nigeria likely to suffer power shortages until may
TRANSCRIPT
RWE has only committed to keeping the
426 MW Moerdijk II plant operational until
January 2018.The Essen-based utility said
its decision to restart the plant came due to
the “relatively positive development of spark spreads
during winter season.” Moerdijk II will be dispatched
on a flexible basis, supplementing baseload power at
times of high demand which allows it to benefit from
spikes in electricity prices.
The operator RWE said that the CCGT had been
restarted previously to help cover demand peaks dur-
ing the winter. In January 2014, Moerdijk II was
mothballed, but in October 2015 and during the winter
of 2014/2015, it went back into operation temporarily.
Moerdijk I, meanwhile, is a combined heat and
power plant with 339 MW of electricity generating
capacity plus a maximum of 200 tonnes of steam per
hour, of which 150 tonnes per hour is supplied to the
nearby Shell Chemie plant. Selling steam has helped
Moerdijk Iremain in continuous operation.
Vice President Yemi Osinbajo called the
damage done to the Forcados terminal
“the chief reason for the poor power
supply that has affected the country
recently.” Vandalism at Forcados forced upstream
companies to halt oil production, curtailing the
availability of associated gas.
Repairs have started, however, they are un-
likely to be finalised before May, prolonging seri-
ous domestic gas and power shortages. Concerned
about rolling blackouts, Mr Osinbajo has urged
Shell, the operator of the Forcados plant, to fast-
track repair works.
Alternative measures to ameliorate the gas supply deficit seem hard
to come by. Despite handling around 80% of Nigeria’s proven gas re-
serves, Shell has been accused by the government as not being forth-
coming with measures to help improve supply to the domestic market.
Nigeria’s state revenues from hydrocarbon sales are seriously affected
by the Forcados sabotage, the Vice President said, referring to the loss of
gas supply to power plants and the loss of potential foreign exchange earn-
ing arising from the inability to produce over 250,000 barrels of oil per day.
Weekly News 22 April 2016
AGENDARWE to revive mothballed DutchCCGT on Oct 1Producing electricity from natural gas is profitable again in the Netherlands forthe first time in four years, incentivising RWE to restart parts of its mothballed426 MW Moerdijk II combined-cycle gas power plant in early October. Record lowfuel prices make previously unprofitable units economically viable again.
Ongoing repairs at the sabotagedForcados Export Plant not only restrict Nigeria’s oil exports but alsoaffect about 40% of the country’sdomestic gas supply, causing majorfuel shortages for power generators.
DEMAND High inventories, low prices incentivise US gas burn 2
TECHNOLOGY Air injection boosts F-Class turbine output, operating at 55ºC 3
PLANT DISPATCHOutput of UK gas power plants more thandoubles in Q1 4
MARKETSGhana set to buy FSRU to source LNG for idlepower plants 5
PROJECTS Israel approves West Bank’s first power project 9
Includes News
on Technology
& Innovation
continued on page 2
continued on page 2
Nigeria likely to suffer power shortagesuntil May
Moerdijk plant south of Rotterdam
Qua IboTerminal
BonnyTerminal
Brass River Export Terminal
ForcadosTerminal
EscravosTerminal
Umusadege farm-out areaOil fieldGas fieldExport oil pipelineTerminals
At the end of the storage-withdrawal
season, natural gas inventories
stand almost 900 bcf above the
five-year average, pushing prices
lower. Healthy gas supplies keep gas prices on
very low levels.
Although front month futures prices
for gas delivery at Henry Hub increased
by $0.28/MMBtu from March 1 to settle
at $2.02/MMBtu on April 7, futures are still
57 cents/MMBtu lower than the April 2015
average. “Increased gas burn should help
reduce excess gas storage inventories in the
spring and summer months,” EIA analysts
suggest.
“A similar dynamic occurred in 2012, after
mild temperatures during the preceding winter
pushed natural gas inventories higher and
prices lower, with prices then recovering grad-
ually throughout the spring, summer, and fall,”
they said.
Implied volatility for front month futures
contracts settled at 45% on April 7, the lowest
point since the winter heating season started.
Historical volatility also settled at 45%, near
the lowest point of the year.
With the winter heating season coming to
an end,” EIA analysts suggest that “lower
volatility in natural gas markets likely reflects
the market’s expectation that prices will stay
low in the near future to help reduce high
inventory levels.” �
Just a few month ago, Nigeria managed to
increase power supply to an unprecedented
5,000 MW peak, but output has dwindled sig-
nificantly as an array of power plants are now
laying idle due to fuel shortages.
Tenfold expansion of gas gridneeded Nigeria is estimated to need up to 10,000 kilo-
metres of gas pipelines to transport fuel across
the country to widespread power plants. Cur-
rently, it can count on only 1,000 km of gas
grid. The government already created a $1 bil-
lion sovereign wealth fund back in 2014 to
build new pipelines, though not much work
was carried out on new projects. Private sector
spending up $ 3.5 billion per year would be re-
quired to achieve 40,000 MW of power genera-
tion capacity by the year 2020 – yet it is
doubtful if the government’s far-flung plans
will ever become reality.
Though Nigeria has an abundance of domes-
tic gas, with proven reserves totalling 187 trillion
cubic feet (Tcf) and another 600 Tcf of unproven
gas, the country faces domestic gas shortages.
Investment in Nigeria's domestic gas sector
used to be uneconomical given the govern-
ment's artificial tariff of $0.25 per million
British thermal unit (Btu), while market rates
for the same gas when liquefied by NLNG can
fetch over $3/mmBtu on long-term supply
agreements.
"Export-parity pricing" for natural gas sold
within Nigeria has been debated for the past
two years but conflicting interests make it hard
to implement a new pricing regime. �
� DEMAND GTP Journal 22 April 20162Continued from page 1, top story
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Fuel cost for gas fall more than for coalThe decline in European gas prices has outpaced
that of coal, making gas-fired power generation
– particularly for peakload power – profitable
again since the end of last year. In the Nether-
lands, gas futures for delivery in 2017 plunged
39% over the past year, vs. a 27% price drop in
the comparable coal contract.
In the UK, the carbon floor price gives
cleaner-burning gas power plants a further
competitive advantage over coal power. UK
baseload spark spreads have been positive for
the last two years, while gas generation on the
continent tends to be only viable for peakload.
In Q1-2016, gas-fired plants generated 32%
more electricity in Britain than in the previous
quarter while the contribution of coal genera-
tion fell by 18%.
Positive profit margins have incentivised
SSE to reopen gas power units at Keady and
Peterhead already in November last year, after
they had been mothballed for 2.5 years and
18 months, respectively. �
Continued from page 1
High inventories, low prices incentiviseUS gas burnWith Henry Hub futures $0.75/MMBtu below the April 2015 averageafter a mild winter left gas inventories on record highs, US power producers now have even greater incentive to burn gas compared to previous years, EIA’s Short Term Energy Outlook finds.
U.S. natural gas prices and storage
22 April 2016 GTP Journal TECHNOLOGY � 3Air injection boosts F-Class turbine output, operating at 55ºCIn just 4 month, PowerPhase has installed an advanced upgradeon a 7FA Gas Turbine in the Middle East. The system demon-strated as high as 99.3% availability in ambient conditions up to 55ºC, while boosting output by almost 32 MW, Peter Perri,PowerPhase VP told Gas to Power Journal.
The upgrade, called 'Turbophase', was
completed well ahead of time to meet
2016 summer peak load requirements.
During commissioning, it demonstrated
capability for 5.0% fuel efficiency improve-
ment and over 31.5 MW power increase on the
7FA gas turbine.
Fuel efficiency is being increased base-load
and part-load operating conditions, Perri stressed.
The Turbophase Dry Air Injection system is
modular and additive; allowing gas turbine
manufacturers, like GE, Siemens or Mitsubishi,
to meet a specific megawatt target, either
alone, or as an addition to any combination of
OEM upgrade or inlet conditioning.
“The same Turbophase system installed in
the Middle East would operate on every
gas turbine in the world, providing simi-
lar output and fuel efficiency benefits, includ-
ing all GE 7EA & GE 7FA gas turbines,
Siemens & Mitsubishi 501F gas turbines,
aeroderivative gas turbines and advanced G, H
and J gas turbines,” Perri stressed.
CCGT upgrades help shift awayfrom burning fuel oilDuring summer in Saudi Arabia, demand for fuel
oil in power generation can reach up to 430,000
barrels per day. The Saudi kingdom is the
world’s largest user of crude oil for generating
power, followed by Iraq, Kuwait and the UAE.
Upgrading the region’s gas turbine fleet
would step up clean power output at substan-
tially lower fuel costs, according to Bob Kraft,
President & CEO of Powerphase. Turbophase
upgrades can boost fuel efficiency by over 5%
-- at a substantially cheaper cost than building
a new plant.
“If implemented across the gas turbine fleet
in the region, the Turbophase system would
add more than more than 5 GW of power and
would save more than 18 million barrels of oil
equivalent (boe) per year,” Kraft said, which
would free up billions in potential savings for
the region. �
ORC research supports new turbo-expander designsNew analysis of the operating profile of Organic Rankine Cycle (ORC) systems suggests that the use of radial turbo-expander technology for low power systems could improve efficiency and boost heat recovery.
Research was carried out by a team
from the Department of Mechanical
and Aerospace Engineering at the
University of Rome and include stud-
ied simulations of ORC systems as well as pre-
liminary work to create prototype designs for a
turbo-expander.
Improving waste heat recovery processesThe ORC process is one of the leading ap-
proaches for waste energy recovery and is used
in many low to medium industrial facilities to
harness heat output. It works on similar methods
as the conventional Rankine Cycle which con-
verts heat into mechanical work. This process
underpins the operation of Combined Cycle
plants where hot exhaust gases from a gas tur-
bine are used to drive a secondary steam turbine.
An ORC engine in comparison uses an or-
ganic fluid instead of steam to absorb heat and
then transport it around the system. This in prin-
ciple allows it to convert low temperature heat
into electric energy where required but there are
a wide variety of suitable fluids, all with different
parameters and operating profiles, which often
translate to poor performance in the real world.
“In the present market, most ORC systems
are designed and manufactured for the recovery
of thermal energy from various sources operating
at ‘large power rating’,” Roberto Capata, lead re-
searcher on the project explained. “Applications
for small nominal power sources, as well as the
exhaust gases of internal combustion engines or
small heat exchangers, are very limited.”
Although some work has been carried out to
design and build such small scale devices none of
these have seen widespread commercial adoption
or are particularly suited for placement in small
or restricted places often required in practice.
The researchers therefore set out to design a
turbo-expander that would meet diverse system
requirements such as low pressure, small size
and low mass flow rates. In particular, research
was concerned with the design of a radial ex-
pander as opposed to more typical screw or
scroll based configurations.
The turbo-expander forms a key part of the
ORC system and in this case consists of a radial
centripetal turbine through which high pressure
gas is expanded to produce work. Turbines of the
sort studied are characterized by high efficiency,
ease of production and operative reliability.
In the preliminary stage of research the
team simulated performance for an ORC sys-
tem using the PRO/II software. These simula-
tions were carried out using R-134a, R245fa
and water as working fluids and varying the
main operating parameters.
“The whole design was based on the Rohlik
procedure for radial turbine design,” Capata
said. “The 3-D geometry of the turbine was
created using dedicated commercial software
(ANSYS Blademodeler) in which all the geo-
metrical data is inserted.”
The team then proposed a design for a
turbo-expander based on their calculations and
carried out Computational fluid dynamics
(CFD) calculations to test the effectiveness of
their design procedure.
The main objective of these studies was to
verify the general performance of the chosen
geometries, and to determine if the pressures,
temperatures, densities and velocities assumed
and obtained by the procedure, match the real
values.
Ultimately the researchers were able to pre-
dict that the R134a working fluid would allow
for the smallest turbine design whereas the
R245fa working fluid gave the greatest amount
of power output. �
Turbophase GT Supercharger
Simulated system layout
BOILEREXPANDER
CONDESERPUMP
S1
S2
S3
S4
S5
S6
S7
S8
Output of UK gas power plants more than doubles in Q1Falling gas prices and UK coal power stations, such as Eggborough and Ferrybridge, exiting the market hassparked a sharp rise in electricity generated from CCGTs in the first quarter of 2016. According to Enappsysanalysis, gas-fired plants generated 32% more power than in the previous quarter while the contribution ofcoal generation fell by 18%.
Marginal cost of gas-fired power
stations going down in line with
falling gas prices, displacing
more expensive generation such
as coal. As a consequence, wholesale prices
dropped during Q1 2016 by 13% in the day
ahead market and 14% in the within day mar-
ket from the previous quarter; an overall 15%
reduction in price compared with Q1-2015.
The UK carbon floor price adds to the wors-
ening economic conditions of coal-fired power
plants in the country, in addition to tight profit
margins due to rising fuel costs and more strin-
gent environmental requirements.
The falling market share of coal power in
Britain is in stark contrast to Q1-2015 when
coal generated 13.3 GW against a power output
of 9.1 GW for CCGT plants as low coal prices,
high gas price and lower carbon costs meant
that coal had continued to be the dominant fuel
type in 2015. However, in the following year,
an array of plant closures meant that the contri-
bution of coal-fired generation went down 66%
from Q1-2012 levels.
Drop in baseload power supplyThe demise of coal power sees National Grid
having to balance the system with a greater
share of intermittent power sources rather
than baseload units. In this quarter, 35.4%
of electricity generation came from gas-fired
plants, 22.4% from renewable sources, 19.0%
from nuclear plants, 16.2% from coal-fired
plants and 7.1% via imports from Ireland
and continental Europe.
Though the rise in wind generation is slow-
ing, the overall renewable sector continues to
grow with an 82% increase in solar and a 22%
growth in hydro generation against the last
quarter. In the quarter, 46.1% of renewable
generation came from wind farms, 33.2% from
biomass plants, 13.5% from hydro plants and
7.2% from solar farms.
System margin down 8% yoyWeather patterns are significant for power
demand, particularly during the winter season.
While Q4 2015 had been unusually mild, tem-
peratures were colder towards the beginning
of 2016.
Availability levels increased by 20% which
facilitated higher levels of margin, with the
average system margin up by 25%, though this
tightened on certain days as large payments
were made to generators to remain active on
tight days and not go offline. The margin was
however 8% shorter than Q1 2015 identifying
the reduced availability within the market.
Levels of availability were relatively high in
Q1 with the exception of March 10th when low
wind reduced the margin to 2.06 GW, creating
a system price of £517MWh and resulting in
large payment to generators that provided addi-
tional capacity in the evening.
In general, Q1 2016 saw a well-supplied
system causing system prices to, on occasion;
turn negative overnight, with a minimum sys-
tem price of -£78MWh over the quarter. �
� PLANT DISPATCH GTP Journal 22 April 20164
Merchant power plants in US struggle with low gas pricesFurther fall in US natural gas prices could lead to the closure of several large-scale power plants, Moody’swarned. “Persistently low natural gas prices” have put several coal and nuclear plants at risk of closure,while merchant generators scramble to cut costs.
With combined-cycle gas power
plants often in the role as swing
producers, gas prices have a sig-
nificant effect on the unregu-
lated power sector in the United States.
"Low natural gas prices have devastated most
of the US merchant power sector because gas-fired
power plants often serve as the marginal plant
during times of peak power demand," Moody's
said in a recent report. "Lower natural gas prices
have effectively driven down wholesale power
prices for all generators, regardless of whether
they are using natural gas, coal, nuclear power or
renewable resources to generate their electricity."
Negative cash flowsWhile this trend is harmful to all merchant gen-
erators, the rating agency said it is "most harm-
ful to coal-based generators and to a lesser
extent to nuclear-based generators."
At current market conditions, most unregu-
lated coal and nuclear plants are generating little
or negative cash flows," Moody's said. "We be-
lieve that if the current gas price environment of
$2/MMBtu to $3/MMBtu does not improve in
the next 12-18 months, there could be more
large-scale coal and nuclear plant closures, espe-
cially in regions without a forward capacity
market, such as Texas and the Midwest.
Moody’s analysis suggests that coal power
plants such as NRG Energy 1,689-MW Lime-
stone plant in Texas and the Dynegy 1,230-
MW Newton plant in Illinois are "particularly
vulnerable because the market is designed
without a forward capacity payment from the
independent system operator." Some coal
plants in Pennsylvania and Maryland are at risk
of either shutting down or being converted to
natural gas
Looking at the forward curve, analysts an-
ticipate that gas prices will recover slowly but
steadily which would help improve utilities’
revenue streams. �
22 April 2016 GTP Journal MARKETS � 5
“Even though we have the power
plants there, we are not able to
run them because we don’t
have gas; those plants run only
on gas,” President John Dramani Mahama
commented.
Lack of supply through West AfricaGas PipelineThese gas power plants, notably the Tema unit,
should be supplied through the West Africa
Gas Pipeline but Ghanaian operators cannot get
enough supply through that line. A lack of fuel
means that the Tema plant is left idle most of
the time, causing shortages of power supply in
the eastern region of Ghana.
Phase 2 of the Asogli power plant has just
been built and will be commissioned next
month. The first phase of 180 MW is already
operational – but can be rarely used as it is
only capable to run on natural gas.
“Anytime gas does not come through the
West Africa Gas Pipeline, then it means that al-
most 500-600MW of power is not available to
us,” Mr Mahama said, stressing that
a floating LNG import facility is ur-
gently needed to remedy these gas
supply shortages.
FSRU meant to in placebefore year-endTo tackle gas shortages and double
generating capacity, the Ghanaian
government has appointed BMT
Asia Pacific as owners engineer
and lead design consultant for de-
veloping a LNG regas facility. At
current low LNG prices, snapping
up cargoes on the spot market is hoped to
reduce the cost of producing electricity from
natural gas.
By the end of 2016, the Government hopes
to have the FSRU in place. Moreover the full
operational start of the Atuabo gas processing
plant is also meant to supply about 100 million
cubic feet a day.
The Atuabo gas processing plant is meant to
provide cheap fuel for power generation but
since its commissioning, the facility has run
mostly one-third of its design capacity. Build at
a cost of over $1 billion, the plant underutilisa-
tion is estimated to cost operators over $219
million per year.
Power barges, such as a 225 MW Karpow-
ership, has arrived in Tema Harbour in late No-
vember and started to supply emergency power
to Ghana’s national power grid starting from
the start of this year. �
Ghana set to buy FSRU to source LNG for idle power plantsThe Government of Ghana has signed an accord to acquire a floating storage and regasification unit (FSRU) toenable supply of LNG to power plant in the eastern part of thecountry where around 600 MW of gas-fired capacity is stranded.
India: LNG-to-power imports surge
“We now expect 2.8 Mt
(19%) of incremental
imports as a result of
low hydro generation,
lower LNG prices, a policy of power subsidy
auctions, expanding networks and industrial
demand,” analysts led by Trevor Sikorski
wrote in a recent report.
For 2017, Energy Aspects forecasts another
2.1 million ton (11%) increase y/y of gas im-
ports, although that is dependent on either the
completion of the Kochi pipeline or the addi-
tion of new regasification capacity.
Auction-based subsidy for RLNGPolicies to improve the utilisation of India’s
gas-fired power plants have seen the launch of
an ‘empowered pool management committee’
that introduced the ‘power system development
fund’ (PSDF). An auction-based subsidy mech-
anism gives plant operators access to cheaper
regasified LNG, helping to overcome chronic
fuel shortages.
The auctioning mechanism distinguishes
between partially stranded or domestic gas-
based plants (DGP), which are allocated do-
mestic gas and account for around 10 GW of
the 24 GW of gas plant in the country.
Stranded gas plants (SGP), on the other hand,
get no domestic gas allocation and make up the
remaining 14 GW.
At auction, the winners are the plants that
bid for the lowest subsidy support per MWh.
Different auctions are held for the two different
categories of plant.
Gas supply under the auction mechanism
helped improve the average utilisation of
India’s gas power plant fleet by 1.25 %over
the April 2015 to February 2016 period.
Further auctions were held in March 2016,
to support the import of 10 mcm/d of gas
(2.7 mtpa).
Gas generation balances weak hydropowerMore gas demand from the power sector is the
key driver for India’s LNG buying spree. The
contribution of hydropower is currently low as
water levels in India’s most important reservoirs
now stand at only 29% of total storage capacity,
well below the 10-year average levels.
Total power output increased 8 TWh, or
10%, with gas-fired generation making up 1.1
TWh, or 40%, of that increase. Coal genera-
tion, meanwhile, saw a smaller growth in mar-
ket share albeit from higher levels, up 7.8
TWh, or 12%.
Coal continues to be a cheap and reliable
fuel source for India: The load factor for coal
plants has remained fairly stable at around
65%, with installed capacity rising to 169.5
GW at the end of February 2016. By compari-
son, installed gas power capacity has remained
at 24.45 GW. �
Prevailing low global gas prices and weak hydropower availability have stimulated LNG demand in India,where the market share of gas-fired power generation surged by 1.1 TWh, or 40% in February. Ship trackingdata indicates a 22% rise in imports in March; hence Energy Aspects has revised its 2016 forecast of IndianLNG imports upwards.
Gas-fired Tema plant
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22 April 2016 GTP Journal PROJECTS � 7
Mohamed Mustafa, chairman of
the Palestinian Investment Fund,
said the envisaged power project
in the West Bank would come at
a cost of $500 million, but it is estimated to
save the Palestinian Authority around $750
million for importing electricity from Israel.
“Building up a power plant in the West
Bank has political implications and will be
purely funded by Palestinian investors,”
Mustafa stressed, pointing out the large num-
ber of job opportunities in the conflict-ridden
region.
Qatar to fund a new gas pipelineThe power plant is set to be run purely on natu-
ral as Qatar already proposed to help with gas
supplies both to the West Bank and to the Gaza
Strip some months ago.
Qatar has offered to build a pipeline from
Ashdod to the Gaza Strip to supply natural gas
from the offshore Tamar field with the aim of
boosting output of Gaza’s sole power plant.
Some of the gas transported to Gaza could be
shipped further to the West Bank.
The Palestinians have only one power plant
in operation, located at Nusaira in the Gaza
Strip. The facility can currently cater for only
eight hours of electricity each day to end-users.
Though barely ever at full capacity, the plant
used to supply Gaza with 30% of its electricity
needs, when operating at 400 MW.
The head of Qatar’s committee for rehabili-
tating Gaza, Muhammad al-Ahmadi, has vis-
ited the region several times in recent weeks
and proposed Qatar would pay NIS38.6 million
($10 million) toward infrastructure costs such
as laying the gas pipeline. The gas itself would
be paid for by the Palestinian Authority and
private funders.
The Electricity Authority stressed it would
be willing to continue purchase fuel, paid for
by the monthly earnings of the power distribu-
tion company, provided that the Israeli fuel tax
is cancelled and the gas is sold for its original
price only. �
Israel approves West Bank’s first power projectNegotiations between Israel and the Palestinian Authority on realising the first ever power plant project in the West Bank have reached an advanced stage, with the chairman of the Palestinian Investment Fundsuggesting that Israel approved the building of such a facility.
Capstone wins order for six C1000microturbines in Colombia
The first phase,
comprised of
two gas-fueled
C1000s, will be
installed in a com-
bined cooling, heat
and power (CCHP)
application and oper-
ate in stand-alone
mode. The microturbines will provide electric-
ity and distribute cooling for a hospital and a
hotel that are currently under development.
The second and third phases, involving four
C1000s, will be rolled out soon afterwards.
The energy requirement of the project could
reach a total of 10 MW, which would require
four additional C1000s.
The Customer selected Capstone microtur-
bines due to their high reliability, low mainte-
nance and demonstrated total system efficiency
when deployed in a cogeneration capacity.
Colombia’s gas consumption is rising
steadily and the country can draw on domestic
reserves that make it an entirely self-sufficient
country with its natural gas supply. “Colombia
has become our largest market within South
America over the last year and continues to
provide strong growth opportunities, specifi-
cally in the industrial CHP market,” Capstone
CEO Darren Jamison commented.
Geographic diversification is one of Cap-
stone’s strategic initiatives, and Mr. Jamison
pointed to “significant new bookings from
areas that include Mexico, South America,
Eastern Europe, Australia, China, Africa and
the Middle East.”
“Concurrently, the energy efficiency and
CHP market vertical continues to show steady
growth and is offsetting the downturn we have
been experiencing in the oil and gas markets,”
he added. �
One of Capstone’s repeat customers in Cartagena, Colombia, has ordered six C1000 microturbines which will be installed in three phases starting from January 2017.
Siemens, Indone-sia sign energycooperationIn connection with the visit of Indonesia’s
President Joko Widodo to Germany,
Siemens has signed to agreements with
state power company Perusahaan Listrik
Negara (PLN) for the development of 500
MW distributed power plants and related
electricity grids.
Siemens sees Indonesia as “an ambi-
tious country with big potential,” given that
the country’s GDP is growing at a rate of
5% to 7% per year.
Faced with an growing population and
rising energy demand, the Indonesian
government has developed an infrastruc-
ture program that foresees to expand the
country’s power generation capacities by
35 GW by 2019. The scheme also targets
an expansion of the power transmission
and distribution grid to secure the power
supply of urban areas and improve the
electricity access in Indonesia’s remote
regions.
"Siemens is ready to support Indonesia's
ambitious energy infrastructure program.
With our broad portfolio and expertise we
can help to develop a sustainable, afford-
able and modern power system," said
Siemens board member, Roland Busch.
“Our expertise for project financing can
provide further support,” he added, “and
we are ready to expand our manufacturing
capabilities in the country."
In fiscal 2015, Siemens Indonesia gen-
erated sales of €263 million with approxi-
mately 1,500 employees. Several projects
like the Jawa Power's Paiton II plant in
East Java or the Simangkuk project at the
Sumatera grid support Indonesia's energy
supply. Siemens has been actively en-
gaged in supporting Indonesia's infra-
structure with innovative technologies
since 1855. �
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The two power links are being im-
proved as the Chinese govern-
ment seeks to source more
electricity out of Inner Mongolia
via long-distance transmission lines,
rather than transporting millions of tons
of coal to distant generating sites.
China’s centres of energy demand are
in its eastern regions, while its energy
resources are in the west and northwest.
Keen to clean up air pollution in China’s
coastal cities, the government seek to transport
electricity from coal-fired power plants over
long distances while obliging utilities in cities
like Beijing and Shanghai to switch to burning
natural gas.
“This latest breakthrough of transmitting 10
GW of power over a single 800 kV UVDC link
underlines ABB’s Next Level strategy of deliv-
ering innovative solutions for the integration of
renewables and efficient bulk power transmis-
sion to urban centres,” said Claudio Facchin,
president of ABB’s Power Grids division. “Our
ultra-high-voltage technologies are enabling
countries like China to transmit ever increasing
amounts of power over greater distances, with
minimal losses and uncompromising reliability.”
Under the contract, ABB will supply ad-
vanced converter transformers for two long-
distance ultra-high-voltage direct current
(UHVDC) transmission links capable of trans-
porting up to 10,000 MW of power at the 800
kV voltage level, setting a new world record in
terms of capacity.
Recent advances in key technologies like the
509 megavolt ampere (MVA) converter trans-
formers make it possible to increase the power
transmission capacity of UHVDC links to an
“unprecedented level,” according to ABB.
Transmitting large amounts of power at higher
voltages is significantly more efficient. �
ABB wins orders over $300m to strengthenChina’s power grid
Oldest UK hospital gets new gas enginefor onsite powerA trigeneration power plant at one of Europe’s oldest hospitals, St. Bartholomew’s in Barts, was recently put operational. Clarke Energy, GE’s authorised distributor, supplied one 1.4-MW JenbacherJ420 gas engine to provide electricity, heat and cooling for the hospital.
St. Bartholomew’s Hospital was founded
in 1123 by a former courtier of King
Henry I. The latest onsite cogeneration
plant will increase the hospital’s energy
security and efficiency while reducing fuel
costs, GE said.
Apart from the J420 gas engine to drive the
power plant, Clarke Energy also supplied a
250-kilowatt absorption chiller, which delivers
needed cooling water for the hospital and bal-
ance of plant equipment.
Barts Health NHS Trust, through the con-
struction group Skanska, selected Clarke En-
ergy to install the new energy system.
“Our new trigeneration plant will play a
vital role in helping us increase the energy effi-
ciency, resilience and availability of Barts
Health NHS Trust while also promoting greater
financial savings,” Fiona Daly, associate
director of sustainability for Barts Health
NHS Trust commented.
Haydn Rees, managing director of
Clarke Energy added that a rising num-
ber of more industrial customers in the
UK and in wider Europe are installing
advanced cogeneration technologies to
comply with national and EU energy
efficiency and environmental policies. �
China’s 1,609-km long Ximeng-Taizhou and 1,231-km long Shanghaimiao-Shandong 800 kV transmission linkswill deliver 25% more electricity compared with recent 800 kV UHVDC links, once upgraded by ABB with advanced converter transformers. The Swiss company will carry out the upgrades after having won ordersworth over $300 million.
22 April 2016 GTP Journal PROJECTS � 9
UHVDC transformer at ABB's manufacturing site
NEWS NUDGESIndonesian shipyards developsfloating power plantPT PAL, an Indonesian shipyard group, is
developing a floating power plant in an
effort to electrify remote island as the
government support a programme of
building 35 MW barge-based power
plants. Floating generators have already
been used in Aceh after the 2004 tsunami
and also in some remote islands in In-
donesia, which are not connected to the
central power grid.
Gas engine market to grow7.85% by 2019The global gas engine market is forecast to
grow at a CAGR of 7.85% over the period
2014-2019, according to a Sandler Re-
search report. Vendors have made signifi-
cant R&D efforts over the past decade to
improve gas engine shaft efficiency in a
bid to achieve fuel savings, while improv-
ing combustion processes and after-treat-
ment of the exhaust reduced NOx and
UHC emissions.
Japan: Utilities gas usedrops in 2015/16Japan’s former power monopolies con-
sumed 52.29 mtpa of LNG for power gen-
eration in the business year ended March
31, 2016, down 7.6 % from a year ago.
According to the Federation of Electric
Power Companies of Japan, the fall in fos-
sil fuel consumption over the past year re-
flects a restart of some nuclear reactors
and sluggish power demand.
FPL commissions Port Ever-glades CCGT Florida Power & Light Company (FPL)
has started operations of tis its 1,277 MW
Port Everglades Next Generation Clean
Energy Center – the third in a series of
such facilities powered by American-pro-
duced natural gas. As was the case with
the company's CCGTs at Riviera Beach
and Cape Canaveral, the Port Everglades
facility replaces a 1960s-era, oil-fired
power plant that was demolished in
mid-2013. �
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