Daily News

Japan’s leading utility Jera and JXTG Nippon Oil & Energy Corp have handed an engineering, procurement and construction (EPC) contract to two Toshiba affiliates to build three LNG-fuelled power plant units with a combined capacity of 2.34 Gigawatt (GW) power generation units adjacent to Goi coal power station in eastern Japan.

APR Energy has been awarded a contract by the Mexican private power producer Saavi Energía to provide and install three mobile gas turbines for nearly 80 MW peaking power plant in Mexicali, Baja California. The flexible gas peaking power unit will help alleviate the risk of regional power shortages that increased following a reduction in power imports from California.

As Israel boosts domestic gas production it becomes cheaper for Jordan to import excess Israeli gas via a short pipeline, under construction, than buying LNG cargoes under a mid-term contract with Shell. Works on new 65-kilometre gas interconnector are ahead of schedule and could be completed in Q3-2019. First gas is expected at the start of 2020.

Siemens will supply a power island for the new Yerevan-2 combined-cycle gas unit and operate the plant for 20 years. SFS, Siemens’s financing arm, provided funding and holds a 40% share in the project company ArmPower. Having reached financial close, construction is about to start with a view to get the CCGT unit commissioned by mid-2021.

Polska Grupa Energetyczna (PGE), the largest power producer in Poland, has launched a $1 billion tender for the construction for two combined-cycle gas power blocks with 1,400 MW of combined capacity. PGE said it will select the contractor for the turnkey projects in late 2019, with the aim of commissioning the CCGT units in Q4-2023.

Monthly power output from renewables in the United States exceeded coal-fired generation for the first time in April, due to record wind power output and low demand amid moderate temperatures. According to EIA figures, wind and solar power sources provided 23% of total electricity generation, compared to 20% from thermal coal.

The European Union has dedicated €4 million ($4.5m) for research on new designs for biogas-fuelled, small-scale cogeneration engines - in a bid to open up the heat and power sector for mainstream renewables. Named SmartCHP, the solution could have a market potential of up to €4billion, according to the lead research coordinator, BTG Biomass Technology Group.

Comparing fuel costs, the International Energy Agency (IEA) said hydrogen-based direct iron reduction for steel production could allow for substitution to green energy – if the hydrogen is generated from electrolysis. “Hydrogen could become an attractive option to indirectly electrify industrial high-temperature heat," analysts said, "either via direct combustion or blending with natural gas.”

Regulators in Rhode Island, a U.S. state in New England, have refused to grant Invenergy a long-anticipated permit for its proposed 900-MW gas-fired Clean River Energy Center in Burriville. Developers have freed up $1 billion to build the plant and are now considering appealing the decision at the state Supreme Court.

Sweden’s state-owned utility Vattenfall has issued a 500 million Euro green bond at Nasdaq, its first such issuance under a new Swedish law. The proceeds are dedicated for projects related to energy efficiency, electrification of transport, heat and industrial projects.

General Electric has decided to close down the 750 MW Inland Empire Energy Center (IEEC) in California some 20 years before the end of its lifetime. The steam-cooled H-class turbines had taken hours to start and repeatedly suffered technical problems, which hampered a swift dispatch of the CCGT and ultimately rendered it uneconomical.

Duke Energy’s subsidiary in Indiana has brought forward the date for planned retirement of more than 4,100 MW coal-fired capacity. Instead, the utility plans to add some 1,240 MW of cleaner-burning natural gas, 700 MW of wind energy, and 1,650 MW of solar power by 2037.

Electrification of the transport sector can help curb emissions substantially, Wood Mackenzie finds. A typical mid-size electric vehicle (EV) generates up to 67% fewer emissions than a gasoline internal combustion engine (ICE) car. But the crucial factor is the location where they are driven and the regional power generation mix.

California-based Sempra Energy is striving to take a leadership role in modernizing North America’s natural gas infrastructure to help incentivize power plant operators to switch from coal to gas. On a global scale, Sempra said its US LNG export terminal will supply affordable clean energy to Asia.

This year, for the first time since the Industrial Revolution, more of Britain’s electricity production will come from zero carbon energy sources, than fossil fuels. The landmark tipping point will be reached after National Grid invested £1.3 billion over the past decade in the clean energy transition, as well as £2 billion in new interconnectors such as the 1,400 MW North Sea Link to Norway.

News in Brief

MHI-MME to take over turbocharger production

Sept 20 – Mitsubishi Hitachi Power Systems will no longer produce MET turbochargers, the standard worldwide exhaust gas turbochargers used in stationary engines. Starting from January 1, 2020, these devises will be produced by Mitsubishi Heavy Industries Marine Machinery & Equipment (MHI-MME) instead.

Japan starts electricity futures trading

Sept 19 – Tokyo Commodity Exchange (TOCOM) has launched trading in electricity futures to advance price competition in Japan’s liberalized energy market. The East Area peakload electricity contract for October delivery first traded at 10.9 Yen per kWh, lower than the standard price of 11 Yen set by TOCOM in advance.

Duke to reduce rates in 2020

Sept 18 – Duke Energy Florida (DEF) customers will see lower bills in 2020. The utility filed a proposal with the Florida Public Service Commission to reduce rates for electricity and gas by more than 3% while adding more solar power and making grid improvements.

Myanmar approves three power projects

Sept 17 – Myanmar’s Ministry of Electricity and Energy has given the green light to plans for a 1,230 MW gas-fired power plant in Kanpauk, Taninthayi region, a 377 MW gas-fired unit in Ahlon, Yangon region and a 1,390 MW thermal plant in Milaunggyine in Ayeyawady region. The conflict-ridden country is currently producing electricity from 5,600 MW installed capacity, derived both from state- private-owned power stations.

Bonny Train-7 to cost $6.5bn

Sept 16 – Nigeria LNG is preparing to add a seventh processing train to Bonny LNG, bringing total capacity from 22 million tons per annum (mtpa) to 30 mtpa. Estimated to cost $6.5 billion, Bonny Train-6 will include a new liquefaction unit, a storage and a condensate tank as well as three gas turbine generators.

Schneider to complete L&T takeover by early 2020

Sept 13 – Venturing into India, Schneider Electric hopes to finalise the Rs 14,000 crore acquisition of Larsen & Toubro's electrical and automation business by early 2020. After the transaction is completed, Schneider will have a 65% stake in L&T, while the remainder will be held by Temasek.

MHI to advice China on energy conservation

Sept 12 – Mitsubishi Heavy Industries Thermal Systems, part of MHI, has set up a joint venture withan affiliate of State Grid Corporation of China (SGCC) to perform technical consulting for energy conservation projects in China. The focus of SGCC lies on building new decentralized power stations, biomass-derived power gensets and energy saving solutions.

Tender extended

Sept 11 – Turkmengas has extended a tender for the overhaul of the gas turbine engines of the NK-12ST and NK-14ST brands. Bidders need to pay to receive the tender documents, and then submit a written application to Turkmenistan’s state gas company.

Gas power units to buffer Germany’s coal exit

Sept 10 – Electricity output of Germany’s fleet of gas-fired power plants has risen to a over 13,5 billion kilowatt-hours in the three months from June to August, Fraunhofer ISE figures show. These productivity gains put CCGTs in pole position to balance supply swings in connection with the German coal exit.

Power of Siberia gas flows to start on Dec 1

Sept 9 – Russian gas supplies to China via the eastern route are going to start on December 1, 2019, Gazprom chairman Alexey Miller told his counterpart at CNPC in Beijing. The huge Chayandinskoye field, containing some 1.2 trillion cbm of gas, had already been connected to the 38 Bcm per year ‘Power of Siberia’ gas pipeline in August.

Hurricane Dorian causes havoc in the Bahamas

Sept 6 – In the aftermath of Hurricane Doran, a Category 5 storm, Bahamas Power and Light has said there is a total blackout in New Providence, the most populous island of the archipelago. Dorian made landfall twice on Sunday, ripping off roofs and electricity lines. In most parts, electricity has not been restored.

LNG cargoes via Bab-el Mandeb decrease

Aug 30 – Northbound LNG shipments via Bab el-Mandeb, a sea route chokepoint between the Horn of Africa and the Middle East, have fallen over the past three years as Egypt imports less natural gas from the Persian Gulf. In 2015 and 2016, both Jordan and Egypt imported up to 1.4 Bcf/d of LNG into Red Sea ports but these shipments fell sharply following the development of large gas finds in the Mediterranean.

Hokuriku Electric buys LNG cargo

Aug 29 – Japanese utility Hokuriku Electric has purchased an LNG cargo for delivery in November as soaring temperatures drew down gas in storage for the autumn. The cargo is understood to be scheduled for delivery in the second half of November from Malaysia’s Petronas and may well be destined for Hokuriku Electric’s first LNG-fired power generation unit,  the Toyama Shinko plant.

Technip spins off LNG activities

Aug 28 – TechnipFMC, has decided to spin off its European-based engineering and construction operations into a separate business, leaving the American half of the firm as an equipment supplier to the oil and gas sector. The split is due to be completed in the first half of 2020.

FLNG power market to top $930m by 2023

Aug 27 – The global market for floating LNG power vessel is projected to reach $ 931.6 million by 2023, up from $ 860.1 million seen last year, according to ReportsnReports. Major vendors of FLNG power vessels are Siemens, MAN, Wärtsilä, Caterpilar and GE which are targeting to use the technology to supply decentralized power to island nations in Southeast Asia and along the coast of sub-Saharan Africa and the Americas.

EIA monitors grid hourly

Aug 26 – The U.S. Energy Information Administration (EIA) has launched a beta release of its hourly electric grid monitor. The enhanced version analyses hourly generation by energy source and hourly sub-regional demand for certain balancing authorities in the Lower 48 states.

Hiroshima waste-to-energy plant gets upgrade

Aug 23 – Mitsubishi Heavy Industries (MHI) has been chosen to upgrade and refurbish the combustion facilities at a waste to energy plant in Hiroshima. The Naka plant in Minamiyoshijima, Naka-ku, has a total waste treatment capacity of 600 tonnes per day and generates 15.2 MW of electricity to power the equipment in the factory, while selling the remainder to the grid.