Daily News

The 'Golden Age of Gas' fueled by the rise of unconventional gas resources such as shale gas is set to spur new CHP capacity, Shonodeep Modak, Global Marketing Manager at GE Gas Engines told Gas to Power Journal at this year's COGEN Europe annual conference in Brussels. "In the near term, the majority of new CHP will be gas based. There will be some biomass projects in places such as South East Asia and parts of Latin America which lack fossil fuels, but that is still some time away," he said.

Unless new efficient policy measures are implemented, about 40 percent of Spain's installed Combined Heat and Power (CHP) capacity is at risk of being shut-down in 2015, Javier Rodríguez Morales, Director General of Spain's Cogeneration Association (Acogen) told Gas to Power Journal. "At the moment, there is a moratorium in place to install new cogeneration capacity since 2012, as well as uncertainty about the actual regulatory framework reform and new energy taxes applied since 2003 which are deeply impacting CHP," he said.

Sembcorp Industries has sealed a deal to develop its first energy-from-waste facility outside Singapore. The 49MW plant project, located in Teesside, UK, will be developed under a 40:40:20 joint venture between Sembcorp, SITA UK (part of SUEZ Environment) and ITOCHU Corp.

Selling heat in addition to electricity has made new combined-cycle power plants (CCPPs) economically feasible in Germany, Norbert Wenn, Director of Sales Support and Product Line Management at Siemens told Gas to Power Journal at this year's COGEN Europe annual conference in Brussels. "The renewed German CHP law and incentive scheme has made a business case of the Lausward plant currently being built in Düsseldorf, which would have never happened had it been planned as a pure condensing plant," he said.

Increased market penetration of energy efficient Combined Heat and Power (CHP) installations can help the EU reduce its energy imports and drive economic recovery, Paul Hodson, Head of Unit Energy Efficiency at the European Commission's DG Energy told this year's COGEN Europe annual conference in Brussels.

The world's largest concentrating solar plant – the 280 MW Solana Generating Station, located in southwest of Arizona, US – is being built beside a substantial fossil backup plant – the 2,334 MW gas-fired combined-cycle Gila River Power Station.

At the 2013 Russian International Energy Forum in St. Petersburg, Siemens Gas Turbine Technologies (SGTT) and power producer OGK-2, an open joint stock company, sealed a long-term service contract for PGU-800 – Russia's largest combined cycle power plant (CCPP).

Long-term regulatory stability is key for helping make new cogeneration developments more attractive for European industry, Dave Brownell, Refinery Manager at ExxonMobil told Gas to Power Journal at this year's COGEN Europe annual conference in Brussels. "In Europe, we're looking for stability in the rules of the game; stability in terms of regulations. A large cogen plant is an investment of hundreds of millions of euros, typically takes four to six years of project development and the operational life of the unit exceeds 30 years," he said.

GDF Suez' fourth gas-fired plant in France - the Dunkirk natural gas-fired combined cycle power plant (DK6) - "is planned to remain in full operation", GDF Suez confirmed. Fuel economics of the 788 MW CCPP plant are more advantageous, it said, as the plant is operated by burning blast furnace gas and the coke oven gas from a nearby steel mill.

At two US-based gas-fired combined cycle plants, controllability at the plants was a major issue, the responsible plant manager told Gas to Power Journal on condition of anonymity. Large natural gas swings caused large boiler pressure swings, which "created a situation where the load was swinging around a lot more than it needed to be".

Xcel Energy has proposed adding up to three new gas-fired peaking units to boost electricity production during periods of high demand in Minnesota and North Dakota. The proposal aims to replace coal-fired capacity at its Black Dog plant in Burnsville, Minnesota, which is due to be retired in 2015 by installing a 215MW gas turbine. It also aims at installing one or two, as needed, 215MW gas turbines at a yet to be selected site near Hankinson, North Dakota.

Spain saves an estimated €1,250 million per year thanks to the utilisation of combined heat and power (CHP) plants, representing an increase in savings of €70 million or 6 percent from two years ago. The figure is based on the sum of savings from primary energy costs included avoided grid losses, savings from avoided CO2 emissions, and energy transport and distribution savings.

The EU's 2004 CHP Directive has played an important part in the encouragement and recent introduction of CHP incentives across several member states, according to an International Energy Agency (IEA) report on Cogeneration and District Energy. The Directive establishes general principles for CHP policy but leaves detailed implementation to member states.

The introduction of Capacity Payment Mechanisms (CPMs) as suggested under the UK Electricity Market Reform may solve immediate problems of renewable output increasing revenue volatility for operators of coal- and gas-fired power plants, but could introduce many more, says James Marshall, Senior Consultant, Pöyry Management Consulting. "Conventional generation must expect to rely on a smaller number of hours to cover fixed and capital costs, with the timing largely determined by weather patterns with only short-term predictability," he told Gas to Power Journal.

GE has launched a new corrosion protection technology for refinery steam systems, based on its Steamate low salt amine (LSA) product series that have been specifically designed for refinery boiler and steam condensate systems.

News in Brief

China eases ban on coal power

April 23 – The Chinese National Energy Administration (NEA) has allowed 11 provinces to resume building coal power plants in a move that lies bare the country’s dependency on thermal coal even after several hundred billion dollars were invested cleaner energy sources, notable wind, solar and natural gas. Areas earmarked by NEA for new coal power plants include Qinghai, Chongqing, Guangxi, Guangdong, Yunnan, Guizhou and Henan.

$500m Birdsboro plant gets powered up

April 17 – Birdsboro Power, a subsidiary of EmberClear of Canada, is in the process of commissioning the $500 million Birdsboro open-cycle gas power plant. Built on a site of the former Amourcast steel foundry, and driven by a GE 7H02 turbine, the new power unit will generate about $500,000 in revenue for the Reading Area Water Authority and another $125,000 city of Reading, Pennsylvania. All electricity will be supplied into PJM Interconnection, the power grid operator in the U.S. Northeast.

Gas now dominant fossil fuel in Europe

April 17 – Rising cost of carbon emissions and closures of coal power stations throughout Europe have led to gas-fired generation overtaking the output of other fossil fuels for the first time. According to EnAppSys figures, gas power plants in the EU produced 117 TWh of electricity in the first quarter of 2019, compared with a combined 110.9 TWh from coal, lignite and gas-to-coal plants.

ABB, Porsche co-develop electric vehicle chargers

April 16 – ABB and Porsche have agreed to develop electric vehicle chargers for Porsche Japan’s new electric vehicles, including Tayan – the carmakers’ first fully electric car due to be launched in 2020. Under the deal, Porsche will install ABB chargers at its public facilities across Japan, creating a network of fast-charging stations for its electric vehicles. The first installation is set to go live in mid-2020.

Power gen from biomass flatlines

April 15 – Increases of U.S. electricity generation from biomass have stopped after a decade of growth. Power produced from biomass totaled 70.6 million megawatthours (MWh) in 2018, or about 2% of total U.S. electricity generation, according to EIA figures. Having grown from 2004 through 2014, and the 2018 output was 2% below its peak generation of 71.7 million MWh.

Aeroderivative GT market to top $3.5bn by 2024

April 12 – The global market for aeroderivative gas turbines is seen grow at a 7% rate to surpass $3.5 billion by 2024. A main growth driver, according to Global Markets Insight, will be the rising adoption of small-scale turbine-driven cogeneration plant and the trend towards decentralized energy supply.

Lumenaza creates regional green power grids

April 11 – Utility-in-a-box software, developed by Lumenaza, creates a regional green power grid by connecting producers and consumers of locally produced wind and solar energy. The system monitors renewable power output, balances supply and demand, and can help organize the billing process. Pilot projects have been implemented with two of Germany’s big utilities, E.ON and EnBW as well as with various smaller players.

MHPS licenses H-25 turbine production to Chinese manufacturer

April 10 – Mitsubishi Hitachi Power Systems (MHPS) has agreed to license production technology for its H-25 series gas turbines to the Chinese manufacturer CSIC Longjiang GH Gas Turbine Co. The agreement will establish a small local supply chain which helps expands MHPS’ share in the Chinese market, the Japan-based company stated. So far, MHPS received five orders for H-25 Series gas turbines, or nine units in total, from Chinese power plant developers.

SIEW 2019 to focus on energy transformation

April 9 – “Accelerating Energy Transformation” will be the theme for the Singapore International Energy Week (SIEW) 2019. This theme has been chosen by the Energy Market Authority (EMA) of Singapore to address mounting challenges in Asia over meeting climate change commitments against a backdrop of continuously rising energy demand.

ENGIE launches 1st mini-grid in Zambia

April 8 – The French utility ENGIE has inaugurated its first PowerCorner – an off-grid renewable energy solution – in the Zambian village of Chitandika. Located in the East of Zambia, Chitandika counts 1500 inhabitants who previously had no access to electricity.

Global gas engine market to reach $4.4 billion by 2020

April 5 – Over the next five years, the global gas turbine market is forecast to grow 11.1% annually in terms of revenue, reaching a market size of $24,100 million by 2024, up from $14,300 million in 2019. Market-leading companies include: GE, Siemens, Ansaldo Energia, MAN Energy Solutions, Mitsubishi Hitachi Power Systems and Shanghai Electric Group.

EDAC, Siemens seek ‘industrial app’ for 3D-printing

April 4 – Siemens is intensifying its cooperation with the EDAG Group, an independent engineering company for the automotive industry, to promote industrial applications of additive manufacturing (AM), also known as 3D printing. The companies’ joint "NextGenerationSpaceframe 2.0" project is on show at the Hannover Messe this week.

ABB electrifies Lodi campus of Milan University

April 3 – The Swiss manufacturer ABB will ensure smarter, safer and more reliable electricity supply for students at the Milan University’s new campus in Lodi. Covering an area of 20,000 square meters, the campus has installed ABB’s UniSec switchgear and main distribution switchboard solution, System pro E power.

Chevron launches $90m Fund VII

April 2 – Chevron Technology Ventures (CTV) has set up Fund VII, a new $90 million fund focused on venture capital investment across the energy industry. Investments target early- to mid-stage companies as well as limited partnership funds with the aim of supporting breakthrough technologies that have the potential to improve Chevron’s oil and gas business performance.

Siemens to implement VW Industrial Cloud

April 1 – The German carmaker Volkswagen has chosen Siemens as integration partner for the VW Industrial Cloud. Based on Siemens’ MindSphere system, the VW Industrial Cloud will link production systems, machinery and equipment of various manufacturers at the 122 Volkswagen manufacturing plants worldwide. The resulting data transparency and analysis is meant to enhance productivity at the sites.

Marubeni, 4R Energy to deploy large refurbished batteries

March 29 – Marubeni Corp and 4R Energy, along with SIGNET EV have achieved a Proof of Concept (PoC) using 4RE’slarge refurbished batteries for the development of the world’s first mass-productional EV charger in Namie-machi, Fukushima-Prefecture. The installation, with an output of more than 50kW, helps the community reduce electricity demand from the central power grid, which saves costs.

Regulators approve £300m Belfast power project

March 28 – Northern Ireland’s Department for Infrastructure (DfI) has approved plans for a £300 million gas-fired power project in Belfast. The 480 MW power station, developed by Belfast Power Holdings, will be situated in the city's Harbour Estate and provide energy to about 500,000 homes and businesses.