Daily News

Centrax Gas Turbine technicians from the UK are preparing to install and commission 17 generating set packages to power an expansion of production at three major oil fields in Russia.

Persistently negative profit margins for generating electricity will lead to the closure of 14 GW of thermal power plants in Germany by 2015, pushing up power prices, Deutsche Bank analyst Mark Lewis forecasts.

South Korean utilities are stepping up gas imports in an effort to avert the risk of power cuts following the shut-down of nuclear reactors. South Korean Prime Minister Kim Hwang-Sik reiterated a warning, highlighting the risk of possible power shortages and rolling blackouts triggered by forecast of a harsh winter.

The British government has published details of its long-awaited Energy Bill, postponing setting a carbon target until 2016. Power producer were given the green light to charge household customers an extra £7.6 billion, to go towards low-carbon electricity infrastructure by 2020.

Utilities in Germany can trigger some power price upside if they embark on a "conspicuous plant retirement programme", French investment bank Societe Generale said in a report, suggesting E.on has been "the first utility to blink".

Caught in an era of stagnation - that is how Juliana Passadore, Frost & Sullivan's Business Unit Leader for Energy & Power Systems describes the Brazilian gas-to-power market, as a supply shortage and high gas prices hamper investment in new projects. 

Siemens has started the first of three H-Class gas turbines at Florida Power & Light Company's (FPL) Cape Canaveral Next Generation Clean Energy Center in Port St. John in the US state of Florida.

Pursuing a strategy of integrated gas use, OMV aims to operate its 870 MW Samsun combined-cycle power plant project in Turkey in the long-term on 'equity gas', similar to the new Brazi plant in Romania which runs 100% on gas produced by the company's upstream arm, Hans-Peter Floren, OMV board member responsible for Gas & Power, said in London today.

Swiss utility Alpiq will divest its planned Havelland gas-fired power plant (400 MW) to EDF Deutschland as part of a restructuring programme to reduce company debt, a spokesman confirmed today.

Turkey's largest power producer Elektrik Üretim A.Ş. (EÜAŞ) has awarded a contract to Alstom Power for the repair, overhaul and rewind of the steam turbine generator of the Afşin-Elbistan A thermal power plant unit 3.

A strategic alliance aimed at creating a European energy market based on the complementary use of renewable energy and gas has been founded by GE and Dong Energy alongside with Alpine Energie, First Solar and Shell.

Angered by a delay in the UK energy bill amid rows within the coalition over policies on gas, wind and decarbonisation targets, Tim Yeo, the Tory chairman of the energy select committee, has called the conundrum which hampers investment and risks raising bills "a laughable plot".

Sellers of diesel and gas generators are enjoying a flurry of interest across Africa and Asia as energy hungry countries such as China, India and Nigeria step up investment in small to medium-size gensets to backfill power shortages, GlobalData's report 'Diesel and Gas Generator, 2012' shows.

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.

News in Brief

OGUK responds to Labour Party Manifesto

Nov 21 – The UK North Sea industry association Oil & Gas UK (OGUK) has warned of an investment hiatus in reaction to Labour’s pledge to introduce a windfall tax on oil and gas companies, if it wins the General Election on December 12. Responding to this, OGUK said any increase in tax rates would drive investors away, damage the competitiveness of the UK’s offshore oil and gas industry, and could potentially increase the country’s reliance on imports. OGUK underlined it has put in place a ‘Roadmap 2035 a blueprint for net zero emission’ and is investing in technology to achieve this goal.

France, Germany and UK led on demand-side flexibility

Nov 21 – France, Germany and the UK are leading on demand-side flexibility (DSF) and grid-integration of decentralized energy sources while Sweden, Spain and Portugal are lagging behind the rest of Europe, the consultancy Delta-EE and SmartEN finds. Areas covered by their new DSF monitoring tool include availability and accessibility of demand-side response, and its monetization across the gas value chain.

AI predicts peak in power use

Nov 20 – ABB and Verdigris Technologies have developed machine-learning algorithms to predict unplanned peaks in electricity consumption and help avoid them. The Energy Forecasting app will enable users to reduce their electricity bills by reducing peak demand charges.

India’s first UHVDC link commissioned

Nov 19 – GE Grid Solutions has commissioned Pole-3 - the ultra high-voltage direct current (UHVDC) transmission line in India, capable to transmit 4,500 MW of electricity. Once completed the Champa-Kurukshetra UHVDC project will be expanded to transmit 6,000 MW of electricity at 800 kV, serving customers in the areas of Punjab, Haryana, Delhi, Uttar Pradesh.

COP25 urged to step up climate efforts

Nov 18 – The COP25 UN climate conference in Madrid is urged to enshrine greater commitments from the world's industrialised nations to curb their greenhouse gas emissions. “Europe will have to play a key role in this regard,“ environment minister Svenja Schulze said, adding Germany's recently announced climate package marks a "restart" in the country's climate policy.

Wärtsilä launches ‘Expertise Centre’ in Singapore

Nov 15 – The Finish technology group Wärtsilä has chosen Singapore as the location for its latest Expertise Centre (EC) that provides operational support and dynamic maintenance planning, both for marine and energy business customers. All of Wärtsilä’s Expertise Centres combined currently monitor some 900 installations with more than 2,000 engines around the world.

U.S. storage injection hits record high

Nov 14 – Near-record volumes of natural gas have been placed into storage in the United States in the current injection season. According to the U.S. Energy Information Administration (EIA), the amount of gas held in storage in 2019 surged from a relatively low value of 1,155 billion cubic feet (Bcf) at the beginning of April to 3,724 Bcf at the end of October.

SaskPower proceeds with Moose Jaw project

Nov 13 – Canadian utility SaskPower has taken a significant step towards realizing a 350 MW gas power plant at Moose Jaw. The project was first proposed in 2017, but in the Canadian federal government June last year introduced new regulations for gas generation coming online after January 1, 2021, which stalled the plans. Having completed its regulatory review, Sask Power was now granted permission to proceed from the municipality of Moose Jaw. Major Fraser Tolmie said “this $700-million investment into the city of Moose Jaw, will ensure we have base-load power in the province of Saskatchewan and to maintain our power independence.”

Sembcorp powers up first BESS unit in the UK

Nov 12 – Sembcorp Energy UK, part of Singapore-based Sempcorp Group, has started to operate the first 60 MW unit of its battery energy storage system (BESS) fleet, supplied by GE. Combined, the three storage units in Leicestershire and Cheshire will bring Sembcorp Energy UK’s total energy portfolio to 973 MW.

Global gas glut may clear in 2021

Nov 11 – Economics of exporting American liquefied natural gas to Europe no longer add up. With Henry Hub spot prices around $2.7/MMBtu, moving LNG cargoes from the U.S. Gulf Coast to Europe is “not workable,” BP analysts said, indicating that production shut-ins could help clear the massive supply overhang towards the end of 2021.

Gazprom reassures Germany of Ukraine gas transits

Nov 8 – Alexey Miller, chairman of the Gazprom Management Committee, has been trying to reassure the German government commissioner Georg Graf Waldersee that Russia was ready to signing a new transit contract with Naftogaz if both companies mutually waive claims. Before gas flows can proceed, however, Ukraine will have to create an independent gas transmission operator by January 1, 2020.

GE makes gains in wind power

Nov 7 – GE Power is gradually turning away from its loss-making fossil power segment to focus on the fast-growing renewable business. This week, GE struck a deal for its new Haliade-X turbines to be used at Dogger Bank Wind Farms. The three 1.2 GW Dogger Bank projects, situated offshore the UK’s Yorkshire coast, are expected to trigger approximately £9 billion of capital investment between 2020 and 2026.

PetroVietnam eyes LNG-to-Power project

Nov 6 – PetroVietnam has signed an agreement with B.Grimm Power Public Company (BGRIM) to jointly study the development of an integrated LNG import and power generation project. The aim is to build a 3,000 MW gas-fuelled power plant and an adjacent LNG import terminal. The location of the project has not been disclosed.

ABB launches ‘Smart City’

Nov 5 – Electrification specialists of the Swiss manufacturer ABB have designed an interactive ‘Smart City’ that contains smart buildings, e-mobility, energy management and data centers. The use of smart technologies and digitalization are encouraged by the United Nations as a way to help decarbonize cities around the world.

Gazprom, BASF cooperate on sulfur separation

Nov 4 – The Russian major Gazprom and the German chemical company BASF have agreed to devise a comprehensive solution for separation of sulfur from natural gas. The aim is to  enhance eco-efficiency of the Astrakhan gas processing plant and improve operational efficiency of BASF’s amine gas treatment units at the Orenburg gas-fired power plant.

Germany’s emission fall ‘markedly’

Nov 1 – Germany is headed for second consecutive year of substantial reductions in carbon emissions, amid a sharp drop in coal-burn in the power sector and an overall decline in energy use in 2019. If this trend continues, the country could get much closer to its 2020 climate target than widely anticipated.

Exmar to refinance Tango FLNG

Oct 31 – Exmar, the Belgian shipping company, is trying to refinance the Tango FLNG vessel, moored offshore Argentina on behalf of YPF. The aim is to generate around $60 million in additional capital, Exmar said, suggesting a deal will likely be struck in the first months of 2020.