Microgrid-Ready CHP for U.S. Military Facility in Germany and Other Quick Microgrid News

May 27, 2016
Siemens signs $24.6 million deal to supply microgrid-ready CHP plant to the military…Northern Power Systems refocuses on microgrids…AutoGrid raises $20M…Diesel gen market growing
Microgrid-ready CHP Plant to save energy, taxpayer dollars and improve energy security

Siemens and the Defense Logistics Agency – Energy (DLA-E) signed a $24.6 million ESPC contract to install, operate and maintain a microgrid-ready combined heat and power (CHP) plant at the U.S. Army’s Installation Management Command (IMCOM) headquarters in Sembach, Germany.

The microgrid-ready plant will cut energy costs by more than 33 percent, saving taxpayer dollars, and reduce carbon emission by more than 26 percent. In the future, with the implementation of a microgrid, the Army will be able to run a portion of the garrison’s priority buildings without energy from the commercial grid, providing greater energy security.

The project is Siemens’ first energy savings performance contract (ESPC) with a U.S. military facility outside the continental U.S. ESPCs provide an alternative financial mechanism which allows federal agencies to reduce their energy intensity and energy costs by accelerating investment in cost effective energy conservation measures while incurring no capital costs.

The city of Sembach is headquarters not only for IMCOM, but also the home of European Regional Medical Command, 30th Medical Brigade, U.S. Army NATO Brigade and the 18th Military Police Brigade, as well as American Forces Network Europe.


Northern Power Systems refocuses on microgrids, distributed energy
Renewable energy technology company Northern Power Systems is refocusing its business direction to include the design, manufacture and sale of distributed wind turbines and integrated microgrid and distributed energy storage solutions. The company is also exploring arrangements to further monetize its investment in its utility scale wind businesses and technology. 
“Our customers continue to ask for solutions onsite, both behind the meter and grid-connected, that can help them reduce operating expenses and prepare for future energy needs,” said Troy Patton, CEO of Northern Power Systems. “With this plan, the new organization is prioritizing a focus on profitability through delivering emerging technology for storage and renewables integration to serve both utilities’ and small business owners’ goals of reducing cost and increasing reliability of their energy supply.”
Embracing energy Internet: AutoGrid raises $20 million in financing

AutoGrid raised more than $20 million in financing which it will use to further develop its Energy Internet applications: smart, renewable-friendly energy networks that can manage millions of demand response, energy storage systems, EV chargers, CHP units, smart thermostats and other distributed energy resources (DERs) in real time and at scale.

In an increasingly complex distributed energy environment, software like Energy Internet helps utilities, electricity retailers, renewable energy project developers and energy service providers adapt improve operations, integrate renewables and make energy cheaper, cleaner and more reliable.

The $20 million in financing was raised in a round led by Energy Impact Partners, an investment firm representing four major utilities — Southern Company, National Grid, Xcel Energy and Oncor. With this financing, AutoGrid will also extend marketing and sales efforts in North America, Asia and Europe.

The investment comes on the heels of a highly successful 2015, in which AutoGrid realized 100 percent year-over-year growth in annual recurring revenues and a 350 percent increase in distributed energy resources (DERs) under contract.


Diesel generators still play an important part in meeting global electricity needs: Market set to grow to $17.6 billion in 2020

The global diesel generator market is set to grow from $14.7 billion in 2016 to $17.6 billion in 2020, according a report from GlobalData — a compound annual growth rate of 4.5 percent.

Hybrid systems that improve the overall efficiency and output of renewable energy power plants may be driving demand for diesel generators. In many developing countries, governments struggle to meet capacity addition needs and diesel could be the answer.

“The price of a gas generator can be three to four times that of a diesel generator with the same specification, ” explains Prabhanjan Kumar Singh, GlobalData’s Analyst covering Power. “Although in the long term gas generators are more economical, they lose out to diesel generators due to their high start-up cost…. Many developing countries around the world still lack adequate grid infrastructure for electricity transportation, and not every country is rich in natural gas reserves. The absence of trans-national or domestic gas pipelines means the price of gas increases, making it a less preferred fuel option. In this way, power back-up units such as diesel generators play an important part in meeting electricity needs.”

China, for example, does not have a network of gas pipelines, leaving room for diesel generator growth as the government ramps up gas capacity. In 2015, the Chinese diesel generator market was worth over $3 billion and accounted for 22.1% of the global market, according to GlobalData.

For more on microgrid-ready CHP plants, join us on Twitter @MicrogridNews.

About the Author

Cara Goman

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