Daily News

Bilfinger, an industrial service provider, is driving forward internal digitalization by using Siemens’ Comos Engineering & Maintenance Platform across its many sites and subsidiaries. The deal gives Siemens access to feedback on how SMEs are utilizing using the platform – useful insights to selectively drive forward further development of the software.

Construction of the first unit of Persero’s Jawa-2 project (880 MW), officially named Tanjung Priok power plant, has been completed and the unit is now operating in simple-cycle mode with an approximate output of 300 MW. Built by Mitsubishi Hitachi Power Systems (MHPS), the unit will be transformed into combined-cycle mode in 2019.

Struggling through a tough year, GE Power has communicated a tentative plan to shut down most of its manufacturing plant in Salem, Virginia, by the end of 2019. GE justified the move with persistent challenges in the power industry and a steep decline in order-wins, the decision helps executives brace for a tough second quarter.

UK Power Reserve has partnered with Fluence to deliver the first phase of its 120 MW battery storage portfolio to the British power grid. Fluence agreed to provide three 20 MW storage systems at sites in the Midlands and North West using its Advancion technology. All three new sites are due operational during winter 2018/19.

Wherever connectivity goes, vulnerability follows. Erik Laykin, head of global data risk at Duff & Phelps, uses the example of autonomous vehicles to argue that as the power sector becomes more central to our lives, electricity businesses must switch to a cybersecurity-first mindset.

With Belgium aiming to transition to 100% renewables by 2050, flexibility of supply is paramount which spurs the drive for small-scale distribution. Helping to meet this need, GE’s Distributed Power business agreed to three Jenbacher J624 gas engines, balance of plant as well a performance management system to Den Berk Délice’s greenhouses in Antwerp.

With two ‘digital twins’ – the virtual replication of the physical electric generating asset – First Gen of the Philippines has become the first utility in Southeast Asia to adopt this technology. The Lopez-led gas power plants, built by Siemens, are now being showcased as ‘proof-of-concept’ for the new digital business model to customers in the region.

Southern California Gas Company (SoCalGas) and Aliso Canyon Technical Assessment Group have both voiced concerns that regional natural gas infrastructure issues in Southern California could affect electricity reliability this summer. Should these bottlenecks result in lower gas inflows into storage, there is a risk of significantly reduced gas availability in the upcoming winter.

Gazprom and its main partner in China, CNPC, have reviewed the status of Russian natural gas supplies through the eastern route via the ‘Power or Siberia’ project. Following completion of the second tunnel under Amur River, the linear pipeline part from the Chayandinskoye field to the Chinese border is now 84.4% completed, both partners announced.

ACWA Power, a Saudi power plant developer and investor with assets worth over $30 billion, has signed a Memorandum of Understanding (MoU) with China Energy Engineering Corp. to explore joint investment opportunities and cooperate on power generation and water desalination projects across the Middle East and Asia. The deal was signed in Dubai on Sunday by ACWA Power's chairman, Mohammad Abunayyan and China Energy’s chairman, Wang Jianping.

Dealing a blow to the industry, China’s National Development and Reform Commission (NDRC) has significantly reduced solar subsidies by setting new on-grid power tariffs that range between $7.8-11c/kWh, effective June 1. Distributed projects are capped at 10 GW and all utility-scale projects are mandated to set power prices through competitive auctions.

Shifting tact, Uniper CEO Klaus Schäfer has announced plans to expand the utility’s business supplying LNG to power generators in South America, Middle East and Asia. Speaking to investors he was adamant about Uniper’s aim to “remain independent” even after Fortum of Finland will acquire a significant stake in the German utility.

National Grid has projected Britain’s de-rated power margin for winter 2017/18 projected will be 6.2 GW, or 10.3%, anticipating a net flow of electricity from Continental Europe to the UK at peak times. Considering the current price spread, the TSO also expects a net flow from the UK to Ireland, though this may be reversed in cases of high wind levels in Ireland.

Rick Perry, the U.S. Secretary of Energy, is convinced “clean coal” will remain at the centre of his energy agenda, using “American innovation” to advance cleaner, cheaper coal which is also meant to help create jobs. Asked about President Trump’s favouritism of coal – in disregard of climate change concerns – Perry underlined “clean coal is not only pragmatic, but will become commonplace.”

China’s LNG trucking capacity is set to double in medium term and WoodMackenzie analysts see trucked LNG and distributed generation have the potential to create synergies. Yet, few distributed generation is currently fuelled by trucked LNG because most of these power units are in areas with pipeline coverage and enjoy discounted gas prices already.

News in Brief

Sparrow gets permit to work in Saudi Arabia

Aug 13 – Sparrows Group, a specialist equipment maker and integrated engineering services providers, has been granted commercial registration to operate in the Kingdom of Saudi Arabia. The commercial registration allows Sparrows Saudi Arabia LLC, a newly established entity in Dammam, to deliver services related to the extraction of oil and natural gas

Puerto Rico electricity sales almost back to normal

Aug 9 – Electricity sales on the island of Puerto Rico, part of U.S. territory, has returned to pre-hurricane levels as of April and May 2018 after the longest blackout in American history. However, residential electricity sales appear to continue to lag historical levels, reflecting some continued outages, EIA data shows. As of April 2018, around 95% of Puerto Rico’s electricity customers had restored power, while about 62,000 customers remained without power.

India’s solar PV market slumps

Aug 8 – India’s market for solar photovoltaic is forecast to experience negative growth this year after the Ministry of Finance imposed a safeguard duty on solar cells and modules for a period of two years, starting on 30th July 2018. The move exacerbates the effect of a slowdown in the China market, Wood Mackenzie commented.

Shell expects electricity to become “biggest game in town”

Aug 3 – By 2050, power consumption is expected to outstrip demand for Shell’s core business of oil and gas. The company’s most recent Future Energy scenarios foresees oil and gas demand to peak in the next 50 years, while reliance on electricity is expected grow from around 20% of energy consumption to closer to 50% by midcentury.

ADB funds power lines in Bangladesh

Aug 2 – The Asian Development Bank (ADB) has approved an assistance package of more than $357 million for a project to develop two power lines in Bangladesh. The grid extension supports Bangladesh’s national target of reaching electricity for all citizens by 2021.

Tadmax to develop CCGT in Selangor

Aug 1 – Malaysia-based Tadmax Resources has signed an accord with Worldwide Holdings to develop a combined-cycle gas power plant with up to 1,200 MW in Pulau Indah, Selagor. The deal comes as Worldwide seeks to acquire a 30% stake in Tadmax. Technical partner for the CCGT project is Korean Electric Power Corp.

Renewables hit new record

July 31 – Germany's electricity supply from renewables reached a record high in the first half of 2018, catering for an unprecedented 41.5 % of the country's electricity supply. A total of 113 terawatt hours (TWh) of electricity was generated by all renewable technologies, mainly consisting of biomass, wind and solar energy.

Dominion aims to add 3GW renewables by 2020

July 30 – Striving to add 3 GW of solar and wind capacity in the next two years, Dominion Energy has has filed its first set of the plans under Grid Transformation & Security Act (GTSA) to the Virginia State Corporation Commission (SCC) for the approval. Dominion VP Ed Baine said the GTSA legislation, effective from 1 July, would provide a roadmap for Virginia’s energy future.

GE to develop critical infrastructure in Lagos

July 27 – GE and the Lagos State Government have agreed to pool their resources for the development of critical infrastructure in the state in the areas of Power, Healthcare and Skills Development. This was announced during the signing of a Support and Cooperation Agreement by both parties during the France-Nigeria Business Forum held in Lagos.

Orbital Insight teams up with Energy Aspects

July 26 –Orbital Insight and Energy Aspects have teamed up, striving to transform how energy data is used for investing. The two research firms will integrate geospatial analytics, based on artificial intelligence and machine learning, with energy analysis with a view to giving customers unprecedented global oil storage level data.

Cost for US wind generation down 33%

July 25 – Capacity-weighted cost of wind installations in the United States have declined by one-third thanks to improving technology and manufacturing capability and a concentration of new-builds in the best-suited regions. Installation costs fell from $2,361 per kilowatt (kW) in 2010 to currently less than $1,587/kW, based on analysis by the U.S. Department of Energy’s office of Energy Efficiency and Renewable Energy(DOE/EERE).

Iran’s NISOC prepares tender

July 24 – National Iranian South Oil Company (NISOC) has announced plans to hold an international tender to purchase parts for G.E.C gas turbine. NISOC seeks to buy parts of the turbine type Centaur.

Chart reports full-year sales at $1.2bn

July 23 – U.S. equipment manufacturer Chart Industries has reported a 34% rise second-quarter sales, with the order volumes amounting to $360.3 million. “Strength in Asian orders was driven by packaged gas applications as well as respiratory and cryobiological product lines,” Charts said when posting the results.

ABB spends $30m on transformer factory in Sweden

July 20 – ABB is investing more than $30 million in a new manufacturing unit, under construction in Ludvika, Sweden. The new unit will increase production, expanding the capacity and the range of its high-voltage dry bushings offering.

Wärtsilä’s order intake up 14%

July 19 – The Finish equipment manufacturer Wärtsilä has seen its order increase 15% to €1,553 million in the second quarter, while net sales fell 4% to €1,246 million. Looking at the full year 2018, Wärtsilä said its Services and Solutions business will “improve somewhat from the previous year.” Good demand prospects are on the cards for Energy Solutions, as the global shift towards renewables and rising electricity demand in the emerging markets support the need for distributed power capacity.

NRG abandons Dunkirk coal-to-gas conversion project

July 18 – Shying away from having to pay $114 million in re-interconnection costs, NRG Energy has shelved plans to repower and convert its mothballed Dunkirk power plant in western New York from coal to natural gas. The company said in a statement that it has withdrawn its request to have New York ISO interconnect the Chautauqua County generating facility with the power grid.

Akwa Ibom, BlackRhino sign $1.6bn power deal

July 17 – BlackRhino, operator of the Qua Iboe Power Plant (QIPP), has agreed with the Akwa Ibom State Government to build a power plant and electricity transmission lines in the state. QIPP’s management  committed an investment of $1.1 billion for the facility, with an additional $500 million for gas.