Daily News

Despite of India's surging electricity demand, the economics of gas generation hinge on peak production, says Rajeev Mathur, executive director marketing at Gas Authority of India Ltd (GAIL). "If anyone wants reliable power [during hours of peak demand] he can pay more. That's where the economics of imported gas for power generation will work," he told Gas to Power Journal.

Tokyo Gas is expanding its power generation capacity as Japan's energy mix shifts away from nuclear towards gas generation, Yasushi Sakakibara, Tokyo Gas' deputy general manager for LNG contracts, has told Gas to Power Journal.

Tokyo Gas plans to start-up a third gas-fired 400 MW unit at its Yokohama power plant in 2015.

Siemens, the German engineering giant, is hopeful to break ground in Singapore for its H-class gas turbines as it builds on the market penetration of its F-class technology, says Thomas Hagedorn, Vice-President, Sales, GT Power Plant Solutions Asia Pacific.

Anglo-Russian oil and gas producer TNK-BP is close to strike a $6 billion gas supply contract over 18 years with Russian power generator TGK-5, dealing yet another blow to Gazprom.

Coal, in contrast to gas generation, has limited prospects to expand its global marked share amid a decline in coal quality and tightening environmental legislation, according to asset management group Axa Investment Managers.

German's largest utility Eon has confirmed it will shut-down 1,037 MW of gas-fired power generation capacity, mothballing both it the 622 MW Staudinger 4 plant unit and the 415 MW Irsching 3 unit by the end of this year. The plants will operate as winter reserve, once E.on has transferred responsibility to the regulator BNA.

Norwegian oil and gas major Statoil has selected Siemens' PostCap process for phase-3 in the technology qualification program for the carbon capture and storage (CCS) plant at the combined-heat and power plant at the refinery in Mongstad. The final phase of the qualification process will come to an end in April 2013.

Deployment of carbon capture storage (CCS) technology will allow for more coal and gas to be used than without CCS, Sean McCoy, analyst at the International Energy Agency (IEA) told Gas to Power Journal.

"More than two thirds of today's fossil fuel reserves would have to remain un-burnt and in the ground in the absence of CCS," he said referring to the IEA's World Energy Outlook 2012.

The City watchdog, the Financial Services Authority (FSA) is investigating claims by a whistleblower that price assessments of Britain's £300bn wholesale gas market have been "regularly manipulated" by some big power companies.

Germany's federal energy network regulator (BNA) should urgently improve compensation for operators of flexible power plants that have to ramp up or down to maintain grid stability, the German energy industry association BDEW told Gas to Power Journal.

While Iraq's energy sector competes with a host of other spending needs in Iraq, one urgent priority for the government is to catch up and add new power generation capacity to keep pace with rising electricity demand, say analysts from the International Energy Agency (IEA).

UAE-based Dolphin Energy has awarded a $250 million contract to Larsen & Toubro (L&T) to install three new Rolls Royce Trent gas turbine compressors to upgrade the gas processing plant at Ras Laffan by end-2014.

Japanese utilities are gearing up to add about 18 GW of gas-fired capacity over the coming ten years, boosting the country's capacity by 30 percent to counterbalance for lost nuclear capacity and cater for rising electricity demand, analyst forecast.

Natural gas is the only fossil fuel for which global demand grows in all scenarios, showing that it "fares well under different national policy condition", the International Energy Agency (IEA) said in its 2012 Outlook, released today.

EDF Energy has pushed back the date to start commercial operations of unit 3 at its new British 1,300 megawatt West Burton gas-fired combined-cycle power plant to early 2013, dismissing plans to fully commission the entire plant before the end of this year.

News in Brief

More buyers for Malampaya gas

Dec 12 – Two more electric utilities, in addition to First Gen and Ilijan, have expressed interest to buy Malampaya’s banked gas, valued at $700 million to $750 million, via a negotiated scheme. The Philippine National Oil Company (PNOC) is in talks with all four of them, but did not identify the two new bidders.

Surge in wind power new-builds

Dec 11 – More than 680GW of new wind power capacity will come online globally over the 10-year outlook, according to Wood Mackenzie research. Most upgrades occur in the medium-term, boosting annual capacity additions from 2020 to 2023 by an average of 2.7GW.

Hybrid power for Galapagos Island

Dec 10 – Siemens has inaugurated a hybrid power plant on the Galapagos island of Isabela after only ten months of planning and ten months of construction. The system runs carbon-neutral with biofuel and solar energy and supplies almost 900 households.

Tata unveils TCS Intelligent Power Plant

Dec 7 – Tata has presented it TCS Intelligent Power Plant at an U.S. trade show, combing its engineering knowledge with artificial intelligence (AI) to optimize operations of fossil power plants. The TCS Intelligent Power Plant builds on the digital twin concept and data-driven models.

Aker, Siemens to co-develop digital offerings

Dec 6 – Aker Solutions and Siemens have agreed to collaborate on creating software applications and joint service offerings, e.g. industrial digital twins that will drive efficiency throughout the entire plant lifecycle. Specific offerings for the oil and gas sector will be based on Siemens' Comos engineering platform.

Robot for remote inspection

Dec 5 – Sarcos Robotics is demonstrating their Guardian S mobile IoT inspection robot at POWER-GEN International in Orlando, Florida. The remote visual inspection tool that can carry multiple sensor payloads and is a quick-deploy inspection solution for pipes, boilers and tanks.

JERA still builds coal power plants

Dec 4 – JERA, Japan’s largest LNG importer, said it was still replacing ageing oil-fuelled power plants with coal-fired units, instead of gas, for economic reasons. Environmental permits have just been issued for two new coal power units at Yokosuka power station, south of Tokyo.

GE delivers grid solution to Pakistan

Dec 3 – GE Power has delivered a turnkey solution to DG Khan Cement Company (DGKCCL), for its new cement plant. Situated 30km northwest of Karachi, the new manufacturing facility is powered by GE’s advanced grid solutions including 132/6.3 kV gas insulated switchgear (GIS), 40MVA power transformers.

Rolls-Royce to showcase Bergen genset

Nov 29 – Rolls-Royce will showcase its new B36:45 Bergen gas genset at the 2018 Power-Gen International show next week in Orlando, Florida. This will be the first time the company introduced Bergen engines at a U.S.-based trade show.

Toshiba aggregates RES & energy storage

Nov 28 – Tokyo-based Toshiba will reinforce its green energy footprint by spending 100 billion yen ($175m) on a new biomass power plant near the thermal Mikawa power station in Omuta, Fukuoka prefecture. Going forward, Toshiba aims to aggregate all its renewable energy sources and storage batteries, creating a Virtual Power Plant (VPP).

Exmar helps Argentina export LNG

Nov 28 – Belgium's Exmar has signed a 10-year agreement with YPF to produce and export 500,000 tonnes per annum of LNG from Argentina via a floating liquefaction vessel named Tango FLNG. The deal advances Argentina’s ambitions of becoming a gas exporter.

ABB UPS tops 97% efficiency

Nov 27 – ABB latest uninterruptible power supply (UPS) module has a 97.6% efficiency rating. The DPA 250 S4 covers the power range 50 to 1,500 kW and is designed for critical, high-density computing environments such as data centers, hospitals, railway signaling stations and airports.

Europe still depends on Russian gas

Nov 26 – In the first ten month of 2018, there was a more than 100:1 disparity between Russian pipeline gas and U.S. LNG deliveries to European countries, according to Gazprom figures. The Russian gas giant sees still “a high level of uncertainty” in the long-term forecasts for U.S. shale gas production.

Enagas, Fluxys sell stake in Swedegas

Nov 23 – The Belgian and Spanish TSOs, Fluxys and Enagas, have sold their entire shareholding in Swedegas to First State Gas Transport AB, part of the infrastructure fund First State Investments. The two TSOs each owned a 50% stake in the operator of Sweden’s high-pressure gas grid.

Developing alternative fuels

Nov 22 – Wärtsilä, Finland’s Lappeenranta University of Technology and Nebraska Public Power District (NPPD) are developing a business case for the use of alternative fuels with Wärtsilä generating sets. In focus are methanol, dimethyl ether and ammonia, synthesised from hydrogen, CO2 and nitrogen.

UK will not incentivize new gas storage

Nov 21 – Rebuking warnings of gas supply shortages, the UK government said it will not give any regulatory support for new gas storage facilities. Insisting that “the benefits of more insurance are not worthwhile,” energy secretary Greg Clarke said, insisting the market was already providing sufficient gas security and optionality.

PG&E uses SF6-fee switchgear

Nov 20 – California’s Pacific Gas and Electric (PG&E) has contracted Siemens to supply SF6-free dead-tank circuit breakers and gas-insulated switchgear (GIS). They are destined for California’s 115-kilovolt (kV) high-voltage grid.