GE signs gas turbine deal with China Huadian Corp.

GE signs gas turbine deal with China Huadian Corp.

2011-01-19 13:57:32 GMT+7 (ICT)

WASHINGTON, D.C. (BNO NEWS) - General Electric (GE) on and China Huadian Corporation on Tuesday signed a five-year, joint collaboration agreement for distributed energy combined heat and power (DECHP) projects in China that is expected to generate in total revenue about $500 million.

GE anticipates that at least 50 gas turbine generator sets will be sold and installed in China, boosting U.S. exports and supporting thousands of U.S. jobs.

Of the $500 million, approximately $350 million is estimated in U.S. exports. In addition, according to the U.S. Department of Commerce, the agreement could support approximately 2,100 U.S. jobs and provide new opportunities for further job growth in both countries.

As a key component of distributed energy, combined heat and power (CHP) offers a cost-effective opportunity to improve the environment and economy, GE said. CHP significantly reduces CO2 emissions through greater energy efficiency and has the ability to relieve grid congestion. It also reduces business costs and allows for potential job creation.

GE is expecting that the use of DECHP will become the most efficient use of natural gas in China and a significantly cleaner alternative to the higher greenhouse gases from coal-fired power plants.

"DECHP technologies produce both electricity and useful thermal energy from a single fuel at a facility located near the consumer," said Xianming Liu, general manager of CHEC New Energy Technology Development Co., an affiliated enterprise of China Huadian Corporation.

"These efficient systems recover heat that normally would be wasted in an electricity generator and save the fuel that would otherwise be used to produce heat or steam in a separate unit. By collaborating with GE, a leader in DECHP applications worldwide, we feel this will be a significant step in the right direction for meeting our DECHP goals and will benefit China’s environment and economy," Liu added.

The agreement was announced on the eve of Chinese President Hu Jintao’s state visit to the United States.

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