20th January 2022 Hitachi to Supply Grid Integration System
Hitachi Energy, a global technology leader formerly known as Hitachi ABB Power Grids has been selected to supply a grid integration system to the ongoing Gulf of Suez 1 Wind Farm project in Egypt, which is being executed by Vestas Wind Systems A/S, a Danish manufacturer, seller, installer, and servicer of wind turbines.
The Hitachi Energy solution, which includes a gas-insulated substation of modular pre-assembled and pre-tested design for fast and simple installation, will be used to connect the 250 megawatt Gulf of Suez 1 wind farm to the national power grid.
The solution will collect all the power generated by the 70 Vestas wind turbines installed at the New and Renewable Energy Authority (NREA) owned firm, and feed it safely and reliably into the high-voltage power grid for transmission across the North African country.
It will also ensure that the power is transferred constantly at the correct voltage and frequency, even under variable wind conditions when the power generated fluctuates.
Hitachi MDs remarks on the Gulf of Suez 1 Wind Farm project contract
Speaking on the Gulf of Suez 1 Wind Farm project contract, Niklas Persson, the Managing Director of Hitachi Energy’s Grid Integration business said that they are proud to be contributing to the Egyptian government’s plan to produce 20% of its installed capacity from renewable sources by 2022 and 42% by 2035.
“Our grid integration and power quality solutions and expertise ensure variable energy sources like wind power are transferred smoothly and reliably into national power transmission systems, advancing a sustainable energy future for all,” explained Mr. Persson.
In August 2020 the government of the Arab Republic of Egypt through the state-owned New and Renewable Energy Authority (NREA) has awarded a contract for the construction of Gulf of Suez 1 wind farm a new 250 MW wind farm in the Gulf of Suez located to the north-east region of the North African country.
The contract was awarded to Vestas Wind Systems A/S, a Danish manufacturer, seller, installer, and service provider for wind turbine systems after the project’s terms had been agreed upon and reviewed by Egypt’s state council.
Two other companies i.e. Siemens Gamesa Renewable Energy S.A., a Spanish-German wind engineering company based in Spain, and Senvion Gmbh, a German wind turbine manufacturer based in Germany, had submitted tenders for the 250 MW wind farm in the Gulf of Suez project.
Allegedly, Siemens Gamesa formerly Gamesa Corporación Tecnológica S.A. and Grupo Auxiliar Metalúrgico S.A., unlike Vestas failed to extend the validity of its bid for the tender, and as a result, it was excluded from further consideration while on the other hand, Senvion withdrew due to technical reasons.
Financing for the project
The implementation of the entire project is estimated to cost approximately 228 million euros. The wind energy giant has already received assurances of funding from several financial institutions, including the French Development Agency (AFD), the European Investment Bank (EIB), and the German development agency Kreditanstalt für Wiederaufbau (KfW).
The construction works for the project is expected to take about 2 years to complete, upon which the electricity generated by the future wind farm will be sold to the Egyptian Electricity Transmission Company (EETC).
October 2020 Vestas gets order to supply turbines
New and Renewable Energy Authority (NREA), the Egyptian government institution responsible for the promotion and development of renewable energy in the North African country has placed a 252 MW order, including a three-year service agreement, with Vestas Wind Systems A/S for the Gulf of Suez 1 wind project in Gulf of Suez.
The Danish manufacturer, seller, installer, and servicer of wind turbines has developed a solution that comprises the supply and installation of 70 V105-3.45 MW wind turbines in 3.6 MW Power Optimized Mode and a three-year Active Output Management 4000 (AOM 4000) service agreement, capable of maximizing the project’s annual energy production while meeting the local tip-height restriction and the national grid code requirements.
Engineering, procurement, and construction (EPC) of the project
Leveraging its experience from more than 4 GW of turnkey projects across the globe, the company will also manage the engineering, procurement, and construction (EPC) side of the project, which includes related civil and electrical works and the substation for the connection to the national grid.
Commenting on the order, Muhamed Bou-Zeid, the General Manager of Vestas Middle East and North Africa (MENA) said that they are proud to be back in Egypt and to continue their work to help transform the country’s energy infrastructure into a reliable system of clean power supply.
“Our wide portfolio of solutions and services can help NREA ensure price stability and security of energy supply over time, and in turn, demand less reliance on fossil-fuel-based energy sources” explained Bou-Zeid.
When fully operational in 2023, the project’s annual production capacity is expected to reach 1027 GWh of clean energy and according to NREA save around 560,000 tonnes of CO2 emissions within the same timeframe. It will be jointly financed by the European Investment Bank, KfW, Agence Française de Développement, and the European Commission.