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Wartsila signs agreement with KVK Energy Group


Wartsila has signed an agreement with KVK Energy Group to supply power generating equipment and engineering for a gas power plant to be built in Rajahmundry, Andhra Pradesh, India.
The scope of supply includes 8 Wartsila W20V34SG gas engine generators and auxiliaries, as well as the engineering, erection and commissioning of the power plant. Construction has already begun as part of a previous order in March 2010 when 3 engines were contracted. With the extension of this new contract for a further 8 engines, the power plant will produce a combined output of over 100 MW.
These 8 engine generator sets and related equipment will be delivered in the second half of 2011, and the entire plant will be fully operational by the end of the year. However, two of the previously ordered sets will start producing electricity at the end of October 2010.
The Rajahmundry power plant will initially provide baseload power to the national grid, but in the mid to long term it will be used for meeting the grid’s peak load requirements.
Ole Johansson, President & CEO, Wartsila Corporation, said, "This order is an exciting opportunity for Wartsila in terms of gas based power generation in India. The power plant is a perfect example of the operational flexibility that is characteristic of our power generating technology.
Wartsila gas power plants can be used for both baseload operation and grid stability or peaking applications, and as the customer’s need changes, so can the operational profile of our plants. Moreover, with a gestation period of around 12 months it sets a new benchmark in the power industry."
Wartsila’s flexible gas power plants combine high power density with quick starts, durability, excellent load pickup performance and easy maintenance. They have the highest simple cycle efficiency available in the industry. They offer constant performance over varying ambient conditions, low lifecycle costs and rapid response to varying grid conditions. They also comply to even the strictest local emissions legislation.
K Vijay Kumar, Chairman and Managing Director of KVK Energy Group, added, "We are happy to partner with Wartsila, a global leader in decentralised power plant solutions. Our requirements are for a scalable power plant, outstanding project management, and overall operating economics, and Wartsila meets all these needs. The flexibility offered by Wartsila Power Plant offers an IPP a strategic advantage in the emerging electricity market."
The KVK Energy Group is a holding company that has developed a portfolio of power plant projects of various sizes, using a variety of fuels and technologies, across the country. In total, Wartsila has delivered over 250 power plants to India with a total output of around 3500 MW. At more than 60 plants in India (including steam & wind turbine plants), representing a total output of over 1000 MW, Wartsila takes care of the operation and maintenance on behalf of its customers.
Wartsila has delivered engines to vessels belonging to the Indian Navy, Coast Guard, Port Trusts, merchant shipping, floating cranes and offshore rigs. In Khopoli, Wartsila manufactures gear boxes and auxiliaries/pipe modules, and reconditions and upgrades engines, ship propellers and components. The Wartsila Land and Sea Academy located in the same facility, provides training and competence management services to power plant owners and ship owners.

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