Benefiting from high demand for gas auxiliary products, Innova Global has won a total of 19 new design, supply and install contracts, worth over $52 million, for several gas-fired power projects throughout North America. One of the latest orders covers the supply and installation of a Selective Catalytic Reduction (SCR) & Catalytic Oxidation (CO) gas-turbine exhaust stack scrubbers for a power plant expansion in the United States.
Pulling the plug on the Kemper County Integrated Gasification Combined Cycle (IGCC) power project, the Mississippi state energy regulator has passed a motion instructing its legal counsel to propose a solution that would end the Mississippi Power’s gasification project following years of delays and cost overruns. The watchdog encouraged Mississippi Power, however, to re-license the plant and produce electricity based on natural gas instead.
UK Power Networks has awarded a contract to Siemens to equip parts of its overhead-line power cables with 600 Fusesaver vacuum circuit-breakers and 200 remote control units (RCU). The order volume is €1.5 million, and according to Siemens, it is the largest order to date for Fusesavers in Europe and the first one from the U.K.
Though Centrica CEO Ian Conn told the BBC this morning that closure of its 3.4 Bcm Rough gas storage facility will not destabilize Britain’s gas supply – given the possibility to import LNG and source gas from Norway and the EU through several interconnectors – some analysts see it differently. Commenting on Centrica’s move, Wood Mackenzie analyst Graham Freedman said the decision not reopen Rough storage comes as “no surprise” and makes “good commercial sense” for Centrica. However, he believes the implications on the UK's future security of gas supply “will no doubt lead to a UK Government review of its position, particularly in light of current Brexit negotiations.”
General Electric’s manufacturing operations in Greenville and Schenectady will supply two H-class gas turbines, three generators and a stream turbine for the 776-MW Topolobampo III gas power project. The contract win marks the first order of GE’s long-term customer Iberdrola for 7HA.01 technology in Mexico. The project is scheduled for completion in 2020.
Seeking to intensify political ties by playing on energy economics, the Managing Director of Yerevan power station Sassan Khachaturian has offered to step up electricity exports to Armenia’s gas-rich neighbour Iran in return for making a continuous flow of gas supply available. "Armenia is ready to export more electricity to Iran during the hot summer days," Khachaturian said, asking for more gas import from Iran in return to meet his country's winter demand.
British Gas parent company Centrica has contractually agreed to sell its Langage and South Humber combined-cycle gas turbine (CCGT) power plants, with a total capacity of 2.3 GW, to the Czech utility Energetický a Průmyslový Holding (EPH) for £318 million ($401 million). The divestment comes just a day after Centrica announced the closure of its Rough gas storage and is part of the company’s strategy to downsize its overall operation as margins shrink.
PetroVietnam Power Corp (PV Power) is getting ready to start construction works for nine gas-fired power plants with combined output of 5,250 MW. Fuel for the power plants will be sourced in the form of associated gas from the Lo B O Mon and Ca Voi Xanh oil fields, along with some imported gas, according to PV Power general director Nguyen Xuan Hoa.
AIM-listed Tlou Energy has generated first electricity from coal-bed methane (CBM) at its field in Botswana following the installation of a gas generator at near Selemo. “First gas-to-power via CBM in Botswana is an extremely significant milestone [for us] and in effect a proof of concept of ‘first gas monetisation’,” commented Tlou managing director, Tony Gilbert.
Reliance Power still faces uncertainty over the source of LNG supply for its 718-MW gas-fired power plant project in Bangladesh, and is awaiting a government decision on the matter. The Indian energy company is the first to build a power plant that will run on regasified LNG in neighbouring Bangladesh; but to operate the plant near full capacity Reliance needs around 110 million cubic feet per day (mmcf/d) of natural gas as fuel.
Mitsubishi Heavy Industries Environmental & Chemical Engineering (MHIEC) has won an order to build a municipal solid waste incineration plant in Shanghai, China. Delivery for key equipment is due in July 2018. Once operational, the waste-to-energy-plant will have a waste treatment capacity of 6,000 tons per day (tpd), one of the largest in the world.
A flurry of new gas power stations has been developed across most of the United States over the past fifteen years, with 228 GW of gas-fired capacity addition “far exceeding retirements of 54 GW,” according to the US Energy Information Administration (EIA). However, coal still dominates the energy mix in a few states, notably in the Midwest.
Top forecasters anticipate energy demand growth through 2035, but projections on rates and market size vary significantly between Wood Mackenzie’s 'Energy View to 2035' and similar outlooks by BP, ExxonMobil (XOM) or the IEA’s New Policies Scenario. Outlooks broadly agree on which fuels will win or lose across Asia Pacific: Coal is seen static across all forecasts, backed out by gas, nuclear and renewables, although WoodMac’s projection is highest on gas growth.
The 450-MW Huadian-Teninskaya combined heat and power (CHP) plant in Yaroslavl Oblast, central Russia, will be brought online on June 20, plant operator TGK-2 announced. The 20 billion Ruble ($347 million) project was realised by a joint venture between TGK-2 and China Huadian under a capacity supply agreement (CSA) but start-up was delayed by more than three years; hence the operators face penalties imposed by the regulator.
Australia’s Origin Energy has announced a 15-18% rise in 2017 power prices for customers in New South Wales (NSW) and South Australia (SA) from July 1. Passing fuel costs through to consumers, Origin's decision makes average small-sized companies pay $750-920 per year more for their electricity use. With this latest price hike, Origin follows in the footsteps of EnergyAustralia, AGL Energy and ActewAGL all of which are already implementing power prices rises of up to 20%.
News in Brief
Ansaldo starts producing GT36 in Genoa
June 23 – The Italian manufacturer Ansaldo Energia has opened a new gas turbine production facility in the port city of Genoa, where it has started to assemble its full range of gas turbines, including the 570-tonne maxi turbine GT36. Genoa’s coastal location, and notably its busy container port, opens up a way for Ansaldo to ship its turbines directly by sea.
Chiyoda gets nod for power barge concept
June 22 –The American Bureau of Shipping (ABS) has given the green light to Chiyoda of Japan for its concept of converting a disused LNG carrier into a floating power plant, with electricity sent to land via heavy duty electrical cable. Chiyoda said it had received approval in principle from ABS some three weeks ago for what it calls a ‘floating LNG power plant, storage and regasification unit design.
ABB expands GIS portfolio
June 21 – ABB continues to extend its AirPlu product range for medium-voltage gas-insulated switchgear (GIS), with the launch of the ZX2 AirPlus for primary power distribution. Suitable for demanding applications in single and double busbar configurations, the ZX2 AirPlus is available in IEC ratings up to 36 kV, with 31.5 kA short-circuit and 2,000 A nominal current.
Siemens supplies 46 transformer substations to Bangladesh
June 20 – Siemens has received an order, worth around €40 million, from the state-run energy provider, Bangladesh Rural Electrification Board (BREB), to supply 46 transformer substations for Bangladesh. The order includes the design, delivery and installation as well as testing and commissioning of the substations, which have a voltage level of 33 and 11 kilovolts (kV). The equipment is intended to be used for the power distribution grid in the states of Dhaka, Chittagong and Sylhet and nearby rural areas.
Algeria: New-build near Oran to start up in autumn 2018
June 19 – A 446-MW gas power plant at Boutelis, under construction near the Algerian city of Oran, is now scheduled to enter service in September 2018 after eight months of tests, according to a local official. The project consists of two gas turbines, 223-MW each. Construction works started in 2012.
Algeria: Gas power plant near Oran to start up in autumn 2018
June 16 – A 446-MW gas-fired power project at Boutelis, near the Algerian city of Oran, is now scheduled to enter service in September 2018 after eight months of tests, according to a local official. The project consists of two gas turbines, 223-MW each. Construction works started in 2012.
MHPS completes works on coal gasification
June 15 – Mitsubishi Hitachi Power Systems (MHPS) has completed the construction of a coal gasification furnace plant at its Nagasaki site. One furnace now being produced is for use in a 540-MW IGCC plant in Iwaki, Fukushima. The Iwaki Plant is currently under construction by Nakoso IGCC Power GK and delivery is scheduled for June 2018.
AEP, Edison wins award for BOLD transmission grid
June 14 – American Electric Power (AEP) and Edison International today received the Edison Electric Institute's (EEI's) 2017 Edison Award for its patented Breakthrough Overhead Line Design (BOLD), an innovative new concept in transmission line design. Engineers aimed to develop a cost-effective solution with minimal public impact and the resulting BOLD transformational line design delivers more capacity and higher efficiency than previously possible.
Capstone secures deal in Fiji
June 14 – Optimal South Pacific, Capstone’s South Pacific distributor, has secured an order for two C1000 microturbines to repower diesel-generator power plant on behalf of commercial customer in Fiji. The upgraded plant is due for commissioning in early 2018. Capstone said its microturbines were selected for their flexible inverter-based generation, high reliability and their ability to provide cost-effective power in a remote island environment.
ABB opens UPS test centre in Switzerland
June 13 – ABB has opened a new test facility for uninterruptible power supply (UPS) systems at their specialist factory the Swiss town of Quartino. The test center is designed to accommodate large UPS sizes and turn-key critical power solutions. The test area is laid out such that testing with extended UPS systems – including, for example, energy storage, input and output switchgear, power distribution units (PDUs) and static transfer switches (STSs).
Powerphase opens office in Singapore
June 12– Powerphase has opened an Asia office in Singapore, adding to its global presence which includes offices in Florida, Colorado and Dubai. The Singapore office is led Anthony Mansfield, whose most recent experience has been over 10 years with Pratt & Whitney Power Systems (now an MHI Company), operating as General Manager for the company's Asia operations in Industrial & Aero-derivative gas turbine technologies.
Bhikki Unit-1 resumes operation
June 12 – Pakistan’s 1180-MW Bhikki combined-cycle power plant has been hit by a turbine failure which brought operations of Unit-1 to a complete standstill. Following check-up and repairs, the unit has now restarted operations as of midnight local time.
Renault ventures into energy market with battery storage
June 9 – Car manufacturer Renault-Nissan is finalising plans to build a 100-MW power storage plant in Europe, based on disused and recycled car batteries. Similar to rival Tesla’s electricity storage arm, the latest move of Renault-Nissan indicates the company’s aspiration to cultivate a second-hand battery market. The projected power storage facility, if built, would have enough capacity to meet the electricity needs of 120,000 homes. The carmaker confirmed the news, stating “We're working with The Mobility House on several programs including a major energy storage project that is currently still in the study phase.”
Utility communication market to reach $15.45bn by 2021
June 8 – The global market for utility communication devices, valued at $6.53 billion in 2015, is expected to grow by 15.55% per annum in the years running up to 2021. According to MarketandMarkets, the sector will see significant growth due to the increasing use of smart grids and mobile devices, modification in billing practices, and more stringent emission rules for electric power utilities.
Vattenfall to invest €100m in Berlin power-to-heat plant
June 8 – Swedish Vattenfall has decided to spend nearly €100 million in a new power-to-heat asset (120-MWth) and in gas-fired heat-only boilers in Berlin Spandau. The district heating project in Spandau is one of the projects under the WindNODE umbrella, a model region in north-east Germany for intelligent energy. Construction works are scheduled to start in autumn this year with a view to commissioning the facility in 2019.
EPA files for permit to convert Eggborough Power Station
June 7 – Czech EPH, a Czech investor in coal mining, gas and electricity assets, filed to the UK regulator for a permit to replace the 53-year old Eggborough coal power station with a 2,500 MW gas-fired unit on the same site. The application is now subject to a 28-day vetting process through the UK's Planning Inspectorate. Eggborough Power, owned by EPH, needs to keep its 2.5 GW coal power asset operational at least until March 2018, after having won a capacity contract to provide back-up power.
Duro Felguera wins contract for 3rd phase of Jebel Ali
June 7 – Dubai Electricity and Water Authority (DEWA) has awarded Duro Felguera of Spain a contract worth AED798 million, or $217 million, to implement the third phase of the 948-MW K-Station at the Jebel Ali mega power station. Development Phase-3 will result in a 590 MW capacity increase of the K-Station gas power unit to reach 1,540 MW. Under the contract agreed with DEWA, Duro Felguera will be responsible for the supply and installation, testing and launch of two Siemens F-class gas turbines. Start-up is scheduled for Q2-2019.
