In the wake of gas shortages, India's largest power generator Essar Power gears up to increase coal import by a fifth to underpin plans to convert some of its gas-fired power plants to run on coal. The move may set a precedent for other utilities, and could herald an increase in India's majority share of coal generation.
Widening cost divergence between coal and gas generation and spark spreads becoming ever more negative amid rising renewable feed-in, has caused a 42 percent plunge in E.ON's first-half 2013 profit and heralds further power plant closures in Europe.
"A sober view of the situation indicates that, at least for 2013 and 2014, no recovery is in sight," said E.ON CEO Johannes Teyssen when presenting the results.
South Korea's state-owned Kogas has forecast its domestic LNG sales in 2013 will jump 3.6 percent year-on-year to reach 36.548 mtpa amid rising demand from gas-fired power generators. A heat wave propelled up electricity consumption and squeezed reserve margins, prompting the energy ministry to ration energy use to avert the risk of blackouts.
Despite the growth in capacity, not all gas-fired plants are continuously used as Brazil's gas industry is going through a transition period and is adjusting to changes in the gas supply balance whereby lower imports of pipeline gas from Bolivia are balanced with rising LNG imports and new domestic gas reserves from upstream projects in Santos, Campos, and Espririto Santos basin.
This insight comes from a thought-provoking book released by the British Chamber of Commerce and Industry in Brazil (Britcham) entitled Doing Energy Business in Brazil.
Use of gas engines is expanding in Europe as industries invest in decentralised, independently-operated gas-fired power generation to mitigate the risk of power supply shortages. Global annual sales of gas engine with a capacity of over 500kW exceeded 6,000 MW last year, of which 64%, or over 3,800 MW, were sold in Europe, according to The Strategy Works' estimates based on a market survey.
The Egyptian government will invite bids from private sector investors for new gas-fired and renewable projects in a move intended to prop up domestic power generation capacity to avert the risk of blackouts. Amad Eman, the newly instated minister of electricity, announced this week the government will fast-track plans to add 6,250 MW of capacity by 2017.
Combined Heat and Power Generation (CHP) – long overlooked as the 'Cinderella' of UK energy generation – is now claiming its place in the energy mix. Britain's installed CHP capacity grew by almost 3% to 6.1GW between 2011 and 2012, meeting 6.4% of the country's total electricity needs, according to Digest of UK Energy Statistics (DUKES).