eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ......

24

Transcript of eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ......

Page 1: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,
Page 2: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

2

eventcalendarICCI27-29 April 2016Istanbul, Turkey

Saudi Power 09-11 May 2016Riyadh, KSA

POGEE19-21 May 2016Lahore, Pakistan

Power-Gen Europe21-23 June 2016 Milan, Italy

EGO Pakistan27-29 September 2016Islamabad, Pakistan

Renewable Energy Systems and Efficiency Exhibition20-22 October 2016Antalya Cam Piramit, Turkey

Energy Iraq-Erbil 24-27 October 2016 Erbil, Iraq

SPE Asia Pacific Oil & Gas Conference and Exhibition25-27 October 2016Crown Perth, Australia

EP China02 - 04 November 2016Beijing, China

APIDEC07-10 November 2016Abu Dhabi, UAE

International Petroleum Technology Conference14-16 November 2016Bangkok, Thailand

Middle East Electricity 14-16 February 2017Dubai, UAE

Page 3: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

3

dearreadersContent

Welcome to inaugural edition of “The Energy Insight”. Energy is the considered the lifeline of any country and is key for economic growth. Being a country known for its geo-strategic significance and abundant natural resources, Pakistan is also said to be among the eight fastest growing economies of the world. However it’s propensity for growth has somewhat been compromised as it is faced with an acute energy crisis. While successive governments have fallen short in planning to bridge the demand-supply gap and keep prices low, the current government can be credited for not only roping in significant investments particularly in power generation but also initiating new projects. It is these developments that have made the overall energy sector one the most vibrant in the country.

At present, Pakistan energy mix relies around 65% on thermal power and 32% on hydro power. There are also several Independent Power Producers (IPPs) who generate electricity. However, given the large number of developments and change in consumption pattern, demand for electricity far exceeds supply. Although a combination of more investments and prudent management is required to mitigate these concerns, pundits feel that the need of time is not only to change the energy mix but also curtail dependency on imported fossil fuels to generate power that is not only expensive but also increases burden on the import bill and cost the country valuable foreign exchange. The other area that needs to be revamped is the antiquated distribution network that is plagued with very high transmission losses.

Although the change is slow, it is evident. The biggest proof of this is that Pakistan which till recently was relying on oil and hydro power for power generation has now started to use renewable alternate energy to bridge its energy shortfall. Within this realm, solar energy whose estimated potential is said to be around 2.9 million MW has taken the lead while wind and biomass energy options are also being explored. In addition to this, countries including China, Iran, Tajikistan, Kyrgyzstan, Germany, Qatar and Kuwait have offered to export electricity to help Pakistan overcome is shortfall. However, awareness about the need to conserve energy should be spread throughout all quarters and improved technologies that use less power should be introduced and priced such that they are affordable to the majority of the population.

From our editorial standpoint, the premise for launching a magazine on the energy sector is to serve as Pakistan’s flag bearer and be its voice in international platforms. We also hope to fill the niche that brings Pakistan’s industry closer to cutting edge technology. The theme of our inaugural edition being “Global Energy Challenges and Sustainable Solutions,” we will attempt to highlight important developments in the country and to underline Pakistan’s potential not only as a major player in South Asia but also in the global context.

Happy Reading!

04 /FLASH NEWS

09 /MEETINGS &

ANNOUNCEMENTS

12 /INTERVIEW

14 /PRODUCT NEWS

16 /EVENT NEWS

18 /ARTICLE

19 /FACTS & FIGURES

Our Team

Published by:Thesis Publishing (Pvt) Ltd.

Address:Room No. 706, Business Plaza

Mumtaz Hassan Road, Karachi-74000, Pakistan

Phone: +92-21-3246-1722Website: www.thesis.com.pk

Agent in Malaysia:Al-Shams Global Sources Sdn Bhd, Suite 33, 33rd floor Menera Keck Seng, 203 Jalan Bukit

Bintang,Kuala Lumpur 55100

Tel: 603 21163444, Fax: 603 21164445

Printed at:Quick Process, Plot No; 20, Sector 24,

Korangi Industrial Area, Karachi.

Page 4: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

4

Pakistan-China Economic Corridor – a mutually beneficial projectChina-Pakistan Economic Corridor is a strategic cooperative partnership between Pakistan and China. It is an under-construction development program to connect Gwadar Port in southern Pakistan to China’s northwestern autonomous region of Xinjiang via highways, railways and pipelines to transport oil and gas. The Pak-China Economic Corridor program was inaugurated in Islamabad on August 27, 2013. It is termed as the game changer as it would usher in a new era of economic progress and prosperity for both countries.China-Pakistan Economic Corridor has the potential to turn Pakistan into a hub of regional cooperation; it is of immense importance for the revival of its economy, resolution of energy crisis and strengthening the Federation through development and infrastructure. Chinese government announced that it will finance Chinese companies to build $45. 6 billion worth of energy and infrastructure projects in Pakistan as part of CPEC.China has promised to invest around $33 billion in various projects and only 8 billion in various energy projects. Pakistan needs it to overcome its economic, social and energy problems.China needs to expand its periphery of influence, consolidate its global presence and secure future supply routes of energy and trade goods. It’s a win-win situation for both countries. Source: The Nation

80 PC work completed on 969 MW Neelum-Jhelum Power ProjectAround 80 per cent work has already been completed on the ongoing 969MW Neelum-Jhelum Hydropower Project (NJHP) with over Rs. 250 billion expenditure and its first unit will start supplying power to the national grid system by July 2017. Official sources told APP here that the civil works of the both underground powerhouse and transformers hall of the project would also be completed in October, as progress of civil works on these components stood at 95.5 and 99 per cent respectively. They said Unit 3 and 4 of the power house had already been handed over to the electro-mechanical contractor after completion of civil works. The sources said construction work on all three sites namely C1, C2 and C3 was moving ahead at a good pace. The progress on C1, C2 and C3 was 78 per cent, 80 per cent and 83 per cent respectively, they said. They said out of total 68.6 kilometers, 62 kilometers long tunnels have so far been excavated. The 68 km tunnel system involved 19.6 km stretch of headrace twin tunnels and ten access tunnels. The intake of the project is Nauseri, 41 km east of Muzaffarabad and power house located near Chattar Kalas, around 22 km south of downstream Muzaffarabad. As per revised schedule,

first generating unit of the project would be completed in July 2017, whereas the remaining three units would come on line by the end of 2017 in various phases. The project involved three river diversions at different times and maximum overburden of the project was around 1.7 km, meaning that the highest mountain peak over the project was 1.7 km. The project, on its completion, will contribute 5.15 billion units of low-cost and environment friendly electricity to the national grid.Source: APP

Pak geothermal energy resources have potential to generate 100,000MW powerPakistan is found to have been blessed with the potential of huge geothermal energy recourses that could generate 100,000MW electricity at the cost of 5-10 cents per unit depending upon different locations of the power plants, reveals the research of Pakistani scientist Javed Ahmad that has been published in the US.

More importantly, the US has offered Pakistan $7-8 billion equipment for the exploitation of mammoth resources of geothermal energy resources. The said resources are abundantly found in all the four federating units of Pakistan.

Geothermal energy is the heat from the earth and a free renewable, clean and sustainable source which can meet the increasing energy needs of the world. Geothermal energy in the form of hot water, steam springs, geysers and underground hot aquifers are available in the world including Pakistan. Geothermal energy is used for electricity generation, space heating and cooling of buildings, supply of hot water, green houses, fish farming and setting up of small industries requiring heat.

The world’s geothermal energy resources are 80 times more than all the known oil reserves in the world. Based on the recent estimates, the total geothermal energy potential available in the world could exceed the present electricity generation and direct energy produced by all the resources. Geothermal energy resources have been identified in 90 countries of the world which are using these resources.

The research of Javed Ahmad was acknowledged by the US experts during the US-Pakistan clean energy business opportunities conference held on December 1-2, 2015 at Washington DC. Now Minister for Water and Power Khawaja Muhammad Asif has included the geothermal energy in the policy for development of renewable energy for power generation which is a milestone decision of the incumbent government. And the government decision to include geothermal in the renewable resources policy will unfold a series of opportunities for investors to exploit the potential of this resource in the country for electricity production.

Javed Ahmad told that he is working on the evaluation of clean geothermal energy resources of Pakistan for the last five years and presented his research in the international forum and due to his efforts geothermal energy for power generation has been recognised as clean renewable resource available in Pakistan.

Source: The News

New

s Fl

ash

Page 5: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

5

Shifting to alternative energy resources neededPakistan should also avail full benefits from its indigenous resources for power generation such as coal, solar, wind and hydroelectric. This was stated by LCCI Senior Vice President Almas Hyder, while speaking at an experts’ conference on “Economical Fuels for Power Plants in Industries” at the Lahore Chamber of Commerce and Industry.

He said that there is a dire need to shift to alternative energy resources as conventional resources are not only failed to fulfill the rising energy demand but also one of the biggest reasons of trade deficit. He said that dependence on thermal resources could cause huge damage to the economy if an oil price rises again in the international market.

Modern technology has made it possible to use all types of coal for power generation; therefore, immediate measures are the need of the hour, he said.

“It is high time to adopt alternative energy solutions to address the shortage of energy in our country. Solar and wind energy are the best options, but their high cost factor is hindering most of us,” the LCCI senior vice president added. Provincial Minister for Mines and Minerals Sher Ali Khan said that the Punjab government is focusing on alternative energy resources.

He said that the government is spending sufficient amount of energy and resources for the promotion of alternative energy resources.

Chairman of the Standing Committee Mian Fazal Ahmad said that keeping in view the rising energy demand, it is highly imperative to use cheaper fuels and indigenous coal for long-term benefits to the national economy.Source: The News

Sahiwal coal-fired power plant: Builders expect power generation before deadlineChinese companies building the 1,320MW Sahiwal coal-fired power plant, the first-ever such a project in Pakistan, expect power

generation next year which will be the ‘cheapest’ in terms of tariff and environment friendly.

Though the consortium of two Chinese companies which started work on June 9, 2015, is raising basic infrastructure at over a thousand acre land reserved for the plant with an official target of completing it by Dec 25, 2017, officials say the Provincial Chief Executive.

Around 3,000 workers, including 1,000 Chinese, are working at the site which is guarded by police personnel. “We are going to offer 8.1 cents per electricity unit to the Pakistani government under an agreement with the National Electric Power Regulatory Authority and this is the cheapest rate in Pakistan”, says Song Taiji, the Chief Executive Officer of Humeng Shandong Ruyi (Pakistan) Energy (Pvt) Limited.

He told the reporters at the site that the company would produce and sell the electricity for 30 years on a BOT basis before handing over the plant to the Punjab government. He said average life of the plant was 30 years approximately. Song said the upfront tariff was agreed after NEPRA involved international experts and bidding process. He said the plant was being constructed with an estimated cost of $1.8 billion jointly sponsored by two Chinese companies.Source: Dawn

Euclid Energy Inc. eager to invest in Punjab energy sectorPresident of US-based energy company Euclid Energy Tariq Zaheen, while expressing interest in the energy sector of Punjab said that we have access to huge amounts of funds from EXIM Bank, USA, and those funds can be made available for investment in various projects in Punjab.

He added that his company was considering setting up a power plant in Punjab which will prove instrumental in improving the province’s social indicators. He expressed these views during a meeting with Punjab Board of Investment and Trade’s team at PBIT head office.

PBIT team shared investment opportunities in agriculture and energy sectors as well as details of Saaf Pani Project and Grain Storage Silos projects. In addition, possibilities of investment in small solar off-grid solutions, procedures and details regarding each available project were also discussed. A joint meeting of PBIT officials and officials from Energy Department was held the same day in Energy Department to discuss possibilities of investment in small solar off-grid solutions. PBIT team assured complete cooperation and facilitation to the delegation members and requested them to share further details of their proposal so that it could be taken up for further necessary action.

Page 6: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

6

Source: The Nation

Joint ventures with Indonesia to import eco–friendly could prove beneficial in ending Pakistan’s energy crisisPresident Pak-China Joint Chamber of Commerce and Industry Shah Faisal Afridi said that joint ventures with Indonesia in terms of importing Eco-Friendly coal could prove to be prolific in overcoming the voracious energy crises in Pakistan. These comments were made during an address to an Indonesian delegation from prosperity Indonesia Holdings Company. In his welcome address,

Shah Faisal Afridi, in his address welcome, highlighted the need for Pakistan to redefine the energy mix on the pattern of developed countries that utilize coal as major source of power generation. He also said that coal should be given the highest national priority to meet our energy needs. According to Shah Faisal, “coal is cheap and plentiful.” He further said that as opposed to power generated by burning furnace oil which costs around Rs. 13 per unit and power from burning gas which costs 5.5 rupees per unit, coal would cost less than Rs. 1.5 per unit (1 US cent).

While the prime objective of the delegation was to discuss the possibilities of Pakistan importing high quality eco-friendly harnessed coal from Indonesia, General Manager of Wu XinQiang company said that coal from Indonesia was preferred all over the world due to the utilization of clean coal technologies employed in mining,. He further said that the technology used by then focused on the reduction of emissions produced by coal-fired power generation. Source: Pakistan Observer

Prime Minister Nawaz Sharif, Tajik President Emomali Rahmon, Afghan Chief Executive Dr Abdullah Abdullah and Kyrgyz Prime Minister Sooronbay Jeenbekov launch Casa-1000 project

Pakistan to obtain 1000 MW of electricity from C. AsiaA $1.2 billion quadrilateral project was launched that would allow the export of Central Asian electricity to Afghanistan and Pakistan by 2020.

The leaders of Pakistan, Tajikis tan, Afghanistan and Kyrgyzstan, who jointly launched the Central Asia-South Asia (CASA-1000) project, termed it “win-win and mutually rewarding” for all stakeholder states

and beneficial to the prosperity of their peoples.

Prime Minister Nawaz Sharif, Tajikistan’s President Emomali Rahmon, Afghanistan’s Chief Executive Dr Abdullah Abdullah and Kyrgyzstan’s Prime Minister Sooronbay Jeenbekov tightened bolts of the grand power transmission tower installed at Tursunzade city, about 47 km from the Tajik capital of Dushanbe.

Pakistan will obtain 1,000MW of electricity via Afghanistan which will get 300MW to be generated by Tajikistan and Kyrgyzstan. Under the project, a total of 1,300MW will be produced by Tajikistan and Kyrgyzstan.

The transmission line originating from the Kyrgyz substation at Datka will run through Tajikistan’s substations of Sughda, Dushanbe, Regar and Sangtuda and then pass through Afghanistan to Pakistan with a converter station at Nowshera.

The leaders in their speeches agreed on early materialization of the project which they said was an important milestone in attaining regional integration between Central Asia and South Asia.

Prime Minister Sharif noted with satisfaction that CASA-1000 had entered the implementation phase after several years of its conception and said the project demonstrated landmark cooperation among Pakistan, Tajikistan, Kyrgyzstan and Afghanistan. He termed it an important step towards realization of the planned Central Asia South Asia Regional Electricity Market.Source: GoPR

China World’s largest investor in renewable energyChina blazed ahead of the rest of the world in terms of investment in renewable energy last year, spending a total of $103bn, or 36% of the world total. According to the United Nations Environment Program’s annual report on global trends in renewable energy, China which is notorious for its dangerous levels of pollution, invested more than the collective investment by US ($44.1bn), the UK ($22.2bn) and Japan ($36.2bn).The report also suggested that countries around the world invested $286bn in renewable energy capacity, early-stage technology and research and development in 2015 – more than six times higher than investments in 2004 and setting a new global record, adding $13bn to 2014’s investments.As also revealed by Climatescope 2015 in November, developing countries outpaced their developed counterparts for the first time last year. The UNEP found emerging economies invested $156bn last year, a 19% increase on 2014, surpassing the developed world’s $130bn, which marked an 8% decrease. Also for the first time, coal and gas-fired electricity generation attracted less than half the investments made in solar, wind and other renewables capacity, which stood at $130bn and $266bn respectively.UNEP Executive Director Achim Steiner said last year’s record-setting investments are further proof that renewables are becoming ever more central to low-carbon lifestyles, and proving especially

New

s Fl

ash

Page 7: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

7

valuable in societies where reliable energy can offer “profound” improvements in quality of life, economic development and environmental sustainability.UNEP also noted that Latin America could save up to 10% in energy consumption by switching to cleaner technologies, saving $350bn in energy bills annually and reducing global CO2 emissions by 1.25 bn tonnes per year. The report also said this fast-rising demand in emerging economies, particularly China’s dash for wind and solar, are among the factors driving this shift in investment towards developing nations and away from advanced economies.Source: UN Report on Renewable Energy

World’s top oil rig builder diversifying business during downturnChief Executive of Keppel Offshore & Marine Chow Yew Yuen while addressing an industrial forum suggested that his company was looking at some non-oil and gas related projects where the company would be able to use its offshore technology.” According to him, the projects they were looking into include power projects and desalination. He also said that his company “would look for alternate projects where we’ll get to use our technology for jack-ups, for semis, for floaters and so on.” Chow said that these measures were an attempt to keep Keppel profitable in the face of the weak oil market. Keppel Corp — Keppel Off shore parent company — announced that it has been trimming employee numbers. Staff worldwide has been reduced by 9.4 percent since the start of 2016, or about 2,800 positions. Oil prices hit historic low this year in the face of massive oversupply, with the US benchmark West Texas Intermediate trading at $26.05 on February 11, 2016 and European benchmark Brent seeing $27.10 on January 20, 2016.They are now trading around $40 a barrel, well off mid-2014 levels of more than $100 a barrel. At the same forum, a Norwegian consultant predicted the current oversupply will continue for the next three years before the market starts to pick up again. Oil prices will cross the $100 mark only in 2020, said keynote speaker Jarand Rystad, who runs an energy consultancy. Source: AFP

Solvay proudly sides with Solar Impulse 2 on its final world flightSolvay is delighted to accompany Bertrand Piccard and André Borschberg in the second and final part of their world tour with Solar

Impulse 2 (Si2), which resumed its flight from Hawaii (United States) to San Francisco to gradually head 17,000 km back to Abu Dhabi (United Arab Emirates) – on just the sun’s energy.

Ever since Solvay became the first partner of the Solar Impulse project in 2004, its research and innovation teams have been essential in minimizing the weight of the plane through Solvay’s unique and leading expertise in ultra-strong, ultra-light materials and in maximizing the energy storage of its batteries, allowing it to also fly during the night. Si2, which last year successfully accomplished the first part of its world tour, has a 72 meter wing span but weighs about as much as a jeep and its horse power is similar to that of a motorbike.

Solvay provides 15 innovative products applied in more than 6,000 parts that help harvest and store energy, optimize fuel consumption and lightweight the plane. Moreover, it supplies the structural adhesives and pre-impregnated fibres used to build the wing spars and rear stabilizer parts, also of the first Solar Impulse.

All these materials are already part of our daily lives, in applications ranging from automotive and aerospace to construction and smart devices.Source: PR

GE selected to supply two coal-fired power plants in ChinaGeneral Electric has signed up to supplying two steam turbine generator units for two power plants, which are set to help meet growing demand in northern and central China.

The contracts are scheduled for the 1,320 MW Taihang coal-fired power plant and the 1,320MW Dabieshan power plant phase II project.

The deal was made with Huaneng Power International (HPI) and China Power International Development (CPI International) to supply two ultra-supercritical steam turbines integrated with two turbo generators each with 660 MW generation capacities for the Taihang power plant located in North China’s Shanxi Province.

Additionally, GE will deliver two 660 MW ultra-supercritical steam turbines generators units for the Dabieshan power plant phase II project, which is considered as one of the backbone power providers in China’s Hubei Province.

The plant will meet the power needs of about one million homes in the region, in 2017.

GE Power rotating equipment General Manager Martin Boller said: “As China has made energy efficiency and conservation a priority in its development strategy, we are well positioned and pleased to contribute to this strategy with our best-in-class technology and expertise.”Source: Power Engineering

Page 8: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

8

New

s Fl

ash

Turkmenistan starts gas transportation via East-West pipelineTurkmenistan’s Ahal province has started to receive natural gas transported via the recently commissioned East-West gas pipeline, said a message from Turkmenistan’s Oil and Gas Ministry.

The pipeline’s length is 733 kilometers, while its capacity is 30 billion cubic meters of gas per year.

Meanwhile, the construction of the Shatlyk compressor station is underway. The natural gas, transported via the East-West gas pipeline will be considered as a source for the gasoline production enterprise that is now under construction and for the agricultural fertilizer plants and will be delivered to gas turbine power plants in the Ahal province.

Turkmenistan’s Oil and Gas Ministry has said that by uniting all large gas fields in one system, the East-West gas pipeline also creates conditions for exporting Turkmen fuel to world markets in any direction. Earlier, it was reported that the export of energy resources to Europe is one of the priorities of Turkmenistan’s energy strategy.

Turkmenistan ranks fourth in the world in terms of its natural gas reserve volumes. Currently, the country exports gas to Chinese and Iranian markets. Source: Trend News Agency

Abu Dhabi’s Taqa mulls hiving off oil, gas assetsAbu Dhabi National Energy or Taqa is considering whether to sell its overseas oil and gas assets to another Abu Dhabi state-owned entity as it focuses on its core business of power generation and water production, sources told Reuters.

According to Taqa’s 2015 annual report, the company has an agreement with a “related party” under which, at the request of Taqa, that party would buy all its oil and gas assets in North America and Atrush in Iraqi Kurdistan, plus most of its assets in Europe, at an agreed price.

Taqa has been scaling back investments overseas and cutting costs to cope with the slump in crude oil prices. Taqa’s oil and gas assets were valued at Dh30.10 billion ($8.2 billion) at end-2015, its annual report showed. Now it plans to focus on its core water and power business and divest stakes in non-core assets, company officials have said.

The sources said they believed one of three Abu Dhabi state entities might buy the assets: International Petroleum Investment, Mubadala, or Abu Dhabi National Oil Company.Source: Khaleej Times

New Saudi economic plan to reduce Kingdom’s ‘oil addiction’Saudi Deputy Crown Prince Mohammed bin Salman unveiled a bold economic overhaul of the oil-dependent kingdom under the Saudi Arabia Vision 2030 programme aimed at weaning the country off its “addiction” to oil in a bid to prepare the next generation of Saudi leaders for the domestic pressures of youth unemployment and revenues eroded by lower oil prices.

There were few details and big questions remain over the government’s ability to implement the plan but Gulf investors are already taking cues from quarterly results.

The 30 years old second-in-line to the throne also serves as the country’s defence minister and chairs a committee to oversee economic policy-making.

That committee, the Council on Economic and Development Affairs has been focused on reorienting the kingdom away from its heavy reliance on fossil fuels, creating jobs and boosting foreign investment.

The Vision 2030 is meant to provide a blueprint for sweeping reforms to steer the OPEC Kingdom away from its decades-long reliance on cheap-to-produce oil.

Lower oil prices pushed Saudi Arabia into a budget deficit of nearly $100 billion last year and a projected deficit this year of $87 billion. Despite efforts to limit reliance on its main export, oil accounted for more than 70 percent of the state’s revenue in 2015.Source: Reuters

Increase in renewable energy capacity due to decline costs of technology: IRENAGlobal trends released by the International Renewable Energy Agency (IRENA) suggest that Renewable energy generation capacity

Page 9: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

9

Mee

tings

& A

nnou

ncem

entsincreased by 8.3% in 2015 to 1,985 GW. While giving the reasons for

this spectacular grown, the report attributes it to continued decline in technology costs. Overall capacity has increased by around one-third in the last five years, which has been mostly fueled by new installations of wind and solar energy.IRENA’s Director General Adnan Z Amin, said that renewable energy deployment continues to surge in markets around the globe, even in an era of low oil and gas prices. “Falling costs for renewable energy technologies and a host of economic, social and environmental drivers are favoring renewables over conventional power sources.”Wind power capacity grew by 17% from the previous year as the cost of onshore wind turbines fell.A decline in the price of photovoltaic modules also led to solar power capacity increasing by 37% or 47 GW.Source: IRENA

Oil & Gas companies upbeat despite industry challengesThe world’s largest oil and gas companies have addressed the nation’s biggest liquefied natural gas (LNG) conference and predicted a bright future for the industry despite decade-low prices.

John Watson, the head of US oil and gas giant Chevron said that global demand for LNG was expected to grow by 35 per cent over the next two decades.

“To put that into perspective, that will be a doubling in LNG production as we meet the growing oil demand,” he said.

“We will likely need as a world community a project the size of Gorgon every year for the next 20 years, so there is keen demand going forward.”

Royal Dutch Shell chief executive officer Ben van Beurden agreed and said those predictions would be backed up by growing demand from developing nations.

“Market conditions are pretty challenging, but at the same time new markets are opening up. Markets like Thailand, Pakistan and Poland,” he said.

He further said, “In the past these markets were simply too small for us to consider, but the rapid growth of floating re-gasification facilities amongst other things has considerably lowered the costs for importers and provided a lot more flexibility. This shows how important technological innovation is for the future of LNG.”Source: ABC

Meeting of Pakistan-US Energy Working GroupThe Pakistan-U.S. Energy Working Group met at the U.S. Department of State in Washington DC. Pakistan’s delegation was jointly led by Khawaja Muhammad Asif, Minister for Water and Power and Defence and Mr. Shahid Khaqan Abbasi, Minister for Petroleum and Natural Resources. The delegation also included senior officials of the respective Ministries, Ambassador Jalil Abbas Jilani, Embassy officials and representatives of provincial energy departments and agencies. Mr. Amos J Hochstein , the Special Envoy and Coordinator for International Energy Affairs at the U.S. Department of State led the U.S. side in the talks, which were held in frank and friendly atmosphere. Senior officials of U.S. State Department, U.S. Department of Energy, USAID, EXIM Bank, National Security Council (NSC), Department of Commerce and Treasury also joined the meeting. Both sides reviewed the performance of Pak-U.S. Energy Working Group and expressed satisfaction at the pace of their bilateral energy cooperation. Both countries reaffirmed their commitment to further strengthen their multifaceted partnership that reflects a shared interest in increased economic ties and Pakistan’s stability and growth. They discussed the entire gamut of energy cooperation, water issues, and integrated energy planning and energy efficiency. Energy forms the largest portfolio of U.S. civilian assistance to Pakistan and the continued cooperation has resulted in visible progress in the gas and power sectors.

As part of their cooperation, the U.S.-Pakistan Clean Energy Partnership is aimed at helping Pakistan overcome its energy challenges by facilitating private sector investment in clean energy to fuel Pakistan’s economic growth. Announced by Prime Minister Sharif and President Obama in October 2015, the U.S.-Pakistan Clean Energy Partnership is building on Pakistan’s existing clean energy resources, including hydro, natural gas, wind, solar, geothermal, and biomass, to significantly increase Pakistan’s power supplies over the next five years. The United States and Pakistan are partnering to bring greater private sector investment in clean power development that will promote growth and innovation in both countries, and help to address global climate change. Pakistan delegation also held a round-table discussion with U.S. private sector energy companies.Source: GoP PR

FPCCI appoints new chairman for its standing committee on energyThe Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Abdul Rauf Alam announced to appoint Usama Qureshi as the chairman of FPCCI’s Standing Committee on Energy for the year 2016.

Page 10: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

10

New

s Fl

ash “Qureshi is a young enthusiastic entrepreneur with over 12 years

of working experience in two large Energy sector organisations — K-Electric and Pakistan State Oil. “He is also serving as chairman of Pakistan Bahrain Business Council of FPCCI,” a press statement issued by the federation said. Qureshi’s focus would be on creating opportunities for the country’s business community, the statement added.Source: PR

Nandipur Power Plant gets new CEOThe government has appointed Shahid Zulfiqar Khan as the new Chief Executive Officer for the 425-megawatts Nandipur Power Plant.

After approval from the Prime Minister and adopting due process provided under the Public Sector Companies (Corporate Governance) Rules, 2013, the Federal government has appointment his CEO of plant, a news statement issued by the Ministry of Water and Power said.

He is a Cost and Management Account and Certified Corporate Secretary, an eminent professional who has more than 30-years’ experience in power sector in Middle East, Sri Lanka and Pakistan. He has special expertise in power plant development and has operated large scale power plants in Pakistan and Sri Lanka.

Shahid holds various distinctions for turning around businesses in AES. He has also been associated in tariff restructuring and WAPDA privatization as USAID adviser.Source: The News

Pakistan, Germany to launch renewable energy forumGerman Ambassador Ina Lepel has said that a renewable energy forum will be launched in collaboration with Pakistan in a bid to bring together and connect stakeholders from public and private sectors of the two countries. Speaking at the 5th International Exhibition and Conference on Renewable Energy and Energy Efficiency, Lepel said the German Development Cooperation – an agency that cooperates

in sustainable development – had been engaged in renewable energy and energy efficiency programmes since 1962, the year development partnership began between Pakistan and Germany.

Renewable energy: Germany offers assistance“Our objective is to support sustainable electricity supply in Pakistan and to help improve efficient use of energy,” she added.

The ambassador said besides financial and technical cooperation in the area of energy ranging from construction of hydroelectric power plants to supporting reforms and policy formulation, the goal was to leverage the business potential in renewable energy that existed in both countries.

She was of the view that Pakistan had a big potential for sustainable economic and social development due to its geographical realities as a trade corridor, its agricultural and human resources and the prospect of a competitive exporter of goods in high demand within the region and beyond.Source: APP

Book your Advertisment Now

Page 11: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

11

Page 12: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

12

Reon Energy is the renewable energy division of Pakistan’s leading corporate entity Dawood Lawrencepur Limited. It is also a leading provider of solar solutions and state-of-the-art equipment to business and industrial consumers. While the company gets its name from the term “Renewable Energy On,” it pledges to provide innovative energy solutions that will revolutionize the way energy is produced, consumed and conserved in the country without harming the environment. The Energy Insight recently conducted an interview with Reon Energy CEO, Mr. Inam ur Rahman. Here is what he had to say:

Q. Tell us more about Reon Energy and its solar solutions.

A. Reon is part of the Dawood Hercules Corporation which is the single largest contributor to the private energy sectors of Pakistan. We are the leading solar energy company in Pakistan with technical and financial expertise to design, deploy and maintain operations. We offer solar energy solutions for businesses, industrial units and other organizations with excessive energy dependence.

We have an extensive portfolio, with a reputation to deliver high-quality services. A few of our most recent and

Brighter energy prospects the REON way

Pers

onal

ity in

Foc

us

Page 13: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

13

The Thesis team presenting a souvenir to CEO Reon Energy Solutions Mr. Inam ur Rahman

major projects includes; the 1 MWp Solar Installation at Wah Chemicals Limited, 130 kW at Unilever Pakistan’s Tea Factory and another 143 kW installation at Asia Petroleum Limited. Reon has also successfully provided customized solutions for both on grid and off-grid localities, including solar solutions to Help NGO’s Hospital in Surjani Town, a Telecom Station in Kallar Kahar, Solar-powered schools and many more projects.

Q. Why did the group decide to pursue the Solar-Energy business model?

A. Solar is the cheapest renewable energy source available in abundance across Pakistan. A solar solution can be set up in less than three months to become fully productive and operational even in the remote areas. The Dawood Group, being the largest private energy provider in Pakistan, initiated its renewable energy division in 2008 to create sustainable energy that is dependable and affordable to meet Pakistan’s growing demand of energy. The first wind-power project then paved the way for the Group’s interest towards other sustainable energy ventures too.

Q. Solar is considered by many to be an expensive option, or a solution that is too ‘long-term’ to think about right now. What are your comments?

A. Solar Energy is cheaper than your local utility. The cost of solar equipment is consistently following a decreasing trend. Thus, solar energy systems are even viable in the short-run and the project’s payback is usually done within five years. We are working with banks to enhance and simplify the availability of financing

options for solar projects. We also offer Energy Sales i.e., the installation of a system at the client’s property with easy installments under an agreed-upon tariff rate from energy cost-savings enabled by the solar project.

Q. How do you expect Pakistan’s renewable energy sector to look like in the next five years?

A. The work on renewable energy projects has just started in Pakistan. We are almost five years behind in the developments as compared to India and Bangladesh. But at this time, we cannot deny the fact that there is a great potential of solar energy in Pakistan and it will increase with the passage of time. So far, we have two most important challenges in solar energy – a lack of awareness and its image of being an expensive investment. We need to overcome both of them.

In addition to this, policies such as Net-metering, distributed generation and ‘pay-as-you-save’ model, should be promoted, specifically in the remote communities. These concepts can help us in meeting energy demand-supply gap much faster.

Through prudent policies we should see about 10,000 MW of solar power, in Pakistan, within the next five years.

Q. How would the Net-metering policies impact the energy industry?

A. Net-Metering is an interesting phenomenon that can supplement the grid with additional power, to reduce the energy supply-demand gap and it will also reduce the cost of energy for the consumers. Moreover, it will decrease the load on the overall transmission and distribution system. Each rooftop and open space acts as a solar generator. Pakistan is one of the best countries in the world for rooftop solar – almost 1.5 times better than Germany. As soon as the DISCOs finalize their Net-metering requirements, we are expecting a rapid implementation of solar solutions on rooftops across the country. However, only the right quality infrastructure and equipment should be used for faultless and immediate integration of solar technology. It is important that each regional and individual DISCO adopts a customized policy according to the requirements and commercial dynamics of the region to ensure the success of net metering across the country.

Q. Please elaborate the B2B energy sales model. Has Reon worked on B2B energy sales?

A. Energy Sale is a widely acclaimed concept in the United States and other developed nations where most users avoid capital expenditure in the beginning of the project by making use of a Power Purchase Agreement (PPA) model. In a PPA, the installer builds a solar system on the client’s property at zero-upfront cost. The system offsets the customer’s electric utility bill and the developer sells the power generated to the client at an agreed-upon tariff rate, typically lower than the local utility. At the end of the term, the contract can be extended, or the system can be transferred to the property owner. The concept is yet to gain acceptance in Pakistan. Such models can bring tremendous opportunities for developing new businesses and reducing energy costs for existing ones. Pakistan has an ample amount of sunlight that can be utilized more effectively through such financing agreements and technology deployments. Reon is offering the energy sales agreement model to its customers. Its recent installation on IBL Building at Shahrah-e-Faisal in Karachi is based on an Energy-Sales Agreement.

Solar solutions can be set up in less than three months to become fully productive and operational even in the remote areas

Page 14: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

14

Atlas Copco Rolls Out New SmartROC D60 Drilling RigVersatile Rig Built to Take on a Variety of Surface ApplicationsAtlas Copco is introducing a new drilling rig, the SmartROC D60 which drills accurate quarry, construction and surface mining blastholes from 4 ½ to 7 inches in diameter. The versatile down-the-hole (DTH) machine can also be used in toe-hole, dewatering and horizontal drilling applications.

“What we have in the SmartROC D60 is robustness and intelligence working together to achieve optimum performance and cost efficiency. The result is that the owner gets more holes per shift and consistently high productivity,” says Mike Wentworth, product manager for Atlas Copco Surface Drilling Equipment in the U.S.

The SmartROC D60’s automation capability is designed to optimize efficiency for consistent productivity. Hole Navigation System (HNS) and auto positioning features help improve fragmentation characteristics by precisely locating holes, accurately collaring and drilling them to the required depth and inclination.

The standard SmartROC D60 feed eliminates the need for inductive sensors, ensuring more reliable handling of 16.5-foot drill steel from built-in sensors of its rod handling cylinders and carousel motor. The rig’s Auto Rod Handling feature automatically adds and then extracts rods when desired depth is reached. Its feed can be positioned horizontally, making service and maintenance routines even easier.

“The development of this rig is the latest in our drive to produce a wider range of surface drill rigs giving better results at lower cost. It’s the smart way to go in today’s economy,” Wentworth says.

Schneider Electric Introduces Altivar Process 660 Drive SystemOptional Communication Cards Allow for Seamless IntegrationSchneider Electric, a global specialist in energy management and automation, has launched the first wave of its new Altivar Process 660 Drive System.

The new Altivar Process variable speed drives provide integrated safety and automation functions that meet the requirements of demanding applications with a smaller footprint. The drives include various optional communication cards available for seamless integration into main automation architectures.

Altivar Process drives feature numerous configurable I/O as standard to facilitate adaptation to specific applications. They offer a plug and play solution, where parameters are preset in the factory to the desired configuration, helping to save process control and operating time.

The variable speed drives combine the reliability, flexibility and ease of use of the Altivar drives family with tested drive system designs to provide a solution for a variety of drilling markets.

Additional features of the Altivar Process 660 Drive Systems include:

• Range of 1 to 125 horsepower at 460V, 1 to 60 horsepower at 230V

• Type 1, Type 12, and Type 3R enclosures

• Integration of ATV630 drive into enclosed packaged system with protections, controls, optional contactors, etc.

• Multiple power options including input and output filtering, bypass, disconnect, etc.

New Line of Pentair Vertical Lineshaft Turbine PumpsBERKELEY 12VT Series Delivers Average 29-Percent Head-Per-Stage ImprovementPentair Flow & Filtration Solutions has introduced a new line of vertical lineshaft turbine (VLST) pumps — the BERKELEY 12VT series. The new pumps focus on the 12-inch (nominal bowl diameter) product range and feature increased performance in flow, efficiency and head-per-stage, delivering an average 29-percent improvement in head-per-stage versus the company’s current models.

“Berkeley has a strong tradition of driving innovation in its irrigation products,” says Chris Charland, Senior Product Manager at Pentair Flow & Filtration Solutions — Water Technologies. “The 12VT joins Berkeley’s TMH Submersible Turbine Pumps, Pentek XE-6 6-inch Submersible Motors and Berkeley BVM Vertical Multi-Stage Pumps as recent examples of our commitment to providing one source for reliable, innovative and performance-driven products.”

Along with improved performance, the new pumps’ standardized component design gives customers more performance and options with less effort, simplifies business processes and improves assembly and delivery times.

The design of the new Berkeley 12VT VLST pumps delivers a lineup that allows for shared designs, processes and tools across the entire performance range. The new pumps reduce the number of flow series in the 12-inch product line from 20 to 8, while improving performance coverage. The number of major components is also lowered from 88 to 23, which supports faster turnaround time, dealer quote preparation, pump building and delivery. Fewer components

Prod

uct N

ews

Page 15: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

15

can make dealer inventory easier to forecast and stock, promoting quicker inventory turnover and taking less warehouse space.

The design of the Berkeley 12VT VLST pumps features flexible configuration options, including open impeller options for each of the eight new flow series, multiple bearing material choices for intermediate bowls to address most operating conditions, and a suction case/suction bell design that essentially requires two castings to support all eight flow series.

The 12VT also provides several durability improvements: ductile iron discharge case for higher strength and better corrosion resistance, an O-ring seal on the bowls to create a better sealing surface and a better load spread across the flange of the bowls, 416 stainless steel collets, and 300 series stainless steel hardware for better corrosion resistance.

Schlumberger introduces new wireline conveyance systemOilfield services giant Schlumberger announced the launch of a new wireline conveyance system that, according to the company, can pull from 18,000 lbf to 30,000 lbf in wells 40,000 ft (12,192 m) deep or more. The new system is named as MaxPull.

Schlumberger said the MaxPull system’s engineered integration of wireline conveyance components now allows for complex well trajectories that were previously not wireline accessible.

Hinda Gharbi, president, Wireline, Schlumberger, said: “With the industry’s highest-pull wireline conveyance system, drillers can expect drillpipe-free wireline operations in any environment with vertical well efficiency and minimum sticking risk.”

“In addition, our customers can mitigate operational risk and save time during comprehensive data acquisition by eliminating the use of conventional drillpipe conveyance.”

As Schlumberger explained, a customer deployed the MaxPull 30000 system in a deepwater Gulf of Mexico well where job modeling indicated logging tension of 20,900 lbf. The existing highest-pull system of 21,000 lbf did not provide an overpull capability in the event of tool sticking.

By using the MaxPull 30000 system, the unnamed customer had the safety margin of 9,000 lbf of additional pull. When a sticking incident occurred during a reservoir fluid sampling station, a pull in excess of 29,300 lbf was applied to free the toolstring, avoiding a four-day fishing operation and the loss of valuable reservoir fluid data and saving more than $3 million, Schlumberger said.

Rolls-Royce to supply mooring system for world’s largest semi-sub crane vesselRolls-Royce has signed a £8 million ($11.5M) contract to supply the mooring system for the world’s largest semi-submersible crane vessel (SSCV), Sleipnir.

The vessel will be built in Singapore by SembCorp Marine for the Dutch company Heerema Offshore Services.

Asbjørn Skaro, Rolls-Royce, Executive Vice President – Deck Machinery, said: “Mooring a giant crane is a challenge we are happy to tackle, and it’s a great pleasure working with SembCorp Marine on this unique project. The system to be delivered by Rolls-Royce builds on decades of experience with advanced deck machinery for both vessels and floating units.”

For this vessel – the “Sleipnir” – Rolls-Royce said it would deliver a tailor made equipment package for specific operations, comprising a 12 point mooring system including electric driven winches, fairleads, wire sheaves and also a control system.

When completed, the vessel will be 220 metres in length, have a width of 102 metres and a displacement of 273,700 tonnes at maximum operational draft. It will be equipped with two cranes of 10,000 tonnes lifting capacity each, providing the heavy lifting capacity to install and remove offshore facilities and install subsea structures, foundations, moorings, and floating structures in deep water.

The Sleipnir will be self-propelled with a transit speed of 10 knots, and will operate on dual-fuel.

The vessel is scheduled to be delivered from the yard in the second half of 2018.

DPW Solar Power Rail™The Power Rail™ hardware system is the professional grade choice for mounting PV Modules on residential roofs and commercial structures. Featuring revolutionary RAD™ lock-in-place hardware, grounding and pre-assembled clamps, the Power Rail mounting system offers installers both labor and time savings. What sets this mounting system apart are eight rail choices for reducing costs over a broad range of span distances. Since 1993, DPW Solar mounting systems have provided installers the right combination of innovative products, cost savings and proven solar mounting technologies.

Page 16: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

16

German Pakistan Trade & InvestmentConference on Renewable Energy & Energy Efficiency

German Pakistan Trade & Investment (GPti) organized ‘Renewable Energy & Energy Efficiency Conference’ on May 05, 2016 which was attended by energy professionals, investors, businessmen and Government functionaries. The conference showcased Germany’s contribution in developing renewable energy resources in Pakistan and presented areas of joint action to improve the energy and environmental situation in Pakistan promoting sustainable energy generation and usage. Mr. Qazi Sajid, Chairman GPti, whilst welcoming participants emphasized the need to work together to improve the overall energy situation in Pakistan. He stated that “Germany and Pakistan businesses need to work closely to improve Pakistan’s power shortage and German Pakistan Trade & Investment will do its best to facilitate this cooperation.’’

Energy Efficiency Expo to Launch at World Future Energy Summit 2017Energy efficiency will be key for global countries to meet skyrocketing energy demand, the World Future Energy Summit (WFES) announced today with the launch of the Energy Efficiency Expo at WFES 2017.Worldwide, energy efficiency investment is set to reach USD 385 billion per year or USD 5.8 trillion in total to 2030, according to a recent report by the International Renewable Energy Authority (IRENA). With buildings a major energy consumer, investment in energy-efficient buildings alone is set to reach USD 125 billion by 2020.To meet the region’s rapid energy growth with the Middle East and North Africa’s energy demand set to double by 2030, the Middle East requires USD 555 billion in total energy infrastructure investment by 2030, according to a recent report by NBAD, University of Cambridge, and PWC.Energy efficiency in buildings, transportation, and manufacturing will play a key role – by replacing fossil fuels with renewable energy, improving electricity access and reliability, and reducing pollution, which in turn support economic growth, while benefitting society and the environment.Anticipating the growing demand for energy efficiency solutions in the region, the WFES Energy Efficiency Expo 2017 is set to be a new annual, co-located exhibition, conference, and business matchmaking program in the energy efficiency sector at Abu Dhabi Sustainability Week, hosted by Masdar.The WFES Energy Efficiency Expo is set to further elevate

Speaking at the conference, Mr. Rainer Schmiedchen, Consul General of the Federal Republic of Germany in Pakistan said, ‘’Germany is going through a major shift from a conventional energy production based on coal, oil and nuclear power to new energy sources such as wind, solar and geothermal power. It stands ready to work together with Pakistan.’’ Participants expressed their interest in attending more of such events in future so the exchange of contemporary business practices and trends brings forth mutual business growth and profitability in the face of present-day needs. The conference ended with a plan to create an Industry Expert Group which would look at increasing cooperation between Germany and Pakistan.

Abu Dhabi Sustainability Week as a global platform addressing the interconnected challenges and opportunities of sustainable development and clean energy.In the Middle East, the UAE and Kingdom of Saudi Arabia are leaders in energy efficiency, with the UAE recently revising fuel subsidies in line with global indices, and the Kingdom of Saudi Arabia aiming to improve energy efficiency for new vehicles by 20 per cent and air conditioners by 35 per cent to 2020, according to the IRENA report.“With buildings consuming 80 per cent of the UAE’s electricity, energy-efficient buildings have one of the highest potentials to reduce carbon emissions and energy costs. The WFES Energy Efficiency Expo will be a landmark event to drive new business opportunities in energy efficiency projects which not only provide favorable returns on investment but also contribute positively to the environment. As an independent forum aimed at promoting energy efficiency, Emirates Green Building Council is proud to be an event partner,” said Saeed Al Abbar, Chairman, Emirates Green Building Council.In the wider Middle East and North Africa region, countries that reduce their electricity load by five percent can save an average of USD 190 million per year, according to the Clean Energy Business Council.

Siemens to Showcase Oil & Gas Portfolio at Offshore Technology ConferenceSiemens announces that the company, along with newly acquired Dresser-Rand business, will showcase its combined capabilities for the oil and gas sector during the upcoming Offshore Technology Conference (OTC) in Houston (May 2 – 5).Siemens announces that the company, along with newly acquired Dresser-Rand business, will showcase its combined capabilities for

Even

t New

s

Page 17: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

17

the oil and gas sector during the upcoming Offshore Technology Conference (OTC) in Houston (May 2 – 5). Siemens Process Industries & Drives Division CEO Dr. Juergen Brandes and Siemens Process Solutions CEO Mikael Leksellwill participate in the conference, which will also include industry experts from Siemens and Dresser-Rand.

Siemens offers a complete spectrum of products, services and solutions for upstream, midstream and downstream. The Siemens portfolio includes motor and drive systems, automation technology, and advanced industrial software to improve the safety and security of today’s oil and gas operations while reducing engineering, operating and capital costs. Last year, Siemens announced the opening of its Oil & Gas Headquarters in Houston.

Nigeria to host largest energy gathering in AfricaThe 16th Annual Nigerian Oil and Gas Conference and Exhibition organised by CWC will be held in Abuja, Nigeria, from 13-16 June 2016The event will facilitate a strategic conference on Day 1 and an exhibition on oil, gas and power from 14-16 June. The event is aimed at bringing together the entire value chain to discuss and debate critical issues, challenges and opportunities facing the Nigerian industry post-privatisation.

The event is organised with official support from Nigeria’s Federal Ministry of Power, Works and Housing, NERC, NBET and the Presidential Task Force on Power.

Nigeria’s minister of power works and housing Babatunde Fashola and minister of state for power, works and housing Mustapha Baba Shehuri have been invited to speak at the event.

NBET Managing Director and CEO Rumundaka Wonodi, Transcorp Power Ltd managing director Adeoye Fedeyibi and Association of Nigerian Electricity Distribution (ANED) CEO Matthias Onweazuka Obiaya are some among the leading industrialists who will be a part of the conference.

The organisers claim the event to be Africa’s largest exhibition gathering of the Nigerian and international energy industry, with participation from more than 200 companies and attracting more than 6,500 visitors.

Power & Alternative Energy Asia 2016The 13th ITIF Asia 2016 – International Trade and Industry Fair is “UFI (Paris – France) Approved Event” that leads the way in delivering the best business opportunities to all participants which was held from 26th to 28th January, 2016 at Karachi Expo Centre – Pakistan, showcased the machinery and technology of the growing industrial sector of the economy and highlighted new prospects to attract foreign investment and joint venture.

The event hosted 65 foreign delegates along with local participants. The event was supported by all seven industrial associations: SITE Association of Industry, Korangi Association of Trade & Industry, Federal B. Area Association of Trade & Industry, North Karachi Association of Trade & Industry, Landhi Association of Trade & Industry, SITE Super Highway Association of Industry and Bin Qasim Association of Trade & Industry which comes under the umbrella of Karachi Industrial Forum – KIF.

The 13th ITIF Asia 2016 covers the following sectors:

– Power & Alternative Energy Asia covers the Power Generation, Distribution, Conservation, RPP’s, IPP’s and Alternative Energy Sectors Coal, Solar, Wind, Biomass, Geothermal and Hydropower.

– Oil & Gas Asia offers the International and Pakistani business community a strategic launch–pad to access the vibrant Pakistani, Afghanistan and Central Asian Republic Markets. The Exhibition would serve as a comprehensive showcase of the latest in technology, equipment and machinery as well as allied services, while providing overseas investors with a definite outlook of the regional oil & gas sector and an opportunity to meet their prospective local counterparts and business partners.

– Auto & transport Asia is the most promising annual trade show of auto, auto parts and accessories in Pakistan. A most exhaustive threshold providing updated and organized information of automotive trade shows including auto shows, auto expo, automobile trade show, auto exhibition, auto ancillary exhibitions, commercial vehicles tradeshows, auto lubricants tradeshow, auto accessories & equipment expos, automotive upholstery trade fairs and luxury vehicles trade events.

– Engineering Asia focus at developing and promoting the immense potential of heavy & light engineering products, accessories, raw material supplies, importers and traders of machinery & raw materials and allied services available in Pakistan, under one roof.

Pakistan Power & Renewable Energy Investment ConferenceThe Renewable & Alternative Energy Association of Pakistan is pleased to participate as Supporting Organization of the Pakistan Power & Renewable Energy Investment Conference which will take place in Islamabad on 18-19 May 2016. Euroconvention Global is hosting the event with IFC / World Bank Group as the Institutional Partner.

Pakistan has large untapped renewable energy resources in terms of wind and solar energy, not to mention its hydro and biomass potential, and it continues to draw further interest from companies looking to setting up renewable energy projects.

The government has taken pragmatic steps to harness the available renewable energy potential, diversify its energy mix and ensure sustainable development in the country. The promotion and development of RE technology have generated a record investment in just one year, revealing the interest of investors in this sector. Foreign investors already poured over $3 billion into the renewable energy sector in Pakistan over the last year.

Page 18: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

18

In all types of Power Plants (Gas Turbine, Combined Cycle System etc) the Fabric Expansion Joints is the essential part of the system. Fabric EJ are flexible connectors desgiend to provide stress relief and seal in gaseous media in ducting system.

Fabric EJ joints are located on both the inlet and outlet ducts sides of the gas turbine on the ducting and before the stack. EJ are used at a varity of location in diffuser, exhaust plenum, damper inlet & outlet, by-pass stack & boiler. These components are exposed to extensive thermal stress, high gas velocities, water washing of the turbine blading, many start/stop cycles for peak load and back up etc.

EagleBurgmann state-of-the-art, multilayer fabric expanion joints Combine-X – that is desinged to meet the most stringent requirement with regard to: Flexibility, Gas sealing barrier, design, operating temperatures, pressure.

EagleBurgmann can supply a package solution comprising not only specially designed expansion joints but also all necessary measurments and analyses, supervision, installation and final inspection.

During turbine washing water contact with Bolster (internal) is dramastically redue the life of bolster, so check the water drain line throughly.

Put always farbric expansion joint and bolster in their original seaworthy plastic packing, because moister contact must be avoided. Box must be 300mm up from the floor level, store indoor in a dry place and in the transport packing.

Although expansion joints do not require actual maintenance they should be checked regularly for sign of damage or degradation. The first sign of damage or degradation to a Fabric EJ may be visible on the outer cover, the coating may start to discolor or peel, depedning on the type of material/damage. Even before these signs are outwardly visible, thermal imaging can often identify hot spots and potential problem areas.

Making a joint on Fabric EJ are very precisely mointer and done carefully.

Contributed by Shakeel Ahmed Kaimkhani - Country Manager, Pakistan

Why Fabric EJ Fails in Power Plants

Artic

le

Page 19: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

19

Top 10Oil Reserves in the world.

Venezuela299.95 billion barrels24.9% (OPEC share)

KSA266.58 billion barrels22.1% (OPEC share)

Iran157.53 billion barrels13.1% (OPEC share)

UAE97.80 billion barrels8.1% (OPEC share) Kuwait

101.50 billion barrels8.4% (OPEC share)

Qatar25.24 billion barrels2.1% (OPEC share)

Libya48.36 billion barrels4.0% (OPEC share)

Algeria12.20 billion barrels1.0% (OPEC share)

Nigeria37.07 billion barrels3.1% (OPEC share)

Iraq143.07 billion barrels11.9% (OPEC share)

Fact

s &

Fig

ures

Source: OPEC Annual Statistical Bulletin 2015

Page 20: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

20

INOX Group, a ~$3bn business group worth, has diversified interests in Industrial Gases, Engineering Plastics, Refrigerants, Chemicals, Carbon Credits, Cryogenic Engineering, Renewable Energy and Entertainment. The Group employs more than 8000 people at more than 200 business units across the country, has a distribution network that is spread across more than 50 countries around the globe and exports to more than 75 countries.

In 1992, INOX India was formed within the INOX Group, with the value proposition to manufacture high quality cryogenic storage and transportation equipment, available locally at a competitive price. In 2010, with the merger of CVA Inc., USA & INOX India was re-branded – “INOXCVA”.

Our competitive world needs solutions that are engineered for a safe and reliable future. INOXCVA is delivering innovative Cryogenic Storage, Distribution and Transportation solutions worldwide to the Industrial Gas, the Oil and Gas, the Cryo-scientific field and the emerging LNG industry. Today, the “INOXCVA brand” stands for fully integrated product solutions to all markets from global locations in the US, Canada, Brazil, Europe and India.

Offering amongst the widest range of cryogenic storage and distribution products to the Industrial Gas Industry; starting from the smallest aluminum Dewars to Micro Bulk Units, from Customer Station Tanks to large bulk storage custom built vacuum

insulated and site built tanks, complete range of Transport Tankers and Trailers, to total Engineered packaged systems. Each manufacturing facility produces sophisticated cryogenic products conforming to strict quality guidelines based on each customer’s needs. All units follow globally certified processes and systems providing full traceability and acceptance test criteria. Apart from manufacturing, INOXCVA has after sales service, repair & maintenance support facilities worldwide.

To meet the market needs of various options in shortest possible time, INOXCVA has focused on a creating strong manufacturing base ensuring consistent quality, short lead time & convenient safe logistics.

Production facilities in India are located in the western region, close to major seaports and highways. The Kalol facility (located near Vadodara) & The Kandla facility (located in an Export Promotion Zone at Bhuj) manufactures the entire range of Cryogenic Distribution products that INOXCVA offers worldwide.

In the US, the Mont Belvieu Plant near Houston, Texas is customized for large

scale manufacture of Cryogenic transport Trailers. The manufacturing facility at Ameriport, Baytown, Texas manufactures Oil Wells Servicing equipment, IMO tanks, Truck Mounted Tanks, LNG Vehicle Fueling Systems, Rail Cars and Large Storage Tanks.

Cryogenic gas storage is a specialized business and INOXCVA operates in a segment that apart from direct users have two or even three, levels of separation from end users. Additionally, since this is an extremely specialized engineering business, despite competitors cropping up overnight – it takes years of experience, to deliver to expectations & satisfaction. This industry is still developing, and INOXCVA is in the top league of such experienced solution providers.

What makes us truly global is our deep-rooted local reach, providing the customers a single point contact, to serve them locally. We take an active approach in keeping a close working relationship with our clients, diving into their needs and delivering unmatched personalized service, that meet expectations. INOXCVA serves wide customers base spread over nearly hundred countries ... across the Americas, Europe, Middle East, Asia, Far East Asia, Australia & New Zealand.

Over the recent past lean business environment, INOXCVA has focused on up-gradation of infrastructure, implementation of new equipment, systems and processes; leading to enhancement in productivity,

The trends and technologies driving growth in the cryogenics business in 2016 – and beyond

Artic

le

Page 21: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

21

quality and efficiency. With continuous improvement adopting Kaizen, Line Production Techniques and TQM Standards have our customer appreciating our on-time delivery of quality products.

With our global presence, and experienced teams servicing the customer at regionally, it is natural that options & solutions provided to the customer meet their requirements, needs & local regulatory compliances.

Offering ‘Global tanks’ with standardized design and construction compliant to global MNC gas companies’ world-wide specifications, auger well with their asset management and interchangeability requirements.

Storage tanks & Micro-bulk Storage units available in a wide range of options in capacity, pressure rating and piping, available ex-stock or very short lead time. Design & performance proven over years of supplies to happy customers. Be it the ASME or EN or AS code tanks, perlite or super insulation, any wind & seismic requirement, all options are available, including local approvals like Australian work safe, KGS Korea, Russia & CIS, Malaysia, Brazil, Japan ... . For Europe, Xe Tanks designed and certified for Europe with added ergonomic & safety features available as local purchase through our office in Benelux.

Transport tank range consists of DNV certified Oil Field skid tanks, ISO IMO7 tank containers, Semi-Trailers, and chassis mounted micro-bulk units. We understand the various requirements of our customers and cater to them, whilst total compliance to local road regulations & restrictions, gross weight & axle load distribution, stability and overall dimensions. Each unit optimized for the respective liquid being transported – LIN, LOX, LAR, LCO2 & LNG. Accessories to ensure higher control & monitoring of wear & tear, stability & failure prevention.

Designing a Rugged sturdy Trailer, yet offering maximized payload, highest capacity and minimum ‘heat in-leak’, is a challenge not every manufacturer is capable of managing. INOXCVA Trailers designs are verified with detailed Finite Element Analysis (FEA), Roll-over stability checks meeting stringent criteria, specific requirements, ensure high Vacuum, minimal evaporation loss rates, meeting the industry expectations.

INOXCVA specializes in design, engineering, manufacture, integration, testing and supply of Engineered Turnkey Packaged Solutions involving cryogenic storage, instrument control system, pressure regulation system, Vaporisation system, designed to meet project specifications and operating control philosophies. INOXCVA also provides consultancy and engineering services for selection of main equipment for preparation of various equipment, components and total solution for cryogenic Liquid Storage Distribution, Transportation and Vaporization System. Supervision of installation, hook up, pre-commissioning and commissioning of cryogenic Storage, Distribution And Vaporization Packages, Field erection and supervision of flat bottom tanks and complete system, Repair and maintenance of cryogenic equipment: at site or at Inox premises are also undertaken.

LNG is has emerged as a greener fuel with increasingly playing larger role in addressing tomorrow’s energy needs. INOXCVA is accerlating solutions across key stages in the Small Scale Distribution of LNG value chain, with a comprehensive range of end-to-end solutions in Storage, Transportation and Regasification systems of LNG for the Industrial and Transport sector.

Shale gas exploration has gained and inspired momentum, and INOXCVA, too sees the significant potential for the cryogenic equipment manufacturers. INOXCVA is already a major equipment supplier to the shale gas and LNG industry. Our ‘GoLNG’ business model provides turnkey solutions for LNG distribution for industries switching to LNG storage and re-gases systems on a supply or lease basis.

With valuable experience gained over several years of executing turnkey EPC projects, and expertise created in the field of Cryo Scientific Research & Development such as cryogenic fuel supply systems for

operational satellite Launch Pad in India, INOXCVA sees opportunities to add to its growth potential.

INOXCVA’s moment of pride was being the first Indian Company, and among very few in the world, to contribute towards an international project – be part of the world’s largest experimental facility to demonstrate the scientific and technical feasibility of fusion power, being constructed presently at Cadarache, in the South of France. INOXCVA created headlines being awarded the contract to supply vacuum jacket process transfer lines at ITER site.

INOXCVA continues to excel with successful performance as LNG fuel system provider for the marine industry. We recently delivered 2nd st lot of 770 M3 x 3 Nos LNG fuel tanks at VT Halter Marine Shipyard in USA. This milestone comes close after several supplies of LNG fuel tanks of capacity 126m3, 155m3 and 770m3 tanks for other similar projects. INOXCVA delivers Cryogenic & low temperature solutions on Land, Rail, Sea and Space ….

Also, providing cryogenics technologies along with associated equipment and project management for the upcoming floating LNG terminal, along with the associated Ennore-Nellore-Krishnapatnam gas pipeline. Overall, the project comprises an LNG floating storage, onshore buffer storage tank, re-gasification system, cryogenic truck loading bays and a 250km-long gas evacuation pipeline into the industrial hub of Chennai.

Safety First …! Emphasis is meeting global requirements & expectations in organizational Health, Safety & Environment. INOXCVA recently crossed a safety milestone recognition - One million man-hours for Kalol plant & more than half million man-hours for Kandla plant without a single lost time injury.

At INOXCVA we work relentlessly to provide custom solutions that ultimately result in the safe and reliable solution for our Customers. We aim to go beyond meeting today’s challenges & create strategies that are focused on solutions for tomorrow. Years of experience and expertise in the Cryogenic industry along with excellence in providing advanced technologies to customers globally, has set high benchmarks for us... benchmarks that we continuously surpass and set new ones.

Page 22: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

22

The last 12 months have seen 3 new LNG consumers added to the growing mix of converts to this cool energy form - Egypt, Jordan and Pakistan. All have implemented quick FSRU solutions in order to get into the LNG game and all of them are pretty classic baseload markets with otherwise pretty predictable and massive needs.

The LNG world has been a harsh world for a buyer of the commodity for the 10 years up to 2015. Laying your hands on the cool stuff was deemed to be almost impossible as prices were sky high and the Japanese suction sound drowned out all fringe developments.

This is different now as the world goes into LNG oversupply mode and sellers start to look at options they have not even looked at with a smirk just 18 months earlier.

Focus on PakistanPakistan is the 21st gas consuming nation on this planet and its sixth most populous country. It’s a gas producing nation and has enormous potential for shale and tight gas. Despite the upstream vigour, the countries reserve replacement ratio since 2005 is either flat or outright falling. Whatever the potential in the ground, it seems like the country cannot materialize it.

But it would need to urgently. There are gas and power shortages that cripple the economy. Gas is rationed in a country that is - with about 275,000 vehicles running on CNG - still one of the biggest users for methane as a vehicle fuel in the world. This makes the pro rata of CNG vehicles go down as due to the gas shortage, the government even discourages CNG as a vehicle fuel now. It’s a pretty clear policy of the government to phase out CNG altogether.

The country’s total energy balance makes it half as big as the UK and 32% of that comes from Natural Gas. But the constant shortage of gas also has a negative effect on GDP. Utilities burn Fuel Oil in order to shore up power systems and it also imports lots of refined products as the refineries of the country can’t cope with demand.

Load shedding is a major issue in the country and affects all parts of it now. Fertilizer plants cannot operate because of the constant load shedding and make huge losses which they blame on the ineffective government and broken utilities. A couple of lawsuits are running right now.

As of today, Pakistan has a shortfall of between 20-25 bcm per year. That’s at least what the numbers say but it can safely be assumed that if there would be reliable gas supply in place and people would see it coming forward, gas use would go through the roof. And as Pakistan cannot cover its gas shortfall by itself - it needs to import.

With those demand figures and big gas exporting nations not super far away, it’s tempting to look at pipelines and there are two proposals that have produced lots of waves by media and other. The IP pipeline from Iran to Pakistan and the TAPI project which would bring Turkmen gas through Afghanistan to Pakistan.

Both projects have been around for a while but failed to materialize due to numerous obstacles. Most importantly, securing a high-pressure tube over thousands of kilometers of territory - where lots of people hold a grudge and like to blow things up as a result - is certainly not the easiest venture. Maybe the visit of the Iranian President Rohani will change something here. The will to act seems to be strong.

Pipelines are still not easy to run through such wild lands as is Baluchistan which is why Pakistan has turned its gaze towards LNG already quite a while ago. But here again, the going was all but easy.

They tried 10 years ago with the Mashal project which was halted.

4gas ran a project that was supposed to be integrated but that was subsequently split in two where 4gas would have to take care of the building and running the terminal and GDF-Suez was charged with getting supply. This project was halted by the Supreme Court in 2010.

There were tenders again in 2012 that once more got stuck in the administration noodle soup.

Another problem is also the attitude of the government which through OGRA dictates prices the gas utilities can charge which forms a ceiling at which an LNG seller can sell and this ceiling was always too low for comfort. OGRA also requires very stiff supply guarantees and usually also a right to first purchase on all gas which is very hard to swallow as it automatically makes all other customers interruptible, and hence lessening the value of the service.

They also require a supply guarantee which in today’s market should not be hard to organize. However, they always look at floating schemes and those plants are very hard to run on a baseload basis. When a tanker comes and the tanks are not really, really empty - you are toast. Conversely, if the tanks run low and the next cargo does not show up for whatever reason - it’s blackout time for lots of folks.

So far, only one Floating Storage and Regasification Unit is operating and its too soon to call in the operational data. The first Qatari cargo calling on Port Qasim has been processed so we all watch how this peters out. Only Excellerate has engaged so far and it seems that they did not have to bother with those many guarantees as today’s developers are required to. They would not have come otherwise.

FLNG is an admirable technology and it most certainly does wonders in some places with itsy, bitsy needs of LNG like some peak shaving in Kuwait or in Brazil but Pakistan is no such case. But as we learned lately, even Kuwait is having a change of heart and is building an onshore terminal now.

Pakistan is a country with massive, yearlong needs and a huge market that will grow at breakneck speed once customers can be sure that the gas stays on. The thing to do is a big baseload, onshore terminal such as you find them in most other big economies. Only those can assure to deliver what Pakistan needs as they provide the operational flexibility and comfort needed by such a big market.

There are some storage sites, the closest of which is Nawabshah which can be used to help stabilise send out profiles and most of the pipeage is there to bring the gas as far north as Lahore so some dab of compressing power here and there might just do but much of the demand is in and around Karachi anyhow.

It would be a shame that a country that is among the biggest planetary users of CNG stopped doing so just because there is no more gas.

Pakistan: The Manacled LNG PlayerContributed by: Rudolf Huber

Artic

le

Page 23: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,

23

The energy sector is currently in a state of transition in many parts of the world. Such transformation has a major impact on all industry players: more natural gas, less coal, greater efficiency and much more renewables. Every year a new record of renewables capacity are redefining the energy mix.

Emerging technologies, renewable innovations, customer values and expectations, environmental consciousness and security of supply are pushing the industry to rethink its outdated business model. Traditionally vertically integrated utilities may eventually pave the way towards Energy Service Utilities where Smart Grid, Renewable Sources, Prosumers and Distributed Services act in unison. Utilities may even become distributed system platform providers.

The main drivers behind this renewable revolution are depicted as follows:

Environmental concerns: Save the Earth & Go for Lower Emissions!• Last December, during the Paris Climate

Conference, 195 countries adopted the first-ever universal, legally binding global climate deal: this is widely seen as the most important climate agreement since the 1997 Kyoto Protocol

• All nations should rein over their rising carbon levels as an attempt to eliminate net greenhouse gas effects

• More investments will be poured into Renewable energy companies, while coal and oil companies may be penalised with tougher regulations

Nuclear Energy Controversy• March 2011 – The Fukushima Nuclear

Plant disaster intensified the debate related to the future of Nuclear Energy

• May 2011 - Germany announced that it will shut down all its nuclear plants by 2022

• The ongoing debate covers the following risks associated with Nuclear Energy:

• Risks of nuclear disaster at a plant (Chernobyl, Three-Mile Island)

• Risks of nuclear proliferation from civil to military purposes

• Risk of radiation from nuclear waste storage

• Cost involved and long period required to make nuclear plants available

• Limited availability of Uranium resources

Security of Energy Supply• The reliance of virtually all industries

on electric power and fuel show their dependency on the Energy Sector

• The overreliance on fossil fuel, inevitable depletion of natural resources, climate change & scarcity of water resources are paving the way for new energy sources (renewable) and efficient conservation programs

Race for Technological Leadership• Full integration of renewable energy with

the smart grid will become at the heart of the new energy system

• New technology is the only remaining alternative to allow Utilities to be more efficient. This gives a clear competitive advantage and offers a huge incentive to the parties that demonstrate leadership in clean energy usage

Competitiveness based on LCOE (Levelized Cost Of Eelectricity)• A dramatic and sustained improvement in

the competitiveness of renewable power generation technologies, along with an accelerated deployment is allowing renewable plant to benefit from a cycle of falling costs

• Swanson’s Law states that every time the cumulative volume of solar panels produced doubles, prices fall by 20%: hence the huge adoption and associated massive price drop in the deployment of solar technology

• In 2015, First Solar agreed to supply solar power at 3.87 cents/kWh levelized price from its 100 MW Playa Solar 2 project to Nevada Power Company at a cheaper rate than the electricity sale price from conventional electricity generation plants

MENA Readiness • The energy sector in the MENA region

has long played a crucial role in assuring the quality of life expected by citizens especially in the Arab Gulf Region due to abundant crude supply and high level of subsidies

• A huge market expansion took place due to double digit growth, urbanization and economic developments, all leading to an unsustainable growth in consumption. Nevertheless, a significant diversification effort is currently taking place in the region and especially in the Gulf Cooperation Council (GCC) countries

• With the current depression of oil prices along with an increase in the electricity tariffs among the Net Oil Exporting Countries (NOEC) due to lower subsidies, the rising economic cost of business as-usual is triggering major concerns over the long run. The renewable energy is becoming an attractive element in the energy mix especially in a region with an unrivalled climatic advantages (given the extreme sunny weather)

• As for the Net Importing Countries, although they may be recently benefiting from low oil price benchmarks, or preferential treatment, eventually diversifying their energy sources, decreasing their dependency and moving away from fossil fuel will prove to be highly beneficial

• Finally, a double digit yearly growth is putting a major strain on the existing infrastructure and accordingly new energy sources are required to bridge the gap

Now that we have seen some of the main drivers behind the emergence of renewable energy, it is important to explore the challenges associated with such deployment since despite all the hype and clear benefits of renewable energy, there are several technical, economical, regulatory and institutional barriers for using renewable and distributed generation systems.

These challenges need to be clearly addressed and mitigated in order to enable a higher penetration of renewable energy. This shall be tackled in a subsequent article covering the limitations as well as the possible solutions.

Renewable Energy - A new reality is taking shapeBy: Elie Nasr, GIS Adviser / Program Manager at Electricity and Water Authority, Bahrain

Page 24: eventenergyinsight.com.pk/1st-Issue.pdf · SPE Asia Pacific Oil & Gas Conference and Exhibition ... for the exploitation of mammoth resources of geothermal energy ... power plant,