1,429
b
Total
4,013
3,903
3,827
3,712
3,511
3,377
4,070
4,038
4,007
Fuel
2,593
2,484
2,406
2,289
2,086
1,953
2,640
2,609
2,578
50% FGQC
Other
1,639
1,662
1,694
1,731
1,793
1,857
1,638
1,661
1,691
Total
4,232
4,146
4,100
4,020
3,879
3,810
4,278
4,270
4,269
Fuel
2,593
2,484
2,406
2,289
2,086
1,953
2,640
2,609
2,578
70% FGD
Other
1,657
1,689
1,733
1,784
1,871
2,960
1,655
1,688
1,730
c
Total
4,250
4,173
4,139
4,073
3,957
3,913
4,295
4,297
4,308
Fuel
2,593
2,484
2,406
2,289
2,086
1,953
2,640
2,609
2,578
90% FGDC
Other
1,674
1,716
1,772
1,837
1,948
2,063
1,673
1,715
1,769
Total
4,267
4,200
4,178
4.126
4,034
4,016
4,313
4,324
4,347
Includes applicable monitoring costs as  shown  in  Table 2-15.
 Baseline costs include PM/NO  control  costs.
 Based on the use of sodium scrubbing FGD.

-------
                      TABLE 3-6.  0 & M COSTS FOR A 73 MW (250 MILLION BTU/HR) MODEL BOILER IN REGION Va
                                                   ($1000/YR)  (JAN 1983 $)
Coal Type
Type B - bit
Type D - bit
Type E - bit
Type F - bit
oo Type G - bit
10
Type H - bit
Type B - sub
Type D - sub
Type E - sub
Fuel
4,373
4,189
4,057
3,860
3,517
3,293
4,452
4,400
4,347
Baseline
Other
2,411
2,410
2,412
2,417
2,428
2,424
2,408
2,407
2,408
b
Total
6,784
6,599
6,469
6,277
5,945
5,717
6,860
6,807
6,755
Fuel
4,373
4,189
4,057
3,860
3,517
3,293
4,452
4,400
4,347
50% FGD
Other
2,696
2,734
2,787
2,850
2,961
3,065
2,679
2,717
2,768
c
Total
7,069
6,923
6,844
6,710
6,478
6,358
7,131
7,117
7,115
Fuel
4,373
4,189
4,057
3,860
3,517
3,293
4,452
4,400
4,347
70% FGD
Other
2,725
2,779
2,852
2,938
3,090
3,237
2,708
2,762
2.833
c
Total
7,098
6,968
6,909
6,798
6,607
6,530
7.160
7,162
7,180
Fuel
4,373
4,189
4,057
3,860
3,517
3,293
4,452
4,400
4,347
90% FGDC
Other
2,754
2,824
2,917
3,027
3,218
3,409
2,738
2,807
2,899
Total
7,127
7,013
6,974
6,887
6,735
6,702
7,190
7,207
7,246
alncludes applicable monitoring costs as  shown  in  Table  2-15.
 Baseline costs include PM/NO  control  costs.
cBased on the use of sodium scrubbing FGD.

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                      TABLE 3-7.   0 & M COSTS FOR A 117  MM  (400 MILLION BTU/HR)  MODEL BOILER IN REGION Va
                                                   ($1000/YR)   (JAN 1983 $)
Coal Type
Type B - bit
Type D - bit
Type E - bit
Type F - bit
Type G - bit
Type H - bit
Type B - sub
Type D - sub
Type E - sub
Fuel
6,997
6,702
6,492
6,175
5,627
5,269
7,124
7,040
6,955
Basel ine
Other
3,236
3,236
3,237
3,247
3,263
3,258
3,230
3,230
3,231
b
Total
10,233
9,938
9,729
9,422
8.890
8,527
10,354
10,270
10,186
Fuel
6,997
6,702
6,492
6,175
5,627
5,269
7,124
7,040
6,955
50% FGD
Other
3,614
3,677
3,759
3,862
4.039
4,206
3,592
3,654
3,736
c
Total
10,611
10,379
10,251
10,037
9,666
9,475
10,716
10,694
10,691
Fuel
6,997
6,702
6,492
6,175
5,627
5,269
7,124
7,040
6,955
70% FGD
Other
3,661
3,749
3,864
4,004
4,245
4,481
3,639
3,726
3,840
c
Total
10,658
10.451
10,356
10,179
9,872
9,750
10,763
10,766
10,795
Fuel
6,997
6,702
6,492
6,175
5,627
5,269
7,124
7,040
6,955
90% FGDC
Other
3,708
3.820
3.968
4,145
4,451
4,755
3.687
3,798
3.945
Total
10,705
10,522
10,460
10,320
10,078
10.024
10,811
10,838
10,900
alncludes applicable monitoring costs  as  shown  in Table 2-15.
 Baseline costs include PM/NO  control  costs.
cBased on the use of sodium scrubbing  FGD.

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CO
                    TABLE 3-8.  ANNUALIZED COSTS OF S02 CONTROL FOR A 29.MU (100 MILLION BTU/HR)
                                              MODEL BOILER IN REGION V3)b
                                                ($1000/YR) (JAN 1983 $)
Coal
Type B
Type D
Type E
Type F
Type G
Type H
Type B
Type D
Type E
Type
- Bit
- Bit
- Bit
- Bit
- Bit
- Bit
- Sub
- Sub
- Sub
Baseline0
4,557
4,484
4,433
4,355
4,220
4,130
4,743
4,722
4,701
50
so2e
359
378
401
430
478
526
330
347
369
% FGDd
Total
4,916
4,862
4,834
4,785
4,698
4,656
5,073
5,069
5,070
o 70%
so2e
372
398
429
467
532
598
343
366
397
FGDd
Total
4,929
4,882
4,862
4,822
4,752
4,728
5,086
5,088
5,098
so2e
384
416
456
503
584
668
355
385
423
90% FGDd
Total
4,941
4,900
4,889
4,858
4,804
4,798
5,098
5,107
5,124
         All  costs  include  applicable monitoring costs as shown in Table 2-15.

         All  costs  include  FGD malfunction costs as discussed in Section 2.3.2.

         Baseline costs include PM/NO  control costs.
                                     A

         Based on the use of sodium scrubbing FGD.
        p
         Cost of S02 control is incremental cost above baseline cost.

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                       TABLE  3-9.  ANNUAL I ZED COSTS OF S07 CONTROL  FOR A 44 MW
                           (150 MILLION BTU/HR) MODEL BOItER  IN REGION Va'b
                                       ($1000/YR) (JAN  1983  $)
Coal Type
Type B -
Type D -
Type E -
Type F -
Type G -
Type H -
Type B -
Type D -
Type E -
Bit
Bit
Bit
Bit
Bit
Bit
Sub
Sub
Sub
Bastline0
6
6
6
6
5
5
6
6
G
,344
,233
,156
,040
,838
,703
,607
,575
,544
50% FGDd
S02 Total
454
485
520
561
633
706
419
445
478
6
6
6
6
6
6
7
7
7
,798
,718
,676
,601
,471
,409
,026
,020
,022
70% FGDd
S02 Total
472
512
560
616
712
811
438
473
518
6
6
6
6
6
6
7
7
7
,816
,745
,716
,656
,550
,514
,045
,048
,062
90% FGDd
S02 Total
490
540
600
670
791
917
456
501
558
6,834
6,773
6,756
6,710
6,629
6,620
7,063
7,076
7,102
 All costs include applicable monitoring costs as shown in Table 2-15.

 All costs include FGD malfunction costs as discussed in Section 2.3.2.

°Baseline costs include PM/NO  control  costs.
                             X

 Based on the use of sodium scrubbing FGD.
Q
 Cost of SO 2 control is incremental  cost above baseline cost.

-------
                     TABLE 3-10.   ANNUALIZED  COSTS
CO
I
I—'
t/J
ISTS OF S0? CONTROL  FOR A  117 MW  (250  MILLION  BTU/HR)
MODEL BOItER  IN REGION Va'D
  ($1000/YR)  (JAN 1983 $)
Coal Type
Type B
Type D
Type E
Type F
Type G
Type H
Type B
Type D
Type E
- Bit
- Bit
- Bit
- Bit
- Bit
- Bit
- Sub
- Sub
- Sub
Baseline0
10
10
10
10
9
9
10
10
10
,751
,565
,433
,240
,905
,676
,987
,934
,881
50% FGDd
S02e Total
629
678
737
806
927
1,048
585
627
682
11
11
11
11
10
10
11
11
11
,380
,243
,170
,046
,832
,724
,572
,561
,563
70% FGDd
S02e Total
659
724
804
897
1,058
1,224
615
673
749
11
11
11
11
10
10
11
11
11
,410
,289
,237
,137
,963
,900
,602
,607
,630
90% FGDd
S02e Total
689
770
871
988
1,190
1,400
645
719
816
11,440
11,335
11,304
11,228
11,095
11,076
11,632
11,653
11,697
          All costs include applicable monitoring costs as shown in Table 2-15.


          All costs include FGD malfunction costs as discussed in Section 2.3.2.


         cBaseline costs include PM/NO  control  costs.
                                      X

          Based on the use of sodium scrubbing  FGD.


          Cost of S02  control  is incremental  cost above baseline cost.

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            TABLE 3-11.  ANNUALIZED COSTS OF S0? CONTROL FOR A 117 MW (400 MILLION BTU/HR)

                                     MODEL BOILER IN REGION V '

                                       ($1000/YR) (JAN 1983 $)

Coal Type
Type B -
Type D -
Type E -
Type F -
Type G -
Type H -
Type B -
Type D -
Type E -
Bit
Bit
Bit
Bit
Bit
Bit
Sub
Sub
Sub
Baseline0
15
15
15
14
14
13
16
15
15
,706
,409
,198
,889
,353
,986
,023
,938
,853
50%
so2e
875
954
1,048
1,159
1,351
1,546
818
88!)
973
FGDd
Total
16
16
16
16
15
15
16
16
16
,581
,363
,246
,048
,704
,532
,841
,823
,826
70% FGDd
S02e Total
923
1,027
1,155
1,304
1,562
1,827
866
959
1,080
16
16
16
16
15
15
16
16
16
,629
,436
,353
,193
,915
,813
,889
,897
,933
90% FGDd
S02e Total
971
1,101
1,262
1,449
1,773
2,109
914
1,033
1,187
16,677
16,510
16,460
16,338
16,126
16,095
16,937
16,971
17,040
 All costs include applicable monitoring costs  as shown in Table 2-15.



 All costs include FGD malfunction costs as  discussed in Section 2.3.2.



GBaseline costs include PM/NO  control  costs.
                             A


 Based on the use; of sodium scrubbing  FGD.



 Cost of SO- control is incremental  cost above  baseline cost.

-------
 3.2  REGION VIII COSTS

 3.2.1  Capital  Costs
      Table 3-12 presents the capital  costs of control  at the baseline and
 for the various S02 control  alternatives for 29, 44, 73, and 117 MW (100,
 150, 250,  and 400 million Btu/hr)  model  boilers.  A comparison of the costs
 in Table 3-3  with those in Table 3-12 for Region VIII  shows that the capital
 costs for  coal-fired boilers are about equal  to those  in Region V.   Any
 slight differences in capital  costs  between the two regions are attributable
 to differences  in fuel  costs which,  in turn,  impact working capital
 requirements.

 3.2.2  Annual O&M Costs
      Table 3-13 presents  the annual O&M  costs  for each  of the  boiler sizes
 examined.   At the baseline level of control,  fuel  costs  represent 35 to 45
 percent of the  total  O&M  costs  for a  29  MW (100 million  Btu/hr)  model  boiler
 and  45  to  55  percent  for  a 117  MW  (400 million  Btu/hr)  model boiler.   For
 the  90  percent  S02  removal cases, fuel costs account for about  30 to
 40 percent  of the total O&M  costs for a  29  MW  (100  million  Btu/hr) model
 boiler  and  about  40 to  50  percent for a  117 MW  (400 million  Btu/hr)  model
 boiler.  Fuel costs as  a  percentage of total O&M  costs are  lower  in
 Region  VIII than  in Region V  (see Section  3.1.2).   This  is explained by the
 significantly lower fuel  prices  in Region  VIII  as compared to Region V.
 (Table  3-1  presented  the  fuel prices  and specifications  for coals in these
 regions).

 3.2.3  Annualized Costs
     Table 3-14 presents the annualized costs of control at the baseline and
 for each S02 control alternative for the various boiler sizes examined.
Annualized costs are calculated as the sum of the annualized capital  charges
and annual  O&M costs.
     Table 3-14 shows that the differences in S02 control costs for  50, 70
and 90 percent FGD for a particular coal  type are small  relative to  the
                                    3-15

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           TABLE  3-12.   CAPITAL  COST OF  S02  CONTROL  IN  REGION  VIII



                             ($1000)  (JAN  1983  $)a
Boiler Size/
Coal Classification
29
44
73
117
MW (100 million Btu/hr)
Bituminous
Subbituminous
MW (150 million Btu/hr)
Bituminous
Subbituminous
MW (250 million Btu/hr)
Bituminous
Subbituminous
MW (400 million Btu/hr)
Bituminous
Subbituminous
Baseline1"1
10,062
10,913
13,983
15,171
23,913
24,807
32,973
34,033
With FGDC
10,728
11,476
14,810
15,873
24,993
25,727
34,376
35,233
 Includes applicable monitoring costs as shown in Table 2-15.



 Baseline costs include PM/NO  control costs.
                             A


GBased on sodium scrubbing FGD.
                                   3-16

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                                                TABLE 3-13.  0 & M COSTS IN REGION VIII ($1000/YR) (JAN 1983 $)a
CO
 i

Baseline
Coal Type fuel Other
29 MW (100 x
Type B -
Type D -
Type E -
Type B -
Type D -
Type E -
44 MW (150 x
Type B -
Type D -
Type E -
Type B -
Type D -
Type E -
73 MW (250 x
Type B -
Type D -
Type E -
Type B -
Type D -
Type E -
117 MW (400 x
Type B -
Type D -
Type E -
Type B -
Type D -
Type E -
10 Btu/hr) model boiler
Bit 1,036 ,158
Bit 969 ,159
Bit 974 ,160
Sub 729 ,164
Sub 724 ,162
Sub 667 ,162
106 Btu/hr) model boiler
Bit 1,554 1,425
Bit 1,453 1,427
Bit 1,461 1,427
Sub 1,094 1,433
Sub 1,086 1,431
Sub 1,000 1,431
106 Btu/hr) model boiler
Bit 2,621 2,416
Bit 2,450 2,420
Bit 2,463 2,421
Sub 1,844 2,424
Sub 1,831 2,410
Sub 1,686 2,410
106 Btu/hr) model boiler
Bit 4,194 3,244
Bit 3,920 3,251
Bit 3,941 3,252
Sub 2,951 3,256
Sub 2,930 3,234
Sub 2,698 3,234
Includes applicable monitoring costs as
b
Total

2,194
2,128
2,134
1,893
1,886
1,829

2,979
2,880
2,888
2,527
2,517
2,431

5,037
4,870
4,884
4,268
4,241
4,096

7,438
7,171
7,193
6,207
6,164
5,932
shown in
50% FGDC
Fuel

1,036
96
-------
     TABLE 3-14.  ANNUALIZED COSTS OF SO,, CONTROL IN REGION VIII ($1000/yr) (JAN 1983 $)a>b

29

44

73

117

Coal
MW (100
Type B
Type 0
Type E
Type B
Type 0
Type E
MW (150
Type B
Type D
Type £
Type B
Type 0
Type E
MW (250
Type B
Type 0
Type E
Type B
Type 0
Type E
MW (400
Type B
Type 0
Type E
Type B
Type 0 •
Type E •
Type
x 106 Btu/hr)
- Bit
- Bit
- Bit
- Sub
- Sub
- Sub
x 106 Btu/hr)
- Bit
- Bit
- Bit
- Sub
- Sub
- Sub
x 106 Btu/hr)
- Bit
- Bit
- Bit
- Sub
- Sub
- Sub
x 106 Btu/hr)
- Bit
- Bit
- Bit
- Sub
- Sub
- Sub
Baseline0
model boiler
3,862
3,796
3,801
3,706
3,699
3,641
model boiler
5,301
5,201
5,209
5,051
5,041
4,954
model boiler
8,989
8,821
8,835
8,374
8,347
8,200
model boiler
12,888
12,619
12,641
11,841
11,798
11,564
50%
so2e

369
388
408
357
372
397

470
499
529
460
483
520

655
703
753
651
690
752

915
993
1,074
925
987
1,084
FGDd
Total

4,231
4,184
4,209
4,063
4,071
4,038

5,771
5,700
5,738
5,511
5,524
5,474

9,644
9.524
9,588
9,025
9,037
8,952

13,803
13,612
13,715
12,766
12,785
12,648
70%
SO/

382
407
436
370
392
425

490
528
571
480
513
562

685
749
820
681
736
819

964
1,066
1,181
973
1,060
1,191
FGDd
Total

4,244
4,203
4,237
4,076
4,091
4,066

5,791
5,729
5,780
5,531
5,554
5,516

9,674
9,570
9,655
9,055
9,083
9,019

13,852
13,685
13,822
12,814
12,858
12,755
so2

394
426
463
382
410
452

508
556
611
499
540
602

715
795
887
712
781
886

1,012
1,140
1,287
1,022
1,133
1,299
)% FGDd
Total

4,256
4,222
4,264
4,088
4,109
4,093

5,809
5,757
5,820
5,550
5,581
5,556

9,704
9,616
9,722
9,086
9,128
9,086

13,900
13,759
13,928
12,863
12,931
12,863
All costs  include applicable monitoring costs as shown in Table 2-15.
 All costs include malfunction costs as discussed in Section 2.3.2.
Baseline costs include PM/NO  control costs.
Based on the use of sodium scrubbing FGD.
Cost of S02 control  is incremental  cost above Baseline Cost.

-------
total  annualized cost of a boiler.  Also, the total annualized cost of
control tracks the fuel  price rather than the sulfur content.   Therefore,
the least costly fuel has the lowest total  annualized costs for each
alternative.
                                    3-19

-------
3.3  REFERENCES
1.   Projected Environmental, Cost and Energy Impacts  of Alternative S00
     NSPS for Industrial  Fossil  Fuel-Fired Boilers.  (Prepared  for U. S
     Environmental  Protection Agency).   Energy and Environmental  Analysis,
     Arlington, Virginia.   July  27,  1984.   pp.  9-10.
                                   3-20

-------
         4.0  COST OF S02 CONTROL ON RESIDUAL OIL-FIRED MODEL BOILERS

      This chapter presents the results of an analysis of S02 control costs
 for residual  oil-fired model  boilers.   Capital  and annualized costs are
 examined for boilers with no  S02 control  (baseline) and for boilers equipped
 with FGD systems achieving 50 percent, 70 percent, and 90 percent S02
 removal.  Costs  are examined  for several  boiler sizes and for several oil
 sulfur contents.   The boiler  sizes  selected for this analysis are 29, 44,  73
 and 117 MW (100,  150, 250 and 400 million Btu/hr)  heat input.   The 117 MW
 (400 million  Btu/hr) model  boiler is actually two  59 MW (200 million Btu/hr)
 boilers sharing  a  common stack.   This  arrangement  was selected because two
 small  packaged units are less costly than one large field-erected unit.
      Specifications and  prices of residual  oil  delivered  to Region V are
 presented in  Table 4-1.   To maintain consistency with the Industrial  Fuel
 Choice  Analysis Model  (IFCAM), which is used  to project the national  impacts
 of  alternative S02 standards,  the values  in  Table  4-1  are projections  for
 1990  delivered fuel  prices expressed in January 1983  dollars.1  The
 projections ignore the effects of inflation  but assume  that fuel  prices will
 escalate in real terms.   In addition,  the  fuel prices  have  been "levelized"
 over  the life of the  boiler (i.e.,  an  equivalent constant  price has  been
 calculated after allowing for escalation  and  the time value  of money.
      In  this analysis, it is  assumed that all boilers require the  use of low
 excess  air operation  (LEA) for NOX  control.   Costs are  also  presented for a
 model boiler using  staged combustion air  (SCA) operation  in  addition to LEA
 when firing a high  sulfur content oil   since high sulfur oil may also contain
 high nitrogen levels.  It is also assumed that no add-on particulate matter
 controls are required.
     The basis of  the FGD costs presented in this report for residual
 oil-fired boilers  is sodium scrubbing  FGD.  Sodium scrubbing FGD was
 selected because  it is the most widely  used in residual oil applications and
 it is generally the least costly  method of control.  Double alkali FGD is
more costly both  on a capital  and an annualized basis.  And dry scrubbing
 FGD is not considered applicable  to  residual oil-fired applications.   Also
                                     4-1

-------
                   TABLE 4-1.  SPECIFICATIONS FOR RESIDUAL OILS DELIVERED TO  REGION  V AND  REGION VIII3
I
IV)

Sulfur Content
Ib S02/10° Btu
Region V:
0.3
0.8
1.6
3.0
Region VIII:
0.3
0.8
1.6
3.0

Fuel Price
$/kJ ($/10D Btu)

5.69 (6.01)
5.33 (5.63)
4.97 (5.25)
4.68 (4.94)

5.37 (5.67)
5.01 (5.29)
4.67 (4.93)
4.36 (4.60)

Heating Value
U/kg (Btu/lb)

43,000 (18,500)
43,000 (18,500)
43,000 (18,500)
43,000 (18,500)

43,000 (18,500)
43,000 (18,500)
43,000 (18,500)
43,000 (18,500)
Ash
Content
Wt. %

0.10
0.10
0.10
0.10

0.10
0.10
0.10
0.10
Nitrogen
Content
Wt. %

0.04
0.12
0.23
0.44

0.04
0.12
0.23
0.44
         Reference  1.

        }1990  levelized  fuel  price in 1983 $.

-------
 the FGD costs are based on an industrial  boiler located in Region V.   Unlike
 coal  all  ten EPA regions have the same residual oils available.  Thus the
 only difference in FGD costs in Region V  and any other region can be
 attributed to fuel cost.  Therefore, the  cost impact of SCL control  compared
 to the regulatory baseline in Region V is representative of impacts
 nationwide.

 4.1  REGION  V COSTS

 4.1.1   Capital  Costs
     Table 4-2  presents  the  capital  costs of S02 control  for 29,  44,  73,  and
 117 MW (100,  150,  250  and  400 million  Btu/hr)  model  boilers.   The capital
 costs  of  FGD  for all oil types and  percent  removal  requirements are designed
 to achieve 90  percent  S02  removal on a  3.0  Ib  S02/106  Btu  oil.  In other
 words,  it  is  assumed that  a  boiler  owner/operator will  design  an  FGD  for
 maximum fuel-firing flexibility.

 4.1.2   Annual O&M  Costs
     Table 4-3  presents  the  annual O&M  costs of  S02  control  for residual
 oil-fired  model  boilers  in Region V.  Table 4-3  shov-s  that  fuel costs
 represent  80 to  90 percent of  the total O&M costs at the baseline and for
 each FGD alternative.  In other words,  a  scrubbing requirement has little
 impact  on  the total system costs since  fuel costs represent  such a large
 percentage of the  total  costs.

4.1.3  Annualized  Costs
     Table 4-4 shows that,  at  the baseline and for each FGD alternative,
total annual ized costs decrease with increasing fuel sulf-jr content.   Table
4-4 also shows that it is less costly to scrub a 3.0 Ib S02/106 Btu oil  than
it  is to fire a 0.3 Ib S02/106 Btu oil  uncontrolled for all boiler sizes
examined.   Furthermore, as  boiler size increases, the premium price of a 0.3
Ib S02/10  Btu oil becomes  even more important and scrubbing a 0.8 Ib
S02/10  Btu oil becomes less costly  than firing a 0.3 Ib S02/106 Btu  oil
uncontrolled.
                                     4-3

-------
   TABLE  4-2.   CAPITAL  COSTS  OF  S0?  CONTROL  FOR  MODEL  BOILERS  IN  REGION  Va

                            ($1000)  (JAN  1983  $)
Boiler Size/
Coal Classification Basel ineb
29 MW
44 MW
73 MW
117 m
(100 Mill
(150 Mill
(250 Mill
f (400 Mil
ion Btu/hr) 2,545
ion Btu/hr) 3,278
ion Btu/hr) 4,579
lion Btu/hr) 7,732
With FGDC
3,104
3,973
5,500
8,998
Includes applicable monitoring costs as shown in Table 2-15.



Baseline costs include PM/NO  control  costs.
                            A


Based on sodium scrubbing FGD.
                                   4-4

-------
                            TABLE 4-3.  OPERATING AND MAINTENANCE COSTS OF S0? CONTROL FOR MODEL BOILERS IN REGION Va

                                                               ($1000/YR) (JANUARY 1983 $)

Baseline5
Fuel Other
29

44

73

117

MW (100 x 106 Btu/hr
0.3 Ib S00/10° Btu
0.8 Ib S0,/10?. Btu
1.6 Ib S0,/10b Btu.
3.0 Ib SO;/10£ Btud
3.0 Ib S0£/10b Btue
MW (150 x 10b Btu/hr)
0.3 Ib S0y/10° Btu
0.8 Ib S0,/lo£ Btu
1.6 Ib SOy/lO? Btu.
3.0 Ib SO^/10?. Btud
3.0 Ib SOg/lO6 Btue
MW (250 x 10b Btu/hr)
0.3 Ib S0,/10° Btu
0.8 Ib S0;/10? Btu
1.6 Ib SOp/lO? Btu.
3.0 Ib S0,/10b Btud
3.0 Ib SO^/106 Btue
MW (400 x 10b Btu/hr)
0.3 Ib S0?/10° Btu
0.8 Ib SO^/IO? Btu
1.6 Ib S0;/10b Btu.
3.0 Ib S05/10* Btud
3.0 Ib S0£/10b Btue

2,847
2,667
2,487
2,340
2,386

4,241
4,000
3,730
3,510
3,579

7,118
6,667
6,217
5,850
5,965

11,388
10,668
9,948
9,360
9,544

521
521
521
521
541

652
623
623
622
651

816
817
817
817
862

1,368
1,368
1,368
1.370
1,442
Total

3,368
3,188
3,008
2,861
2,927

4,893
4,623
4,353
4,132
4.230

7,934
7,484
7,034
6,667
6,827

12,756
12,036
11,316
10,730
10,986
Fuel

2,847
2,667
2,487
2,340
2,386

4,241
4.000
3,730
3,510
3,579

7,118
6,667
6,217
5,850
5,965

11,388
10,668
9,948
9,360
9,544
50% FGDC
Other Total

677
693
717
760
780

801
825
861
926
954

1,035
1,075
1,136
1,243
1,288

1,635
1,696
1,794
1,967
2,040

3,524
3,360
3,204
3,100
3,166

5,072
4.825
4,591
4,436
4,533

8.153
7,742
7,353
7,093
7,253

13,023
12,364
11,742
11,328
11,584
Fuel

2,847
2,667
2,487
2,340
2,386

4,241
4,000
3,730
3,510
3,579

7,118
6,667
6,217
5,850
5,965

11,388
10,668
9,948
9,360
9,544
70% FGOC
Other Total

673
694
729
789
809

828
831
883
973
1,001

1.045
1,099
1,185
1,335
1,380

1,650
1,735
1,873
2,115
2,187

3,520
3,361
3,216
3,129
3,195

5,069
4,831
4,613
4,483
4,580

8,163
7,766
7,402
7,185
7,345

13,038
12,403
11,821
11,475
11,731
Fuel

2,847
2,667
2,487
2,340
2,386

4,241
4,000
3,730
3,510
3,579

7,118
6,667
6,217
5,850
5,965

11,388
10,668
9,948
9,360
9,544
90% FGDC
Other Total

677
704
748
826
846

834
846
912
1,028
1,056

1,054
1,124
1,234
1,427
1,472

1,664
1,775
1,951
2,263
2,335

3,524
3,371
3,235
3,166
3,232

5,075
4,846
4,642
4,538
4,635

8,172
7,791
7,451
7,277
7,437

13,052
12,443
11,899
11,623
11,879
a , , .... 	 _______ 	 ___
 Baseline costs include NO  control costs.

 Based on the use of sodium scrubbing FGD.

 N0x control = Low Excess Air
p
 N0x control = Staged Combustion Air

-------
                              TABLE 4-4.  ANNUAL1ZED COSTS OF S02 CONTROL FOR RESIDUAL OIL-FIRED MODEL BOILERS  IN  REGION  Va>b

                                                               (SlOOO/YR)  (JANUARY 1983 $)
 I
cn
' 	 ' 	 — 	 __ 	 	 	 	 	 	

29
44
73
117


MW (100
0.3 Ib
0.8 Ib
1.6 Ib
3.0 Ib
3.0 Ib

x 106 Btu/hr)
SO,/ 10° Btu
SO,/ 10* Btu
SO,/ 10* Btu,
SO,/ 10* BtuT
SO^/106 Btu9
MW (150 x 106 Btu/hr)
0.3 Ib SO,/ 10? Btu
0.8 Ib S0l;/10° Btu
1.6 Ib SO,/ 10° Btu,
3.0 Ib SO,/ 10* Btuf
3.0 Ib SO^/IO0 Btu9
MW (250 x 106 Btu/hr)
0.3 Ib S0,/10^ Btu
0.8 Ib SO,/ 10* Btu
1.6 Ib S0£/ 10? Btu,
3.0 Ib SO,/ 10* Btuf
3.0 Ib SO^/106 Btu9
MW (400
0.3 Ib
0.8 Ib
1.6 Ib
3.0 Ib
3.0 Ib
x 106 Btu/hr)
S0?/10° Btu
SOp/10? Ctu
SO,/ 10° Btu,
SO,/ 10* BtuT
SO^/IO0 Btu9
Baseline0
3,767
. 3,585
3,404
3,256
3,354
5,408
5,136
4,864
4,642
4,782
8,671
8,217
7,763
7,393
7,619

13,994
13,268
12,542
11,950
12,316
50| FGDd
252
277
311
363
362
295
332
383
461
461
351
414
500
628
628

446
545
683
889
889
4
3
3
3
3
5
5
5
5
5
,019
,862
,715
,619
,716
,703
,468
,247
,103
,243
9,022
8,631
8,263
8,021
8,247


14,440
13,813
13,225
12,839
13,205
70% FGDd
SOZC Total
256
287
331
400
400
301
347
414
517
518
361
439
550
723
723

461
586
764
1,040
1,040
4,023
3,872
3,735
3,656
3,754
5,709
5,483
5,278
5,159
5,300
9,032
8,656
8,313
8,116
8,342

14,455
13,854
13,306
12,990
13,356
S02
260
297
351
438
438
307
362
444
574
574
370
464
601
817
817

477
626
804
1,191
1,191
FGDd
Total
4
3
3
3
3
5
5
5
5
5
,027
,882
,755
,694
,792
,715
,498
,308
,216
.356
9,041
8,681
8,364
8,210
8,436

14,
13,
13,
13,
13,

471
894
386
141
507
a, , . . , ~ — — 	 — — 	
                       Includes FGD malfunction costs as discussed in  Section 2.3.2.


                       Baseline costs include NO^ control  costs.


                       Based on the use of sodium scrubbing  FGD.

                      p

                       Cost  of SO^  control  is incremental  over baseline cost.


                       N0x Control  =  Low Excess  Air.


                      9NOx Control  =  Staged  Combustion Air.

-------
4.3  REFERENCES

1.
Projected Environmental, Cost and Energy Impacts of Alternative SO,
NSPS for Industrial Fossil Fuel-Fired Boilers.  (Prepared for U. S7
Environmental  Protection Agency).  Energy and Environmental  Analysis,
Arlington, Virginia.  July 27, 1984.   pp. 9-10.
                                    4-7

-------
APPENDIX A
   A-l

-------
TABLE A-l.   SUMMARY OF COSTING ALGORITHMS
Routine
Codea
SPRD
PLVR
RNG1
RNG2
FF
DA
SOD
DS
LEA
SCA
SCA
FLW
Algorithm Type
Boiler, spreader stoker, watertube,
field-erected
Boiler, pulverized coal, watertube,
field-erected
Boiler, residual/natural gas, watertube,
package
Boiler, residual/natural gas, watertube,
field-erected
Fabric filter applied to coal-fired boiler
Dual alkali FGD system without PM removal
Sodium scrubbing FGD system
Lime spray drying (dry scrubbing) FGD system
Low excess air applied to all fuel types
Staged combustion air applied to pulverized
coal-fired boiler
Staged combustion air applied to residual
oil-fired boiler
Calculates flue gas flowrates for all
fuel types
Boiler Size
Applicability
(10° Btu/hr)
60 - 200
^200
30 - 200
200 - 700
30 - 700
All sizes
All sizes
All sizes
All sizes
>150
30 - 250
All sizes
Table
A-4
A-5
A-6
A-7
A-8
A-9
A- 10
A-ll
A-12
A-13
A-14
A-15
                  A-2

-------
               TABLE A-2.   NOMENCLATURE USED IN COST ALGORITHMS
 1.    Capital  Costs  (1978  dollars)

      EQUP   =   Equipment
      INST   =   Installation
      TD     =   Total  Direct
      IND    =   Indirect  (Engineering,  Field,  Construction,  Start-up,
                 and  other miscellaneous  costs)
      TDI    =   Total  Direct  and  Indirect
      CONT   =   Contingencies
      TK     =   Turnkey
      LAND   =   Land
      WC     =   Working Capital
      TOTL   =   Total  Capital

 2.    Operation and Maintenance  Costs3  (1978  dollars/year)

      DL     =   Direct Labor
      SPRV   =   Supervision Labor
      MANT   =  Maintenance Labor
      SP     =  Spare  Parts
      ELEC   =   Electricity
      UC     =  Utilities and Chemicals
      WTR    =  Water
      SW     =  Solid Waste Disposal
      SLG    =  Sludge Waste Disposal
      LW     =  Liquid Waste Disposal
      SC     =  Sodium Carbonate
      LMS    =  Limestone
      LIME  =  Lime
      FUEL  =  Fuel
     TDOM  =  Total  Direct Operation and Maintenance
     OH    =  Overhead
     TOTL  =  Total  Operation and Maintenance

3.    Annualized Costs (1978  dollars/year)

     CR    =  Capital Recovery
     WCC    =  Working Capital  Charges
     MISC   =  Miscellaneous  (G & A, Taxes,  Insurance)
     TCC    =  Total  Capital  Charges
     TOTL   =  Total  Annualized Charges
                                     A-3

-------
                            TABLE  A-2.   (Continued)
4.   Boiler  Specifications

     Q     =  Thermal  Input  (106 Btu/hr) MW)b
     FLW   =  Flue Gas  Flowrate (acfm)  (mVs)D
     CF    =  Capacity  Factor  (-)
     BCRF  =  Capital  Recovery Factor for Boiler System

5.   Fuel Specifications

     FC    =  Fuel Cost (S/106 Btu)  ($MJ)b  .
     H     =  Heating Value  (Btu/lb) (KJ/kg)D
     S     =  Sulfur Content (percent by weight)
     A     =  Ash Content (percent by weight)
     N     =  Fuel Nitrogen  Content  (percent by weight)

6.   SO^ Control Specifications

     UNCS02 = Uncontrolled S02 Emissions (lb/106 Btu) (ng/J)b
     CTRS02 = Controlled S02 Emissions  (lb/106 Btu) (ng/J)D
     EFFS02 = S02 Removal  Efficiency (percent)
     CRFS02 = Capital Recovery Factor for S02 Contro"! System

7.   PM Control  Specifications

     UNCPM =  Uncontrolled PM Emissions (lb/106 Btu) (ng/J)b
     CTRPM =  Controlled PM Emissions (lb/105 Btu) (ng/J)D
     EFFPM =  PM Removal Efficiency  (percent)
     CRFPM =  Capital Recovery Factor for PM Control System

8.   Cost Rates

     ELEC  =  Electricity Rate ($/kw-hr)  . .
     WTR   =  Water Rate  ($/l(T gal) r$/nr)°
     ALIME =  Lime Rate ($/ton) ($/kg)°
     ALS   =  Limestone Rate ($/ton)  ($/kg)
     SASH  =  Sodium Carbonate Rate  (S/ton) ($/kg,)D
     SLDG  =  Sludge Disposal Rate (S/ton)  ($/kg)
     — <_ i^ u     ^ i ^ vi ^ \_ L-flopwOUI t\UUt \ •*> f \*\JU J  '-J/f\UJ     i
     SWD   =  Solid Waste Disposal Rate ($/toni (S/kg)
     LWD   =  Liquid Waste Disposal Rate (S/IQ-3 gal) ($/mJ)D
     DLR   =  Direct Labor Rate ($/man-hr)
     SLR   =  Supervision Labor Rate  ($/man-hr)
     AMLR  =  Maintenance Labor Rate  (S/man-hr)
                                     A-4

-------
10.
                           TABLE A-2.  (Continued)
9.   Miscellaneous
     SI
     S2
     LF
      =  Heat Specific Sulfur Removal (kg S/1000 MJ)
      =  Time Specific Sulfur Removal (kg S/hr)
      =  Labor Factor (-)d
NO  Control
Specifications
     FFAC  =  F-Factor (dscf/106  Btu)
     UNCEA =  Uncontrolled Excess Air  (%)
     CTREA =  Controlled Excess Air (%)
     PRCT  =  Percent Flame Extension  Due  to  Staging
     DELT  =  Change  in  the flue  gas exit  temperature
                elimination of the air preheater  or a
                in  its effectiveness.
                                                 due  to  the
                                                 reduction
     CRFNOx  =  Capital  Recovery  Factor  for  NO   Control  System

 Cost categories  are  not  mutually  exclusive.   For example, some costing
 routines  include electricity and  waste  cost  in the utilities category
 while  other calculate  these cost  separately.

 FGD  algorithms use metric units.
 (-) factor presented as fraction not as percent.
                                   A-5

-------
             TABLE A-3.  CALCULATIONS COMMON TO COST ALGORITHMS
1.   Capital Costs

          EQUP + INST = TDa.
          IND  = 0.333 * TDD
          TDI  = TO + IND
          CONT = 0.20 * TDI
          LAND = $4000 pulverized coal boilers
               = $2000 all other boilers
          WC   = 0.25 * (TDOM - Fuel) + 0.0833 (Fuel)d
          TOTL = TK + LAND + WC

2.   Operation and Maintenance Costs

          FUEL = CF * Q * FC * 8760
          TDOM = Sum of all O&M Costs other than OH
          OH   = 0.30 * DL + 0.26 * (DL + SPRV + MANT + SP)
          TOTL = TDOM + OH

3.   Annualized Costs

          CR   = CRF * TK
          WCC  = 0.10 * WC
          MISC = 0.04 * TK
          TCC  = CR + WCC + MISC
          TOTL = TCC + TOTL O&M Costs

4.   Labor Factors

          LF   = 1 if CF > 0.7
          LF   = 0.5 + 2.5 * (CF - 0.5) if 0.5 < CF < 0.7
          LF   = 0.5 if CF < 0.5
 FGD system cost algorithms compute TD without prior computation of EQUP and
 INST

 Some algorithms compute IND explicitly as  a  function of boiler and/or
 control device specifications.

 Only boilers have costs assumed for land.

 For boilers, assume a 3-month supply of all  working capital  components
 except fuel  which will  have a 1-month supply.  For control  devices,  working
capital is 25% of total  direct operating and  maintenance costs.
                                    A-6

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          TABLE A-4.  COST EQUATIONS  FOR FIELD-ERECTED, WATERTUBE
                           SPREADER-STOKER BOILERS


                           (60-200 x  106 Btu/hr)1
Routine Code:  SPRD


Capital Costs:


     EQUP



     INST




     IND





Anmj_a1  Costs :a


     DL


     SPRV


     MANT


     SP


     DC

     SW
                  Q
                                            -.35
   7.5963  x  10"° Q +  4.7611 x  10
 8.9174 x  10"8 Q + 5.5891 x 10"5
5   11,800
                                       H
                                           -.35
    11,800



      H   -.35
1.2739 x 10"7 Q + 7.9845 x 10"5    11,800





LF (202,825 + 5.366 Q2)  (0.767)


LF (136,900) (0.767)


LF (107,003 + 1.873 Q2) (0.767)


(50,000 + 1,000 Q) (0.767)


CF (29,303 + 719.8 Q) (0.848)
                             A     Q    0.9754
0.38 CF (547,320 + 66,038 In H)  ~150~         (0.848)
 The  multipliers  used,  0.767  and  0.848,  are  included  in  determining  annual
 O&M  costs.   These  factors  reflect  the economies  of multiple  boilers  at a
 facility (see  Chapter  2).
                                     A-7

-------
           TABLE A-5.  COST EQUATION FOR FIELD-ERECTED,  WATERTUBE
                        PULVERIZED COAL-FIRED BOILERS

                            (>200 x 106 Btu/hr)1
Routine Code:  PLVR

Capital Costs:

     EQUP      =    (4,926,066 - 0.00337  H2)/_JM  °'712
                                            \~mrJ
     INST

     IND



Annual  Costs:'

     DL

     SPRV



     MANT

     SP

     UC

     SW
1,547,622.7 + 6,740.026  Q - 0.0024133 H

1,257,434.72 + 6,271.316 Q - 0.00185721
LF (244,455 + 1,157 Q)  (0.767)


LF (243,985 - 20'636'709\(0.767)
                   Q    I


LF (-1,162,910 + 256,604 In  Q)  (0.767)

(180,429 + 405.4 Q) (0.767)


CF (189,430 + 1476.7 Q)  (0.848)

0.38 CF (-641.08 + 70'679'828A^  /   Q
                        H      /  ^  200  /
1.001
      (0.848)
 The multipliers  used,  0.767  and 0.848, are included in determining annual
 O&M costs.   These  factors  reflect  the economies of multiple boilers at a
 facility (see Chapter  2).
                                     A-8

-------
        TABLE A-6.  COST EQUATIONS  FOR PACKAGE, WATERTUBE DUAL-FIRED
                    BOILERS FIRING  RESIDUAL OIL/NATURAL GAS


                           (30-200  x 106 Btu/hr)1
Routine Code:  RNG1

Capital Costs


     EQUP      =    15,925 Q-775


     INST      =    54,833 Q°'364


     IND       =    16,561 Q-613

Annual  Costs3

                                                       (0.799)
               =  LF \8,135 x 10'4 Q - 1.585 x 10"2


     SPRV      =  LF (68,500) (0.799)


     MANT      -  .cM,267,000\
     f MT         Lf\	g	j  + 77,190)  (0.799)


     SP        =  7,185  Q°-4241 (0.799)


                    — (202 Q + 24,262)  (0.845)
     UC        =   .55
 The multipliers  used, 0.799 and 0.845, are  included  in determining annual
 O&M costs.  These  factors  reflect  the economies of multiple boilers at a
 facility  (see  Chapter 2).
                                     A-9

-------
           TABLE A-7.  COST EQUATIONS FOR FIELD-ERECTED, WATERTUBE
                       RESIDUAL OIL/GAS-FIRED BOILERS

                          (200 - 700 x 106 Btu/hr)1
Routine Code:  RNG2

Capital Costs:

     EQUP      =    1,024,258 + 8,458 Q

     INST      =    579,895 + 5,636 Q

     IND       =    515,189 + 4,524 0
Annual  Costs:
             a
     DL        =    LF (173,197 + 734 Q)  (0.799)

                       /           30,940,QOO\
     SPRV      =    LF (263,250 -      QJ(0.799)

     MANT      =    LF (32,029 + 320.4 Q)(0.799)

     SP        =    (50,000 + 250 Q)  (0.799)

     UC        =    CF (43,671.7 + 479.6  Q)  (0.845)
 The multipliers used, 0.799 and 0.845  are included  in  determining  annual
 O&M costs.   These factors reflect the  economies  of  multiple  boilers  at a
 facility (see Chapter 2).
                                    A-10

-------
          TABLE A-8.  COST EQUATIONS FOR FABRIC FILTERS APPLIED TO
                             COAL-FIRED BOILERS

                          (30 - 700 x 106 Btu/hr)2
Routine Code:  FF

Capital Costs:

     EQUP      =    8.340 (FLW)0-966

     INST      =   -1,506,523 + 168,531 In (FLW)

     IND       =    24.990 (FLW)0'821


Annual  Costs:

     DL        =    LF (10,150 + 106 Q)                if  30 < Q < 400

                    LF (52,600)                        if 400 < Q < 700

               =0                                  if  30 , Q < 400

                    LF (17,000)                        if 400 < Q < 700

               =    LF (14,840 + 0.106 Q2)              if  30 < Q < 400

                    LF (32,000)                        if 400 < Q < 700

     SP        =    0.278 (FLW)0-997

     ELEC       =    (CF_} 0>74Q (FLW)0.953



     SW        =     (§75-) 39.42 Q  (UNCPM -  CTRPM)
                                   A-ll

-------
                 TABLE A-9.  COST EQUATIONS FOR DUAL ALKALI
                       FGD SYSTEMS WITHOUT PM REMOVAL3
Routine Code:  DA

Capital Costs:b>c

     TD   =    35,500 (FLW)0-61 + 83,118 (S2)°*39

     TK   =    1.48 TD + 93,600              if Q -<58.6

               1.48 TD + 130,000             if Q >58.6

Annual Costs:b>c

     DL   =    8,760 * DLR * LF

     SPRV =    1,314 * DLR * LF

     MANT =    0.08 TD * LF

     ELEC =    8,760 CF * ELEC [2.94 FLW (0.121 SI + 0.861)]

     WTR  =    8,760 CF *-WTR [0.197 FLW + 0.30]*

               [0.977 + 0.119 In SI]

     SW   =    8,760 CF * SWD [7.73 S2 - 3.34]

     SC   =    8,760 CF * SASH [1.13 FLW - 2.06]*

               [0.41 - 0.70 (0.24 - SI)1'74]           if SI < 0.24

               8,760 CF * SASH [1.13 FLW - 2.06]*

               [0.70 (SI - 0.24)1'74 + 0.41]           if SI > 0.24

     LIME =    8,760 CF * ALIME [1.61 S2 - 0.85]


 FGD algorithms use metric units as noted in Table A-2.

bSl = S * EFFS02 * 100/H.

CS2 = SI * Q * 3.6
                                     A-12

-------
         TABLE  A-10.   COST  EQUATIONS  FOR  SODIUM  SCRUBBING  FGD  SYSTEMS3








 Routine  Code:   SODb'c



 Capital  Costs:d



      TK,.   =     39,900 (FLW)0'585 + 1,370  (S2)0'727



                26,500
s

                  0.39
     TK    =    TK  + TK
                 s     w


Annual Costs:



     DL    =    1,100*DLW



     SPRV  =    165*SPRV



     MANT  =    0.08*TK



     ELECS=    8,760*CF*ELEC [3.61(FLW) - 2.15]



     ELECw=    8760*CF*ELEC [0.23(S2) + 1.32]



     ELEC  =    ElEC  + ELEC
                   s       w


     WTR   =    8760*CF*WTR [0.600(FLW) - 2.08] [0.527(31) + 0.364]



     SC    =    8760*CF*SASH [3.33(32) + 0.082]



     LW    =    8760*CF*LWD [0.0616(52) + 0.298]6





 All FGD algorithms are in metric units as noted in Table A-2.



bSl = S*EFFS02*100/H



CS2 = S1*Q*3.6



 The subscript "s"  denotes scrubber costs  and the subscript "w"  denotes

 wastewater costs.

a

 This equation assumes  that the wastewater stream has a total  dissolved solids

 concentration (TDS)  of 5.7.
                                      A-13

-------
               TABLE  A-ll.   COST  EQUATIONS  FOR  LIME  SPRAY  DRYING
                         FGD SYSTEMS  WITH PM  REMOVAL3
 Routine Code:  DS

 Capital Costs:b'°

     TD   =    Cl + C2 + C3 + C4

     Cl   =    55,600 (FLW)0'51

     C2   =    32,900 (S2)°'4°

     C3   =    18,400 + 8,260 (FLW) + 6,420 (FLW)0'50

     C4   =    256,320 [Wl + W2]°'63

     Wl   =    Q * S/H * [0.626 EFFS02 - 79.9 In (1-EFFS02/100) - 10.1]

     W2   =    3.96 x 10"6Q (UNCPM - CTRPM)

     TK   =    1.48 TD + 110,400                  if Q <_ 58.6

               1.60 TD                            if Q > 58.6

Annual  Costs, $/Year

     DL   =    8,760 * DLW * LF                  .

     SPRV =    1,314 * SPRV * LF

     MANT =    [0.08 [55,600 (FLW)0'51 + 32,900(S2)°'40] + Ml + M2] * LF

     Ml   =    834 FLW

     M2   =    MANT * (4.04 FLW + 1,086)

     ELEC =    8,760 CF * ELEC [6.14 (FLW)0'82]

     WTR  =    8,760 CF * WTR [0.144 FLW]

     SW   =    8,760 CF * SWD [W3 + W4]

     W3   =    (Q * S/H)  * [569 EFFS02 - 72,700  In  (1-EFFSQ2/10C)  - 9,230]

     W4   =    3.6 x 10"3Q (UNCPM - CTRPM)

     LIME =    8,760 CF * ALIME * (-48,500) *  Q  * S/H * [In (1-EFFS02/100) +
               0.127]


 FGD algorithms use metric units as noted in Table  A-2.

bSl = S * EFFS02  * 100/H.

cdS2 =  SI * Q * 3.6.


                                      A-14

-------
                     TABLE A-12.  COST EQUATIONS FOR LOW EXCESS AIR
                              APPLIED TO  INDUSTRIAL BOILERS
Routine Code:  LEA

Capital Costs:

     Coal:     EQUIP = 46.22(Q) + 6496
               INST and IND = 21.50(Q) + 1123

     Oil and Gas:  EQUIP = 31.38(Q) + 5185
                   INST and IND = 11.37(Q) + 1161

Annual  Costs:

     SPb   = 0.05 (TK)
     FUEL  = -.00055(FC)(Q)(CF)(FFAC)(UNCEA - CTREA)


 Algorithm assumes  a flue  gas  temperature  of 400°F and  the  ambient  air
   temperature to be 77°F.

 Spare  parts costs  consist  of  the costs  for spare parts, maintenance  labor
   and  maintenance  materials.
                                   A-15

-------
                  TABLE A-13.  COST EQUATIONS FOR STAGED COMBUSTION AIR
                        APPLIED TO PULVERIZED COAL-FIRED BOILERS

                                   (>150 x 106 Btu/hr)
Routine Code:  SCA

Capital Costs:

     EQUIP = 65 (Q) + 13000
     INST and IND = 60 (Q) + 2000

Annual  Costs:

     SPa   = 0.05 (TK)
     ELEC  = 105 (Q)(CF)
     FUEL  = 21.9 (FC)(Q)(CF)


  Spare parts costs consist of the costs for spare parts,  maintenance labor,
    and maintenance materials.
                                     A-16

-------
            TABLE A-14.   COST  EQUATIONS  FOR  STAGED  COMBUSTION  AIR  APPLIED  TO
                  RESIDUAL OIL-FIRED  BOILERS (fuel  N  >0.23  wt.  percent)

                                  (30  - 250 x 106  Btu/hr)
Routine Code:  SCA

Capital Costs:

     TK = 1000 [(Q)(PRCT) 0.0536 + 2.56 (PRCT)]

where:

     PRCT = 30; when N j>0.6
     PRCT = 81.1(N) - 18.7 when 0.23 
-------
                TABLE A-15.  FLUE GAS FLOWRATE ALGORITHMS3'b
Natural Gas
     FLW  =  8.14 x 106 Q/H   (non-LEA)
     FLW  =  6.81 x 106 Q/H   (LEA)
Distillate and/or Residual
     FLW  =  0.189 Q H°'77    (non-LEA)
     FLW  =  0.156 Q H°'77    (LEA)
Coal (Stoker)
     FLW  =  EXP [8.14 x 10"5H]   *  1.84 x 106 Q/H          (non-LEA)
     FLW  =  EXP [8.14 x 10'5H]   *  1.66 x 106 Q/H          (LEA)
Coal (Pulverized)
     FLW  =  1.62 x 105 * EXP [8.03 x 10"5 H] * Q/H         (LEA)
     FBC (Pulverized Coal)
        FLW = 297.82Q
 LEA and non-LEA conditions are  defined as follows:
     NG and oil:    LEA - 15% excess air
                    Non-LEA - 40% excess air
     Coal:           LEA - 35% excess air for stokers  and  30%  excess  air
                            pulverized coal.
                    Non-LEA - 50% excess air
 Flue gas  flowrate  in  acfm.
                                    A-18

-------
APPENDIX 8
    B-l

-------
TABLE B-l.  COST ESCALATION FACTORS
Capital Costs
Capi tal












Operating and
0 & M Co:













Cost Escalation Factor


July 1978
Jan. 1979
July 1979
Jan. 1980
July 1980
Jan. 1981
July 1981
Jan. 1982
July 1982
Jan. 1983
Maintenance Costs
st Escalation Factor ~


July 1978
Jan. 1979
July 1979
Jan. 1980
July 1980
Jan. 1981
July 1981
Jan. 1982
July 1982
Jan. 1983

_ index for update year
index for July 1978
CE Plant Index3
219.2
229.8
239.3
247.5
263.6
276.6
303.1
311.8
314.2
315.5

index for update year
index for July 1978
Producer Price Index
210.1
220.0
237.5
260.6
276.2
291.5
306.2
311.8
312.8
313.9
                B-2

-------
               TABLE B-l COST ESCALATION FACTORS (Continued)
Economic Indicators.   Chemical  Engineering.   85  (23):  7,  October  23,  1978;
85_ (11): 7, May 8, 1978; 86_ (24):  7, November 5,  1979;  86 (10): 7,
May 7, 1979; 87 (23):  7, November  17, 1980;  87 (9):  7,  May  5,  1980;
88 (23): 7, November  16, 1984;  88  (10):  7, May 18,  1981;  89  (23): 7,
November 15, 1982; 89  (10):  7,  May 17,  1982;  90  (24):  7,  November 28,
1983; 90 (11):  7,  May  30, 1983.               ~

BLS Producer Price Index.  All  Industrial Commodities.  File 176,
Dinlog Information Services,  Inc.   July  26,  1984  update.
                                   B-3

-------
TECHNICAL REPORT DATA
(Please read Instructions on the reverse before completing)
1.
4.
7.
9.
12
1b
Hm.*gO/3-85-011
TITLE AND SUBTITLE
Industrial Boiler S02 Cost Report
AUTHOR(S)
J.H. laughlin, III, J.A. Maddox, & S.C. Margerum
PERFORMING ORGANIZATION NAME AND ADDRESS
Radian Corporation
3200 E. Chapel Hill Road/Mel son Highway
Research Triangle Park, North Carolina 27709
• SEONS.ORING AGENCY NAME AND ADDRESS
Office of Air Quality Planning and Standards
U. S. Environmental Protection Agency
Research Triangle Park, North Carolina 27711
3. RECIPIENT'S ACCESSION NO.
5. REPORT DATE
6. PERFORMING ^^ATIO^^DE
8. PERFORMING ORGANIZATION REPORT N
10. PROGRAM ELEMENT NO.
11. CONTRACT/GRANT NO.
68-02-3816
13. TYPE OF REPORT AND PERIOD COVERE
14. SPONSORING AGENCY CODE
EPA/200/04
SUPPLEMENTARY NOTES 	 — 	 ~~
Project Officer - Dale Pahl , OAQPS/ESED, MD-13
                                                                                  '
                                  KEY WORDS AND DOCUMENT ANALYSIS
                   DESCRIPTORS
                                                 b.lOENTIFIERS/OPEN ENDED TERMS
                                                                              c.  COSATI Field/Group
   S02 Emissions
   Coal Air  Pollution
   Industrial  Boilers
   Pollution  Control Costs
   Fuel Standards
   Emission Standards
   Flue Gas Desulfurization
Coal
Air  Pollution  Control
                                                 19. SECURITY CLASS (This Report)
                                                                              21. NO. OF PAGES
   Unlimited
                                                 20 SECURITY CLASS (This pagej
                                                    Unclassified
                         22. PRICE
EPA Form 2220-1 (Rev. 4-77)   PREVIOUS  EDI TION i s OBSOLETE

-------
U.S. Environmental Protection  Agency
Region V,  Library
230 South Dearborn Street
Chicago, Illinois  60604

-------