Daily News

Luzon, the most populous island in the Philippines, will continue to face power shortages with reserve markings are forecast to stay narrow for the coming three years, according to Manila Electric Co. (Meralco).
Interim Power Supply Agreements (IPSAs) are becoming 'the new normal'.

UK technology developer ITM Power has delivered a rapid response Power-to-Gas PEM electrolyser system to RWE's site in Ibbenbüren, marking the third such energy storage system installed by ITM in Germany.

State-owned Saudi Aramco has pushed back to mid-March a key deadline for bids on 'System A' – one of the kingdom's most ambitious shale gas development projects. Bids were initially due in early December, but Aramco chose to extend the deadline after it sent drilling companies a list of additional requirements. Tapping Saudi shale reserves is now a priority of the Government as it struggles to meet rising gas demand from power generators. 

Investors claim that uncertainty over future power tariffs and fuel pricing in Pakistan is preventing them developing a much needed LNG-based 800 MW power plant in Punjab. Though the government backs the proposed power plant, investors doubt that it would be profitable at current power tariffs.

An in-debt probe of General Electric's $14.1 billion takeover deal of Alstom's power division has been opened by the European Commission late Monday. An initial investigation "indicates potential competition concerns in the market for heavy-duty gas turbines," it said in a statement.

Nebras Power, an entity set up by Qatar Electricity and Water Company (QEWC) to invest overseas, has teamed up with Japan's Mitsubishi Corp, Marubeni and Chubu Electric Power to evaluate the development of a huge energy project in southeastern Turkey. The joint venture would develop lignite mines in Turkey's Afsin Elbistan region, some 600 km southeast of Ankara, with a view to using the coal as feedstock for a 4,500 MW power plant. Tax breaks, granted by the Ankara government, incentivise new coal power projects.

Contrary to fierce opposition against the U.S. administration new carbon rule for existing power plants, Exelon has now suggested would be feasible for the electric industry to successfully apply the more stringent standards. The latest controversy is over the Environmental Protection Agency's (EPA) goal o to cut methane emissions 45% by 2025, with coal lobbyists claiming new regulation would be "too stringent" and "hit the wrong sector."

Goodluck Jonathan, the president of Nigeria, has re-commissioned two gas-fired power plants with a combined capacity of 720 MW, reiterating support for reforms that aim to increase gas supply by liberalising the energy market.

Testing of the world’s largest turbine is currently underway by manufacturer GE at its test facility in Greenville, South Carolina. Dubbed ‘Harriet’ the 9HA gas turbine can deliver up to 600 MW of output.

Efforts to create an EU-wide Energy Union will see the European Commission scrutinise national support schemes for renewables, while encouraging new legislation on capacity markets to reward operators for dispatching fossil plants at short notice. According to a paper leaked prior to next week's official launch of the Energy Union project, the model is intended to prevent blackouts by enabling the surplus capacity to be brought online to allow faster dispatch across borders. 

Combustion processes in gas turbines will be examined and validated at Siemens' new Clean Energy Center in Ludwigsfelde, just outside Berlin. The German engineering giant has invested €100 million ($113.8m) in its test center for gas turbine burners with the aim to enhance fuel flexibility.

A plunge in the contribution of CCGTs and cogeneration to the Iberdrola's overall 2014 electricity output, has prompted CEO Ignacio Sanchez Galan to suggest that Spain's future use of gas-fired capacity now depends on future prices of coal and carbon emission allowances.

Reserve margins in Texas are currently "balanced on a razor's edge" but are set to tighten, according Calpine, one of the Lone Star State’s largest power providers. Calpine CCO Steve Pruett warned margins will drop below 12% this year, decline to 11% in 2015 and fall still further in the following year to just 10%.

Hit by a 35% fall in full-year operating profits, Centrica, the owner of British Gas, announced it will close two of its gas-fired power stations in the UK, namely the 665 MW Killingholme plant and the 240 MW Brigg plant.

News in Brief

FlatFish drone inspects Shell fields off Brazil

May 25 – Shell and Petrobras have contracted Saipem to use its FlatFish subsea drone in pilot projects to inspect two ultra-deepwater oil and gas fields offshore Brazil in over 2,000-meter depth. Initial tests will be carried out at Saipem’s base in Trieste, Italy, with a view to deploying the drone to Brazilian waters in the third quarter of 2022.

Gazprom cuts off supplies to Finland

May 24 – Gazprom has completely suspended gas supplies to Gasum after the Finish company refused to pay in roubles, the two companies said in separate statements. Gasum is confident it will be able to supply all its customers with gas imported through the Balticconnector (2.6 Bcm/y) from Estonia.

Heisco wins tender in Kuwait

May 23 – Heavy Engineering Industries and Shipbuilding Company (Heisco) has won a KD1.8 million ($6.4 million) tender – floated by the energy ministry of Kuwait – to install, examine and test four high voltage transformers at the Doha East Power Generation and Water Distillation Station. Heisco, founded in 1974 and listed on the Kuwait Stock Exchange, has developed into one of the largest energy engineering groups in the emirate.

JERA issues bond to finance power plant upgrades

May 20 – Japan’s leading LNG importer and power producer JERA has issued its first energy transition bond to help finance the accelerated deployment of decarbonisation technologies like hydrogen and ammonia co-firing, as well as the decommissioning of older thermal power stations. The bond is offered in two tranches: a 12 billion yen ($83 million) for a 5-year bond with a 0.420% per annum coupon, and a 8 billion yen $62 million) for a 10-year bond with a 0.664% rate coupon.

Rolls-Royce conducts laser field tests in the US

May 18 – Rolls-Royce has successfully conducted laser field tests to demonstrate ‘deep magazine’ power capability for directed applications in connection with Lockheed Martin’s layered laser defense project. Deep magazine power can be provided by a battery-only system, but the Rolls-Royce ColdFire system includes both battery-powered and near-continuous firing modes provided by M250 gas turbine engines.

Gas vs oil ratio increases in the Bakken

May 17 – The ratio of natural gas to crude oil production has risen in North Dakota’s Bakken region since 2008, and continues to accelerate. According to the US Energy Information Administration's (EIA) Drilling Productivity Report, annual gas gross withdrawals in the Bakken increased by 9% to an annual high of 2.97 Bcf/d in 2021, even though the region’s crude oil production fell by 6%.

Middle East shifts to gas power

May 16 – The Middle East, a region vulnerable to climate change, is undergoing a major shift from petroleum-based power plants towards gas-fired generation and renewable power sources. Capacity additions of over 185.46 GW are the pipeline, according to ResearchandMarkets, as the regions electricity demand for industry and residential cooling is set to grow. In fact, cooling already accounts for 70% of residential power demand.

Carbon utilisation in strong demand

May 13 – The market for carbon utilisation is forecast to grow rapidly from the 2030s onwards to surpass $285 billion by 2042, driven by rising climate commitments and a favourable regulatory framework. In its latest report IDTechEx also highlights the role of technology advances such as thermodynamics which help sequester CO2 permanently.

MTU gensets approved for biofuels

May 12 – Rolls-Royce has gained approval to use synthetic fuels in its MTU Series 4000 and Series 1600 diesel engines for power generation application. Field testing confirmed both engines can use a range of sustainable fuels including biomass-to-liquid, hydrotreated vegetable oil and power-to-liquid fuels such as e-diesel.

E.ON tells Germans how to save gas

May 11 – A large-scale switch to heat pumps, solar power and better demand-side management could help save Germany nearly 100 TWh of natural gas per year, E.ON has said, calling on households to contribute to Europe’s efforts to reduce reliance on Russian gas imports. “If 10% of the homes in Germany are equipped with solar PV installations, 20% of gas boilers are replaced by heat pumps, and the average temperature in all households is reduced by one degree Celsius on average, this would lead to natural gas savings of 103 TWh per year," E.ON Energy CEO Filip Thon said, noting this volume would equate to about 30% of Germany’s current gas imports from Russia.

Exelon Q1 earnings lower following Constellation cave-out

May 10 – Exelon has reported lower first quarter earnings and a higher operating revenue, having completed the separation of Constellation Energy – Excelon’s former power gen business. Focussing now solely on transmission and distribution, Exelon’s net income from continuing operations for the first quarter of 2022 decreased to $0.49 per share from $0.53 a share in pre-year period. In contrast, adjusted operating earnings notched up to $0.64 per share, primarily due to due to higher electric distribution earnings at ComEd from higher rate base and higher allowed electric distribution. Rate increases at Excelon’s group companies PECO, BGE, and PHI were partially offset by higher depreciation expenses at BGE and PHI.

South Africa to add 2.6 GW of new capacity

May 9 – South Africa’s Department of Mineral Resources and Energy, has just announced the REIPPPP BW6 Request for Proposals (RFP).  The bid round will add 2,600 MWs of new capacity to the energy mix. The ministry seeks to procure 11,813 MW of electricity from various power sources including renewable energy, storage, gas and coal.

GE Gas Power authorized as CVE Numbering Authority

May 6 – GE Gas Power’s increased focus on cybersecurity has been recognized by the Common Vulnerability and Exposures Programm as a ‘CVE Numbering Authority (CNA).  As such, GE Gas Power can now assign CVE identification numbers to newly discovered vulnerabilities potentially related to its products and allow GE Gas Power to directly publish new CVE Records and streamline the reporting process.

Heliogen gets nearly $90m in funding

May 5 – Heliogen has moved from design into testing and implementation of its supercritical CO2 power gen system that will be deployed for Woodside in California. The system consists of a 5 MWe sCO2 power block integrated with high temperature solid media thermal energy storage. The demonstration project is being funded with up to $50 million from Woodside, along with $39 million from the U.S. Department of Energy (DoE).

Capstone to install microturbine in the Caribbean

May 4 – E-Finity Distributed Generation, Capstone's distributor for the Mid-Atlantic, Southeastern United States and the Caribbean, has secured an order for two C1000S microturbines for a government water authority in the Caribbean. The 2 MW system will provide emergency standby power to several pumping stations throughout the remote island community and is scheduled to be commissioned towards the end of 2022.

Forecasting solar and energy storage in CAISO

May 3 – Marubeni has chosen Veritone’s AI-based distributed energy resource management solution (iDERMS) to provide price, demand and generation forecasts at their pilot project in the California Independent System Operator (CAISO) SP-15 region. In addition to day-ahead and real-time generation figures, Veritone will also forecast production and demand for the overall CAISO region.

Forecasting solar and energy storage in CAISO

May 2 – Marubeni has chosen Veritone’s AI-based distributed energy resource management solution (iDERMS) to provide price, demand and generation forecasts at their pilot project in the California Independent System Operator (CAISO) SP-15 region. In addition to day-ahead and real-time generation figures, Veritone will also forecast production and demand for the overall CAISO region.