Tag Archive | "consumption"

Siemens delivers 20 industrial gas turbines to Thailand

Siemens Energy has received orders for a total of 20 SGT-800 industrial gas turbines from Thailand.

The turbines will be used in various combined cycle cogeneration power plants within Thailand. The contract is part of the Thai government’s programme to support small power producers.

Each of the units sold has a capacity of 50.5 megawatts (MW), so the combined total capacity of the 20 gas turbines is over 1,000 MW. Siemens delivers also five industrial steam turbines of type SST-400 for the customer ABP. Including installation and commissioning, the order value for Siemens is over $403 million.

Thierry Toupin, CEO of the Business Unit Gas Turbines/Generators at Siemens Energy, said: “All of these turbines were able to meet or even exceed the contractually promised values in terms of capacity and efficiency. This success was a decisive factor in the Thai small power producers opting once again for Siemens’ SGT-800 gas turbines.”

“With the Siemens SGT-800 gas turbines, we are able to generate electricity very efficiently, allowing us to decrease our fuel consumption,” explained Khun Preeyanart Soontornwata, President of ABP. “As a result, we can reduce our costs per kilowatt-hour generated.”

The 20 Siemens SGT-800 industrial gas turbines will be used in ten different plants located in industrial parks. All of the 20 units are being manufactured at the Siemens plant in Finspong, Sweden.

The order is part of the third phase of the Thai government’s programme to support small-scale electricity producers. The amount of support provided depends on the amount of primary energy saved by the plants. A requirement to receive the subsidy is that at least 5% of the thermal energy produced in the power plants in the form of steam or hot water be made available to consumers in the industrial sector. This increases the fuel utilisation rate of the entire power plant.

The Siemens SGT-800 industrial gas turbine combines a reliable robust design with high efficiency and low emissions. The turbine offers broad flexibility in fuels, operation conditions, maintenance concepts, package solutions and ratings. The SGT-800 turbine is suitable for power generation or cogeneration in simple or combined cycle modes. It combines a reliable robust design with high efficiency and low emissions. The turbine offers broad flexibility in fuels, operation conditions, maintenance concepts, package solutions and ratings.

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Capacity and consumption

Gulf Cooperation Council (GCC) states are set to invest US$252 billion (AED925.62 billion) over the next five years on power production, distribution and supply grids, according to recent reports. While the UAE boasts capacity over consumption, the rest of the region may need to catch up

The careening demand and cost for the production and distribution of energy has fuelled research and development for diversifying the energy mix of most nations in the region.
At the current rate of capacity growth, generation outpaces consumption, suggesting that the UAE could become a net power exporter within the GCC, once the region-wide power grid is in effect.
Having grown at a compounded rate of 12% per annum in the last 5 years, the UAE’s current power generation capacity stands at about 30,000 MW while consumption during the same period grew at a yearly rate of 8%, according to a recent report by Kuwait Financial Centre (Markaz).
According to the report, “the power sector in the Emirates had been seeing a rise in tandem with the economic growth it has achieved over the last decade,” suggesting that the nation has achieved a happy medium between input and output.
Dubai Electricity and Water Authority (DEWA) recently reported a 7% increase in the capacity and efficiency of its electricity transmission networks from 6206 MW in 2011 to 6637 MW.
“We are fully committed to maintaining and improving the capacity and efficiency of our substations and transmission networks to continue offering world-class sustainable and environment friendly services, which will achieve high levels of customer satisfaction. Part of our strategy is to expand our transmission and distribution networks catering to Dubai’s construction business growth,” His Excellency Saeed Al Tayer, Managing Director and Chief Executive Officer of DEWA, says.

The current mix
98% of plants in the UAE are natural gas, with the remaining 2% liquid fuel. In the GCC context, natural gas accounts for 49% in Saudi and 29% in Kuwait.
“This gives UAE an advantage as gas fired plants are efficient and the fuel is cheaper as well compared to Oil. Although the country’s gas consumption has outpaced production, it imports natural gas from Qatar through the Dolphin gas pipeline,” Markaz says.
“Over the next four years, we estimate consumption to grow at 8.5% annually, with much of the growth coming from Abu Dhabi. While Dubai expects consumption to grow at 3.5% over the next decade and at 2.5% from 2020-30, Abu Dhabi expects demand to grow by 11% annually till 2015.”
Abu Dhabi Water & Electricity Company (ADWEC) supplies electricity to Abu Dhabi and Al Ain, while exporting surplus energy to the northern emirates. ADWEC projects these exports to increase from 2,400 MW in 2012 to 5,827 MW in 2020.At this rate, by 2014, the Federal Electricity and Water Authority (FEWA) can expect to halt generation.

Sunny side up
The Middle East has major opportunities to capitalise on the efficient use of renewable industrial and domestic energy, but is being held back due to the initial financial commitment required to invest in such technologies, according to Johan de Villiers, President of power systems at ABB in the Gulf. The region, being blessed with an abundance of sunlight, has a lot of potential, but more needs to be done through multi-stakeholder collaboration to ensure the benefits of the free energy resource are maximised.
“Despite the vast potential of renewable energy in the Middle East, we have a lot of preparatory work to do so that the true economical and environmental benefits of renewable technologies can shine through,” says de Villiers.
“Whilst there are financial investments required to implement such technologies, in many cases there is a lack of knowledge and acceptance, which is natural. The good news is in many countries, governments are consulting widely, initiating pilot projects and most importantly are starting work on policies and pricing frameworks that will encourage sustainable energy initiatives and projects.
“It requires hard work and collaboration from all stakeholders to overcome these barriers and challenges. I think the many great pioneering examples around the region are supporting the awareness of what is possible and the potential of sustainable energy solutions.”

The current situation
According to Vahid Fotuhi, President of the Emirates Solar Industry Association (ESIA), the Middle East is diverse enough for a number of renewable energy sources and technologies.
“The potential for renewable energy is the Middle East is huge,” said Fotuhi, who added that Saudi Arabia’s Rub Al’Khali desert alone receives enough sunlight to power two earths.
“The market is large enough and diverse enough for several different types of technologies, including solar, wind and geothermal. Even within the solar family, there are regions that are better suited for solar thermal applications and others which are better for solar photovoltaic systems.”
Solar in particular appears to be gaining significant traction in the Middle East. According to research specialists Ventures Middle East, there are currently ten solar projects worth a combined US$6.8 billion underway in the UAE, Kuwait, Oman, Egypt, Jordan and Morocco.

Energy and climate change
Addressing members of the International Peace Institute, Dr Sultan Al Jaber, CEO of Masdar and UAE Envoy for energy and climate change, highlighted the benefits of renewable energy deployment in supporting economic development as well as ensuring energy security and peace. The IPI, a New York-based independent, not-for-profit think tank, looks at climate change, energy access and their impact on national and international security. The organisation has delivered innovative research and policy analysis on the subject and works closely with the United Nation to provide a forum for dialogue for member states. The recent event took place on the side lines of the UN General Assembly.
Dr Al Jaber says: “the visionary leadership of the United Arab Emirates is looking beyond hydrocarbons and is investing in new technologies and sources of power to diversify the local and global energy mix. Today, along with barrels of oil, our nation is exporting clean energy.”
“Renewable energy is one of the fastest growing industries in the world, and the UAE is collaborating with like-minded nations to contribute to the sector’s growth and improve global energy security,” adds Dr Al Jaber.

Alternatives in the future
Abu Dhabi’s Economic Vision 2030 aims at generating 7% of its energy needs from renewable resources. Masdar Power’s 100 MW Shams 1 Concentrated solar power (CSP) plant in the western region, a pilot 30 MW wind farm project and plans for constructing the world’s largest hydrogen power plant by 2015, are some of the steps the UAE is taking to concretise the nation’s lofty goals.
Emirates Nuclear Energy Corporation (ENEC) are in the initial phase of the nation’s first nuclear power plant project, expected to be up and running by 2017. By 2020, ENEC projects that the UAE will have 4 nuclear power plants with a gross installed capacity of 5,600 MW at an approximate capital of US$20 billion.
According to the Dubai Integrated Energy Strategy 2030, the government is targeting renewable energy to supply 1% of Dubai’s energy by 2020 and 5% by 2030.
Dubai’s AED12 billion Mohammad Bin Rashid Al Maktoum Solar Park promises a capacity to generate 1,000 MW. Speaking to local media on the cusp of the highly anticipated World Energy Forum 2012 to be held later this month, Saeed Al Tayer highlighted the UAE’s unique position and inexhaustible potential for evolving into a thought leader in green energy solutions. In addition to his role as MD and CEO of DEWA, Al Tayer is also the Vice Chairman of the Supreme Council of Energy (SCE) and Vice Chairman of the WEF 2012 Higher Organising Committee.
“The energy strategy 2030 will reduce its dependence on oil and gas. 12% of its future energy could come from nuclear energy and another 12% will come from coal-fired power plants, 71% will come from gas and 5% from renewable energy,” according to Al Tayer, adding that clean coal could also be expected as an energy source in the future.

DEWA on the global stage
In effort to reduce fuel consumption at its power plants, DEWA generated 400 MW of electricity without using additional fuel. Recently, DEWA made headlines in beating the global standard in the private sector in efficiency, availability and reliability. While top European and American companies recorded an average 4.3% network line loss, DEWA’s figure was significantly lower at 3.49%, with customer minutes lost last year clocking at 5.8 minutes, compared to the 16.4 minutes recorded overseas. DEWA’s production efficiency reached 20% from 2006.

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Current Issue October 2013