Daily News

Gazprom has entered negotiations with E.ON on a special pricing mechanism for gas used for power generation, which prompted Societe Generale to forecast that the majority of gas in Europe will not be priced under an oil-linked formula as of 2014e.

Swiss power and automation technology group ABB has won two orders to help Swedish iron ore producer Northland Resources operate its new concentrator plant at the highest levels of energy efficiency. "The extremely tight schedule makes this project unique," ABB said with reference to production start-up planned as early as November 2012.

Wartsila India has launched a Remote Monitoring Station in the southern Indian city of Chennai.  The new station will ensure real time monitoring of power plants by Wartsila personnel in Chennai, backed by technical support from Wartsila Condition Based Maintenance (CBI) Centre in Finland. Wartsila expects the plant monitoring will save maintenance costs and improve their operational reliability.

Wood Group GTS, an independent provider of rotating equipment services, has won a $1 million contract to effectuate a combustion inspection on a GE Frame 7EA dual fuel gas turbine at a power plant located in Kansas, U.S.

Gas-based smart generation power plants are crucial to help beat the continued high level of peaking shortages in India. “Capital-intensive thermal plants should be used for operating baseload and gas-based smart generation plants should be deployed for meeting peak deficit,” suggests Rakesh Sarin, Managing Director, Wartsila India. “This is possible only if a peak tariff mechanism is evolved first,” he told Gas to Power Journal’ in an interview.

GE has shipped two Frame 9FA gas turbines and associated generators to Pakistan for installation at the country's largest projected combined-cycle power plant (750MW) in Guddu. Installation of the turbines is scheduled to be completed by September 2012, with full plant commercial operation expected by mid-2013, GE confirmed.

Mass Global Investment Company, an Iraqi independent power producer, has selected GE to effectuate a combined-cycle gas turbines (CCGT) conversion of the Erbil power plant with a view to increasing capacity by 500 MW to 1,500 MW.

Swiss engineering group ABB has won orders worth around $55 million from the Canadian utility BC Hydro to supply flexible alternating current transmission systems (FACTS) solutions to help increase grid transmission capacity.

Siemens together with the local contractor Alfanar has commissioned the first two of its SGT6-2000E gas turbine units at the Hail-2 Extension-III power plant on behalf of Saudi Electricity Company (SEC).

"The Hail-2 Extension-III project is expected to contribute significantly to the infrastructure development of the Hail region," said Siemens CEO of Saudi Arabia, Arja Talakar.

Decentralised energy storage can play an important role within the context of tomorrow's smart grid, next to demand response by means of flexible power generation, an Eurelectric report finds.

Swiss engineering group ABB has won orders worth around $120 million from KAR Construction and Engineering Company Ltd. to design and build a gas-fired power plant and construct two 400/132 kilovolts (kV) high-voltage substations that will supply electricity to the Kurdistan region of Northern Iraq. The project is scheduled for completion by the end of 2013.

The introduction of a carbon floor price under Britain's Electricity Market Reform (EMR) is estimated to make natural gas catch-up with coal in terms of profitability. "Using our forward-price assumption for coal, gas-fired generation and coal-fired generation are very nearly on equal footing in the April 2015 timeframe in the UK," Deutsche Bank forecast today.

German utility E.ON raised its 2012 earnings outlook on Tuesday after settling a fierce and lengthy dispute with Gazprom, Russia's gas export monopoly, over pricing conditions of long-term gas import contracts.

Huaneng Power International (HPI) today announced it has received the regulatory green light for its Huaneng Tongxiang gas-fired cogeneration project. Construction of the plant, in which it owns a 95% interest, was approved by Zhejiang Provincial Development and Reform Commission.

General Electric (GE) has launched the PowerXpand Portfolio as an integrated power solution to provide flexible and rapid power supply. The scalable product bundles GE's TM2500 and TM2500+ mobile aeroderivative gas turbine generator sets, the Jenbacher J320 containerized gas engine generator set and the V250/V228 diesel engine generator sets.

News in Brief

German coal plants “worthless” at CO2 of €45/t

Feb 16 – Coal power plants in Germany would have to be almost completely eliminated by 2030 in a scenario with a carbon price of €45/t, a study of Barclays bank finds. A total of 46,000-MW of black and brown coal-fired generation is currently in service in Germany.

Iran plans to add 40 decentralized gas gensets

Feb 15 – Off-grid, decentralized power supply will help avert electricity shortages in Iran’s northern provinces of Mazandaran and Golestan. To that end, the Iranian energy ministry launched a plan to build 40 small-scale power plants across with a combined capacity of 1,000 MW over the two provinces over the coming six years.

National Grid makes £1m for top projects

Feb 14 – The UK’s National Grid System Operator is reaching out to industry and academia to open up a discussion on priority investments across the GB gas and electricity systems. Up to £1 million is available for the top projects, National Grid said when opening the funding application process which closes on 28 February.

Wärtsilä renews O&M accord for Saudi power plant

Feb 13 –Saudi Arabia-based Hail Cement Company hasrenewing the three-year asset management agreement with Wärtsilä and for a power plant in Turbah, Saudi Arabia. Under the agreement, Wärtsilä provides guarantees for the performance of the 53 MW base load plant, equipped with seven Wärtsilä 32 gas engines.

Black & Veatch eyed as EPC contractor for £500m Wyre plant

Feb 12 – Wrye Power, a subsidiary of NPL Group, and China Machinery Engineering Corporation (CMEC) have hired Black & Veatch as EPC contractor for the £500 million Wyre power project. Black & Veatch will provide engineering and planning consultancy services to develop the 900 MW combined cycle gas turbine plant, which will be built at Fleetwood in Lancashire.

Lockyer Valley Energy Project gets environmental nod

Feb 9 – The Lockyer Valley Energy Project, a 1,000-MW gas-fired power plant formerly known as the Westlink Project, has received environmental approval from the US Federal Government. As part of the approval, Quinbrook Infrastructure Partners, the developer of the plant, has been ordered to commit up to $800,000 for an environmental offset plan.

GIP buys NRG Yield

Feb 8 – Global Infrastructure Partners (GIP), an independent infrastructure investor, has agreed to acquire NRG Energy’s US renewable energy platform for $1.375 billion in cash and provide backstop support for NRG Yield agreed purchase of the Carlsbad Energy Center project. NYLD is the second largest US power company by enterprise value and market capitalization, operating a total capacity of 5.1 GW, diversified across wind, solar, and natural gas technologies.

Rolls-Royce tests lean-burn combustion system

Feb 7 – Rolls-Royce has run a demonstrator engine featuring ALECSys (Advanced Low Emissions Combustion System) for the first time on a testbed in Derby, UK. Designed for future jet engine programmes, ALECSys may be adapted for the power generation segment at a later stage.

Just Energy takes over EdgePower

Feb 6 – US retail energy provider Just Energy Group announced today it has agreed to acquire all shares or EdgePower, a privately-held energy monitoring company. Based in Aspen, Colorado, EdgePower provides lighting and HVAC controls, as well as enterprise monitoring in hundreds of commercial buildings across North America

Pöyry to carry out EPC for cogen project in Finland

Feb 6 – The Finnish utility Pori Energia has selected Pöyry to carry out project management, basic and detail engineering and procurement services for 90-MW Aittaluoto combined heat and power (CHP) plant project. The construction of the new cogeneration power plant will be completed by mid-2020, and once operational Pöyry will replace some of the boiler capacity at Aittaluoto.

Kosmos advances FLNG offshore Senegal

Feb 5 – Kosmos Energy has completed drilling the Requin Tigre-1 exploration well in Senegal’s Saint Louis Offshore Profond block. Exploration of the deepwater Cretaceous petroleum systems offshore Mauritania and Senegal are part of Kosmos’ efforts to source more feedgas for a FLNG project, though some of the gas find will be reserved by local governments for power generation.

Eland gets involved in Innovate UK project

Feb 2 – Participating in a £1 million Innovate UK grant-funded project, Eland Cables will install its new long linear capacitor cable technology, dubbed the Capacitive Transfer System (CTS) to help reduce power loss in the national grid. The UK currently loses around 7.6% of the power it generates during transmission and distribution, which equates to an estimated £1.1 billion spent annually.

Floating power market to quadruple by 2023

Feb 1 – The global Floating Power Plant industry is expected to surge exponentially by 2023, registering a growth rate of 10.23% during between 2017 and 2023, according to Market Research Future. Gaining full viability as a technology, floating power plants are being rolled out to guarantee uninterrupted electricity supply in remote locations that are not connected to national distribution grids.

Ener-Core, Dresser-Rand grid synchronize CHP

Jan 31 – Ener-Core’s first two 1.75-MW power oxidizers, integrated with Dresser-Rand KG2-3G gas turbines have achieved electrical synchronization with the power grid at the Pacific Ethanol bio-refinery in Stockton, California. The oxidizers are replacing the traditional gas-fired combustion chamber within CHP gas turbines, allowing industry customers to convert their low-quality waste gases directly into clean power, heat and steam.

Gazprom’s curbs domestic gas debt

Jan 30 – Accumulation of overdue debt for gas supplies remains a problem for the Russian gas market. According to Gazprom data, the total outstanding debt reached RUB 170.7 billion ($3.03bn) by January 1, 2018, an increase of RUB 9.8 billion ($173m) from early 2017. Among the most problematic non-payers are heating suppliers, which account for about 35% of the debt and two-thirds of debt growth.

Global gas demand up 3%

Jan 29 – Spurred by China’s green energy policy, global gas demand increased 3% year-on-year in the first three quarters of 2017, according to Cedigaz figures. The Paris-based research institute criticized that investments made upstream and in liquefaction infrastructure have been “insufficient” in recent years, with Coral the only LNG export venture to take a final investment decision last year.

UKPR launches iGrid App for Android

Jan 26 – UK Power Reserve has launched an Android version of its iGridUK app, providing near real-time information about the energy market, such as generation by fuel type and peak demand. The release complements the popular iGridUK app for Apple.