cvEPA
          United States
          Environmental Protection
          Agency
         Office of Air Quality
         Planning and Standards
         Research Triangle Park NC 27711
EPA-450/3-89-14
May 1989
          Air
Model Boiler Cost
Analysis for Controlling
Sulfur Dioxide (SCfc)
Emissions from Small
Steam Generating Units

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                                          EPA-450/3-89-14
         MODEL BOILER COST ANALYSIS

    FOR CONTROLLING SULFUR DIOXIDE (SO2)

EMISSIONS FROM SMALL STEAM GENERATING UNITS
             Emission Standards Division
          U.S. Environmental Protection Agency
             Office of Air and Radiation
        Office of Air Quality Planning and Standards
          Research Triangle Park, N.C. 27711
                  May 1989

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This report has been reviewed by the Emission Standards Division of the
Office of Air Quality Planning and Standards, EPA, and approved, for
publication.  Mention of trade names or commercial products is not intended
to constitute endorsement or recommendation of use.  Copies of the report
are available through the Library Service Office (MD-35), U.S. Environmental
Protection Agency, Research Triangle Park, North Carolina  27711, or from
National Technical Information Services, 5285 Port Royal Road, Springfield,
Virginia  22161.
                                     ii

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                              TABLE OF CONTENTS
Section
1.0
2.0
3.0
4.0
INTRODUCTION 	
SUMMARY 	
MODEL BOILER COSTING METHODOLOGY 	
MODEL BOILER COST ANALYSIS RESULTS 	
Page
1
	 2
	 4
	 6
          4.1  COAL  .........................  6
          4.2  OIL .....................  .....  7

5.0       REFERENCES .........................  9

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                               LIST OF TABLES

Table                                                                 Page

1    S02 ALTERNATIVE CONTROL LEVELS 	  10

2    PROJECTED FUEL PRICES FOR EPA REGION V	11

3    MODEL BOILER COST ANALYSIS FOR SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR COAL-FIRED BOILERS IN REGION V AT 0.26
     CAPACITY FACTOR  	  12

4    MODEL BOILER COST ANALYSIS FOR SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR COAL-FIRED BOILERS IN REGION V AT 0.55
     CAPACITY FACTOR  	  13

5    COST EFFECTIVENESS RESULTS OF SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR COAL-FIRED BOILERS IN REGION V AT 0.26
     CAPACITY FACTOR  	  14

6    COST EFFECTIVENESS RESULTS OF SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR COAL-FIRED BOILERS IN REGION V AT 0.55
     CAPACITY FACTOR  	  15

7    MODEL BOILER COST ANALYSIS FOR SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR OIL-FIRED BOILERS IN REGION V AT 0.26
     CAPACITY FACTOR  	  16

8    MODEL BOILER COST ANALYSIS FOR SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR OIL-FIRED BOILERS IN REGION V AT 0.55
     CAPACITY FACTOR  	  17

9    COST EFFECTIVENESS RESULTS OF SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR OIL-FIRED BOILERS IN REGION V AT 0.26
     CAPACITY FACTOR  	  18

10   COST EFFECTIVENESS RESULTS OF SULFUR DIOXIDE CONTROL
     ALTERNATIVES FOR OIL-FIRED BOILERS IN REGION V AT 0.55
     CAPACITY FACTOR  	  19
                                      iv

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                             1.0   INTRODUCTION

     This report presents estimates of the costs and cost effectiveness
associated with controlling sulfur dioxide ($02) emissions from small coal -
and oil-fired steam generating units (i.e., boilers).  The report was
prepared as part of the project to develop new source performance standards
(NSPS) for small boilers under Section 111 of the Clean Air Act.  Small
boilers are defined as industrial-commercial-institutional boilers having
heat input capacities of 29 MW (100 million Btu/hour) or less.  The
regulatory baseline and alternative control levels used in this cost
analysis are discussed in the report entitled, "Overview of the Regulatory
Baseline, Technical Basis, and Alternative Control Levels for Sulfur Dioxide
(S02) Emission Standards for Small Steam Generating Units".

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                                2.0   SUMMARY

     Capital, operation and maintenance (O&M),  and annualized costs were
estimated for model boiler/SO^ control systems  firing coal and oil in EPA
Region V.  The S02 control techniques examined  for coal-fired boilers were
the use of low sulfur coal, flue gas desulfurization (FGD) systems, and
fluidized bed combustion  (FBC) units.  For oil-fired boilers, the use of
medium sulfur oil, very low sulfur oil, and FGD systems were examined.
     Annualized costs for the model coal-fired  boilers at the regulatory
baseline range from $599,000/yr at the 2.9 MW (10 million Btu/hour) boiler
size and 0.26 capacity factor to $3,661,000/yr  at the 29 MW  (100 million
Btu/hour) boiler size and 0.55 capacity factor.  The increase in annualized
costs over the regulatory baseline for Alternative Control Level 1 (i.e.,
firing low sulfur coal) ranges from 4 to 7 percent. Alternative Control
Level 2  (i.e., 90 percent SO^ reduction) increases annualized costs by 22 to
56 percent over the regulatory baseline.
     The incremental cost effectiveness of emission control  associated with
Alternative Control Level 1 over the regulatory baseline ranges from $536/Mg
($486/ton) at the 29 MW (100 million Btu/hour)  boiler size and 0.55 capacity
factor to $2,120/Mg ($l,920/ton) at the 2.9 MW (10 million Btu/hour) size
and 0.26 capacity factor.  The incremental cost effectiveness of emission
control  associated with Alternative Control Level 2 over Alternative Control
Level 1  ranges from $3,060/Mg ($2,830/ton) to $33,300/Mg ($30,200/ton) over
the same range in boiler  size and capacity factor.
     Annualized costs for model oil-fired boilers at the regulatory baseline
range from $330,000/yr at the 2.9 MW  (10 million Btu/hour) size and 0.26
capacity factor to $2,623,000/yr at the 29 MW (100 million Btu/hour) size
and 0.55 capacity factor.  Compared to the regulatory baseline, Alternative
Control  Level 1 (i.e., firing medium  sulfur oil) increases annualized costs
by 2 to  4 percent; Alternative Control Level 2 (i.e., firing very  low sulfur
oil) increases annualized costs by 8  to 21 percent; and  Alternative Control
Level 3  (90 percent SCL reduction) raises annualized costs by 29  to 96
percent.

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     The incremental cost effectiveness of emission control associated with
Alternative Control Level 1 over the regulatory baseline averages about
$339/Mg ($308/ton) for all boiler sizes and capacity factors.  The
incremental cost effectiveness of emission control associated with
Alternative Control Level 2 over Alternative Control Level 1 averages about
$l,560/Mg ($l,420/ton) for all boiler sizes and capacity factors.  This is
because the only cost differences between these alternative control levels
are fuel cost differences.  Since these costs vary in proportion to S02
emission differences, incremental cost effectiveness does not change with
boiler size or capacity factor.
     The incremental cost effectiveness of emission control associated with
Alternative Control Level 3 over Alternative Control Level 2 increases with
decreasing boiler size and capacity factor from $12,300/Mg ($ll,200/ton) to
$393,000/Mg ($357,000/ton).  This reflects the economies of scale associated
with FGD systems.

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                   3.0   MODEL BOILER COSTING METHODOLOGY

     This model boiler cost analysis estimates capital,  O&M, and annualized
costs using the methodology discussed in References 2 and 3.  The selection
of model boiler types and sizes used in this analysis is discussed in
Reference 4.  All costs are presented in June 1985 dollars.  Capital  and O&M
costs were updated from other time bases using the Chemical Engineering  (CE)
plant cost and Bureau of Labor Statistics (BLS) producer price indices,
respectively.  The total cost for each model system includes the costs of
the boiler, fuel, and add-on S02 control equipment, where applicable.
     The S02 alternative control levels used in this analysis are summarized
in Table 1.  As discussed in Reference 1, a regulatory baseline of 1,550
ng/J (3.6 Ib/million Btu) is selected for coal-fired boilers for purposes of
analysis.  This emission level is represented by the firing of type
F-bituminous coal.  This coal has a maximum expected S02 emission rate of
1,550 ng/J (3.6 Ib/million Btu) and a long-term average S02 emission rate of
1,230 ng/J (2.86 Ib/million Btu).  Alternative Control Level 1 for coal  is
an emission level of 520 ng/J (1.2 Ib/million Btu).  In the analysis, this
emission level is met by firing low sulfur, type-B bituminous coal.
Alternative Control Level 2 for coal is a requirement of 90 percent S02
reduction on a continuous basis.  This level can be achieved using either
FGD or FBC systems.  Various coal types were examined to determine the
lowest cost option for FGD or FBC application.  Type F-bituminous coal
results in the lowest annualized costs for a 90 percent SO- reduction
requirement.
     As discussed in Reference 1, a regulatory baseline of 1,290 ng/J (3.0
Ib/million Btu) is selected for oil-fired boilers for purposes of analysis.
Alternative Control Level 1 for oil is an emission level of 690 ng/J
(1.6 Ib/million Btu).  In the analysis, this emission level is achieved  by
the firing of medium sulfur oil.  Alternative Control Level 2 for oil is an
emission level of 210 ng/J (0.50 Ib/million Btu), which is met by firing
very low sulfur oil.  Although either very low sulfur residual oil or
distillate oil can be used to meet Alternative Control Level 2, only
distillate oil is considered to be universally available in this sulfur

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content range.  The sulfur content of distillate oils can range up to
210 ng S02/J  (0.50 Ib SOVmillion Btu), but the average distillate oil
contains about 130 ng S02/J (0.30 Ib S02/million Btu).  As a result, the
typical distillate oil selected for this analysis produces S02 emissions of
130 ng/J (0.30 Ib/million Btu).  Ninety percent S02 reduction is required
under Alternative Control Level 3 and is met by use of FGD systems.  High
sulfur oil was chosen for use with an FGD system to meet Alternative Control
Level 3 because it results in the lowest annualized costs for the FGD
option.
       The costs associated with Alternative Control Level 2 for coal-fired
boilers and Alternative Control Level 3 for oil-fired boilers are based on
costs for sodium and dual alkali FGD systems.  Although not specifically
included, costs for wet lime/limestone FGD, lime spray drying, and FBC are
in the same general range as those for sodium and dual alkali FGD.
Therefore, the costs presented for these alternative control levels are
representative of systems that are capable of achieving 90 percent SO-
reduction on  a continuous basis.
     The fuel prices used in this analysis are presented in Table 2.  These
are projected prices for fuel delivered in EPA Region V, levelized over a
15-year period from 1992 to 2007.  Region V fuel prices were used for
illustrative  purposes.  Similar cost results would be expected using fuel
prices for other EPA regions.
     For the  various alternative control levels, costs were estimated for
appropriate methods to ensure compliance.  For the reduced sulfur oil
alternatives, shipment fuel sampling and analysis are required.  Both the
specified procedure and the associated costs for this compliance option are
discussed in  Reference 6.  The low sulfur coal alternative would require
continuous monitoring of some type, either daily fuel sampling and analysis
of the coal fired or installation of an outlet S02 continuous emission
monitor (CEM).  Daily fuel sampling and analysis result in lower continuous
monitoring costs.  For the 90 percent S02 reduction alternatives, continuous
monitoring is required.  Costs for daily fuel sampling and analysis at the
inlet and an  SCL CEM at the outlet are used in this analysis.   (An inlet
SCL CEM could be used instead of fuel sampling and analysis for FGD
applications, but this would result in higher costs.)

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                  4.0   MODEL BOILER COST ANALYSIS RESULTS

4.1  COAL

     Tables 3 and 4 present the costs of model coal-fired boilers operating
at capacity factors of 0.26 and 0.55, respectively.  Annualized costs for
model boilers at the regulatory baseline range from $599,000/yr at the 2.9
MW (10 million Btu/hour) boiler size and 0.26 capacity factor to
$3,661,000/yr at the 29 MW (100 million Btu/hour) boiler size and 0.55
capacity factor.  The increase in annualized costs over the regulatory
baseline for Alternative Control  Level 1 ranges from 4 to 7 percent.
Requiring 90 percent reduction under Alternative Control Level 2 increases
annualized costs by 22 to 56 percent over the regulatory baseline.
     Tables 5 and 6 present the results of the analysis for the model coal-
fired boilers at capacity factors of 0.26 and 0.55, respectively.  The
incremental cost effectiveness of emission control associated with
Alternative Control Level 1 (i.e., firing low sulfur coal) over the
regulatory baseline ranges from $536/Mg ($486/ton) at the 29 MW (100 million
Btu/hour) boiler size and 0.55 capacity factor to $2,120/Mg ($l,920/ton) at
the 2.9 MW (10 million Btu/hour)  boiler size and 0.26 capacity factor.  The
incremental cost effectiveness of emission control associated with
Alternative Control Level 2 over Alternative Control Level 1 ranges from
$3,060/Mg ($2,830/ton) at the 29 MW  (100 million Btu/hour) boiler size and
0.55 capacity factor to $33,300/Mg ($30,200/ton) at the 2.9 MW (10 million
Btu/hour) size and 0.26 capacity factor.
     The incremental cost effectiveness of emission control associated with
Alternative Control Level 1 decreases with increasing boiler size and
capacity factor.  This is due to the fact that daily fuel sampling and
analysis are required for compliance under Alternative Control Level 1 but
not under the regulatory baseline.  While the annualized costs associated
with the daily fuel sampling and analysis remain constant as boiler size and
capacity factor increase, the S02 emission reductions under Alternative
Control Level 1 increase.  Other costs associated with S02 control  (e.g.,

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fuel costs) increase in proportion to boiler size and capacity factor.  As a
result, the incremental cost effectiveness of emission control decreases as
boiler size and capacity factor increase.
     A similar trend occurs when comparing Alternative Control Level 2 to
Alternative Control Level 1.  In this case, an outlet SCL CEM is required
for compliance under Alternative Control Level 2 in addition to fuel
sampling and analysis.  While the annualized costs for the CEM remain
constant as boiler size and capacity factor increase, SO^ emission
reductions increase.  In addition, due to economies of scale, the annualized
costs of FGD systems (on a heat input capacity basis) decrease as boiler
size increases.  Thus, the incremental cost effectiveness of emission
control between Alternative Control Level 2 and Alternative Control Level 1
decreases as boiler size increases.

4.2  OIL

     Tables 7 and 8 present the costs of oil-fired model boilers operating
at capacity factors of 0.26 and 0.55, respectively.  Annualized costs for
boilers at the regulatory baseline range from $330,000/yr at the 2.9 MW
(10 million Btu/hour) size and 0.26 capacity factor to $2,623,000/yr at the
29 MW (100 million Btu/hour) size and 0.55 capacity factor.  Compared to the
regulatory baseline, Alternative Control Level 1 increases annual ized costs
by 2 to 4 percent; Alternative Control Level 2 increases annualized costs by
8 to 21 percent; and Alternative Control Level 3 increases annualized costs
by 29 to 96 percent.
     Tables 9 and 10 present the results of the analysis for oil-fired
boilers operating at 0.26 and 0.55 capacity factors, respectively.  The
incremental cost effectiveness of emission control associated with
Alternative Control Level 1 over the regulatory baseline remains essentially
constant for all boiler sizes and capacity factors, averaging about $339/Mg
($308/ton).  This is because the difference in annualized costs between
Alternative Control Level 1 and the regulatory baseline is due primarily to
the price difference between high and medium sulfur oil.  Since both S02

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emission rates and fuel prices are specified on a heat input basis, varying
boiler size or capacity factor has little impact on incremental cost
effectiveness.
     The incremental cost effectiveness of emission control associated with
Alternative Control Level 2 over Alternative Control Level 1 also does not
vary with boiler size or capacity factor.  The annualized cost differences
between the two alternative control levels are again due primarily to the
price difference between medium sulfur and very low sulfur oil.  As
discussed above, when both SO,, emission rates and fuel prices are specified
on a heat input basis, varying boiler size or capacity factor has little
impact on incremental cost effectiveness.  Thus, the incremental cost
effectiveness of emission control between Alternative Control Level 2 and
Alternative Control Level 1 remains essentially constant at an average
$l,560/Mg ($l,420/ton) for all boiler sizes and capacity factors.
     The incremental cost effectiveness of emission control associated with
Alternative Control Level 3 over Alternative Control Level 2 increases from
$12,300/Mg ($ll,200/ton) at the 29 MW (100 million Btu/hour) boiler size and
0.55 capacity factor to $393,000/Mg ($357,000/ton) at the 2.9 MW (10 mill ion
Btu/hour) size and 0.26 capacity factor.  This increase in incremental cost
effectiveness with decreasing boiler size and capacity factor is due to the
Alternative Control Level 3 continuous compliance requirement and FGD
economies of scale, as discussed for coal-fired boilers in Section 4.1.
                                      8

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5.0  REFERENCES

1.   Overview of the Regulatory Baseline, Technical Basis, and Alternative
     Control Levels for Sulfur Dioxide (SO-) Emission Standards for Small
     Steam Generating Units.  U. S. Environmental Protection Agency,
     Research Triangle Park, NC.  EPA Publication No. EPA-450/3-89-12.
     May 1989.

2.   Industrial Boiler SO- Cost Report.  Prepared by Radian Corporation.
     Prepared for the U.S? Environmental  Protection Agency, Research
     Triangle Park, NC.  Publication No.  EPA-450/3-85-011.  July 1984.

3.   Development of an Algorithm for Estimating the Costs of Sodium Flue Gas
     Desulfurization Systems Designed to Control Emissions of Particulate
     Matter and Sulfur Dioxide.  Prepared by Radian Corporation.  Prepared
     for the U.S. Environmental Protection Agency, Research Triangle Park,
     NC.  August 1986.

4.   U. S. Environmental Protection Agency.  Small Steam Generating Unit
     Characteristics and Emission Control Techniques.  Research Triangle
     Park, NC.  March 31, 1989.

5.   Letter from Hogan, T., Energy and Environmental Analysis,  Inc., to
     Link, T. E., EPA/EAB.  June 5, 1987.  Annualized Industrial Fuel
     Prices.

6.   Memorandum from Copland, R., EPA/SDB, to Waddell, T., Radian
     Corporation. March 27, 1989.  Cost of Oil Shipment (Lot)
     Sampling/Analysis Alternative for Small Boilers.

7.   Memorandum from Copland, R., EPA/SDB, to Link, T., EPA/EAB. July 2,
     1987.  Revised Regulatory Alternatives for Small Boiler Impacts
     Analysis.

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                  TABLE 1.  S02 ALTERNATIVE CONTROL LEVELS
                              S02 Emission Standard
                              Basis
Coal
Regulatory baseline

Alternative Control Level 1

Alternative Control Level 2
    1,550 ng/J
(3.6 Ib/million Btu)
      520 ng/J
(1.2 Ib/million Btu)
90% S02 reduction
Medium sulfur coal'
Low sulfur coal
FGD or FBC
Oil
Regulatory baseline

Alternative Control Level 1

Alternative Control Level 2

Alternative Control Level 3
    1,290 ng/J
(3.0 Ib/million Btu)
      690 ng/J
(1.6 Ib/million Btu)
    .  210 ng/J
(0.5 Ib/million Btu)
90% SO- reduction
High sulfur oil
Medium sulfur oil
Very low sulfur oil
FGD
 Type F-bituminous
 Type B-bituminous
CFGD = Flue gas desulfurization
 FBC = Fluidized Bed Combustion
SOURCE:  Reference 1.
                                      10

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              TABLE 2.  PROJECTED FUEL PRICES FOR EPA REGION V
     Coal:                                         S/GJ (S/milllon Btuia
          Low sulfur bituminous                        2.73 (2.88)
          Medium sulfur bituminous                     2.38 (2.51)

     Oil:
          High sulfur residual                         3.51 (3.70)
          Medium sulfur residual                       3.70 (3.90)
          Distillate                                   4.61 (4.86)
     Natural Gas:b                                     4.49 (4.73)
aLevelized prices in June 1985 dollars.
 Industrial non-carriage market price.   Used during FGD malfunction.
SOURCE:  Reference 5.
                                      11

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               TABLE 3.  Model Boiler Cost Analysis  for  Sulfur Dioxide  Control Alternatives  for Coal-fired Boilers  In Region V at 0.26 Capacity Factor
rs>

Boiler
b,c,d,e,
Size/Control
2.9 M



7.3 M



14.6 M



22.0 H



29.3 M



U (10 MKBtu/hr)
Baseline
Level 1/LSC
Level 2/PR
U (26 Mffitu/hr)
Baseline
Level 1/LSC
Level 2/PR
U (SO Mffitu/hr)
Baseline
Level 1/LSC
Level 2/PR
U (75 Mffitu/hr)
Baseline
Level 1/LSC
Level 2/PR
U (100 MOtu/hr)
••••line
Level 1/LSC
Level 2/PR
Coal
type.

P-BIT
B-BIT
P-BIT

P-BIT
•-BIT
P-BIT

P-BIT
B-BIT
P-BIT

P-BIT
B-BIT
P-BIT

P-BIT
B-BIT
P-BIT
Actual SO
2
emission rate,
ng/J (lb/MOtu)

1,230
*6S
93

1,230
465
93

1,230
465
93

1,230
465
93

1,230
465
93

(2.86)
(1.08)
(0.22)

(2.86)
(1.08)
(0.22)

(2.86)
(1.08)
(0.22)

(2.86)
(1.08)
(0.22)

(2.86)
(1.08)
(0.22)
Annual SO
2
emissions,
Mg/yr (tons/yr)

30
11
2.2

74
28
- 5.6

150
56
11

220
84
17

300
109
22

(33)
(12)
(2.5)

(81)
(31)
(6.2)

(160)
(61)
(12)

(240)
(92)
(18)

(330)
(120)
(25)
Capital
costs,
$1,000

1,555
1,580
2,399

2,797
2,823
3,833

4,967
4,994
6,366

7.136
7,165
8,761

9,158
9,189
10,991
0 & M
Fuel

57
66
57

143
164
143

286
328
286

429
492
429

572
656
572
costs, SI
Monfuel

285
311
479

391
418
605

592
619
837

663
689
936

742
768
1,042
,000/yr
Total

342
377
536

534
582
748

878
947
1,123

1.092
1.181
1.365

1,314
1.424
1.614
Annual Iced
cost,
$l,000/vr

599
638
935

998
1.050
1.391

1.703
1.776
2.159

2.280
2.374
2.793

2.840
2.955
3,482
                All coats are In Juno 1985 dollars.



               b
                LSC • Low sulfur coal

                 PR - Percent reduction system  (Flue (as deaulfurltatlon or fluldlsed bed combustion)




                Ho compliance costs are Included with the baseline option.



               d
                Alternative Control Level 1 Includes the compliance costs associated with fuel sampling/analysis.
                Alternative Control Level 2 Includes the costs associated ulth dally fuel saopllnt/analysls at the FCD Inlet and continuous emission

                monitoring at the FCD outlet.

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TABLE 4.  Modal Boiler Cost  Analysis for Sulfur Dioxide Control  Alternative* for Coal-fired Boilers In Region V at O.SS Capacity Factor'
Boiler . .
b c d e
Six* /Control ' '
2.9



7.3



14.6



22.0



29.3



Ml (10 MMBcu/hr)
Base HIM
Level 1/LSC
Level 2/FR
Ml (25 Metu/hr)
Baaallne
Level 1/LSC
Level 2/FR
Ml (50 MtBtu/hx)
Baseline
Level 1/LSC
Level 2/FR
Ml (75 Metu/hr)
Baseline
Level 1/LSC
Level 2/FR
Ml (100 tMBtu/hr)
Baseline
Level 1/LSC
Level 2/FR
Coal
type.

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT
Actual SO
emission rate,
n»/J (IbHtfBtu)

1.230
465
93

1,230
465
93

1,230
465
91

1,230
465
93

1,230
46)
91

(2.86)
(1.08)
(0.22)

(2.86)
(1.08)
(0.22)

(2.86)
(1.08)
(0.22)

(2.86)
(1 08)
(0.22)

(2.86)
(1.08)
(0.22)
Annual &2
emissions,
M»/yr (tona/yr)

63
24
4.7

150
59
12

310
120
24

470
180
16

630
240
45

(69)
(26)
(5.2)

(170)
(65)
(13)

(340)
(130)
(26)

(520)
(200)
(39)

(690)
(260)
(SO)
Capital
costs,
$1.000

1,574
1,599
2,424

2,830
2,858
1,877

5,020
5.051
6,435

7,207
7,241
8,851

9,247
9,285
11.106
O 1 H coats, $l,000/yr
Fuel

121
139
121

302
347
302

605
694
605

907
1.041
907

1.209
1.388
1.209
Nocvfuel

355
382
581

492
518
751

729
755
1,045

818
843
1,185

917
941
1.133
Total

476
521
702

794
865
1.053

1.334
1,449
1.650

1.725
1.884
2,092

2,126
2,129
2.542
Annual lead
cost.
$l,000/yr

735
784
1.107

1.261
1.137
1.712

2,165
2,285
2,753

2.920
3.085
3.618

3.661
3,870
4,46)
 All coata are la June 1985 dollars.

b
 LSC - Low sulfur coal
  FR - Percent reduction syatea (Flue (as desulfurlsatlon or fluldlxed bed combustion)


 Ho coapllance coata are Included with the baseline option.
 Alternative Control Level 1 includes the compliance coata associated wlch fuel sampling/analysis.


 Alternative Control Level 2 Includes the coata associated with dally fuel sampling/analysis at the FCO Inlet and continuous emission
 annltorlns. at the FCD outlet.

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                                       TABLE 5.  Cost Effectiveness Results of Sulfur Dioxide Control Alternatives

                                                 for Coal-fired Boilers In Region V at 0.26 Capacity Factor
Bolter
b.c.d.e
Size /Control
2.



7.



14.



22.



29.



9 MW (10 MMBtu/hr)
Baseline
Level 1/LSC
Level 2/PR
3 MW (25 MMBtu/hr)
Baseline
Level 1/LSC
Level 2/PR
6 MW (SO MMBtu/hr)
Baseline
Level 1/LSC
Level 2/PR
0 MW (75 MMBtu/hr)
Baseline
Level 1/LSC
Level 2/PR
3 MW (100 MMBtu/hr)
Baseline
Level 1/LSC
Level 2/PR
Coal
typ«,

F-BIT
B-BIT
P-BIT

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT

F-BIT
B-BIT
F-BIT
Actual SO
emission rate,
ng/J (Ib/MMBtu)

1,230
465
93

1,230
465
93

1,230
465
93

1,230
465
93

1,230
465
93

(2
(1
(0

(2
(1
(0

(2
(1
(0,

(2,
(1
(0,

(2
(1.
(0.

.86)
.08)
.22)

.86)
.08)
.22)

.86)
.08)
.22)

.86)
.08)
.22)

,86)
,08)
.22)
Annual
emission
Mg/yr (ton/yr)

30
11
2.2

74
28
5.6

150
56
11

220
84
17

300
109
22

(33)
(12)
(2.5)

(81)
(31)
(6.2)

(160)
(61)
(12)

(240)
(92)
(18)

(330)
(120)
(25)
Annual Iced
cost ,
SlOOO/yr






1
1

1
1
2

2
2
2

2
2
3

599
638
935

998
,050
,391

,703
,776
.159

,280
,374
,793

,840
.955
,482
Incremental
cost effectiveness,
$/MB (S/ton)

-
2,120
33,300

-
1,130
15,300

-
775
8,580

-
690
6,260

-
602
6,090

-
(1,920)
(30,200)

-
(1.030)
(13,900)

-
(741)
(7,780)

-
(636)
(5,680)

-
(548)
(5,530)
 All costs are In June 1985 dollars.
 LSC - Low sulfur coal

  PR - Percent reduction system (Flue gas desulfurlzatlon or fluldlxed bed combustion).



 No compliance costs are Included with the baseline option.


d
 Alternative Control Level 1 Includes the compliance costs associated with fuel sampling/analysis.



 Alternative Control Level 2 Includes the costs associated with dally fuel sampling analysis at the FCD Inlet and continuous emission monitoring at

 the FCD outlet.

-------
                                       TABLE 6.   Cost Effectiveness Results of Sulfur Dioxide  Control  Alternatives

                                                 for Coal-fired Boilers  In Region V at 0.55 Capacity Factor

Boiler
SUe/Controlb/C
-------
     TABLE 7.
               Model Boiler Coat Analysis for Sulfur Dioxide Control Alternatives for Oll-flred Boilers In
               Region V at 0.26 Capacity Factor*
Boiler Sl«e/Controlb'C>d'*
2.9 MU




7.3 MU




14.6 MU




22.0 MU




29.3 MU




(10 MMBtu/br)
Baseline
Level 1/MSRO
Level 2/DISTO
Level 3/PR
(25 MMBtu/br)
BsselLne
Level 1/MSRO
Level 2/DISTO
Level 3/PR
(50 MMBtu/hr>
Baseline
Level 1/MSRO
Level 2/DISTO
Level 3/PR
(75 MMBtu/br)
Basel Ine
Level 1/MSRO
Level 2/DISTO
Level I/PR
(100 MMBtu/br)
Baseline
Level 1/MSRO
Level 2/DISTO
Level 3/PR
•°2
emission rate,
n«/J (Ib/MMBtu)

1.290
688
129
98

1.290
688
129
98

1.290
688
129
98

1.290
688
129
98

1.290
688
129
98

(3.
(1.
(0.
(0.

(3.
(1-
(0.
(0.

(3.
(1.
(0.
(0.

(3.
(1.
(0.
(0.

(3.
(1.
(0.
(0.

00)
60)
30)
23)

00)
60)
30)
23)

00)
60)
30)
23)

00)
60)
30)
23)

00)
60)
30)
23)
Annual SO
emissions,
Mg/yr (tona/yr)

31
17
3.1
2.4

77
41
7.7
5.9

155
83
IS
12

232
124
23
IB

310
163
31
24

(34)
(18)
(3.4)
(2.6)

(85)
(46)
(8.5)
(6.5)

(171)
(91)
(17)
(13)

(236)
(137)
(26)
(19)

(342)
(182)
(34)
(26)
Capital
costs,
$1.000

443
445
434
1,172

733
734
717
1,682

1,481
1,483
1.463
2.699

1,900
1.903
1,883
3.341

2.277
2,281
2.262
3.921
O & M coata, $1.
Fuel Honfuel

84
89
111
84

211
222
277
211

421
444
353
421

632
666
830
632

843
888
1,107
843

174
173
174
374

230
232
230
435

274
275
274
536

318
319
318
613

361
362
361
691
000 /yr
Total

258
264
283
458

441
454
507
666

695
719
827
957

950
985
,148
,247

,204
,250
.468
.534
Annual iced
cost,
$1.000/yr

330
336
335
648

561
573
624
942

939
963
1.068
1,406

1,264
1,299
1,458
1,803

1,579
1,626
1,839
2.186
*A11 coats are In June 1983 dollars.

 MSRO - Medium sulfur residual oil
 OISTO - Distillate oil
 PR • MX SO2 reaoval (baaed on flue gas dssulfurliatlon)

CTbe coopllance costs for Alternative Control Level 1 are the costs associated with ahlpasnt  fuel  sampling/analysis.

 Ho conpllance costs associated with distillate oil combustion to meet Alternative  Control Level 2.

*The compliance costs for Alternative Control Level 3 are the costs associated with dally fuel  saapllng/analysls  at  the FCD
 Inlet and continuous emission monitoring at the FCD outlet.

-------
               TABLE 8.  Model Boiler Cost  Analysis  for Sulfur Dioxide Control  Alternatives  for  Oil-fired Boilers  in
                         Region V at 0.55 Capacity Factor

Boiler Size/Control6'0'*1'*
2.9 MU




7.3 MU




14.6 MU




22.0 MU




29.3 MU




(10 MMBtu/hr)
Baseline
Level 1/MSRO
Level 2/OISTO
Level 3/PR
(25 MMBtu/hr)
Baseline
Level 1/MSRO
Level 2/OISTO
Level 3/PR
(50 MMBtu/hr)
Baseline
Level 1/MSRO
Level 2/D1STO
Level 3/PR
(75 MMBtu/hr)
Baseline
Level 1/MSRO
Level 2/DISTO
Level 3/PR
(100 MMBtu/hr)
Baseline
Level 1/MSRO
Level 2/OISTO
Level 3/PR
SO,
emission rate,
ng/J (Ib/MMBtu)

1.290
688
129
98

1.290
688
129
98

1.290
688
129
98

1,290
688
129
98

1.290
688
129
98

(3.00)
(1.60)
(0.30)
(0.23)

(3.00)
(1.60)
(0.30)
(0.23)

(3.00)
(1.60)
(0.30)
(0.23)

(3.00)
(1.60)
(0.30)
(0.23)

(3.00)
(1.60)
(0.30)
(0.23)
Annual SO.
emissions;
Mg/yr (tons/yr)

66
35
6.6
5.0

164
87
16
12

328
175
33
25

492
262
49
37

656
350
66
50

(72)
(39)
(7.2)
(5.5)

(181)
(96)
(IB)
(14)

(361)
(193)
(36)
(27)

(542)
(289)
(54)
(41)

(723)
(385)
(72)
(55)
Capital
costs.
$1.000

461
462
453
1.194

764
766
754
1.723

1.535
1,539
1.529
2.769

1,976
1,982
1.977
3.440

2.374
2,382
2,384
4.046
0 & M costs. $1,000/yr
Fuel Nonfuel

178
188
234
178

446
470
585
446

891
940
1,171
891

,337
,409
.756
.337

,783
.879
2.342
1,783

220
220
219
452

291
292
292
565

346
346
346
682

401
402
401
797

455
456
455
910
Total

398
408
453
630

737
762
877
1,011

,237
,286
.517
,573

,738
.811
2,157
2,134

2,238
2,335
2,797
2,693
Annual ized
cost,
$1,000/yr









1.

1.
1.
1.
2.

2.
2,
2.
2.

2.
2.
3.
3.

471
482
526
824

860
885
997
295

487
537
764
036

059
133
476
712

623
722
181
375
 All costs are in June 1985 dollars.


bMSRO = Medina sulfur residual oil
 OISTO = Distillate oil
 PR = 9QX SO. removal (based on flue gas desulfurization)


cThe compliance costs for Alternative Control  Level  1  are  the costs  associated with  shipment  fuel  sampling/analysis.


dNo compliance costs associated with distillate oil  combustion to meet  Alternative Control  Level 2.


eThe compliance costs for Alternative Control  Level  3  are  the costs  associated with  daily  fuel  sampling/analysis  at the  FGD
 inlet and continuous emission monitoring at  the FGO outlet.

-------
                          TABLE 9.  Cost Effectiveness Results of Sulfur Dioxide Control  Alternatives for Oil-fired
                                    Boilers in Region V at 0.26 Capacity Factor
00

Boiler j
Control
2.9 NU



7.3 NU




U.6 NU




22.0 NU




29.3 NU




Hz?*..
(10 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
(25 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
(50 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
(75 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
(100 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
emission rate.
ng/J (Ib/NNBtu)
1,290
688
129
98

1,290
688
129
98

1.290
688
129
98

1.290
688
129
98

1,290
688
129
98
(3.00)
(1
(0
(0

(3
(1
(0
(0

(3
(1
(0
(0

(3
(1
(0
(0

(3
(1
(0
(0
.60)
.30)
.23)

.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)
Annua I Annua I i zed
emissions, cost.
Ng/yr (ton/yr) $1000/yr
31
17
3.1
2.4

77
41
7.7
5.9

155
83
15
12

232
124
23
18

310
165
31
24
(34) 330
(18) 336
(3.4) 355
(2.6) 648

(85) 561
(46) 573
(8.5) 624
(6.5) 942

(171) 939
(91) 963
(17)
(13)

(256)
(137)
(26)
(19)

(342)
(182)
,068
.406

.264
.299
.458
,805

.579
.626
(34) 1,839
(26) 2,186
Incremental
cost effectiveness,
S/Ng (S/ton)


1
393



1
171



1
90



1
62



1
46
.
415
,410
,000

-
332
.520
,000

-
332
,560
,700

-
323
,580
,100

-
325
.590
.600


(1
(357



(1
(155



(1
(82



(1
(56



(1
(42
_
(376)
.280)
.000)

-
(301)
,380)
,000)

-
(301)
.420)
.300)

-
(293)
.430)
,300)

-
(295)
,440)
.300)
                  aAU costs are in June 1985 dollars.

                  bNSRO = Medium sulfur residual  oil
                   DISTO = Distillate oil
                   PR = 90X SO. removal (based on flue gas desulfurization)

                  cThe compliance costs for Alternative Control Level  1  are  the costs  associated  with  shipment  fuel
                   sanpling/analysis.

                   No compliance costs associated with distillate oil  combustion to meet  Alternative Control Level 2.

                  eThe compliance costs for Alternative Control Level  3  are  the costs  associated  with  daily fuel sampling/
                   analysis at the FGD inlet and  continuous emission monitoring at the FGD  outlet.

-------
            TABLE  10.
Cost Effectiveness Results of Sulfur Dioxide Control Alternatives
Boilers in Region V at 0.55 Capacity Factor
for Oil-fired
Boiler Size/
Control6'C'b'e
2.9



7.3




U.




22.




29.




HU (10 HNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
HU (25 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
6 HU (50 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
0 MU (75 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
3 MU (100 NNBtu/hr)
Baseline
Level 1/NSRO
Level 2/DISTO
Level 3/PR
emission rate,
ng/J (Ib/NNBtu)
1.290
688
129
98

1,290
688
129
98

1,290
688
129
98

1,290
688
129
98

1,290
688
129
98
(3
(1
(0
(0

(3
(1
(0
(0

(3
(1
(0
(0

(3
(1
(0
(0

(3
(1
(0
(0
.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)

.00)
.60)
.30)
.23)
Annual
emissions,
Ng/yr (ton/yr)
66
35
6.6
5.0

164
87
16
12

328
175
33
25

492
262
49
37

656
350
66
50
(72)
(39)
(7.2)
(5.5)

(181)
(96)
(18)
(14)

(361)
(193)
(36)
(27)

(542)
(289)
(54)
(41)

(723)
(385)
(72)
(55)
Annualized
cost,
SlOOO/yr








1

1
1
1
2

2
2
2
2

2
2
3
3
471
482
526
824

860
885
997
,295

.487
.537
.764
,036

.059
.133
.476
.712

.623
.722
.181
.375
Incremental
cost effectiveness,
*/Ng (S/ton)


1.
189.



1.
75,



1.
34,



1.
20.



1.
12.
.
360
550
000

-
327
580
600

-
327
600
500

-
322
610
000

-
324
620
300
.
(330)
(1.400)
(172.000)

-
(297)
(1.430)
(68,600)

-
(297)
(1,450)
(31,300)

-
(293)
(1,460)
(18,100)

-
(294)
(1.470)
(11.200)
 All costs are in June 1985  dollars.


bMSRO = Medium sulfur residual  oil.
 DISTO = Distillate oil.
 PR * 90X SO. removal (based on flue  gas desulfurization)


cThe compliance costs for Alternative Control  Level  1  are  the costs associated with shipaent  fuel
 saapling/analysis.


 No compliance costs associated with  distillate oil  combustion to meet Alternative Control  Level  2.
eThe compliance costs for Alternative Control  Level  3  are the costs associated with   daily fuel
 sampling/analysis at the FGD  inlet  and continuous emission monitoring at the FGD  outlet.

-------
TECHNICAL REPORT DATA
[Please read Instructions on the reverse before completing}
1, REPORT NO. 2,
EPA-450/3-89-14
4, TITLE AND SUBTITLE
Model Boiler Cost Analysis for Controlling
Sulfur Dioxide (SC^) Emissions from Small
Steam Generating Units
7. AUTHOR(S)
9, PEflFjORMING QflGANIZATIONNAME AND ADDRESS
Emission Standards Division
Office of Air Quality Planning and Standar
U.S. Environmental Protection Agency
Research Triangle Park, North Carolina 27
12. SPONSORING AGENCY NAME AND ADDRESS
Office of Air Quality Planning and Standar
Office of Air and Radiation
U.S. Environmental Protection Agency
Research Triangle Park, North Carolina 27
3, RECIPIENT'S ACCESSION NO.
5, REPORT DATE
May 1989
6. PERFORMING ORGANIZATION CODE
8. PERFORMING ORGANIZATION REPORT NO.
10. PROGRAM ELEMENT NO.
He 	
Ui 11. CONTRACT/GRANT NO,
711 68-02-4378
13. TYPE OF REPORT AND PERIOD COVERED
d5 Final
14. SPONSORING AGENCY CODE
EPA/200/04
711
15. SUPPLEMENTARY NOTES
16. ABSTRACT
This report presents estimates of the cost and cost effectiveness
associated with controlling sulfur dioxide (S02) emissions from small coal -and
oil-fired industrial -commercial -institutional steam generating units (small boilers).
The report was prepared during development of proposed new source performance
standards (NSPS) for small boilers (boilers with heat input capacities of 100
million Btu/hour or less).
17> KEY WORDS AND DOCUMENT ANALYSIS
3. DESCRIPTORS
Air Pollution
Pollution Control
Standards of Performance
Steam Generating Units
18. DISTRIBUTION STATEMENT
Release unl imited
b.lDENTIFIERS/OPEN ENDED TERMS C. COSATI Field/Croup
Industrial Boilers
Small Boilers
Air Pollution Control
19. SECURITY CLASS "(This Report) 21. NO. OF PAGES
Unclassified
20. SECURITY CLASS (This page) 22. PRICE
Unclassified
EPA Form 2220-1 (R«». 4-77)    PREVIOUS EDITION is OBSOLETE

-------