Daily News

Amid gas replacing coal as the fuel choice for American power plant operators, the stockpile of coal has risen to a record high, latest data from the U.S. Energy Information Administration (EIA) shows.

Alstom, a leading global power generation company, has secured GT13E2 gas turbine generator contract and long-term service agreement in China. Alstom Senior VP Gas Business, Mark Coxon, said the contract win represents "Alstom's determination in returning to the Chinese gas power generation market".

Retrofitting chiller equipment to a combined cycle power plant has netted a gain of US$1 million for PT Mitra Energi, Noor Wahyu Hidayat, CEO told delegates at the 6th annual Gas Turbines conference in Singapore. Hidayat was describing a case study of a successful combined cycle gas turbine power plant (CCGT) retrofit at the Batam power plant (165 MW).

Horizon 2020, an EU innovation, has earmarked €80billion for research and development (R&D) of low-carbon intensive fossil fuels. Industry observers rate this development a "clear victory" for the gas lobby in its effort to attract investment in new gas-fired power plants.

Should Original Equipment Manufacturers (OEMs) be bound to do investigations when things go wrong with gas turbines? Some participants discussing failure analysis today at the a Gas Turbines conference in Singapore thought so, but the idea was shot down by panel chairman Maxine Watson.

Tripping gas turbines are the cause of recurring headaches for power plant managers, but engineers at SembCorp Industries, found an innovative solution of dealing with start-up problems. "We formed an internal team to assess and resolve the problem," Ramiah Manickam, Manager, Technical Engineering Services, told 'Gas to Power Journal' at the sidelines of the 6th Annual Gas Turbines Conference in Singapore today.

Demand for natural gas is estimated to surge by more than 50% by 2035, provided that vast global resources of unconventional gas can be tapped in a profitable and environmentally friendly manner, the International Energy Agency (IEA) said in a special report.

The U.S. is experiencing a boom in shale gas production, with gas prices on record lows and power producers switching from coal to comparatively cheap and less carbon-intensive gas.

Glow Group - GDF Suez has claimed significant success in efforts at achieving gas turbine performance optimization at its plant in Thailand near Bangkok. Somgiat Dekrajangpetch, Vice-President, Asset Optimisation attributed the success to getting it right on three vital counts - selecting the model for each unit, careful compilation of data and proper evaluation of the results.

Hong Kong is running out of natural gas and is looking to augment its supply sources, Maggie Go, Business Engineer at Hong Kong power utility CLP said in Singapore today. "Demand for natural gas in power generation - a cleaner and more environmentally friendly alternative to coal - is burgeoning," Go told delegates at IBC Asia's 6th annual Gas Turbines Conference.

Italy's Enel and Duferco, an iron and steel producer, are close to start operations of a 415-MW gas-fired power plant in the Belgian region of Wallonia. "The plant is currently in its commissioning stage and we are planning to start operations shortly," Matteo de Zan, head of Enel's industrial development, generation and energy management division told 'Gas-to-Power Journal'.

Manila Electric Company (MERALCO), the major electricity supplier in the Philippines, said it will enter a partnership with a Japanese utility to realise the first gas-fired power plant project in the Philippines in more than 10 years. Operational start of the new 1,500-MW gas-fired plant, due to build on Luzon island, is scheduled for completion in late 2016. MERALCO declined to reveal the name of its Japanese partner as it has not yet completed the feasibility study for the plant.

The dynamics of European energy prices are intertwined with those relative to the Euro area debt crisis. "As long as markets do not perceive a real turning point, there will continue to be a lot of volatility and – at times – some lack of strong direction coming from the fundamentals," the French investment bank Société Générale forecasts.

General Electric (GE) has shipped 12 LM6000-PC Sprint™ aeroderivative gas turbine-generators to the Dorad Energy power plant in Ashkelon, Israel, to fulfil part of its US$200 million contract with Wood Group GTS. GE said today it expects the 50-megawatt unit to start commercial operation in the second half of 2013.

Pöyry's Energy business group has been awarded an engineering contract by UMP Schongau paper mill for a projected combined cycle power plant (CCPP). The order has been booked in the first quarter order book, Pöyry's Energy said today.

The subsidy criteria for new power plants without CCS-readiness are "very restrictive", the German energy industry association (BDEW) criticises. New EU rules have "effectively stopped plans of the Germany government to sponsor new efficient plants," BDEW head Hildegard Müller said.

News in Brief

Floating power market to top $1.4bn by 2022

Sept 22 – The floating power plant market is expected to grow from an estimated $889.6 million in 2017 to $1,440.1 million by 2022, at a cumulated annual growth rate of 10.11%, from 2017 to 2022. Driving factors, according to MarketsandMarkets, are increasing demand for power, coupled with the lack of land-based power generation infrastructure.

ITM Power sells 1.1-MW power-to-gas plant to Gasunie

Sept 21 – UK hydrogen specialist ITM Power has sold a 1.1-MW power-to-gas electrolyser to EnergyStock, a subsidiary of Dutch gas grid operator Gasunie. The rapid-response PEM electrolyser will be deployed at the Zuidwending salt cavern storage; the generated hydrogen will be used on-site within EnergyStock's systems or dispensed into tube trailers for future hydrogen refuelling stations.

CCGT market to grow at 4.25% through to 2021

Sept 20 – The combined-cycle gas turbine market is forecast to grow at an annual rate of 4.24 % during the period from 2017 to 2021. Renewable energy’s high initial cost is still proving to be a major driver for the global CCGT market that offers a lower cost of power installation than renewable and nuclear energy.

GE to build four substations in Egypt

Sept 19 – Egyptian Electricity Transmission Company (EETC) and GE have closed a $250 million contract that will see GE build and install four Gas-Insulated Substations (GIS) across Egypt to connect 7 GW to the country’s national power grid by the end of 2018. The contract is fully financed through Deutsche Bank and HSBC France which helps secure smooth execution of the project.

Irma slashes energy demand in Florida

Sept 18 – Hurricane Irma has proved to be a demand-side event in Florida. At its trough, the state appeared to lose 1.9 bcf/d of demand versus pre-storm levels, mainly in the power sector. According to Energy Aspects figures, electricity demand on September12 dropped to 0.8 bcf/d, compared to a pre-storm baseline of 3.6 bcf/d.

Drax plans to convert two coal units to natural gas

Sept 15 – Drax Group has filed plans to the UK Planning Inspectorate to build a 200MW battery storage unit, and convert up to two coal units at the Drax power station to run on natural gas. If approved, the repowering could result in up to 3.6 GW of new flexible gas generation capacity. The utility stated its investment at Drax is backed by a 15-year capacity contract.

Azura Edo IPP ready to startup in early 2019

Sept 8 – Siemens-built Azura Edo Independent Power Project (IPP) is planned to add 459MW to the Nigerian national power grid by early 2019, Siemens Nigeria CEO Onyeche Tifase said. The Azura Edo IPP is an open-cycle gas turbine power plant project, which could potentially account for up to 20% of Nigeria’s installed capacity of 12.5MW by 2020.

Oman’s oil output hits new record

Sept 7 – Oil production in Oman has reached a new record, totalling 1 million barrel per day (b/d) in 2016. Dependent on revenues from oil and gas exports, Oman’s state finances have been hit by the plunge in oil prices which made 2016 oil and gas revenues plunge 67% compared with 2014 levels.

Petrofarc to build South Stream

Sept 6 – UK contractor Petrofarc won an engineering, procurement and construction (EPC) contract worth 340 million Euros ($404m) by the Gazprom-owned South Stream Transport company to build onshore pipelines and a gas receiving terminal near the Turkish town Kiyikoy.

Gas prices slowly return to normal after Harvey struck

Sept 5 – The price of natural gas and other petroleum products has surged in the aftermath of Hurricane Harvey. Yet as of Monday, key gasoline prices started to return to pre-Hurricane levels as key refineries and pipelines along the US Gulf Coast are resuming operation, easing supply concerns.

ACER to set deadline

Sept 4 – The European energy regulatory authority ACER is consulting until September 15 on an implementation date for harmonized prices in the EU's day-ahead and intraday power markets. Introducing maximum and minimum prices is meant to enhance market coupling.

Pöyry to review Shoaiba-4 plant

Sept 1 – The Saline Water Conversion Company (SWCC) has awarded Pöyry with the owner's engineer services assignment for the Shoaiba-4 desalination plant which will meet the potable water requirements of Saudi Arabia's second largest city and its five million people. Pöyry's scope includes review of contractor's engineering and supervision of construction, erection and commissioning.

Wärtsilä wins 220 MW power plant contract in Bangladesh

Aug 31 – Desh Energy Chandpur Power Company, an independent power producer (IPP) in Bangladesh, has contracted Wärtsilä of Finland to supply twelve 18-cylinder Wärtsilä 50 engines for a new 220 MW baseload power plant to be installed in Chandpur. The customer required a nine-month implementation time, with the plant due to be fully operational in May 2018.

Works start on Hickory Run CCGT

Aug 30 – Tyr Energy has started construction works on the Hickory Run Energy Center in Pennsylvania. The combined-cycle gas power plant has a nominal generating capacity of 1,000 MW.

Canadian Cats dealers merge

Aug 29 – Toromont Industries will acquire the businesses and net operating assets of fellow Canadian Caterpillar dealer Hewitt Group. The deal was agreed in turn for C$917.7 million cash plus the issuance of 2.25 million Toromont shares, the two companies said.

Ansaldo to service Thai cogen plant

Aug 25 – Glow Energy, one of Thailand’s private power producers, has contracted Ansaldo of Italy to service a 328 MW cogeneration plant, located in Map Ta Phut Industrial Park, 200km southeast of Bangkok. Apart from electricity, the plant produces 160 tonnes/hour of steam to support local industries. Ansaldo’s 15-year service deal covers maintenance, replacement capital parts and remote monitoring and diagnostics for the gas turbine.

Low voltage drives for China

Aug 24 – Siemens is to equip several Chinese aluminum factories with medium and low voltage drives. The value of the order is in the low tens of millions Euros. Commissioning will be completed in several stages between November 2018 and April 2019.