Keppel Ltd Plans to Upgrade Gas Turbine to Boost Efficiency and Reduce Emissions in Singapore
Keppel Ltd is set to upgrade a second gas turbine unit at its Keppel Merlimau Cogen power plant on Jurong Island, Singapore, aiming to boost efficiency and reduce carbon emissions by about 17,800 tCO2e annually. This move is part of Singapore’s broader strategy to decarbonize its power sector, which accounts for 40% of the country's total emissions. The upgrade, funded by the Genco Energy Efficiency Grant from Singapore’s Energy Market Authority, involves enhancing the turbine, compressor, and combustor. Post-upgrade, the turbine will be capable of co-firing hydrogen blended with natural gas, aligning with Singapore’s decarbonization efforts. The project is slated for completion by June 2025. Keppel has already successfully upgraded one turbine at the plant in 2022, which has been operational for over 15,000 hours. The company operates four power generation units in Singapore, totaling 1,300 MW, and is constructing an additional 600 MW hydrogen-ready CCGT, expected to be completed by 2026. These initiatives highlight Keppel’s commitment to sustainable energy practices and its role as a global asset manager and operator.
Key Takeaways
- Keppel Ltd plans to upgrade a second gas turbine at Keppel Merlimau Cogen to boost efficiency and reduce emissions by 17,800 tCO2e annually.
- The upgrade, funded by Singapore’s Genco Energy Efficiency Grant, aims to extend maintenance intervals and enhance operational reliability.
- Post-upgrade, the turbine will support co-firing hydrogen with natural gas, aligning with Singapore’s decarbonization goals.
- Keppel’s first turbine upgrade in 2022 achieved significant carbon reduction and efficiency improvements, with the second upgrade mirroring these enhancements.
- Singapore’s power sector, responsible for 40% of its carbon emissions, aims to improve energy efficiency and integrate hydrogen to reduce emissions from gas turbines.
Analysis
Keppel's turbine upgrade aligns with Singapore's decarbonization goals, impacting the energy sector and government policies. Direct beneficiaries include Keppel, enhancing its market position in sustainable energy, and Singapore, reducing emissions by 17,800 tCO2e annually. Indirectly, global asset managers and operators may follow suit, influenced by Keppel's successful implementation. Short-term, the upgrade supports operational reliability and extends maintenance intervals. Long-term, it positions Singapore as a leader in integrating hydrogen into energy production, potentially influencing international energy policies and practices.
Did You Know?
- Keppel Merlimau Cogen Power Plant:
- The Keppel Merlimau Cogen power plant is a facility located on Jurong Island, Singapore, operated by Keppel Ltd. It specializes in cogeneration, which is the simultaneous production of electricity and useful heat from a single fuel source, typically natural gas. This method is more energy-efficient than producing electricity and heat separately.
- Co-firing Hydrogen with Natural Gas:
- Co-firing refers to the practice of blending hydrogen with natural gas in existing gas turbines. This method helps in reducing carbon emissions as hydrogen, when burned, produces only water vapor, unlike natural gas, which emits carbon dioxide. This technique is a transitional step towards more sustainable power generation as it gradually introduces hydrogen into the fuel mix without requiring significant changes to the existing infrastructure.
- Genco Energy Efficiency Grant:
- The Genco Energy Efficiency Grant is a funding initiative by Singapore’s Energy Market Authority aimed at promoting energy efficiency improvements in power generation. This grant supports projects like the upgrade of gas turbines at Keppel Merlimau Cogen, which enhance operational efficiency and reduce carbon emissions, aligning with Singapore’s broader decarbonization strategy.