Asia-Pacific News

Philippines set for more deregulation

The Bangko Sentral ng Pilipinas has approved in principle acceptance of a loan from the Asian Development Bank (ADB) of $450m that would be used to support further deregulation and privatization of the power sector in the Philippines. The acceptance will allow the government to finalize negotiations with the ADB.

The Philippines Department of Finance will be the executing agency for the loan, and the Department of Energy the implementing agency. The policy-based loan is aimed at developing a financially sustainable, efficient and secure power supply for the country. The Philippines faces a power supply crisis that could reverse economic growth experienced in recent years.

The ADB expects the loan to be used to strengthen the regulatory framework in the energy sector and enhance market restructuring in order free government finances for other parts of the economy. The loan will include a three-year grace period.


Iran to build power plants in Sri Lanka

Sri Lanka is to sign an agreement with Iran for the construction of two power plants. The projects include Sri Lanka’s first gas fired power plant.

The 300 MW project will be built at Mirissa, southern Sri Lanka, as part of Columbo’s alternative energy development programme designed combat the country’s energy crisis.

The plant is expected to be fired with imported LNG. Much of the country’s electricity currently comes from hydropower. A 500 MW power plant has also been mentioned, but no further details are available. Sri Lankan technicians will take a tour, and be trained, in Iran.


Joint venture plans lignite plant

A joint venture which includes the Japanese trading house Sojitz Corp, US company AES and a local Indonesian company are planning to construct lignite-fired power plant in Indonesia. Sojitz is expected to provide around 25 per cent of the estimated total project cost of $1.5bn.

The 1200 MW plant will be built within 10km of a lignite reserve in southern Sumatra. Work is expected to start in 2007 with completion scheduled for 2011. Power from the station will be sold to the Indonesian state electricity company PLN for use in Java. Sojitz is reported to be considering similar projects in other locations in Asia.


State funding supports Australian solar power plant project

A 154 MW solar power plant being built in the Australian state of Victoria at a cost of $318m is being supported with grants worth $96m from federal and state government sources.

It is due to start operating in 2008 and reach full capacity in 2013. The solar project is being built by Solar Systems Generation using concentrating solar photovoltaic technology. The 154 MW capacity will be spread across several sites in Victoria, which is providing $38m towards the scheme. The federal government is providing a further $58m from the Low Emissions Technology Demonstration fund (LETDF). The LETDF is providing around $378m towards low emissions projects.

The state of Victoria is aiming to generate ten per cent of its electricity from renewable sources by 2016. Australia is one of the few developed nations yet to sign the Kyoto protocol to limit greenhouse gas emissions.


Chinese province of Hunan chosen for nuclear plant

The Chinese province of Hunan is to be home to a $7.5 bn, 6000 MW nuclear power plant. The project, aprroved by the State Power Design Institute, will involve construction of six nuclear reactors and be built at Xiaomoshan Hill, Yueyang City, a site identified in April 2005 by the State Power Design Institute and other authorities.

Another nuclear plant will be built on the coast of East China. This project, initially involving two 1000 MW reactors, is to be built by four Chinese companies in Rushan City on the southwest side of the Shandong Peninsula. A company called Shandong Hongshiding Nuclear Power Co Ltd has been set up to develop the project. The plant is expected to be extended with four further reactors at a later stage.


Consortium to build 700 MW Thai plant

The Thailand state power company EGAT has ordered a 700 MW combined-cycle plant from a consortium of German and Japanese companies. The power station, designated Bang Pakong CCPP 5, is scheduled for completion in March 2009.

The plant will be built by a consortium led by Siemens and including Marubeni Corp. Siemens will supply two SGT5-4000F gas turbines and one steam turbine to the new installation. Marubeni will provide heat recovery steam generators, balance of plant and civil works. The power station will burn natural gas, with oil as a secondary fuel.


News Digest

China: State-owned companies Longyuan Pingtan Wind Power Co and Huaneng Shantou Wind Power Co have, between them, ordered 103 wind turbines from Danish company Vestas. The units, with a combined capacity of 145 MW, will be installed at two projects in Fujian Province.

China: The fourteen turbine generators already installed at the Three Gorges power plant are officially operating at full capacity after the water level in the reservoir rose sufficiently for them to provide their rated outputs of 700 MW. Twelve units have yet to be installed.

India: The Indian government has given its approval, in principle, for a 1000 MW pithead power plant in the state of Orissa. To be built by GMR Energy, the project is expected to be constructed in two stages. The first is due to commence operating in 2010 and the second in 2011.

India: Bharat Heavy Electricals will provide three circulating fluidized bed combustion boilers for a 99 MW power plant to supply power to Bharat Oman Refinery Ltd. The plant, which will burn petroleum coke, will be built at Bine in Madhya Pradesh.

India: POWER-GEN India and Central Asia attracted 230 companies from across the world for the three-day event held in October in New Delhi.

Japan: Areva is to supply MOX fuel to the Genkai nuclear power plant operated by Kyushu using plutonium derived from nuclear fuel recycled from the same Japanese power company’s nuclear stations.

Japan: A 100 kW biomass cogeneration plant burning cedar and cypress thinnings will be built by Tsukishima Kikai for the city of Chichibu in Saitama Prefecture.

Nepal: The Indian government has agreed to support construction of a 240 MW hydropower scheme in Nepal. The Naumure project will be constructed on the West Rapti river, 500km west of Kathmandu.

Philippines:Eleven companies have entered an auction to acquire the assets of Mirant Philippines Corp. The company’s $3bn assets, include the 1218 MW Sual coal fired and 735 MW Pagbilao plants.

South Korea: Korea Hydro and Nuclear Power Co has awarded a contract to carry out refuelling equipment upgrades at the Ulchin 3 & 4 nuclear power units to Westinghouse subsidiary PaR Nuclear Inc. Work will include modifications to the refuelling machine, fuel transfer system and spent fuel machine.

Vietnam: Harbin Power Engineering Co has awarded the contract for two 150 MW circulating fluidized bed boilers for the Cam Pha Power plant to Foster Wheeler North America.

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