JenGE Energy • Jenbacher gas engines • Issue 3/2009

co

More PowerSignificant increase in type 6 engine efficiency

Southeast Asia and IndiaThe need for more power

Lifetime Services PlusThe right service at the right time

Content02 editorial

CEO story03 Investinginthefuture

technology & product news05 LatestdevelopmentfromJenbach:J6F

07 J624–Thefuturehasalreadybegun

09 Type6enginesnowavailableincontainer

industry news 11 Pushingtheenvelope:CogenerationinEurope

13 SmartGrid–Empoweringsmarterenergychoices

15 Multiple-engineapproach

applications and solutions17 Promisingelectricitysupplierforthefuture:Biowaste

distributors and service providers21 NewsfromtheChampionsLeague

23 Ultimateambition:Maximizedcustomersatisfaction

region special25 SoutheastAsiaandIndia:Theneedformorepower

33 Turningwasteintoenergy

service35 Investingintailoredsolutions:LifetimeServicesPlus

37 Intopform

39 Sofar,sonear:ConnectingcustomersremotelyinAsia

40 Fasterandsmarter:Digitizingfieldservice

41 Newfromold:MajoroverhaulofStrasswastewatertreatmentplant

supply chain 43 ThecorecomponentfromTyrol

personality story45 AninterviewwithMichaelWagner,MarketingLeader

47 feedback and masthead

home base48 Fromthecitytothemountain-top

Dear Customers and Readers!

A great deal has changed since the last

issue of CoJen, our magazine for Jenbacher

customers and all those interested in gas engine

technology. The development of the world

economic situation has us all waiting with bated

breath, and it is still not clear what the situation

will be in the short term. Nevertheless, from

the point of view of the gas engine industry, we

are cautiously optimistic, since the business

foundaments are strong and we can see that

worldwide demand for flexible, decentralized

energy solutions will continue to be high in the

medium to long term.

We should therefore like to use this latest issue

of CoJen to tell you more about interesting

technical developments and worldwide trends

in the gas engine industry. A new version of the

series 6 engines – developed in Jenbach and

now available in series production – offers in-

creased efficiency and power output, and hence

greater profitability for the plant. Besides, there

is naturally news about the J624 – the world’s

first 24-cylinder gas engine.

Also in this issue, we examine the latest trends in

the energy industry, and have also been fortunate

enough to obtain some interesting guest con-

tributors on the subjects of combined heat and

power and “smart grid”, a particularly relevant

concept for intelligent, demand-oriented elec-

tricity networks. In this issue of CoJen, we also

introduce one of our international distributors –

Clarke Energy, who has notched up impressive

successes in fourteen years as Jenbacher

distributor. In the Regional Special, this time we

analyze the interesting region of Southeast Asia,

where the expansion of the electricity grid has

become a real driver of economic growth.

In the Service focus of the magazine we take a

look at our new “Lifetime Services Plus” concept

with active life-cycle management for our

customers.

As always, we attach great importance to your

feedback on our magazine, which is why we are

asking you please to take part in our survey. This

time there is also a very special prize to be won:

a weekend for two in Innsbruck, Tyrol. At this

juncture we should like to thank all those who

took part in the survey in the last issue of CoJen.

The winners of our Retro Radios were Jacques-

Yves Bourgon of ArcelorMittal, France, and Elvinas

Zabas of our distributors Filter in Lithuania. Finally,

on behalf of the entire editorial team, I wish you

an interesting read and look forward to your

feedback on CoJen!

Martina Streiter

Jenbacher Communications

Jeneditorial co

02

An unprecedented economic environment is putting pressure

on almost every industry today. Although predictions for the near

future are hard to make, GE’s Jenbacher team is convinced it is in

the right business with its gas engines. “We do not see projects

being cancelled. Postponements due to mainly fi nancing issues is

what we currently face as a challenge,” says Prady Iyyanki, CEO

of GE’s Jenbacher gas engine business. “In the mid- to long-term,

we feel very confi dent that the gas engine business will continue

to grow.”

“Inthemid-tolong-term,wefeelveryconfidentthatthegasenginebusinesswill

continuetogrow.”

Even if project owners and customers are facing economic pres-

sure, the need for power and decentralized highly effi cient power

solutions based on gas engine technology has not disappeared.

In addition, growth assumptions for global power needs doubling

until 2030 still appear valid. “In order to come out of this current

situation stronger than before, we have taken some actions in

our business to remain competitive, build our strengths and foster

innovation,” Iyyanki says. GE’s gas engine team follows three key

initiatives in which it strongly invests: service, technology and

globalization.

“GE’sJenbachergasengineteaminvestsinthreefocusareas:

service,technologyandglobalization.”

the current economic situation is resetting the entire world economy. many industries

face challenging times as fi nancing issues delay numerous projects in nearly every

region. rising to this challenge is gE Energy’s Jenbacher team, which has found that

the recipe for success is really not that complex: Continuous investment in the future

is the key to emerging from this situation stronger than before.

Investing in the future

Jen CEO storyenco

03

glObal SEtup fOr wOrldwidE SuCCESS.

From 2008 to 2009, the global Jenbacher

network of distributors and service providers

grew signifi cantly from 45 to now 60 cooperat-

ing companies worldwide. Recent additions to

the network include additional distributors in

such key countries as China and Russia. “We

strengthen our global distribution network in

order to provide our customers with more local-

ized solutions, much-needed local engineering

expertise and consultancy on the technical as

well as commercial side,” Iyyanki explains.

“Westrengthenourglobaldistributionnetworkinordertoprovideourcustomerswithmorelocalizedsolutions.”

But the third-party network is not the only area

of growth for the Jenbacher organization. In ad-

dition, it is expanding on a global basis. “We are

just about to open a new Service hub in South

Africa that will serve the southern part of the

African continent with original Jenbacher spare

parts as well as highly experienced technicians

who can also be a valuable resource for our

distributors and service providers in the region,”

Iyyanki says.

A new service shop in Singapore is operational

since last year, and recently the decision was

made to move some Jenbacher technicians into

GE’s Kaluga Service Shop that will be built up in

Russia. “All moves aim to be closer to the custom-

ers, addressing questions and issues in the local

language with local expertise,” Iyyanki says.

“Allmovesaimtobeclosertothecustomers,addressing

questionsandissuesinthelocallanguagewithlocalexpertise.”

lifEtimE SErviCES frOm gE. Guiding custom-

ers through the entire life cycle of their engines is

one of the key principles that the new Jenbacher

Service organization is following. “Enhanced Re-

mote Service capabilities, strong global coverage

in terms of fi eld technicians, and new commercial

as well as technological service offerings are

designed to help our customers make the most of

their GE equipment, benefi ting plant economics

as well as taking a lot of workload from our end-

users,” Iyyanki says. The enhanced approach is

refl ected in a new marketing concept – “Lifetime

Services Plus” for Jenbacher gas engines. The

campaign will provide customers with on-hand

information on new service offerings, contract

models and upgrade concepts.

tEChnOlOgiCal innOvatiOn fOr futurE

grOwth. In line with its strong history of innova-

tion, GE’s Jenbacher team is now designing the

innovations for the future success of its custom-

ers. Just recently the new J624 engines reached

full commercialization. The newly released J6F

version of the Jenbacher series 6 engines, com-

mercially available since early 2009, is signifi cantly

increasing output and effi ciency. “Our efforts in

innovation are focusing on what our customers

need to work more effi ciently and achieve better

plant economics,” Iyyanki says. “Innovation is a

growth tool not only for us at GE, but foremost for

our customers.”

“Our efforts in innovation are focusing on what

our customers need to work more effi ciently

and achieve better plant economics. Besides

enhancements of our existing product lines, we

are working on additional projects to expand

our product portfolio, but also to enhance our

service offerings,” Iyyanki says. Among these

enhanced offerings are fi nancing opportunities

that the team wants to create.

JenJCEO story co

Strong cooperation with the GE Capital division

and fi nancing partners with global reach has

been kicked off to help customers receive much-

needed funding for fundamental projects.

The signifi cant investment being made in the

future will certainly pay off in the long run, allow-

ing GE’s gas engine business to come out of the

current economic situation even stronger than

before.

“Oureffortsininnovationarefocusingonwhat

ourcustomersneedtoworkmoreefficientlyandachievebetterplanteconomics.”

Until the world economy picks up again, con-

scious cost management and a strong focus

on execution on customer commitments paired

with the investment in technology are how the

Jenbacher team secures its business and best

serves its customers._

04

SignifiCant pOwEr inCrEaSE. For GE, the new

Jenbacher J6F series represents an extremely

competitive gas engine that sets new standards

for engines with speeds of up to 1,500 rpm,

underscoring the competitiveness and techno-

logy leadership of GE Energy’s gas engines

division. The remarkable feature of the J6F is a

10% increase in power output – to 3.3 MW for the

20-cylinder engine. The increase in electrical

efficiency depends on the application, but can

be improved by up to a whole percentage point

to approximately 45%. Overall, this represents a

significant increase in engine efficiency. At the

same time, thanks to its optimized combustion,

the J6F also produces fewer uncombusted

hydrocarbons (HC).

a hEart Of StEEl. The new engines of the J6F

series take advantage of the innovative techno-

logies that have already been successfully intro-

duced with the J624. For example, the possibility

of operating the engine at a higher break means

effective pressure of 22 bar was a decisive factor

in increasing its efficiency. And it is here, too, that

the value of a heart of steel becomes apparent:

Steel pistons have higher peak pressure capabil-

ity compared to aluminum pistons. At the same

time, the J6F geometry has also been optimized.

Another technological enhancement is the new

generation of turbochargers, which have a higher

pressure ratio. This makes it possible to optimize

the Miller valve timing, thus shifting the knock

limit, which translates into improved combustion.

lifElOng SavingS. The improvements to the

J6F series engines translate into cash for the

customer. Increased efficiency means a longtime

reduction of operating costs, and hence a reduc-

tion in the overall cost of the electricity gener-

ated, which depends mainly on the price

of gas. Since gas prices are expected to continue

to rise over the next few years, this savings may

be particularly significant.

Highefficiencyandincreasedpoweroutputensurelowerpowergenerationcostsforcustomers.

nEthErlandS putS itS truSt in JEnbaChEr

tEChnOlOgy. The pilot customer for the J624

was in the Netherlands, and the two pilot plants

for the J6F series engines are also Dutch compa-

nies. This is not merely by chance, for when it

comes to using the latest technologies for

combined heat and power generation, or for

CO2-fertilization for greenhouses, the Dutch lead

the way – as does the Jenbacher product team

in innovation and research in the field of energy

efficiency and power output. The fact that the

worldwide Jenbacher Center of Excellence

for greenhouse applications is also located in

the Netherlands shows that GE has long since

recognized these synergies and used them to

good effect.

grEEn EnginE, COlOrful fruit. Each of the

two pilot projects for the improved J6F series –

the rose grower Baarenburg and the tomato

growing company of Prominent Kabel – has

installed a natural gas-fueled engine of the

type J612F. Together, these plants exceeded the

10,000 operating hour mark at the beginning of

2008. Both plants are combined heat and power

stations that provide the greenhouses not only

with electricity and heating, but also with CO2 for

fertilizing. The Prominent growers’ association,

to which the tomato grower Kwekerij Kabel also

belongs, has already gained experience with

three Jenbacher engines of the Type J616.

“The J6F’s commercial launch has come at a

perfect time to help horticultural companies and

other industries support the energy efficiency

standards set by the EU. The advanced technol-

ogy enables less power generation costs and

gE’s Jenbacher team has another milestone from product

development to report in this issue of CoJen. in the wake of

the J624 24-cylinder gas engine, the latest innovation from

gE Energy’s gas engines division is referred to as the “J6f”, a

designation standing for the new, improved engine type based

on decades of experience with the tested and successful series

6 engines.

J6F

Jen technology & product newsco

Latest development from Jenbach:

05

–> thE imprOvEd SEriES J6f alrEady running at thE dutCh rOSE grOwEr baarEnburg

Jentechnology & product news co

thus overall lower production costs,” agree Lars

van Bar, General Manager of Kwekerij Baaren-

burg, and Richard Hartensveld, General Manager

of Kwekerij de Kabel.

“Theadvancedtechnologyenableslesspowergenerationcostsandthusoveralllower

productioncosts.”– Lars van Bar,

General Manager Kwekerij Baarenburg, and

Richard Hartensveld, Kwekerij de Kabel

bEttEr tOgEthEr – tOgEthEr bEttEr.

The Prominent slogan could well stand for the

successful further development of Jenbacher

products from GE: “Together we can achieve

success.” For apart from the dedication of the

Jenbacher development team, the significant in-

crease in the power output of the J6F series was

mainly thanks to close collaboration between GE

and its customers. This proximity to the customer

has made possible the continuous development

and improvement of all our products. It will

be interesting to see what the project pipeline

produces next in the service of enhanced engine

efficiency!_

06

Facts & figuresJ624 – key technical data

Jen technology & product news co

J624 – The future has already begun!

the J624 – the world’s first commercially operated 24-cylinder gas engine – was the most

important product innovation from Jenbach in recent years. in 2007, it was presented to

the general public, and it went into operation in a dutch pilot program in 2008. the engine

embodied the concerted effort of over half a century of experience at the forefront of gas

engine technology.

In the first issue of CoJen, we presented the innovative J624

24-cylinder gas engine as a quantum leap in gas engine techno-

logy. In the next issue, we were already able to report on its

commissioning in a Dutch pilot project with our customer Royal

Pride Holland.

Ever since September 2008, the first two J624s have been supply-

ing the Dutch tomato greenhouse with electricity, heat and CO2

for faster plant growth.

AsingleJ624withanoutputof4MWcancoverthepowerneedsofabout

9,000Europeanhomes,reaching46%electricalefficiency.

Meanwhile, the Netherlands has already installed five J624 pilot

engines, which have logged a total of 6,000 operating hours. The

optimization work, which naturally has to be allowed for in any

pilot scheme, has since been carried out, making the J624 ready

for operation for a wide group of customers.

SuCCESSful Start Of SEriES prOduCtiOn. Series production

of the J624 started in November 2008 with the objective of world-

wide engine commercialization. It was not by chance that the first

pilot plant was located in the Netherlands. With a large number

of greenhouses and its enthusiasm for employing the very latest

technologies, the Netherlands is one of our most important target

regions for the J624.

Of vinE tOmatOES and bOuquEtS Of rOSES. The first series-

produced engine was also delivered to the Netherlands. In Febru-

ary 2009, it was dispatched to the country’s largest producer of

cut roses, Zuurbier. The biggest order to date for Jenbacher’s

most powerful gas engine was received in November 2008, when

vine tomato grower Red Harvest ordered three J624 engines.

However, the J624 also represents a highly efficient, innovative

engine concept for other energy-hungry industries the world over.

What does the future hold for the flagship amongst Jenbacher

engines? CoJen will keep you posted._

· first 24-cylinder gas engine for commercial operation

· lean burn, turbocharged, mixture cooled gas engine

· Compact high-speed engine with 1,500 rpm

· first fast-running gas engine in the 4 mw power range

· about 11.6 m long, 2 m wide and 2.5 m high

· total weight: 41 metric tons

· bore x stroke: 190 mm x 220 mm

· total displacement: 150 l

· fuel flexibility: natural gas and a variety of renewable or

alternative gases

· Electrical output: 4 mw

· Electrical efficiency: approximately 45%

· Overall efficiency: up to 95%

07

Jentechnology & product news co

–> in SEptEmbEr 2008, thE firSt J624 24-CylindEr gaS EnginE wEnt intO OpEratiOn fOr thE dutCh pilOt CuStOmEr rOyal pridE hOlland

Theworld’sfirstJenbacherJ624pilotengineprovideselectricity,heatandCO2asfertilizerfor

fasterplantgrowth.

08

The idea of delivering a gas engine as a

modular container solution ready for installation

is nothing new in itself. GE’s Jenbacher type 2, 3

and 4 gas engines have been installed like this

for years. What is new, however, is that since

the beginning of 2009, the Jenbacher team has

been able to deliver its type 6 gas engines (out-

put 2 to 4 MW) all over the world as container

systems.

“The decisive factor in the decision to realize such

a technically demanding modular concept was

the request from a customer from Komi, Russia”,

says Martin Widner, Application Engineer at GE.

This was the impetus for the development of the

new “jumbo container”. Since the marsh forests

of the tundra are readily accessible only for a

few months in the winter and temperatures of

around minus 40 degrees Celsius are normal at

this time of year, a solution had to be found that

would allow plants to be built quickly and safely.

CuStOmEr SuCCESS thrOugh innOvatiOn

and tEamwOrk. In close cooperation with

Power Solutions, sales provider for Jenbacher

gas engines in Russia, a suitable associate for

the development of a modular container system

for the powerful type 6 engines was sought.

Another tailored customer solution from Jenbach:

the komi republic, an autonomous republic in russia, lies in a sparsely inhabited region of taiga

and tundra. although it is rich in natural resources such as petroleum and natural gas, the region’s

remote villages and industries often experience problems with local power and heat supply. for

distant parts of the world like this, gE has developed a modular container system that allows

Jenbacher gas engines to be delivered and assembled in a very short time period, even under

challenging conditions. Since the beginning of 2009, this successful container concept has been

available for the powerful type 6 gas engines, too.

Type 6 engines now available in container

Jen technology & product newsco

–> SinCE bEginning Of 2009, JEnbaChEr typE 6 EnginES arE availablE aS rEady-fOr-inStallatiOn COntainEr SOlutiOnS

09

“Together,wesucceededinbuildingastandardizedcontainer

thatcombinesexcellenttransportstabilityandreadyaccess

formaintenancework.”

The issue was that up to 40 metric tons of lifting weight had to be

safely transported – a considerable strain on the container.

GE therefore decided to enter into a collaborative agreement with

a leading Austrian construction company that specializes in the

development of largescale containers in light-weight design.

“Together, we succeeded in building a standardized container

that combines excellent transport stability and ready access for

maintenance work. That has never been achieved before”,

continues Martin Widner. The customer from Komi can now

completely cover its own energy needs and also dependably

supply the surrounding villages in the region with power and

heat.

ShOrt dElivEry timES and minimal prEparatOry

COnStruCtiOn. With the modular container solution for type

6 engines, a complete power plant unit can be delivered in six

trucks and completely assembled in just a few days. A base plate

suitable for the weight and size of the plant and the gas supply

are the only requirements the future plant operator must meet. A

complete water, oil and ventilation system are already integrated

in the container system. There are absolutely no tedious approval

processes for the construction of an engine room.

mOrE SECurity fOr finanCing. When customers decide to

buy a Jenbacher modular container system, they receive a com-

plete solution from one source – from production and assembly

to service and maintenance. The ability to rapidly disassemble

a container plant and reuse it for other projects represents ad-

ditional security for financing. Financing institutions are more will-

ing to invest in mobile plants, especially in economically difficult

times, and this makes it easier for customers to purchase urgently

needed energy systems.

Acompletepowerplantunitcanbedeliveredinsixtrucksand

completelyassembledinjustafewdays.

In addition to conventional credit financing, a wide variety of leas-

ing possibilities are tailored to the customer’s needs. Finally modu-

lar container systems are far easier to insure than, for example,

plants assembled in halls, as they have a clearly definable value at

any moment. Customers can feel an enhanced element of security

when purchasing a container system._

Jentechnology & product news co

–> EvEn undEr ChallEnging COnditiOnS, JEnbaChEr gaS EnginES Can bE dElivErEd and aSSEmblEd in a vEry ShOrt timE pEriOd, thankS tO thE mOdular COntainEr SyStEm

Reliableenergysupplyforremoteareas.

10

Yet, the use of cogeneration as an efficiency

measure for the joint production of heat and

power is still not a widely discussed option in the

energy policy of European Union member states.

Decision makers may have little information

about cogeneration, and the public at large (out-

side a few specific member states) are not really

aware of the technology. Cogeneration gets very

few column inches in the reports on energy news

and climate change and is hardly mentioned in

member state energy debates.

EurOpEan EnErgy pOliCy. The European

Union has three pillars to its energy policy:

Security of supply, climate change abatement

and economic sustainability. In 2004, it adopted

a Cogeneration Directive, which recognized that

the potential positive impact of cogeneration

on security of supply and energy efficiency was

such that the EU would seek to promote the wid-

est possible adoption of cogeneration. Despite

good beginnings the legislation has made only

slow progress into active member state policy,

and it is only now in 2009 that the EU can really

claim to have completed the legislative process

and to be starting fully on implementation of

the Directive. Full and robust implementation of

the Directive will bring large energy efficiency

benefits to the European Union. However, mem-

ber state governments must show leadership, if

this advantage is to be achieved. Cogeneration

today needs a supportive policy environment, if

the sector is to expand. While the logic of using

energy as efficiently as possible is clear, the eco-

nomics of today’s energy sector do not provide

adequate returns to ensure cogeneration inves-

tors a financial return for their efficiency. While

in a fully functioning, perfect, free marketplace

efficient cogeneration would be competitive,

today’s energy sector is far from perfect.

Withcogenerationthereisclearandimmediatebenefitto

societyasawholefromusingfuelmoreefficiently.

The lack of internalization of the externalities of

energy costs distorts the sector for cogeneration

as do incomplete liberalization and the several

subsidies (direct or indirect) on energy, which still

exist in member states. All these things mean

that the return on what is a wise investment

for society is lower than many investors will

accept and carries a sobering level of risk. With

cogeneration there is clear and immediate ben-

efit to society as a whole from using fuel more

efficiently. But a new cogeneration operator has

to take on additional risks over and above his

core business requirement for energy use. In this

environment the role of policy is crucial. It signals

to investors that there is structure to the risk they

are undertaking and that they will be compen-

sated for taking that risk on behalf of society.

thE advantagES Of COgEnEratiOn.

Europe has a lot to gain from the wider use of

cogeneration. Through its high energy efficiency,

the technology cuts down total fuel demand

compared to the separate production of electric-

ity and heat. Through the reduction in primary

energy use, and the higher efficiency, cogenera-

tion reduces CO2-emissions, and as a mature

available technology today it is one of the most

immediate solutions, which we have available

right now. Additionally, by its distributed nature,

it reduces electrical grid losses and creates local

employment. A cogeneration plant is compa-

rable in size to the boiler technology it replaces.

It can cohabit well with domestic or commercial

organizations, and its effect is fuel independent.

inCrEaSing CapaCity. The member states of

the European Union are currently assessing just

how big the potential for cogeneration is. As part

today, 11% of Europe’s electricity is supplied through cogeneration plants. there are several

industrial sectors where cogeneration is an integral part of the modern process: chemicals,

paper making and oil refining are three of the most visible. these industrial processes demand

a high heat load, and electricity can be generated as a by-product either for use on-site or for

export to the grid. in northern Europe, the significant domestic heat loads of modern cities have

encouraged district heating schemes, which typically now are also cogeneration applications.

however, the vast majority of cogeneration plants are small, with generating capacity under

10 mw. Schools, hospitals, universities, farms, commercial buildings and sports complexes are

all potential applications for cogeneration.

A story by Fiona Riddoch, Managing Director COGEN Europe

Cogeneration in EuropePushing the envelope:

Jen industry newsco

11

Jenindustry news co

COgEn Europe works with the European union institutions and

promotes the interests of the cogeneration sector within the

European legislative process. the association has a broad mem-

bership base and represents both the manufacturers of cogen-

eration equipment and the users of that equipment and most of

the supply and contract chain in between. based in brussels, the

association was founded in 1999 and was one of the main actors

in shaping and in forming the Cogeneration directive (2004/08/

EC), which provides the main policy framework for cogeneration

in European union law. COgEn Europe members are active par-

ticipants in the work of the association and collectively aim to

ensure that the interests of the sector are understood and taken

into account in all aspects of the legislative process that effect it.

COGEN Europe:

Author

of their responsibilities under the Cogeneration Directive member

states will submit their own estimates of the cogeneration poten-

tial in their country. Early results are interesting. Every member

state, which has reported, shows potential growth. Several,

including Germany, targeted or have shown that a doubling of

the current capacity is possible, bringing cogeneration in Europe

to 22% of electricity supply. However, there is reason to believe

that more still could be achieved. The potentials study in Germany

showed that there is economic potential for cogeneration to

supply over 50% of Germany’s electricity. If there was the political

will to do this, there is no technical impediment. The Netherlands,

Finland and Denmark already generate over 40% of their electric-

ity from cogeneration.

CogenerationtechnologyhelpstorealizetheEuropeanUnion’senergytargets:

securityofsupply,climatechangeabatementandeconomicsustainability.

invEStmEntS pay Off. The benefits to European citizens of full

expansion of cogeneration are a low risk path to short and medium

term benefits in security of supply, climate change reduction,

employment and their economies. Investment in cogeneration

makes good social and economic sense._

Throughthereductioninprimaryenergyuseandhigher

efficiency,cogenerationreducesCO2-emissions.

12

managing director COgEn Europe

fiOna riddOCh

Jenco industry news

But why now? Currently, world energy consumption is predicted

to triple by 2050 worldwide. Power outages and interruptions cost

the U.S. economy $100 billion annually. The U.S. spend $200,000

per minute, or $13 million an hour, on foreign fuels, and are produc-

ing less than 10% of energy domestically from renewable sources.

Moreover, increasingly overburdened electrical infrastructure is

quickly aging, undergoing little investment in 25 years.

Today, we operate in a 21st century society, built on a 19th century

electrical infrastructure, which functions with very little intelligence.

It might be surprising to learn that utilities typically hear about

power outages only through consumer calls. The “smart” grid,

however, will reflect the way we live today.

thE EnErgy intErnEt. Simply put, the smart grid marries IT with

our current electrical infrastructure, helping us support our 21st

century energy needs. The smart grid is essentially an “energy in-

ternet,” delivering real-time information and knowledge – empow-

ering smarter energy choices and delivering significant benefits:

• Optimizing renewable energy sources and enabling broader

penetration.

• Empowering consumers to manage their energy usage and

save money without compromising their lifestyle.

• Delivering increased energy efficiencies and decreased carbon

emissions.

• Increasing power reliability and operational efficiencies, deliver-

ing greater productivity.

dOing mOrE with lESS. With world energy consumption fore-

casted to triple by 2050, we need to find a way to do more with

less – and quickly. Smart grid technologies can help us get there

through increased energy efficiencies and better utilization of our

existing electrical infrastructure. What most people don’t know

is that there’s inherent waste in the way our power is currently

delivered. Without intelligent devices sensing how much voltage

consumers need, utilities will often deliver too much.

Smart grid, on the other hand, delivers just what’s needed. If

installed on 10% of the distribution feeders in the U.S., GE’s grid

efficiency technology (i.e. GE’s Coordinated Volt-VAr Control) is

designed to reduce electricity consumption by approximately

9.3 billion kWh per year, avoiding annual CO2-emissions equivalent

to the emissions of 1.1 million cars on U.S. roads.

Thesmartgridisessentiallyanenergyinternet,deliveringreal-time

informationandknowledge.

rEthink and rEduCE - EmpOwEring COnSumErS tO

managE EnErgy uSagE and SavE mOnEy. Today, most con-

sumers are in the dark when it comes to energy consumption and

costs. Yet, with electricity rates rising, consumers might be com-

forted to know that smart energy tools – such as smart meters

and home energy panels – provide real-time information to help

manage energy usage and save money.

It’s a fact! The utility’s cost of producing electricity varies through-

out the day. Yet the majority of residential electricity customers

imagine a world powered by clean energy, a world where consumers are empowered to save

energy and money, and a world where plug-in electric vehicles are commonplace. all of these

scenarios contribute to reducing our dependence on foreign fuels, slashing carbon emissions,

and improving energy security. this is a more sustainable world — a world made possible by a

“smarter grid”.

A story by Bob Gilligan, Vice President GE Energy Transmission & Distribution

Smart GridEmpowering smarter energy choices now:

13

Jencoindustry news

pay one set price – all day long. Smart meter

technologies and demand response programs

can change that through a feature called “time

of use” pricing, a method by which consumers

pay lower prices for electrical power during off-

peak periods.

Smartenergytoolsprovidereal-timeinformation

tohelpmanageenergyusageandsavemoney.

Empowering consumers with this knowledge can

help save them money by encouraging off-peak

usage of higher consumption devices, like wash-

ers, dryers or air conditioners. In addition to put-

ting consumers in control of their energy destiny,

these technologies will help utilities manage peak

demand from the source side. In a yearlong study

by the U.S. Department of Energy, smart grid cus-

tomers reduced peak consumption by up to 15%,

and overall consumption by up to 10%.

fuEling thE natiOn with ClEanEr,

rEnEwablE pOwEr JuSt gOt EaSiEr.

Developing “homegrown” renewable energy

is critical to reducing dependence on foreign

oil. However, once significant levels of alterna-

tive energy sources are integrated into the

power system, further deployments will not

be as simple as just “plugging them in”. One of

the greatest challenges with renewables – like

wind and solar – is that their power output is

inherently variable. Smart grid technologies can

help manage the variability of wind and solar to

help alleviate reliability issues caused by power

fluctuations.

Automated demand response technologies will

act as a lever that utilities can pull to help lower

demand in the event there is a gap in renew-

able power generation – for instance, if the wind

stops blowing. To address such contingencies,

a utility may incentivize consumers to opt into

programs that allow certain devices to be

temporarily switched off during peak times. In

the future, storage technologies could also help

utilities manage the short term imbalances in

the supply and demand of energy.

kEEping yOur lightS On JuSt gOt EaSiEr.

Smart grid technologies provide real-time

knowledge of grid status, enabling utilities to

prevent trouble before it occurs, or, in the event

of an outage, react quickly to reduce the impact.

Ultimately, utilities will move from “guessing” to

“knowing” with a technology that automatically

senses faults and operates controls to isolate

problems in seconds. Smart meters will also

help pinpoint exactly which customers are being

impacted.

“Smart grid” will help turn our greatest energy

challenges into lasting solutions. Empower-

ing consumers with choice and control will

make them part of the solution. Technological

investments can make the grid more capable

of integrating renewable energy or “at-home”

generation, and improved efficiency will help us

do more with less._

Itmightbesurprisingtolearnthatutilitiestypicallyhearaboutpoweroutagesonlythroughconsumercalls.

14

vice president, gE Energy,

transmission & distribution

Author

bOb gilligan

The world is experiencing enormous energy

challenges. Thanks in large part to strong

economic growth and increasing populations in

the world’s developing countries, global energy

consumption is expected to double by 2030. The

electric power utilities industry has been gearing

up for this issue of supply and demand for quite

some time, exploring many new options to de-

liver efficient, reliable electricity to its customers.

indEpEndEnt pOwEr prOduCErS (ippS).

Still relatively new kids on the block, IPPs aid

utilities in meeting power demand by generating

the power they need to support area growth

and peak demand periods. Not only has the

existence of a third-party player introduced

incentives like cost savings and performance

enhancements, but the highly competitive

nature of independent power production means

that IPPs are charged to employ, operate and

maintain the very best and most efficient gene-

ration systems.

Independent power producers may be privately

held facilities and most often do not possess

their own transmission facilities. IPPs usually

operate within the franchised territories of host

utilities and make electric energy available

for sale to utilities or the general public. But,

the equipment and method of generation IPP

companies employ is just as important to their

businesses and the utilities they support as their

ability to maintain and offer it reliably.

Highfuelefficiency,availabilityandreliability

supplementedwithflexibilityarethemostimportantadvantagesofmultiplegasengineplants.

prOvEn tEChnOlOgy SuppOrting lOCal

pOwEr nEEdS. In one of the largest orders of

GE’s Jenbacher gas engines to date, indepen-

dent power producers Doreen Power Generation

& Systems, Ltd., and Doreen Power House &

Technologies, Ltd., (subsidiaries of Asian Entech

Power Corp., Ltd and Saiham Power Plant Ltd,

respectively) purchased 28 of GE’s Jenbacher

J620 natural gas-fueled engines to support a

major rural electrification initiative in Bangla-

desh. Combined, the engines generate approxi-

mately 81 MW of electricity at four new power

plants in developing areas of the South Asian

country. Three power plants were built , each

with eight of GE’s JGS 620 GS-N.L. Jenbacher

generator sets; and a fourth plant features four

in a highly competitive environment where the ability to offer flexible, low-cost, reliable and high-efficiency power can mean the difference

between winning or losing a bid for an electricity supply contract, independent power producers must explore the most mutually beneficial

options for constructing a generation facility and meeting capacity needs. the stakes increase in developing areas where demand is high and

an ipp may be the only power supplier supporting the grid.

Multiple-engine approach

The preferred method of electricity generation for independent power producers:

Jen industry newsco

of the units. Utilizing the region’s natural gas

supplies as a primary fuel source to generate

electricity, the generator sets support the

national grid and help Bangladesh to meet its

increasing power demand. The move was part

of a government initiative to reform the

country’s power sector, including through the

development of IPPs. It also gave GE an oppor-

tunity to showcase GE’s Jenbacher gas engines

as a viable option for growing power demand

in rural areas, along with proven success in the

industrial sector.

“GE’s Jenbacher gas engine technology is

already well-known as a cost-effective power

generation system approach for the Bangladesh

industrial sector. We have chosen Jenbacher

gas engines for our rural electrification projects

based on the units’ reliability and performance

record,” said Tahzeeb Alam Siddiqui, managing

director of Asian Entech Power Corp.

a quEStiOn Of prOfitability. Generating

electricity with multiple natural gas-fueled

engines offers the added benefit of combined

reliability and accessibility not available with a

single prime-mover, as well as other significant

advantages, making this approach a highly

economical solution for IPPs.

15

• high fuEl EffiCiEnCy: Using multiple en-

gines offers near maximum value efficiency with

the combined conversion of energy. A multiple-

engine approach ensures that the engines are

constantly running at or near their projected

load, which yields the highest efficiency and the

lowest possible maintenance costs. Because of

their high fuel efficiency as single engines, multi-

ple gas engines provide a rapid response to load

changes. In other words, if demand changes,

the output, or delivered electricity, can be easily

adopted by switching a number of engines on or

off, keeping the combined efficiency high.

• availability and rEliability: In the event

of an outage emergency, the necessary quantity

of reserve power is also relatively low when mul-

tiple units are employed because one unit failure

affects only a small sum of the total output.

“Itisthecombinationofbenefits,thatmakesthemultipleengineapproachaneconomicalandhighlyattractivesolutionfor

IndependentPowerProducers.”

In fact, multiple engine plants have achieved

near 100 percent reliability ratings, which gives

Jenindustry news co

Multiple gas engines

Single prime-mover

the customer the advantage of a stable electric-

ity grid. Service maintenance also becomes a

more seamless process in the multiple engine

approach. Unlike plants run by one prime-mover,

where a great deal of supply capacity is needed

for scheduled maintenance, smaller engines

operating in parallel can receive scheduled

maintenance in sequence so that less spare

capacity and no outage time is necessary.

• flExibility: An added bonus is the ability

to install or remove engines quickly and alter

configurations in the multiple engine approach

to satisfy changes in demand. This allows the

abbildung 1: EffiCiEnCy Of multiplE gaS

EnginE plant COmparEd tO a SinglE primE-

mOvEr.

IPPs high flexibility when capacity needs must

be increased. With gas engines, extending or

downsizing the plant can be done in a much

shorter time and at a lower cost as compared to

traditional prime-movers.

• lOw EmiSSiOnS: Natural gas is characterized

by the lowest CO2-emission level among fossil

fuel. The utilization of natural gas in gas engines

allows for particularly low emissions of SO2, NOx,

and particulate matter.

“Distributed power generation with multiple gas

engines provides high efficiency and maximum

reliability at relatively low specific costs. Our

engines are characterized by a compact design

and high power density, and therefore require a

comparatively small footprint”, explains Martin

Schneider, product line manager at GE’s Jen-

bacher gas engine business. “It is the combina-

tion of benefits, that makes the multiple engine

approach an economical and highly attractive

solution for Independent Power Producers.”_

16

–> gEnErating ElECtriCity with multiplE gaS EnginES OffErS thE addEd bEnEfit Of COmbinEd rEliability and availability

What do Austrian wine growers, a Thai

palm oil producer, a U.S. dairy farm and a Paki-

stani biofuel producer have in common? Quite

simply, they all produce tons of organic waste

that can be used to generate biogas. “I really

don’t like using the term ‘waste’ when we are

talking about residue from agricultural produc-

tion. Rather, we see it as a valuable source of en-

ergy, where the objective is to make good use of

it ,” says Thomas Elsenbruch, Marketing Program

Manager for GE’s Jenbacher gas engines.

Biogasisanatural,purelyecologicalproductthatisextractedfrombiomassat

biogasplants.

fOllOwing naturE’S ExamplE. Biogas is

a natural, purely ecological product that is

extracted from biomass at biogas plants. When

organic waste material undergoes anaerobic

fermentation – a controlled decomposition pro-

cess – a mix of gases is given off that consists of

50 to 70% methane (CH4) and 30 to 50% carbon

dioxide (CO2), depending on the makeup of the

source material. Almost all organic substances

can be transformed into biogas in this way,

although the yield may vary significantly based

on the source material. For example, a ton of

chicken manure can produce 50 m3 of biogas.

The same amount of pig manure will yield only

21 m3 of biogas.

Biogasisanespeciallyhigh-valuefuelthatis

ideallysuitedforrunninggasengines.

Biogas is an especially high-value fuel that

is ideally suited for running gas engines. The

energy produced can be used either for the

company’s own electricity needs or can be fed

into the public power grid. The heat generated is

typically used as heat supply for the plant. And

finally, the material left over from the fermenta-

tion process is used as a high-quality fertilizer in

agriculture.

GE’s Jenbacher business has been supplying

biogas-fueled gas engines all over the world for

more than 30 years. The number of delivered en-

gines has now grown to more than 1,500 units

– and growth has accelerated rapidly in recent

years. From the vast expanses of the northern

U.S. to the tropical hills of Thailand, Jenbacher

biogas engines operate reliably in extremely

varied climatic conditions.

Promising electricity supplier for the future:

all over the world, consumption of energy is increasing steadily due to industrialization and population growth. more and more

countries are now looking for alternatives to fossil fuels as a means of generating power. the goals of these initiatives are usually

to protect the environment and to gain independence from foreign suppliers. above all in agriculture and waste management, the

use of organic waste products in biogas plants is opening up undreamed-of potential for the generation of electricity and heat.

germany, for instance, is taking a leading role in these international efforts with its renewable energy law. numerous countries

are following this example, and biogas plants are achieving a boom never seen before.

Biowaste

Jen applications and solutionsco

frOm “manurE lakES” tO “EnErgy lakES”.

With 1,100 milk cows, the Norwiss dairy farm

appears quite similar to countless others in the

“dairy state” of Wisconsin. Every day, the animal

residents of the farm produce an incredible

70,000 liters of liquid manure, which are stored

in so-called “manure lakes”. Apart from the

unpleasant odor, these vast amounts of liquid

manure caused by the density of cattle in the

U.S. make up approximately 15% of anthropo-

genic methane emissions.

The Norwiss farm differs from the area’s other

farms in one respect: By using the biogas gained

from the fermentation of cow manure for power

generation, the “manure lakes” have been

turned into “energy lakes”. The farm now not

only completely covers its own energy needs,

it also supplies 600 households with reliable

electricity. The original rethinking in this case

took place on a small scale. Now, Wisconsin is

expected to introduce changes at the state level

that could lead the U.S. to a greener future.

thE mOSt plEntiful Oil in thE wOrld and

what it iS uSEd fOr in thailand. In terms of

volume, at more than 42 million metric tons, more

palm oil is produced than any other plant oil in the

world. It is used primarily in the food, cosmetic >

17

Jenapplications and solutions co

Residuesfromagriculturalproductionareavaluablesourceofenergy,wheretheobjectiveis

toturnwasteintoenergy.

18

and aluminum industries, but it can also be

mixed with diesel or converted directly to biodie-

sel. Planting oil palms is very promising because

the industry boasts a particularly high yield per

acre – one of the main reasons for the popular-

ity of palm oil farms around the world. There is

a dark side, however: The oil production process

generates huge quantities of organic waste

material that, if not processed, has a negative

impact on the ecological balance of the region.

Morecountriesnowrecognizethebenefitsofecological

andautonomouspowersupplyasahugeadvantageandare

followingtheexampleofGermany.

Natural Palm Oil Ltd. in southern Thailand has

made a long-term goal of recycling the waste

material from its palm oil mills. Two Jenbacher

gas engines are already supplying 33,000 Thai

households reliably with electricity. Recently,

an order was placed for a third engine. “We are

very pleased with both power plants’ results. The

high reliability of Jenbacher gas engine on-site

power technology convinced us to install another

Jenbacher unit for our power plant production

capacity expansion at the Chumporn mill,” said

Preecha Kuansongtham, Director of Natural Palm

Oil Ltd.

high-prOOf pOwEr Supply. In Pakistan, a

Jenbacher gas engine found its way to a local

ethanol factory run by Shakarganj Mills Ltd. It is

used there to convert the biogas incurred in the

production of ethanol from sugar cane into elec-

tricity. As a renewable energy project, the plant

is eligible for carbon credits because it enhances

energy efficiency at the mill and displaces the na-

tional grid’s energy generated from fossil fuels. By

using the biogas instead of fossil fuels for power

generation, the plant is expected to produce

approximately 20,000 tons of certified emissions

reductions annually. However, the potential is far

greater. “With 225 million liters of ethyl alcohol

produced annually in Pakistan, we expect many

other distillery companies to install similar plants

to support the energy needs of the national grid,”

said Kashif Kazmi, Project Manager for the plant.

a ClEan affair: COuntriES prOmOtE biOgaS.

As these examples demonstrate, the advantages

of biogas plants are apparent. And these are just

a few of the types of organic waste that can be

Jen applications and solutionsco

> >

19

–> biOgaS prOJECt in italy: thE gOvErnmEnt SuppOrtS pOwEr gEnEratiOn uSing rEnEwablE EnErgy SOurCES

Jenapplications and solutions co

turned into hard cash. In addition to the more tra-

ditional applications, such as utilizing sewage gas

in wastewater treatment plants, new opportuni-

ties are constantly developing.

Fromaninternationalperspective,theKyotoProtocolalsoplaysanimportantroleintheconstruction

ofbiogasplants.

So why has demand only grown so rapidly in

recent years? The answer is simple: Thus far, bio-

gas plants have only been able to compete with

the price of power generated using conventional

sources of energy, such as nuclear energy, hydro-

power or calorific power, under certain circum-

stances. In order to be economically competitive,

the state has to provide assistance with fixed

power prices to biogas plant operators, at least

for a certain period.

“More and more countries now recognize that the

benefits of ecological and autonomous power

supply are a huge advantage and are following

the example of Germany,” Thomas Elsenbruch

explains. The German Renewable Energy Sources

Act (EEG) took effect in 2000 and promotes the

expansion of power and heat generation using

renewable energies. The idea is to offer operators

of plants using renewable energy sources a fixed

price for the power they generate for a certain

period of time. The EEG and its revisions of 2004

and 2009 have been decisive in promoting power

generation using renewable energy in Germany.

Today, the German law is already considered a

huge success story and, as a result, served as

a model for 47 other countries, including the

Italian government, which has issued so-called

“certificati verdi” (green certificates) for power

generation using renewable energy sources.

These certificates are transferable commercial

instruments verifying that the power generated

comes from renewable energy sources. In Eastern

Europe and the emerging countries of Asia, ef-

forts are increasing to promote the expansion of

biogas plants by guaranteeing certain prices for

electricity.

aChiEving thE kyOtO gOalS with biOgaS.

From an international perspective, the Kyoto Pro-

tocol also plays an important role in the construc-

tion of biogas plants. Since 2005, companies that

produce more greenhouse gases than the speci-

fied threshold values have been required to pay

fines – unless they buy emission certificates from

other companies that produce less greenhouse

gases than the permitted levels. One emission

certificate corresponds to one metric ton of saved

CO2-emissions and can be sold.

The numbers for Jenbacher gas engines with

carbon credit projects are remarkable. A sewage

plant in South Africa can earn 33,000 emission

reduction certificates a year, which corresponds

to the same amount in CO2-equivalents saved.

A farm with three million chicken in China can

save as much as 95,000 metric tons of CO2-

equivalents. Obviously, Jenbacher gas engines

are making a verifiable contribution to reducing

CO2-emissions around the world and are at the

same time helping companies lower their energy

costs and recycle waste in a responsible and

effective way._

–> traditiOnal biOgaS appliCatiOn: utilizing SEwagE gaS in waStEwatEr trEatmEnt plantS –> biOgaS frOm COw manurE: nOrSwiSS dairy farm

–> China’S firSt ChiCkEn manurE-biOgaS plant

20

thanks to a dense network of local sales and service providers, Jenbacher power plants can

now be found virtually everywhere in the world. authorized Jenbacher sales and service

providers offer professional support and outstanding service to customers of gE’s gas engine

division – including communication in the local language and knowledge of significant regional

information. the largest independent sales and service provider out of these is Clarke Energy.

the Jenbacher team has been working closely with Clarke Energy since 1995 – to the mutual

benefit of both companies, which are now playing in the “Champions league” of the industry.

From its headquarters in Liverpool, UK,

Clarke Energy Ltd. sells and provides support for

Jenbacher products in many countries around

the world, for everything from individual gen-

sets, fueled by natural gas or alternative gases

such as biogas, landfill gas or coal mine gas, to

entire combined heat and power plants. Clarke

Energy‘s core competence is in the conception

and realization of complete solutions for power

plants with an output of up to 45 MW. With its

policy of maintaining good customer proximity

and with the expertise of more than 370 highly

qualified employees, Clarke Energy ensures top-

quality service, state-of-the-art technology and

customized solutions to meet customers’ energy

needs. From a project’s start to its completion,

Clarke Energy offers professional project man-

agement and ISO-certified quality management.

All services – engineering and design, consultan-

cy and conception, installation and commission-

ing, and service and maintenance – come from

a single tried and tested source.

frOm SparE partS SuppliEr tO EnErgy prO-

fESSiOnal. The decisive milestone regarding

the company’s current expertise in the power

generation segment came in 1995, when Clarke

Energy began working with Jenbacher gas

engines in Great Britain. The outstanding quality

of the engines made in Jenbach and Clarke

Energy’s strong service and customer orientation

resulted in resounding success.

Withcustomerproximityandmorethan370highlyqualified

employeesClarkeEnergyensurestop-qualityservice,technologyandcustomizedsolutionstomeet

customer’senergyneeds.

The company continued to develop, expanding its

range of products and services with a number of

technologies for various gas engine applications,

including professional project management and

product expertise that is constantly growing. It is

particularly important to Clarke Energy to offer

its customers economical and ecologically sound

complete solutions. In addition, the company has

set up a dedicated customer service division for

Jenbacher products. The extensive range of ser-

vices includes a comprehensive stock of original

Jenbacher spare parts, service, repair and remote

monitoring.

Sharing SuCCESS arOund thE wOrld.

Reinforced by its successful collaboration with

News from the Champions League

Jen distributors and service providersco

21

Jendistributors and service providers co

GE, Clarke Energy soon committed to interna-

tional expansion.

Thedecisivemilestoneregardingthecompany’scurrentexpertiseinthepowergenerationsegmentcamein1995,whenClarkeEnergybeganworkingwithJenbachergasenginesinGreatBritain.

In 1998, the company became the exclusive

sales and service supplier for Jenbacher prod-

ucts in Australia and New Zealand, with Nigeria

following in 1999. Just a few years later, Clarke

secured its position in India and France with its

own branches. The Clarke Energy international

network now includes branches in Ireland, China

and Tunisia, and the company is still gathering

momentum._

Clarke Energy Ltd.

· largest independent distributor of Jenbacher

gas engines from gE Energy

· more than 370 employees in nine countries

· to date, plants installed with 1,700 mw

· more than 900 mw under O&m (operation &

maintenance) operator contract

–> largESt indEpEndEnt SalES and SErviCE prOvidEr fOr JEnbaChEr gaS EnginES: ClarkE EnErgy

–> ClarkE EnErgy’S hEadquartErS in livErpOOl, uk

22

Jen distributors and service providersco

–> COal minE gaS prOJECt in mOranbah, quEEnSland, auStralia: COmplEtE SOlutiOn frOm a SinglE triEd and tEStEd SOurCE

ClarkeEnergy’scorecompetenceisintheconceptionandrealizationofcompletesolutionsforpowerplants.

23

Maximized customer satisfaction

CoJen: How would you describe the activities of Clarke Energy

in a single sentence?

Jim Clarke: We constantly strive to find and realize innovative so-

lutions to meet our customers’ needs. We meet these challenges

by collaborating with the Jenbacher gas engine division of GE.

How important is the cooperation with GE to you, and what

characterizes it?

We have been collaborating with the Jenbacher team since 1995,

and we are currently working together in nine countries around

the world. Both companies have grown significantly in the last

few years. This is due in part to our excellent cooperation, which

is based on considerable mutual trust, technical expertise and a

shared customer focus.

What joint goals have you set?

Simply put, our goal is to install as many Jenbacher gas engines

as possible and achieve the highest possible degree of customer

satisfaction. We are working together to accomplish this with

our comprehensive range of services and our knowledgeable

employees.

Can you describe a couple of outstanding projects that Clarke

Energy has completed recently?

The first example that occurs to me is our coal mine gas project

for Energy Developments Ltd. in the Australian town of Moranbah,

Queensland. The plant was commissioned in November 2008. We

designed and built a turnkey 45 MW plant fueled by coal mine gas

Jendistributors and service providers co

using 15 Jenbacher J620 engines. Our services ranged from gas

purification and treatment to feeding electricity into the public

grid two kilometers away. As with all coal mine gas projects, the

biggest challenges were removing dust and moisture from the

gas and regulating the fluctuating methane content of the gas.

Another outstanding project recently was the combined heat and

power plant for Hydro Polymers Ltd. in Durham, Great Britain. Here,

too, our assignment was the design and construction of a turnkey

plant. The plant, with a natural gas-powered Jenbacher J612

engine and an electrical output of 1.8 MW, was commissioned in

July 2008. The waste heat from the engine is used to preheat the

air used in the customer’s drying production process. With this, the

plant achieves an outstanding efficiency factor of 90%.

Thank you very much for this interview.

Ultimate ambition:

CoJen talks to Jim Clarke, CEO of Clarke Energy

24

CEO

Clark Energy

CoJen talking to:

Jim ClarkE

region specialJenco

The Need for More Power

–> Jakarta, indOnESia

25

region special Jenco

JEnbaChEr SalES & SErviCE prOvidErS

in SOuthEaSt aSia and india

india – Clarke Energy india private limited

“Shivkiran”, Lane no. 4, Dahanukar Colony, Kothrud, Pune 411 038

Phone: +91 20 30241704

thailand – italthai industrial Co., ltd.

2013 New Petchburi Road, Bangkapi, Huay Kwang, Bangkok 10310

Phone: +662 3191031-40

indOnESia – navigat Energy pte. ltd.

139 Cecil Street, 04-02 Cecil House, Singapore 069539, Rep. of Singapore

Phone: +62-21-5724944

malaySia and SingapOrE – Jd group Sdn. bhd.

1, Jalan Lada Hitam Satu, 16/12A 40200 Shah Alam

Phone: +603 55191 000

For additional information, please contact our GE offices in India (jenbacher.india@ge.com) and Singapore (jenbacher.singapore@ge.com).

26

Malaysia

Singapore

Thailand

India

Indonesia

region specialJenco

as their energy requirements grow along with their populations, the diverse countries of Southeast asia and

nearby india are seeking ways to fulfill their power needs. Stymied by lack of infrastructure and funding, many of

these countries still have rural areas that are largely unserved by their power grids. and even those nations that

have plenty of natural resources are faced with populations that have grown so quickly – or are so spread out –

that their power supplies have not kept up with demand.

The Need for More Power

The countries of southeast Asia and India couldn’t be more different, but most share one characteristic:

Greater energy stability, security and sustainability were some

of the energy goals outlined at the annual ASEAN (Association

of Southeast Asian Nations) Ministers on Energy Meeting last

August in Thailand. But although they agree on their countries’

energy needs, the nations participating in ASEAN couldn’t be more

diverse.

thailand. There’s Thailand, for instance, found in the heart of

Southeast Asia and one of the most devoutly Buddhist countries

in the world. Thailand’s economy is dependent on its exports,

primarily rice and palm oil. Energy-wise, the country, which is

about the size of Spain, supplies electricity to about 80% of its 65.5

million population. A big problem is lack of natural resources, with

Thailand importing most of its natural gas from Myanmar and

Malaysia. Political uncertainty has plagued Thailand, too, ham-

pering some infrastructure megaprojects.

Thailandistheleadingconsumerofelectricitycomparedwithitsneighbors.

Still, Thailand is the major economic power in the Mekong region

and also is the leading consumer of electricity compared with

its neighbors. In 2003, for instance, the country consumed 1,448

kilowatt-hours of electricity per capita, as opposed to China’s energy

consumption at 827 kilowatt-hours per capita. The current installed

power generation capacity is about 30 GW, not including imports

of 340 MW from Laos and 300 MW from Malaysia. Peak demand is

expected to rise to nearly 50 GW by 2021.

indOnESia. Unlike Thailand, Indonesia has plenty of natural gas,

with resources estimated to last more than 50 years. Still, with

less than 60% of the population served by the grid, Indonesia is

especially hungry for power. The country’s 230 million population is

spread over a country that is made up of more than 17,000 islands,

6,000 of which are inhabited. The country’s people, most of whom

are Muslims, work primarily in agriculture, such as rice, coffee and

palm oil, as well as in industry, including petroleum and natural gas.

Indonesiawillneedatleast20GWofpowerexpansionwithin

thenexttenyears.

The supply challenges in Indonesia are many. The country is

dependent on oil for electricity generation, but oil production is de-

pleting, and the country sees coal as the primary energy source of

the future. Although coal and natural gas reserves are abundant,

the supporting infrastructure is limited, with a lack of gas pipe net-

works, coal transportation and electricity transmission networks.

Indonesia will need at least 20 GW of power expansion within

the next ten years. In Indonesia from 1970 to 2006, the average

growth of primary energy averaged around 8%, and the growth

rate of demand through 2026 is estimated at 7%. Making up the

largest energy consumer is the industrial sector at 40%, followed

by transportation at 38% and household and commercial at 22%.

With a total installed capacity of about 29 GW, Indonesia relies on

coal at 46% as its primary power supplier, followed by oil at 24%.

Natural gas is third at 14%.

27

india. Nearby India – not considered part of

Southeast Asia nor a member of ASEAN – has

the fourth-largest coal reserves in the world. The

country currently has about 140 GW of genera-

tion capacity, mainly based on coal, thermal and

hydro, with about 8% from renewables. Domi-

nating the South Asia continent, India – made

up primarily of Hindus – has a diverse economy,

with about half its population in agriculture.

Services are the country’s major source of

economic growth, however, accounting for

more than half of India’s output with less than

one-third of its labor force. Commercial energy

demand is expected to grow by 4% annually.

CommercialenergydemandinIndiaisexpectedtogrowby4%

annually.

Although the government’s goal is power for all

by 2012, most rural Indian households do not

use electricity – about 80 million households still

use kerosene for lighting – and even in electrified

villages, supply is inadequate and unreliable.

Per capita energy use is just one quarter of the

global average at 630 kW/annum.

While most countries in the region lack electrical

power, there are exceptions, such as the highly

industrialized nations of Malaysia and Singapore.

A peninsula bordering Thailand, Malaysia has

plenty of petroleum and natural gas – and not

nearly enough people to use it all. The island of

Singapore does import most of its fuel, mainly

natural gas from Malaysia and Indonesia, to

support the densely populated country, which

has 4.7 million people on 700 square kilometers

of land.

but inCrEaSing pOwEr in thESE COuntriES

iSn’t SimplE. Industrialized countries such as

Malaysia and Singapore generally rely on large,

centralized power sources to meet their electric-

ity needs. While these plants are usually quite

economical, they transmit electricity for long

distances over huge power lines. That approach

won’t work in most rural areas of Southeast Asia

and India, where many remote villages are not

yet electrified or have low load densities. Exten-

sion of the grid is uneconomical and would lead

to heavy transmission and distribution losses.

Around the globe, too, prices for fossil fuels have

risen sharply. In fact, some Southeast Asian

countries – Vietnam, for instance – have faced

region special Jenco

–> SOuthEaSt aSia’S maJOr prOblEm: pOwEr Supply haS nOt kEpt up with dEmand >

28

energy crises because, as import prices rise, they just don’t

have the resources to meet their countries’ power needs.

Those countries that have natural resources must deal with the

consequences of using them. India, for instance, has relied heavily

on coal, but realizes it must reduce its greenhouse gas emissions.

Finally, lack of funding can make energy expansion difficult. Many

countries are looking into carbon credit programs, emissions

trading schemes designed to help mitigate global warming. The

Clean Development Mechanism, an arrangement under the Kyoto

Protocol, allows industrialized countries that have a greenhouse

gas reduction commitment to invest in projects that reduce emis-

sions in developing countries.

Reliablepowersupplyiskeyforeconomicgrowth.

Financing can also take place through sales of excess power. In

India, for instance, there is a ready market for excess power since

power shortages are frequent. Through such programs, existing

and new customers could add additional capacity and trade up to

50% of the total installed capacity.

gE: a maJOr prESEnCE in SOuthEaSt aSia and india.

Traditional energy sources such as coal and oil will continue to be

used and needed in Southeast Asia and India, and GE’s product

and service offerings can be found in many countries in the

region. GE’s presence in Indonesia, for instance, dates back to

the 1970s with the introduction of the turbine business and has

continued to grow since then.

In India, GE installed the first hydropower plant in 1902. Today,

all of GE’s global businesses have a presence in India, and the

company participates in a wide range of manufacturing, services

and technology businesses there.

While GE Energy is well known throughout the region for its large

steam and gas turbines and even for its nuclear business, huge

centralized power sources simply can’t meet all of the needs of

the rural communities in Southeast Asia and India. A more suit-

able approach for those areas is distributed generation, where

energy is produced very near where it is used, sometimes even in

the same building.

diStributEd gEnEratiOn, rEnEwablES and altErnativE

EnErgy SOurCES. The Association of Southeast Asian Nations

(ASEAN) has recognized the need and benefits of renewable, sustain-

able energy sources, which often are a natural fit with distributed

generation. Thailand – perhaps because of its lack of natural resour-

ces – leads the region in terms of governmental support for renew-

able energy projects. The country has implemented a law that en-

ables small power producers to invest in renewable energy projects.

In Indonesia, the country has put priority on alternative energy

development including renewable energy. The government’s

pricing policy gives major influence to better energy efficiency

and energy diversification, which could play an important role in

reducing the cost of electricity production, securing the energy

supply and preserving the environment.

In India, more state governments are moving toward renewable

purchase obligations, and the Electricity Act 2003 mandates the

Science and Engineering Research Council (SERC) to promote

renewable energy development.

Thailand–perhapsbecauseofitslackofnaturalresources–leadstheregioninterms

ofgovernmentalsupportforrenewableenergyprojects.

biOgaS in thE fOCuS. While the more traditional renewable

sources of wind and solar have been employed in a number of

Southeast Asia projects, one option gaining widespread support

is biomass – plant matter, such as agricultural waste, grass, crops

or waste materials from such industries as sugar cane and palm

oil that can be used as a solid fuel or converted into liquid or

gaseous forms to produce heat and electricity.

Thailand, for instance, produced 1,500 MW from biomass in 2007,

and the Ministry of Energy is targeting 2,800 MW by 2011. Also

gaining popular support is the utilization of biogas from animal

manure, which lowers greenhouse gas emissions as well as ani-

mal waste. That’s significant in Southeast Asia and India, where

such waste increasingly poses groundwater contamination issues

in some areas.

Currently, Thailand’s power generation output from biogas is

about 28 MW, but that figure could expand to 60 MW by 2011

– and the Department of Alternative Energy Development and

region specialJenco

>

29

Efficiency has targeted a potential capacity of 190 MW. Sources

are livestock farms, agriculture and the palm industry.

Biogas is also seen as a solution in India, where plants could use

cow manure, slaughterhouse and vegetable market wastes, as

well as urban and industrial wastes. Co-digestion of farm and

agriculture residues can be mingled with urban and industrial

wastes. The country’s Ministry of New and Renewable Energy

estimates biogas potential from agro-industrial wastes at about

1,300 MW, primarily from distilleries, but also from such industries

as sugar, starch and slaughterhouses.

TheAssociationofSoutheastAsianNationshasrecognizedtheneedandbenefitsofrenewable,sustainableenergysources.

The financial viability of biogas projects in India depends on

revenue sources, such as sale of power, sale of manure and

compost, and carbon trading through the Clean Development

Mechanism (CDM). Government support has included provisions in

Electricity Act 2003 such as open access to the grid for renewable

power, preferential tariffs by state regulators, targets for renew-

able power and captive generation decontrolled. Fiscal incentives

or concessions include customs duty for imports, excise duty for

manufacture of renewable power devices and income tax.

Dumpsites, too, constitute a valuable energy source. Municipal

solid waste (MSW) now just produces 4 MW of power in Thailand,

but the government has targeted 100 MW by 2011. The source:

9,000 tons per day of waste in Bangkok alone, with 6,300 tons

per day from other municipalities and 1,000 tons per day from

industry.

SOlutiOnS with JEnbaChEr gaS EnginES. Gas engines often

are a practical solution for decentralized power generation. Offer-

ing small footprint requirements and quick installation, they can

even help solve environmental dilemmas. Financing can be done

utilizing carbon credits, and payback on investment can take just

a couple of years. Following are solutions that could be signifi-

cantly expanded in Southeast Asia and India, based on those

countries’ resources and needs:

• palm Oil plantS. Malaysia is the top producer of crude palm

oil, followed by Indonesia and Thailand. In Thailand alone, GE has

about 20 installations, some of which have several engines, at

palm oil plants – where 40 to 45 tons of palm oil fruit can create

the equivalent of 1 megawatt of electrical power within an hour.

At the Tha-Chang mill, the Thai Biogas Energy Company (TBEC)

processes 60 tons of palm oil fruit per hour. Palm oil mills involved

are collecting carbon credits and can even sell electricity on the

grid. Read more about this project on page 33.

• tapiOCa StarCh faCtOriES. A new biodigester system at the

largest tapioca starch factory in Southeast Asia provides nearly

100% of the factory’s considerable energy demand, displacing

significant annual purchases of fuel oil and grid electricity. The

grid-connected 5 MW power plant supplies all its electrical energy

to the factory, with the added capability of selling surplus >

region special Jenco

30

Astheirenergyrequirementsgrowalongwiththeirpopulations,thecountriesofSoutheastAsiaandIndiaareseekingwaysto

fulfilltheirpowerneeds.

region specialJenco

–> traditiOn mEEtS innOvatiOn: gE’S SOlutiOnS arE hElping tO mEEt thE rEgiOn’S EnErgy dEmand

31

region special Jenco

india

natural resources: Coal (fourth-largest reserves in the world), iron

ore, manganese, mica, bauxite, titanium ore,

chromite, natural gas, diamonds, petroleum,

limestone

population: 1.15 billion (2008)

government: federal republic

Economy: average growth rate of more than 7% from

1997 – 2007. poverty reduced by about

10 percentage points.

Electricity production: 665.3 billion kwh (2007)

Electricity consumption: 517.2 billion kwh (2006)

natural gas production: 31.7 billion cu m (2007)

natural gas consumption: 41.7 billion cu m (2007)

indonesia

natural resources: petroleum, tin, natural gas, nickel, timber,

bauxite, copper, fertile soils, coal, gold, silver

population: 237.7 million (2008)

government: republic

Economy: gdp real growth rate 6.1% (2007)

Electricity production: 125.7 billion kwh (2006)

Electricity consumption: 110.7 billion kwh (2006)

natural gas production: 56 billion cu m (2007)

natural gas consumption: 23.4 billion cu m (2007)

thailand

natural resources: tin, rubber, natural gas, tungsten, tantalum,

timber, lead, gypsum, lignite, fluorite

population: 65.5 million

government: Constitutional monarchy

Economy: annual real gdp growth averaged 6% from

2002 – 2004; but declined to 4.9% from 2005 – 2007

Electrical production: 130.7 billion kwh (2006)

Electrical consumption: 123.9 billion kwh (2006)

natural gas production: 25.4 billion cu m (2007)

natural gas consumption: 35.3 billion cu m (2007)

Facts & Figures electricity to the local utility. The Korat Waste-to-Energy Co.

Limited (KWTE) is a pioneer in this field and owns and operates

the facility as a renewable energy services company. The factory

includes three Jenbacher J320 generator sets.

• landfill SitES. Using Jenbacher engines, companies can pro-

duce green power, while minimizing land and water pollution. The life

span of the dumpsite can be increased three to five times as well. In

Singapore, for instance, Jenbacher gas engines are being used in the

country’s first organic waste biomethanization treatment plant.

• COw manurE. In India, a methane-to-energy plant uses 235 tons

per day of cattle manure to produce 1 MW of power and 35 tons

per day of organic fertilizer. The project, which uses Jenbacher gas

engines, received the “Best ‘Green’ Power Plant in Asia” award at

Power-Gen Asia 2007.

• SEwagE gaS. Biogas can be produced by the digestion and

incineration of sewage sludge. In India, for instance, sewage treat-

ment plants have been established in major cities, with funding

available through Jawaharlal Nehru Renewable Urban Mission

(JNURM), providing an opportunity for Jenbacher engines.

• aSSOCiatEd pEtrOlEum gaS. In Indonesia, opportunities exist

to use associated petroleum gas, often called flare gas, unwanted

natural gas that is disposed of by burning as it is released from an

oil field or at a gas processing plant.

GE’sJenbachersolutionsarehelpingtomeettheregion’senergydemand.

Programs are being developed for associated petroleum gas

utilization, mostly for small power generation. For a long time, this

unwanted oil by-product has been simply flared. But because of

the increase in both environmental consciousness and energy

demand, flaring is now often avoided or even prohibited.

GE’s solutions are helping to meet the region’s energy demand.

A well-established sales and service network for Jenbacher gas

engines in Southeast Asia and India ensures that GE is set up to

support the region’s needs. In addition, the Hangzhou packag-

ing operation for Jenbacher gas engines, which ships engines for

Southeast Asia, ensures fast response and excellent customer

support. A strong network of distributors – Clarke Energy in India,

Italthai in Thailand and PT Navigat in Indonesia – provide local ex-

pertise with their thorough knowledge of the countries we serve._

>

32

the area around the tha-Chang palm oil processing mill in thailand used to emit

a pungent odor. Even worse, wastewater from the plant discharged methane –

a leading cause of global warming – into the air. but that was before thai biogas

Energy Company (tbEC), using gE’s Jenbacher gas engines, began …

Turning waste into energy

Today, there’s no longer a strong odor. There

are no environmentally detrimental emissions.

And palm oil producers are able to make money

by generating power from the wastewater pro-

duced from processing palm oil.

The palm oil business is a major industry in Thai-

land, second only in the world to Malaysia and

Indonesia. Palm oil, which is used for cooking

in most Southeast Asian kitchens, comes from

the fruit from palm trees. Fruit bunches grow on

the palm trees for six to eight months until they

are ripe and weigh 30 to 40 kg, and then they

are cut off and collected. At a processing mill,

the fruit bunch is steamed and the crude oil is

pressed out of it . Wastewater that is created in

the process is pumped into a lagoon.

thE tha-Chang mill prOJECt. In Thailand,

temperatures reach 90 degrees Fahrenheit – or

higher – each day. The steamy wastewater cre-

ates bacteria, which quickly begins to smell, and

the bacteria creates methane, which climbs into

the atmosphere.

Or that’s what used to happen at the Tha-Chang

mill. TBEC has covered the wastewater lagoon

with what looks like a huge blanket. The meth-

ane that is emitted from the lagoon is collected

and sucked out from under the blanket into a

region special - sucess storyJenco

–> thE palm Oil buSinESS iS a maJOr induStry in thailand, aS wEll aS in malaySia and indOnESia

Theoilproductionprocessgenerateshugequantitiesoforganicwastematerialthat,ifnotprocessed,hasanegativeimpactontheecological

balanceoftheregion.

33

region special - sucess story Jenco

Jenbacher engine where it , along with oxygen, can be burned

directly. 40 to 45 tons of palm oil fruit can create the equivalent

of 1 MW of electrical power within an hour. The Tha-Chang mill

produces 60 tons per hour.

The palm oil mills involved can collect carbon credits for the pow-

er produced, which can be turned into money. In Thailand, too, an

innovative government program allows palm oil mills to connect

their power to the grid – and sell it . Since this energy comes from

a renewable energy source, they are also entitled to an add-on

tariff. “Obviously, the palm oil producers are very eager to do this,”

says Dietmar Rauter, GE Energy Sales Manager – Southeast Asia.

“They are taking what used to be a malodorous area that emitted

gases into the environment, and turning it into electricity. It is a

winning situation for them.” Payback on the initial investment is

usually within two to two-and-a-half years.

“Thepalmoilproducersaretakingwhatusedtobeamalodorousarea

thatemittedgasesintotheenvironment,andturningitintoenergy.”

TBEC, one of the leading biogas companies in Thailand, has four

operating projects that create biogas and electricity. In addi-

tion, annual carbon credits from TBEC’s projects exceed 130,000

per year. The company develops, designs, finances, implements,

operates and maintains the projects. “Thailand’s shape really

benefits this conversion of methane to electricity,” Rauter says.

“The palm oil mills are mainly in the south of Thailand – fairly near

tourist areas and major cities – and are very well connected to

the electric grid.”

thE JOurnEy haS JuSt bEgun … GE sold its first Jenbacher

engines for Thailand’s palm oil industry in 2006 – coinciding with

the passage of Thailand’s carbon credit laws. Today, GE has about

20 installations, some of which use several Jenbacher engines.

The plants range in size from 500 kW up to 6 MW of power. Very

large plants process some 200 tons of fruit per hour.

“Carbon credit trading development has been a major factor

in this industry, since it is a big part of the payback to the palm

oil producers,” Rauter says. Educating those palm oil producers

about the benefits of becoming electricity producers has been a

challenge, but more and more palm oil mills are recognizing that

they can profit from the system. And this business gets more and

more interesting in other countries, such as Malaysia, as well.

The system used at palm oil mills is also easily replicated for other

industries, such as tapioca starch factories. Meanwhile, however,

palm oil farmers in Thailand are reaping the benefits from TBEC’s

projects as their smelly lagoons are replaced with the smell of

money._

34

With the Jenbacher service team, customers get an alliance for lifethe Jenbacher service team offers its customers customized, professional service throughout the life cycle of their Jenbacher gas engines, living

up to its responsibilities for the smooth operation of the customers’ equipment. it is not just the development and production of best available

gas engine technology that makes gE’s Jenbacher product line highly successful. after all, it is the right service at the right time that ensures

optimum operation of the engine, and thus the efficiency of the plant.

The 450-plus employees of the global

Jenbacher service organization and the 1,500

service technicians working for authorized sales

and service providers – more than 60 around the

world – ensure that GE customers have the very

best care and support.

“GE’slife-cyclemanagementunder-scoresthecompany’shighqualitystandardsandassuresusofthebestservicewheneverweneedit.”

– Kwekerij Baarenburg, Niederlande

“When signing a contract for a Jenbacher gas

engine, you are really entering into a life-long

partnership. GE’s life-cycle management under-

scores the company’s high quality standards

and assures us of the best service whenever we

need it,” says the Dutch rose grower Baaren-

burg, describing the longtime relationship with

the gas engine division of GE Energy.

lifEtimE SErviCES pluS fOr JEnbaChEr

gaS EnginES. With Jenbacher gas engines, life

cycle management begins the moment they

are commissioned. Customers around the world

value the secure feeling of all-around support –

whether they are in a Dutch tomato greenhouse,

Jen serviceco

Investing in tailored solutions for our customers:

35

Commissioning

remote monitoring, diagnostics and Servicing

Contractual Service agreements

trainingfield Service

Spare parts

upgrades, repair and Overhaul

the elegant Plaza Indonesia hotel and shopping

complex in Jakarta or at the Strass sewage treat-

ment plant in Austria.

Investinginflexible,customizedsolutionsforcustomersuccess.

COmmiSSiOning. Our experienced certified field

technicians make sure the engines are installed

according to our customers requirements.

SErviCE agrEEmEntS. Flexible service agree-

ments meet our customers maintenance require-

ments while giving maximum cost control for the

life of the gas engines.

training. Specialized, practical training

programs for customers, operators, and sales

and service providers are targeted to meet the

individual needs of participants.

rEmOtE mOnitOring. With timely and ac-

curate technical support, our remote monitoring,

diagnostics and servicing is provided globally

through the Jenbacher service network.

fiEld SErviCE. Local presence of Jenbacher

sales and service providers in more than 60

countries around the world ensures the very best

care and support for customers at their loca-

tions. This in turn creates a high level of customer

satisfaction.

SparE partS. The first-class quality of Jenbacher

original spare parts contributes significantly to

the engines’ long service life of 60,000 operating

hours – and more. Parts can be delivered on time

around the world.

upgradES, rEpairS and OvErhaulS.

With upgrades consistently installed in the course

of regular maintenance work, the power plant

can run even more efficiently. In the case of major

overhauls, the Jenbacher Repair Center offers at-

tractive, flexible solutions. Downtime is minimized

with time-saving exchange engine options._

Jenservice co

36

Jen serviceco

37

In top form!

CoJen: Mr. Wilmsen, GE is among the world’s

leading companies in the design and produc-

tion of gas engines for the efficient genera-

tion of power and heat. How significant is the

development of technology in your company?

And what are the main objectives for the new

Technology Service division for Jenbacher gas

engines?

bernd wilmsen: Investment in technological ad-

vancement is at the forefront at GE. On the one

hand, it helps to secure our technology leader-

ship for the future. On the other hand, advance-

ment is critical because we are accountable to

our customers. After all, they are accustomed

to purchasing innovation when they buy a

Jenbacher engine. In the Service Technology

division, we are working to continually improve

engines that have already been installed, to

make it possible for our customers to operate

their plants in an even more economical manner.

At the same time, we are also developing new

products, for instance for gas cleaning, which

will deliver added value for existing plants.

Jenbacher plants already achieve an efficiency

level of over 90%. Is an improvement in ef-

ficiency even possible?

Of course, it’s difficult to improve on peak values

of 90% for combined heat and power generation

plants. There are, however, still applications with

potential, such as when there has been no heat

demand so far and therefore the waste heat

from the engines has not been used. We are

presently developing a process for this applica-

tion in cooperation with GE’s Global Research

Center in Munich.

“Ourtechnologicaldevelopmentsarealwayscateredtowards

customerbenefits.”

What further potential for development is the

Service Technology division currently working

on?

On the whole, our technological developments

always have customer benefits in mind. For our

customers, the reliability of their engines is par-

ticularly important. We achieve improvements

above all through better adjustment of the plant

to the different areas of application, because

the better an engine is calibrated to its specific

use, the more reliably it runs. In addition, we are

developing new service maintenance strategies

in the Service division that are ideally suited to

the requirements of our customers. A key term in

this context is “condition-based maintenance.”

Technology development is at the forefront for GE Energy’s Jenbacher gas engine division

CoJen speaking to Bernd Wilmsen, Technology Leader Service for the Jenbacher product line

Some 200 employees worldwide work on the technological development of Jenbacher gas engines. between 2005 and 2009, the company doubled

its investment in this area, underscoring the importance that gE places on technological advancement. Since the beginning of 2009, a dedicated

team within the newly established technology Service division has been working on improved service solutions for plants that have already been

installed.

Jenservice co

38

At the same time, we are continually working on

improvements in the area of remote connection.

We are testing the use of satellite links, among

others, in order to offer this service in more

remote regions in which no Internet or telephone

connections are available. All in all, we see it as

our obligation to care for the engines over their

lifetime, in order to make it possible for our cus-

tomers to operate their plants in a cost-efficient

manner. An additional objective is also to further

improve the durability of core components.

Is there also potential for improvement of Jen-

bacher engines in the environmental area?

Gas engines are already among the cleanest

types of engines available, and we are achiev-

ing excellent results with such products as the

CL.AIR exhaust gas treatment. However, there

is still potential to further reduce emissions, for

instance in the area of combustion optimization,

catalysers or thermal after-treatment. It is a very

important area for us.

“Weareinvestinginthefuturenow,sothatwewillcontinuetobea

technologyleaderinthegasengineindustry.”

How is Jenbacher coping with the current

tense economic situation? Are you more cau-

tious at the moment?

No – in fact the opposite is true. We keep on

increasing our investments in technological

development every year, and in 2009 we are

planning to spend about 10% more than the

previous year. We are investing in the future

now, so that we will continue to be a technology

leader in the gas engine industry.

Thank you very much for this interview.

technology leader Service

bErnd wilmSEn

CoJen talking to:

–> gE‘S JEnbaChEr tEam iS nOw dESigning thE innOvatiOnS fOr thE futurE SuCCESS Of itS CuStOmErS

Connecting customers remotely in Asiagrowing energy consumption in indonesia presents a challenge to the state-owned

energy providers, and energy shortages are commonplace. with the showcase

project plaza indonesia Extension, gE has established itself in asia as a competent

provider for the growing number of companies looking for a reliable, decentralized

energy supply. a decisive factor here is the possibility of remote monitoring for the

Jenbacher plant using the “hermes” remote service package, which this customer

decided to purchase.

plaza indOnESia ExtEnSiOn –

a prEStigiOuS prOJECt in aSia. The Plaza

Indonesia Shopping Center and the Grand Hyatt

Jakarta, one of the most symbolic buildings

in Asia, is located at the heart of the business

district in Jakarta. The expansion project is also

one of the most prestigious projects for the Jen-

bacher gas engine division of GE. Nine natural

gas-fueled J620 GS engines with total electrical

output of about 25 MW will in future supply the

entire complex with reliable, efficient energy.

rEmOtE – frOm Jakarta tO JEnbaCh. One

of the challenges of this first remote connection

in Indonesia was the country’s IT infrastructure,

which had not kept pace with economic growth.

Together with the local sales and service pro-

vider PT Navigat, the Jenbacher team set up an

Internet connection for the remote service. The

connection has been as trouble-free as it is in all

other areas of the world.

availablE fOr all EvEntualitiES – in an

inStant. Remote service offers many benefits

to the customer. In case of a malfunction, re-

mote service help is immediate, and downtime

can be minimized. Statistics show that 50%

of technical problems can be eliminated with

So far, so near:

remote service, without a service technician

having to drive to the plant. In addition, with

regular maintenance and overhauls, the technical

online support helps achieve better planning

and organization. Overall, remote service signifi-

cantly improves both the availability of the plant

and its efficiency. And finally, the data analysis

can be extremely helpful when optimizing the

individual plant with customized solutions, which

is another benefit to all customers.

making uSE Of lEarning. In addition to the

customers, the authorized service providers also

benefit from the use of remote technology. The

availability of plant data has a direct impact

on improved planning for services offered and

therefore on the expansion of the service com-

petence of Jenbacher service providers. In the

case of complex issues, the Excellence Center in

Jenbach can also dial into the plant quickly and

easily to help with error analysis. Once again,

this means that the customer benefits from

optimized plant availability thanks to the remote

connection._

Jen serviceco

Plaza Indonesia facts:

· total space: more than 220,000 m2

· 5 underground levels with parking for

around 1,200 cars

· 6 floors of entertainment with a movie

theater and shopping mall

· 41 storeys office tower, 48 storeys residen-

tial tower

–> prEStigiOuS prOJECt: thE plaza indOnESia

39

Faster and smarter:Digitizing Field ServicegE keeps up with the latest technology, even when the issue at hand is

documentation of the services provided. among other things, the Signature pad

(digital signature) greatly simplifies paperless accounting between the service

technicians and customers, therefore speeding up the entire process.

papErwOrk waS yEStErday.

In days gone by, Jenbacher service technicians had to fill out a

number of forms when they carried out maintenance work or

commissioning at the customer site. In addition to their technical

competence, they had to demonstrate their skills in a wide variety

of report writing: Assembly reports, time sheets, travel expense

and out-of-pocket accounting were all part of the program. The

customer onsite had to sign personally to confirm that the work

had been carried out in good order.

SignaturE pad iS tOday.

With the introduction of the ERP system from Oracle, service

technicians can complete all reports onsite on their laptops. The

customer’s signature is digitized using the Signature Pad and

stored together with the reports. The advantage to the customer:

The entire process is simpler and better, and the time saved on

administrative work can be used for personal contact.

A small but important side benefit is that the new ERP system also

allows structured, simple recording of empirical values, concerns

and areas for improvement that can be addressed in the long

term to improve the Jenbacher products._

Jenservice co

40

Major overhaul of the Strass wastewater treatment plant after 60,000 operating hours, it was time to overhaul the sewage gas cogeneration unit of the

achental-inntal-zillertal wastewater management association in Strass, austria. the Jenbacher

unit at this sewage treatment plant is responsible for power supply of 167,000 residential

homes. after a record time of just 15 days, the engine was reinstalled – and performance has

been significantly improved ever since.

After the major overhaul, the combined heat

and power plant at the sewage treatment plant

in Tyrolean Strass is ideally equipped for the next

60,000 operating hours or 2,500 days. Further-

more, it is more efficient and economical than

ever before. Its efficiency was increased by 1.5

percentage points with the upgrades carried

out in the course of the general overhaul. In

addition, a number of technical innovations have

reduced the plant’s gas consumption by about

30,000 m3 per year.

WithspecificupgradesandoverhaulsGEensuresthatour

customersJenbacherenginesarekeptwiththelatesttechnology.

For the customer, the most important factor in

improving the profitability of the plant was not

improving the output of the engine, but incre-

asing its efficiency. In the past, because of the

natural fluctuations in sewage water volume,

biowaste had to be added at times to achieve

sufficient gas volume. Thanks to the now-redu-

ced gas consumption, this is only necessary in

exceptional cases.

The Jenbacher service offer of an exchange

engine during the overhaul was not needed

New from old:

since the Strass sewage treatment plant has two

older engines that operated during this time to

“dispose of” the gas and secure power supply.

aS gOOd aS nEw. This example clearly shows

how a major overhaul can bring huge savings

to the customer. The costs are about a third

of the cost of purchasing a new engine, which

in many cases makes a major overhaul – due

after 60,000 operating hours – a good alterna-

tive to purchasing a new engine. With specific

upgrades, Jenbacher engines are kept with the

latest technology by undergoing an overhaul. For

the customer, these improvements ensure the

efficient operation of their plant._

Jen serviceco

CoJen talks to Josef dengg, managing director

of the achental-inntal-zillertal wastewater

management association

A good fellowshipCoJen: Why did you decide to have your plant

completely overhauled instead of buying a

new engine?

Josef dengg: Economic considerations were the

decisive factor. A major overhaul – which usually

increases the service life of an engine by around

12 to 15 years – was much more profitable for

us than buying a new engine. The upgrades car-

ried out at the same time to improve efficiency

made it even more cost effective.

What are the most striking aspects of your

relationship with the Jenbacher service team?

In our dealings with the Jenbacher team, they

have always been competent, reliable and have

worked well with us. On this basis, we have de-

veloped an ecological and economical symbiosis

based on fellowship over the last 19 years.

–> rECOrd timE fOr OvErhaul: 15 dayS

41

Jenservice co

–> idEally EquippEd fOr thE nExt 60,000 OpErating hOurS: SEwagE trEatmEnt plant in tyrOlEan villagE StraSS

TheJenbacheroverhaulresultedin30,000m3lessfuel

consumptionperyear.

42

The core component from Tyrol

as one of the world’s leading manufacturers of gas engines, gE even has its

own crankshaft production facility in Jenbach. the facility is currently being

significantly expanded to achieve greater production depth and flexibility.

Customers will benefit from this move with shorter delivery times and superior

quality.

CrankShaftS – a COrE EnginE COmpOnEnt.

Every reciprocating engine contains a crankshaft,

which transmits power to other components,

such as the generator. Along with the conrods

and pistons, the crankshaft is therefore a core

engine component.

Continousinvestmentinlatestmanufacturingtechnology

increasesflexibilityandcapacity.

It is hardly surprising that this component is

extremely strained through bending, torsion and

vibration. The requirements made on produc-

tion are correspondingly high. Besides material

quality, factors such as geometrical accuracy,

residual tension, surface quality and heat treat-

ment during production processes are all of

decisive importance to the equipment’s quality

and lifecycle.

Each year, GE needs several thousand crank-

shafts for Jenbacher gas engines as well as

for other business areas within the company,

such as GE Transportation and GE Oil & Gas.

Jenbacher is the only business within GE with

the expertise to manufacture them. This capabil-

ity is the result of more than three decades of –> gE iS invESting in thE latESt CrankShaft prOduCtiOn tEChnOlOgy in JEnbaCh

Jen supply chainco

43

experience in the production of crankshafts for

Jenbacher Series 2, 3 and 4 engines.

CapaCity ExpanSiOn bringS bEnEfitS tO

CuStOmErS and gE. GE’s decision in mid

2007 to expand its crankshaft production was

prompted by steadily growing demand. The

consequence has been not only a significant

expansion of capacity, but also increased pro-

ductivity. For example, setup times have been

reduced to such an extent that the Jenbacher

team has been able to shift from conventional

batch production to single piece flow production.

For the customer, this means shorter delivery

times – not just for new engines, but also for

maintenance and repair work.

However, the biggest advantage of this expan-

sion is the significantly increased flexibility. In

the future, it will also be possible to manufacture

crankshafts for type 6 engines. Production can

then be adapted to changing customer demand.

quality nOt lEft tO ChanCE. Both sophisti-

cated machine tools and skilled employees are

needed to manufacture crankshafts that meet

the high quality requirements for operation in

Jenbacher gas engines. For example, criteria

such as tolerances of less than two hundredths

engine function and lifecycle time. Overlap-

ping regions of individual holes are particularly

critical; a bulk particle less than 0.1 millimeter in

size may result in expensive motor damage. For

this reason, the intersections must be precisely

polished, cleaned and inspected. All this work is

carried out by hand by our specially trained staff

– with the assistance of endoscopes similar to

those used in medicine.

It is understood that every crankshaft is subject

to a 100% inspection for accuracy and surface

quality, cracks and cleanliness before it is

dispatched just-in-time for assembling in an

engine. This is the only way to ensure that crank-

shafts do not become soiled between production

and installation. The crankshafts of plants being

overhauled are also inspected for damage in the

crankshaft production department, and are sub-

jected to the same quality inspection processes

as new crankshafts. From initial delivery to

overhaul, the maxim is: Do everything possible

to ensure unrivaled quality._

of a millimeter for diameter, conicity, concentric-

ity, cylindricity and run out have to be achieved.

This tolerance bench is equivalent to about half

the diameter of a human hair.

Highlyqualifiedandexperiencedemployeesarethebasisfor

implementingsuchtechnology.

Here, too, the Jenbacher team employs the very

latest technologies, making it possible to achieve

new capacities and faster processing times.

Over and above this, the new machine tools

offer higher processing quality and help to keep

WIP (work in progress) to a minimum.

In addition, the staff must be highly qualified

and motivated for such an expansion – and

Jenbacher certainly has such a staff. The gas

engines division of GE attaches great impor-

tance to the training and further education of

its apprentices and staff in all areas of the com-

pany – from job preparation to development.

minutE attEntiOn tO dEtail. The fact that

GE pays great attention to quality is illustrated

by the oil holes in each crankshaft. These holes

provide a reliable supply of oil to the bearings,

and are therefore of decisive importance to both

Jensupply chain co

44

Innovative products and creative solutions for a successful future

michael wagner has a passion for gas engines. born in Salzburg, he has been working with

Jenbacher gas engines for more than 16 years now and has long since grown to consider tyrol

his home. he is an innovative engineer with business foresight, and he attaches equal impor-

tance to striving for technically perfect products actively seeking for direct contact with the

customers. in an interview with CoJen, michael wagner talked about the exciting times in the

international gas engine business and the daily challenge of building customer enthusiasm for

gas engine technology from gE.

CoJen: Mr. Wagner, you have been working for

the Jenbacher product line for more than 16

years. Would it be fair to describe you as an

“old-timer” in the company?

michael wagner: You’re right. Sixteen years

working for the same company tends to be

a rare thing in the current day and age. But I

haven’t worked in the same position for that

whole time, and furthermore, the growth and

changes in the company have always made my

work exciting and challenging.

Does that mean that we can count on you for

another 16 years?

By then I would definitely be an old-timer. But se-

riously, we live in an amazingly exciting time. De-

mand for efficient, decentralized power stations

has grown rapidly in the last few years. Given

the fact that worldwide energy consumption will

double again in the next 20 to 30 years, I see no

reason why I shouldn’t work for the company for

another 16 years.

You and your team are responsible for the

global marketing activities of Jenbacher gas

engines. What tasks does that include?

Together with my team of 12 people, I am

responsible for market research and strategic

marketing for our gas engines. We also put

a lot of energy into the development of new

applications and services for our customers.

Utilizing industrial waste gases, such as in the

steel industry, is a good example.

Myjobistocreatenewsegmentsanddevelopregions

forfuturebusiness.

What area of your work is the most appealing

to you personally?

Without doubt, the development of new applica-

tions for our gas engines. Many of the segments

in which we want to be present today and in the

future do not fully exist yet; they must first be

actively created. From the business standpoint,

that is an extremely stimulating challenge. It re-

quires innovative ideas and the ability to realize

them. That’s a quality that Jenbach as a location

has always been closely linked to.

GE does business in more than 70 countries all

over the world with its Jenbacher gas engines.

Where else do you think this journey will take

the company?

Gas engines were traditionally a European appli-

cation, but in recent years they have spread all

over the world. Europe will still play an important

role in our international business. In the medium

term, however, I see the biggest potential for

growth in Russia, India and Bangladesh, as well

as in the Asian regions of Indonesia and China

and in Brazil in Latin America. These emerging

countries offer ideal conditions for the use of

gas engines: strong economic growth, combined

with rapidly increasing demand for electricity,

with public power supply lagging behind.

How do you see this development in light of

the current economic situation?

Good projects that make economic sense are re-

alized even when the economy is down. In some

regions, however, there are delays because the

question of financing cannot be easily solved

there. In addition, most of our applications offer

significant environmental benefits. The reduction

of greenhouse gases is a central point within

the European Union, with the renewable energy

directive and the energy efficiency directive.

North America, too, has experienced important

changes in energy policy under the Obama

administration. And last but not least, the

subject of environmental protection will become

increasingly important in the emerging regions.

As you see, there are not just economic factors,

An interview with Michael Wagner, Marketing Leader:

Jen personality storyco

45

but also environmental policy considerations

that validate the use of gas engines. For us, as

a company, it is now extremely important to

position our Jenbacher products and services so

that we emerge from the crisis stronger than we

were when we entered it. The current situation is

therefore not just a risk, but also an opportunity.

Nevertheless, the international gas engine

business is becoming progressively more

competitive. What are the arguments in favor

of a power plant from GE, from the customer’s

perspective?

For customers, what is decisive is that the gas

engine solves their energy problem. Sometimes

they have no access to the public grid and have

to generate their own power. Or, if they want to

generate electricity and heat more efficiently,

they may find that a cogeneration plant is

less expensive than are conventional means.

In Jenbach, we have been focusing for more

than 50 years exclusively on the development,

refinement and sale of stationary gas engines.

This specialization has given us a leg up, both

in terms of technology and in respect of our

customer focus. For most of our competitors,

gas engines are simply a by-product of diesel

engines, whereas they have been our abso-

lute core competence for years. In addition,

service and customer support have the highest

priority for the Jenbacher team. We manage to

maintain excellent customer proximity with our

own subsidiaries and with our local sales and

service providers. Thanks to our global network,

customers can be sure they are in good hands

with us.

Thank you very much for this interview.

Jenpersonality story co

Profile

age: 44

Education: degree in mechanical Engineering

and Economy from the technical university in

graz, austria

married, with two daughters

recreation: Enjoys spending weekends and

holidays with his family. keeps fit by mountain

climbing and ski touring

Since 2003: marketing leader, Jenbacher gas

engines

46

Masthead

Answer an easy question and win a weekend in Innsbruck!all gOOd thingS COmE in thrEES. and mOrE!

One time is no time at all, twice is better, and all good things come in threes. Though such expressions may be of proverbial relevance, they do not apply to CoJen! With the publication of our third issue we have now really got going, and are already looking forward to the forthcoming issues. The fact that our magazine has continued to grow is mainly thanks to all those who have once again fed our editorial team with ideas and constructive suggestions in the past weeks.

We would like to invite you once more to give us your opinions. What is still missing from CoJen? What would you like to see more of? Which themes should we devote more space to?We call upon you once again to please give us five minutes of your time. Simply answer the questions below and fax your answer to us on +43 5244 600-527. Or e-mail us your suggestions to jenbacher.cojen@ge.com.

Once more, we’d like to express our heartfelt gratitude for your opinion and support. In return, we shall organize a drawing of all your contributions: The lucky winner will receive a voucher for a weekend in Innsbruck for two persons.

i would like to read more in CoJen about:

which topic would you like to know more about in the next issue of CoJen?

personal data:

name: address:

title: phone:

company: e-mail:

publisher

GE Jenbacher GmbH & Co OHG

Achenseestr. 1-3, 6200 Jenbach, Austria

Editorial team:

Axel Dancker, Andreas Eberharter, Arnfried

Kiermeier, Katherina Koller, Julia Kronthaler,

Stephan Laiminger, Eugen Laner, Georg Male,

Herbert Nagl, Thomas Misch, Thomas Pupp,

Martin Schneider, Martina Streiter, Michael

Wagner, Manfred Waldenmair, Christof Waltl,

Salina Wieser, Karin Zogmayer

guest writers in this issue:

Fiona Riddoch, Managing Director COGEN Europe

Bob Gilligan, Vice President GE Energy,

Transmission & Distribution

design and layout:

Zimmermann & Pupp Werbeagentur

printer:

Alpina Druck GmbH, 6020 Innsbruck, Austria

Printed on paper free from chlorine.

feedback:

We value your opinion and welcome your

comments or questions. Please send them to the

editorial team at jenbacher.cojen@ge.com

picture credits:

GE Energy, Clarke Energy, TV Innsbruck

ThERE IS No RIghT oF APPEAL.

2009. Innsbruck today. Hardly any other city

combines its Alpine temperament with urban flair

quite like Innsbruck. It is this special charm that

makes Innsbruck one of the most livable cities

in Europe, and a popular destination for many

city travelers and students. Thanks to the open

borders of the European Union, the university –

whose medical faculty enjoys an international

reputation – has become a colorful melting pot of

young people. Like the locals, they too enjoy the

unique combination of recreation, outdoor sports

and a lively restaurant and bar scene.

SEvEral yEarS agO, star Iraqi architect Zaha

Hadid created a new landmark for the city

of Innsbruck here, where once the bayonets

clashed and Andreas Hofer made his mark

on history, here on Bergisel: the completely

refurbished and imposing Bergisel ski jump. At

the beginning of January each year, ski fliers

convene here to compete against one another in

the “four ramps” tournament. For the remain-

der of the year, visitors to the airy café right at

the top of the jump can enjoy a magnificent

panoramic view. And, on the opposite site of

the valley across the city, they can also see the

next destination worth a visit: Seegrube in the

northern Alps.

thE trip On up intO thE nOrthErn alpS On

thE nEw hungErburg funiCular and an

aErial tramway iS pOSitivEly brEathtaking.

These facilities enable you to get from the city

centre to an altitude of over 2,000 meters in

just 20 minutes. The architecture of the new

funicular is also pretty spectacular. This is Zaha

Hadid’s second bold statement for the Alpine

metropolis. The rugged cliffs of Karwendel seem

close enough to grasp as your gaze falls on the

Inn valley far below you. The panorama spans

360 degrees, and the snow-capped giants of

the central Alps can be seen glittering in the

distance on the horizon to the South. Those in

search of relaxation can tuck into a typical Tyro-

lean plate of cold meat and sausage on the ter-

race and simply enjoy the good life. For the more

athletic visitor, the entire region – as the trendy

name Nordpark suggests – is ideal for hiking,

climbing and biking. Here you are always at one

with Nature, with the city before your eyes.

And how would Andreas Hofer have ended this

article? You guessed it:

“mEn, thE timE haS COmE tO travEl tO

innSbruCk!”

From the city to mountain-top in just 20 minutes

1809. a year that is inseparably linked to the history of tyrol and its provincial capital.

napoleon’s army was sweeping across Europe. and the tyrolean struggle for

independence was raging on bergisel. andreas hofer and his peasant troops confronted

the french and the bavarians, and were victorious. a folk hero was born, and a myth

created. these happenings have helped shape the identity of many tyroleans up to

the present day. this year marks the 200th anniversary of this historic year, and it will

be commemorated by a host of events, including critical reflections on maintaining a

balance between the traditional and the modern. and plenty of good reasons for visiting

innsbruck precisely this summer.

Jenhome base co

–> magnifiCEnt panOramiC viEw frOm thE bErgiSEl

48

GE Energy

power generation from biogas with Jenbacher gas engines. Generating power isn‘t just about meeting today‘s demands, it‘s about being sustainable – and supporting future generations. So instead of leaving organic waste to rot, turn it into energy by fermentation and use the gas in our engines that turn it into power and heat. It’s a greener, cleaner way of creating power for today ... and tomorrow.

To learn more about our green, versatile engines, please visit www.gejenbacher.com

Some energy lasts for generations.