FINAL REPORT




                      ON THE




        U. S. NATIONAL REPORT TO THE O.E.C.D.




JOINT       ON AIR POLLUTION FROM FUEL COMBUSTION




              [N STATIONARY SOURCES
                    S% ORDER NO. 19




               CONTRACT NO. CPA 70-1
                   OCTOBER, 1972
                   PREPARED FOR






           DIVISION OF CONTROL




      U. S. ENVIRONMENTAL PROTECTION




     RESEARCH TRIANGLE PARK,
                  SUBMITTED BY






             PROCESSES RESEARCH, INC.




         INDUSTRIAL PLANNING AND




                 CINCINNATI, OHIO

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EPA-R2-73-241    AIR POLLUTION FROM FUEL COMBUSTION
October 1972               IN STATIONARY SOURCES
                         FINAL REPORT

                            ON THE

             U. S, NATIONAL REPORT TO THE O.E.C.D.

        JOINT GROUP ON AIR POLLUTION FROM FUEL COMBUSTION

                    IN STATIONARY SOURCES
                      Task Order No. 19

                    Contract No. CPA 70-1




                        October 1972
                        Prepared for

                 Division of Control Systems
            U. So Environmental Protection Agency
            Research Triangle Park, North Carolina
                        Submitted by

                  PROCESSES RESEARCH, INC.
              Industrial Planning and. Research
                      Cincinnati, Ohio

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                                Page ii
                         TABLE OF CONTENTS
Section                      Title
              Abstract
              Foreword
    I         Scope and Methodology
   II         Results and Discussion
  III         Conclusions
   IV         U. S. National Report To The O.E.C.D.
              Joint Group On Air Pollution From
              Fuel Combustion In Stationary Sources
Appendix
    I         The U. S. Strategy and SOX Abatement
   II         Costs for Oil Desulfurization
  III         Electrostatic Precipitator Costs
Page
  1
  2
  4
  7
 20
 22
 97
102
106

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                                                        PROCESSES RESEARCH.  INC.
                                                       NEW YORK   CINCINNATI   CHICAGO
                                 Page 1
                                ABSTRACT


     This report documents the preparation of the U. S. National Report to the

Organization for Economic Cooperation and Development - Joint Group on Air

Pollution from Fuel Combustion in Stationary Sources.  The report contains

estimates of past (1960 and 1970) and future (1980)  fuel consumption in stationary

combustion sources and associated quantities of the air pollutants - sulfur

oxides, nitrogen oxides, and particulate - emitted to the atmosphere from the

combustion of these fuels.  Abatement stragegies to control the 1980 level of

pollutant emissions to the alternative target levels, as obtained in 1960 and

1970 cases, were formulated and impressed on the 1980 situation.

     The study found that the projected emissions of sulfur and nitrogen oxides

could be expected to approximately double the 1968 levels of pollution without

implementation of new controls.  Those of particulate emissions would be expected

to increase some tenfold without continuing the application of best control

practice.

     The 1980 emissions can be controlled to the targeted levels through imple-

mentation of control and fuels management practices.  The estimated costs for

achieving control are appreciable, approaching a total estimated capital

expenditure of about $13 billion (cumulative through 1980) and an annual

operating cost climbing to $2.8 billion in 1980 (1970 dollar estimates).

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                                                        PROCESSES RESEARCH. INC.
                                                      NEW YORK   CINCINNATI   CHICAGO
                                 Page 2
                               FOREWORD
     This report is the final documentation covering the preparation of the
U. S. National Report to the Joint Group on Air Pollution from Fuel Combustion
in Stationary Sources.  The Joint Group is an ad hoc committee of the Organiza-
tion for Economic Cooperation and Development (of which the United States is a
member) constituted to study and report on possible approaches and estimated
costs for the control of such air pollution by 1980 in the various member
countries.

     The U. S. National Report as submitted to the O.EoC.D. is presented in
Section IV.  It was prepared to meet the requirements for submission to the
O.E.C.D. and should not be taken as an "official policy" document, particularly
with respect to the assumptions related to control strategy, which were in some
cases arbitrary or dictated by the study format.  At the time this report was
prepared, the best available cost data (in 1969-1970) were used.  In retrospect
from the time of completion and issuance, it is noted that better cost data,
especially in regard to costs for fine gas scrubbing, are now available.  For
this reason it is recommended that the cost data contained in this report be
used only after careful consideration of its appropriateness and state of d^vel-
development.

     The results presented in the report are considered valid for their intended
purpose, but should not be construed as an attempt either to forecast the means
by which air pollution, will be controlled in 1980, or to predict the level of
control which will be attained by that time through the implementation of
officially adopted strategies.

     The study scope and the methodology for preparing the report are presented
in Section I with a brief identification of the more important factors and
assumptions governing the preparation of the estimates.  A discussion of the re-
sults is found in Section II with the conclusions drawn presented in Section III.

     While the present study was quite modest in scope and effort, some aspects
of the investigation were conducted in greater depth than for previous studies.
In addition, tailoring the approach to meet the needs of the O.E.C.D. study
format required some modifications to previously exercised approaches.  Conse-
quently, some new insights were gained into the nature of the problem of air
pollution from fuel combustion.  These are discussed in Section II as "Issues
Arising From the Study."

     During the compilation of the various national reports into the O.E.C.D.
report, certain questions were raised concerning the U. S. National Report.
These questions dealt with the U. S. strategy for sulfur oxides abatement,
costs for oil desulfurization, and electrostatic precipitator costs.  These

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                                                         PROCESSES RESEARCH. INC.
                                                       NEW YORK   CINCINNATI   CHICAGO
                                 Page 3
items were re-examined, and more detailed explanations of  their  derivations were
prepared for the O.E.C.D.  These derivations are included  in  this  report  as
Appendices I through III, respectively„

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                                                          PROCESSES RESEARCH. INC.
                                                        NEW YORK   CINCINNATI   CHICAGO
                                  Page 4
                     SECTION I -  SCOPE AND METHODOLOGY


     The object of the study was to develop an estimate of the nature of the
abatement strategies and costs of their implementation to achieve control to a
predetermined quantity of emission on a national scale for the three major pollutants
from fuel combustion:  particulate, sulfur oxides, and nitrogen oxides.  The U. S.
report presents the situations for control of the 1980 emissions to the levels exist-
ing in 1970 and 1960.  Briefly these steps were taken to arrive at the estimates
presented in the report (Section IV):

     (a)  using historical data, develop a picture of the fuel quantities and fuel
          qualities employed in the various consuming sectors.
     (b)  using historical data for emissions after application of control equipment,
          develop emission factors appropriate to the degree of control practiced
          in the target years.
     (c)  calculate estimates for the total national emissions of the three pol-
          lutants by fuel type and consuming sector for 1960 and 1970.
     (d)  using the historical data developed previously for fuel consumption and
          information relating to normal practice in the various sectors, develop
          predictions of the fuel utilization patterns for 1980.
     (e)  using the most current data for emissions resulting after application of
          best control practice, develop emission factors by fuel type and consuming
          sector.
     (f)  estimate the quantity of emissions likely to exist on the national level
          on the basis of the projected fuel utilization patterns and the degree of
          control likely to be practiced if  no  special  steps to abate air  pollution
          are implemented.
     (g)  formulate an abatement strategy to accomplish emission control to the two
          chosen target levels.
     (h)  calculate the costs of implementation of these control strategies based
          on both total capital costs from present through 1980 and the 1980 annual
          operating costs.

     Planning of the control strategy was predicated on numerous simplifying as-
sumptions.  These related to matters such as which control methods would be used,
the rate at which different control methods could be introduced, etc.  The assump-
tions were not intended to be a prediction of things to come, but an attempt was
made to relate them to what appears, from the information available, to be a
reasonable approach.  They were intended to provide a rational basis for calculating
estimated costs for the specified levels of control.

     Of the three pollutants considered, sulfur oxides present the most difficult
control problem - hence the primary thrust of the strategy was control of sulfur
oxides.  First a strategy was developed to produce the two levels of sulfur oxide
control to be used as a basis for subsequent calculation of costs, i.e., control to

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                                                          PROCESSES RESEARCH. INC.
                                                        NEW YORK    CINCINNATI   CHICAGO
                                  .Page 5
1960 levels of emission in 1980 and control to 1970 levels of emission in 1980.
Any incidental benefits in NOX and particulate control produced by the control
application assumed for sulfur oxide control were factored into subsidiary sup-
plemental strategies assumed for NO^ «md particulate control, e.g., some NOX control
was assumed to result incidentally from scrubbing of flue gas for sulfur oxide
removal.  The additional reduction required to give the levels of control of NOX
for 1980 was assumed to come from application of techniques for modification of
combustion systems.

     It was further assumed that no single control method could be considered as
a total solution for sulfur control over the next ten years.  Sulfur reductions
from power stations were assumed to come from increased mining of low sulfur coal,
Increased use of mechanically cleaned coal, application of flue gas cleaning systems,
and increased use of desulfurization to produce low sulfur residual fuels.  Slight
increases for power station consumption of natural gas were assumed, but demand
from other industries where control techniques for sulfur and nitrogen oxides are
uneconomical was assumed to cause most of the projected increase in natural gas
production to go to the "Other Industries" sector.  Control in the third major
sector, "Domestic and Commercial," was assumed to come from increased use of low
sulfur oil.

     Consideration of this methodology reveals certain important limitations one
must consider in discussion or in drawing conclusions based on the data presented
here or in using the data for other purposes.  First, there is the matter of the
abatement strategy.  At the time the basic work for this report was undertaken,
ambient air quality standards either had not been formulated or implemented in most
of the participating nations.  Also the U. S. had not yet set the standards of
performance for new sources.  For this reason the "roll-back" procedure was util-
ized to determine the amount of emission reduction required in 1980.  The control
strategy which seemed plausible from the state-of-the-technology and at the same
time satisfied the study format was developed.

     The strategy thus developed contains certain simplifying assumptions, the
implications of which are discussed in detail in Section III.  However, the most
important implication is that it is not necessary to control all pollution sources
to achieve the targeted emission level.  This situation arises primarily because
the targeted level is based on a national emission inventory and not ambient air
quality.

     The second critical aspect is the method used in arriving at the estimated
fuel demands for the various consuming sectors in 1980.  The estimates were made
by assuming continued prevalence of the present trend of fuel consumption existing
in 1970 where special steps for air pollution abatement had not been taken.  In
certain areas of the country steps have already been taken to abate air pollution
by substitution of clean fuels for coal.  The trends established in these areas
are discounted for the purposes of the 1980 base case so that the abatement strategy

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                                                          PROCESSES RESEARCH. INC.
                                                        NEW YORK   CINCINNATI    CHICAGO
                                   Page 6
and costs formulated for the report would be independent of localized practices
and reflect only the results of the formulated strategies.  No attempt? was made
to establish an estimate of fuels availabilities as this was beyond  the  scope  of
the study.

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                                                          PROCESSES RESEARCH. INC.
                                                        NEW YORK    CINCINNATI   CHICAGO
                                   Page 7
                    SECTION II - RESULTS AND DISCUSSION


     During the next decade energy demand will continue overwhelmingly to be
met by the use of fossil fuels.  Based on established utilization trends, natural
gas and coal will account for an estimated 82 percent of the stationary combustion
source energy requirements in 1980, with gaseous fuels contributing 53 percent and
coal 29 percent of the total.  The demand for liquid fuels for stationary combustion
sources will also increase from a 1968 level of 189 million tons to 337 million tons
in 1980.  While the absolute amounts of fuels required by the various sectors will
increase, the relative distributions will change.  These changes in the pattern of
fuel consumption by sector, and within sectors, may somewhat influence abatement
policies.  Fuel demand for power stations and industry will increase considerably
more than for domestic and commercial uses.  These latter uses which represented
27 percent of the total demand in 1968 will drop to 17 percent in 1980.  On the
basis of the estimates for energy demand and those abatement procedures practiced
nationally (i.e. reference date 1968), the projected emissions of sulfur and ni-
trogen oxides are expected to approximately double during the period 1968 to 1980.
This increase in energy demand coupled with the technology and fuels available for
satisfying this demand dictates that abatement of air pollution arising from the
combustion of fossil fuels will be needed to prevent the further deterioration of
the environment.

     From the standpoint of pollution from combustion, sulfur oxides from the com-
bustion of coal have been recognized as of dominant importance in the present and
projected picture; and the coal burning power stations are by far the most impor-
tant single source of pollution.  This is illustrated by Figure 1 which shows types
of fuels used in each consuming sector in 1968.  Power station coal greatly exceeds
all other fuel use categories except for natural gas and oil, largely distillate
fuels, used in the domestic and commercial sector, and these latter categories are
"clean" fuels which produce relatively small amounts of pollution.  Because of the
dominant importance of coal as a fuel and power stations as a user, primary con-
sideration was given to ways that projected electrical requirements might be met
without exceeding the pollutant emission limits prescribed by the study guidelines.
Even after control, it is estimated that total coal combustion will account for
83 percent of the total sulfur oxides pollution, with power station coal combustion
contributing 74 percent of the total.

     The 1980 fuel use patterns which would result from applying the assumed con-
trol methods is shown in Figure 2 where data are presented on the same basis as
Figure 1 to permit direct comparisons by fuel type and fuel use category to 1968
consumption.  The results of the assumed control strategy on sulfur balance are
shown by Figure 3 where sulfur emissions by fuel type and use category are repre-
sented by blocks in the top half of the figure and sulfur which is not emitted as
a result of the assumed use of control methods are represented by the blocks in

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FIGURE
1968 FOSSIL FUEL
-
SITUATION


DISTRIBUTION 4 CONSUMPTION BY SECTOR
24-
—
22-
cc ~
5 20-
>~
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-------
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                FIGURE 2
      I960 FOSSIL FUEL SITUATION
  DISTRIBUTION  & CONSUMPTION  BY  SECTOR
       REFINERY
   IRON iSTEEL—i
POWER  STATIONS  T
               -OTHER  INDUSTRIES
                                                      DOMESTIC
                                                      i	 & 	•
                                                       OTHER
ZO   30    40

DISTRIBUTION
                      50    60    70    80

                     OF TOTA1 ENERGY 3
                                             DNATURAL GAS

                                             • COAL
                                                             100
"D

o
rn


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                                                            PROCESSES RESEARCH. INC.
                                                          NEW YORK   CINCINNATI   CHICAGO
                                    Page 10
the lower half of  the .figure.  The  irregular..line  for  emissions  associated with
oil..and natural  gas is intended  to  represent the unknown  quantity  of  emissions
.which results from, flaring of waste gases  in gas fields and  refineries.
Emissions in this,category were, because of lack of.data,  omitted  from the study.
This problem is  discussed with other issues arising  from  the study under Section
II B which follows; it is important,  however,  to recognize at this point that the
sulfur balance represented by Figure 3 would,  if data  were available, have some
.incremental amounts of sulfur distributed  in the fuel  oil and natural gas
-categories.

     The strategies.for nitrogen oxides emission,.control  and particulate emis-
sion control involve application of combustion process modification to supplement
NOx control., achieved ..incidental  to  SOx control and application of  electrostatic
precipitators as necessary to give  particulate emission reductions beyond those
assumed to result  from coal  cleaning and application of flue gas cleaning to
power station emissions.  The results of the application  of  the  assumed control
strategy on emission levels  for  NOx and particulate  are shown in Figures 4 and  5.

     Control of  the.sulfur oxides situation in, 1980  will  depend  principally on
the .development..and..implementation  of flue gas cleaning and  coal cleaning pro-
cesses, in addition to, the requirement for  natural  gas  and natural  low sulfur
coal mining.  The, present .prospects for control of. nitrogen  oxides depend on
the.development, and.implementation  of improved combustion technology.  There is
some: evidence that .this-.technology  is now  becoming available for gaseous and
liquid fuels.  The, technology for control  of particulate  emissions is available
now, although there is, some  disagreement on the efficiency of control which can
be realized with the existing practices.   Naturally  occurring low  sulfur fuels
will be in great demand by all industrialized  countries and  available in short
supply.  Substitution of low sulfur fuels  derived.from natural supplies cannot
alone alleviate  the sulfur emission problem.

     The prospects, for, meeting the  targeted control ..levels are keyed  to fuel
supply: and .implementation of control technology.   Adequate reserve capacities
.for-the; required .fuels, at .the quality levels called  for by the abatement strategy
must be available, to meet, consumer  demands.  The control  technologies for the
pollutants must  be developed, demonstrated, and utilized  in  sufficient magnitude
before 1980 to have ,a meaningful impact on the future  situation.  These include,
in various phases  of development, oil desulfurization  processes, flue gas
desulfurization  processes, coal  cleaning,  nitrogen oxides combustion  control
techniques, and  advanced, particulate control equipment.   The projected require-
ment? for desulfurized heavy  oil  is  about 1.2 billion (10^) barrels for 1980.
This;indicates a need for some 150  new, hydrogen treating plants integrated with
major petroleum  refining complexes  of some 31,500  bpsd.   A highly  intensive
construction program .will be needed to meet this requirement by  1980  if indeed
such a goal is attainable at this starting date.   Similar problems exist in the
case of solid fuels,.  Mining of  low sulfur coals requires the opening of new

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T EMITTED TO THE AIR AS A RESULT
TONS S02 PER YEAR MILLIONS OF TONS S02 PER YEAR
iTiTiTitiTiTTiTitiTiTiTiTifififi?
a ? o '2~
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.... iL.i
AN AMCUNT CF SULFUR
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GASES FROM BURNING Z.7%SULFUR
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;

	 J
SC2 IS TIED
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-CASOjWITH
FLY ASH IN
SCRUBBER
SLUDGE
T
TO 1.0% SULFUR
OTHER INDUSTRIES ONLY
\

r 	 1
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S LEFT AT
THE POINT
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CLEANING
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WITH LOW
SULFUR CCAl


	 	 FUEL OILS 	 >
RESIDUAL FUEL OILS
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« 	 PLANTS IN REFINERIES 	 »
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2 	 AND GAS FIELD FLARING OF SULFUROUS
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-------
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                  -- BITUMINOUS  COAL
            UNTREATED BITUMINOUS COAL
            AVERAGE Z.7% SULFUR
            POWER STATIONS ONLY
                                 PS  IS 01 DC

                                 Jill

                                                                        FUEL  OIL  —
                                                              .  HYDROGEN TREATED	.
                                                               RESIDUAL FUEL OILS
                                                                 <0.87* SULFUR
                                                                        \TJ
                                                                                  YDROGEN TREATED
                                                                                  STILLATE FUEL
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                                                                                     FIGURE 4
                                                                         PROJECTED I960 SITUATION
                                           DISTRIBUTION  OF  FOSSIL  FUELS  AND  ASSOCIATED NITROGEN  OXIDE EMISSIONS
                                                        TO ACHIEVE  THE 1970  TARGET  LEVEL  OF  AIR  POLLUTION
L15END
PS-POWER STATIONS
IS-IRON 4 STEEL
01-OTHER INDUSTRIES
DC-DOMESTIC & COMMERCIAL
OR-OIL REFINERIES

-------
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                                                             PROJECTED I960 SITUATION
                                    DISTRIBUTION  OF  FOSSIL  FUELS  AND  ASSOCIATED PARTICULATE  EMISSIONS
                                               TO ACHIEVE THE 1970 TARGET  LEVEL OF AIR POLLUTION

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                                                           PROCESSES RESEARCH.  INC.
                                                         NEW YORK   CINCINNATI   CHICAGO
                                     Page  14
mines at sufficient rate to meet capacity goals...  Flue.,gas,.cleaning for sulfur
oxides must be implemented on a large scale and,the waste disposal problems
must be solved satisfactorily.

     The possibility of implementing the abatement strategy for limiting pollu-
tant emissions is dependent not only on technological; developments and practical
demonstration of.their .full-scale feasibility but also, to a considerable extent,
on:the rate of implementation which can be attained in practice and also the
timely"solution of the new or alternative environmental problems introduced by
such implementation:. . The social and economic consequences resulting from the
changes in various industrial practices required by large scale implementation
of abatement strategies, are not defined in the study,, but such changes will
obviously occur. .The industries most affected .will in particular be power
generation, petroleum.:refining, sulfur production, and industrial engineering
and construction.  The estimated total investment required to accomplish the
abatement strategies for the two target levels 1970 and 1960 respectively are
(billions of 1970 dollars):  particulate - 1.3 and 0.72; nitrogen oxides 2.8 and
2.8; sulfur oxides - 8.6 and 9.9; total - 12.7 and 13.5.

     All methods of controlling sulfur oxide and,.to.  a large degree, particulate
air pollutants have .one.aspect in common - in one way or another some form of
the pollutant is eventually returned to the .natural environment.  Desulfuriza-
tion:processes - both those that remove sulfur .compounds from fuel before
combustion or from flue gas after combustion - produce sulfur compounds which
mayi-.be further processed ..to either recover sulfur in  various forms for use in
the industrial or,.agricultural systems or for release into or storage in some
suitable: form in.the. natural environment.  In any event these pollutants normally
re-enter the natural, environment after recovery and use since there is no con-
servation cycle.  A satisfactory long term solution, to the problem of handling
the:.large amount..of. wastes generated through application of non-regenerable
processes, on a large scale has not yet been demonstrated.

     Clean fuels will.not be available in sufficient .quantities to satisfy all
demands*  The limited:supply of clean fuels as well as questions of security of
supply and rational.use of natural resources make.fuels management an important
aspect .in~pollution control practices.  Clearly this-calls for some means of
allocation of clean fuels at local and national levels.

     Non-combustion .sources of energy production will play a considerable role
in. the long term, but require assessment of environmental impact before wide-
spread implementation.  The use of nuclear power plants-has been offered as a
solution to meeting the ever-increasing demands, for:electrical energy.  However,
the-impact on the .ecology of the number and capacity  of such installations which
will be required to satisfy the needs, has not been established.  Also assoc-
iated with nuclear .power production are the two problems of fuel production and
waste disposal and .the ecological consequences of these two activities.  In

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                                                        PROCESSES RESEARCH. INC.
                                                      NEW YORK   CINCINNATI    CHICAGO
                                Page 15
addition to the analysis of long-term environmental effects, catastrophe risk
must also be factored into the overall feasibility analyses.

B.   Issues Arising From the Study

     As indicated earlier the present study has Identified a number of issues
which appear to deserve more attention than they have been given in the course
of this or predecessor studies.  Those considered of most importance are listed
below.

     1)  Pollution Consequences of Energy Consumption

              More complete definition of the sources and amounts of pollution
         from combustion is needed.  This applies for all three major pollutants:
         sulfur oxides, nitrogen oxides, and particulates.  Even for sulfur
         oxides which have been the subject of considerable study important
         emissions which are associated with the production of fuels have not
         been included in inventories of emissions which have dealt exclusively
         with burning of fuels.  Consequently sulfur emitted from processes
         which clean natural gas prior to transport and from processes which
         remove sulfur from distillate and residual fuels have not been included
         in estimates of national emissions.  In attempting to evaluate these
         sources for the present study it was found that the necessary data for
         reliable estimates could not be obtained within the scope of the study.
         The information which was found suggests that sulfur oxide emissions
         from fuel production may be one of our major sources.

              In a recent parallel study of natural gas processed for sulfur
         removal before pipeline transmission, it was determined that for about
         10 percent of the annual production quantity of gas, approximately
         700,000 long tons per year of sulfur are accounted for in recovery
         plants in the gas fields.  In addition, this same gas quantity, which
         contains above-average sulfur as it comes from the well, accounts for
         about 3,400,000 tons per year of SOx including both that which is
         generated through field processing and that which is generated through
         final use.  These emissions are not included in the inventories pre-
         pared for the U. S. National Report.

              For nitrogen oxides and fine particulates the overall picture is
         even more incomplete.  For example, the nitrogen oxides produced in
         combustion.processes is dependent both on combustion conditions and
         on the amount of nitrogen in the fuel.  Data on the relative roles of
         each are almost nonexistent.  For fine particulates, lack of data on
         the fractional efficiency of control methods, coupled with poor
         knowledge of the relative amounts of fine particulate produced by
         different combustion systems, makes resultant estimates subject to a
         possible wide variation.

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                                                      PROCESSES RESEARCH. INC.
                                                     NEW YORK   CINCINNATI   CHICAGO
                               Page 16
2)  Fuel Use Patterns

         More detailed information is needed to define fuel consumption by
    industry. ..Some areas where little is known about the nature of the
    consuming processes can be identified from Table 1 and 2.  For all
    fuels the "others" category is a balance.derived.by subtracting spec-
    ific industry estimates from estimates for total consumption.  This
    category.represents a significant percentage,of the total consumption.
    For gas, over one third of the total is expected to be consumed by
    processes.which are undefined as far .as. their potential for pollution
    possibility for control, etc., are concerned.  Until better information
    is developed it will be impossible to begin accurate assessment of
    possibilities for optimizing national fuel consumption practices to
    assure that energy demands are met in a way that prevents excessive
    increases, in pollution and minimizes the costs for environmental pro-
    tection which will be required when projected energy consumption
    increases become a reality.

3).  Combustion. Process Equipment

         More.detailed information on types of equipment used to burn
    :fuels are also:needed.  Many types of combustion equipment, e0g., pack-
    age boilers, .dryers, kilns, space heaters,, and .water heaters may
    present, the .same,.pollution control problems in many industries.  Better
    information:on the character of the polluting hardware and the ways it
    is used would..permit logical development of standards and regulations.
    Also it would permit identification of classes of polluting equipment
    .which are. in widespread use and would, identify the best opportunities
    for reduction.of emissions and suggest the kind of R and D needed for
    .improved control.capability.  This is especially true for nitrogen
    oxides which are,;, produced in quantities .dictated primarily by the
    nature of the .hardware burning the fuel:.and are generally not amenable
    to control, except through modification of the combustion system.
    Collection of the needed data could begin with a study in which exist-
    ing, information, on the kind and amount of fuel burned by specific types
    of equipment is correlated with relative.contributions to air pollution.
    Much of the..information necessary to complete such a project would not
    be presently., available but it should, be: possible to accumulate existing
    data in.a matrix.which would identify certain areas of importance and
    show where more data are needed.  Even.while such a problem definition
    study is..underway .specific studies of problem areas already shown to be
    important could begin.  For example, over 95 percent of the distillate
    fuel..consumed, in 1968 was burned by users in the "Domestic and
    Commercial" or "Others" categories.  It seems probable that the equip-
    ment in these groups can be classified and:the different types evaluated
    with respect.to.their possible importance as area sources.  The result-
    ing, information, .should be useful in development of more effective
    control programs.

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                                                      PROCESSES RESEARCH.  INC.
                                                    NEW YORK   CINCINNATI   CHICAGO
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4)  Cost For Control.of.Pollution From Combustion

         The present,study has preliminarily,estimated: part of the cost
    which could be anticipated if a control strategy of the type assumed
    was applied.  The estimated capital requirement of $12.0 to $13.0
    billion between now and 1980 is considered an order of magnitude figure
    .which includes ..only investment directly assignable to control emissions
    from those..processes currently burning ."dirty" fossil fuels.  It does
    not include, .estimates for the substantial .expenditures which will be
    required for production facilities to meet.,the increased demand for
    gas, distillate.fuels, or low sulfur .coal even though much of this
    demand for. such fuels will result from pressure to control air pollution.
    Further, the estimate is considered.conservative in that it was based on
    the latest published figures, some of which are now considered ready for
    revision because.they are unrealistically .low.  The annual operating
    cost figures, of .almost $3.0 billion per year are also considered to be
    very rough ..estimates which do not reflect a true cost for control on a
    national basis.  The calculations are also based on the best information
    available, but do not because of limitations imposed by data quality and
    report guidelines include important, costs.such as the incremental costs
    for premiums on low sulfur fuel.  It is recognized that the estimated
    costs reported here are higher than those.reported earlier and felt.
    that this is attributable to our increasing understanding of the :problem.
    It is.believed..,that more definitive .studies are urgently needed to pro-
    vide better.estimates.

5)  Ultimate Disposal ..of .Collected Pollutant

         The problem of ultimate disposal of potential pollutants from
    combustion., processes is one of great national importance which has in
    the past not. received the attention it warrants.  The planned control
    of pollution..from..combustion will produce..either .vast quantities of
    calcium.sulfate..sludge and fly ash .from "throwaway" processes and/or
    large quantities, of sulfur or sulfuric acid produced by by-product pro-
    cesses installed in the gas fields, refineries and on power stations.
    The magnitude of the problem can be. illustrated by the following
    examples..from.present study.  From Figure 3 it can be seen that under
    the assumed study about 6 million tons of sulfur oxide would be collected
    using limestone scrubbing processes.  For this quantity, controlled with
    limestone scrubbing, it would be necessary to mine and ship to power
    plant sites about 20 million tons of limestone„  Also it would be neces-
    sary to dispose of almost 90 million tons per year of fly ash-calcium
    sulfate sludge which is contaminated with soluble nitrate compounds
    having potential for pollution of streams and ground water.

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                                                   PROCESSES RESEARCH. INC.
                                                 NEW YORK   CINCINNATI    CHICAGO
                           Page 18
         Recovery of sulfur values as a by-product for marketing is also
    a solution of limited applicability.  A study of future world sulfur
    supply and demand has predicted a continuing surplus of sulfur from
    conventional sources until 1985.  Abatement derived sulfur will not
    be required until about 1990 to balance supply and demand0*

         Even cleaning coal with available mechanical methods, an approach
    which offers the potential for reduction of most sulfur at least cost,
    is not without problems from the standpoint of ultimate disposal.  For
    the assumed strategy it was calculated that 2.25 million tons of sulfur
    would! not be emitted to the atmosphere.  This would require that an
    estimated 21 million tons of coal cleaning refuse be stored using
    methods that will prevent the piles from becoming future sources of
    acid water drainage or air pollution from burning culnu  There seems
    to be little question that disposal of ash and sulfur near the mine
    site is more economical than collection and disposal after combustion
    of the fuel but significant costs are still involved.

6)  Meeting Future Energy Requirements

         The problem of containment of air pollution from combustion pro-
    cesses is only one part of the greater problem of finding ways to meet
    future energy requirements without producing massive environmental
    insult.  Again, reference to Figure 3 provides some indication of the
    potential impact of air pollution control on the problem of meeting
    future energy requirements.  The control strategy assumes that 8.7
    million tons of sulfur oxides will be prevented from entering the at-
    mosphere by mining low sulfur coal.  This means that an estimated 245
    million tons of high sulfur coal which otherwise would be mined will
    not be mined in the year 1980 alone.  This amounts to a significant
    new restraint being imposed on ways for meeting the 1980 fuel require-
    ments.  Costs will be incurred in opening new mines for low sulfur coal.
    Additional cost would doubtless be incurred because of increases in the
    cost to transport fuels to market.  Further, the restraint in freedom
    to exploit our most significant source of domestic fuel will increase
    our degree of dependence on foreign fuels and will cause corresponding
    increases in the cost of fuels we import.

         Figure 3 also shows that 6.6 million tons of sulfur oxides will
    be prevented from entering the atmosphere through the use of residual
    fuels desulfurized to an average of ,87 percent sulfur.  Production
    of desulfurized residual fuels would require large expansion in exist-
    ing U. S. desulfurization capacity.  Also it would require better than
    a 100 percent increase in our consumption of residual fuels which by
    1980 would, if present trends continue, come almost exclusively from
    foreign sources.

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                                                      PROCESSES RESEARCH. INC.
                                                     NEW YORK   CINCINNATI   CHICAGO
                               Page 19
7)  Need for National Fuels Management

         Planned allocation of available clean fuel supplies is essential to
    accomplishing the desired reduction in emissions.  It is feasible to con-
    trol certain emitting sectors only by substitution of low polluting fuels
    and improved combustion technology.  Those sectors, the domestic, com-
    mercial and certain industry activities which consist of a large number of
    small consumers each individually emitting near ground level can be con-
    trolled only through use of clean, non-polluting fuels and sound combustion
    practice.  These consumers require large amounts of fuel, about 50 percent
    of the total energy requirements.  The stimulation of the selected use of
    clean fuels is an important abatement practice already applied in many
    major localities.  However, there are some such practices which are open to
    question regarding consumption of clean fuels by sectors more amenable to
    the application of other abatement practices in view of the limited avail-
    ability of clean fuels.

         The practice of consuming large quantities of low polluting fuels for
    which there are inadequate long-term reserves by high demand, large capacity
    users is questionable.  For example, the use of natural gas to produce
    electricty with subsequent transmission and reconversion to heat in the
    home results in a loss of about 70 percent of the total chemical heat energy
    of the gas.  The energy of the gas, if burned directly in the home to pro-
    duce heat, can be recovered with some 20 percent loss in efficiency of
    conversion process.  Thus, we can conserve some 50 percent of the energy
    of natural gas if converted from chemical to heat energy on site rather than
    going through the intermediate steps required to convert this energy to
    electricity and then back to heat.  The increasing use of air conditioning
    and electrical heating in domestic and commercial sectors aggravate this
    problem.  This practice requires closer examination and consideration in the
    framework of an energy management policy and activity.

8)  The Impact of Fine Particle Emissions

         It is important to bear in mind that with more widespread application
    of control techniques the relative proportion of fine participate matter
    (less than 10 microns in size) emitted, compared with the larger sized par-
    ticulates will increase.  The impact of this relative increase in the pro-
    portion of fine particulate emissions cannot be estimated upon the existing
    data base.

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                                                      PROCESSES RESEARCH. INC.
                                                    NEW YORK   CINCINNATI   CHICAGO
                              Page 20
                    SECTION III - CONCLUSIONS
     While the present study was modest in scope and was accomplished using
only data which were available from the literature, it nevertheless has
served to illustrate the complexity of the interrelated problems of pollu-
tion control and energy production.  Further, certain conclusions,
independent of the accuracy of the data available and assumptions, can be
drawn.

     It can be concluded that potential for pollution from fuels combustion
is increasing rapidly.  Projected sulfur oxide emissions are expected, on
the basis of estimated energy demand to be about twice the 25 million tons
emitted in 1968 unless widespread application of control technology is
practiced.  A similar situation exists for nitrogen oxides, and in the case
of particulates, only the continuing use of effective particulate control
prevents drastic increases (approximately 10 fold) in particulate emissions.
It is also apparent that avoiding massive environmental insult will be
expensive.  The cost to control sulfur oxides, nitrogen oxides and particu-
late emissions from fuel combustion to levels approximating those now
existing will amount to billions of dollars per year.

     It is also apparent that meeting future demand for "clean" fuel will
seriously complicate the already serious problems associated with meeting
future energy requirements for the U. S.  National planning will be required
to assure that the needed mix of fuels is available at any price.  Our most
abundant fuel, coal, is usually high in sulfur which often is not amenable
to removal prior to combustion.  It is apparent that we will be required to
use all available means including desulfurization of fuels where possible,
substitution of low sulfur fuels where available, and stack gas cleaning
where necessary to meet energy demands without undesirable levels of pollu-
tion, unacceptable economic impact or dependence on foreign supplies of fuel.
The problem is not limited to potential pollution from power generation.
Containment of pollution from burning of fuels for domestic, commercial and
industrial purposes other than power production will require management of
the production and consumption of low sulfur fuels, particularly gas and
distillate fuels.

     Meeting 1980 demand for the distillate fuels which will be required to
minimize pollution calls for planned expansions of refinery facilities and
consideration of adjustment to fuel regulation policies, particularly those
relating to import regulations, to assure that necessary facilities can be
available by 1980 without unnecessary investment abroad.

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                                                     PROCESSES RESEARCH. INC.
                                                    NEW YORK   CINCINNATI   CHICAGO
                              Page 21
     It is also clear that action is needed now to assure that technology
which will be needed in the immediate future is made available.  Many of
the techniques which will be needed to control pollution from combustion
in 1980 and beyond are still under development.  Stack gas cleaning systems
and processes for conversion of coal to "clean" fuel are the most important
examples of technology which must be developed, demonstrated and utilized
in the shortest possible time to meet future needs.  Means for controlling
nitrogen oxides from combustion systems must be developed to a much higher
degree before significant reductions in national emissions will be possible.
Also our present capability for control of very fine particulates and par-
ticulates which are emitted with offensive co-contaminants is inadequate
for future needs.

     Further it is apparent that better data and more sophisticated methods
for forecasting, planning, and managing our fuels production and consumption
practices are needed.  Many examples can be cited.  We are still in doubt
as to the relative importance of urban, rural and global effects and the
relative importance of area sources and point sources is understood only in
a qualitative way.  This lack of understanding leads to difficulties in
setting meaningful priorities for emission control.  We are also faced with
many anomolies in the present practices of fuel utilization.

     At a time when natural gas needs to be conserved regulatory and price
control practices encourage consumption and act to discourage exploration
to identify new reserves.  We are facing possible power shortages yet
utilities continue to encourage higher consumption.  We continuously strive
for increases in the efficiency with which we use fuels and at the same
time we burn gas to produce electricity and use electricity to heat homes
when direct use of gas for heating would prevent a 50 percent loss of the
energy in the gas.  At a time when it is apparent that great national
savings could be realized by using available technology to remove large
amounts of ash and sulfur at the mine we continue to pay unnecessary
penalties for transport of ash, overdesign of boilers to accomodate lower
quality fuel, and in the form of higher costs to remove the larger quantities
of particulates and sulfur oxides from the products of power station
combustion.

     It is apparent that great changes in the traditional approaches to
production and consumption of fuels can be expected between now and 1980.
Nationally, our expectations for a clean environment are in conflict with
our ambitions for continued economic growth... changes in fuels management
practices will be the key to reaching a satisfactory compromise.

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                                                PROCESSES RESEARCH.  INC.
                                              NEW YORK   CINCINNATI   CHICAGO
                        Page 22
                     SECTION IV


            U. S. NATIONAL REPORT  TO  THE

          JOINT GROUP ON AIR POLLUTION FROM

       FUEL COMBUSTION IN STATIONARY  SOURCES -

ORGANIZATION FOR ECONOMIC COOPERATION AND DEVELOPMENT

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                 Page 23
THE U. S. NATIONAL REPORT TO THE O.E.C.D.




      JOINT GROUP ON AIR POLLUTION




                  FROM




            FUEL COMBUSTION
             JUNE 11, 1971




         REVISED NOVEMBER 1971
              Prepared For



         Office of Air Programs



     Environmental Protection Agency
              Prepared By




        Processes Research, Inc.



            Cincinnati, Ohio




        Under Contract CPA 70-1




       Task Orders No, 7 and 19

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                                      24
                            TABLE OF CONTENTS
                                                                  Page No.
Chapter I


Chapter II

Chapter III

Chapter IV

Chapter V

Annex I


Annex II


Annex III

Annex IV

Annex V


Annex VI

Annex VII

Annex VIII

Annex IX

Annex X

Annex XI
PREFACE

POLLUTANT EMISSIONS FROM BURNING FOSSIL
FUELS                            '

ALTERNATE POLLUTION ABATEMENT TECHNIQUES

POLLUTANT ABATEMENT STRATEGY FOR THE UNITED STATES

THE PROJECTED SITUATION FOR 1980

BASIS FOR COSTING OF POLLUTION CONTROL IN 1980

List of Publications and Source Material
Referred to In This Report

Description of Fossil Fuels Used in the United
States

Description of the Industry Sectors

Basis for Predicting Fuel Consumption in 1980

Factors for Calculating Emission Rates of
Pollutants

Fuel Cleaning

Advances in Combustion Technology

Flue Gas Cleaning

Costs of Cleaning Coal

Cost of Desulfurizing Oil

Costs of Combustion Control
 1

 9

14

15

21


27


31

34

38


41

47

50

53

55

57

60

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                                 Page  25
                                                                  Page No.

Annex XII     Costs of Flue Gas Cleaning                             64

Annex XIII    Waste Disposal                                         67

Table 1       United States Fossil Fuel Consumption in I960           4

Table 2       Consumption of Fuel and Resulting Stack Gas
              Emissions 1960                                          5

Table 3       United States Fossil Fuel Consumption in 1968           6

Table 4       United States Fossil Fuel Consumption in 1970           7

Table 5       Consumption of Fuel and Resulting Stack Gas
              Emissions 1970                                          8

Table 6       United States Fossil Fuel Consumption in 1980          16

Table 7       Consumption of Fuel with Uncontrolled Flue Gas
              Emission 1980                                          17

Table 8       Consumption of Fuel with Flue Gas Emissions
              Controlled to 1970 Level                               19

Table 9       Consumption of Fuel with Flue Gas Emissions
              Controlled to 1960 Level                               20

Table 10      Calculated Investment Costs of Abatement Strategy
              in the United States for Control of 1980
              Pollutant Emissions to 1970 Level                      23

Table 11      Calculated Investment Costs of Abatement Strategy
              in the United States for Control of 1980
              Pollutant Emissions to 1960 Level                      24

Table 12      Yearly Operating Costs for Reducing 1980 Air
              Pollutants to 1970 Levels in the United States         25

Table 13      Yearly Operating Costs for Reducing 1980 Air
              Pollutants to 1960 Levels in the United States         26
                                    ii

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                                 Page 26
                                                                  Page No.

Table 14      Large Volume Natural Gas Utility Sales
              to Other Industry Sector                               37

Table 15      Emission Factors, Power Stations                       A3

Table 16      Emission Factors, Industrial Boilers                   44

Table 17      Emission Factors, Domestic and Commercial              45

Table 18      Emission Factor for NOX, Refineries                    46
                                  iii

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                                 Page 27
                     AIR POLLUTION FROM FOSSIL FUEL
                    COMBUSTION IN STATIONARY SOURCES
                          IN THE UNITED STATES
                                 PREFACE
1.      This report has been prepared to conform to the criteria established
by O.E.C.D. in "A Report on Air Pollution from Fuel Combustion in Stationary
Sources as A Guideline for National Reporting".

2.      The rates of emission of the specific air pollutants NOX, SOX>
and particulates that result from burning fossil fuels have been cal-
culated for the years 1960 and 1970.  The emissions have been calculated
from the most recent data on how much of these pollutants the various
fuels produce under varying conditions of burning.  These data show how
the pollutant picture has changed in the last decade in the United
States.

3.      Fossil fuel consumptions have been predicted for 1980, and from
these predictions, the uncontrolled pollutant emissions have been determined
using the same methodology as 1960 and 1970.  Therefore, each fuel and
industry sector can be considered for its effect on air pollution.

4.      An overall strategy for reducing the pollution of various sectors
has been presented.  This strategy has been applied to show means for
reducing pollutant emissions to either 1970 levels (a 42 percent reduction
in potential emissions for NOX and a 54 percent reduction in projected
emissions for SOX) or 1960 levels (a 67 percent reduction in projected
levels for NOX and a 63 percent reduction in projected SOX emissions).  The
state of the technology is sufficiently well developed that the strategy
can be regarded as technically feasible.  The situation in the United
States for establishing and accomplishing air quality goals is in a
rapidly evolving state at this time.  The concept of National Emission
Standards and Standards of Performance for certain industrial segments
was instituted by the  Clean Air  Act of 1970.  Because the situation has
been rapidly changing, even during the preparation of the U. S. National
Report, it is not possible to indicate how well the estimates contained
in the National Report will truly represent the future picture as dictated
by the mechanisms finally adopted for achieving clean air.

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                                 Page 28
        One of the formidable problems encountered was the rationalization
for and selection of the targeted emission levels.  Because such levels
are only now being established through the basis of the Clean Air Act
of 1970, i.e., basis of best demonstrated control, the level of emission
control could not be based on permissible emission factors or on ambient
air quality guides.  Target goals are based on control to 1960 and 1970
levels to provide at least some order-of-magnitude estimate for total
national control.

5.      Costs have been developed to estimate some of the important
national costs for holding 1980 emissions to the levels estimated for
1960 and 1970.

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                                 Page 29
                                CHAPTER I
              POLLUTANT EMISSIONS FROM BURNING FOSSIL FUELS
1.      A modern industrial society consumes large quantities of fossil
fuel, converting it to energy by burning.  Sulfur oxides, nitrogen oxides,
and particulates (unburned carbon and nonburnable ash) are the main pol-
lutants emitted by stationary fuel combustion sources.  Other pollutants
emitted from these stationary sources are carbon monoxide, cyanides,
hydrocarbons, and trace minerals, as well as waste heat.  This report
deals only with NOX, SOX, and particulates emitted in the United States.

2.      The stationary sources of pollution from burning fossil fuels
have been divided into various user-oriented categories.  These categor-
ies per O.E.C.D. guidelines are:

        (a)  Power stations

        (b)  Oil and gas production

        (c)  Oil refineries

        (d)  Coke ovens

        (e)  Iron and steel

        (f)  Cement

        (g)  Other industries

        (h)  Domestic and commercial

The use of these categories gives groupings of similar pollution sources.
It permits air pollution due to operation of a specific process (such as
iron oxides from steel furnaces) to be cataloged separately from the air
pollution which emanates from the fossil fuel.  Also, it permits quanti-
fication of emission contributions from various sectors, e.g., homes
burning gas produce one-fourth as much NOX as power stations burning gas
(Tables 6 and 8).

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                                 Page  30
3.      In some situations certain operations overlapped more than one
sector as defined by O.E.C.D.  For example in 1967 in the "iron and steel"
sector 28 percent of the electricity was self-generated and 72 percent
was purchased from the "power stations" sector.  For reporting purposes,
the 28 percent was reported with the power station category.  This same
situation of part purchase and part generation is found in many other areas
such as chemicals, cement, and commercial buildings and was handled in
the same way.  Another closely coupled interrelation is between coking
ovens and iron and steel (see Annex III-2) where coke oven gas predom-
inantly goes into steel plants and blast furnace gas predominantly goes
into coke ovens (References 8, 10).  For reporting purposes, emissions
from combustion of coke oven gases were included with iron and steel
while emissions from combustion of blast furnace gas was assigned to
the coke ovens sector.

4.      Using the fuel consumption rate for a given sector, the SOX emitted
can be assigned to that sector as a whole.  This can be seen in Tables 6,
7, and 8.  These figures give the total SOX for the United States with one
exception.  Natural gas is produced in the oil fields and gas fields and
generally contains hydrogen sulfide.  This is removed before the gas is
put into pipelines for use.  Much of the hydrogen sulfide is burned to SOX
in the fields, along with natural gas, to get energy to run the collection
system.  In this way the clean gas burned in the power stations and homes
creates SOX in the fields.  These emissions which by the guidelines supplied
should be charged to the oil refineries sector, could not be accounted for
despite the fact that they may represent a significant percent of the total
now and in the future.

5.      It should be noted that less is known about nitrogen oxides con-
cerning how they pollute and how they are formed.  If nitrogen compounds
are present in fuel, some of them will appear in the combustion gases (see
Annex V-5).  In addition, high temperature combustion in air causes NOx to
form from the nitrogen in the air; this is a situation usually present with
high excess air (Reference 11).  Coal is the only major fuel for which
nitrogen oxide emission data are generally available; emission factors for
gas and oil firing are less reliable so that an unquantified bias may be
present in the data.

6.      For purposes of the report all emissions were tabulated under the
industry in which the fuel was burned and when costs to control were calcu-
lated, it was done on the basis of cost to remove sulfur at the point in
the production-consumption cycle dictated by the control strategy.  As a
result, it was not possible to break costs down by industry, and national
totals are shown.

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                                  Page 31
7.      The consumption of fossil fuels in the various sectors in the
United States for I960 is shown in Table 1.  The pollutant emissions for
1960 were calculated by using emission factors of Tables 15, 16, 17, and
18.

8.      Stack gas emissions from burning fossil fuels in 1960 are sum-
marized in Table 2.  For this table, all the rates "have been converted
into metric units.  The fuel oil equivalent for all those fuels was cal-
culated on the basis that 1 million metric tons of heavy oil had a
higher heating value of 41.91 x lO*2 Btu.

9.      Fuel rates for 1968 are shown in Table 3 and the rates for 1970
are shown in Table 4,  O.E.C.D. has chosen 1968 for a base year, but for
convenience in preparation of this report 1970 has been selected as a
base year.  The pollutant emissions for 1970 are shown in metric units
in Table 5.

10.     Since 1966, virtually all new, large, coal-fired boilers and
furnaces have been erected with either a high efficiency wet scrubber
or an electrostatic precipitator as an integral component (References 6,
14, 15, 16, 17; 18).  This has come about due to legislation and com-
petitive pressures as well as improved technology.

11.     The 1980 participate emissions controlled to 1970 and 1960 levels
are on an assumed strategy basis which is achievable.  It is anticipated
that high efficiency electrostatic precipitators will be installed on the
majority of plants by 1980.  This would result in total particulate
emissions being reduced below the levels controlled to 1960 shown in this
report (Table 9).

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                                                  TABLE 1
                                          UNITED STATES FOSSIL
                                            FUEL CONSUMPTION
                                                   1960
               POWER
              STATION
                COKE
                OVEN
               OIL
             REFINERY
                OIL
              PRODUCT.
              IRON &
              STEEL
              CEMENT
               OTHER
              DOMES!.
             & COMC'L.
NATURAL
 GAS
1723. x 109
       ft.3
  5 x 109
       ft.3
77-S. x 109
      ft.3
2122 x 109
      ft.3
378 x 10*
     ft.3
171.3 x 109
       ft.3
5528 x 109
      ft.3
4122 x 109
       ft.3
MANUFAC
  TURED
    GAS
£7.63 x 109
;       ft.3
302.7 x 109
       ft.3
                        380.2 x 109
                               ft.3
                          0.7 x 109
                               ft.3
                           n.a.
                         27.64 x 109
                                ft.3
BLAST
  FURNACE
    GAS  '
             337.7 x 109
                    ft.3
                                       n.a.
REFINERY
  GAS
 L.P.G.
                                                  7.96 x 106
                                                       Gals.
                                                             199.  x 106
                                                                  Gals.
                                                             1950.  x 106
                                                                   Gals.
 HEAVY
FUEL OIL
95.4 x 106
     Bbls.
            45.05 x 106
                  Bbls.
                        49.50 x 106
                              Bbls.
                        4.035 x 106
                              Bbls.
                        115.8 x 10e
                              Bbls.
                         125.0 x 106
                               Bbls.
FUEL OIL
4.746 x 106
      Bbls.
             8.34 x 106
                  Bbls.
                                                 34.25 x
                                                       Bbls.
                                                 438.  x 106
                                                      Bbls.
 BROWN
  COAL
2.289 x 10*
      Tons
  HARD
  COAL
172. x 106
     Tons
                                    7.57 x 106
                                         Tons
                                    8.27 x 106
                                         Tons
                                     82.90 x 106
                                           Tons
                                    40.25 x 106
                                          Tons
  COKE
              n.a.
                                                                                         n.a.
                                                                                                     n.a.
 n.a. = data not available.

-------
         Regional Group - United  States
                                                                                 TABLE 2
                                                                           CONSUMPTION OF FUEL
                                                                  AND RESULTING STACK GAS EMISSIONS
                                                                      (DERIVED FROM TABLE 1 DATA)
Year 1960
Original OECD Figures
and million tons oil
equivalent
Sectors


Public power stations




Blast furnace gas and
B.K.B. not applicable

Refineries



Coke-ovens

Coke not consumed as
a fuel

Iron and steel




Coke not consumed as
a fuel

Other industries




Blast furnace gas,
Brown coal and B.K.B.
not applicable

Domestic and others




Blast furnace gas,
B.K.B., patent fuel,
coke end brown coal
not applicable

GRAND TOTAL
Type of Fuel


Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Brown coal
Coke
Total
Natural gas
Light fuel oil
Heavy fuel oil
Total
Blast furnace gas
Manufactured gas
Natural Gas
Total
Natural gas
Manufactured gas
Blast furnace gas
Heavy fuel oil
Light fuel oil
Hard coal
L.P.G.
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal

L.P.G.

Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal


L.F.G.

Total

Fuel
Units

Teal
"
thousand metric tons
it ii ii
it ii ii
ti ii ii
ti ti ii

Teal
thousand metric tons


Teal
tl
It

Teal
ti
ti
thousand metric tons
it tt ii
M tt tt
II II II

Teal
11
thousand metric tons
ti it ii
n ii tt

M II II


Teal
II
thousand metric tons
tt tl M
II II ft


tt tl tl



Fuel
Rate

457.8 x 1012
3.79 x 1012
660.0
12,850.
96,900.
1,090.
n.a.

675.0 x 1012
1,160.
6,780.
-
8.06 x 10*2
41.77 x 101Z
1.26 x 1012
-
99.28 x 1012
52.54 x 1012
n.a.
7,450.
20.
4,260.
18.
-
1,451.0 x 1012
n.a.
4,760.
17,420.
46,700.

450.

-
1,082. x 101217
3.79 x 10J
60,900.
18,800.
22,680.


4,440.



NO*
Millions of
Metric Tons
0.305
0.003
0.010
0.190
1.560
0.021
n.a.
2.089
0.825
0.011
0.057
0.893
0.004
0.015
neg.
0.019
0.036
0.019
n.a.
0.068
neg.
0.069
neg.
0.192
0.552
n.a.
0.047
0.068
0.069

0.004

0.740
0.140
0.001
0.354
0.100
0.146


0.035

0.776
4.709
SOx
Millions of
Metric Tons
0.001
0.018
0.005
0.741
8.020
0.040
n.a.
8.825
0.001
0.007
0.350
0.358
neg.
0.194
neg.
0.194
neg.
0.245
n.a.
0.386
neg.
0.354
neg.
0.985
0.002
n.a.
0.028
0.930
4.230

neg.

5.190
0.001
0.018
0.356
0.971
1.968


neg.

3.314
18.866
Par ticu late
Millions of
Metric Tons
0.012
neg.
0.001
0.015
2.675
0.035
n.a.
2.738
0.236
0.004
0.017
0.257
0.003
0.003
neg.
0.006
0.003
0.003
n.a.
0.019
neg.
0.236
neg.
0.261
0.047
n.a.
0.013
0.045
2.830

0.001

2.936
0.035
neg.
0.083
0.024
0.365


0.006

0.513
6.710
Fuel Rate
Million Metric Tons
Oil equivalent
43.5
0.36
0.66
12.85
96.90
1.09
n.a.
155.36
63.22
1.16
6.78
71.16
0.766
3.97
0.12
4.856
9.435
4.99
n.a.
7.45
0.02
4.26
0.018
26.155
137.9
a. a.
4.76
17.42
46.7

0.45

207.23
102.8
0.36
60.9 !
18.8
22.68


4.44 ;

209.98
674.741
n.a.
neg.
« data not available
« less than 0.001

-------
                                                   TABLE 3
                                            UNITED STATES FOSSIL
                                              FUEL CONSUMPTION'
                                                    1968
              POWER
              STATION
                COKE
                OVEN
               OIL
             REFINERY
                OIL
              PRODUCT.
              IRON &
              STEEL
         CEMENT
               OTHER
 DOMES!.
& COMC'L.
NATURAL
  GAS
3148 x 109
      ft.3
0.94 x 109
      ft.3
1.59 x 1012
      ft.3
1.07 x 10
      ft.3
                                                          12
                                                              509 x
ft.3
202.9 x 109
       ft.3
                  6.69 x
                                                                                           ft.
6.25 x 1012
      ft.3
MANUFAC
  TURED
     GAS
91.9 x 109
      ft.3
331.8 x 109
       ft.3
                          904 x 109
                               ft.3
                                    22.15 x 109
                                           ft.3
                              14.84 x 10*
                                     ft.3
BLAST
   FURNACE
     GAS
             552 x 10-
                  ft<-
                                     3.99 x 1012
                                           ft.3
 REFINERY
   GAS
   L.P.G.
                                                 14.61 x 10°
                                                        Gals
                                                                                          n.a.
                                                                                                     n.a.
  HEAVY
 FUEL OIL
185 x 10°
    Bbls.
            39.3 x 106
                 Bbls.
                         23.85 x 106
                               Bbls.
                         5.76 x 106
                              Bbls.
                  114.4 x 106 174.3 x 106
                                                                                           Bbls.
                                    Bbls.
FUEL OIL
8.51 x 10°
     Bbls.
            9.97 x 106
                 Bbls.
                          8.02 x 106
                               Bbls.
                                     49.3 x 106
                                          Bbls.
                              >10.7 x 106
                                    Bbls.
BROWN
  COAL
  6 x 106
    Tons
 HARD
 COAL
297.8 x 106
      Tons
                                      6.62 x 106
                                           Tons
                                       9.5 x 106
                                           Tons
                                     84.43 x 106
                                           Tons
                               19.97 x 106
                                     Tons
  COKE
 9.16 x 106
      Tons
n.a. « data not available,

-------
                                                  TABLE 4
                                           UNITED STATES FOSSIL
                                             FUEL CONSUMPTION
                                                    1970
              POWER
             STATION
                COKE
                OVEN
               OIL
             REFINERY
                OIL
              PRODUCT.
             IRON &
             STEEL
              CEMENT
               OTHER
              DOMES!.
             & COMC'L.
 NATURAL
   GAS
 3.45 x 1012
       ft.3
 1.09 x 109
       ft.3
1.029 x 1012
       ft.3
691. x 109
      ft.3
497.5 x 109
       ft.3
213.7 x 109
       ft.3
10.83 x 10
       ft.:
                                                                                               i;
7.00 x 10*2
      ft.3
 MANUFAC
   TURED
 91.3 x 109
       ft.3
329.5 x 109
       ft.3
                         883. x 109
                               ft.3
                                    22.0 x 109
                                          ft.3
                                      14 x 109
                                          ft.3
 BLAST
   FURNACE
     GAS
             547.5 x 109
                    ft.3
                                     3.898 x 10J
 REFINERY
   GAS
                                                                                                      5?
                                                                                                      8
                                                                                                      tt
   L.P.G.
                                     14.29 x 106
                                           Gals.
                                                     n.a.
                                                                 n.a,
  HEAVY
 FUEL OIL
 309 x 106
     Bbls.
             39.1 x 10°
                  Bbls.
                         23.33 x 106
                               Bbls.
                        6.08 x 106
                             Bbls.
                         106. x 106
                              Bbls.
                         190 x 106
                             Bbls.
 FUEL OIL
 14.0 x 106
      Bbls.
            13.23 x 106
                  Bbls.
                         7.835 x 106
                               Bbls.
                                   42.12 x 106
                                         Bbls.
                                     575 x 106
                                         Bbls.
 BROWN
  COAL
 7.51 x 10C
      Tons
  HARD
  COAL
316.0 x 10*
      Tons
                                      6.46 x 106
                                           Tons
                                       10 x 106
                                          Tons
                                   133.8 x 106
                                         Tons
                                     20.0 x 106
                                          Tons
  COKE
 9.16 x 106
      Tons
n.a. = data not available.

-------
      Regional Group  - United States
            TABLE 5
       CONSUMPTION OF FUEL
AND RESULTING STACK GAS EMISSIONS
    (DERIVED FROM TABLE 4 DATA)
Year 1970
Original OECD Figures
and million tons oil
eqlova;emt
Sectors
Public power stations
Blast furnace gas and
B.K.B. not applicable

Refineries

Coke-ovens
Coke not consumed as
a fuel

Iron and steel
Coke not consumed as
a fuel

Other industries
Brown coal and B.K.B.
not applicable

Domestic and others
Blast furnace gas,
B.K.B., patent fuel,
coke, and brown coal
not applicable

GRAND TOTAL
Type of Fuel
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Brown coal
Coke
Total
Natural gas
Light fuel oil
Heavy fuel oil
Total
Blast furnace gas
Manufactured gas
Natural gas
Total
Natural gas
Manufactured gas
Blast furnace gas
Heavy fuel oil
Light fuel oil
Hard coal
L.P.G.
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
L.P.G.
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
L.P.G.
Total

Fuel
Units
Teal
M
thousand metric tons
n ti it
n it it
n ti it
ti ii ti

Teal
thousand metric tons
ii n n

Teal
II
It

Teal
n
it
thousand metric tons
M tl tl
II II II
11 II tl

Teal
ti
thousand metric tons
tt it H
n ti ii
ii ti M

Teal
II
thousand metric tons
ii ii n
it ii H
n H it


Fuel
Rate
906. x 1012
12.63 x 1012
1,770.
46,480.
178,000.
2,975.
4,810

441.0 x 1012
1,670.
5,880.
-
13.07 x 1012
45.51 x 10j;
0.28 x 101
-
130.6 x lo}2
120.8 x 101,
95.04 x 101
3,512.
989.
3,660.
36.

2,898. x 10 !-2
3.05 x 10 w
5,315.
16,870.
81,050.
n.a.
-
1,837. x 10-2
1.90 x LO"
72,600.
28,580.
11,260.
n.a.
-
-
Nox
Millions of
Metric Tons
0.608
0.008
0.028
0.617
2.866
0.068
0.084
4.279
1.090
0.017
0.050
1.157
neg.
0.016
neg.
0.016
0.047
0.044
neg.
0.032
0.011
0.059
neg.
0.193
1.073
neg.
0.058
0.153
1.306
n.a.
2.590
0.231
neg.
0.463
0.152
0.073
n.a.
0.919
9.154
S°x
Millions of
Metric Tons
0.001
0.059
0.013
2.403
14.690
0.130
0.158
174454
0.001
0.011
0.305
0.317
0.005
0.212
neg.
0.217
neg.
0.563
neg.
0.181
0.006
0.299
neg.
1.049
0.003
0.018
0.034
0.872
6.675
n.a.
7.602
0.003
0.009
0.468
1.478
0.934
n.a.
2.892
29.531
Particulate
Millions of
Metric Tons
0.024
0.001
0.002
0.047
4-. 900
0.117
0.142
5.233
0.014
0.005
0.015
0.034
0.004
0.003
neg.
0.007
0.005
0.007
neg.
0.009
0.003
0.200
neg.
0.224
0.091
neg.
0.016
0.044
4.835
n.a.
4.986
0.061
neg.
0.109
0.036
0.181
n.a.
0.387
10.871
Fuel Rate
Million Metric Tons
Oil equivalent
86.16
1.20
1.77
46.48
178.0
2.975
4-. 81
321.395
42.92
1.67
5.88
50.470
1.243
4.328
0.027
5.598
12.42
11.58
9.036
3.512
0.989
3.66
0.036
41.233
275.5
0.29
5.315
16.87
81.05
n.a.
379.025
174.6
0.18
72.60
28.58
11.26
n.a.
287.22
1084.941
n.a. - data not available
neg. = less than 0.001

-------
                                Page 37
                              CHAPTER II
               ALTERNATE POLLUTION ABATEMENT TECHNIQUES
12.     Many methods for pollution abatement are under investigation and
in various stages of development.   An attempt is made herein to give a
brief description of those more suitable.for large scale application in
the immediate future.

13.     The rate at which technology under development can be made op-
erational on a significant scale must be considered before deciding on a
control strategy to be applied in the next 10 years.  Processes in advanced
development now can have significant impact by 1980.  A process for cata-
lytic oxidation of SC>2 and C^ in the flue gases to produce SO3 which reacts
with H£0 to produce H2SO^ is being scaled up to control a full scale boiler.
Also at present, limestone-based processes are processes being studied on
full scale equipment.  On the basis of this work, it is assumed that flue
gas cleaning would be used along with fuel substitution to achieve the
desired level of control.  For simplicity in developing costs, all flue
gas cleaning will be limestone scrubbing even though other processes may be
in service in 1980.

1A.     Methods of pollution abatement that are suitable for use will vary
with the size of the installation.  Intermediate sized commercial and in-
dustrial boilers have the least number of options available of all the
stationary pollutant emitters, due primarily to their small size and non-
standard installations.  Being small, owners frequently cannot negotiate
long-term contracts for any particular fuel.  With the government regula-
ting gas distribution to ensure that it gets to dometic and service users
(such as hospitals), they cannot readily use alternate fuels.  Their small
size makes any stack scrubbing system very costly.

15.     Obviously, processes that reduce pollution loads for all three of
the major pollutants simultaneously are desirable.  Methods to achieve
simultaneous reductions are described below.

        (a)  Nuclear energy is air pollution free with respect to the
             three major pollutants under consideration.  It does, how-
             ever, present other problems, such as thermal pollution,
             air contamination from radioactive gases, and contamination
             from radioactive solid and liquid wastes and pollution which
             results from fuel reprocessing.  The rate of increase in

-------
                       Page 38
     nuclear generating capacity in the next  nine years  will not
     be great enough to prevent large increases in fossil fuel
     pollution (Reference 37).

(b)   Tall stacks have been widely used to dispense pollutants<,
     Furthermore, the criterion of tall stacks  is inherent in
     many local laws restricting the sulfur content of fuels
     burned.   However, if pollution from combustion is to be
     considered as a problem which should not be passed  on with-
     out consent to neighboring countries, this approach cannot
     be considered as a satisfactory solution to international
     problems.

(c)   Fuel substitution is the most direct and simplest method of
     reducing air pollution from any stationary source.   This
     can consist of using a higher quality fuel of the same type,
     e.g., low sulfur coal instead of high sulfur coal;  or of
     changing the type of fuel, e.g., using natural gas  instead
     of coal.  The extent of fuel substitution  which is  possible
     in the United States is seriously limited  by the size and
     accessibility of reserves  of low pollution fuels.

(d)   Gas turbines have become significant factors in power genera-
     tion in the last few years.  They are low  cost units generating
     electricity from a gas and emitting little in the way of air
     pollutants (see Tables 15  and 18).  However, they have low
     efficiency (References 20, 22) operating at 24 percent com-
     pared to a steam electric  plant using gas  at 33 percent.  If
     the government did not regulate prices,  their economic ad-
     vantages would be materially decreased.  The main impact they
     have on pollution is that  turbines consume more of  a clean
     fuel to generate a given quantity of electricity than does a
     steam plant.  Since natural gas is in short supply,  widespread
     use of gas turbines in power generation  is not desirable on
     a long-term basis except as they may be  adapted for use with
     gas produced from coal or  residual oil.  Where they can be
     used with cleaned gas produced from residual oil or coal in
     combined gas-steam cycles  they are believed to offer potential
     efficiency which will offset significant portions of the
     cost to control pollution  beyond 1980.
                          10

-------
                                Page 39
       (e)   Fluid bed  combustion,  in which  the burning  fuel  is  combined
            with  a bed consisting  mainly of limestone particles, offers
            a potential method  for reduction of sulfur  oxide and nitro-
            gen oxides.   This process  is in early  development stages,
            and it is  consequently not possible to establish what pollu-
            tion  reductions  can be attained and what the engineering
            design parameters are  for  full  scale operation.  There  is
            little likelihood that it  can be used  to any great  extent
            by 1980.   (Reference 32)

       (f)   Coal  can be converted  to a low  calorific value gas  suitable
            for power  generation by gasification with air.   The sulfur
            and participates can be removed from the smaller volume of
            gas much more economically than they can from the larger
            volumes of combustion  flue gas. This  gas must be produced
            at the site where it is to be used because  pipeline trans-
            portation  costs  are excessive for a low heating  value gas.
            Coal  gasification to make  a substitute natural gas  with a
            high  heating value  is  also technically feasible, but time
            required for necessary development and construction of  pro-
            cesses makes it  unlikely that this approach will contribute
            to control of pollution in the  next nine years.

>.      For  the control of sulfur oxides, specifically,  the following
ithods  can  be utilized:

       (a)   Fuel  substitution by mining more low sulfur coal to replace
            some  of the high sulfur coal being used.  There  are large re-
            serves of  low sulfur coal, particularly in  the western  United
            States. However, their use has been restricted  because their
            location is remote  from users so that  use in the east would
            result in  high transportation cost.  With the pressing  need
            for low sulfur fuels,  mining of more of this coal can be
            justified.

       (b)   The mechanical desulfurization  of coal is one of the cheapest
            ways  to reduce SOX.  Coal  preparation  or coal washing has
            been  a standard  commercial practice for many years.  In most
            instances  the coal  was cleaned  to reduce the ash content of
            the coal.   Until recently, little attention was  paid to the
            special problem  of  sulfur  reduction by coal preparation.
            Studies of coal  seams  have shown that  there are  large re-
            serves of  coal which can be deep cleaned to less than 1 per-
            cent  pyritic sulfur content.
                                  11

-------
                                  Page 40
        (c)  Desulfurization of residual fuel oil to I percent sulfur, or
             less, is commercially feasible and is practiced to a limited
             extent.  Most of the processes are in the development stage,
             and costs are high.  Research to achieve better catalysts
             and catalyst life, higher throughput, lower operating tem-
             peratures and pressures, and reduction in hydrogen consump-
             tion, should result in reduced costs.

        (d)  There are a number of flue gas cleaning processes in various
             stages of development.  These are classified as either
             throw-away processes, with SOX removed as a waste product, or
             by-product recovery, with recovery of sulfur or sulfuric acid.
             The most promising of the throw-away processes are limestone
             injection and wet scrubbing or lime scrubbing.  These have
             been under development for some time, but remain to be proved
             reliable on a commercial scale.  The large quantities of
             sludge formed present a disposal problem.  Other throw-away
             processes are sodium bicarbonate dry injection and ammonia
             scrubbing with recovery of ammonia.  The former presents
             the problem of disposing of water-soluble sodium sulfate,
             and the latter presents a solid waste disposal problem.  By-
             product recovery processes, such as magnesium oxide scrubbing,
             potassium sulfite, and catalytic oxidation have yet to be
             demonstrated on a commercial scale.

17.     The control of NOX as an air pollutant is in need of further re-
search.  Any high temperature combustion process using air as a source of
oxygen forms NOX from the nitrogen in the air.  Any fuel containing nitro-
gen will also form NOX by oxidizing of the nitrogenous material.  Fieldwork
on full scale boilers has shown that by various combinations of techniques,
NOX can be held down to 200 ppm in the stack gas as discussed in Annex VII.
The three most practicable methods in terms of technology today are:

        (a)  Low excess air.  A low proportion of air above the stoichio-
             metric amount to oxidize the fuel, in the order of about 10
             percent by volume, permits fuel combustion to take place with
             a low formation of NOV.
                                  A

        (b)  Flue gas recirculation.  Returning about 10 percent of the
             stack gas back into the flame zone of a boiler or furnace has
             a measureable effect on NOX formation, as pointed out in
             Annex VII.
                                   12

-------
                                  Page 41
        (c)  Two-stage combustion which employs a lower temperature reduc-
             ing atmosphere section, i.e., less than stoichiometric air,
             followed by a second oxidizing atmosphere section.  The design
             is highly specialized, and since the technology has not be-
             come widespread, this was not considered in the strategy.
                                                f
19.     Fluid bed combustion has come to the fore as a promising technique
of burning coal in a fluidized bed of limestone.  The limestone effectively
ties up the sulfur to materially reduce SOX emissions but its benefits on
NOX depend on the fuel.  This is currently confined to the pilot plant
stage, and therefore was not considered part of the abatement strategy.

20.     A side benefit of SOX reduction using wet alkali scrubbing of
stack gases is some reduction in the NOX.  A 20 percent removal was
assumed for calculation of emissions.  The effectiveness is lower for
NOX than for SOX, so its benefit is incidental.  The benefit is shown
in Table 9 compared to Table 8 where the 1960 level emissions are lower
than the 1970 level emissions as a result of more extensive scrubbing
to reduce SOX.  The strategy for combustion control in 1970 control is
the same as in 1960, but the lower NOX is due to more limestone scrubbing.

21.     Control of particulate emission is the area where technology is
the most advanced and widespread.  In the United States the trend to
control has been almost universal for all industry sectors, and coal-
fired furnaces have installed, since 1966, either electrostatic preci-
pitators or high energy wet scrubbers.  By 1980 it is projected that all
coal-fired equipment will have particulate collection equipment.  The
potential for emissions is shown in Table 7 (over 73 million tons).  It
is anticipated that the actual emissions for 1980 will be well below the
1960 level of 6.7 million tons.
                                    13

-------
                                  Page 42
                                CHAPTER III

            POLLUTANT ABATEMENT STRATEGY FOR THE UNITED STATES
22.     Because sulfur oxide control is the most important consideration
in control of pollution from combustion, the control strategy which was
developed was aimed primarily at maximum reduction in this pollutant.  In-
cidental benefits in NOX and particulate control resulting from application
of SOX control technology were factored into subsidiary programs for NOX
and particulate control.  Details of assumed strategies are discussed in
Chapter IV.

23.     No single approach for control of SOX can be considered practical
within the next ten years.  Fuel substitution is limited by the supplies
of clean fuels.  Flue gas scrubbing, even with well developed technology,
presents other problems such as disposal of large quantities of sludge and
possible water pollution.  For purpose of this report, tall stacks are not
to be considered as a positive control measure for pollutant capture.  The
strategy in the O.E.C.D. Guideline report of limiting the sulfur content
of oil and substituting low sulfur oil for coal has been ruled out because
existing legislation already limits the sulfur content of oil in many areas.
In addition, the total available quantity of oil in 1980 is not expected to
be sufficient to allow its complete substitution for coal.

24.     The strategy proposed includes a combination of four methods for
the control of SOX.  These are:

        (a)  Increased mining of low sulfur coal,

        (b)  Mechanical desulfurization of coal as described in Annex VI.

        (c)  Residual oil desulfurization as described in Annex VI.

        (d)  Flue gas cleaning by wet limestone scrubbing as discussed
             in Annex VIII.

25.     For control of NOX, the only known means likely to be implemented
on a large scale by 1980 is improved combustion techniques for lowering
operating temperatures.  This is discussed in Annex VII.

26. -,.'•  Particulates are expected to be controlled by the increased use of
electrostatic precipitators, following current trends, in addition to the
stack scrubbers used for SOX control.
                                    14

-------
                                Page 43
                              CHAPTER IV

                   THE PROJECTED SITUATION FOR 1980


27o     The consumption of fossil fuels in 1980 was predicted as described in
Annex IV and as listed in Tables 6 and 7.

28.     The uncontrolled emission of pollutants was calculated from the fuel
consumption and the emission factors discussed in Annex V and listed in Tables
15, 16, 17, and 18,

29.     The emission levels which would result from applying controls to limit
potential emissions for 1980 to about the level estimated for 1970 are shown
in Table 5.  Results of a similar exercise limiting potential emissions for
1980 emissions to 1960 levels are shown in Table 2.

30.     For the control of potential SOX emissions for 1980 to the estimated
1970 level, the control technology was assumed available as follows.

        (a)  Increased mining of low sulfur coal (0.7 percent S average) to
             the extent that it comprises 28 percent of the total coal
             production in 1980 for fuel usageo  Approximately 35 percent of
             this will come from the large reserves of low sulfur'coal in the
             western United States, and 65 percent from the low sulfur reserves
             in the eastern United States.

        (b)  Mechanically deep clean approximately 14 percent of the total
             coal usage to less than 1 percent sulfur content.  (0.7 per-
             cent S average)

        (c)  Install limestone flue gas scrubbers on 25 percent of the power
             station capacity using high sulfur coal.  This is equivalent to
             scrubbing the flue gas produced from about 14.6 percent of  all  coal
             burned.  The remaining 75 percent of the high sulfur coal-fired
             power stations emit their SO  uncontrolled.
                                         X
        (d)  The remaining about 4308 percent of all coal used in 1980 will be
             burned in power stations with no control for SOX emission.

        (e)  Desulfurize all residual fuel oil to be used in 1980 to 0.87
             percent sulfur content as discussed in Annex VI.

        (f)  There will be 150 new hydxotreating plants installed to meet
             the total capacity demands of heavy oil which is above the
             projected demands for light oil.
                                  15

-------
       TABLE 6
UNITED STATES FOSSIL
  FUEL CONSUMPTION
        1980

NATURAL
GAS
MANUFAC
TURED
GAS
BLAST
FURNACE
GAS
REFINERY
GAS
L.P.G.
HEAVY
FUEL OIL
FUEL OIL
BROWN
COAL
HARD
COAL

COKE
POWER
STATION
5.186 * 1012
ft.3
106.9 x 109
ft.3
^^
^

708 x 106
Bbls.
35.2 x 106
Bbls.
10.3 x 106
Tons
682. x 106
Tons

5.7 x 106
Tons
COKE
OVEN
1.09 x 109
ft.3
386. x 109
ft.3
640 x 109
ft.3
^^

/^
^^
^^
^^

^^
OIL
REFINERY
1362. x 109
ft.3
^^
^^
^^

33.9 x 106
Bbls .
19.05 x 106
Bbls.
^^
^^

/
OIL
PRODUCT.
992. '« 109
ft.3
^^
^^
^^

^^
^^
^^
^^

^
IRON &
STEEL
689.5 x 109
ft.3
1.225 x 1012
ft.3
5.AO x 1012
ft.3
^^

7.71 x 106
Bbls.
33.1 x 106
Bbls.
^^
9.0 x 106
Tons

^^
CEMENT
283.1 x 109
ft.3
^^
^^
^^

8.06 x 106
Bbls.
^^
^^
L3.28 x 106
Tons

^
OTHER
21.18 x 1012
ft.3
27.6 x 109
ft.3
^^
^^

126.5 x 106
Bbls.
A7.0 x 106
Bbls.
^^
L58.3 x 106
Tons

^^
DOMES! .
& COMC'L.
5.94 x 1012
ft.3
13.8 x 109
ft.3
^^
^^

288.6 x 106
Bbls.
682.0 x 106
Bbls.
^^
9.92 x 106
Tons

^^

-------
      Regional Group - United States
                                                                          TABLE  7
                                                                      CONSUMPTION OF  FUEL
                                                             WITH UNCONTROLLED FLUE  CAS EMISSION
                                                                   (DERIVED FROM  TABLE 6 DATA)
Year 1980
Original OECD Figures and
Billion ton* oil equivalent
Sectors
Public power stations
Blast furnace gas and
B.K.B. not applicable

Refineries

Coke-ovens
Coke not consumed as
a fuel

Iron and steel
Coke not consumed as
a fuel

Other industries
Blast furnace gas,
brown coal and B.K.B.
not applicable

Domestic and others
Blast furnace gas, B.K.B.
patent fuel, coke and
brown coal not applicable

GRAND TOTAL
Type of Fuel
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Brown coal
Coke
Total
Natural gas
Light fuel oil
Heavy fuel oil
Total
Blast furnace gas
Manufactured gas
Natural gas
Total
Natural gas
Manufactured gas
Blast furnace gas
Heavy fuel -oil
Light fuel oil
Hard coal
L.P.G.
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Total

Fuel
Units
Teal
ft
thousand metric tons
If II M
tt n n
it n n
it ti ti

Teal
thousand metric tons
M M II

Teal
tt
II

Teal
II
It
thousand metric tons
it H M
it M it
tt ti n

Teal
tl
thousand metric tons
ti n M
n n it

Teal
ti
thousand metric tons
ti n ti
it tt n


Fuel
Rate
1,362.5 x 1012
14.76 x 1012
4,436.
106,500.
384,300.
4,000.
3,810.
.
618. x 1012
2,400.
5,100.
-
15.26 > 1012
52.35 x 1012
0.28 x 1012
-
180.8 x lO}2
169.0 x 10"
128.9 x 101Z
1,160.
4,173.
5,070.
41.
-
5,640. x 1012
3.79 x 1012
6,550.
20,250.
89,800.
-
1,558. x 1012
1.89 x 1012
43,420.
86,000.
5,590.
-
-
NO*
Millions of
Metric Tons
0.798
0.010
0.072
1.415
6.185
0.094
0.052
8.626
1.445
0.025
0.440
1.910
neg.
0.019
neg.
0.019
0.065
0.062
0.049
0.011
0.045
0.082
neg.
0.314
2.078
neg.
0.064
0.183
1.543
3.868
0.200
neg.
0.546
0.230
0.036
1.012
15.749
S°x
Millions of
Metric Tons
0.002
0.069
0.032
5.504
31.750
0.178
0.099
37.634
0.001
0.015
0.263
0.279
0.006
0.245
neg.
0.251
neg.
0.789
neg.
0.060
0.026
0.417
neg.
1.292
0.006
0.018
0.038
1.043
7.99
9.095
0.002
0.009
0.549
2.231
0.463
3.254
51.805
Particulate
Millions of
Metric Tons
0.035
0.001
0.006
0.117
58.880
0.889
0.493
60.421
0.019
0.072
0.013
0.104
0.005
0.004
neg.
0.009
0.006
0.010
0.044
0.003
neg.
0.630
neg.
0.693
0.172
neg.
0.018
0.051
12.05
12.291
0.051
neg.
0.130
0.055
0.090
0.326
73.844
Fuel Rate
j Million Metric Tons
; Oil equivalent
1
j 129.5
I 1.403
4.436
106.5
384.3
4.0
3.81
633.949
58.75
2.40
5.10
66.25
1.45
5.07
0.027
6.547
17.19
16.07
12.25
1.16
4.173
5.07
0.041
55.954
536.0 ^
0.36
6.55
20.25
89.8
652.96
148.20
0.18
95.0
86.0
5.59
334.97
1750.63
n.a.
neg.
data not available
less than 0.001
                                                                                                                                                                           17

-------
                                 Page 46
        (g)  All coal burning power stations not equipped with limestone
             flue gas scrubbers are assumed to be equipped with electro-
             static precipitators operating at 90 percent participate
             removal efficiency on a continuous basis.

31.     The calculated emissions, incorporating the above controls, are
listed in Table 8.

32.     For control of reduction of 1980 emissions to the 1960 level, the
technological requirements are:  .

        (a)  Increased mining of low sulfur coal (0.7 percent S) to the
             extent that it comprises 28 percent of the total coal pro-
             duction in 1980.  Approximately 35 percent of this will
             come from the large reserves of low sulfur coal in the western
             United States, and 65 percent from the low sulfur reserves in
             the eastern United States.

        (b)  Mechanically deep clean approximately 14 percent of the total
             coal usage to less than 1 percent sulfur content.

        (c)  Install limestone flue gas scrubbers on 75 percent of the
             power stations using high sulfur coal.  This is equivalent to
             scrubbing the flue gas from 44 percent of all coal burned.

        (d)  The remaining 14 percent of all coal will be burned in power
             stations, uncontrolled for SOX.

        (e)  Desulfurize all residual fuel oil to 0.87 percent sulfur content
             as discussed in Annex VI.

        (f)  All coal burning power stations not equipped with limestone
             flue gas scrubbers are assumed to be equipped with electro-
             static precipitators operating at 90 percent particulate
             removal efficiency on a continuous basis.

33.     The calculated emissions, incorporating these controls, are listed
in Table 9.

34.     NOX is controlled for both the above cases utilizing combustion
control by flue .gas recirculation and Ipw excess air to the maximum extent.
In addition, NOX is removed together with SOX in the limestone scrubbing.
The difference between 1970 and 1960 levels of NOX removal is solely due
to more limestone scrubbing application in the control to 1960 level.
                                    18

-------
      Regional Group - United States
                    TABLE 8
               CONSUMPTION OF FUEL
WITH FLUE GAS EMISSIONS CONTROLLED TO 1960 LEVEL
           (DERIVED FROM TABLE 6 DATA)
                                                                                                                                                           Year 1980
                                                                                                                                                           Original OECD Figures and
                                                                                                                                                           million tons oil equivalent
Sectors
Public power stations
Blast furnace gas and
B.K.B. not applicable

Refineries

Coke-ovens
Coke not consumed as
a fuel

Iron and steel
Coke not consumed as a
fuel

Other industries
Blast furnace gas, brown
coal and B.K.B., not

Domestic and others
Blast furnace gas, B.K.B.,
patent fuel, coke and
brown coal not applicable

GRAND TOTAL

Type of Fuel
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Brown coal
Coke
Total
Natural gas
Light fuel oil
Heavy fuel oil
Total
Blast furnace gas
Manufactured gas
Natural gas
Total
Natural gas
Manufactured gas
Blast furnace gas
Heavy fuel oil
Light fuel oil
Hard coal
L.F.G.
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Total


Fuel
Units
Teal
It
thousand metric tons
ii ti • H
II H If
It II II
If II II

Teal
thousand metric tons
H it M

Teal
it
ii

Teal
ii
M
thousand metric tons
ii ii ii
ii M ii
H ii n

Teal
n
thousand metric tons
n M n
it n n

Teal
ii
thousand metric tons
ii it ii
n it M

i

Fuel
Rate
1,362.5 x 1012
14.76 x 1012
4,436.
106,500.
384,300.
4,000.
3,810.
-
618.0 x 1012
2,400.
5,100.
-
15.26 x 10J2
52.35 x 1012
0.28 x 1012
-
180.8 x 1012
169.0 x 1012
128.9 x 1012
1,160.
4,173.
5,070.
41.
-
5,640. x 1012
3.79 x 101Z
6,550.
20,250.
89.800.
-
1,558. x 101212
1.89 x 101*
43,420.
86,000.
5,590.
-
-

N°x
Millions of
Metric Tons
0.328
0.003
0.028
0.566
2.974
0.047
0.026
3.972
1.445
0.025
0.044
1.514
0.006
0.019
neg.
0.025
0.065
0.062
0.049
0.011
0.045
0.082
neg.
0.314
0.540
neg.
0.016
0.054
0.479
1.089
0.200
neg.
0.546
0.230
0.036
1.012
7.936

SO,
Millions of
Metric Tons
0.002
0.069
0.032
1.850
20.960
0.178
0.098
23.189
neg.
0.015
0.088
0.103
neg.
0.245
neg.
0.245
neg.
0.789
neg.
0.020
0.026
0.108
neg.
0.943
0.005
0.018
0.038
0.348
2.068
2.477
0.002
0.009
0.549
0.749
0.120
1.429
28.386

Farticulate
Millions of
Metric Tons
0.035
0.001
0.005
0.108
4.891
0.089
0.049
5.178
3.019
3.073
0.013
0.105
0.005
0.004
neg.
9.009
0.005
0.010
0.044
0.005
neg.
0.113
neg.
0.177
0.175
neg.
0.018
0.048
1.551
1.792
0.051
neg.
0.130
0.055
0.090
3.326
7.587

Fuel Rate
Million Metric Tons
Oil equivalent
129.5
1.403
4.436
106.5
384.3
4.0
3.81
633.949
58.75
2.40
5.10
66.25
1.45
5.07
0.027
6.547
17.19
16.07
12.25
1.16
4.173
5.07
0.041
55.954
536.0
0.36
6.55
20.25
89.8
652.96
148.20
0.18
95.0
86.0
5.59
334.97
1750.630
19
n.a
neg. = Less than 0.001

-------
      Regional Group - United States
                                                                            TABtE  9
                                                                       CONSUMPTION CF  FUEL
                                                        WITH FLUE GAS EMISSIONS CONTROLLED TO 1960  LEVEL
                                                                   (DERIVED FROM TABLE 6  DATA)
Year  1980
Original OECD Figures and million tons
oil equivalent
Sectors
Public power station
Blast furnace gas and
E.K.B. not applicable
Refineries
Coke-ovens
Coke not consumed as
a fuel
Iron and steel
Coke not consumed as
a fuel
Other industries
Blast furnace. gas,
brown coal and B.K.B.
not applicable
Domestic and others
Blast furnace gas, B.K.B.,
patent fuel, coke and brown
coal not applicable
GRAND TOTAL
Type of Fuel
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Brown coal
Coke
Total
Natural gas
Light fuel oil
Heavy fuel oil
Total
Blast furnace gas
Manufactured gas
Natural gas
Total
Natural gas
Manufactured gas
Blast furnace gas
Heavy fuel oil
Light fuel oil
Hard coal
L.P.G.
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Total
Natural gas
Manufactured gas
Light fuel oil
Heavy fuel oil
Hard coal
Total

Fuel
Units
Teal
II
thousand metric tons
M M tt
if ii ii
ti ii ii
» ii ii

Teal
thousand metric tons
ti ii ii

Teal
H
ii

Teal
Teal
tf
thousand metric tons
it ti ii
ti n H
it it 11

Teal
ti
thousand metric tons
it ii tt
ii M it

Teal
ii
thousand metric tons
M II II
II II II


Fuel
Rate
1,362.5 x 1012,,
14.76 x 1012
4,436.
106.500.
384,300.
4.000.
3,810.
-
618.0 x 1012
2,400.
5,100.
-
15.26 x 1012
52.35 x 1012
0.28 x 1012
-
180.8 x 1012
169.0 x 1012
128.9 x 1012
1,160.
4,173.
5,070.
41.
-
5,640. x 1012
3.79 x 101Z
6,550.
20,250.
89,800.
-
1,558. x 101212
1.89 x 10
95,000.
86,000.
5,590.
-
-
NOx
Millions of
Metric Tons
0.328
0.003
0.028
0.566
2.749
0.047
0.026
3.747
1.445
0.025
0.044
1.514
0.006
0.019
neg.
0.025
0.065
0.062
0.049
0.011
0.046
0.082
neg.
0.315
0.540
neg.
0.016
0.054
0.479
1.089
0.200
neg.
0.546
0.230
0.036
1.012
7.702
SO,
Millions of
Metric Tons
0.002
0.069
0.032
1.850
10.240
0.178
0.098
12.469
neg.
0.015
0.088
Q.103
neg.
0.245
neg.
0.245
neg.
0.789
neg.
0.020
0.026
0.108
neg.
0.943
0.005
0.018
0.038
0.348
2.068
2.477
0.002
0.009
0.549
0.748
0.120
1.428
17.665
Particulate
Millions of
Metric Tons
0.035
0.001
0.005
0.108
2.915
0.089
0.049
3.202
0.019
0.073
0.013
0.105
0.005
0.004
neg.
0.009
0.005
0.010
0.044
0.005
neg.
0.113
neg.
0.177
0.175
0.018
0.048
1.551
1.792
0.051
neg.
0.130
0.055
0.090
0.326
5.611
Fuel Rate
Million Metric Tons
Oil equivalent
129.5
1.403
4.436
106.5
384.3
4.0
3.81
633.949
58.75
2.40
5.10
66.25
1.45
5.07
0.027
6.547
17.19
16.07
12.25
1.16
4.173
5.07
0.041
55.954
536.0
0.36
6.55
20.25
89.8
652.96
148.20
0.18
95.0
86.0
5.59
334.97
1750.630
n.a.
neg.
Data not available
Less than 0.001
                                                                                                                                                                           20

-------
                                  Page  49
                                CHAPTER V

             BASIS FOR COSTING OF POLLUTION CONTROL IN 1980
34.     The pollution abatement strategies outlined in Chapters III and IV
and discussed in Annexes VI, VII and VIII were selected after consideration
of ways that pollution control might be accomplished at minimum cost using
methods which are expected to be commercially available by 1980.  Where no
presently proven technology was available the most promising method under
development was considered and probable costs were assumed.  It must be
borne in mind that many technical problems remain to be worked out (see
Annex XIII and that the costs on these are highly uncertain at this
time.

35.     All costs are calculated on 1970 prices.

36.     The costs which have been developed are considered reasonable order-
of-magnitude estimates useful for demonstrating the magnitude of the cost to
be expected for control of pollution from combustion.  It is impossible to
evaluate the effect of many economic factors which can strongly affect the
ultimate cost of control, e.g., the assumed application of limestone scrub-
bing would require doubling of limestone production within eight years.  It
seems certain that prices will escalate.  Also, the capital cost estimates
for application of limestone scrubbing are considered very optimistic in
light of latest results from development programs.  Many other factors could
be cited to show that the costs as developed will prove to be very low for
the level of control which was assumed.

37.     The cost estimated for particulate control is the cost for applica-
tion of control equipment that would be expected if past and current trends
in increased rates of application of control technology continue.  The cost
for all new equipment to be installed in the 1960-1980 period is included.
The cost for equipment installed prior to 1960 is excluded even though
their contribution is included for the total amount of particulate collected.

38.     Nitrogen oxide emission control is assumed to be achieved princi-
pally through combustion control (see Annex XI).  There is additional 20
percent NOg reduction due to flue gas scrubbing for S0£ control as discussed
in Annexes VIII-4 and XIII-5, but no costs are assigned because this benefit
is an integral part of SOX reduction by scrubbing, for which costs are
assigned.  The total investment is estimated to be $2.8 x 109 with an
annual operating cost of $580 million.
                                   21

-------
                                 Page 50
39.     The sulfur oxide reduction is assumed to come from four techniques:
Hydrotreating heavy fuel oil to an average of 0.87 percent sulfur (the
equivalent of 0.54 percent sulfur coal), opening new low sulfur coal mines
in both the eastern part and the western part of the United States,  clean-
ing eastern coal down to 0.7 weight percent sulfur, and using limestone
scrubbing on some coal-burning furnaces to get the total SOX emissions
down to desired levels.  The two cases for which costs are developed assume
the reduction of projected 1980 emissions to the 1970 level, and the re-
duction of the 1980 projected emissions to the 1960 level.

40.     Capital costs for control to the 1970 level of emissions are esti-
mated to be almost $12.7 x 109, as shown in Table 10.  The corresponding
operating costs are shown in Table 12.

41.     Capital costs for controlling to the 1960 level of emissions are
estimated to be $13.5 x 10^, as shown in Table 11.  The corresponding
operating costs are shown in Table 13.

42.     The foregoing tables show that cleaning of heavy fuel oil is a high
cost item compared to scrubbing flue gas stacks.  However, it is not
practicable to attempt to substitute one for the other.  The heavy oil is
burned in hundreds of thousands of small units.  The cost of installing
scrubbers in these would be prohibitive, and the problem of disposing of
the waste sludge would be almost impossible to solve (see Annex XIII).
Furthermore, hydrptreating is commercially available, and limestone scrub-
bing is in the development status.

43.     These tables assume the logical course of events where regulations
imposed to reduce pollutants will cause the most workable systems to be
installed first.  As the problem continues and as costs rise, other abate-
ment techniques will be developed to lower costs.

44.     It should be noted that no attempt was made to estimate the cost
to fuel users for switching to low sulfur coal or gas.  Nor was any cost
estimated for items such as additional transportation or the cost of
opening mines included, consequently, the costs estimated according to
O.E.C.D. guidelines should not be taken to represent total national costs.
                                   22

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                          Page 51
                         TABLE 10
           ESTIMATED INVESTMENT AFFECTING COSTS
        OF ABATEMENT STRATEGY IN THE UNITED STATES
   FOR CONTROL OF 1980 POLLUTANT EMISSIONS TO 1970 LEVEL
Control                                       Investments (a)

Particulate emissions                        $ 1,330,000,000

NOV emissions
  Jx

    Power stations                               826,000,000
    Other industries                           1,998,000,000

SOX emissions

    Flue gas scrubbing                           428,000,000
    Fuel oil desulfurization                   7,730,000,000
    Coal cleaning                                420.000.000

Total                                        $12,732,000,000
(a)  Costs in 1970 dollars
                            23

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                          Paee  52
                         TABLE 11
           ESTIMATED INVESTMENT AFFECTING COSTS
        OF ABATEMENT STRATEGY IN THE UNITED STATES
   FOR CONTROL OF 1980 POLLUTANT EMISSIONS TO 1960 LEVEL
Control                                       Investments (a)

Particulate emissions                        $   720,000,000

NOX emissions

    Power stations                               826,000,000
    Other industries                           1,998,000,000

SOX emissions

    Flue gas scrubbing                         1,790,000,000
    Fuel oil desulfurizatlon                   7,730,000,000
    Coal cleaning                                420.000.000

Total                                        $13,484,000,000
(a)  Costs in 1970 dollars
                            24

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                          Page 53
                         TABLE 12
             ESTIMATED YEARLY OPERATING COSTS
             FOR REDUCING 1980 AIR POLLUTANTS
            TO 1970 LEVELS IN THE UNITED STATES
Control                                      Operating Costs (a)

Particulate emissions                        $  220,000,000

NOX emissions

    Power stations                              213,000,000
    Other industries                            366,000,000

SO  emissions
  X

    Flue gas cleaning                           118,000,000
    Sludge hauling                               72,000,000
    Fuel oil desulfurization                  1,437,000,000
    Coal cleaning                                87.000.000

Total                                        $2,813,000,000
(a)  Costs in 1970 dollars
                            25

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                          Page 54
                         TABLE 13
             ESTIMATED YEARLY OPERATING COSTS
             FOR REDUCING 1980 AIR POLLUTANTS
            TO 1960 LEVELS IN THE UNITED STATES
Control                                      Operating Costs (a)

Particulate emissions                        $  118,000,000

NOX emissions

    Power stations                              213,000,000
    Other industries                            366,000,000

SO  emissions

    Flue gas cleaning                           396,000,000
    Sludge hauling                              240,000,000
    Fuel oil desulfurization                  1,437,000,000
    Coal cleaning                                87.000.000

Total                                        $2,857,000,000
(a)  Costs in 1970 dollars
                            26

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                                  Page 55
                                  ANNEX I

                 LIST OF PUBLICATIONS AND SOURCE MATERIAL
                       "REFERRED TO IN THIS REPORT


 1.    "Minerals Yearbook 1961", Bureau of Mines Publication.

 2.    "Minerals Yearbook 1968", Bureau of Mines Publication.

 3.    "Gas Facts 1966", Bureau of Mines Publication.

 4.    "Statistical Abstracts 1970", Bureau of Mines Publication.

 5.    "Air Pollutant Emission Factors" (Draft), M. J. McGraw,
       August, 1970, U. S. Dept. H.E.W.

 6.    "Basis for Projected Air Pollution from Combustion of Fossil
       Fuels in the United States", J. P. Earhart, June, 1970, U.S.
       Dept. H.E.W.

 7.    "Inventory of and Pollutant Emissions from Intermediate Size
       Boilers for 1967, 1975, 1980, 1985 and 1990.  Phase I, II, III
       Report - Systematic Study of Air Pollution from Fossil-Fuel
       Combustion Equipment" by Ehrenfeld, Goldish, Bernstein and Carr,
       December, 1970, Waiden Research Corporation.

 8.    "Evaluation of Process Alternatives to Improve Control of Air
       Pollution from Production of Coke" (Contract No. PH 22-68-65).
       31 January, 1970, to N.A.P.C.A., U. S. Dept. H.E.W. by Batelle
       Memorial Institute.

 9.    "The Mechanical Desulfurization of Coal - Major Considerations
       for S02 Emission Control Vol I" (Preliminary Draft).  Contract
       No. F 19628-68-C-0365 to N.A.P.C.A. by The Mitre Corporation.

10.    "A Systems Analysis Study of the Integrated Iron and Steel In-
       dustry" (Contract No. PH 22-68-65).  15 May, 1969, to N.A.P.C.A.
       Dept. of H.E.W. by Batelle Memorial Institute.

11.    "Systems Study of Nitrogen Oxide Control Methods for Stationary
       Sources - Vol. II", Bartok et al, 20 November, 1969, (Contract
       No. PH 22-68-55) for N.A.P.C.A. by Esso Research and Engineering Co.
                                    27

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                                  Page 56
12.    "Availability of Residual Fuel Oil" (Draft) C. J. Royce,
       31 December, 1970, (Contract No. CPA 70-68) to Environmental
       Protection Agency by M. W. Kellogg Co.

13.    "Energy Demand and Supply in United States, Appendix A" (Draft)
       by Air Pollution Control Office.

14.    "1966 Energy Systems Design Survey" Staff of Power Magazine,
       McGraw-Hill Publ. Co.

15.    "1967 Energy Systems Design Survey" by Staff of Power Magazine,
       McGraw-Hill Publ. Co.

16.    "1968 Energy Systems Design Survey" by Staff of Power Magazine,
       McGraw-Hill Publ. Co.          ,

17.    "1969 Energy Systems Design Survey" by Staff of Power Magazine,
       McGraw-Hill Publ. Co.

18.    "1970 Energy Systems Design Survey" by Staff of Power Magazine,
       McGraw-Hill Publ. Co.

19.    "Electrical World Directory of Electric Utilities, 79th Edition
       1970 - 1971", McGraw-Hill Publishing Co.

20.    Gas Turbines in Utility Power Generation.  Staff report pp 18-31,
       January-February 1971, Gas Turbine International.

21.    Gas Turbines for Peaking and Steam Turbine Support, Boyce and
       Castley, pp 14-16, January-February 1971, Gas Turbine International.

22.    The Year of the Gas Turbine, Staff report pp 29-33, November 1970,
       Power Engineering; •       .       .

23.    A. Cantrell "Annual Refining Survey1!, pp 93-124, 22 March, 1971,
       Oil and Gas Journal.

24.    1971 Forecast/Review.  Staff report pp 109-132, 25 January, 1971,
       Oil and Gas Journal.

25.    James, D. W., "Coping with NOX:  A Growing Problem", pp 41-47,
       February, 1971, Electrical World.
                                    28

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                                  Page  57
26.    Paradis et al "Isomax Desulfurization of Residium and Whole
       Crude Oil", February 28 - March 4, 1971, A.I.Ch.E. Preprint,
       Houston, Texas.

27.    Moritz et al "Esso/Union Fuel Oil Hydrodesulfurization Pro-
       cesses", February 28 - March 4, 1971, A.I.Ch.E. Preprint,
       Houston, Texas.

28.    Mounce et al "H-Oil Desulfurization of Residual Oil",
       February 28 - March 4, 1971, A.I.Ch.E. Preprint, Houston, Texas.

29.    Schlinger and Slater "Application of the Texaco Synthesis Gas
       Generation Process Using High Sulfur Residual Oils as Feedstock".
       24 July 1970, E.C.E.  Seminar on the Desulphurization of Fuels
       and Combustion Gases, Geneva.

30.    Van Ginneken "The Desulphurization of Residual Fuel Oils from
       Middle East Crude Oils", 2 October, 1970, Preprint E.C.E.
       Seminar on the Desulphurization of Fuels and Combustion Gases,
       Geneva.

31.    Brodsky et al "Removal of Sulphur Oxides from Combustion Gases
       by Dry and Wet Methods", 22 October, 1970, Preprint E.C.E.
       Seminar on the Desulphurization of Fuels and Combustion Gases,
       Geneva.

32.    Jonke et al "Anti-Pollution Aspects of Fluidized-Bed Combustion",
       5 September, 1970, Preprint E.C.E.  Seminar on the Desulphuri-
       zation of Fuels and Combustion Gases, Geneva.

33.    R. E. Harrington "Control of Sulphur Oxide Emission by Lime-Based
       Scrubbing Process", 24 September, 1970, Preprint E.C.E.  Seminar
       on the Desulphurization of Fuels and Combustion Gases, Geneva.

34.    "Survey of Processes and Costs for SOX Control on Steam-Electric
       Power Plants" (Draft) N.A.P.C.A., Div. of Process Control
       Engineering, August, 1970.

35.    Pollack et al "Removal of Sulfur Dioxide and Fly Ash from Coal
       Burning Power Plant Flue Gases", 1 September, 1967, A,S.MoE.
       Preprint.
                                    29

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                                  Page 58
36.    Minton, J. M. "Dark Cloud on Sulfur's Horizon" pp 25-36,
       10 February, 1971, Chemical Week.

37.    Van Dyke, L.F. "Nuclear Plants to Hog Big Slice of U. So Energy
       Pie" pp 17-20, 1 March, 1971, Oil and Gas Journal.

38.    Smith, H. L. "Changing Generation Patterns" pp 47-51, November,
       1970, Power Engineering.

39.    Sliger and O'Donnell "Economics of Metal Oxide Processes for
       Flue Gas Desulphurization", 8 September, 1970, Preprint E.C.E.
       Seminar on the Desulphurization of Fuels and Combustion Gases,
       Geneva.

40.    Editor "Southern California Edison Limits NOX with Firing Modi-
       fications, Dispatching Technique", pp 32-35, 1 November, 1970,
       Electrical World.

41.    Moritz and Weissman "Hydrodesulphurization of Heavy Fuel Oils",
       26 August, 1970, Preprint_E.C.E.  Seminar on the DeBulphuri-
       zation of Fuels and Combustion Gases, Geneva.

42.    "An Electrostatic Precipitator System Study", Third Quarterly
       Report to N.A.P.C.A., Southern Research Institute, Birmingham,
       Alabama, 19 January, 1970.

43.    "Handbook of Emissions, Effluents, and Control Practices for
       Stationary Particulate Pollution Sources", Report to N.A.P.C.A.,
       Midwest Research Institute.

44.    "Removal of Particulate Matter from Gaseous Wastes - Electrostatic
       Precipltators", 1961, American Petroleum Institute, New York,
       New York.
                                    30

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                                Page 59
                               ANNEX II

         DESCRIPTION OF FOSSIL FUELS USED IN THE UNITED STATES


1.    Data have been assembled to show the rates at which fossil fuels
      were consumed in stationary users in the United States in 1960
      and 1970 and projections for the expected use of fossil fuels in
      1980.  The breakdown of these rates has been along the pattern
      as set out in "A Report on Air Pollution from Fuel Combustion in
      Stationary Sources as a Guideline for National Reporting" for the
      O.E.C.D,

2.    Six sectors of stationary sources have been established:

      1.  Power stations

      2,  Refineries

      3.  Coke ovens

      A.  Iron and steel

      5.  Other industries

      6.  Domestic and commercial

3.    The fossil fuels consumed in these six sectors by O.E.C.D. iden-
      tification, are as follows:

      1.  Natural gas

      2.  Manufactured gas

      3.  Blast furnace gas

      4.  Refinery gas

      5.  Fuel oils

      6.  L. P. Gas
                                   31

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                                  Page 60
       7.  Patent fuel

       8.  Brown coal

       9.  Hard coal

      10.  Coke

      11.  B. K. B.

4.     Since the fuel categories in the United States do not exactly fit
       the categories suggested by O.E.C.D., some adjustments had to be made.
       The following table details the fuels used in this country and the
       O.E.C.D. designation to which it compares.  For purposes of the 0,E,C.1>.
       report, all fuel is reported as metric tons of heavy oil with
       41.8 x 1012 Btu per million metric ton.

                                                   HEAT VALUE
U. S. FUEL   O.E.C.D. EQUIVALENT  . U. S. UNITS      BTU /UNIT    WEIGHT % S

Natural gas     Natural gas        Standard cu.ft.     1,045

Coke oven gas   Manufactured gas   Standard cu.ft.       550

Blast furnace   Blast furnace gas  Standard cu.ft.        95
Natural gas     Refinery gas       Standard cu.ft.     1,045

Light fuel oil  Fuel oil           Barrel          5,827,000    0.30
Heavy fuel oil
Coal tar
L. P. G.
Lignite
Bituminous
Coal
Fuel oil or
heavy fuel
Heavy fuel
L. P. G.
Brown Coal
Hard coal
Barrel
Barrel
Gallon
Ton
Ton
6,300,000
6,300,000
95,500
16,600,000
23,600,000
2,60 ayg.
2.60

1.00
2.70 avg.
                                   32

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                                  Page  61
5.     Wood, bark, municipal refuse, process wastes and the like have
       not been included among the fuels in this report which deals
       only with fossil fuels.
                                    33

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                                  Page 62
                                 ANNEX III
                    DESCRIPTION OF THE INDUSTRY SECTORS
1.     Power Stations — Power stations have been assumed for this report
to include fossil-fuel-fired stationary electric generating installations,
including those of public utilities, municipal and government utilities.
It does not include the electric generating facilities which have been in-
cluded as part of industrial and commercial operations associated with
other industry sectors specified by O.E.C.D. guidelines.  In addition,
this category does include internal combustion engine and gas turbine
generators which are employed to generate electricity.

2.     Coke Ovens - Approximately 90 percent of the coke ovens are an in-
tegrated part of the iron and steel industry in the United States.  By
1968 almost 100 percent of the coke was made in slot ovens and most of
those were underfire'd (Reference 2).  Because of this relationship, coke
oven gases and blast furnace gases are used when available to supply the
heat for making coke; where such fuels are not available, natural gas is
used.

3.     Further, the petroleum industry has become the source of many
chemicals which would otherwise come from coking coal.  This has also
contributed to the coking industry being incorporated with iron and steel
leaving only a small quantity of coke to be burned as fuel in boilers.

4.     Approximately 36 percent of the coke oven gas is consumed in the
coking ovens, the rest is sold.  Only about 9 percent finds its way into
power stations or gas mains for burning by "others".  This is essentially
the only manufactured gas used in the United States.

5.     Refineries --•• The sector called refineries has been defined to in-
clude the United States oil refineries, oil fields (or wells), gas fields
(or wells),gas cohdensate plants,and gas pipeline transmission.  By and
large, these industries run on natural gas with light and heavy oils as
supplemental fuels.

6.     A good portion of the fuel is used to generate heat in process
boilers and direct-fired heaters.  Additional amounts are burned in internal
combustion engines and gas turbines to generate mechanical or electrical
power.
                                    34

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                                  Page 63
7.     Significant quantities of fuel are consumed by the refinery pro-
cesses (hydrogen generation and ethylene generation, for example) and
these quantities are separated out since they do not directly contribute
to air pollution.

8.     The movement of natural gas from the fields, through the conden-
sate plants and the cross-country pipelines, is powered by the energy
obtained from burning natural gas in internal combustion engines and gas
turbines.  This fuel usage is added in with the uses for refineries
proper.

9.     Iron and Steel - This sector is taken to be industry which makes
iron and steel from iron ore and scrap steel and includes the integration
of products for sale such as sheets and structural shapes.  The fabrica-
tion of these forms into products for resale as finished objects is done
by the sector "other" industries.

10.    Fossil fuels are consumed as such in high temperature heating by
direct firing, in building and process heat, in the generation of steam
for heat and electricity.  The quantities of coke consumed by ore reduc-
tion in furnaces is not considered fuel combustion for purposes of this
report because the pollutants in the coke, ash and sulfur compounds leave
the plant in the slag, not in the air.

11.    Other Industries - Table 14 lists some of the major industries in-
cluded in the "other" sector.  The complexity of this category is dis-
cernable by noting that in 1960 only 30 percent of the fuel used by
other industries was accounted for by this table, which shows large volume
gas sales by utilities.

12.    The total marketed fuels, such as natural gas and coal, are avail-
able for 1960 and 1970.  The fuels used by the individual sectors "power
stations", "refineries", "coke ovens", "iron and steel", and "domestic
and commercial" are also available.  By subtracting these from the total
national fuel, the amounts used by "other" was determined.  No data
sources are available which permit adding individual uses and coming up
with an accounting for the 70 percent not accounted for in Table 14.

13.    After reviewing the list, it was decided to consider that all the
fuels used in the "other" sector were burned for heat value and this basic
use is in boilers and furnaces.  While this may be in error, it was deemed
                                    35

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                                  Page 64
reasonable since this procedure separated process pollutants from fossil
fuel pollutants.

14.    Domestic and Commercial - The use of fuels in this sector is
assumed to be for space and building heat and consumed in furnaces and
boilers.  The statistics are essentially government statistics from
the Bureau of Mines yearbooks which* listed the fuels actually sold or
used by this sector.
                                    36

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                                Page 65
                                TABLE 14
                 LARGE VOLUME NATURAL GAS UTILITY SALES
                        TO OTHER INDUSTRY SECTOR
Agriculture, forestry
Other mining
Food and kindred products
Textile, clothing, fabrics
Furniture and wood products
Paper and allied products
Carbon black
Chemicals
Rubber products
Glass products
Clay products
Cement
Stone products
Transportation equipment
Fabricated machinery
Ordnance
Other manufacturing
   1960

  Cu. Ft.*

   10.27 x
   42.82
  160.70
   21.60
   22,10
  185.0
   14.35
  497 ,0
   16.0
  138.40
  162.40
  162
   29
   62.25
  106.0
   13.5
   32,4

1,676.69
.5
,4
           1965

          Cu. Ft.*

109        11.50 x 109
           66.90
          232.20
           41.8
           50.0
          256.0
           40.2
          617.0
           37.20
          177.0
          142.1
          175.7
           65.10
          106.40
          259.0
           20.30
           60.50

        2,139.90
* Data converted to cubic feet from Therms as reported in "Gas Facts
  1966" using natural gas at 1045 Btu per cubic foot.
                                   37

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                                  Page 66
                                 ANNEX IV

                BASIS FOR PREDICTING FUEL CONSUMPTION IN 1980
1.     To arrive at a fuel usage breakdown for 1980 from which to cal-
culate the pollutant emissions of SOX, NOX and particulates, it was
necessary to obtain or develop projections to 1980.  This was done for
each previously discussed sector of stationary users and a fuel break-
down made along the trends established during the past few years.  The
objective was to project what the fuel use would be and to assume no
fuel substitution for abatement.

2.     Although it is obvious that SOX and particulate emissions can be
reduced by substitution of a "clean" fuel for a "dirty" one, low sulfur fuel
availability is less than the projected uses by 1980 so that such sub-
stitution is only a theoretical solution.  The projections were made
upon the most recent equipment and fuel patterns since it seems reason-
able to suppose that these trends will continue rather than to suppose
that entirely new and different patterns will emerge and become dominant
in the next nine years.

3.     1980 Power Stations - It is projected that in 1980 there will be
3.325 x 1012 kwh of electricity generated (Reference 4).  Of this,
2.392 x 1012 kwh will be developed from fossil fuels.  The balance will
be supplied by hydroelectric and nuclear power plants (References 6, 27).

4.     Fossil fuel for the 2.392 x 1012 kwh will be basically coal, oil
and natural gas with coke oven gas, blast furnace gas, lignite and coke
also used in minor amounts.  Coke and lignite projections were arrived at
by assuming the growth rates of each would be the same as in the past
five years.  Coke oven gas and blast furnace gas were assumed to be that
left over from the steel and coke oven uses.  Natural gas usage is assumed
to have a growth of about 4.2 percent per year.  Oil projections were cal-
culated at 8.8 percent per year or about one-half those of References 13 and 39,

5.     All of these fuels were converted to kwh equivalents and subtracted
from the projected electricity needs and the balance assumed to be sup-
plied by coal.  As a cross-correlation all other uses of gas were added
and their sum subtracted from the total natural gas projected to be avail-
able in 1980.  Since increased gas supplies will come as a result of much
                                    38

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                                 Page 67
higher prices, it is assumed that this fuel will be less attractive to the
utility industry and that long-term coal supplies will fill the gap of
needed fuel.  Furthermore, natural gas is a nonpolluting fuel from the
standpoint of SOX and participate emissions and the cost of add-on abate-
ment steps will not be practicable for the small and intermediate
stationary users whereas a higher price for the clean fuel might be.
High sulfur high ash will be lower cost and therefore used by large con-
sumers who can justify add-on abatement devices.

6.      This rationale for projecting fuels for the power stations depends
upon the competition from the "other" industries sector and the "domestic
and commercial" users for fuel.  They have been and will probably continue
to be larger fuel users than the utility sector.

7.      1980 Oil Refineries - The production of oil and gas has been pro-
jected separately (References 23, 24), and this projection was used to
calculate the use of fuel to refine oil and natural gas for markets on
a unit consumption basis.  The unit consumptions of 1970 have been as-
sumed to be valid for 1980.  The important fuels are natural gas, light
fuel oil and residual fuel oil with the others of minimal significance.

8.      Natural gas is a regulated fuel in the United States.  However,
as the price is allowed to rise the incentives to drill more wells will
make more available.  Therefore, we have assumed a growth at the same
annual rate that this industry has experienced in the last ten years.
It makes little difference whether the gas is imported or supplied from
fields in the United States.  The fuel used to refine and distribute the
products will go up in proportion to the total gas.

9.      1980 Coke Ovens - The production of coke and its by-products is
closely tied to the production of steel.  Predictions have been made for
1980 (Reference 8) and these were used to calculate the consumptions of
coal and natural gas.  The utilization of oven gas and blast furnace gas
in 1970 was assumed to hold for 1980.  This applied to the amount of coke
oven gas that was sent into other users as well.

10.     1980 "Other" - From the data of Table 4 a growth rate of 4.90 per-
cent per year is developed.  From Tables 1 and 3 a growth rate of 3.92
percent is calculated.  Since the nature of the "other" sector is so
varied it is difficult to accurately determine its growth rate.  For the
sake of this study a rate of approximately 4.0 percent per year was used.
                                  39

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                                 Page 68
11.     It is worth noting the large amounts of fuels consumed by "other".
Small percentage influences on this sector could greatly offset the
national total.

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                                  Page 69
                                  ANNEX V

           FACTORS FOR CALCULATING EMISSION RATES OF POLLUTANTS
1.     An emission factor Is the quantity of a particular pollutant
emitted from a certain process, such as combustion or industrial pro-
duction, for a given quantity of fuel or production, e.g., pounds of
S02 per ton of coal burned.  For this report a deliberate effort has
been made to isolate the fuel pollutants from any process emanating
pollutants.  Consequently, any practicable substitution of fuels could
be made freely.  It is recognized in some cases the process pollutants
are much greater than those from the fossil fuel but these are outside
the scope of this report.

2.     Once an emission factor has been determined for a given process,
the total quantity of pollutant emitted from processes of the same type
over a certain time period can be readily computed by multiplying this
factor by the units of fuel burned or production during the period.

3.     The latest available data on emission factors is contained in
Reference 5.  Most of the required emission factors for S02, NO2 and
particulates were taken from this book with the following exceptions:

       Coke oven gas, S02 - Reference 8.

       Coke oven gas, N02 and particulates, used same factors as for
       natural gas.

       Blast furnace gas, S02, assumed negligible.

       Blast furnace gas, N02 and particulates, assumed same as for
       natural gas.

       Refineries, N02 - Reference 11.

4.     Reference 5 cited above includes accuracy ratings for the emission
factors on each type of fuel.  These consist of a letter designation A,
B, C, D, or E, with the following definitions:
                                    41

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                                  Page 70
       A - Excellent, based on field measurement of a large number of
           sources.

       B - Above average, based on a limited amount of field measure-
           ments .

       C - Average.

       D - Below average.

       E - Poor.

       These rating designations, where given, are included in the tables
of emission factors as a letter following the fuel type.

5.     It must be remembered that emission factors are averages and can
vary widely for particular installations, depending on type, size, opera-
ting conditions, etc.  For instance, the NC>2 emission from the combustion
of coal is believed to be a function of temperature and excess air, af-
fecting the amount of nitrogen oxidized to nitric oxide.  However, tests
have indicated  (Reference 32) that a good deal of the NO2 is formed from
nitrogen compounds in the coal. 'This could have an effect of undetermined
magnitude on the control of N02 from coal combustion.

6.     The emission factors for each type of fuel of interest are listed
in Tables 15, 16, 17, and 18.

7.     One fuel that has received special treatment is refinery fuel.
This fuel is primarily natural gas with varying contents of hydrogen
sulfide and ammonia.  Due to the wide range of content, it was treated
as natural gas, although this is known to be in error.

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                                  Page  71
                                   TABLE 15
                    EMISSION FACTORS.  POWER STATIONS
                            SO,
                          NOr
                       Particulates
NATURAL GAS  (B)
   BOILERS
   GAS TURBINES

COKE OVEN GAS
FUEL OIL (A)


RESIDUAL OIL  (A)


BROWN COAL

HARD COAL (A)

COKE
.6///Million Ft.3
.6///Million Ft.3

Equiv. to 1.6% S
Coal on Btu Basis

157 x % S ///1000
             Gal.

157 x % S if/1000
             Gal.

Same as Hard Coal

38 x % S ///Ton

Sane as Hard Coal
390///Million Ft.3
200//.Million Ft.3

Same as Natural
Gas on Btu Basis

105///1000 Gal.
105///1000 Gal.


Same as Hard Coal

20///Ton

Same as Hard Coal
15///Million Ft.?.
15///Million Ft.

Same as Natural
Gas

8///1000 Gal.
8///1000 Gal.


Same as Hard Coal

16 x % Ash ///Ton

Same as Hard Coal
                                    43

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            Page 72
              TABLE 16
EMISSION FACTORS. INDUSTRIAL BOILERS

NATURAL GAS (B)
COKE OVEN GAS
BLAST FURN. GAS

LPG (C)
FUEL OIL (A)
RESIDUAL OIL
(A)
HARD COAL (B)
so2
.61/MLllion Ft.3
Equlv. to 1*6% S
Coal on Btu Basis
NIL

.3 x Gr. of S per 100 Ft.3
1000 Gal.
142 x % S #/1000 Gal.
157 x % S #71000 Gal.

38 x % S #/1000 Ton
N02
214#/Million Ft.3
Same as Natural
Gas on Btu Basis
Same as Natural
Gas on Btu Basis
40///1000 Gal.
720/1000 Gal.
72///1000 Gal.

20#/Ton
Particulates
18#/Million Ft»3
Same as Natural
Gas
Same as Natural
Gas
6///1000 Gal.
15-23///1000 Gal.
15-23///1000 Gal.

13 x % Ash #/Ton
              44

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              Page 73
                TABLE 17
EMISSION FACTORS. DOMESTIC AND COMMERCIAL

NATURAL GAS (B)
COKE OVEN GAS
LPG (C)
FUEL OIL (A)
RESIDUAL OIL
(A)
HARD COAL (A)
so2
.6#/Million Ft.3
Equlv. to 1.6% S Coal
on Btu Basis
.3 x Gr. of S per 100 Ft.3
1000 Gal.
142 x % S #/1000 Gal.
157 x % S #/1000 Gal.
38 x % S #/ Ton
N02
50-100#/Million Ft.3
Same as Natural
Gas on Btu Basis
20-35#/1000 Gal.
12-72///1000 Gal.
12-72#/1000 Gal.
8#/Ton
Farticulates
19#/Million Ft,3
Same as Natural
Gas
6#/1000 Gal.
10#/1000 Gal.
10#/1000 Gal.
20#/Ton
                 45

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                            Page 74
                           TABLE 18
              EMISSION FACTOR FOR N0<. REFINERIES
Oil and Gas Production

        Natural Gas

            Heaters and Boilers

            Gas Engines

Pipelines

        Natural Gas

            Gas Engines

            Gas Turbines

Refining

        Natural Gas

            Heaters and Boilers

            Gas Engines

            Gas Turbines

        Oil

            Heaters and Boilers
.2#/1000 Ft.3

.77///1000 Ft.3
7c3#/1000 Ft.3

,2#/1000 Ft,3
.21///1000 Ft.3

4.35///1000 Ft.3

.2///1000 Ft,3



2.8#/Barrel
                               46

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                                  Page 75
                                 ANNEX VI
                               FUEL CLEANING
1.     Fuel cleaning for 1980 in the United States is restricted to
hydrotreating residual or heavy fuel and deep cleaning of high sulfur
coal to remove primarily sulfur or sulfur compounds.

2.     Desulfurization of oil - Current trends in legislation are to
restrict sulfur content of heavy oil to less than 1.0 weight percent
and in some localities to less than 0.5 weight percent (Reference 41).
It is assumed that by 1980 the average of all heavy fuel oil will be
0.87 weight percent, which is equivalent to coal at 0.54 weight per-
cent on a higher heating value (HHV) basis or 0.46 pounds sulfur per
million Btu.

3.     Variability of oils and of their sulfur content are wide, and
it is assumed that the low-sulfur heavy fuel oils will be catalyti-
cally hydrogenated in the United States and the resulting product oils
blended into the overall stocks for sale.  Although some hydrotreated
oils will probably be imported, the costs, blending stocks, and market
patterns favor domestic production using imported oils.

4.     The presence of metals such as nickel and vanadium in hydro-
treated feedstock contributes to short catalyst life by poisoning the
catalyst (Reference 28).  Heavy or residual oils are high in coke pre-
cursors which break down in the reactor bed and deposit coke on the
catalyst, resulting in further poisoning.  Both of these harmful con-
stituents of oil are greatly reduced by using fractionated oils.  The
heavy, nonvolatile, poisonous materials stay with the bottoms oil and
yield oils which may be hydrotreated with greater ease and longer cata-
lyst life.

5.     Refining trends in the United States are to produce less residual
or heavy fuel oil per barrel of crude and less heavy fuel oil in total.
To supply the increased demand for heavy fuel oil in 1980, the projection
has been made that a major portion of the oil supply will have to be
imported.
                                    47

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                                 Page 76
6.     1971 capacity for hydrorefined oils is 195,800,000 barrels per
year, and most of this consists of light fuel oils.  To achieve the
total capacity of 1,173,000,000 barrels per year of heavy oil, hydro-
treating capacity above the light oil production will require an intensive
construction program.  Building 150 new hydrotreating plants with a capac-
ity of 31,500 B.P.S.D. appears to be the limit of practicability by 1980.

7.     Although light oil hydrotreating is widely practiced in the
United States, the hydrotreating of heavy oils and residuals has not
been widely practiced.  To date only three processes have been operated
on a large scale (References 26, 27, 28).

8.     A by-product of hydrogen treating is an off-gas stream contain-
ing hydrogen sulfide and ammonia mixed with light ends of hydrogen,
methane and ethane.  By alkaline scrubbing, the hydrogen sulfide can be
recovered from this off-gas.  Hydrogen sulfide can be converted to sul-
furic acid or to elemental sulfur.  It is easier to store and to sell
sulfur, so this is usually done.  Ammonia is generally burned in the
refinery gas stream.  This is an unknown NOX emission which is of minor
significance.

9.     A second by-product of heavy oil desulfurization is middle dis-
tillate or fuel oil.  This is of good quality, being low in sulfur and
having good combustion properties.

10.    This multiproduct nature of hydrotreating creates problems which
are best handled by having the hydrotreater as part of a refinery com-
plex.  Hydrogen is needed in large quantities, and the most economic
source is off-gas from a naphtha reformer which must be integrated into
an oil refinery.  The additional problems of disposing of waste gas,
supplying steam, the needs for tankage and quality control, and finally
marketing and distribution, are all common to refinery.  However, in
1971 there are only 36 refineries of sufficient size (100,000 B.P.S.D.
or over) to absorb such units (Reference 23).

11.    Coal cleaning - Mechanical cleaning of coal involves the separa-
tion of coal from waste products such as shale, pyrite, and roof-slate
by utilizing differences in the physical properties of the materials.
The practice of mechanically cleaning coal has existed for many years but,
until recently, the purpose has been to remove shale, which is the major
impurity.  In 1968, approximately 65 percent of the total United States
coal production was mechanically cleaned to remove shale and dust.
                                   48

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                                 Page  77
12.    The differences in specific gravity between coal and its impuri-
ties form the basis of the conventional coal cleaning processes.  The
specific gravity of coal is about 1.3, of shale about 2.5, and of pyrite
about 5.0.

13.    The mechanical removal of pyritic sulfur involves crushing the
coal to release the pyrite and then the specific gravity separation of
the pyrite from the coal.  In many coal beds, the pyrite particles are
so small and so intimately mixed with the coal that finer crushing is
required than the 3/8 inch to 1-1/2 inch top size used in many conven-
tional coal cleaning plants.  As the pyrite particle size becomes smaller,
removal becomes more difficult and costly.

14.    The principal types of coal cleaning processes are cyclone separa-
tion, froth flotation, heavy media separation, jigging, launder-type
washers, pneumatic washers, hydraulic tabling, and combinations of these.

15.    It is estimated (Reference 9) that 44 x 106 tons of the 1968 coal
production for utility use in the Appalachian coal region of the United
States was cleanable to a 1 percent sulfur content.  This is based on
crushing to 3/8 inch sizes.  With pulverizing, the cleanable quantity is
increased to 60 x 10*> tons.

16.    The estimated reserves (Reference 9) of coal cleanable to 1 percent
sulfur in the Appalachian region are as follows:

                                 Mine Reserves     Recoverable Reserves
       3/8 inch size             880 x 106 tons     23,000 x 106 tons
                                   49

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                                  Page 78
                                 ANNEX VII
                     ADVANCES IN COMBUSTION TECHNOLOGY
1.     Power plant emission of nitrogen oxides will become more and more
of a problem in future years.  Power plant boilers can produce up to 1000
ppm of NOX in stack gas emissions.

2.     Some techniques for boiler firing have been developed, however,
that make reduction to 250 ppm possible today.  Further development may
make it possible in the future to limit emissions to 100 ppm or even 50
ppm for oil and gas firing (References 25, 40).

3.     It has been established that NO is the only nitrogen-oxygen' com-
pound that can form, be stable, and exist in significant quantities in
the high temperature portions of a utility boiler system (Reference 1).
Present methods, therefore, are aimed at minimizing the amount of NO that
is formed in the boiler furnace.

4.     Present methods with their applicability and limitations are out-
lined below:

       £.  Low Excess Air Combustion.  The theory of low excess air com-
           bustion predicts a reduction in NOX emissions by limiting the
           availability of one reactant, oxygen.  Actual operating data
           are still limited on this type of operation.  Low excess air
           operation may be difficult, if not impossible, to apply to
           pulverized coal installations.

       b_.  Burning Equipment Modifications. The principal aim here is to
           slow the rate at which fuel and air mix.  Thus, more heat is
           removed from the gas before combustion is complete.  This re-
           sults in a lower peak flame temperature of the combustion gases
           and a reduction in the amount of NOX that is formed in the
           furnace.  This method has the following drawbacks which may
           limit its application:

           (i)  Burner turndown is sacrificed.

           (ii) Combustion process can become unstable.
                                    50

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                                  Page 79
           (ill)  Furnace rumble or vibration may become a problem.

           (iv)   Incomplete combustion may result.

       £.  Lower Combustion Air Inlet Temperature

           (i)    This results in lower peak flame temperatures of the
                  combustion gases with the attendant reduction in NOX
                  formation in the furnace.

           (ii)   This method is not too good because the reduction in
                  NOX generation is small and the overall plant thermal
                  efficiency is reduced.

       ji.  Two-stage Combustion.  In this process, the amount of air in-
           troduced into the primary combustion zone with the fuel is
           reduced below the theoretical requirement.  Then, several feet
           above the top row of burners, the final combustion air is in-
           troduced into the combustion area, and the combustion process
           is completed.  This process is effective in that both peak
           and average flame temperatures are reduced and thus NOX forma-
           tion is reduced (Reference 40).  The process also limits the
           available oxygen for NOX formation in the.first stage and re-
           duces the residence time for NOX formation at peak flame tem-
           perature in the second stage.

       «s.  Flue Gas Recirculation.  This process diverts a portion of
           flue gas back to the furnace combustion chamber.  This has the
           effect of decreasing peak flame temperature and diluting the
           combustion air and resultant flue gases.  NOX emission is re-
           duced because the flame temperature is lower, because the con-
           centration of oxygen in the combustion gases is reduced, and
           because the residence time is reduced due to a higher mass
           flow rate.

5.     Combination techniques - By using combinations of the above tech-
niques, such as low excess air firing plus flue gas recirculation, or, two-
stage combustion plus flue gas recirculation, it is felt that NOX emissions
can be reduced below 100 ppm and may even approach 50 ppm (Reference 40).
                                    51

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                                   Page  80
However, before these low emission levels can be approached, much addi-
tional development work will be required.  The control methods discussed
above have been applied with measureable success or appear to have appli-
cation in limiting the NOX formed in the furnaces of oil and gas-fired
boilers.  The methods discussed above do not, however, appear to be
generally applicable to coal-fired boilers.  Thus new developments are
required so that NOX emissions from coal-fired units can be controlled.
                                    52

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                                  Page 81
                               ANNEX VIII

                           FLUE GAS CLEANING
1.     An alternative to using clean fuel In a boiler or furnace Is to
Install, a stack scrubbing system after the boiler.  Several processes
have been advanced for this purpose and a few of them have been carried
through to pilot plant demonstration (Reference 33).  For this study we
have concentrated on the one that has the greatest chance of being a
commercial success - limestone Injection and wet scrubbing.

2.     Three main problems must be surmounted on this system:

       _a.  How Is the fly ash to be handled?  The United States Govern-
           ment-sponsored work now underway will determine if it is
           possible to eliminate the electrostatic precipitators and
           collect the ash in the scrubber.

       b_.  How will the scaling due to CaSO^ and its hydrates be over-
           come?  It has been reported that adding the stone into a
           delay tank after absorption helps to reduce this problem.

       £.  How will the tonnages of waste solids be disposed of?  Up to
           now there are no known markets for this material (see
           Annex XIII).

3.     Since this system has four units of commerical size under develop-
ment, it has been decided to use this system in the control strategy.

4.     Pulverized limestone can be injected directly into the boiler.
The limestone is calcined and partially reacts with S02 in the boiler.
The partially sulfated lime, fly ash and most of the remaining sulfur
dioxide plus some N02 are washed from the flue gas by contact with a re-
circulated lime slurry.  The problem of scale formation and erosion still
requires developmental work.

5.     Reaction products, mostly calcium sulfite and sulfate, plus fly
ash buildup in the aqueous slurry and are removed by settling.  The
supernatant liquid is returned to the process.  The sludge is disposed of
                                   53

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                                  Page 82
in a. settling pond or by transporting, after further concentration, to a
landfill site.  The treated flue gas is reheated and discharged to the
atmosphere.

6.     The limestone can also be added directly to the scrubber circuit
instead of to the boiler, although this needs to be more fully demon-
strated.  The scrubbing efficiency is decreased and a greater quantity
of limestone is required, but this method is the one considered in this
report because the heat requirements of calcining calcium carbonate de-
crease the boiler efficiency and cause other problems which would not
be encountered in ah add-on system.

7.     From Reference 33, the sludge from all the scrubbing units is
estimated to be 347,000,000 tons per year.  From Reference 31, it is
estimated that 292,000,000 tons of sludge per year are produced.  Further-
more, the sludge is a complicated mixture of the carbonates, sulfites,
sulfates, nitrites,and nitrates of calcium.  The assumption has been made
that the sludge will be moved to some disposal site, but the nature and
definition of this site will .require additional research and development
work.

8.     The sulfites and nitrites have an appreciable COD and liquid
which require converting these anions to sulfates and nitrates.  This
conversion step has not been included in this report (see Annex XIII).
                                     54

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                                Page 83
                                ANNEX IX
                         COSTS OF CLEANING COAL
1.     Capital costs for typical coal cleaning plants are given in
Reference 9 as follows:

       £.  Type - Simple plant, coals being prepared are easily
           cleanable and require a minimum of crushing and prepara-
           tion.

           Size - 500 tons input per hour.

           Cost - $3300 per hourly ton of capacity.

       b_.  Type - Medium to maximum plants.  These coals require
           crushing to smaller top sizes with maximum effort in
           preparation of fine coal sizes to obtain maximum pyrite
           separation.

           Size - 500 tons per hour.

           Cost - $8000 - $14,000 per hourly ton of capacity.

2.     In order to provide coal with less than 1 percent sulfur, a
high quality plant such as type b_.  will be required with sizes ranging
between 500 and 1400 tons per hour.

3.     The yearly requirement of cleaned coal is 118 x 10& tons based
on a heating value of 11,800 Btu per pound.  For cleaned coal having a
10 percent increase in heating value and a cleaning plant operating
4000 hours per year at 80 percent yield, the total hourly input is:

       118 x 106  x _1_ = 33 500 tons per hour
       4000 x 0.8   1.1

       Total capital cost would be (33,500 x 14,000 » $470,000,000).
                                   55

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                                 .Page  84
4.     This program calls for 30 new coal cleaning plants to be built in
the next nine years, with an average capacity of 1000 tons per hour which
seems to be the technically feasible limit.

5.     Another source (Reference 34) gives the capital cost for coal
cleaning as $12 per kw.  This is based on a 1000 ton per hour plant with
the sulfur content reduced from 2.5 percent to 1 percent, and is inde-
pendent of plant load factor.  For a plant heat rate of 10,300 Btu per
kwh, the total electrical output is:
       118 x 106 x 2°°?0X3oV00 - 270 x 109 kwh


             if = 310 x 106 kw
       365 x 24

       On this basis, the capital cost would be (310 x 106 x 12 =
$370,000,000).

6.     Using the average of the capital costs obtained from the two
sources gives a total capital cost for coal cleaning plants of
$420,000,000.

7.     Operating costs for coal cleaning plants are given in Reference 34
as 0.32 mils per kwh.


       0.32 x 270 x 109 x      • $87,000,000 per year
                                    56

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                                 Page 85
                                  ANNEX X
                         COST OF DESULFURIZING OIL
1.     It is assumed that by 1980 there will be 150 new, integrated
hydrogen treating plants constructed in the United States, and each of
these will be associated with a major oil refining complex.  Each new
installation will have a crude distillation system, a reforming plant,
a hydrogen purification plant, a hydrogen desulfurization unit, a
hydrogen sulfide recovery and elemental sulfur plant, and a production
fractionator (Reference 26).  The combined facilities will produce
low-sulfur, heavy fuel oil at the annual rate of 1,173,000,000 barrels.

2.     With anticipated yields of 80 percent heavy oil, each hydrotreating
plant will have a capacity of 31,500 B.P.S.D. at 0.88 load factor.  The
units will be heavy oil treaters of the H-Oil or RDS Isomax type, and
sulfur removal is assumed at 75 percent.

3.     Hydrogen treating consumes large quantities of hydrogen to satisfy
the simultaneous reactions of desulfurization, saturation, and cleavage.
A good portion of this hydrogen will be supplied by off-gas from a naphtha
reformer.  The balance of the hydrogen must be supplied by other off-gas
streams from the associated refinery.  At an average consumption of 500
standard cubic feet per barrel, each plant will need 16,000,000 standard
cubic feet per day.  An accompanying light oil treating plant will take
an additional 2,000,000 standard cubic feet.

4.     By 1980, natural gas will either be too costly or too rare to be
considered as a source of hydrogen.  Any additional sources will probably
be from heavy oil steam reforming which will help dispose of high sulfur
stocks.

5.     The sulfur removed from the heavy oil feed of each system amounts
to 86 long tons of sulfur each day.  The average hydrogen sulfide recovery
and sulfur plant will be sized for 100 long tons per day.

6.     The simultaneous products and the need for ancillary facilities are
the reasons the assumption was made that the facilities would be associated
with a complete refinery.
                                   57

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                                 Page 86
7.     Investment and operating costs for each of the heavy fuel oil
treating units are taken from the recent report by Paradis et al
(Reference 26), and scaled by the 0.6 power to the appropriate size
ratio.
                                        Size

                                    31,500 B.P.S.D.
                                    32,000 B.P.S.D.
                                    71,000 B.P.S.D.
                                    18,000,000 scf/d
                                    18,000 B.P.S.D.
                                    100 Lt/d
                                    22,000 B.P.S.D.
80     Investment Costs

            Unit

       RDS Isomax
       Product distillation
       Crude fractionation
       Hydrogen plant
       Reformer
       H2§ and sulfur plants
       Light oil hydrotreater
       Other

       Off-site investment
       Contingency

       Total investment

9.     Operating Costs

       Steam ($1.60/M Ib)
       Cooling water ($0.02/M gal)
       Power ($0.0175/kwh)
       Fuel ($3.00/bbl)
       Catalysts and chemicals
       Labor
       Maintenance
       Overhead
       Taxes and insurance
       Contingency
       Total operating fixed costs

       Capital depreciation (20 yr str.  line)

       Total operating cost
Capital Cost

$10,800,000
  1,800,000

  5,300,000

  A,600,000
                                                        $22,500,000
                                                         24,300,000
                                                          4.700.000

                                                        $51,500,000
$   589,000
    125,000
    745,000
  1.765.000
$ 3,224,000

$   517,000
    200,000
    990,000
    517,000
  1,040,000
    517.000
$ 3,781,000

$ 7,005,000

$ 2.575.000

$ 9,580,000
                                    58

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                                  Page 87
10.    To supply 1,173,000,000 barrels per year of low-sulfur heavy
fuel oil will require an additional capital outlay of  $7,730,000,000,
and a yearly operating cost of $1,437,000,000.
                                   59

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                                 Page  88
                                ANNEX XI
                       COSTS OF COMBUSTION CONTROL
1.     In order to establish a basis for estimating the cost to control
NOX emissions in 1980, a summary of boiler plant sizes in 1970 was under-
taken to establish the average boiler size in 1970.  Of 806 surveyed
coal-fired boilers installed and operating in 1970, the average size was
105 raw.  Of A56 surveyed oil or gas-fired boilers installed and operating
in 1970, the average size was 77 raw.

2.     For purposes of this cost estimate, we have made the following
assumptions:

       a.  By 1980, the average size of all boilers, whether coal gas, or
           oil-fired, will grow to 120 raw.

       b_.  By 1980, technology will have advanced to where NOX emission
           control can be achieved in coal-fired boilers, using methods
           which are applicable to oil and gas-fired units.

       It is projected that by 1980 the installed United States fossil-
fueled generating capacity will be approximately 496,000 raw.  This will
be divided, according to Bartok, et al, 67.7 percent coal-fired and 32.3
percent oil or gas-fired units (Reference 11).  Therefore in 1980, there
will be 336,000 raw of coal-fired capacity and 160,000 raw of oil or gas-
fired capacity.

3.     Based upon the above stated average size of 120 raw for all fossil-
fueled boilers in 1980, there will then be a total of 2800 coal-fired and
1330 oil or gas-fired boilers operating in 1980.

4.     Using the data of Bartok, et al, regarding costs of installing and
operating combustion modification controls, the total capital expenditure
by 1980 and the operating cost in 1980 can be estimated.  Consideration
will be limited to the case of a combination of low excess air firing and
flue gas recirculation.
                                    60

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                                 Page  89
       The list below summarizes the data taken from Bartok, et al,
concerning the costs (Reference 11).

                      Combustion Modification Costs
                Low Excess Air Plus Flue Gas Recirculation
                           Plant Size - 120 Mw
                    Load Factor - 4820 Hours Per Year
Fuel
Coal
Gas
Oil
Fixed Costs Operating
Capital
Equipment
208
183
183
Capital
Charges
29
26
26
Maintenance
Supplies and
Overhead
44
39.6
39.6
Costs
Other
Operating
Costs
-17.6
-8.8
-35.2
Total
Costs
Per
Year
55.4
56.8
30.4
                    All costs in $1000

       Thus the capital investment required to install control equipment
in coal-fired plants will be $208,000 x 2800 plants or $5.82 x 108.
Likewise, the capital required for oil and gas-fired plants will be
$183,000 x 1330 plants or $2.44 x 108.  Thus, the total capital cost in-
volved to install control devices for NOx emissions from all fossil-fueled
plants by 1980 is $8.26 x 108.

5.     The annual operating costs for NOX emission control by combustion
modifications in coal-fired plants operating an equivalent of 4820 hours
per year is $55,400 x 2800 plants or $1.55 x 108.  Similarly, taking the
average from the table, the annual operating costs in oil or gas-fired
units will be $43,600 x 1330 plants or $5.8 x 107-

6.     Thus, annual operating costs to control NOX emissions from fossil-
fueled generating plants in 1980 will be $2.13 x 108.
7.
Costs for controlling NOX emissions from industrial boilers are
given in Reference 11 as follows:
                                   61

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                                  Page  90
Size of Boiler
Lb/hr of Steam
a..
b.
£.
d.
27,700
144,500
36,100
187,500
Fuel
Gas or Oil
Gas or Oil
Coal
Coal
Capital Operating Cost
Cost Per Hour
$11,000
$106,500
$17,200
$140,500
$2,600
$16,800
$3,840
$22,480
       The unit costs based on the above, in dollars per pound of steam
per hour, are:

                                      Unit Capital       Unit Operating
                                         Cost                 Cost

       Gas or oil

            a.                           $0.40                $0.094
            b^                           $0.74                $0.116
            Average                      $0.57                $0.105

       Coal

            £.                           $0.48                $0.106
            d.                           $0.75                $0.120
            Average                      $0.62                $0.113

8.     The basis for determining the total steam capacity of industrial
boilers is:

       Steam pressure                    150 psig
       Feed water temperature            200F
       Boiler efficiency              '   75 percent

       Heat input percent - H96-168 . 1370 Btu per pound of steam
                              • 75
                                    62

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                                 Page 91
9.     The total steam output is calculated as follows:

           Fuel usage in metric tons of oil equivalent:

           Gas and Oil    555 x 106
           Coal            90 x 106

           Steam production:

           Gas and Oil    555 *       41'9 * 1()6 = 17.0 x Ifl" Ib/yr
           Coal           90 x 10  x 41.9 x 10   D 2.75 x 1Q12 lb/
                                 1370
       The total hourly rate, using a 65 percent load factor is:

           Gas and Oil    17.0 x 1012 . 2.98 x 109 Ib/hr
                          8800 x .65
10.    The costs for NOX control on industrial boilers are:

           Capital Cost:

           Gas and Oil   2.98 x 109 x .57 = $1700 x 106

           Coal          .48 x 109 x .62 -  $298 * 10f|
                                           $1998 x 10°

           Operating Cost:

           Gas and Oil   2.98 x 109 x .105 - $312 x 106

                         .43 x 10' x .113
11.    The total costs for NOX control on power stations and industrial
boilers are:

           Capital Cost  =  $2,824,000,000

           Operating Cost  •  $579,000,000
                                   63

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                                 Page 92
                                ANNEX XII
                       COSTS OF FLUE GAS CLEANING
1.     The cost of limestone scrubbing depends on a number of factors,
such as sulfur content of the coal, cost of limestone, degree of grinding,
power plant size and location, and excess limestone used.
2.
The following cost data were obtained from Reference 33:
       Basic plant - 200 raw power plant, existing, 3.5 percent S in coal,
limestone injection and scrubbing, limestone cost $2.05 per ton, reheat
to 240F, 95 percent S0£ removal, 99.5 percent dust removal nonrecycle of
sluice water.

       Capital cost - $13.05 per kw of capacity.

       Operating cost - 0.49 mils per kwh.

3.     For differences from the basic plant, the  costs are given as
follows:
                                    Capital
       Difference from               Cost
         Basic Plant                 $/kw

       2 percent S                   11.70
       5 percent S                   14.30
       Limestone @ $l/ton
       Limestone @ $4/ton
       200F reheat                   10.52
       170F reheat                    9.47
       Sluice water recycled
       Addition of limestone
         to scrubber circuit         13.80
       500 raw plant                  10.85
       1000 raw plant                  8.21
       1000 mw plant with
         addition of limestone
         to scrubber circuit          8.82
       1000 mw, new, electrostatic
         precipitator eliminated      6.32
                                                Operating
                                                  Costs
                                                 Mils/kwh

                                                   0.39
                                                   0.59
                                                   0.44
                                                   0.59
                                                   0.42
                                                   0.40
                                                   0.50

                                                   0.53
                                                   0.41
                                                   0.34
                                                   0.37

                                                   0.29
                                    64

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                                 Page 93
4.     For the purposes of this estimate, the conditions for the basic
plant are assumed same as paragraph 2 above,  except for the size of in-
stallations on new power plants which is assumed to be 300 mw capacity.

5.     For control to 1970 level assume scrubbers only on new power
plants with an average size of 300 mw.  All other conditions are the
same as for the basic plant.

                                       Capital Cost   Operating Cost
                                          $/kw          Mils/kwh

       200 mw existing                    13.05           0.49
       1000 mw existing                    8.21           0.34
       1000 mw new                         6.32           0.29

       For 200 mw new:

           Capital cost » 13.05 x |^|r- " $10.00/kw
                                  o .21

                                   2Q
           Operating cost = .49 x -^ = .42 mils/kwh

       For 300 mw new:

           Capital cost - 10.00- I  (l'0.0-6.32) = $9.50/kw
                                 8    i
           Operating cost = .42- 1.  (.42-.29) = 0.40/mils/kwh
                                 8
       Coal usage = 128 x 106 tons (approximately 20 percent of 1980 coal-
         fired plants)  128 x 1Q6 * 200° * 11'800 = 294 x 10* kwh
                                10,300
       With 75 percent load factor:

           	294 * 1Q9	45 x 106 kw
           365 x .24 x .75

           Capital cost = 45 x 10& x 9.50 - $428,000,000

           Operating cost = 294 x 109 x .40 = $118,000,000/yr
                                       1000
                                   65

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                                 Page 94
6.     For control to 1960 level assumptions:  40 percent of the
scrubbers on new power plants and 60 percent on existing power plants.
An average size of 300 raw is used for the new power plants and 200 raw
for the existing power plants.

                                        Capital Cost   Operating Cost
                                          $/kw           Mils/kwh

       300 mw, new                         9.50           0.40
       200 mw, existing                   13.05           0.49

       Average capital cost - .4 x 9.50 + .6 x 13.05 - $11.60/kw

       Average operating cost - .4 x .40 + .6 x .49 - 0.45 mils/kwh

       Coal usage - 383 x 106 tons (approximately 60 percent of 1980
         coal-fired power plants) :

           383 x 106 x 2000 x 11.800 0 880   109 kwh
                    10,300

       With 65 percent load factor:
             880 x 1Q _ 0 154 x 106 kw
           365 x 24 x .65

       Capital cost - 154 x 106 x 11.6 - $1,790,000,000

       Operating cost - 880 x 109 x .45 - $396, 000, 000 /yr
                                   1000

7.     The prices assumed for limestone are conservative.  The impact of
a new market for 66,000,000 tons of limestone in the next nine years
cannot be determined.

8.     The movement of sludge (see Annex VIII- 7) will add an additional
$240,000,000 per year if it is hauled an average of 50 miles at a cost
of $0.016 per ton mile (Reference 13).
                                    66

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                                 Page 95
                                ANNEX XIII
                              WASTE DISPOSAL
1.     Disposing of the waste or by-products which are created by re-
ducing air pollution from burning fossil fuels will present serious
problems.

2.     A major part of this report is directed at reducing the amount
of SOX in the air.  While it is possible to set up a plan (see Chapter
III) to lower 1980 SOX emissions to the 1960 level, the result will be
37,000,000 tons of SOX per year or 16,600,000 long tons of sulfur not
put into the air (see Tables 12 and 14).  Of this reduction, 3,700,000
long tons of sulfur will be left in the ground in coal or left on the
ground as tailings from the coal cleaning operations.  11,100,000 long
tons will be scrubbed out of the flue gases and combined with limestone
to produce gypsum and 3,000,000 long tons will be removed from heavy
fuel oil and vill be available for sale.  The elemental sulfur market
in the United States in 1980 is expected to be 14,000,000 to 15,000,000
long tons (Reference 36).  Because other potential sources of sulfur,
e.g., smelters and sour gas are expected to grow at a high rate, a cost
estimate which assumes a substantial credit for sulfur sales seems un-
realistic except in unusual circumstances.

3.     The relative costs and the state of the art indicates that it is
more likely the sulfur from oil will get to the market before sulfur
from flue gas (References 30, 39).  Thus it would appear that throw-
away processes will be favored unless use of sludge removal or other
economic factors to make them economically unreasonable.

4.     The sludge containing fly ash, unreacted calcium carbonate, pre-
cipitated calcium sulfite and calcium sulfate, and a lot of water containing
calcium nitrite and calcium nitrate in solution, must be disposed of.  For
scrubbing 570,000,000 tons per year of coal, sludge will be formed at the
rate of 300,000,000 tons per year.  (60 percent solids, 40 percent water.,)
                                      I
5.     Scrubbing 25,000,000 tons of SOX out of flue gases is calculated
to scrub out an accompanying NOX and to form 3,000,000 tons of calcium
nitrite and calcium nitrate.  The disposal of this very soluble salt is a
major problem of some magnitude if it is to be kept out of streams, ponds
and rivers.
                                    67

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                                 Page 96
6.     Twenty-three million tons of refuse, trash, iron sulfides, and
the like, would result from the preparation of 90,000,000 tons of deep
cleaned coal.  The techniques for handling the process water and rain-
water runoff from such a quantity of waste cannot be overlooked.

7.     Natural gas has been assumed to be a clean fuel.  As it comes
from the wells in the fields it contains varying quantities of hydrogen
sulfide.  This hydrogen sulfide must be removed, and disposed of, because
of its toxicity.  Historically, much of it has been burned to SOx from
small, lean sources.  When sources were rich enough, the hydrogen sulfide
was converted to sulfur for sale.  By 1980, it must be assumed that all
hydrogen sulfide is converted to sulfur, if pollution abatement is to be
a reality.  The question arises, what are Canada and Venezuela to do with
their sour gas?  By 1980, Canada will produce 21,000,000 long tons of
sulfur through their gas fields alone (Reference 36).
                                    68

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                                        PROCESSES RESEARCH. INC.

                                       NEW YORK   CINCINNATI    CHICAGO
                 Page 97
             APPENDIX I
                      i

THE U. S, STRATEGY  AND SOX ABATEMENT

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                                                     PROCESSES RESEARCH. INC.
                                                    NEW YORK   CINCINNATI   CHICAGO
                              Page 98
THE U. S. STRATEGY AND SOX ABATEMENT

     The Uo S. control strategy synthesized for the purpose of the O.E.C.D.
study is presented on pages 15 and 18 of the U. S. National report.  The
1980 situation is presented in Table 7 for the no control case and in
Table 8 for the case where the stated strategy is employedo  Comparison of
the data in these tables for SOX emissions show the desired reduction is
accomplished by changes impressed on the practices in using heavy fuel oil
and hard coal, with the great bulk in the reduction owing to the changes
in the hard coal category.

     The method used for arriving at the 1980 fuel requirements is
described in Annex IV of the U. S. National report.  During this phase of
the report preparation, it was necessary to make certain assumptions con-
cerning the availability of fuels to the respective sectors.  Basically the
large amount of coal is allocated to the electric power industry on the
basis of the amount of kwh equivalents required to furnish the projected
electricity needs not covered by other fuel sources.  Because of the cost
premium, natural gas and heavy fuel oil supplies were allocated to satisfy
all other sector demands before power stations.  It is felt that the large
power station will have a cost advantage in applying fuel gas cleaning
systems over paying a fuel premium.,

                      SOy Emissions Table*

                            (1)       1980   (2)        1980   (3)
                 1970 Actual       No Control        Cont. 1970
                Resid    Coal     Resid    Coal     Resid
Power Stations   2=40    14.69     5.50    31.75     1.85
Other Industry   0.87     6.68     1.04     7.99     0.35
Total for these
  Sectors            24.64             46.08             25.23
Grand Total          29.53             51.80             28.39

*SOX emissions are expressed as millions of metric tons.  (These data are
from The U. S. National report:  (1) Table 5, (2) Table 8, and (3) Table 9).

     Although the data do not permit an exact calculation of all sulfur
removed, those presented for the two sectors of power plants and other
industry satisfy the large percentage of sulfur units.

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                                                       PROCESSES RESEARCH. INC.
                                                     NEW YORK    CINCINNATI   CHICAGO
                               Page 99
    Consumption of hard coal and heavy fuel oil  (resid) for these sectors is
given in Table 4 and 6 of the U. S. National report.  These numbers yield the
amounts of SOX emissions given above when converted with the appropriate emis-
sion factorso  Note that the resid assumed available is 2.6 percent sulfur and
is desulfurized to 0<.87 percent as per the stated strategy.

    The tables in the U, S. National report give the fuel requirements and
projected emissions for all fuels and source categories.  The projected total
SOX emissions for the year 1980:

         51.80 MMT without control
         28.38 MMT with application of stated control strategy
         23.42 MMT reduction in SOg emissions required in 1980 to control
               to 1970 level

    Since the calculation of- the total situation is very complex and the
bulk of the SOX emissions can be seen to occur from the combustion of hard
coal in the public power sector, a detailed analysis of this combination of
fuel and sector only will be presented for the sake of brevity.

    The assumptions applied in the formulation of the strategy pertinent to
using hard coal in public power stations led to the following structure:

    (a)  Concentration of industrial'activity supplied by coal is much more
         heavy in the eastern than western U. S.  Therefore all demands for
         low sulfur coal will be supplied by natural low sulfur eastern coal
         or mechanically deep cleaned high sulfur eastern coal.  Since
         cleaned coal provides about a 30 percent ash reduction, this portion
         will be allocated to industrial sectors.

    (b)  The portion of natural low sulfur eastern coal not allocated to
         industry will be used in power stations.

    (c)  All western coal is used in power stations.

    (d)  The remaining power plant capacity is left with only high sulfur
         eastern coal.  A sufficient capacity of this remainder is required
         to implement flue gas cleaning to accomplish the desired reduction;
         the remaining capacity is uncontrolled.

The total hard coal required to meet all energy demands in 1980 is .....
mst = million short tons ..................... 872.5 mst
(Table 6, page 16).  Of this amount, power stations require. . . . 682.0 mst

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                                                      PROCESSES RESEARCH.  INC.
                                                     NEW YORK   CINCINNATI   CHICAGO
                               Page 100
    The strategy calls for implementation of steps to accomplish the desired
reduction of sulfur emissions for hard coal burning by applying technology
which is judged most feasible within the time constraints and degree of
development.

Use low sulfur western coal (1 percent sulfur) to account
for 10 percent of the total coal demand and allocate to
power plants	. .	 ,	   87.3 mst

Use natural low sulfur eastern coal (0.7 percent sulfur)
to account for 18 percent of the total coal demand ........  157.0 mst

Deep clean 15 percent of the high sulfur eastern coal to
0.7 percent sulfur, reduce ash, and allocate to all sectors
other than power plants (equals 13.5 percent or approximately
14 percent of all coal)	118.0 mst

Total low sulfur coal available to all sectors other than
power plants	275.0 mst

Total low sulfur coal required by all sectors other than
power plants	190.5 mst

Low sulfur coal available to power stations from natural
low sulfur eastern coal	«   84.5 mst

Total low sulfur coal available to power stations from both
eastern and western sources  	 ....  171.8 mst

Total high sulfur coal required to furnish balance of demand
for power stations	  510.2 mst

Employ flue gas scrubbing on 127.7 mstons capacity of
2.7 percent sulfur coal reducing by 90 percent	127.7 mst

Remainder of high sulfur coal capacity not controlled  ......  382.5 mst

    The sulfur oxide emission situation after control in 1980 is then:

        Power Plant

        From low sulfur eastern coal
             84.5 x 38 x 0.7 x 1/2000     <*  1.13 mst SOX

        From low sulfur western coal
             87.3 x 38 x 1.0 x 1/2000     =  1.66 mst SOX

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                                                       PROCESSES RESEARCH. INC.
                                                     NEW YORK   CINCINNATI   CHICAGO
                               Page 101
        From flue gas cleaning
             127.7 x 38 x 0.1 x 2.7 x 1/2000 - 0.66 mst SOX

        From high sulfur eastern coal
             382.5 x 38 x 2.7 x 1/2000       - 19.65 mst SOX
                                               23.10 mst SOX

        Total                                - 20.96 MMT SOX

    The total required reduction in all sectors is 23.4 MMT to control the
1980 situation to the 1970 level (actually this is better than the 1970 case
as estimated).  This value of 20.96 MMT of SOX emissions is that presented
in Table 8 of the U. S. National report.  Similar calculations for all other
fuel - sector combinations have been performed to give the figures presented
in the U. S. National report, which show that the control of potential 1980
emission to the 1970 levels are possible with the stated strategy.

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                                    PROCESSES RESEARCH. INC.
                                   NEW YORK   CINCINNATI    CHICAGO
            Page 102
         APPENDIX  II

COSTS FOR OIL DESULFURIZATION

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                                                       PROCESSES RESEARCH. INC.
                                                     NEW YORK    CINCINNATI   CHICAGO
                               Page 103
COSTS FOR OIL DESULFURIZATION
In regard to the cost of residual desulfurization, I have examined
several references for information on various RDS processes. From this
data, I have developed the table below.
PROCESS
CHEVRON RDS - ISOMAX
SCALED TO 0.6 POWER
FOR U. S. REPORT
ESSO RES ID FINING
HYDROCARBON RESEARCH
H-OIL
IFF
UOP RCD - ISOMAX
GULF HDS
SIZE
BPSD
50,000

31,500
—

40,000
50,000
40,000
35,000
INVESTMENT $
MILLIONS
16.7

12.6
—

8.4
13.1
9.7
15.0
$ PER BPSD
335

400
200-500

210
262
243
429
    As can best be determined from the various references (copies appended
here), these costs account only for these RDS units - the reactor, separators,
and product distillation.  No costs are included for the required increase in
the capacities of the hydrogen, sulfur and H£S plant or ancillary equipment.
    Recalculating the costs for the U. S. case using these figures and the
assumptions behind them may show greater agreement with those cost figures
presented by other national reports.

    From the U. S. National report, Annex X, we have the investment costs
for desulfurization of:

                                 REPORT      BASE SITE

RDS - ISOMAX 31,500 BPSD          10.8         10.8
PRODUCT DISTILLATION               1.8          1.8
HYDROGEN PLANT                     5.3
H2S & SULFUR PLANT                 4.6         _
                                  22.5         12.6
OFFSITE                           24.3
CONTINGENCY                        4.7
TOTAL INVESTMENT                  51.5
                                               $400 bpsd

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                                                                             .y
                                                      PROCESSES RESEARCH. INC.
                                                     NEW YORK   CINCINNATI   CHICAGO
                               Page 104
    Then applying the following figures for the total residual oil
desulfurization capacity,

    1173 x 106 bbl/yro required of oil

    .88 load factor

    1335 x 106 bbl/yr. capacity for desulfurization

    3.67 x 106 bpsd total capacity

    cost range is $200-$500/bpsd for plants from 30K to 50K bpsd

    Minimum cost =* $200 x 3.67 x 10  = $7.34 x 108

    Maximum cost =» $500 x 3.67 x 1Q6 = $18.35 x 1Q8	
    These figures represent only the base minimal investment then for the
RDS operation - they do not include the provisions for increased capacities
of the hydrogen plant, l^S and sulfur plants, and other ancillaries nor
factors for off-site investment or contingency.

    The O.E.C.D. draft consolidated report given capital costs for resid
desulfurization on page 22 (bis) table 11 ranging from $380 to $500 per
annual ton of sulfur removal capacity for the U. K«  and the Netherlands.
This figure for the U. S. case, if recalculated on the basis of the foregoing
discussion, is obtained - $200 to $500 range.  This range is calculated as
follows:

    Assume the average sulfur content of the resid fuel is at 2.7 percent
sulfur and the resid is desulfurized to a level of 0.87 percent sulfur.

    1980 resid demand 1173 x 106 bbl/yr.

    1173 x 106 bbl/yro x 42 gal/bbl x 7.92 Ib/gal x ton/2000 Ibs -
      195 x 106 tons resid/yr.

    5<>3 mst at 2.7 percent sulfur

    1.7 mst at 0,87 percent sulfur

    Therefore 3.6 million short tons of sulfur are removed from the resid
oil.  For the capital cost range previously calculated, i.e., minimum cost =
$7.34 x 108 and maximum cost a $18.35 x 10°, we have as range of from $200
to $510 per ton of sulfur removal capacity.

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                                                      PROCESSES RESEARCH. INC.
                                                    NEW YORK   CINCINNATI   CHICAGO
                              Page 1Q5
     I would like to call to your attention, then, that a comparison of
these cost figures to those presented in the U. S. National report for
desulfurization are very much the same when adjusted to this basis, i«e.,
the desulfurization unit, the separators and product distillation unit,
without off-site investment and contingency factors.

     Certainly differences arise concerning the inclusion of costs for
components such as the hydrogen and H2S - sulfur plants which are utilized
also by other of the refinery operations.  While it is not legitimate to
assign the whole of these costs to the operations involved to remove sulfur
from fuels to achieve control of sulfur oxides, it is likely that a consid-
erable investment in such components will be necessary if the required
quantities of desulfurized resid are to be made available.

     The questions which now arise are:  What basis is assumed by each
national report in the calculation of the oil desulfurization costs;
what basis should be used?

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                                      PROCESSES RESEARCH. INC.
                                     NEW YORK   CINCINNATI    CHICAGO
              Page 106
          APPENDIX III

ELECTROSTATIC PRECIPITATOR COSTS

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                                                      PROCESSES RESEARCH. INC.
                                                    NEW YORK    CINCINNATI   CHICAGO
                              Page 107
ELECTROSTATIC PRECIPITATOR COSTS

     The following discussion covers the subject of electrostatic
precipitators (ESP) and provides the modified estimates as requested.

     From the Southern Research Institute report (copies attached as
Annex IV), we have data which indicate a total installed 1970 ESP capacity
for 358 x 10^ acfm of flue gases from coal combustion.  Based on the con-
version factor of 2.0 cfm of flue gas per ton of coal fired per year (for
a 0.55 load factor), we estimate the total ESP power station capacity
requirement for 1980 to be:

          554 mst x 2.0 = 1108 x 106 acfm

     The ESP capacity required to be added between 1968 and 1980 is then
the difference, i.e.,

          1108 x 106 - 358 x 106
       or 750 x 106 acfm additional capacity

     If we want to include replacement of all units over 30 years old by
1980 (i.e., units having a design efficiency of less than 95 percent) we
must account for an additional 78.5 x 10& acfm capacity, bringing the
new capacity figure to:

          838 x 106 acfm

     We then must furnish ESP capacity to handle 838 x 10*> acfm or for a
capacity of 419 x 10& tons per year of coal for public power stations.

                              ESP HISTORY STATUS
          Year              1950      1968      1980
          Coal burned       91.8       298       554    (power stations)
            (mst)                                191    (other sectors)

          Total gas volume   184       596      1108
            106 acfm

          Volume equipped
            with ESP        78.5       358      1108
            106 acfm

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                                                     PROCESSES RESEARCH.  INC.
                                                    NEW YORK   CINCINNATI   CHICAGO
                             Page 108
     The trend data for conversion efficiency shows that about 0.87 Ibs of
coal are required for each kilowatt-hour.  Applying this factor and a load
factor of 0.55, a total capacity of 2.2 x 108 KW is calculated.  At the
cost basis of $5.00/KW installed, we then have a total cost of 1.1 x 109
for power plants.

     The situation is more difficult for costing the industrial units
because we lack detailed data of the nature on-hand for power plants.  We
have chosen to apply the cost for ESP units for power plants on the gas
handling basis.

     For 191 x 106 tons/yr. of coal fired and a 0.8 load factor, it is
estimated that a total volume rate of 2.9 x 108 acfm of gas is to be
cleaned.  Further take the unit size to be 10^ acfm with a resultant unit
cost (from figures in attachment) of $90,000.  This analysis yields a total
cost of $257,000,000.

     The total costs for all electrostatic precipitator capacity is then
estimated at $1.36 Billion (i.e., $1.36 x 109) for the U. S. case - a
figure not in significant disagreement with that in the U. S. National
report.

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                                               Table 15.5
                                Fly Ash Precipitator Installations


Pptr
Contract
Year

1923
1926
1927
1928
1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
19-15
1946
1947
1943
1949
1950
1951
1952
1953
1954
1955
1958
1957
1958
1959
1960
1961
I9C2
1963
1964
1965
1966
1967
1068
1969
Grand
Totals


No.
of
Installations

1
2
2
1
4
6
2
1
2
2
2
13
IS
1
8
22
31
9
1
8
13
22
28
22
20
19
28
19 ,
23
9
23
22
26
13
23
17
12
IS
IS
19
33
48
55
46
40
741



No.
of
Pptr«

3
3
11
2
20
10
3
2
4
4
5
23
29
1
17
36
52
29
3
11
17
39
59
40
23
35
61
25
37
IS
36
37
43
19
37
26
16
28
21
27
49
80
117
106
67
1331

(1)
Total
Gas Vol
Millions
acfm

0.80
1.35
3.59
0.22
2.62
1.43
0.46
0.37
0.63
0.52
0.79
3.59
4.71
0.25
3.34
5.42
7.84
3.37
0.96
2.69
2.78
6.12
12.67
9.97
5.33
6. 88
14.12
7.60
9.27
4.48
14.04
26.57
17.40
7.55
5.41
11.09
7.56
17.07
12.54
19.84
27.17
57.24
72.51
58.78
42.93
531.9


Five (5) Yr Periods
No. AvgVol/Yr Pptr
of Total Gas Vol During Period Operation
Installations 10* acfm 10° acfm Year

1925
1928
10 8.58 1.72 1929
1930
1931
1932
1933
13 3.46 0.69 1934
1935
1936
1937
1938
39 12.68 2.54 1939
1940
1941
1942
1943
71 20.28 4.06 1944
. _ . 1945
1946
1947
1943
105 56.87 7.37 1643
1950
1951
1952
1953
98 42.35 8.47 1954
1955
1956
1957
1958
107 1 80.97 16.19 1959
I960
1961
4 1962
1963
76 68.10 13.62 1964
1965
1S36
1967
1008
221 297.61 ,. 51.52 1969
1970
1971
741


Accumul
Gas Vol
With Pptra
10° acfm

0.80
2.15
5.74
5.96
8.58
10.01
10.47
10.84
11.52
12.04
12.83
16.42
21.13
21.38
24. 72
30.14
37.98
41.35
42.31
45.00
47.78
53.90
66.57
76.54
81.87
88.75
102. 87
110.47
119.74
124.22
138.26
164.83
182.23
189.78
205.19
216.28
223.84
240.91 •
253.45
273.29
300.46
357. 70
430.21
488.97
531.90



Coal
Burned
10° tons
per year

35.6
38.0
41.8
40.3
36.1
28.0
28.5
31.4
32.7
40.1
42.9
38.4
44.5
51.5
62.6
66.2
77.3
80.1
74.7
72.2
89.5
99.6
83.9
91.8
105.7
107.1
115.9
118.4
143.8
158
162
-
-
176.2
-
-
211
-
244.8
166.5
274.0
-
-
-
•


(2)
Total Gas
Vol Calculated
From Coal
Burned
10* acfm
53.4
58
62.8
60.5
54.2
42.0
42.8
47.0
49.0
60.0
64.5
57.6
6C.8
77.3
94.0
99.3
116.0
120. 0
112.0
108.3
134.0
149.5
126.0
138.0
159.0
161.0
174.2
178.0
216 *
237.5
244
-
-
265
-
•
J17
-
368
401
412
-
-
-
~



Percent of
Total Vol
with
Pptrs

1.5
3.7
9.1
9.9
15.8
23.8
24.5
23.1
23.5
20.1
19.9
28.5
*i.€
27.7
20. 3
30.4
32.7
34.5
37.8
41.6
35.7
36.1
52.8
55.5
51.5
55.1
59.1
62.1
55.4
52.3
56.7
-
-
71.6
-
-
70.6
-
68.9
68.2
72.9
•
•
-
*

•
                                                                                                                                 "0
                                                                                                                                 o
                                                                                                                                 JO
                                                                                                                                 Q
(1) Includes all fly aih precipttators except rebuilds.
(2) Based on an 80% load factor.

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