ERCOT Sets Wind Generation Record in February, Conventional Gas Maintenance Increases

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Researched by Industrial Info Resources (Sugar Land, Texas)--Wind-generated power in the Electricity Reliability Council of Texas (ERCOT) region set a record on February 18, with a maximum output of more than 14 gigawatts (GW); wind power has averaged over 6 GW on an hourly basis so far this year. However, with the higher output in renewable intermittent generation such as wind and solar, conventional natural gas fired generators have to be able to support the load across the grid during the inevitable rise and drop due to renewable energy variabilities.

The load, following changes and increased ramp rates met by conventional fossil-fueled generation sources, creates additional maintenance costs due to excessive thermal stresses on combustion and steam turbines as well as associated equipment such as pumps, control valves, heat recovery steam generator tubes, fans and cooling system components.

Sixty to eighty percent of all power plant equipment failures are the result of the increase in cycling operations. Companies with quality maintenance-related services will be a critical asset to generation owners in order to keep their power plants operational and economically viable.

Industrial Info data suggests that the fall 2016 maintenance season for gas-fired generation in ERCOT zone will be above normal due in part to record renewable generation output in the state. Industrial Info is currently tracking 27 maintenance projects valued at $75.6 million for the continuing 2016 spring outage season as well as 28 maintenance projects valued at over $89 million for the 2016 fall outage season.

This compares to 16 maintenance projects valued at $72 million that were completed in the spring of 2015 and 15 maintenance projects valued at $37 million completed in the fall of last year. Looking forward towards next year's maintenance activity, Industrial Info is currently tracking 14 maintenance projects valued at $56 million for the spring of 2017 and 12 projects valued at $62 million for the fall maintenance season, with more maintenance projects expected to be added after condition assessments are finalized after the spring and fall outage seasons.

In North America, Industrial Info is tracking 163 power maintenance projects for the fall of 2016 valued at $500 million, with five projects worth $9 million in Canada, 10 projects worth $78 million in Mexico and 148 projects valued at $413 million in the U.S. For the spring of 2017 in North America, the database shows maintenance projects totaling 171 valued at $670 million; for the fall, it shows 96 projects valued at $367 million.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, five offices in North America and 10 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.