How to provide peak power at 8% of the cost of a new peaking plant?
Samra Electric Power Company (SEPCO), a power utility in Jordan, has indicated the power grid has had difficulty covering peak loads observed during high temperature periods. As a result, SEPCO reviewed potential solutions for its Samra Power Plant to increase power plant generation during these peak periods. SEPCO’s intent was to modify the gas turbines by installing a fogging system in the gas turbine inlet to increase plant power generation during high-temperature periods. K&M Advisors was engaged to evaluate the technical and commercial viability of the fogging system installation. The primary aim of the evaluation was to review the design of generating units’ and auxiliary equipment and systems to determine their ability to support the increased power output during fogging system operation.
Gas turbine inlet air fogging consists of spraying water droplets into the inlet airflow of the gas turbine cooling the air by evaporation. When the fogging system is operated, the mass flow of the working fluid (air) increases through the gas turbine due to the water evaporation in the gas turbine inlet and decrease in the inlet air temperature. The increased mass flow causes an increase in gas turbine power output as the gas turbine compressor is more efficient at lower air temperatures. In addition to gas turbine power output, the implementation of a fogging system increases HRSG steam generation and in turn an increase in steam turbine output and exhaust steam flow. This increase in steam turbine output impacts the Air-Cooled Condenser (ACC) operation.
To assess the adequacy of the auxiliary systems when implementing the fogging system, K&M first developed GateCycle models of combined cycle plants. Using these models, K&M calculated heat and material balances for different ambient temperatures without and with the fogging system. For each combination of the ambient temperature and fogging system status, K&M developed a spreadsheet summarizing the system power output and power output increase, heat rate and heat rate change, fogging system evaporation rate/demineralized water requirements, and other steam and water parameters impacting operation of HRSG, steam turbine, ACC, and other auxiliary equipment that could be impacted by the fogging system. In addition to the mechanical equipment, all electrical equipment on the power generation side was also evaluated for potential impacts.
The overall conclusion of the study is that each phase of the plant experiences an increase of approximately 7-8% power output with the fogging system active which is a substantial output increase to the grid. The mechanical and electrical equipment for each phase of the plant was evaluated and verified to be capable of handling implementation of the fogging system. The major impact to current plant operation when implementing the fogging system is the water usage required for operation. The demineralizer system was analyzed to calculate the water requirements for the fogging operation for two modes of plant operation (non-cycling and cycling). The conclusion of this analysis is that the existing demineralizer system requires a combination of modifications to the demin water storage tanks, transfer pumps, and distribution piping to increase the capacity of the demin system to supply the fogging system. An alternative option is to add demin water production capacity along with additional storage. The additional water required also impacts the waste water capacity and could create an impact to the waste water treatment system.
As the procurement of the system developed, quotes were received for the fogging system installation, and it was determined that adding the fogging system is a very cost-effective way of getting peak power as compared to the construction of a peaking plant to handle peak loads. The total cost of modifying the gas turbine air inlet with the fogging system and additional demineralized water storage and pumping equipment is approximately 8% of the total cost of a new peaking plant with minimal impact to the existing plant. As a result of this comprehensive evaluation of all relevant equipment and systems along with the cost comparison of a fogging system against a new peaking plant, K&M recommended implementation of the fogging system for all four phases of the Samra plant.
K&M Advisors attended the Powering Africa Summit on March 5-6, where they had many engaging discussions and productive meetings with industry colleagues. The event was a wonderful platform for collaboration and knowledge sharing among governments, investors, developers, and technology providers in Africa’s energy sector. They also co-hosted a dinner with partner White & Case, Martin Menski and Suzanne Perry. Thanks to those friends and colleagues who spent the evening with us Alfonso Guzman, Derek Martin, Nils Janson, Natalie Natsumi Tsukano, Anneliese Gegenheimer, Stephen Mallowah, Erik Granskog, Jay Ireland, Kweku A. Awotwi, Vickson Ncube, Evans Twaambo, Tanyaradzwa Angela Gumbo, Yusuf Umar, Bassem Abou Nehme, CFA, Abiodun Aina, CFA, Alan Townsend, and Erica Koszalka Ehst.
K&M is looking forward to attending the Powering Africa Summit next week in Washington D.C. As we gear up for the 9th edition of this impactful event, we’re looking forward to engaging in meaningful discussions and exploring innovative solutions under this year’s theme, “Capital Flows Underpinning the Energy Transition.”
If you’re attending PAS, be sure to connect with our K&M colleagues Derek Martin and Anneliese Gegenheimer.
Let’s collaborate and drive the energy transition forward, creating a brighter, more sustainable future for all. See you there!
#PAS24 #PoweringAfricaSummit2024 #SustainableEnergy #EnergyTransition #CleanEnergyInvestment #K&MInitiatives
We are thrilled to share the latest update on our collaboration with KBR on the Singapore Ammonia Project. K&M has been working closely with KBR to support the commercial work stream in the design of an RFP for a cutting-edge clean ammonia project in Singapore.
K&M is advising the Singapore government on the commercial structuring of the RFP process. Our team has been actively involved in shaping this sustainable ammonia project by providing insights and guidance on critical commercial aspects.
Key Areas of Involvement:
- Assessing candidate PPP (Public-Private Partnership) models suitable for this project, weighing the pros and cons of each option.
- Delving into government funding and ownership options, considering their implications under different timing scenarios.
- Exploring termination/buyout concepts, ensuring a comprehensive understanding.
- Identifying funding support mechanisms and incentives and evaluating their feasibility and impact.
- Advising on the use of a Contract for Difference (CfD) concept, with a thorough analysis of its pros and cons.
- Providing guidance on how to structure key funding and commercial parameters within a Request for Proposals (RFP).
K&M is dedicated to making a meaningful contribution to the success of this sustainable project. We are excited to play a crucial role in shaping forward-thinking solutions for Singapore’s clean energy market. Join us on this journey toward a greener and sustainable future! We look forward to sharing more updates as the Singapore Ammonia Project continues to evolve.
K&M is elated to be part of a game-changing development in the Caribbean region. Water utilities across the Caribbean now have access to parametric insurance coverage against extreme weather events like hurricanes, tropical storms, and excess rainfall. This groundbreaking initiative, known as the Caribbean Water Utility Insurance Collective (CWUIC), is nestled within CCRIF SPC (Caribbean Catastrophe Risk Insurance Facility).
K&M Advisors continues to support the energy transition in West Africa. Many West African countries still rely on diesel and heavy fuel oil (HFO) to satisfy their energy needs. National power utilities use these fuels to provide baseload power. Large mining operations use diesel or HFO for power generation and heavy-duty equipment (hauling trucks, trains, excavators, crushers, etc.). With abundant domestic gas reserves in the region (Nigeria, Mauritania, Senegal, Angola, Morocco, and others), it is imperative to find regional solutions to transition away from diesel and HFO and into using the abundant regional gas reserves. This transition could boost economic development by reducing the cost of energy, increasing access to energy, reducing pollution, and increasing energy security.
K&M is working hard to assist private and government stakeholders in finding pragmatic and robust solutions to make this transition a reality.
K&M is working with private and government stakeholders in Mauritania to determine the most viable uses of Bir Allah gas for domestic consumption and the potential market for LNG exports. This includes analyzing how gas could be used for grid-connected power generation, off-grid mining power generation, hauling trucks, mining locomotives, and several other applications. K&M is estimating the gas demand from these applications, analyzing the economics of switching to natural gas, and developing pragmatic roadmaps and implementation plans to make this transition a reality.
K&M is also working in Morocco with two private companies to develop a gas-to-industry business that will use gas from the Acnhois field to displace LPG, Diesel, HFO, and other fuels used by industries in Tanger, Kenitra, and Casablanca. The business will help industries save energy costs and reduce their carbon footprint by replacing existing fuels with natural gas. K&M will analyze options for transporting gas via a virtual pipeline (in liquid or compressed gaseous form), perform the conceptual design and cost estimates of the required facilities, analyze the business case for each industry to switch to natural gas, and design the special purpose vehicle (SPV) that will operate the gas-to-industry business.
K&M’s West Africa work also includes a more in-depth analysis of the business case for using natural gas for an alumina refining plant under development in Guinea. A private company is considering supplying gas from LNG imported in Kamsar to a regional mining customer. This mining customer is considering constructing a new alumina refinery that would produce 1–2 mtpa of alumina, whose electricity, steam, and calcination needs would be met by energy from LNG/natural gas. K&M is performing a pre-feasibility study of the energy supply solutions (either in the form of electricity and molecules or only molecules) to the refinery.
Overall, through these projects, K&M’s work has helped to raise awareness of the potential for natural gas to contribute to the energy security and economic development of West Africa. K&M Advisors is committed to supporting natural gas development in West Africa and will continue to work with governments, businesses, and financial institutions to help realize the region’s gas potential.
The recently concluded Africa Energy Forum (AEF) 2023 was an extraordinary gathering that brought together over 3,000 delegates from various sectors, all sharing a common goal of driving Africa’s energy transition forward. As a proud participant, K&M was privileged to be a part of this remarkable event, taking place for the first time in mainland Africa. Here’s a glimpse of our experience and the key takeaways from AEF 2023.
- Embracing the Green Hydrogen Revolution: Green hydrogen emerged as a central theme at AEF 2023, as African countries displayed a keen interest in establishing themselves as leaders in this promising field. Recognizing the continent’s immense renewable energy potential, K&M is fully committed to supporting Africa’s vision of becoming a key player in the green hydrogen economy. With our extensive experience in green hydrogen studies, we aim to facilitate the development of green hydrogen projects across the continent.
- Unlocking the Potential of Battery Energy Storage: As the region rapidly expands its renewable energy infrastructure, stakeholders at AEF 2023 acknowledged the crucial role of battery energy storage systems (BESS). However, there remains a need for clear guidelines on assessing the economic value-add of battery storage and creating enabling regulations. K&M is thrilled to contribute to this vital area through our BESS project with Africa GreenCo in Zambia.
- Harnessing Natural Gas Resources for Growth: Countries blessed with abundant natural gas resources are now formulating plans for domestic usage and exploring opportunities for gas exports to other African nations. Intra-African gas trading is expected to witness significant growth in the medium term, with countries investing in LNG infrastructure and expanding their gas networks. K&M stands ready to support these countries in realizing their aspirations, leveraging our deep expertise in gas market analysis and LNG-to-Power studies.
AEF 2023 served as a crucial platform for collaboration and knowledge-sharing among governments, investors, developers, and technology providers in Africa’s energy sector. At K&M, we are inspired by the enthusiasm and commitment demonstrated by African countries toward achieving their goals for climate change and sustainable development. We remain steadfast in our dedication to supporting Africa’s sustainable energy future, contributing our expertise and experience to drive the continent’s energy transition forward. Together, we can build a greener and more prosperous Africa.
#AfricaEnergyForum #AEF2023 #Africa #EnergyTransition #Innovation #SustainableDevelopment #energy
AEF 2023 has exceeded expectations! Engaging discussions and incredible camaraderie! K&M relished a delightful dinner in Nairobi with cherished friends and esteemed colleagues.
#AEF2023 #Nairobi #Exhibition #Networking #Innovation #energy #sustainabledevelopment #GoodTimes
🌍 Exciting News from Nairobi!
We’re thrilled to attend and exhibit at #AEF2023 in Nairobi, starting tomorrow, June 20th, until June 23rd! 🎉
Join us at booth L64, where you can meet our team members, Alfonso Guzman, Derek Martin, and Natalie Natsumi Tsukano.
Don’t miss this opportunity to network, explore industry trends, and discover innovative solutions. We can’t wait to connect with you at #AEF2023 in Nairobi!
See you there! ✨
#AEF2023 #Nairobi #Exhibition #Networking #Innovation #energy #sustainabledevelopment
We’re looking forward to attending and exhibiting at #AEF2023 in Nairobi June 20-23! Come to visit Alfonso Guzman, Derek Martin, and Natalie Natsumi Tsukano at booth L64.