Siemens to build combined cycle power plant in Portugal
Erlangen, Germany, March 05, 2008
The Siemens Energy Sector is to build two turnkey combined cycle units in Portugal. Purchaser is ElecGas S.A., a joint venture of the independent power generation company International Power plc and the Spanish utility Endesa S.A. Following the start of commercial operation scheduled for 2011, Siemens will also assume responsibility for maintenance of the power train for a period of 25 years. The total value of the order including the long-term service agreement is approximately EUR600 million.
Siemens will build the two new combined cycle units of Central Termoeléctrica do Pego (Pego) in Abrantes, which is located approximately 130 km northeast of Lisbon in the immediate vicinity of the existing Tejo Energia power plant. The natural-gas-fired single-shaft units with a targeted efficiency of over 58 percent will have a combined installed capacity of approximately 830 megawatts (MW). The full turnkey scope of supply encompasses two SGT5-4000F gas turbines, two steam turbines, two hydrogen-cooled generators, and the entire electrical and I&C equipment.
Portugal’s power demand will increase by three percent annually up to 2010. Due to low levels of precipitation and the investment backlog in the construction of hydro power plants there has been a significant drop in Portugal’s reserve capacity to around four percent. Against this backdrop eco-friendly natural-gas-fired combined cycle power plants offer the best solution in the marketplace. Because they can be built quickly and operated very flexibly, they are particularly suited to meeting the requirements of the Iberian power market, which was liberalized in October 2007.
"After Tapada do Outeiro and Ribatejo, which each comprise three units, Pego is the third power plant project handled by Siemens Energy in Portugal,” stated Michael Süss, CEO of the Siemens Energy Division Fossil Power Generation. “These plants with a combined capacity of 3000 MW will generate sufficient electricity to meet approximately 40 percent of Portugal’s power demand, not only economically but above all also in a climate-friendly manner. With the order for Pego Siemens is also further expanding its leading market position in Portugal.”
The Siemens Energy Sector is the world’s leading supplier of a complete spectrum of products, services and solutions for the generation, transmission and distribution of power and for the extraction, conversion and transport of oil and gas. In fiscal 2007 (ended September 30, based on IFRS), the Energy Sector had revenues of approximately EUR20 billion and received new orders totaling around EUR28 billion and posted a profit of EUR1.8 billion. The Energy Sector had a work force of 73,500 at the beginning of fiscal 2008. Further information is available at: www.siemens.com/energy
All figures represent the sum of the nonconsolidated figures for the Power Generation and Power Transmission and Distribution Groups and for the Oil, Gas and Marine Solutions Division of the Industrial Solutions and Services Group.
Reference Number: EFP200803.011 e