JBIC power line loan
The government of Sri Lanka has signed loan agreements worth $140m with the Japan Bank for International Cooperation (JBIC) to finance the rehabilitation of power transmission lines and the reconstruction of areas affected by the tsunami in December 2004.
The loan agreement aims to improve the living conditions of those affected by the tsunami and to support the rebuilding of the regional economy. It follows a joint study carried out by the JBIC, the World Bank and the Asian Development Bank in January 2005 to gauge the extent of the damage caused by the tsunami.
The loan is for the rehabilitation of the transmission lines between Vavuniya and Kilinochchi in northern Sri Lanka, and for reconstruction of a substation at Kilinochchi. According to local reports, the Ceylon Electricity Board (CEB) has restored electricity to the whole of the affected coastal belt except for small pockets in the east.
VA Tech wins 260 MW tidal plant
Daewoo Engineering & Construction has awarded Austrian engineering firm VA Tech Hydro the contract for engineering and delivery of the main electromechanical components for the world’s largest tidal power plant. The Sihwa plant, located at Sihwa Lake in South Korea, will have an installed capacity of 260 MW.
VA Tech Hydro will carry out the detailed design for the turbine/generator equipment for the $250m project. The plant will be the first of its kind in Korea and will consist of ten bulb-type turbines with direct driven generators.
The Sihwa tidal power plant will generate electricity by using the head between the high tide and the reservoir level. It will operate in one direction from the sea to Sihwa Lake, allowing up to 60 t of seawater to be circulated annually. Its operation will help to improve the water quality of the lake, which has been polluted by industrial process water.
The project will be completed by 2009. Daewoo is the leader of the main contractor consortium, while the project is owned by the Korea Water Resources Corporation.
China shortages will ease in 2007
China’s power shortages will continue in 2005 and 2006, and will not be eased until 2007, according to the latest figures from the State Power Corporation. Power demand in the country is rising at around 12 per cent, while GDP growth for 2005 is forecast to be nine per cent.
China consumed 2.17m GWh in 2004, a 14.9 per cent year-on-year increase over 2003. Installed capacity reached 441 GW at the end of 2004, a 12.6 per cent increase over 2003. 2004 saw the most severe power shortages since 1999, with 24 provincial power grids imposing restrictions on power use; peak load power shortages ranged between 20 GW and 35 GW.
The country is forecast to consume 2.44m GWh in 2005, while some 76 GW of new capacity will be added in the year. Demand growth will slow in 2006-7, while 80 GW and 78 GW of new capacity will be installed in 2006 and 2007, respectively.
Queensland orders IPP plant
Independent power producer Braemar Power Project Pty Ltd has awarded Alstom a €130m ($158m) contract for the supply of a 450 MW open cycle gas fired power plant in Queensland, Australia. The plant will be equipped with three Alstom GT13E2 gas turbines, and will provide much-needed capacity to Queensland’s rapidly growing electricity market.
Alstom will design, supply, install and commission the entire plant on a turnkey basis. The site has been designed to incorporate a further three gas turbine units at a later date, with adequate space for the turbines to be converted to combined cycle operation.
Queensland is Australia’s fastest growing electricity market. The plant is scheduled to be operational by July 2006.
Dabhol resolution within reach
The main project partners in the 2200 MW Dabhol power project in India are to determine a course of action for restarting and completing the plant. The move signals an end to the long-running dispute over the plant, and follows a visit to the country by General Electric’s chairman and CEO, Jeffrey R. Immelt.
GE, which along with Bechtel controls 85 per cent of Dabhol Power Company, stated that it would join National Thermal Power Corporation (NTPC) and Bharat Heavy Electrical Ltd. (BHEL) to create a plan of action, and would dispatch technical staff to the site to examine GE-supplied equipment. Based on these evaluations and the findings of NTPC and BHEL on balance of plant equipment, a detailed work schedule for the restart of phase 1 and completion of phase 2 will be established.
The plant was shut down in June 2001 after a dispute over electricity tariffs between Enron and the Maharashtra State Electricity Board.
Australia: Pacific Hydro has negotiated the world’s first bank-intermediated carbon credit transaction involving the sale of Certified Emission Reduction (CER) credits. The deal was made through its Fijian joint venture, Sustainable Energy Limited, which will sell the CERs created by two hydropower projects to ABN Amro.
China: Spain’s Acciona has signed an agreement with China Aerospace Science and Technology Corp to produce wind turbines in China. The venture will make an initial investment of €24.6m ($30m) to build 400 turbines per year in Nantong for the Asian market.
India: National Thermal Power Corporation (NTPC) is to focus on developing minehead power plants to reduce the cost of coal-fired power generation and diminish India’s coal production deficit. Reliance Energy is currently drawing up plans for a 12 000 MW pit head coal fired power plant in Orissa.
India: The Uttar Pradesh government has given the go-ahead for five new power projects. The projects include a 5 x 200 MW refurbishment at Obra, 2 x 250 MW coal fired plant at Harduaganj and a 3 x 100 MW gas fired plant at Panki.
Indonesia: PT Cikarang Listrindo has awarded a contract to GE Energy for the expansion of a power plant at the Cikarang Industrial Estate near Jakarta, Indonesia. The project will add 350 MW of capacity to the 354 MW combined cycle facility, which was the first independent power plant in Indonesia when it started operating in 1993.
Laos: Electricité de France has awarded contracts for the construction of the Nam Theun II hydropower plant in Laos. It has awarded electromechanical contracts to GE Energy and ABB, as well as three civil contracts.
South Korea: Vestas has received an order for delivery of wind turbines for the Gangwon wind farm in South Korea. The project will consist of 49 V80-2.0 MW units, with shipment beginning in 2005 and commissioning in two phases – 28 MW in December 2005 and 70 MW in late 2006.
South Korea: El Paso Corporation has signed an agreement to sell its 50 per cent interest in Korean Independent Energy Corporation (KIECO) to Korea Power Investments Co. for $276m. KIECO owns a 1800 MW LNG-fired CCGT plant near Seoul.
Vietnam: Electricity of Vietnam (EVN) is to build a 2400 MW thermal power complex in Phu Yen province. The $2.8bn complex will consist of four coal fired power plants and will be the largest of its kind in southeast asia. The utility is also planning three 1200 MW pumped storage hydro plants.