Daily News

Despite funding approval from EDF late Thursday, the £18bn Hinkley Point project in Somerset has been dealt an unexpected blow after the UK government pushed back a final decision in the early autumn. Construction will be delayed once again – leaving it to flexible gas power plants to cover demand in the interim.

By 2030, Levelized Cost of Storage (LCOS) below €100/MWh will be achievable through various innovative technologies. At present, conventional battery power storage has LCOS of around €200-400/MWh.

Germany’s third-largest utility EnBW has commissioned MAN Diesel & Turbo to plan and build, upon investment approval, a gas engine-driven combined heat and power plant (CHP) in Stuttgart. Commissioning is scheduled for 2018.

Rising interconnectivity of power plants’ operating system with web-based monitoring and dispatch is posing greater risks in terms of cyber-security. “Internet Connection Sharing (ICS) machines are now open to the same attack vectors that the corporate environment has been dealing with for years,” security experts warn.

Genoa-based Ansaldo Energia has received Notices to Proceed on two contracts worth a total of 80 million euros. One of the contracts, signed with Lotte E&C, is for the supply of two AE94.2 gas turbines and two air-cooled generators for the 500 MW Grati-Pasuran CCGT, being built on behalf of PT PLN in eastern Java.

Overlooking the Strait of Hormuz, Oman’s enclave of Musandam will soon get electricity from its first gas-fired power plant. Located in Tibat, the 122-MW facility is developed as an Independent Power Project (IPP) and due to start operation in February 2017, complementing the region’s prevalent diesel-based generators.

Recovering exhaust heat at its GT333S gensets allows FlexEnergy to make use of an additional 545 kilowatts of thermal energy. To that end, the New Hampshire-based company just launched an integrated heat recovery module that furthers boost microturbine efficiency.

Load shapes, reflecting daily variations in electricity demand, are now more meticulously forecast by US power grid operators. Balancing requirements, based on hourly load forecasts, are used to develop resource schedules and anticipate dispatch of power plant assets – key to meet energy needs at time of peak demand.

South Africa’s largest Independent Power Plant (IPP), the 670 MW Avon open-cycle gas turbine plant is now in full commercial operation. Together with its sister power plant, the 335 MW Dedisa IPP, the 4-unit Avon power project was initiated by South Africa’s Department of Energy and has been realised on a on a Build, Own and Operate (BOO) basis.

Karpowership, part of the Turkish energy group Karadeniz Holding, has placed an order for twelve 18V 51/60 engines (18.9 MW each) with MAN Diesel & Turbo. The deal was communicated just days after Karpower Ghana agreed with state-owned utility ECG to have a 450 MW power barge, currently built in Turkey, shipped over to Ghana by November.

For the first time in the Middle East and Africa, GE has implemented an Advanced Gas Path (AGP) upgrade at one of the region’s power plants. It just completed an upgrade of two 9FA gas turbines at the Nubaria power plant in Beheira, Egypt, lowering fuel consumption by 3%.

India’s indebted private utility Essar Power is stepping up efforts to get its plants back into operation and profitable. “We have no plans now to monetize any assets for now," a spokesman said, trying to tone down comments of the company’s CFO that the sell-off of two gas power assets in Gujarat in the making.

Meaford Energy’s 229 MWe combined-cycle gas power project in Staffordshire has been given the green light by Britain’s new business and energy secretary, Greg Clark. With Development Consent Order (DCO) being granted, initial ground preparation works for the £300 million CCGT project are set to start this week.

Yamal LNG, a flagship liquefaction project in the Russian Arctic, will have uninterrupted power supply through 50 of AEG Power’s Protect 8 three-phase units, based on double-conversion/topology. First LNG production at the Novatek-led project is targeted in 2017.

Power shortages in South Australia’s heavily wind-reliant electricity market have highlighted the urgency of developing backup capacity, the grid operator warned. Prices had surged tenfold to hit $14,000/MWh amid severe supply shortages, prompting policy makers to plea for the restart of a mothballed gas power station.

News in Brief

Pakistan to privatise LNG-to-power plants

Jul 29 – Pakistan has decided to privatise LNG-based power plants of 3,600 MW that are being built in Punjab to cope with the persistent electricity shortfall in the country. Three CCGTs with a cumulative capacity of 3,600MW are being developed in the public sector at Bhikki, Balloki and Haveli Bahadur Shah in Punjab, which will consume imported LNG as fuel.

Wärtsilä supplies a 23 MW plant to Indonesia

Jul 29 – Wärtsilä will supply a 23 MW gas engine-driven power plant to PT. Berkah Kawasan Manyar Sejahtera (BKMS), the developer of an industrial and port estate in Java, Indonesia. The turn-key order includes three Wärtsilä 34DF engines running primarily on natural gas, with heavy fuel oil as backup. The plant is slated to start operation in summer 2017.

Nigeria’s new-build targets in doubt

Jul 28 – Lack of electricity transmission infrastructure is one of the stumbling blocks for Nigeria to reach its goal of tripling generating capacity from 3 GW last year to 105 GW by 2025. Yet, Ecobank analysts doubt that these targets can be achieved as multiple end-users refuse to pay their energy bills in anger over frequent blackouts. Fuel shortages and lack of project financing are further issues that have proved hard to overcome.

ABB to extend, upgrade Polish grid

Jul 28 – Poland’s national transmission system operator PSE has awarded orders worth $40 million to ABB to upgrade and expand the grid with energy-efficient transformers. As part of the order, ABB install five 450-megavolt ampere (MVA) units, two 500 MVA units and 10 units rated 275 MVA. All equipment will be manufactured in Lodz, Poland.

Smart meter market to top $14bn by 2021

Jul 27 –The smart electric meter market is set to grow 10% annually, expanding from $8.84 billion this year to $14.26 billion by 2021, according to MarketsandMarkets estimates. Three-phase smart electric meters have undergone rapid commercialisation over the past years, raising their acceptance levels over the cheaper single-phase meters.

TerniEnergyi and RGP jointly step up energy efficiency

Jul 27 – Roma and Gas & Power has formed an alliance with TerniEnergia, saying they seek to “answer to the growing demand for energy efficiency” in Italy’s private and public sector. The initiative will tackle decentralised power, cogeneration as well as energy efficiency in buildings and smart grids.

Uniper eyes asset sales, cost cuts

Jul 26 – Keen to curb costs, E.ON’s conventional power generation spin-off Uniper plans to divest parts of its business and cut jobs, CEO Klaus Schäfer told German media. “What’s clear: We’ll see job cuts of a considerable magnitude. Otherwise, we are not competitive in the difficult market environment,” he was quoted as saying.

CNPC, Gazprom approve MoU on gas power gen

Jul 26 – With construction of the ‘Power of Siberia’ gas pipeline running “strictly on schedule,” Gazprom and CNPC have approved the roadmaps for implementing the Memorandum of Understanding (MoU) on underground gas storage and gas-fired power generation in China. A total of 38 Bcm/year of Russian gas will be delivered to China via the so-called eastern route under a 30-year agreement signed in late June.

Clock ticks for Victorville-2 sale

Jul 25 – Time is running out for the Californian city of Victorville to find a buyer for its hybrid gas & solar power project. A permit to build and operate the plant, held by the city since 2008, is about to expire – yet no investor can be found. There has been interest in the 300 acres site at Southern California Logistics Airport as strictly solar power, city spokeswoman Sue Jones said. "However, that would likely eliminate the full power plant option and is not something we are willing to give up on due to the ... investment," which is understood to amount to close to $76 million.

Siamgas snaps up stake in Myanmar CCGT

Jul 25 – Thai LPG trader Siam Gas Power Pte (SPW), a subsidiary of Siamgas and Petrochemicals, has bought a 30% stake in a 230-MW combined-cycle gas power plant in Myanmar. SWP paid $48 million to the plant's three current shareholders, notably MSN International, Asiatech Energy and Myanmar Lighting, an independent power producer.

British-Chinese JV for Loznica cogen project

Jul 22 – UK property developer Scarborough Group has joined forces with China National Electric Engineering (CNEEC) to construct a 240 MM combined-cycle gas cogeneration plant in Loznica, western Serbia. The project, subject to local approval, foresees the conversion of a coal-fired plant into a gas-fired CHP – at an estimated cost of €230 million. Construction of Phase I, set to provide 120 MW, is targeted to start in late 2016, and become operational by the end of 2018, Scarborough stated. Phase II construction for the remaining 120 MW is meant to be carried out one year later.

Kineticor power project to curb flaring

Jul 22 – Alberta-based Kineticor Resource Corp. has sealed long-term agreements with multiple oil and gas producers to build, own and operate the 100 MW Peace River Power Project. Once operational in Q2-2017, the power plant will be fuelled by associated gas – a by-product to oil upstream activates in Alberta that would otherwise get flared. The gas power project has an expected capital cost of over $100 million and will create up to 120 construction jobs.

Aramco awards contracts for $13.3bn Fadhili project

Jul 21 – State-run oil giant Saudi Aramco has handed out four engineering contracts, notably to France’s ENGIE and Saudi Electric Company (SEC), in a drive to complete construction works for the $13.3 billion Fadhili gas processing project by the end of 2019. The plan for Fadhili includes a 1,500 MW gas power plant.

Advanced testing of gear units

Jul 21 – Renk, part of the MAN Group, has opened a test facility for gear units in Augsburg, southern Germany. The manufacturer of special gear units and transmitters said it already received queries from external customers for third-party use of the test beds for prototypes.

Ghana awaits 450 MW barge by November

Jul 20 – Karpower Ghana is advancing talks with state-owned Eletricity Company of Ghana (ECG) as it seeks to boost Karpower’s generation capacity to 675 MW. To that end, a 450 MW power barge is currently constructed in Turkey and due to be shipped to Ghana in early November.

Wärtsilä teams up with Greensmith Energy

Jul 20 – Finnish Wärtsilä has entered a cooperation with US-based has entered Greensmith Energy as it seeks to make use of the GEMS platform to optimise the integration of hybrid energy systems. As a combined solution, Wärtsilä's gas gensets and solar PV, together with Greensmith's integration capabilities, is meant to provide sustainable and reliable power – particularly in regions with limited grid infrastructure.

Six CCGT projects underway in Ohio

Jul 19 – A boom in gas power plant projects is unfolding in Ohio – six plants with a combined capacity of 5,100 MW are in the making across the US Midwestern state. Four CCGTs are under construction, one is in the permitting phase with state regulators, and the sixth gas power project near Circleville is said to “soon to seek permits.”