Siemens AG (ADR)(OTCMKTS:SIEGY) To Supply Turbines For Power Plant In Michigan

Siemens AG (ADR)(OTCMKTS:SIEGY) will supply one steam turbine and two gas turbines to the Holland Energy Park which is also cycle power plant in Holland. The local municipal utility, HBPW wants to replace an old coal-fired facility with a new fuel-efficient power plant. It is expected to commence commercial operation in 2016. The use of new technology will reduce the CO2 emissions at the plant by as much as 50%.

The details of equipments

Siemens will supply one SST-400 steam turbine and two SGT-800 gas turbines. It will also offer a long-term service facility for the SGT-800 gas turbines. Michigan plant will have cogeneration features that will result in an extremely high fuel efficiency level. It will generate almost 145 megawatts in winter and 125 megawatts in the summer.

The capabilities

The new power plant will use excess heat from the circulating water system in operating a snowmelt system. Holland has the largest municipally owned snowmelt structure in the U.S. The underground pipe structure spans about 500,000 square feet of sidewalks and city roads. In the winter months, the place has about 32 days of snowfall. Circulating water from the plant will be possible through a heat exchanger in the downtown area. It further increases the need to plow or salt during these months. The system has the capacity to melt about 1 inch of snow per hour.

The management view

Barry Nicholls, the US head of Siemens Power and Gas Segment, said that Siemens is delighted to be the technology partner in the energy project. It will help the city to get sustainable power. Also, it will enhance the capabilities of innovative snowmelt system. Siemens will continue to focus on distributed power segment. The new plant will be a effective model that will highlight fuel-efficient operations. The new park will also serve as an educational resource.

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