Siemens, Europe's largest engineering company, plans to slash costs by 6 billion euros ($7.7 billion) in two years to counterbalance estimates of lower profits in the coming year. "We didn't fully succeed in significantly boosting our performance vis-a-vis competitors," chief executive Peter Loescher said today. "We know what we have to do, and we are doing it."
Calpine Corp. is ready to pay $432 million to Bosque Power Co. to purchase a gas-fired, combined-cycle power plant located in Bosque County, Texas.
With abundant availability of natural gas from conventional and shale resources in the US, there is no economic incentive to develop gas hydrate resources, as a further source of gas supply for power plants and industrial use, says the US Department of Energy (EIA).
Re-elected U.S. president Barack Obama is expected to toughen regulation on producing shale gas, oil and burning natural gas, coal and oil for power generation at an early stage in his second term in office, analysts say.
China will subsidise shale-gas production to help boost domestic gas supplies, earmarked to underpin plans of the Beijing government plans to expand share of gas in the nation's energy mix. Subsidies of 0.4 yuan (6.4 cents) per cubic meter of shale gas will be offered for shale gas developed and consumed between 2012 and 2015, according to China's ministry of finance.
Gas prices at the US's Henry Hub price benchmark are seen to become less competitive than coal in 2013 which should offset gains in the use of gas for power generation, industrial and residential use, the Energy Information Administration (EIA) forecast.
Rising LNG imports to India, and government efforts to form a national gas grid, will help gas generation to expand beyond its present 10 percent market share. LNG imports can help to boost India's gas supplies, provided that Indian buyers are prepared to pay high prices for attracting cargoes in the tight Pacific Basin, an analyst with India's Central Power Research Institute (CPRI) told Gas to Power Journal.
As Malaysia's government gears up to lifting subsidies on natural gas the market share of gas-fired power generation is bound to drop, forecasts Sarah Fairhurst of The Lantau Group. "Gas-fired power generation is likely to fall in Malaysia as it slowly lifts subsidies. Gas, which was heavily subsidized before, is now becoming more expensive and less economic," she told Gas to Power Journal.
The German chancellor Angela Merkel by next summer aims to have parliament agreed on some form of market orientated capacity payment to underpin investment in new power generation capacity. A regular leaders' meeting in December and a special meeting in March, dedicated to Germany's Energiewende [energy transition] policy, would specify and build on the progress reached so far, she said.
The Department of Energy and Climate Change (DECC)'s support schemes of up to £10 million for offshore wind projects is expected to reinforce the need for backup gas generation.
Alstom has signed two orders worth about €75 million with Metka S.A., an international contractor for large scale energy projects, to deliver power generation equipment for projects Metka is executing on behalf of the Samra Electric Power Company in Jordan.
Following a 'first firing', RWE has now started the hot commissioning phase of the combined cycle gas turbine power plant in Denizli, Turkey. "The final phase of completing the project is now underway, which will eventually be followed by handover to the operating crew", says project manager Ralf Bielack.
Gas generation is expected play a bigger role in denting Brazil's need for peak load power supply, providing bottlenecks in the gas pipeline network will get resolved so that power companies can make full use of domestic gas reserves, according to a GlobalData report. Gas-fired power plants in Brazil are predominately dispatched as peaker plants, due to high fuel prices for natural gas compared with hydropower.
The UK Department of Energy & Climate Change (DECC) has announced the selection of four bidders, all full chain capture, transport and storage projects, to go into the next phase of the UK’s £1bn Carbon Capture and Storage (CCS) competition, the UK’s CCS Commercialisation Programme.
Singapore is on track to reach 90% gas-fired power generation capacity, Neil McGregor, chief executive at Singapore LNG Corporation forecast.