News

DOE Issues Clean Coal Power Initiative Solicitation for Comment, Schedules January 17 Meeting to Discuss (12/26/01)

The U.S. Department of Energy has issued its draft solicitation for the first round of the Clean Coal Power Initiative, the proposed $2 billion government-industry program to demonstrate advanced coal-based technologies. The first solicitation is expected to be funded with $300-400 million of federal funds and industry cost sharing of at least 50%. The draft solicitation documents are available on the DOE's National Energy Technology Laboratory web site, http://www.netl.doe.gov/ .

A meeting will be held on January 17, 2002 in Morgantown, WV at the NETL to solicit comments on the draft solicitation. The registration form, initial announcement and solicitation schedule are available on this site. A draft solicitation document, expected to be released at the end of December, will be the focus of discussions at the meeting. For more details go to the DOE National Energy Technology Laboratory web site.

U.S. DOE Solicitation Targets Gasification Performance Improvements (11/19/01)

The U.S. Department of Energy's Office of Fossil of Energy has issued a "Master Solicitation" that will provide federal matching funds for a wide variety of energy R&D projects, including one program specifically focused on improved gasification plant economics and performance. It is anticipated that there will be 20 to 30 awards resulting from the solicitation, which has $17 million available to it. A minimum of 20% non-DOE cost sharing is required.

A copy of the solicitation is available on this site, or readers may go to the DOE's E-center site ( http://e-center.doe.gov ) and browse the fossil energy solicitations for "02NT41422 Master Solicitation".

USAID Issues Solicitation for Coal-Based IGCC Demonstration in India (8/18/01)

The U.S. Agency for International Development has issued a solicitation for the preparation of a feasibility study for a 100 mWe coal-based IGCC demonstration plant in India. The project is the result of a joint U.S.-India protocol signed in September 2000.

The solicitation, which contains full details of the scope of the feasibility study, is available on the USAID web site in a number of formats.

Sasol, Lurgi Move Toward Gasification Joint Venture (8/13/01)

Sasol and Lurgi have signed a memorandum of understanding to establish a joint venture company focused on gasification of coal and related feedstocks for the production of synthesis gas and other products. A copy of the press release announcing the agreement is available on this site. Links to the Sasol and Lurgi web sites are contained on this site's " Member Companies " page.

Sasol has more than 50 years' experience in coal-to-synthesis gas production using Sasol-Lurgi gasification and in manufacturing fuels and chemcials using Sasol's proprietary Fischer-Tropsch technologies.

U.S. House of Representatives Energy Bill Emphasizes Gasification Technologies (8/4/01)

The comprehensive energy bill passed by the U.S. House of Representatives on August 2 (H.R. 4, the "Securing America's Energy Future Act") contains significant financial incentives for projects based on gasification technologies. The legislation would provide an investment tax credit, a production tax credit and a major extension of the U.S. Department of Energy's Clean Coal Technology Program, now called the "Clean Coal Power Initiative". Gasification-related sections from H.R. 4 have been excerpted in the linked file . The full 511 page text of the bill is available on the U.S. Congress web site .

The Clean Coal Power Initiative has an authorized funding level of $200 million per year for ten years for technology demonstration purposes, with 80% of the funding required to be used for gasification-based projects.

The Senate Energy Committee is working on a companion bill, but a date for completion is uncertain. Due to the shift in Senate control from the Republican to the Democratic party, significant differences are likely to arise between the two bills (drilling in the Arctic National Wildlife Refuge being the most obvious), presenting the prospect of delay in final passage.

DOE Budget Proposal to Increase Clean Coal Demonstration, Cut R&D Dollars(4/18/01)

The U.S. Department of Energy's recently released proposed budget for fiscal year 2002 includes $150 million as the first installment for a proposed ten-year, $2 billion extension of the Clean Coal Technology Program, but cuts the coal research and development budget by $164 million. The coal-based fuels and power systems research and development program, which contains the bulk of gasification related activities, would be cut by more than 50%, as would the petroleum and gas supply program.

The Gasification Technologies Council has submitted a statement to the U.S. House of Representatives calling for restoring funding for the gasification R&D effort. Fiscal year 2002 begins on October 1 of this year.

Significant Gasification Incentives in Senate Energy Bill (3/10/01)

In late February Sen. Frank Murkowski (R-Alaska) introduced S.389, the National Energy Security Act of 2001, in the U.S. Senate. The legislation would provide $2 billion in additional funding for clean coal technologies, extend the Section 29 nonconventional fuels tax credit, and provide additional tax and direct federal funding incentives for gasification-based power and polygeneration plants. The full text of the bill has just become available on the U.S. Congress web site .

As a service to the gasification industry the GTC has excerpted those portions of the bill that may affect demand for gasification technologies and compiled them in a summary of S.389 . Anyone wishing to download the full text of the bill (370 pages) can do so through the link above.

GTC Calls for Balance in DOE Fossil Energy Funding (3/1/01)

The Gasification Technologies Council has sent a letter to appropriations committees of the U.S. Senate and House of Representatives calling for a balanced approach in putting together fiscal year 2002 spending for the Department of Energy. The letter was prompted by reports that the Department's fossil energy R&D program, including spending on gasification projects, is being pared back to make room in the budget for a new round of the Clean Coal Technology Program.

In the letter the GTC cited the need for long term research as well as technology demonstration programs. Negotiations between the DOE and the Office of Management and Budget on a DOE spending proposal to be sent to Congress are continuing. The 2002 fiscal year will begin October 1, 2001.

Global Signs Agreement for World's Largest Petcoke Gasification Project (2/23/01)

Global Energy, Inc. has entered into a licensing agreement to provide its E-Gas technology for a 7,700 ton per day petroleum coke gasification plant to be located in Port Arthur, Texas. The plant will be developed through a public/private partnership between the Port of Port Arthur and privately held Sabine Power I, Limited. Preliminary design and feasibility work is expected to take one year. The E-Gas technology is used at Global's Wabash River Repowering Project . For more details see the Port of Port Arthur press release .

GTC Provides Testimony to Indiana Senate Committee (2/9/01)

The testimony of Gasification Technologies Council Executive Director James Childress at a hearing of the Energy and Economic Development Committee of the Indiana Senate in late January is available on this site. The hearing was called to address legislators' concerns about sharply rising electricity and natural gas prices and growing dependence on natural gas for power generation.

In his testimony Mr. Childress noted that coal gasification is commercially available and makes coal a clean, competive alternative to natural gas powered generation.

DOE Power Plant Improvement Initiative Solicitation Now Available (2/7/01)

Secretary of Energy Spencer Abraham has approved issuing the $95 million "Power Plant Improvement Initiative" solicitation.

The department is asking for proposals by April 19, 2001. The National Energy Technology Laboratory, which is coordinating the initiative, will hold a public pre-application conference on February 15 at the laboratory's conference center in Morgantown, West Virginia. Proceedings will be "webcast" live over the Internet. For full details, including a copy of the solicitation go to the DOE Fossil Energy web site .

Proposed New U.S. Clean Coal Program May Be Zero Sum Game for Gasification (2/3/01)

Since early in the U.S. presidential election campaign, an element of President Bush's national energy policy has been an extension of the Department of Energy Clean Coal Technology Program, funded at a level of $200 million per year for ten years. The White House Office of Management & Budget is reported to be considering a proposal to offset the cost of the new clean coal effort by cutting spending for the Department of Energy's coal and power systems R&D program.

Current-year funding for DOE coal and power systems R&D, which includes gasification, totals $318 million. Gasification funding has been rising steadily over the past five years. (*Note: 2002 funding is a preliminary estimate of the budget request.) The DOE fossil energy budget history can be accessed on the DOE's web site ( http://fossil.energy.gov/budget/ ). Comprehensive national energy policy legislation that includes the Clean Coal Program extension, is expected to be introduced in the Congress shortly. Debate and passage could be drawn out due to controversial elements in the expected plan, including opening the Arctic National Wildlife Refuge (ANWR) to energy development.

TECO Power Services Becomes GTC Member (1/30/01)

We wish to welcome TECO Power Services Corporation (TPS) as the newest member of the board of directors of the Gasification Technologies Council.

Created in 1987, TPS develops, owns and operates domestic and international electricity generation projects and distribution businesses in high-growth areas in the Americas.

TECO Power Services provided project management during construction and start-up operations for the Polk Power Station IGCC plant, before transferring operational responsibilities to Tampa Electric Company upon commercial operation. It has also joined with Texaco Power & Gasification in a 50/50 joint venture to develop, build, own and operate the CITGO Energy Project in Lake Charles Louisiana.

U.S. DOE to Accelerate Power Plant Initiative (1/23/01)

The U.S. Department of Energy will accelerate the schedule for its $95 million "Power Plant Improvement Initiative", with the formal call for industry proposals slated for January 31.

Other key milestones include: February 15 (pre-application conference); mid-April (deadline for receipt of proposals); and late August/early September (name selected projects). The DOE had originally set early October.

Full details are available at http://www.fe.doe.gov/techline/tl_ppii_2.html .

Section 29 Credit May Be Resurrected in 107

Legislation will be introduced in this session of the U.S. Congress to reauthorize the Section 29 Nonconventional Fuels Tax Credit and extend its effective date to 2012.

The Section 29 Credit was first authorized in 1978 to provide an incentive for production of synthetic fuels from coal, oil shale and tar sands (among other sources). However, the credit was allowed to expire, and plants placed in service after 1998 do not qualify.

Full details on the legislation are not yet available, but as introduced late in the last session of the Congress the measure ( S. 3171 ) would extend the deadline for placing new qualifying plants in service to 2010. The credit would initially be worth $0.52 per mmBtu of syngas produced and be phased out by 2012.

The tax credit extension will be introduced as part of comprehensive national energy policy legislation by Senator Frank Murkowski, chairman of the Senate Energy and Natural Resources Committee.

Global Energy Completes Purchase of Schwarze Pumpe Facility and Patents (1/10/01)

Global Energy, Inc. has announced that it completed the purchase of Sekundärrohstoff Verwertungszentrum Schwarze Pumpe Gmbh (SVZ) Gasification Technology Operations and Patents from Berlinwasser Holding (BWH) just prior to the New Year. A preliminary agreement on the purchase had been announced in August.

The purchase includes the SVZ Facility, comprised of seven fixed bed gasifiers, two entrained flow gasifiers, synthesis gas purification facilities, grade AA methanol production, General Electric combined cycle power generation, and fuel processing and storage facilities.

For more details see the Global Energy, Inc. press release . Top of the page