Climate change challenge
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- Reginald Walker
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1 Climate Change & GE s ecomagination Strategy Vijayant Singh
2 Climate change challenge Why an aviation issue emissions are growing Ground level partially regulated Targeted smog and ozone control: NOx, HC, Smoke, CO Emissions aloft unregulated Target GHG reductions: CO2: contributes 67% of GHG NOx: Good & bad, science uncertain H2O: Contrails & Cirrus - unknown Aviation GHG growth ~100% over last 15 yrs % in next 20 yrs GHG Sector contribution* Aviation 2-5% Industry Energy Road transport Residential Other transport Other Aviation GHG contributors Negative effect Positive effect Public electricity and heat production Scientific understanding *Source: IPCC, GE Estimates 2
3 Majority of industry behind IATA approach Executed by IATA, airframers/ manufacturers, airports, and air traffic control providers Basis for international aviation environmental policy guidance Endorsed by AEA and others 3
4 A future for aviation built on sustainable growth Our approach 1. Investment in technology 2. Effective operations 3. Efficient infrastructure 4. Positive economic measures Government one part of solution Near term focus on infrastructure, incentives, standards Requires prioritized approach to accelerate progress ATM upgrades quickest impact Alternative fuels best bet for carbon neutral future Equipment upgrades for current fleet Global aviation CO 2 emissions Emissions (1 in 2007) Technology and operational improvements without taxes Alt. Fuels Current technology WB tech NB tech Ops (WB & Grnd) ATM Carbon Neutrality Shortfall % Reduction 1.8x Long term-r&d funding assistance for technology game-changers 4
5 NextGen is a critical component ATM upgrades quickly provide tangible results Benefits of NextGen FMS: On time arrival/departure Tailored, trajectory based flight paths resulting in less fuel burn, emissions and noise reductions Steps to Implementation- Incentives, government standards and investment 5
6 Our role with alternative fuels Evaluation, qualification and certification of proposed alternate fuels Gen 2/Drop-Ins Support customers and industry to catalyze promising alternate fuel technologies Promote fuel solutions with genuine CO2 benefits (well-to-wake) Share findings on alternative fuel efforts 6
7 Alternative fuels GE and partner experience 2007 DARPA biofuels contract CFM56-7 ground tests with ester-based biofuel 2008 Virgin Atlantic, Boeing and GE biofuel demo on CF6-powered % Gen 1 biofuel Babassu and coconut 2009 Continental Airlines, Boeing and CFM biofuels demo flight on CFM56-7 powered % Gen 2 biofuel Jatropha and algae (5%) New DARPA contract focusing on cellulose and algae feed stocks CFM is a JV with GE and Snecma 7
8 GE and CFM emissions technology $$$ investment since engine families certified 100+ test engines GEnx TAPS a generation ahead: - 45% in NOx - 75% in CO - 95+% in HC and smoke NOx CFM/GE90 Dual-Annular Combustor (DAC) CO TECH56 Twin-Annular Pre-mixing Swirler GE90-115B DAC TAPS GEnx TAPS 90s 00s 10s Next CFM, CFM56, LEAP, LEAP56, and the CFM logo are trademarks of CFM International, a 50/50 joint company between Snecma and General Electric Company LEAP TAPS II 8
9 2009 Policy: The evolution continues EU ETS moving forward New administration, new legislation Moving toward one global position 9
10 EU ETS Driving Emission Control ETS Proposal Reduce emissions by 10% over 2005 Reduced dependence on project based credits focus on internal Full auctioning of Allowances. EU ETS airline cost in 2013 (CO $20/T) Emission Cost ($B) NOx = CO 2 multiplier NOx TBD CO 2? Legislation Finalized 0 EC Proposal 12/06 Enviro Committee 11/07 Parliament 12/07 Late 2008 Sources: IATA, SEC 10K Report 10
11 What is ecomagination? GE s commitment A growth strategy Environmentally-sound-business is good business A marketing program Highlighting our broad range of environmentally advanced technologies A pledge To continually improve our operations and invest in R&D 11
12 ecomagination commitment Double R&D investment to $1.5B by 2010 (vs. 2005) Grow revenues to $25B by 2010 (+$5B in 2008) Lower our GHG emissions 1% by 2012 (vs. 2004) Reduce water use 20% by 2012 (vs. 2006) Keep the public informed on progress 12
13 ecomagination engines CFM56-3 Upgrade 1.6% lower CO2 +4K cycles on wing (vs base 3 engine) GE90-115B 9% lower CO2 10% lower maintenance cost (vs competing four engine aircraft) CFM56 Tech Insertion 28% lower NOx 4-12% lower mx cost (vs CFM56-5B/7B base engines) GEnx-1B, -2B 3x NOx margin 15% better fuel efficiency (vs engine it replaces) 13
14 Our latest addition Optimized Descent More efficient approach 8-12% fuel savings 40% less noise 1/2 tonne CO2 per arrival $1 million per year per aircraft value (Southwest) Integrated displays + flight management system 14
15 Essential technologies keeping the pipeline filled The height of science Weight 2009 Cleaner More efficient Quieter More reliable Combustion Aero Integrated power and thermal management Materials Diagnostics Energy management Advanced architectures 2018 The use of science Integrated propulsion Integrated power generation Core efficiency New designs 15
16 Aviation technology evolution Narrow-body category (500 nm trip) baseline jet engines (707) 18% Very low BPR (727) Fuel burn/trip 30% Low BPR (MD-80) 17% Medium BPR (737NG) In production Source: Airframe OEMs, GE analysis 26% 16% High BPR Adv NB (turbofan) 10% Adv NB (UDF) Ultra high BPR 16
17 Over 70% efficiency gain % Fuel Consumption 100 Comet 4 B Baseline 80 DC8-63 DC8-61 B B B Engine Fuel Consumption Engine -40% 60 DC10-30 B A A B Aircraft Fuel Burn per Seat Aircraft -70% Model Introduction United Nations Environmental Program 17
18 Over 70% efficiency gain % Fuel Consumption Engine Fuel Consumption Baseline 32% Since Model Introduction United Nations Environmental Program 18
19 Over 70% efficiency gain % Fuel Consumption Engine Fuel Consumption Baseline 8% Since Model Introduction United Nations Environmental Program 19
20 GEnx efficiency gain % Fuel Consumption 100 Baseline Baseline B767 Engine Fuel Consumption -8% Since 1980 GEnx -15% Since B Model Introduction
21 Next-generation core technology leads the way Lower emissions combustor Validating pipeline technology Advanced aerodynamics Exotic materials Blades/Disks/Blisks Composites, carbon-matrix composites Protective coatings Development underway First core on test in 2009 Second build in 2011 or Advanced turbofan Open rotor Integrated Core technology Targeting up to 16% lower fuel burn Targeting up to 26% lower fuel burn 21
22
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