Daily News

In the U.K., new offshore wind power is dramatically undercutting new nuclear generation on cost which signals that the sector has become a mature, bankable new segment of the energy sector. The lowest successful bids in last week’s auction results at €63 ($83) per MWh, were 50% less than a corresponding UK auction in 2015.

Targeting the decentralized power market, Siemens is launching a 57 MW upgrade of its SGT-800 gas turbine at the Power-Gen Asia trade show, which, opened its doors in Bangkok today. In combined-cycle configuration, Siemens SGT-800 now achieves 163MW power output at a net efficiency of more than 58.5%.

By 2040, coal and renewables will both contribute 31% to world electricity generation. In Europe, strong renewable energy expansion will eradicate the growth of gas use in the power sector over the next 10 years, according to the EIA’s just-released International Energy Outlook 2017 (IEO2017). Only after 2030, pipeline gas and LNG is seen regain market share in Europe, displacing nuclear power and lignite coal.

The US Department of Energy (DoE) has announced to grant $50 million in funding for projects aimed at strengthening grid resiliency in the face of storms and cyberattacks. The lion’s share of the funds, or $33 million, is reserved for seven projects from the Modernization Laboratory Consortium (GMLC).

At the peak of Hurricane Harvey’s impact along the US Gulf Coast, more than 10,000 MW of electricity generating capacity in the Electric Reliability Council of Texas (ERCOT) had to be shut down. But despite the significant amount of generator outages, ERCOT was able to meet total electricity demand due to lower levels of demand.

LNG imports to Spain have kept rising over the summer driven by record levels of gas-burn in the power generation sector. At the end of the peak summer season in August, Spain imported 19 LNG cargoes originating from Qatar, Nigeria, Algeria, Norway, Peru, Trinidad and the U.S.

Pushing the limits, the new MAN 20V45/60 engine achieves a power output of 26MW at a considerably lower fuel consumption than its predecessor, the MAN 48/60. At the launch event in Augsburg on September 11, the new flagship genset was presented as “the most powerful four-stroke engine in the market.”

Bergen Engines, a subsidiary of Rolls-Royce Power, has agreed to deliver two power stations with a contract value of €133 million to Bangladesh. Together, the two power stations will have a capacity of 262 MW and set to be fully operational in 2018.

Southern Co. has rejected a revised offer on rates for the Kemper County power plant. The offer would have enabled Mississippi Power to collect an additional $100 million in assets. After abandoning efforts to complete the Kemper gasifier, Southern had to take up nearly $6 billion in losses on the $7.5 billion project – but the regulator say some of the costs it now wants to recoup are “unjustified.”

German power producer Uniper is considering dismantling some German power plants, reassemble them in the UK, and could purchase stakes in British gas-fired power station, CFO Christopher Delbrück told Frankfurter Allgemeine Zeitung.

The US natural gas market was partially impacted as Hurricane Irma approaches Florida where six of the state’s largest power stations are running on gas. If the storm follows the forecast path and destroys key power transmission lines, Florida’s gas demand will be largely wiped out, the US Energy Information Administration (EIA) said in its weekly natural gas report.

Ohio-based First Energy Corp. has reduced the sales price for five gas-fired power plants and a hydro electric facility in Pennsylvania and Virginia in an effort to close on a drawn-out deal with Power Equity Partners, a New-York based infrastructure fund. The assets, with a combined capacity of 1,615MW, will now be sold for $835 in cash.

Despite declining costs for generating electricity from fossil fuels in the U.S., retail electricity prices have continued to rise in line with inflation – mainly due to higher expenses for delivering the electricity to end-customers. Power transmission costs have increased in real 2016 dollar terms from 2.2 cents/kWh in 2006 to 3.2 cents/kWh in 2016, roughly offsetting the decrease in the generation costs.

Silver Spring Networks and Genus Power Infrastructures, a smart meter provider in India and Southeast Asia, have agreed that the latter will integrate Silver Springs IPv6 network interface cards (NICs) into its single-phase and three-phase smart electric meters.

Britain’s has embarked on a difficult process of untangling its economic ties with the European Union which may put the construction of three planned EU-UK gas interconnection pipelines at risk. Thierry Bros, OIES research fellow, pointed out the UK needs to “reshape its energy diplomacy” as it will have to negotiate gas supplies with both the EU and Norway, which supplies some 38% of its gas, in the future.

News in Brief

Dong to remotely operate UK peaking plants

Oct 17 – Denmark’s Dong Energy has agreed with GAM Capital and its project development arm in the UK, Gas Power Developments, to manage the remote control and market optimization of three 6 MW gas power stations. The three gas peaking plants are Prestige House, Newhouse and Clay Flatts, located in Lancashire and Cumbria.

'Generation Energy' debate launched in Canada

Oct 16 – ‘Generation Energy’ has been kickstarted at a forum in Winnipag as a society-wide debate on the pathways to an affordable, low-carbon energy future for Canada. The share of renewables in Canada’s power mix exceeded 65% last year, with 90% of the total derived from hydropower. Prior to the event, Canada’s Minister of Natural Resources Jim Carr met bilaterally with IEA head Dr Fatih Birol to provide input to Canada’s Presidency of the G7 in 2018.

MHPS starts manufacturing turbines in Dammam

Oct 13 – MHPS Saudi Arabia, a subsidiary of Mitsubishi Hitachi Power Systems, has opened its new Turbine Rotor Repair Facility in Dammam today. The Japanese manufacturer announced plans to plans to manufacture its most advanced gas turbines in the Saudi kingdom, and use the new facility to service compressors and turbines used in petroleum and chemical plants.

Azura-Edo IPP to startup 8 months early

Oct 12 – Azura Power Holdings has announced that its 450 MW Auzura-Edo Independent Power Project (IPP) will be ready to start operations eight months ahead of schedule. First fire is planned in December this year, for commissioning to be finalised for a start-up in May 2018.

Evaluating GT owners take on dry air injection

Oct 11 – Sargent & Lundy has been hired by gas turbine (GT) owners to analyze the impact of Turbophase dry air injection system at different site conditions. Turbophase installed on multiple gas turbine frames over the past years, clocking up thousands of run-time hours.

Gas turbine market tops $24bn by 2022

Oct 10 – The global market for gas turbine is growing at an annual rate of 5.3% to reach $24.12 billion by 2020, according to htfmarketreport. Increasing demand distributed power generation, technology advancement, and more stringent regulations on carbon emissions are fuelling the market growth.

Trump nominates pro-coal lawyer as EPA deputy

Oct 9 – US President Donald Trump has nominated Andrew R. Wheeler, a lawyer whose clients include the coal mining firm Murry Energy, as the deputy administrator of the Environmental Protection Agency (EPA). Wheeler opposes Obama’s Clean Power Plan and supported the US coal industry’s opposition to the Paris Climate Agreement.

Tokyo Engineering to finish new Azeri CCGT by May 2018

Oct 6 – Japan’s Tokyo Engineering Corp is building a new combined-cycle gas power unit at the Shimal power plant in Baku. The 409-MW unit is schedule to start full commercial operation in May 2018. Project costs, estimated to exceed $330 million, are partly covered by a $275 million loan from the Japan Bank for International Cooperation (JBIC).

Spain’s gas demand up 13% in September

Oct 5 – Demand for natural gas in Spain has increased by 13% to 26,153 GWh in September, the highest level in the past five years. Gas-burn in the power sector was up 44% month-on-month, reaching 7,085 GWh.

Capstone to deliver C1000s to Italy

Oct 4 – Capstone Turbine Corp has received an order for a C1000 Signature Series microturbine to provide combined cooling, heat and power (CCHP) for a large cured meat company in Veneto, Italy. IBT Group, Capstone’s Italian distributor, secured the order for the plant, which is due to be commissioned in early 2018.

Marubeni invests in biomass co-fired plant

Oct 3 – Marubeni Thermal Power has signed a shareholder agreement with Tokuyama and Tokyo Century Corp to invest in the latter’s the construction and operation of a biomass co-firing power project in Shunan City. Preparation for construction works are getting underway this month, for a start of commercial operation in 2022.

Puerto Rico powered by fuel oil in the wake of Hurricane Maria

Oct 2 – Puerto Rico Electric Power Authority (PREPA) is busy trying to restart power plants as well as transmission and distribution lines after Hurricane Maria hit the island earlier this month. In the absence of firm natural gas supply, PREA turned to Puma Energy to purchase fuel oil for emergency power generators.

Wärtsilä helps boost offgrid power in India

Sept 29 – Wärtsilä’s Indian office is supporting Arkay Energy (Rameswarm) to boost electrical output and productivity of its 150 MW baseload power plant in Ramanathapuram, Tamil Nadu, in southern India. An O&M deal for the plant's 16 Wärtsilä 34SG engines was renewed in June 2017 for another five years.

GE builds Turkey’s largest generator transformer at Gebze

Sept 28 – TERNA, the construction arm of GEK TERNA Group, has asked GE to manufacture what will become the Turkey’s largest generator transformer. The 820 MVA is being built in Gebze and scheduled for completion in mid-2018, when it will be installed at the Ptolemais power plant in Greece.

PowerLink IP launched

Sept 27 – Siemens has launched PowerLink IP, a power line carrier (PLC) for digital high-voltage substations. It uses the high-voltage lines between the substations as a channel by overlaying a modulated carrier frequency on the frequency of the transmission voltage in the overhead lines.

Hyundai wins 1st EPC contract in Nigeria

Sept 26 – Kingline Development Nigeria has awarded a $330 million contract to Hyundai Engineering to carry out a engineering, procurement and construction (EPC) for a power plant in Ondo, Nigeria. The 550 MW simple-cycle gas power plant will be Hyundai’s first EPC project in Nigeria, the South Korean company said. The Ondo OCGT will be built some 170km northeast of Lagos.

Australia: Cap on LNG exports looms large

Sept 26 – Santos, Shell and ConocoPhillips face restrictions on exporting liquefied natural gas (LNG) from Australia’s east coast in 2018 if they fail to prevent a projected 17% shortfall in domestic supply. Prime Minister Malcolm Turnbull said he would press the east coast LNG exporters to plug the 110 petajoules supply gap.