Low rank coal drying technology for decreasing electricity cost production: case study of Nagan Raya power plant

Abstract

Considering the depletion of black coal resources, utilization of low rank coal currently is emerging to meet the growing of electricity consumption globally. Some coal fired power plants urge to use the domestic low rank coal due to some financial reasons. They are several coal drying technologies have been proposed. This study analyzes the utilization low rank coal to decrease the electricity cost production at Nagan Raya coal fired power plant. The Coal Moisture Control Fluidized Bed (CMC-FB) technology is selected as a basis for both technical and financial calculation. Based on the pilot project in Fukuoka, this technology is technically feasible and well suited for Nagan Raya power plant. A financial modelling shows that coal drying technology implementation can potentially decrease the electricity cost production for the utility and also make benefits for the investor. Further research is recommended to investigate other proven technologies. Additionally the effect of coal drying implementation to the environment should be noticed.