Industry

Wartsila launches hydrogen-ready engine power plant

The new engine power plant can run on natural gas and 25 vol% hydrogen blends. (Image source: Wartsila)

Addressing the just transition ideology of Africa, technology group Wärtsilä has introduced a purely hydrogen-ready engine power plant

Guided by the IEA World Energy Outlook 2023 that predicts hydrogen consumption to reach 51 mt by 2050, Wärtsilä's launch establishes the importance of an energy mix. Sustainable fuels like hydrogen and natural gas are significant to balance the fluctuating renewable energy sources.

Wartsila has been working towards ensuring energy mix since the last few years, when it announced the conversion of the heavy fuel-operated Bel-Air power plant in Dakar to LNG.

The new engine power plant can run on natural gas and 25 vol% hydrogen blends.

Addressing energy security

Anders Lindberg, president, Wärtsilä Energy, said, “We will not meet global climate goals or fully decarbonise our power systems without flexible, zero-carbon power generation, which can quickly ramp up and down to support intermittent wind and solar.

“We must be realistic that natural gas will play a part in our power systems for years to come. Our fuel flexible engines can use natural gas today to provide flexibility and balancing, enabling renewable power to thrive. They can then be converted to run on hydrogen when it becomes readily available: future-proofing the journey to net zero.

“This is a major milestone for us as a company, and the energy transition more generally, as our hydrogen-ready engines will enable the 100% renewable power systems of tomorrow.”

The Wärtsilä 31 engine platform that is the driving force behind the hydrogen-ready power plant is designed for instant operation, synchronising with the grid within 30 seconds from start command.

Having completed more than 1 million running hours, with over 1,000 MW installed capacity globally, the platform offers unparalleled load following capabilities and high part load efficiency. Its fuel flexibility is hence capable of meeting present challenges of energy security.

With hydrogen catching up at a rapid pace in Africa, the Wärtsilä 31 engine is all set to hit the markets next year, followed by delivery services from 2026.

New Vivo Energy Group creates pan-African championship

The combined Vivo Energy Group now has more than 3,900 service stations. (Image source: Engen)

Engen becomes part of Vivo Energy as the latter acquired 74% Engen share from PETRONAS

The transaction which began in February last year, came to a close with the securing of regulatory approvals and fulfilment of conditions precedent across the seven markets where Engen operates.

With B-BBEE shareholder Phembani Group continuing to hold 21% interests in Engen, and expansion of another 5% employee share ownership programme for historically disadvantaged persons, the new strategic partnership results in pan-African energy championship. “Having been invested in Engen since 1999, we are excited to continue our involvement, partnering in a strategic relationship with Vivo Energy in the next phase of Engen’s growth as a key player in South Africa’s economy,” said Phuthuma Nhleko, chairman and co-founder of Phembani Group.

The combined Vivo Energy Group now has more than 3,900 service stations, and beyond 2 billion litres of storage capacity across 28 African markets. Business will go on as usual with the objective of delivering added value and benefits for customers and stakeholders.

Growing operations in South Africa

In a joint statement, Stan Mittelman, CEO of the Vivo Energy Group, and Seelan Naidoo, managing director and CEO of Engen, said, “We are delighted to conclude the transaction, and will now work together to take the ‘best of both’ from Engen and Vivo Energy, positioning the combined organisation well for growth and success in the years to come.”

Mittelman and Naidoo said, “As part of the transaction, Vivo Energy has committed to invest a significant amount of capital expenditure to maintain and grow Engen’s operations in South Africa, ensuring a modern and efficient business, for the benefit of the South African population. We have also committed to major investments in renewable solar power generation projects to help transform the economy, while supporting a just energy transition for the country.”

Chris Bake, chairman of Vivo Energy, said, “I would like to thank PETRONAS for its stewardship of Engen over the last 25+ years. Together with the Phembani Group, they have grown Engen into a valuable corporate citizen. The combination of Vivo Energy and Engen to create a pan-African champion not only benefits customers in South Africa and across the continent, but also sets up the new Group to achieve its vision to be Africa’s leading and most respected energy business.”