Green Fuels, Green Skies - Stakeholder engagement session Edward Hornsby, Low Carbon Fuels
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Green Fuels, Green Skies Stakeholder engagement session Edward Hornsby, Low Carbon Fuels 13 April 2021 Public Presentation – V1.0 13/04/2021
Agenda
Item Lead
Introduction Giorgio Parolini (DfT)
GFGS Overview Teddy Hornsby (DfT)
FAQ sprint Teddy Hornsby (DfT)
GHG calculations walkthrough Richard Taylor (E4tech)
Q&A* All
*Please submit questions for the Q&A on the chat, these will be published by our moderator.
GFGS Stakeholder Engagement Session V1.0 13/04/2021Green Fuels, Green Skies competition overview
GFGS background
Existing government support for the sector:
• Future Fuels for Flight & Freight Competition (F4C), Advanced Biofuels Demo’ Comp’ (ABDC)
• Development Fuels subtarget of the Renewable Transport Fuels Obligation (RTFO)
Ricardo/E4tech feasibility:
• UK potential for the sector
• Main market barriers: high capital cost, technology risk, market uncertainty
• Proposed competition design
Stakeholder survey, winter 2020
GFGS Stakeholder Engagement Session V1.0 13/04/2021GFGS objectives
Key objective:
“Support the development of the UK SAF sector towards the deployment of innovative SAF production
technologies at commercial scale that are capable of reducing emissions from the aviation sector in the UK
within the near-term.”
- Get projects financeable/construction-ready & scale up UK SAF production past the technology “valley of
death”;
- Support a wide range of technologies where they demonstrate potential;
- Keep UK leadership in the emerging global sector.
Objectives for winning projects:
• Technology demonstration
• Fuel production
• Commercial potential
• Emissions reduction
• Project execution
GFGS Stakeholder Engagement Session V1.0 13/04/2021GFGS design & expected timeline
We are here
Mar-21 Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Jan-22 Feb-22 Mar-22
Phase Application Development Assessment Funding Period
GFGS Stakeholder Engagement Session V1.0 13/04/2021Application development/networking
Documents to complete:
Application form (provided) + Appendices:
A. Consortium letters
B. Technology evidence
C. Work plan
D. Project budget (template provided)
E. Projected cash-flow model (to be provided imminently)
F. Match funding details
G. Outline risk assessment (template provided)
H. GHG emissions estimate (template provided)
I. Development status documents
Networking/Consortium building:
Stakeholder list available on ricardo.com/GFGS - email gfgs@ricardo.com to be included.
100 words outlining your organisation’s relevant experience and
Organisation Contact Name Contact Email collaboration interest:
Exxamplecompany Joe Bloggs joe.bloggs@aol.com Exxample company is an SME gasification company with….
GFGS Stakeholder Engagement Session V1.0 13/04/2021Assessment 1: eligibility screening
In order to be eligible to apply to the GFGS competition, a project must comply with the following minimum requirements:
Category Eligibility Criteria
The proposed SAF output must be capable of being blended with jet A-1.
•Ideally, this would involve fuel that can be used immediately without engine modifications, meeting the relevant jet fuel ASTM
specifications.2
Pathways
•However, projects involving fuels that do not currently meet ASTM specifications are also able to apply, provided that the relevant
SAF pathway is currently engaged with the ASTM certification process, or there is clear evidence of the fuel’s future potential to be blended
with Jet A-1.
First-of-a-kind commercial scale plants must demonstrate they will deliver a SAF output with a minimum 70% lifecycle GHG reduction in
Greenhouse Gas
comparison to a counterfactual of 94gCO2e/MJ (LHV). Demonstration plants do not have to meet this requirement but must demonstrate
savings
how a future commercial plant will meet this threshold.3
The proposed plant must achieve Technology Readiness Level4 6-8 (small demonstration, large demonstration or First-Of-A-
TRL
Kind commercial scale).
Feedstocks (including the original feedstocks used to derive any intermediate fuels) should have the potential to qualify as a ‘development
fuel’ under the RTFO5:
Feedstock
•Waste feedstocks used must demonstrate compliance with the waste hierarchy. Segregated waste fats/oils are not eligible.
•Renewable power to liquids routes must demonstrate additionality of the renewable electricity used, as per RTFO guidance.
Location The proposed plant must be located in the UK.
Project Lead The project lead must be a UK registered company.
T&Cs Acceptance of the competition's grant offer letter terms and conditions.6
Eligible costs Funding cannot be used for previously funded activities or to replace private sector investment.7
Timescales Funding is only available for project work completed during the competition’s Funding Period.8
GFGS Stakeholder Engagement Session V1.0 13/04/2021Assessment 2: scoring process
The total score calculated by applying the weighting for each scoring criterion from the table.
- Projects must score 50%
- Projects may be asked to provide clarifications/invited to an interview.
- Due diligence by DfT will also be started during this period. Projects must pass this to receive funding.
- Extra information must be provided within 5 working days to support the scoring process.
Category Scoring criteria
Project
1. Clarity of the project objectives and relevance to the competition objectives
relevance (5%)
2. Credibility of the technological approach, clarity of the project data and justification with relevant pilot/demo plant data
Technical 3. Level of innovation and progress as a result of the proposed plant
approach (25%) 4. Level of progression of the fuel pathway through ASTM certification process
5. Level and evidence of GHG emissions savings of the proposed plant (and expected GHG emissions savings at commercial scale if different)
6. Level of progression towards construction of a FOAK commercial plant as a result of the funded activities
Commercial 7. Potential and case for economic benefits of the proposed plant during construction and operation, including CAPEX, OPEX, revenues of plant and
approach (20%) local economic benefits
8. Potential and case for benefits of future deployment of the technology within the UK, and benefits from export markets
9. Credibility of current status of the project and readiness to proceed with funded activities
10. Confidence in skills and experience of the project team
Project 11. Appropriateness of project management and governance structure and partners roles
Implementation 12. Appropriateness and credibility of the project work plan
(50%) 13. Detailed understanding of the project risks and their management
14. Credibility of detailed project costing for the funded activities
15. Strength of case for the DfT funding, GFGS
including level ofEngagement
Stakeholder match funding leveraged
Session and status of securing funding
V1.0 13/04/2021Funding allocation
The competition board will employ a portfolio approach considering:
• Project scores;
• Breadth of technology pathways represented.
Up to £2m funding pot set aside to support feasibility studies across all TRLs
Project lifecycle
Competition Scope
Engineering Installation
Feasibility Pre-FEED FEED & & Operations
Procurement Commissioning
Up to £2m pot Some scoring focus
GFGS Stakeholder Engagement Session V1.0 13/04/2021Funding period
Grant awards
• Based on boiler plate terms
• Project funds provided in arrears and on provision of evidence of work completed
Monitoring/Reporting
• Projects assigned a Monitoring Officer – “critical friend” and first point of contact
• Monthly reporting requirements
Funding period ends March 31, 2022
• Tied to HMT budget period
GFGS Stakeholder Engagement Session V1.0 13/04/2021Advice from the ABDC
Go Green Gas
• “Read the competition documents including feasibility study. The competition
requirements and scoring criteria are very clear and are taken seriously.
• Engage with the DfT and advisors. Their culture is very collaborative.
• Be realistic. There is no such thing as a perfect project and its better to discuss and
address weaknesses than ignore them.”
Nova Pangaea Technology
• “Openness and transparency is rewarded with support and pragmatism
• Milestones need careful thought and can be difficult to manage. But also understand
that the DfT needs target achievements to pay out grant claims and also to manage
government funding
• The “management process” does not involve extensive administration
• There is genuine interest in your technology and its success”
GFGS Stakeholder Engagement Session V1.0 13/04/2021FAQs available at ricardo.com/GFGS
GHG template Walkthrough
Thank you
Contacts
questions: GFGS@ricardo.com
website: www.ricardo.com/GFGS
GFGS Stakeholder Engagement Session V1.0 13/04/2021You can also read
