United States
                   Environmental Protection
                   Agency
 Air and Energy Engineering
 Research Laboratory
 Research Triangle Park NC 27711
                   Research and Development
 EPA/600/S7-85/006 Sept. 1985
&ERA         Project  Summary
                   Economics of Nitrogen
                   Oxides,  Sulfur  Oxides,  and
                   Ash  Control  Systems for
                   Coal-Fired Utility Power  Plants
                   J. D. Maxwell and L R. Humphries
                     An EPA-sponsored economic evalua-
                   tion was made of three processes to
                   reduce NOX, SO2, and ash emissions
                   from coal-fired utility power plants;
                   one based on a 3.5% eastern bitumi-
                   nous coal; and the other two, on 0.7%
                   western subbituminous coal. NOX con-
                   trol is based on an 80% reduction from
                   current new source performance stan-
                   dards (NSPS); S02 and fly ash control
                   are based on meeting the current
                   NSPS. Selective catalytic reduction
                   (SCR) is used for NOX control with both
                   coals. Limestone scrubbing and a cold-
                   side electrostatic pradpitator (ESP) are
                   used with the 3.5% sulfur coal. Lime
                   spray dryer flue gas desurfurization
                   (FGD) and a  baghouse for particulate
                   collection are used with one 0.7% sulfur
                   coal; and limestone scrubbing and a
                   hot-side ESP, with the other. The eco-
                   nomics consist of detailed breakdowns
                   of the capital investments and annual
                   revenue requirements. For systems
                   based on a 500-MW power plant, capi-
                   tal investments range from  $167 to
                   $187 million (333 to 373 $/kW) and first-
                   year annual revenue requirements from
                   $54 to $60 million (29 to 33 mills/kWh).
                   The 3.5% sulfur coal case is highest be-
                   cause of the higher SO2 control costs.
                   The case with the spray dryer and bag-
                   house is marginally lower in cost than
                   that with limestone scrubbing and hot-
                   side ESP. Costs for  NOX control range
                   from 25 to 50% of the total costs,
                   largely because of the high cost of the
                   catalyst. The costs of the overall sys-
                   tems and the relationships of the com-
 ponent costs are complexly interrelated
 because of the interactions of the three
 processes.
  This Project Summary was devel-
 oped by EPA '9 Air and Energy Engineer-
 ing Research Laboratory, Research Tri-
 angle Park,  NC,  to announce key
 findings of the research project that is
 fully documented in a separate report
 of the same title (see Project Report or-
 dering information at back).

 Introduction
  Most NOX emission control  require-
 ments now in force are being met  by
 modifications to the boiler combustion
 process, including: staged combustion
 (bias firing, burners out of service, and
 overfire air), flue gas recirculation, low
 excess air, and dual-register burner de-
 signs. Advanced burner and furnace de-
 signs now under development have the
 potential to provide significantly lower
 NOX emissions than today's standards.
 These new combustion systems include
 fuel-staging and after-burning. How-
 ever, these new designs are still several
 years from commercial  availability. If
 stricter regulations were adopted in the
 near future, these combustion modifica-
 tion methods would not—at least for
 several years—be adequate, and flue
 gas treatment would be necessary. The
 most highly developed method of flue
 gas treatment for NOX control is selec-
tive catalytic reduction (SCR) in which
flue gas is treated with ammonia and
passed over a solid catalyst to reduce
the NOX to molecular nitrogen. The

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need for flue gas treatment to meet NOX
emission limits would probably be met
by the  use of SCR processes,  several
variants of which are offered commer-
cially. A generic SCR process, derived
from these commercial  processes, is
therefore used in all three cases.
  Limestone scrubbing remains the
predominant method of flue gas desul-
furization' (FGO), increasingly with pro-
visions to produce gypsum by forced or
natural  oxidation to reduce  waste dis-
posal problems. The use of low-sulfur
coal has, however, led to the rapid
adoption of spray dryer FGD in which
the flue gas is contacted with a fine
spray of absorbent that evaporates to
solid particles in the spray dryer and can
be collected as a  solid.  More -than  a
dozen spray dryer FGD systems  have
been selected  by utilities for low- and
medium-sulfur coal applications in the
last 5 years. This trend is represented by
the use of a lime-based spray dryer sys-
tem in case 2, one of the low-sulfur coal
cases. For case 1, the  high-sulfur coal
case, and  case 3, the other low-sulfur
coal  case,  conventional limestone FGD
systems producing gypsum are used.
  The use of low-sulfur coal has also led
to the adoption of  new methods of fly
ash control because the ash is difficult
to collect in conventional cold-side (af-
ter the  boiler  air heater) electrostatic
precipitators (ESPs) that have served as
the industry standard for many years. In
many such cases, hot-side  (before the
air heater) ESPs have been used be-
cause the  higher ash temperature im-
proves the electrical properties of the
ash that affect the efficiency of collec-
tion. In  both cases, however, strict fly
ash emission regulations (e.g., the 1979
NSPS) strained the capabilities of then-
existing ESP technology, leading to the
rapid adoption of fabric filter baghouses
for fly ash control. Baghouses, which
are proving quite effective, have also
been the predominant choice for use
with spray dryer FGD in  which the fly
ash  and FGD wastes are collected to-
gether.  These uses are represented by
a conventional cold-side ESP in case 1,
a baghouse in case  2, and  a hot-side
ESP  in.case 3.

Process Descriptions
  The base case designs are applied to
a new 500-MW boiler fired with pulver-
ized  coal that  operates 5,500 hr/yr for
30 years. The boiler meets the  1979
NSPS NOX emission requirements by
combustion modifications.  The emis-
sion control systems are designed for
an 80% reduction in these NOX emis-
sions and for reduction of S02 and fly
ash emissions of the 1979 NSPS levels.
The designs upon which the costs are
based include all equipment involved in
the collection  and disposal of wastes,
including a common onsite landfill, and
all boiler modifications—air heater
modifications and larger induced-draft
(ID) fans—made necessary by the pres-
ence of the emission control systems.
Major conditions are shown in  Table 1.
  The SCR systems consist of two trains
of insulated reactors with ash  hopper
bottoms (except in case 3 with an up-
stream ESP) and provisions for chang-
ing catalyst beds. The beds are com-
posed of 0.15- by  0.15-  by  1-m
honeycomb blocks in  metal modules.
Flue gas is ducted from economizer (or
hot-side ESP) outlet and returned to the
air heater. Modifications to  the air
heater to  accommodate ammonia salt
buildup are included. An ammonia stor-
age and handling system  to inject an
ammonia/air mixture in the inlet duct is
provided. An  economizer bypass to
maintain the reactor temperature dur-
ing low-load operation  is included. The
catalyst life is assumed to be  1 year,
              with changes  during scheduled boiler
              outages.
                The limestone FGD systems  consist
              of multiple trains  of spray tower ab-
              sorbers connected to a common inlet
              plenum and discharging to the stack
              plenum. Each train consists of a presat-
              urator, the absorber with a hold tank
              and the associated absorbent recircula-
              tion system (and an oxidation  tank in
              case 1), and a  booster fan. A steam re-
              heater is included in case 1 to provide a
              stack temperature of 175°F. Flue gas is
              bypassed in the low-sulfur coal  case to
              eliminate reheating costs (in this case, a
              less expensive  alternative than  full
              scrubbing at the low removal efficiency
              required). A single slurry preparation
              area supplies the system. The gypsum
              waste is dewatered in a thickener  and
              rotary vacuum filters and trucked 1 mile
              to the  landfill. A spare  absorber train
              and emergency bypasses for half of the
              scrubbed flue  gas are provided in all
              cases. A similar arrangement is used for
              the spray dryer system in case 2, except
              that the baghouse booster fans also
              serve for the spray dryer system.  The
              spray dryers are cylindrical vessels with
              conical bottoms  with  single rotary at-
              omizers. The absorbent slurry consists
Table 1.    Major Design Conditions
                               Case 1
                      Case 2
                       Case3
Coal and boiler conditions
  Coal
  Coal sulfur, % as fired
  Coal ash, % as fired
  Btu/lb, as fired
  Sulfur emitted, % of total
  Fly ash, % of total ash
  NOX emitted, lb/106 Btu"
  Boiler size3, MW
  Heat rate, Btu/kWh

Emission control
  Nox control
  Nox reduction, %

  So2 control
  Absorber trains13
  Bypassed flue gas, %
  SC>2 removal, overall %
  SC<2 removal, absorber %

  fly ash control
  Fly ash removal, %c
   East. bit.
    3.36
     15.1
    11,700
     92
     80
     0.6
     500
    9,500
     SCR
     80

Limestone FGD
      5
      0
     89
     89

 Cold-side ESP
     99.7
  West, subbit.
     0.48
      6.3
     8,200
      85
      80
      0.5
     500
     10,500
     SCR
      80

Lime spray dryer
      4
      12
      65
      73

   Baghouse
     99.9
 West, subbit.
     0.48
     6.3
    8,200
     85
     80
     0.5
     500
    10,500
     SCR
     80

Limestone FGD
      5
     28
     65
     90

 Hot-side ESP
     99.6
a. Based on coal consumption and heat rate.
b. Including one spare train.
c. In collection device, excluding upstream fallout.
'Readers more familiar with metric units are asked to use the conversion factors provided at the end of this
 Summary.

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 of slaked lime and recycled solids from
 the baghouse.
  The ash control systems consist of the
 ESPs or baghouses (two parallel identi-
 cal units), hoppers, conveying systems,
 a bottom ash dewatering system, stor-
 age silos for fly ash, and equipment for
 trucking the waste to the landfill. The
 bottom  ash is  collected in a  conven-
 tional hopper and sluiced to the dewa-
 tering system.  Fly ash is conveyed to
 silos with a vacuum-pneumatic system.
 The mixed fly  ash and FGD waste in
 case 2  is conveyed by a pressure-
 vacuum pneumatic system.

 Economic Procedures
  The economics consist of the capital
 investment in 1982 dollars and the first-
 year and levelized annual  revenue re-
 quirements in 1984 dollars. The annual
 revenue requirements consist of operat-
 ing and maintenance costs plus capital
 charges. The capital charges  are lev-
 elized in both the first-year and levelized
 annual revenue requirements; whereas,
 the  operating and maintenance costs
 are also levelized in the latter.  The lev-
 elizing factor in all cases is 1.886, which
 represents a 6% annual inflation and a
 10% discount rate over the 30-year life
 of the project
  Costs include all those associated
 with the construction and operation of
 the systems, including modifications to
 the boiler air heater and the  incremental
 increase in the boiler ID fans to account
 for the pressure drop in the emission
 control equipment that is not compen-
 sated for by separate booster fans. Con-
 struction and operating costs  of the
 landfill are also included.
  Costs are divided into three sections,
 representing NOX, S02, and  ash control,
 and are further divided into categories
j-epresenting particular unit operations
 within the processes. Where equipment
 or operations serve more than one pro-
 cess (incremental increases in boiler ID
 fans and the common landfill, for exam-
 ple), the  costs are prorated using the
 appropriate factors (pressure drops or
 waste volume, for example). Baghouse
 costs are not prorated, however, be-
 cause of the effect of flue gas volume on
 baghouse costs.

 Results
  Capital investments and annual rev-
 enue requirements are summarized in
 Tables 2 through 5. With the choice of
 processes determined,  at least in part
 by the type of coal, and the costs of the
 individual processes  influenced by
Table 2.
Summary of Capital Investments in $l06a-b

                   	Capital investment, mid-1982 $
                                                    $We
                                  NO,
                                   SO2
Paniculate
Total
Base case, 500 MW, 80% NOX
  removal
    Case 1                         41.9        101.8
    Case 2                         50.1         54.0
    Case 3                         48.1         69.4

Case variation, 200 MW, 80%
  NOX removal
    Case 1                         20.6         58.2
    Case 2                         24.2         31.7
    Case 3                         24.3         41.4

Case variation, 1,000 MW, 80%
  NOX removal
    Case 1                         77.7        175.7
    Case 2                         94.8         97.4
    Case3                         91.2        121.1

Case variation, 500 MW, 90%
  NOX removal
    Case 1                         48.2        101.9
    Case 2                         55.5         54.0
    Case 3                         53.9         69.4
                                                 42.9
                                                 62.6
                                                 53.5
                                                 22.6
                                                 31.4
                                                 27.8
                                                 73.3
                                                110.7
                                                 94.6
                                                 42.9
                                                 62.7
                                                 53.5
                 186.6
                 166.7
                 171.0
                 101.5
                  87.3
                  93.5
                 326.6
                 302.9
                 306.9
                 193.0
                 172.2
                 176.8
"Table 1 lists the major design conditions for each case.
bAII values have been rounded; therefore, totals do not necessarily correspond to the sum of
 the individual values indicated.
Table 3.
Summary of Capital Investments in $/KWa-b

                   	Capital investment, mid-1982 $
                                                    $/kW
                                  NO,
                                   S02
Paniculate
Total
Base case, 500 MW, 80% NOX
  removal
    Case 1                         83.7       203.7
    Case 2                        100.2       108.0
    Case 3                         96.1       138.7

Case variation, 200 MW, 80%
  NOX removal
    Case 1                        103.1       291.0
    Case 2                        121.0       158.3
    Case 3                        121.6       206.9

Case variation, 1,000 MW, 80%
  NOX removal
    Case 1                         77.7       175.7
    Case 2                         94.8       97.4
    Case 3                         91.2       121.1

Case variation, 500 MW, 90%
  NOX removal
    Case 1                         96.4       203.8
    Case 2                        111.0       108.0
    Case3	107.8       138.8
                                                 85.8
                                                125.3
                                                107.1
                                                113.2
                                                157.2
                                                139.0
                                                 73.3
                                                110.7
                                                 94.6
                                                 85.8
                                                125.4
                                                107.1
                 373.2
                 333.4
                 342.0
                 507.3
                 436.6
                 467.5
                326.6
                302.9
                306.9
                386.0
                344.3
                353.6
'Table 1 lists the major design conditions for each case.
bAII values have been rounded; therefore, totals do not necessarily correspond to the sum of
 the individual values indicated.

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Table 4.    Summary of Annual Revenue Requirements in $106 **
                                                                      Annual revenue requirements, 1984 $
                                                              First year
                                                 Levelized
                                                                $10*
                                                   $106
                                               NOX
SO,
Paniculate
Total
          SO,
         Paniculate
Total
Base case, 500 MW, 80% NOX removal
    Case 1                                     21.9      28.8         9.8         60.4      35.8     41.0         12.8         89.7
    Case 2                                     26.5      12.7        14.4         53.6      43.5     16.9         19.0         79.4
    Case 3                                     24.7      18.0        12.1         54.8      40.4     24.9         15.8         81.0

Case variation, 200 MW, 80% NOX removal
    Case 1                                      9.7      16.3         5.2         31.2      15.6     23.1          6.9         45.6
    Case 2                                     11.6       7.6         7.7         26.8      18.7     10.1         10.4         39.2
    Case3                                     11.1      11.0         6.6         28.7      17.8     15.3          8.8         41.9

Case variation, 1,000 MW, 80% NOX removal
    Case 1                                     41.5      48.8        16.1         106.4      68.1     69.2         20.9         158.2
    Case 2                                     51.2      22.2        24.5         97.9      84.2     29.2         31.8         145.1
    Case 3                                     47.9      30.3        20.5         98.7      78.4     41.4         26.4         146.3

Case variation, 500 MW, 90% NOX removal
    Case 1                                     26.1      28.8         9.8         64.6      42.9     41.0         12.8         96.7
    Case 2                                     30.1      12.7        14.4         57.2      49.5     16.9         19.0         85.4
    Case3                                     28.6      18.0        12.1         58.6      46.8     24.9         15.8         87.5

'Table 1 lists the major design conditions for each case.
bAII values have been rounded; therefore, totals do not necessarily correspond to the sum of the individual values indicated.
Table 5.    Summary of Annual Revenue Requirements in Mills/KWH6 a-b
                                                                      Annual revenue requirements, 1984 $
                                                              First year
                                                 Levelized
                                                                                   Milts/kWh
                                               NO,
SO,
Paniculate
Total
NOr
SO?     Paniculate
Total
Base case, 500 MW, 80% NOX removal
    Case 1                                      8.0      10.5          3.5         22.0      13.0      14.9         4.7
    Case 2                                      9.6      4.6         5.2          19.5      15.8       6.2         6.9
    Case3                                      9.0      6.5         4.4          19.9      14.7       9.0         5.7

Case variation, 200 MW, 80% NOX removal
    Case 1                                      8.8      14.8         4.7          28.4      14.2      21.0         6.3
    Case 2                                     10.6      6.9         7.0          24.4      17.0       9.2         9.4
    Case 3                                     10.1      10.0         6.0          26.1      16.2      13.9         8.0

Case varaition, 1,000 MW, 80% NOX removal
    Case 1                                      7.5      8.9         2.9          19.3      12.4      12.6         3.8
    Case 2                                      9.3      4.0         4.5          17.8      15.3       5.3         5.8
    Case3                                      8.7      5.5         3.7          18.0      14.3       7.5         4.8

Case variation, 500 MW, 90% NOX removal
    Case 1                                      9.5      10.5         3.5          23.5      15.6      14.9         4.7
    Case 2                                     10.9      4.6         5.2          20.8      18.0       6.2         6.9
    Case3                                     10.4      6.5         4.4          21.3      17.0       9.0         5.7
                                                                       32.6
                                                                       28.9
                                                                       29.5
                                                                       41.5
                                                                       85.7
                                                                       38.1
                                                                       28.8
                                                                       26.4
                                                                       26.6
                                                                       35.2
                                                                       31.1
                                                                       31.8
"Table 1 lists the major design conditions for each case.
bAII values have been rounded; therefore, totals do not necessarily correspond to the sum of the individual values indicated.

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other processes  in the system, eco-
nomic comparisons on a process-by-
process basis must be interpreted with
care, as seen in the detailed breakdown
of the base case costs.

Base Case Capital Investments
  Breakdowns of  the base case capital
investments are shown in Table 6. The
case 1 (3.5% sulfur coal, SCR, limestone
FGD, and cold-side ESP) capital invest-
ment is $187 million  (373 $/kW), of
which NOX control accounts for 22% of
the total; S02 control, 55%; and particu-
late control, 22%.  The case 2 (0.7% sul-
fur coal, SCR, spray dryer FGD, and bag-
house) capital  investment is $167
million (333 $/kW), and the breakdown
is 30%, 32%, and 38%. The case 3 (0.7%
sulfur coal, hot-side ESP, SCR, and lime-
stone FGD) capital investment is $171
million (342 $/kW), and the breakdown
is 28%, 40%, and 32%. The low percent-
age for S02 control in case 2 with the
spray dryer results from the paniculate
collection costs for FGD waste  being
combined with the fly  ash collection
costs and assigned to particulate control
costs.
              NOX Control

                For NOX control, the most important
              capital cost is the initial catalyst charge,
              which is almost one-third of the total
              capital investment. Most of the remain-
              ing capital costs are for the reactor and
              the associated internal and external cat-
              alyst supports and handling  system,
              and for the incremental fan cost and flue
              gas ductwork  associated with flue gas
              handling. The  remaining capital costs-
              ammonia storage and injection system,
              air  heater modification, waste disposal
              (of  spent catalyst), land, and royalties—
              are relatively minor. Incremental fan
              costs are minor; 90% of the flue gas-
              handling costs is for ductwork.
                Most of the capital costs are directly
              related to the  flue gas volume, particu-
              larly for the major cost areas.  As a re-
              sult, the total capital investment for NOX
              control in case 1 is lowest because of
              lower flue gas volume with the high-Btu
              coal. Case 3 is slightly lower than case 2
              because of the absence of fly ash.
                Air heater  modification  costs are
              associated with the increase in size, the
              more tightly packed elements, and the
                              use of thicker  and more corrosion-
                              resistant elements.
                                The ammonia storage and  injection
                              costs are almost the same for all three
                              cases. The only cost differences  result
                              from differences in the injection grid,
                              which vary with the flue gas duct size
                              and design.

                              S02 Control
                                The capital investments for SO2 con-
                              trol are highest for case 1 and lowest for
                              case 2, but the  capital  investment for
                              case 2 does not contain the costs for
                              FGD waste collection. In all three cases,
                              most of the costs are associated with
                              the S02 absorption area (the absorbers
                              and the absorbent liquid system or the
                              spray dryers) and the flue gas-handling
                              area (fans and  ductwork). These two
                              areas account for 65%  of the process
                              equipment costs in case  1  and about
                              80% of the process equipment costs in
                              cases 2 and 3.
                                The higher capital investment for
                              case 1 (as compared with case 3) is al-
                              most entirely related to the larger quan-
                              tities of SO2  removed. The materials
                              handling (limestone), feed preparation,
Table 6.    Base Case Capital Investment Comparison8
Case 1,$1000s
Process capital
NH3 storage and injection
Reactor
Flue gas handling
Air heater
Materials handling
Feed preparation
SO2 absorption
Oxidation
Reheat
Solids separation
Lime particulate recycle
Particulate removal and storage
Particulate transfer
NOX
1,314
7,829
3,843
819









S02


11,343

2,528
4.717
20,411
2,677
3,653
3,681



Particulate Total
1,314
7,829
1,311 16,497
819
2,528
4,717
20,411
2,677
3,653
3,681

10,509 10,509
5,636 5,636
NOX
1,328
9,278
4,543
1,220









Case 2, $1000s
S02


7,374

1,132
1,258
12,992



2,140


Particulate Total
1,328
9,278
4,961 16,878
1,220
1,132
1,258
12,992



2,140
15,446 15,446
6,779 6,779
NOX
1,297
8,453
5,386
861









Case 3, $1000s
S02 Particulate


11,175 4,290

1,266
2,363
18,070


2,265

14,354
4,378

Total
1,297
8,453
20,851
861
1,266
2,363
18,070


2,265

14,354
4,378
Total process capital, $1000s

Other Capital Investment
13,805   49,010   17,456
80,271   16,369  24,896   27,186
                                                       68,451  15,997  35,139    23,022
                                                             74,158
Waste disposal direct investment
Land
Catalyst
Royalty
Other»
Total, $1000s
Total, $/kW°
19
10
12,028
463
15,530
41,855
83.7
4,011
458


48,360
101,839
203.7
3,344
377


21,710
42,887
85.8
7,374
845
12,028
463
85,600
186,581
373.2
34
15
14,678
563
18,431
50,090
100.2
527
75


28,478
53,976
108.0
2,749
326


32,388
62,649
125.3
3,310
416
14,678
S63
79,297
166,715
333.4
30
15
13,455
563
18,001
48,061
96.1
847
113


33,272
69,371
138.7
2,628
313


27,583
53,546
107.1
3,505
441
13,455
563
78,856
170,978
342.0
'Table 1 lists the major design conditions for each case.
bConsists of costs for "services, utilities, and miscellaneous;" all six items of "indirect investment;" "allowance for start-up and modifications;'
 "interest during construction;" and "working capital" as listed in the appendix tables of the full report.
CAII values have been rounded; therefore, totals do not necessarily correspond to the sum of the individual values indicated.

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and  solids separation area costs are
roughly two times higher and waste dis-
posal costs are almost five times higher
for case 1 than for case 3. In addition,
the S02 removal requirements in case 1
require both full scrubbing—necessitat-
ing steam reheat of the flue gas—and
forced oxidation, neither of which is
necessary in case 3.
  SOX control in case 2 is the least ex-
pensive, primarily because of lower
costs in the S02 absorption  area  (be-
cause there is  no liquid  recirculation
system) and in the flue-gas-handling
areas (because of the lower pressure
drop in the spray dryers and the econ-
omy of scale with fan costs prorated be-
tween S02 and particulate control). An
accurate comparison of  S02  control
capital investment in cases 2 and 3,
however, must  include the costs of par-
ticulate collection, which are discussed
in the following section.

Particulate Control
  The  capital investments for  particu-
late  control are $43 million for case 1,
$63  million for  case 2, and $54 million
for case 3. In all three cases, the particu-
late removal and storage area accounts
for about 60%  of the total  particulate
              control process equipment costs, with
              the ESPs or baghouses and their hop-
              pers  accounting for most of the area
              cost.  The cold-side ESPs of case 1 have
              an installed cost of $5.9 million, and the
              hot-side  ESPs of case 3  have an in-
              stalled cost of $9.8 million. Most of this
              difference is a result of the larger flue
              gas volume in case 3—both in an abso-
              lute sense and because the ESPs in
              case 3 operate at a higher temperature.
              The baghouses have an installed cost of
              $7.4 million. Much of the cost difference
              between cases 2 and 3 is a result of the
              larger size of the baghouses and the
              corresponding larger  and more com-
              plex hoppers required.
                Particulate  transfer process  equip-
              ment costs are $5.6 million for case 1,
              $6.8 million for case 2, and $4.4 million
              for case 3. Case 2 has a more compli-
              cated pressure-vacuum conveying sys-
              tem,  which accounts  for most  of the
              cost difference between cases 2  and 3.
                Flue-gas-handling costs are $1.3 mil-
              lion for case 1, $5.0 million for case 2,
              and $4.4  million for case 3. The lower
              costs for case 1  result from the smaller
              absolute  volume and  lower tempera-
              ture of the flue gas.  In addition,  the
              costs for cases 1 and 3 are almost totally
                                              composed of the cost of ductwork since
                                              the incremental fan costs are negligible.
                                              In the case of the baghouses, however,
                                              fan costs are significant, about equal to
                                              ductwork costs, because  of the  large
                                              pressure drop through the baghouses.

                                              Base Case Comparisons - An-
                                              nual Revenue Requirements
                                                The base case annual  revenue re-
                                              quirements are shown in  Table 7. The
                                              first-year annual revenue requirements
                                              for case 1 (3.5% sulfur coal, SCR, lime-
                                              stone FGD, and cold-side  ESP)  are $60
                                              million (22  mills/kWh) with 36% associ-
                                              ated with NOX control, 48% with SO2
                                              control, and 16% with particulate con-
                                              trol.  For case 2 (0.7% sulfur coal, SCR,
                                              spray dryer FGD, and baghouse), the
                                              first-year annual revenue requirements
                                              are $54 million (19.5  mills/kWh) with
                                              49% associated with NOX control, 24%
                                              with S02 control, and 27% with particu-
                                              late control. For case 3 (0.7% sulfur coal,
                                              hot-side ESP, SCR, and limestone  FGD),
                                              the first-year  annual  revenue  require-
                                              ments are $55 million  (19.9 mills/kWh)
                                              with 45% associated with NOX  control,
                                              33% with SO2 control, and 22% with par-
                                              ticulate control.
                                                The levelized annual revenue require-
Table 7.   Annual Revenue Requirement Element Analysis for Base Cases

                                          500-MW Unit with 80% NOX Removal*
Case 1
Direct costs
Ammonia
Catalyst
Lime/limestone
Operating labor and supervision
Process
Landfill
Steam
Electricity
Fuel
Maintenance
Analysis
Other
NOX
364
13,899


66
3
51
278
1
586
46
13
S02


1,216

658
523
1,369
2,146
162
4,276
104
27
Particulate




230
436

581
135
1,025
6
19
Total
364
13,889
1,216

954
962
1.420
3,005
298
5,887
156
59
NOX
336
16,962


66
5
65
492
1
695
46
17
Case 2
SO,


708

263
83

780
18
1,599
88
16
Particulate




296
435

966
95
1,811
6
36
Total
336
16,962
708

625
523
65
2,238
114
4,105
140
69
NOX
336
15,549


66
4
63
391
1
679
46
41
Case3
S02


186

594
127

1,477
28
3,005
69
19
Particulate




230
393

993
87
1,299
6
36
Total
336
15,549
186

890
524
63
2,861
116
4,983
121
96
   Total direct costs, $1000

INDIRECT COSTS

Overheads
Capital charges

Total first-year annual revenue
  requirements
  57000s
  Mills/kWhi>
15,307   10,481
  421
 6,153
21,881
   8.0
 3,337
14,970
28,788
  10.5
         2,432
1,018
6,304
9,754
 3.5
        28,220  18,68S   3,555
 4,776    487
27,427   7,363
60,423  26,535
  22.0    9.6
 1,220
 7,934
12,709
  4.6
                      3,645
 1,529
 9,209
14,383
  5.2
                 25,885  17,176   5,505
 3,236
24,506
 477
7,065
53,627  24,718
  19.5    9.0
 2,277
10,198
      17,980
        6.5
                               3,044
1,157
7,871
        12,072
          4.4
                               25,725
 3,911
25,134
        54,770
          19.9
Levelized annual revenue
requirements
$1000s
Mills/kWht-

35,816
13.0

41,031
14.9

12,811
4.7

89,658
32.6

43,521
15.8

16,940
6.2

18,967
6.9

79,428
28.9

40,359 24,875
14.7 9.0

15,794
5.7

81,028
29.5
 'Table 1 lists the major design conditions for each case.
 hAII values have been rounded; therefore, totals do not necessarily correspond to the sum of the individual values indicated.

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 ments are $90 million (33 mills/kWh),
 $79 million (29 mills/kWh), and $81 mil-
 lion (30 mills/kWh) for cases 1, 2, and 3,
 respectively. For cases 1, 2, and 3, re-
 spectively, 40%, 55%, and  50% of the
 total levelized annual revenue require-
 ments are associated with NOX control;
 46%, 21%, and 31% with S02 control;
 and 14%, 24%, and 19% with paniculate
 control.
  The cost per ton of pollutant removed
 is presented for  the base  cases in
 Table 8 based on each of first-year and
 levelized annual revenue requirements.
 A comparison on  this basis  indicates
 that NOX control is significantly less cost
 effective than S02  and paniculate con-
 trol. For example, with first-year annual
 revenue  requirements,  the costs in
 Table 8 range from about 3,500 $/ton to
 4,600 $/ton for NOX control, from about
 500 $/ton to over  1,900 $/ton for S02
 control, and from 60 $/ton to  130 $/ton
 for particulate control.

 NOX Control
  The first-year annual revenue require-
 ments for the NOX  control processes in
 cases 1, 2, and 3, respectively, are $22
 million (8 mills/kWh), $27  million  (10
 mills/kWh), and $25 million  (9 mills/
 kWh). In all cases,  the catalyst replace-
 ment costs are the overwhelmingly
 dominant cost elements; over 90% of
 the direct costs  and two-thirds of the
 total annual revenue requirements are
 for the yearly replacement  of catalyst.
 Except for this cost, the annual revenue
 requirements are modest, appreciably
 less than the costs for similar cost cate-
 gories for S02 and  paniculate control.

 S02 Control
  The first-year annual revenue require-
 ments for the S02 control processes are
 $29 million (11 mills/kWh), $13 million
 (5 mills/kWh), and  $18 million (7 mills/
 kWh) for cases 1, 2, and 3, respectively.
 Again, case 2 with the spray dryer does
 not include costs associated with opera-
 tion of the baghouse. Excluding capital
 charges (which are proportional to capi-
 tal investment) and overheads (which
 are proportional to the direct costs), the
 direct costs  of the  annual revenue  re-
 quirements  reflect appreciably wider
 differences in operating costs. The  di-
 rect costs are $10.5 million, $3.6 million,
and $5.5 million for cases 1, 2, and 3,
 respectively. Maintenance costs are the
 highest element  of direct costs in  all
three cases, followed again  in all three
cases by electricity  costs. Steam for re-
 Table 8.   Cost per Ton of Pollutant Removed for Base Cases

                       500-MW Unit with 80% NOX Removal

                                      $/ton, 1984$
First year

Case 1
Case 2
Case3
NOX
3,490
4,600
4,280
SO2
470
1,370
1,930
Paniculate
60
130
110
NOX
5,710
7,540
6,990
Levelized
SO2
670
1,820
2,680
Paniculate
80
170
140
 heating the flue gas is the third largest
 direct cost (13% of the total) in case 1, a
 cost  not  incurred by cases 2 and 3,
 which have bypass reheat. These costs
 and the. remaining direct costs are all
 higher for case 1  than the correspond-
 ing costs  for cases 2 and 3,  a result of
 the large  quantity of S02 removed for
 case 1. With the exception of  lime costs,
 which are 20% of the total direct costs,
 case 2 has lower direct costs in every
 category as compared with case 3.

 Paniculate Control
  The first-year annual revenue require-
 ments for particulate control  are $10
 million (4 mills/kWh), $14  million
 (5 mills/kWh), and $12 million (4 mills/
 kWh) for cases 1, 2, and 3, respectively.
 The annual revenue requirements for
 case 2, however, also include the collec-
 tion of the spray dryer FGD  solids.
 Among the direct costs, maintenance
 costs are  the highest direct  cost in  all
 three cases, followed by electricity costs
 and labor costs. Maintenance costs are
 highest for case 2, which are about 75%
 higher than case 1 and 40% higher than
 case 3. Electricity costs  are  lowest for
 case  1 and highest for case 3, while
 case 2 has only slightly lower electricity
 costs than case 3. Labor costs  do not
 differ appreciably,  although process
 labor in case 2 is about 25% higher than
 in cases 1 and 3.

 Energy Requirements
  The energy consumptions of the base
 cases, expressed in Btu equivalents,
 are shown in Table 9. The total energy
 requirements range from 4.89% of the
 boiler capacity for case 1 to 2.31% of the
 boiler capacity for case 2. The NOX con-
trol energy requirements are the lowest
 in all three cases and most are for the
 incremental electricity consumption  of
the boiler ID fan that compensates  for
the relatively small pressure loss in the
reactors. For SOX control, cases 1 and 3
have large electricity requirements be-
 cause of the FGD booster fans and the
 pumping requirement for the absorbent
 liquid recirculation systems. These are
 similar in both cases. The electricity re-
 quirements for the spray dryer in case 2
 are lower because there is no liquid re-
 circulation  system.  Paniculate control
 energy  requirements in cases  1 and  3
 are mostly for-ESP electricity, which is
 substantially lower for the cold-side
 ESP.  In case 2, most of the electricity is
 for the booster ID fans that compensate
 for the relatively higher pressure drop in
 the baghouse.

 Power Unit Size Case Variation
  The capital investments and annual
 revenue requirements of systems for
 200-MW, 500-MW, and 1,000-MW sys-
 tems are shown in Tables 2 through 5.
 Compared  with  the 200-MW systems,
 the 500-MW systems  are 83% to  91%
 higher and the  1,000-MW systems are
 222% to  247% higher  in capital invest-
 ment. In terms  of $/kW, the  1,000-MW
 systems are about one-third less expen-
 sive, however, because of the economy
 of scale. The general relationships of
 the three cases remain the same at all
 three power unit sizes. The rate of capi-
 tal investment increase is greatest for
 the NOX control processes (an increase
 of 275% to  292% between the 200-MW
 and 1,000-MW sizes, as compared with
 193% to 207% for the S02 control  pro-
 cesses and 224% to 253% for the partic-
 ulate  control processes),  and it is  also
 higher for the spray dryer FGD process
 and the  baghouse than for the lime-
 stone FGD process and ESPs. As a re-
 sult, the  rate of  capital investment in-
 crease with size is greatest for case 2.
  Compared with the 200-MW systems,
 the annual revenue requirements of
 500-MW systems are 91% to 100%
 higher, the 1,000-MW systems are 241%
to 265%  higher,  and there is approxi-
 mately a one-third reduction in costs in
terms of $/kWh. As with capital invest-

-------
ment, the annual revenue requirements
retain the same general relationships at
the three power unit sizes, the rates of
increase for the NOX control processes
are higher (328% to 341% between the
200-MW and the 1,000-MW sizes, com-
pared with 175% to 199% for the S02
control processes and 210% to 218% for
the paniculate control  processes) and
the rates for the spray dryer FGD and
bag house are higher than those of the
limestone FGD systems and ESPs.

2-Year Catalyst  Life Case
Variation
  To illustrate the effect of catalyst  life
on annual  revenue requirements, the
annual revenue requirement for the
three 500-MW base cases were also  de-
termined for a 2-year catalyst life. The
only change in NOX control annual rev-
enue requirements is a  reduction in the
catalyst cost  by 50%—$7.0 million,
$8.5 million, and $7.8 million for cases
1,2, and 3, respectively. The longer cat-
alyst life reduces the annual revenue re-
quirements of NOX control by one-third.
The annual revenue requirements of the
overall systems are reduced by 12% to
16%.

90 Percent NOX Reduction Case
Variation
  To evaluate the economic effects of a
90% reduction in  NOX, as compared
with the 80% used in the other evalua-
tions, the  economics of the three 500-
MW cases were determined with 90%
NOX reduction. The primary differences
from the base case conditions are an
NH3:NOX  ratio of  0.91:1.0 instead of
0.81:1.0, a 12% increase, and  an  in-
crease in catalyst (based on vendor rec-
ommendations) of 22.5% for case 1,
15.0% for case 2, and 18.0% for case 3.
The capital investments of the NOX con-
trol processes are increased 11 % to 15%
and  the total for the three systems by
3% to 4%, all of which is a result of the
increase in NOX reduction. The first-year
annual revenue requirements for  the
NOX process are increased 19%, 14%,
and  16% for cases 1, 2, and 3, respec-
tively. The effect on the annual revenue
requirements of the overall system of
increasing the NOX from 80% to 90% is
an increase of 7% in all three cases.

Ammonia Price Case Variation
  Changes in  the price of ammonia
would have little effect on the overall
cost of the NOX control process. The an-
nual revenue requirements for the NOX
Table 9.    Comparison of Base Case Energy Requirements
   Case
 Steam,
106 Btu/hr
Electricity,
106 Btu/hr
Diesel fuel,
 106 Btu/hr
 Percent of
power unit,
input energy
Case 1"
  NOX
  SOX
  Paniculate

    Total

Case 2"
  NOX
  SOX
  Paniculate

    Total

Case 3"
  NOX
  SOX
  Paniculate

    Total
   3.15
  83.79
   0.00

  86.94
   4,00
   0.00
   0.00

   4.00
   3.88
   0.00
   0.00

   3.88
   12.97
  100.20
   27.14

  140.31
  25.40
  40.26
  49.85

  115.51
   20.18
   76.20
   51.22

  147.60
   0.01
   2.65
   2.20

   4.86
   0.02
   0.30
   1.55

   1.87
   0.02
   0.46
   1.41

   1.89
   0.34
   3.93
   0.62

   4.89
   0.56
   0.77
   0.98

   2.31
    0.46
    1.46
    1.00

    2.92
Note: Does not include energy requirement represented by raw materials.

"Based on a 500-MW boiler, a gross heat rate of 9,500 Btu/kWh for generation of electricity, and
 a boiler efficiency of 90% for generation of steam.
bBased on a 500-MW boiler, a gross heat rate of 10,500 Btu/kWh for generation of electricity,
 and a boiler efficiency of 90% for generation of steam.
control processes (in the 500-MW base
case) increase only 1.5% to 1.9% as the
ammonia price is doubled from the
base case value of 155 $/ton to 310 $/
ton.

Conclusions
  The total costs for case 1, based on
3.5% sulfur coal, and cases 2 and  3,
based on 0.7% sulfur coal, differ less
than 15% in capital investment and an-
nual revenue requirements in spite  of
the differing control processes. This is a
result in part of offsetting differences—
the much higher SO2 control costs for
case 1 are offset by lower fly ash control
costs and a smaller flue gas volume.
The  costs for the two  low-sulfur coal
cases, one with a spray dryer FGD sys-
tem  and  baghouse and the other-with
limestone FGD and a hot-side ESP, dif-
fer only marginally  in cost. In the two
low-sulfur  coal  cases, the low spray
dryer FGD costs and the advantage  of
combined •particulate collection are off-
set by the higher NOX control costs and
higher baghouse costs. When only the
S02  and  fly ash  control costs are com-
pared, the spray dryer-baghouse case is
5% lower in capital investment and 12%
lower in  annual  revenue requirements
than the hot-side ESP and limestone
FGD case.
                       The combined emission control pro-
                      cesses increase the power plant capital
                      investment by about 35% on the aver-
                      age, of which the NOX portion is about
                      one-third. Base on levelized annual rev-
                      enue  requirements,  the average  in-
                      crease in the cost of power is about
                      45%, of which the  NOX portion is about
                      half.
                       The energy requirements of 2% to  5%
                      of the boiler input energy are mostly for
                      SO2 and particulate  control. For the
                      cases with limestone  FGD, S02 control
                      has the highest energy requirements.
                       The use of flue gas treatment for IMOX
                      control, such as the SCR process in this
                      study, would add significantly to emis-
                      sion control costs. An  SCR process for a
                      500-MW power plant would have a cap-
                      ital investment of 80  to  100 $/kW and
                      annual revenue requirements of 8 to
                      9 mills/kWh. The high cost is largely as-
                      sociated with the  catalyst replacement
                      cost, which accounts for  90% of the di-
                      rect costs in  annual  revenue require-
                      ments. A 2-year catalyst life reduces  the
                      annual revenue requirements by over
                      one-third, however, so the costs for NOX
                      control in this study, which are based on
                      a 1-year life, could be substantially re-
                      duced if extended catalyst  lives  are
                      attained.
                       Other than catalyst life, the main fac-
                                   8

-------
tor affecting N0>< control costs is the flue
gas volume which determines the fan
and ductwork costs and the catalyst vol-
ume. Increasing the NOX reduction effi-
ciency from 80% to 90% increases the
costs by 10% to 20%, again because of
the larger catalyst volume needed. Am-
monia costs have almost no effect on
costs;  doubling the price of ammonia
increases the annual revenue  require-
ments by about 2%.
  Although the costs of NOX control are
in the same general range as those for
S02 and fly ash control, if the processes
are compared on the basis of the
pounds of pollutants reduced, the costs
for NOX control are 2 to 10 times greater
than for S02 control and 40 to 60 times
greater than for ash control.
  In S02 control, the major costs are as-
sociated with the absorption area and
flue gas handling (ductwork and fans).
These costs do not differ greatly among
the three cases because of offsetting dif-
ferences—a larger cost for liquid circu-
lation in the high-sulfur coal case but a
larger flue gas volume in the low-sulfur
coal cases, which requires larger equip-
ment and  has larger  fan  costs. The
higher  costs for the high-sulfur  coal
case are in large part the result of the
much larger quantity of sulfur removed:
the materials-handling, waste-handling,
and disposal costs are two to five times
higher for the high-sulfur coal case than
for the  low-sulfur coal case with lime-
stone FGD.

Conversion Factors
  Certain non-metric units are  used in
this Summary for the reader's conve-
nience.  Readers who are more  familiar
with  metric units may use the following
to convert to that system:

Non-metric    Times     Yields metric
    Btu
    °F
    Ib
    mi
    ton
  1.06
5/9(°F-32)
  0.454
  1.61
  907.2
kJ
°C
kg
km
kg
                             J, D. Maxwell and L R. Humphries are with TV A, Off ice of Power, Muscle Shoals,
                               AL 35660.
                             J. David Mobley is the EPA Project Officer (see below).
                             The complete report, entitled "Economics of Nitrogen Oxides, Sulfur Oxides, and
                               A sh Control Systems for Coal-Fired Utility Power Plants," (Order No. PB 85-243
                                103/AS; Cost: $28.95, subject to change) will be available only from:
                                     National Technical Information Service
                                     5285 Port Royal Road
                                     Springfield, VA 22161
                                     Telephone: 703-487-4650
                             The EPA Project Officer can be contacted at:
                                     Air and Energy Engineering Research Laboratory
                                     U.S. Environmental Protection Agency
                                     Research Triangle Park, NC 27711
                                                          if U. S. GOVERNMENT PRINTING OFFKU985/559-111/20695

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