Daily News
ETN Christer_Bjorkqvist

Christer Björkqvist

The challenges resulting from Spain's high volumes of intermittent power supply from renewable energy sources will not be solved by the Government's cut in renewable subsidies, Christer Bjorkqvist, Managing Director, ETN-European Turbine Network forecast.

"The cut will of course reduce the growth of renewables, but the problem is still there as Spain already has such a high amount of intermittent renewable energy production in the energy mix," he told Gas-to-Power Journal today.

Schmack Biogas will increase production capacity of a biogas plant in Salovci, Slovenia, from 500 kW to 1 MWel [megawatt electric], Oliver Vigano, a Schmack Biogas sales representative, told Gas-to-Power Journal.

Orascom Construction Industries (OCI), one of Egypt's largest corporations, has received Government approval for an EPC contract worth US$ 363 million to build 1,000 MW gas-fired power plant in Baiji, Iraq. The project is expected to be completed in 21 months, OCI said.

Dominion Virginia Power is proposing to spend more than $1 billion to build a combined-cycle, natural gas-fired power plant in Brunswick County, U.S.

Gavin Thompson

Gavin Thompson

The use of LNG in the power sector has developed despite the comparatively low average domestic gas price in China and the dominance of domestic coal in the power sector, Gavin Thompson, Head of Wood Mackenzie's China Gas & Power Research team in Beijing told 'Gas-to-Power Journal' today.

"We have something like an additional 30 GW of CCGT coming online in China by 2016 - this is named capacity, so pretty certain it is happening," Thompson said.

Direct Energie, a French electricity supplier, and Siemens Energy have won a tender to build a combined cycle gas-turbine (CCGT) power plant in Brittany. Direct Energie, the owner and operator of the plant, said today it commissioned Siemens to supply the gas turbine.

Verbund, Austria's largest power company, is in the process of commissioning its 832 MW gas-fired power plant in Mellach. Full commercial operations at the plant will start in the coming weeks.

ladwig michael

Michael Ladwig

Alstom has optimized the operation concept of the KA26 combined cycle power plant for fast start-up as the French gas turbine manufacturer is focusing on the operational flexibility of its gas turbines.

“Operational flexibility is not just having a high ramp rate, rather it’s a combination of start-up and shut down times, ramp rates and efficiency at part load operations,” Michael Ladwig, Director of Marketing and Product Management for Alstom's Global Gas Business told ‘Gas-to-Power Journal’ in an interview.

AES Corporation, a Fortune 200 global power company, is divesting power plant assets with a combined capacity of 2,700 MW in Spain and New Jersey, U.S. Aggregate proceeds from the agreed sale of its 100% interest in the Red Oak and Ironwood plants and its 80% interest in the Cartagena CCGT are estimated to total $463 million, it said.

With more Russian industries turning to on-site power technologies to reduce their operational costs and increase their energy security, GE Energy sees an increasing demand for its Jenbacher cogeneration units.

Investment in new combined heat and power (CHP) projects in Spain has become uneconomic following the decision of the Spanish government to abandon the cogeneration tariff, Peter Ward, sales manager at Centrax Gas Turbines told Gas-to-Power Journal.

China's largest landfill gas (LFG) power generation project, the Laogang LFG facility, will be powered by ecomagination-qualified Jenbacher gas engines. Seven of GE's Jenbacher J420 gas engines with a capacity of 10 MW each, will supply electricity to the new Laogang LFG facility located in Shanghai, GE Energy said.

News in Brief

New York body rejects William’s plans for gas pipeline expansion

May 21 – New York’s and New Jersey’s state bodies for environmental conservation have rejected Williams’ plans for the Northeast Supply Enhancement project, designed to transport 400 million cubic feet per day of gas from Pennsylvania to New York. The state bodies had already denied wetland permits in 2019, but Williams pipeline subsidiary Transco filed another application with the U.S. Federal Energy Regulatory Commission (FERC), arguing firm services under the project were agreed with UK’s National Grid for customers in New York City districts of Brooklyn, Queens, Staten Island and Long Island.

UK inflation at 4-year low amid falling energy costs

May 20 – The rate of inflation in the UK has fallen to a four-year low as the pandemic pushed down global oil and fuel prices which translate into lower wholesale power prices. The consumer price index fell to an annual rate of 0.8% in April, down from 1.5% in March, according to the Office for National Statistics.

Deficit grows in German green energy fund

May 19 – German regional grid operator TransnetBW has warned of a growing shortfall in the country’s fund for green energy sources, financed under the so-called renewable energy (EEG) levy. TransnetBW, the TSO in southwest Germany, said “due to the EEG cost allocations defined for 2020, we anticipate there will be a negative year end bank account balance in the high three-digit million euro range for 2020.”

Spanish gas companies ‘resilient’

May 18 – Spain’s regulated gas companies “should prove to be resilient” to external shocks arising from coronavirus containment measures, Standard & Poor’s analysis finds, calculating with an average drop in EBITBA at less than 3% in 2020. A new remuneration framework for 2021-2026, recently enacted by the Spanish government, provides enhanced visibility rated grid operators amid the pandemic.

German electricity prices second highest in EU

May 15 – Taxes and the renewable energy surcharge have pushed up Germany’s household electricity prices to the second highest level in Europe, topped only by prices in Denmark. While Danish households paid 29.2 Euros per 100 kWh on average in the second half of 2019, prices in Germany averaged 28.7 Euros, according to the EU statistics office Eurostat.

Calpine’s Q1 earnings fall

May 14 – Calpine, America’s largest generator of electricity from gas and geothermal, has reported a net income of $128 million for the first quarter of 2020, down from $175 million in the prior year period. Lower commodity margins and unfavourable change in income taxes were partially offset by earnings from hedge positions for the three month ending March 31.

Siemens to supply hybrid plant in the Philippines

May 13 – Berkley Energy has contracted Siemens Energy to build a hybrid power project on the island of Mindoro in the Philippines. The project links 16 MW wind power with battery storage, stabilizing energy supply in a remote location with a weak link to the grid and reducing its dependence on diesel.

U.S. energy emissions fall

May 12 – Energy-related carbon emissions in the United States have fallen more than energy consumption, down 2.8% over the course of last year to 5,130 million metric tons (MMmt). Power sector emissions were down 145 MMmt, due to a switch from coal to gas and renewables. In April 2020, emissions experienced another unprecedented fall in due to Covid-19 lockdowns.

MAN expands Omincare concept

March 11 – MAN Energy Solutions’ service brand has extended its ‘PrimeServ Omnicare’ concept from turbomachinery to the marine and power segments. The one-stop service solution is now also applicable for maintenance of third-party machinery, including engines, turbochargers and related auxiliaries.

MIVOLT launches cooling fluid

May 7 – MIVOLT, part of the British company M&I Materials, has launched two specialist fluids to improve cooling efficiency at data centres. The electricity demand of data centres is forecast to rise to 20% of global supply to accommodate lifestyle changes like 5G internet network, autonomous vehicles and bitcoin mining.

Germany adds 1,300 km to power grid

May 6 – Germany has made progress in expanding its strained power grid. According to the Federal Network Agency (BNetzA), over 1,300 kilometres of new power transmission lines have been built and another 830km approved. A further 3,600km are planned to be built by 2030 to alleviate grid bottlenecks and allow transporting rising volumes of offshore wind southbound.

 

 

 

Oman nationalizes first IPP

May 5 – Manah Power, the first privately-run Independent Power Project (IPP) in Oman, has been transferred to state ownership, following the expiry of a Power Purchase Agreement (PPA) between United Power Company and state-owned OPWP. Manah IPP was developed under Build-Own-Operate-Transfer (BOOT) model, which stipulates an eventual nationalization of the assets – a feature absent in subsequent IPPs.

U.S inventories at record highs

May 4 – Inventories for crude oil and natural gas have reached a new record high in the United States, as fuel demand declines both for transport and the electric power sector. From March 13 – when a national emergency was declared due to the Covid-19 pandemic – to April 24, U.S. commercial crude oil inventories increased by 74 million barrels, or 16%, according to government figures. The acute scarcity of crude storage on April 20 led to a sell-off of future contracts at negative prices.

Wärtsilä to service Argentinean power plant

May 1 – Wärtsilä has signed a 10-year maintenance and service agreement with one of Argentina’s upstream companies. Under the deal, Wärtsilä provides a guaranteed performance for a 57.6 MW onsite power plant in the southern part of Argentina, with excess power sold to the national grid.

Zink-Air batteries for NY

April 30 – Zinc8 Energy Solutions has entered a cooperation with the New York Power Authority (NYPA) to install a zinc-air battery energy storage, backed by $2.55 million in state funding over a three year period. The Zinc8 ESS units can deliver power in the range 20-50 MW, with capacity of 8 hours of storage duration. The project will help New York State achieve its goal of installing 3 GW of energy storage by 2030.

UK again ‘coal-free’

April 29 – The UK continues to break its coal-free record as thermal coal-fired power plants currently remain off the system, according to National Grid data. Faltering demand due to the pandemic and high renewable energy supply radically altered the energy mix in many developed countries, with power in-feed from solar PV reaching 10 GW in Britain at the start of this week. “Coal is due off the system by 2025 and renewables have shown they are cost competitive with a viable route to market,” Delta-EE director Andy Bradley commented.

China’s fuel demand to rebound in Q2

April 28 – China’s demand for refined fuel is forecast to rebound in the second quarter, nearly reaching year-ago levels, as lockdowns to contain the coronavirus get lifted. Analysts at SIA Energy in Beijing expect second quarter demand for the three main transportation fuels to increase by 1.1 million barrels per day compared with the first quarter of 2020.