Commercial Group supporting the Business

In the February 2009 edition of EM we outlined how Commercial Group supports the ESB Power Generation Business in a range of activities including new builds, plant refurbishment, plant overhaul management, property and asset recovery and contracting partnering. It described how Commercial Group is supporting the development and construction of the new 430MW CCGT at Aghada in Co. Cork.

In early 2003 ESB Power Generation made a decision to upgrade its existing portfolio of plant and following a number of studies it was decided to construct a new combined cycle power plant at Aghada Station on a vacant site adjacent to the existing Unit 1. Responsibility to develop and deliver the project was given to Donal Crean, Manager Commercial Group. To undertake this challenge Donal appointed a Client Group with Brian Dolan as Project Director.

He also contracted ESBI to support the project as Owners Engineer. Over the next few years the Commercial Group, supported by ESB, developed the project to the stage where all licensing and permissions were received, a detailed procurement process concluded, and an EPC Contract signed with ALSTOM Power for the design and construction of the power plant. Separately Commercial Group negotiated a Long Term Services Agreement for the maintenance of the plant over a 12-year period.

Current Progress on the Delivery of the Combined Cycle Power Plant.
The EPC Contract for the new power plant was signed with ALSTOM Power on the 13th April 2007. The site was handed over to ALSTOM in July 2007 and they commenced site clearance in early August followed by the commencement of construction. At this stage the construction of the plant has progressed to the extent that it is on target for full commercial operation by 31st October 2009 as planned. With over 450 workers on site and over 700,000 man hours worked to date both the construction of the plant and buildings together with the erection of the equipment are now well advanced. ALSTOM Power is satisfied with the progress being made by themselves and their sub-contractors. These subcontractors include SISK, Kirby Electrical and the mechanical erection contractor FMM (Spain).

Progress to date includes the erection and alignment of the gas turbine, steam turbine and generator. The HRSG erection is substantially complete and it is expected that it will be pressure tested in mid February.

The Cooling Water Pumphouse construction is also progressing to the extent that CW pumps will be placed in position in mid February. First fire of the gas turbine is scheduled for 22nd June and first steam to set is expected to take place on the 27th of July. Commercial Group negotiated a Connection Agreement with BGE for the construction of a new 12km gas pipeline from Midleton to the site to deliver gas for the new plant. This pipeline has now been completed by BGE and the line has been charged with gas to the site. In fact, much of this line will be shared with the new BGE power plant also under construction 1km away at the Conoco Philips Refinery at Whitegate.

The electrical backfeed works undertaken by ESB Networks on behalf of EirGrid have advanced to the extent that electrical backfeed is scheduled for mid- January. This will provide the power necessary to commence commissioning of the plant. With the arrival of the ALSTOM and ESBI commissioning teams on site we can expect major systems of plant to commence cold and hot commissioning over the coming months.

The new plant will be operated from the existing station Control Room by the existing station staff in Aghada. In preparation, the station staff are currently undertaking the necessary training to allow them to effectively operate and maintain the new plant. Furthermore, a team from the station have now been mobilised to work on the project to gain hands-on experience during the commissioning of the plant, assist ALSTOM in commissioning the new plant, manage the spare parts procurement process and assist in the development and implementation of a maintenance management system.

There is no doubt that the road ahead will present many challenges for Commercial Group to secure successful delivery of the project. However, the resources, systems and processes are in place, and these, coupled with the many years of experience of power plant construction that exists within the Commercial Group will ensure that the project can face all such challenges and make the project a success not only for Power Generation but all parties involved. EM

Mark Harmon will outline how his Contracting Partnering Project will support the challenge of Power Generation's business going forward