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Aggreko Highlights Efficiency and Flexibility of Smaller Power Plants with Engines in the Upcoming Capacity Auction, Enabling a Secure Energy Transition for the Country.
Aggreko highlights the efficiency and flexibility of smaller power plants with engines in the upcoming Capacity Auction, enabling a secure energy transition for the country. With this approach, there is significant potential to ensure greater security and stability in the energy supply.
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 Capacity Auctions, thus strengthening the capacity for electricity generation and ensuring the continuity of national energy supply.
Emerging Debates and the Natural Gas Market
During Energy Week, held in Rio de Janeiro, the presence of key sector leaders was highlighted, gathered to discuss emerging trends and challenges in the integration of energy sectors, with a special focus on the natural gas market. The Capacity Auctions have become one of the most important points, as they are essential to guarantee the security of supply of electricity in Brazil. This mechanism offers a pathway for the expansion of generation with intermittent renewable sources, essential in the energy transition. In times of water scarcity, which impact hydropower generation, the 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 Auction
According to Cristiano Lopes Saito, leader of Complex Business Development and Hybrid Projects at Aggreko, flexible natural gas contracts are essential for the viability of Capacity Auction projects. In the panel ‘Contracts and Recontracts: The Reserve Auction, Business Models, and Flexible Products in the Natural Gas Market and Actions for Competitiveness of Plants’, he highlighted the need for effective communication between natural gas and electricity generation markets. This would ensure that risks and opportunities are correctly understood and priced to ensure the success of each future auction.
High-Rotation Engine Solutions
Saito also reflected on how natural gas thermal plants equipped with high-rotation engines can provide the operational flexibility required by the National Interconnected System. This type of solution covers ramp-up and ramp-down times, without restrictions on minimum continuous or interrupted operation periods, ensuring the necessary efficiency and reliability. ‘I am quite optimistic about creative gas supply solutions for this auction. This could be a procurement with significant competition and varied offers, ensuring supply security during the energy transition’, stated 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, allowing excess energy generated during low demand periods to be stored and released during peak times when consumption is higher’, explained Saito. 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 decreasing the associated carbon footprint’, said the executive. Aggreko operates in several locations in isolated systems in Amazonas as an Independent Power Producer and is committed to the energy transition. The company is working on integrating photovoltaic plants and energy storage systems to make its plants more hybrid.
Leadership in the Energy Transition and Future Auctions
‘The hosting of COP30 in Belém may showcase Brazil’s leadership in the energy transition, especially in Isolated Systems’, added Saito. The upcoming auction for Isolated Systems, scheduled for the end of the year, will require a minimum participation of 20% from renewable sources. This may demand 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 promote sustainable community development. With a solid presence in over 60 countries, the company provides reliable, efficient energy tailored to each client’s specific needs. Aggreko’s portfolio ranges from providing energy for entire cities to solutions for urban centers and remote locations.
Aggreko’s team, composed of over 6,000 professionals, is capable of operating in various contexts thanks to a combination of a global network and deep local knowledge. The company is dedicated to constant innovation and is committed to the energy transition of its clients, offering hybrid solutions that integrate power generation, battery storage, and renewable sources. The ongoing dedication to excellence and innovation makes Aggreko a crucial player in defining the future energy landscape, transforming challenges into growth and advancement opportunities. For more information, visit: aggreko.com.
Source: AGGREKO Press
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