Daily News

Peak spending on new installations and renovations of gas-fired power plants may be reached as soon as 2016, analysts forecast. "We expect the natural gas power generation market to peak in 2016 and then subside afterwards, before stabilising by the beginning of the next decade, as demand in the US and Japan declines." Riccardo Patrian, energy analyst at VisionGain Global told Gas to Power Journal.

Burgeoning economic growth in South Korea, spurs growth rates of 3.6% in electricity demand and a rising heat offtake. "Conditions for district heating and new CHP projects are excellent, due to a high population density in Korean metropolises and a climate with hot summers and cold winters," Lothar Balling, head of gas turbine power plant solutions at Siemens Energy told Gas to Power Journal.

Seeking to boost cement output to support Russian construction projects in connection with the Sochi 2014 Winter Olymics, the Verhnebakanskiy Cement Plant in Novorossiysk has turned to GE to expand its 44.3-MW onsite gas power plant by installing a 12th Jenbacher J624 gas engine.

The Beijing municipal government is fast-tracking its Clean Air Action Plan by announcing the closure of all coal-fired power plants by 2017, three years prior to the original schedule. Four major coal-fired plants are due to be replaced with less carbon-intensive gas power facilities already by 2015, in an effort to tackle the city's crippling air pollution crisis, though analysts warn a gas shortage could delay the coal-to-gas switch.

The implementation of an additional 3.9GW of flexible gas-fired capacity for peakload power supply on top of Thailand's installed 18.3GW of baseload gas power capacity power could lead to savings of $263 million per year, a Wärtsilä study shows. Thailand aims to diversify its energy mix, and the study analyses different scenarios for adding gas-fired capacity considering cost and efficiencies as possible pathways to meet the country's growing electricity demand.

A 500 kilowatt-hour peak load shifting unit is to be installed at the Discovery Science Center in Southern California by GE as part of efforts to reduce peak demand on the grid. The GE storage and Princeton Power Systems (PPS) inverter control system is expected to shift 10-20% of daily electrical load to off-peak time periods, freeing up peakload power supply for other users.

The South Korean energy ministry has proposed to reduce the share of nuclear to 22-29% of the country's energy mix, down from 41% as set out in a government plan for 2030. The proposal, if realised, is poised to increase Korea's dependence on natural gas as a fuel for power generation.

Debate raged over the future direction of UK energy policy as the revised Energy Bill reached the report stage at the House of Lords on Monday. The bill proposed tough targets for decarbonisation, limiting the economic viability of fossil fuel generation, and was narrowly rejected by the house. Some members of the Lords criticized the proposed capacity mechanisms saying they risk increasing energy costs and have not yet brought forward investment in new gas power plants.

A new 1,000-kilowatt gas engine cogeneration (CHP) system will launch on November 1, jointly developed by Mitsubishi Heavy Industries (MHI) and Tokyo Gas Co. The engine employed is an improved version of MHI's previous 930kW gas CHP system and has been re-engineered to optimise output and efficiency.

Asian countries have taken the lead in producing methane hydrate – a new unconventional gas source, with first offshore production led by Japan Oil, Gas and Metals National Corporation (JOGMEC). Todd Alhart, media relations director, global research for gas turbine manufacturer GE, says that once production fine-tuned, there would be no technical barriers to use of the gaseous methane in gas-fired power plant generation.

The Public Service Commission of South Carolina (PSCSC) has received an application from Duke Energy Carolinas to build and operate a 750MW gas-fired power plant on a brownfield site near the existing Lee Station Steam Station near Anderson, South Carolina.

A lack of gas supply for the 1,466 MW Kondapalli power project in Andhra Pradesh, India has caused operator Lanco Kondapalli Power (LKPL) to seek government assistance to cover financial liability. According to the company, commercial operation at its 742MW Kondapalli Stage III plant has been delayed by two years until January 2015 and the rest of the site has been brought to a standstill, due to an absence of promised gas supplies from Reliance Industries' KG-D6 block.

News in Brief

Mott McDonald starts construction on ALCP6

Oct 20 – US construction firm Mott McDonald has started building the ALCP6 waste to energy project in Krabi province, southern Thailand. The plant will incinerate 144,000 tonnes per year of municipal solid waste, and the heat obtained will be converted into 6 MW of electricity to be exported to the Thai national grid.

Brace for EU sustainable finance rules

Oct 19 – Sustainable finance practices, drawn up by the European Commission, could create a "bureaucratic monster" that smaller companies and energy investors would find overbearing, the Munich-based Institute for Economic Research (ifo) warned. The regulation should hence prioritise closer scrutiny of large and listed companies.

UK could become net power exporter

Oct 16 – Increased interconnection could provide a route for excess offshore wind power in Britain to be consumed elsewhere in Europe. National Grid Interconnector Register shows up to 16 GW of interconnection could be operational by 2025 and up to 25.4 GW by 2030.

Wärtsilä to deploy GridSolv in US city

Oct 15 – AEP OnSite Partners has contracted Wärtsilä to deploy its GridSolv Quantum energy storage in the city of Martinsville, Virginia. The system includes an UL9540A limiting 2-hour battery firewall and will help lower the city’s energy costs.

Rolls-Royce spends $13.9m in Mankato

Oct 14 – Britain’s engine maker Rolls-Royce has decided to invest nearly $14 million in its Power System business to build a new R&D centre at its MTU manufacturing plant in Mankato, Minnesota, US. The expansion will see 28,000 square foot added to the facility’s existing hall, making room for the production of high-power MTU gas gensets, enhanced product testing and the creation of 20 new manufacturing positions.

Clarke commissions Vitalait power unit in Tunisia

Oct 13 – Clarke Energy and INNIO Jenbacher have completed the commissioning of an onsite power plant of a milk producer in Tunisia. The installation of another Jenbacher gas engine has increased the plant’s output to 4 MW of electricity as well as 1,100 kW of hot water and 800 kW of steam.

Secondary battery market to top $55bn

Oct 12 – Technavio expects the secondary battery market to grow by $55.62 billion through 2024, rising at an 11% rate over the forecast period. Falling costs for lithium-ion batteries as well as growing demand in Asia Pacific allowed the market to grow 2.01% this year, despite adverse effects of the pandemic. Top battery suppliers are Tesla, Clarious, Exide, LG Chem, GS Yuasa and Samsung.

Shift to sustainable tech

Oct 9 – Three quarters of utilities, surveyed by EIT InnoEnergy, are considering adopting sustainable technology over the next 12-18 months. However, over one third of the respondents found it hard to recruit the skills they need.

Generator rentals slow

Oct 8 – The rental market for power generators has slowed down due to the pandemic, with genset rentals from the oil and gas industry forecast to grow by just $153.87 million this year. However, Technavio expects the market will return to a 3% annual growth rate by 2024.

GE upgrades Italian CHP

Oct 7 – GE has completed an axial fuel staging upgrade on its 9E gas turbine at an onsite combined heat and power (CHP) plant at the Milazzo refinery in Sicily. The entire electricity needs of the refinery, over 780 GWh in 2019, will soon be supplied by the upgraded and more flexible gas turbine.

Operating assets ‘from anywhere’

Oct 6 – GE Digital’s latest software gives electric utilities remote and mobile control over their power stations for remote start-up, external monitoring and operational fine-tuning. The goal is to safe cost through autonomous operation from any location.

Chart wins order from New Fortress Energy

Oct 5 – Chart Industries has secured a second leasing order, worth $7.7 million, for ISO containers for LNG applications from New Fortress Energy for a project in the Caribbean. The US equipment maker sees double digit near-term growth in its repair, service and leasing business, notably from growing demand for LNG equipment for infrastructure.

Siemens energises Togo

Oct 2 – Siemens Energy has delivered a SGT-800 gas turbine and other components for the Kékéli Efficient Power plant project. Located in the Togolese capital Lomé, the 65 MW plant will cover almost 40% of country’s expected electricity demand.

Batteries get cheaper

Oct 1 – Cost for battery production is falling rapidly as manufacturers bring large Gigafactories on-line. By 2030, Bloomberg New Energy Finance anticipates battery pack prices to drop to $73 per kilowatt-hour, down from a current volume-weighted average of below $270/kWh.

Barclays may help fund Rolls-Royce

Sept 30 – UK’s prime engine maker Rolls-Royce is understood to be close to getting fresh financing from Barclays Bank. The Derby-based company, however, insists no final decision has been taken on the precise amount that may be raised or any allotment of shares to any investor.

Petronas to truck LNG to off-grid users

Sept 29 – Petronas Dagangan Group is gearing up to build a LNG truck delivery service for off-grid customers in Peninsular Malaysia. Trucks fitted with cryogenic tanks will bring the super-chilled fuel to remote industries and small-scale power generators with no access to the natural gas grid. Malaysia’s Peninsular Gas Utilisation (PGU) pipeline is only 2,500 kilometers in length and was initially built to export gas to Singapore.

Siemens to reduce emissions at NLNG

Sept 28 – Nigeria LNG has contracted Siemens Energy to provide a cryogenic boil-off gas (BOG) compression train for its liquefaction plant on Bonny Island. The new BOG train will be driven by an high-efficiency electric motor and includes two compressors. Manufactured in Duisburg, Germany, the equipment will be delivered in the fourth quarter of 2021.

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