Daily News

Natural gas-fuelled power generation in the United States reached its highest daily level at 41 Bcf/day on July 20 – just a tick lower than the 2016 peak of 42 Bcf/d seen on August 11 last year.  Higher gas prices relative to last summer explain part of the decrease; but PointLogic Energy analysts stressed that “although power burn in 2017 is lower than in 2016, it is still relatively high compared with the previous five-year average for that period.”

Published in Markets
Thursday, 06 July 2017

Gas-burn continues to rise

July 6 - Consumption of natural gas has risen in 9 of the past 10 years, according to EIA figures. As recently as 2006, the United States consumed more coal than natural gas (in energy-equivalent terms), but as gas use has increased—particularly in the electric power sector, where gas-burn in 2016 was about twice that of coal.

 

Published in Brief news

June 6 – The United States’ electric power sector in 2016 consumed 35% less coal than in 2008, when domestic coal production reached its highest level. However, the share of coal shipped to U.S. power generators by rail has consistently remained near 70%. According to EIA figures, coal-burn in the power sector totalled 677 million short tons in 2016, the lowest amount since 1984.

Published in Brief news
Wednesday, 24 May 2017

German gas, coal-burn up in Q1

May 24 – Germany’s total primary energy consumption dropped 1.4% yoy in the first quarter of 2017. But despite lower demand for electricity, the use of natural gas for power generation increased by 1%, while use of hard coal and lignite were 2.6% and 0.4% higher respectively, according to figures by the energy industry think tank AG Energiebilanzen (AGEB).

Published in Brief news

Falling natural gas and renewable energy prices have altered the fuel mix for power generation over the past ten years. The shift away from coal due to cheaper competing energy sources, not from regulation, yields economic benefits, argues Philip Rossetti, analyst at the American Action Forum.

Published in Markets

In the face of gas supply shortages following a major and prolonged leak at SoCalGas’ Aliso Canyon storage facility, the US Energy Information Administration (EIA) now provides timely updates in its ‘Southern California Daily Energy Report’. Withdrawal rates at Aliso Canyon have fallen sharply below the usual 1.9 Bcf/d – causing regulators to place a cap on gas-burn and spurring electricity imports from neighbouring states.

Published in Markets
Tuesday, 06 September 2016

UK coal-burn drops to record low

Sept 6 – The share of coal-fired power generation mix in the UK has fallen to a record low in August, at just 2.5%, mainly due to rising gas-burn and lower coal power capacity amid retirements of ageing plant. In contrast, the share of gas in the power mix surged to 45.3% in August, compared with 32.9% in the same month last year, according to data released by New Electricity Trading Arrangements (Neta).

Published in Brief news

Even though natural gas is less carbon-intensive than coal, the overall rise in gas-burn in the power sector – amid competitive fuel economics – has made related pollution levels surpass those of coal. The EIA expects emissions from gas will be 10% greater than those from coal over the course of 2016.

Published in Markets

Over the summer, operators of gas storage facilities typically build up inventories – but this year inventories in Southern California remain relatively flat. High gas-burn and slightly lower natural gas production have even led to a rare summer net withdrawal from storage.

Published in Markets

Gas demand from the US power sector has been coming down from peak summer levels as the heat wave gradually abates, ending the need to tap gas storage. Analysts at Energy Aspects see gas burns for power over the two-week period ending August 12 averaging around 37.5 bcf/d, up by a modest 0.7 bcf/d year-on-year.

Published in Markets
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News in Brief

SCANA pulls the plug on two nukes

Aug 18 – Escalating costs, falling electricity demand, construction delays, and the bankruptcy of Westinghouse, have prompted South Carolina Electric & Gas Company, part of SCANA Corp, to pull the plug on two nuclear reactors at the V.C. Summer nuclear power plant. The project was launched back in 2009, and the reactors were scheduled to come online in 2019 and 2020.

HoA signed for 600MW plant in Indonesia

Aug 17 – Indonesia’s power producer ENMP, together with tenants of the Bantaeng Industrial Park has signed a Heads of Agreement (HoA) in Jakarta for the development of a 600MW combined-cycle power plant. The CCGT will be fuelled by LNG that will be sourced through Philippines-based AG&P, a specialist for bringing LNG to markets that are currently off-grid.

EIA’s expands drilling report

Aug 16 - To complete coverage of U.S. crude oil and natural gas production, the US Energy Information Administration (EIA) is expanding the Drilling Productivity Report (DPR) to cover the Anadarko region. This prolific area covers most of the production from the Anadarko Basin in 24 counties in Oklahoma and five counties in Texas.

US to stay ‘net exporter’ past 2018

Aug 15 – The United States’ status as a net exporter is expected to continue for the rest of this year and past 2018 because of growing U.S. natural gas exports to Mexico, declining pipeline imports from Canada, and increasing LNG exports the US Energy Administration (EIA) forecasts.

GE books $100m deal for hydro pumped storage in Israel

Aug 14 – GE Renewable Energy has booked a turnkey contract with Star Pumped Storage Ltd for the 344 MW Kokhav Hayarden hydro pumped storage station, the second to be installed in Israel. GE Renewable Energy is responsible for the design, manufacture, supply and installation of all electro-mechanical and hydro-mechanical equipment as well as complete balance of plant for the two 172 MW pumped-storage units. The project will be executed by a consortium led by Chinese EPC SinoHydro.

Ansaldo to service Thai power plant

Aug 4 – Italy’s Ansalso Energia has won a service agreement for the Glow Energy Phase-5 gas power plant, some 200km southeast of the Thai capital Bangkok. The 328 MW plant produces electricity and also up to 160 tonnes/hour of process steam that gets used by local industries.

DTE Energy files plan to build 1.1 GW plant at Belle River

Aug 3 – Detroit-based utility DTE Energy has filed plans with the Michigan Public Service Commission (MPSC) to build a 1,100-MW gas-fired power plant northeast of Detroit, near its existing Belle River power station. The August 1 certificate of necessity filed with the MPSC asks for construction of the new $1 billion gas power project to begin in 2019 with a view to starting commercial operation in early 2022.

Coiled turbine market at 7% CAGR

Aug 2 – The coiled turbine market, by service, is seen expanding at a compound annual growth rate (CAGR) of 6-7% to reach an estimated $4.4 billion in 2020. North America is the largest market for coiled turbine (CT), both by value and by active fleet count.  The United States in 2013 held the major share of the active fleet count of more than 59%, spurred by the surge of shale gas drilling activities, with analyst seeing further growth potential for ultra-deep CT services.

Aliso Canyon cleared to resume operations

Aug 1 – Aliso Canyon, California’s largest underground natural gas storage facility, has been cleared by the California Public Utilities Commission (CPUC) and Division of Oil, Gas, and Geothermal Resources to increase injections above earlier imposed limits. The facility has been undergoing extensive testing since a leak was detected in October 2015 and stopped in February 2016

Need for fast-ramp, fast-cycle dispatch propels up OPEX

July 31 – Rising penetration of renewable electricity sources in California is forcing gas-fired power generators in the state to cycle more often, which incurs higher operating costs. Analysis of hourly data from the California Independent System Operator (CASIO) shows that intermittent electricity supply from wind and solar caused 21% of the cycling events for the system's 120 fossil-fuelled generators in 2013, up 7.1% from two years earlier. The study was compiled by Renewable Impacts.

ABB delivers power solution for Shanghai Stock Exchange

July 21 – Swiss-based ABB has signed a contract to provide more than 1,500 units of MNS low-voltage switchgear for the Shanghai Stock Exchange (SSE) before the end of the year. Dubbed the Jinqiao Technology Center project the MNS switchgear deployment is meant to support the safe, efficient and reliable operation of the stock exchanges’ data center. SSE is ranked #4 in the Shanghai market, and is ranked #26 in China.

TNB extends acquisition period for 51% stake in SPG

July 20 – Malaysia’s state utility Tenaga Nasional Bhd (TNB) has granted SIPP Energy an further 30 days to fulfil conditions set out in the May 3 acquisition agreement when TNB bought a 51% stake in SIPP Energy’s Johor-based unit SPG for RM51. Set up as a special purpose vehicle in august 2016, SPG was given regulatory approval last September to build a 2x720MW combined-cycle gas power plant in Pasir Gudang, Johor. The CCGT is scheduled to start full commercial operation at the start of July 2020.

TVA’s new plant produces 1 GW in first three months

July 19 – Tennessee Valley Authority’s (TVA) new combined cycle gas power plant in Muhlenberg County has produced over 1,025 MW of electricity in its first three months of operation. The cost of the project is estimated at about $850 million, but TVA senior vice president Bob Deacy underlined the new CCGT will give the operator the option of fuel switching to optimise its coal- and gas-burn which will ultimately save money. 

Toshiba opens hydrogen application centre in Tokyo

July 18 – Toshiba has opened a new hydrogen application centre at its Fuchu complex in western Tokyo. Research at the centre focuses the company’s new H2Onesolution for hydrogen supply system business for fuel-cell vehicles, or fuel-cell forklifts within buildings.  According to project manager Hiroyuki Ota, “This center showcases totally CO2-free operation, from hydrogen production through to application.”

Opening of Rhode Island plant delayed unit 2020

July 17 – Chicago-based Invenergy has delayed the start-up of its proposed natural gas-fired power plant in Rhode Island until “at least 2020,” citing “delays in permitting. The Chicago-based company had previously agreed to start selling power to the regional grid in 2019.

China’s energy efficiency sector tops $13bn in revenue

June 14 – The International Energy Agency (IEA) is supporting association member states in implementing energy efficiency measures. In China, government policy created a whole new sector for low-energy solutions, retrofits and services. This niche sector got started less than 20 years ago but already employs over 600,000 people and has annual revenues of over $13 billion.

Centrica starts building 50 MW unit

July 13 – UK energy supplier Centrica has announced that construction works are getting underway this week on its new 50 MW back-up power unit at Peterborough power station. The new gas-fired ‘peaking’ plant will be driven by five Wartsila-built reciprocating gas engines. The plant operator will dispatch the fast-ramp unit mostly on weekdays to cater periods of peak power demand or to provide back-up electricity when requested by the National Grid.