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Aggreko highlights the efficiency and flexibility of smaller engine-powered plants in the upcoming Capacity Reserve Auction, enabling a safe energy transition for the country.
Aggreko is highlighting the efficiency and flexibility of smaller engine-powered plants in the upcoming Capacity Reserve Auction, enabling the country’s secure energy transition. This approach has significant potential to ensure greater security and stability in energy supply.
By participating in events such as Gas Energy & Week and Full Energy 2024, Aggreko reinforces its leadership in energy solutions. In addition, the company is committed to offering innovative alternatives during the Reserve Auctions, thus strengthening the capacity to generate electricity and ensuring the continuity of the national energy supply.
Emerging Debates and the Natural Gas Market
During Energy Week, held in Rio de Janeiro, the presence of the main leaders of the sector stood out, meeting to discuss emerging trends and challenges in the integration of the energy sectors, with a special focus on the natural gas market. The Capacity Reserve Auctions became one of the most important points, as they are essential to guarantee the security of supply of electricity in Brazil. This mechanism offers a path for expanding generation with intermittent renewable sources, essential in energy transition. In times of water scarcity, which impact hydroelectric generation, flexible plants contracted in this type of auction are a crucial solution to complement the load during the absence of photovoltaic generation.
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Importance of Flexible Contracts in the Capacity Reservation Auction
According to Cristiano Lopes Saito, Aggreko’s Head of Complex Business Development and Hybrid Projects, flexible natural gas contracts are essential to the viability of the Capacity Reserve Auction projects. In the panel ‘Contracting and Recontracting Auctions: The Reserve Auction, Business Models and Flexible Products in the Natural Gas Market and Actions for Power Plant Competitiveness’, he highlighted the need for effective communication between the gas and power generation markets. This would ensure that risks and opportunities are correctly understood and priced to ensure the success of each future auction.
High Speed Engine Solutions
Saito also considered how natural gas-fired thermal plants, equipped with high-speed engines, can provide the operational flexibility required by the National Interconnected System. This type of solution covers ramp-up and ramp-down times, with no restrictions on minimum periods of continuous or interrupted operation, ensuring the necessary efficiency and reliability. 'I am quite optimistic about creative gas supply solutions for this auction. This could be a contract with great competition and varied offers, ensuring supply security during the energy transition,' said Cristiano.
Energy Storage and Energy Matrix
In addition to thermal solutions, Aggreko is also exploring alternatives with energy storage systems combined with renewable sources for future capacity auctions. “These systems play a vital role in allowing excess energy generated during periods of low demand to be stored and released at peak times when consumption is highest,” Saito explained. Earlier this month, Aggreko also participated in the Full Energy event, where the Brazilian energy matrix was discussed, bringing together leaders to align future strategies.
Cost Reduction and Carbon Footprint
'Brazil, known for having one of the cleanest energy matrices in the world, faces the challenge of reducing generation costs in isolated systems and reduce the associated carbon footprint', said the executive. Aggreko operates in several locations in the isolated systems in Amazonas as an Independent Power Producer and is committed to the energy transition. The company is working on the integration of photovoltaic plants and energy storage systems to make its plants more hybrid.
Leadership in Energy Transition and Future Auctions
'Holding COP30 in Belém could be a showcase for Brazil to demonstrate its leadership in the energy transition, especially in Isolated Systems,' added Saito. The next auction for Isolated Systems, scheduled for the end of the year, should require a minimum participation of 20% from renewable sources. This could require thermal solutions combined with photovoltaic generation and energy storage systems.
Aggreko and Its Energy Solutions
Founded in Scotland in 1962, Aggreko is a global leader in providing energy solutions that drive business growth and sustainable communities. With a presence in more than 60 countries, the company delivers reliable, efficient energy tailored to the specific needs of each customer. Aggreko’s portfolio ranges from powering entire cities to solutions for urban centres and remote locations.
Aggreko’s team of over 6 professionals is able to operate in diverse contexts thanks to a combination of global network and deep local knowledge. The company is dedicated to constant innovation and is committed to its customers’ energy transition, offering hybrid solutions that integrate power generation, battery storage and renewable sources. Aggreko’s continued dedication to excellence and innovation makes it a key player in shaping the future energy landscape, transforming challenges into opportunities for growth and advancement. For more information, visit aggreko.com.
Source: AGGREKO Press
