Siemens backs coal technology
24 Jun 2006
Siemens Power Generation Group is acquiring Sustec-Group's coal-to-electricity technology and engineering activities. The company said it also plans to build a 1,000 megawatts (MW) coal gasification plant in Saxony, to accelerate development of the technology.
The deal gives Siemens a key technology for environment-friendly power generation that could "re-invigorate interest in integrated gasification combined cycle (IGCC) technology," said a Siemens announcement.
Sustec's GSP entrained flow gasification process can utilise biomass as well as petroleum coke and refinery residues as feedstocks - as well as a wide range of coal grades, the statement added.
According to Paula Hollywood, an analyst at ARC Advisory Group, "the challenge for all parties developing IGCC technology lies in commercialising the technology such that coal use remains economically competitive despite the additional costs associated with achieving zero emissions."
