Business

A universal reality for U.S. power generation developers is the challenge of obtaining funding in today’s tight credit markets.

For the past 15 years, Vietnam has enjoyed enviable gross domestic product increases, averaging 7% annually. That kind of economic growth increases power demand, but financing new capacity remains a challenge. Reaching its ambitious capacity growth goals will require Vietnam to expand its financing and vendor base, attract foreign investment, and ensure future fuel supplies in a region thick with competition for those resources.

Planning for resource adequacy—something that was relatively simple in the context of vertically integrated utilities—continues to be a difficult issue in competitive electricity markets. Whereas state public utility commissions used to have exclusive authority to determine what generation needed to be built and when it was to be available, this responsibility has been assumed by RTO/ISOs in regions with competitive markets. Each region approaches resource planning differently, and each region faces unique problems.

Several new models of plug-in electric vehicles will enter the market in 2012, joining the Nissan LEAF and Chevrolet Volt. The Edison Electric Institute has prepared four suggestions to help utilities smoothly handle the introduction of these vehicles to roads and grids.

Progress Energy has adopted an emergency worker callout program that has eliminated manual dialing, improved work acceptance rates, and increased the speed of worker reporting. The standardized process also complies with union work rules that require equality in overtime opportunities, by seniority. The business case for automating the worker callout process is compelling.

Brazil’s power industry has long been dominated by its vast hydro resources, which historically have accounted for over 80% of the country’s generation capacity. With engineering marvels like the massive Itaipú dam and the proposed Belo Monte project, the country is a leader in the development and use of hydroelectricity on a grand scale. But as the 2001 energy crisis proved, dependence on a single source leaves the country vulnerable to severe shortages. Thanks to government programs designed to take advantage of the country’s favorable climate, Brazil is committed to diversifying its energy mix while continuing to maintain a renewable energy focus.

ANDRITZ to Rebuild Oldest Egyptian Nile Dam. Austrian firm ANDRITZ HYDRO on Dec. 22 won a $138.4 million contract from the Egyptian Ministries of Energy and Water Resources for the supply and installation of four bulb turbines, generators, and the electrical and hydro-mechanical equipment to rebuild the Assiut barrage—the oldest dam in the Egyptian section […]

Synovus relies on emergency standby generator sets to prevent any loss of services or data in the event of a utility outage.

The POWER editorial staff’s picks for the most significant stories of 2011.

After more than a decade debating whether to pass a carbon-limiting law, Australia’s Senate in November voted in a landmark bill that will impose a price on carbon emissions. The country, which accounts for just 1.5% of global carbon emissions, but which is the world’s highest emitter per capita because 80% of its power comes […]

There is a fine line between personnel management and intruding into the personal lives of employees. Staying on the right side of that line is challenging, particularly when prior legal decision are mixed.

The world’s steel industry is power-hungry. Using energy both to supply heat and power for plant operations and as a raw material for the production of blast furnace coke, the sector uses a major fraction of the world’s total energy consumption. China’s steel and iron sectors have been mushrooming on the back of skyrocketing demand, […]

As the resource gets increased and more sophisticated scrutiny, natural gas from shale looks increasingly like a revolutionary force in energy markets. Most recently, the Washington-based environmental and energy think tank Resources for the Future rolled out a serious analysis of the new method of developing gas, and the issues it presents. The preliminary results look very positive for gas.

Swift technology developments in the power sector and increasingly sophisticated security threats have prompted regional transmission organization PJM Interconnection to switch from its aging centrally dispatched legacy system to two “state-of-the-art” primary control centers as part of its $200 million Advanced Control Center (AC2) program. The grid operator that serves parts of the Eastern Interconnection […]

For power providers, grid stabilization has been a rising concern in recent years, especially because of the increasing use of intermittent energy sources such as wind turbines. Maintaining a stable electricity grid is difficult because of the unpredictability of intermittent energy sources. If wind turbines, for example, are supplying 5% of the overall power for the grid and the turbines stop moving because the air grows still, the grid has to find a way to kick into overdrive to compensate for this sudden decrease in energy. It’s not as easy as it sounds.

South Korea, China Poised to Make Colossal Investments in Wind Power. South Korea, a nation that recently announced it would spend 1 trillion won ($884 million) on feed-in tariffs for wind and solar projects, on Nov. 10 said it planned to invest 10.2 trillion won ($9 billion) in a 2.5-GW offshore wind farm that could […]

Gas turbines are expensive. Although peaking units aren’t as costly as baseload units, letting them sit idle is still a waste. Yet that is what peaking units spend nearly all their time doing. Some operators only fire up their units a few days a year. That is like putting money in the bank and collecting interest a few hours at a time, rather than all year round. That strategy only works when the payback is extremely high for those short periods.

U.S. optimism has been restored by reports of abundant, reasonably priced natural gas to fuel most new generation; however, huge gaps in the fuel delivery system (thousands of miles of pipelines are needed) will soon challenge gas plant development. Meanwhile, the cloud of sovereign debt hangs over all major capital projects in Europe, where the UK moves ahead with new nuclear projects while many of its neighbors shut the door on nuclear and struggle to finance their commitment to renewables.

As demonstrated by last fall’s unexpected snowfall in New England and the Mid-Atlantic states, and the ensuing lengthy outages and public outrage, crisis communications is a hot topic for power utilities. And in addressing that topic, the role of social media is getting attention as a tool for disaster management.

The Five-Year Plan is the expression of the centralized planning goals for China’s economy. The 12th Five-Year Plan, approved by the Chinese Government on March 14, 2011, established many social and economic goals, including significant expansion of the country’s power generation industry in many new directions.

Welcome to "Workplace Drama," a new, regular MANAGING POWER column by noted communications and human resources expert Marlene Chism. Her column will appear in each issue, and as the column progresses, we hope to hear from you with real-world situations and questions, to which Marlene will respond.

Utility organizations are struggling to find a way to more effectively and efficiently communicate with their customers about basic information, including their amount due, ways to lower energy usage, and promotions.

Fluor Enters Small Modular Reactor Market, Backs NuScale. Fluor Corp. on Oct. 13 announced it planned to invest more than $30 million in NuScale Power, an Oregon-based small modular reactor (SMR) technology company. As part of its investment, Fluor has purchased the company’s shares that had previously been in U.S. Securities & Exchange Commission receivership […]

Stable grid operation is challenging, especially when intermittent and unpredictable renewable generation is added to the generation mix. For NorthWestern Energy, the best solution was adding fast-acting gas-fired generation to its Montana electricity grid to meet required reliability standards while replacing expensive third-party contracts for ancillary services.

South Africa is at a critical turning point. An uncertain environment for private investment, escalating electricity prices, and a lack of available power threaten South Africa’s position as an attractive investment destination for many of the country’s most important industries. Power has been placed at the forefront of the government’s agenda, but South Africa needs a collaborative effort to meet the country’s energy demands and diversify its generation portfolio in order to drive economic growth.

The number of companies pulling out of the nuclear business continues to grow. Just weeks after Louisiana-based engineering firm The Shaw Group announced it would sell its 20% stake in the nuclear company Westinghouse back to partner Toshiba, German engineering conglomerate Siemens said that, prompted by the German government’s decision to phase out nuclear power by 2022, it would quit the nuclear business.

A German finance court in September questioned the constitutionality of a controversial tax on fuel used in nuclear power plants, a decision that could influence rulings in various finance courts around the country that are reviewing complaints by nuclear operators regarding the levy.

Wärtsilä to Provide Rwanda with Engines for Lake Methane Power. Wärtsilä on Sept. 30 said it was awarded a contract by KivuWatt, a subsidiary of the New York–based international power company ContourGlobal, to supply a power plant to the Republic of Rwanda. The turnkey project is of particular significance because the power plant will utilize […]

As less is heard about the promise of new nuclear reactors in the U.S., more is being heard about the problems of the geriatric atomic set.

In the past few years, nuclear concerns, rising oil prices, and a growing understanding of our environmental impact has given energy issues a higher profile worldwide. In this report on the Continental Nordic countries, we look at the efforts being made in much of the Nordic region to secure a sustainable energy supply for the future and at the extent to which the innovative solutions of these countries can be exported around the globe.