Wärtsilä Quarterly Magazine

Transcription

45°W
0°
45°E
90°E
135°E
WÄRTSILÄ NETWORK
75°N
45°N
0°
Lean-burn simple-cycle
strikes Nevada gold
MORE ON PAGE 51
W EST E R N 102 , NEVA DA, USA
WÄRTSILÄ QUARTERLY MAGAZINE
[ SO LUT IO N ]
45°S
AROUND THE GLOBE | NORTH SEA | FLEXIBLE FUEL | AMERICA’S ENERGY | HIGH ON SPEED | LNG CRUISER | NEVADA | INSIDE | SIGN OFF
90°W
Twentyfour7.
p 01.2006
R E P O RTAG E
NO. 01.2006
Twentyfour7.
i
+ FINANCE & BUSINESS WORLD | R&D
45°W
0°
45°E
90°E
135°E
WÄRTSILÄ NETWORK
75°N
45°N
0°
strikes Nevada gold
MORE ON PAGE 51
[ SO LUT IO N ]
45°S
90°W
Twentyfour7.
p 01.2006
R E P O RTAG E
NO. 01.2006
Twentyfour7.
i
RE P O RTAGE
FOURTEEN DAYS
ON THE EDGE
As the helicopter starts
landing, its passengers pull
up the hoods of their survival
suits. Petrojarl Varg operates in
the middle of the North Sea,
a notorious location for storms.
MORE ON PAGE 20.
i
03
RE P O RTAGE
FOURTEEN DAYS
ON THE EDGE
As the helicopter starts
landing, its passengers pull
up the hoods of their survival
suits. Petrojarl Varg operates in
the middle of the North Sea,
a notorious location for storms.
MORE ON PAGE 20.
i
03
editorial
Dear Reader,
are always evolving. Companies such as Wärtsilä,
which has a history stretching back more than 170 years, have different
characters in different decades.
Our brand is an everyday tool for communicating with the wide variety
of people who we meet on a daily basis. It’s fascinating to sit back and
think for a moment of those thousands of Wärtsilä people who are in daily
contact with our customers – one of them might be you.
We have people to meet and hands to rely on. Every one of us
communicates by reflecting our company values. We also share passions
– for engines, for serving our customers, and for solutions. So it does not
matter how much the business has changed over those more than 170 years,
one key characteristic has remained – a passion for what we do. This is
something you have surely noted.
The magazine you are holding is the face of Wärtsilä for all our
stakeholders, a child of our brand evolution. Its proud parents are Marine
News and Energy News. Both of them and some of our local customer
magazines have given the best of their genes to this lively new creation.
We are now presenting our world through new eyes, full of excitement.
Making a magazine for you is a privilege. It is with pride and pleasure
that I write to you under the title of Twentyfour7. Through this magazine
we want to share our desire to make things work, now and tomorrow.
Twentyfour7. introduces a new generation of the Wärtsilä brand.
Our commitment and passion is to offer you the best possible experience
– both in our products and services and within these pages.
CORPORATE BRANDS
Yours truly,
[ T WE NT Y FOUR 7. ]
Mikael Simelius
Vice President
Marketing Communications & Branding
T WE N T Y FO U R 7. H AS EVO LVED FRO M
Energy News
Marine News
Wattson
Information about
Wärtsilä Power Plants
Coverage of
Wärtsilä Ship Power
An overview of the Wärtsilä
business and market outlook
1.06 Twentyfour7. 5
“Love looks not with the
eyes, but with the mind...”
- William Shakespeare
WE VALUE CREATIVITY.
Wärtsilä Quarterly Magazine*
PHOTO: NICO BACKSTRÖM
*contents
48 INFOGRAPHICS
Environmentallysound cruising
38 America’s Energy
S O LU T IO N
Growing demand and increasing
dependence on imported oil.
Can the Intelligrid help conquer
blackouts, brownouts and
unreliable energy supplies?
51 Nevada
Fast start-up, flexible
operation and almost-zero
consumption of process
water. Barrick’s gas-fired
simple-cycle plant strikes
gold in Nevada.
30 Flexible fuel
The range of options for energy
generation is increasing. Plus
news from the ‘Frying Squad’.
PASSSION
[ CO N T EN TS ]
Harsh conditions that test the
skills of offshore professionals,
and Europe’s most important
source of oil. Gourmetstandard food helps.
IN- DEPT H
20 North Sea
FE ATU R E
R EPO RT AGE
As safe or safer than diesel
fuel when used correctly, LNG
is still a rarity for ship power.
This Wärtsilä ferry concept is a
sound environmental choice.
44 High on speed
Small-scale passions can
last a lifetime. Aeromodeller
Jari Valo shares some of his
secrets.
PLUS: 35 FINANCE & BUSINESS WORLD
47 R&D, INNOVATION
1.06 Twentyfour7. 7
*contents
inside Energy & Marine
56 GUARANTEED POWER FOR HOSPITALS
Reliable energy supplies are life-critical.
59 BIOPOWER
Belgium’s first Wärtsilä BioPower plant
60 LIQUID BIOFUEL
The dream of a virtuous circle is now reality.
62 OPTIMUM ENGINE PERFORMANCE
Wärtsilä O&M agreements in marine
environments
64 WÄRTSILÄ THRUSTERS
Essential for dynamic positioning, a unique
range of technology for the offshore industry
OPT FOR A MEDIUM-SPEED SOLUTION
Four-stroke engines offer fuel savings and
operational flexibility.
YESTERDAY, NOW, TOMORROW
AROUND THE GLOBE
SIGN OFF
68 FIRST WÄRTSILÄ RT-FLEX50
10 FOLLOW THE SONG Humpback
71 DESSERT a little of what you fancy
Whales
does you good.
ENGINES ENTER SERVICE
Strong demand for Wärtsilä’s common-rail
low-speed technology
12 CALENDAR upcoming events
72 AT YOUR SERVICE tips on how to be
NEWS orders, appointments
ahead of the game.
13 DICTIONARY useful definitions
73 TRAVELLERS’ GEAR useful accessories
HOW ABOUT A LITTLE
BUBBLY?
a gentle fizz…
14 PEOPLE & FACES
Meet Wärtsilä in Italy.
More NEWS
on the road
74 HISTORY CORNER first diesel engine
in the Antarctic LITTLE ENGINEER’S PAGE
a power-crazy pastime
generations
[ CO NT E N TS ]
Mäkinen
16 MY BOOKS light and not-so-light
reading YESTERDAY, NOW, TOMORROW
M/S Song of Norway becomes a
princess.
17 PHOTO QUIZ do you have any idea
where this happened?
childrens’ education and healthcare in
India.
WÄRTSILÄ RT-FLEX50, PAGE 68
76 MY PARENTS wisdom from younger
15 COLUMN by Mikael
18 COLUMN by Ole Johansson
19 CORPORATE CITIZENSHIP providing
BIOPOWER, PAGE 59
73
Publisher: Wärtsilä Corporation | John Stenbergin
ranta 2 | P.O. Box 196 | FI-00531 Helsinki | Finland |
Telephone: +358 10 709 0000 |
Email: [email protected]
Editor-in-Chief: Mikael Simelius | Managing
Editor: Nina Pulliainen | Editorial team: Jussi
Heikkinen, Marit Holmlund-Sund, Martina
Kranzelbinder, Tom Kreutzman, Maria Nystrand, Dan
Pettersson, Joséphine Ramsay | Editorial office
and layout: Kynämies Oy | Helsinki | Finland |
English editing: Rick McArthur | Printed by
Punamusta | Joensuu | Finland |ISSN 1797-2161 |
WÄRTSILÄ® is a registered trademark | Copyright©
2006 Wärtsilä Corporation | Paper: cover Galerie
Art Silk 250 g/m2
|
inside pages NovaPress Silk 90 g/m2
Cover photo: Timo Kauppila
www.wartsila.com
TRAVELLERS’ GEAR
The following information contains, or may be deemed to contain “forward-looking statements”. These statements might relate to future events or our future financial performance, including, but
not limited to, strategic plans, potential growth, planned operational changes, expected capital expenditures, future cash sources and requirements, liquidity and cost savings that involve known and
unknown risks, uncertainties and other factors that may cause Wärtsilä Corporation’s or its businesses’ actual results, levels of activity, performance or achievements to be materially different from those
expressed or implied by any forward-looking statements. In some cases, such forward-looking statements can be identified by terminology such as “may,” “will,” “could,” “would,” “should,” “expect,” “plan,”
“anticipate,” “intend,” “believe,” “estimate,” “predict,” “potential,” or “continue,” or the negative of those terms or other comparable terminology. By their nature, forward-looking statements involve risks
and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Future results may vary from the results expressed in, or implied by, the following
forward-looking statements, possibly to a material degree. All forward-looking statements made in this publication are based only on information presently available in relation to the articles contained in
this magazine and may not be current any longer and Wärtsilä Corporation assumes no obligation to update any forward-looking statements. Nothing in this publication constitutes investment advice and
this publication shall not constitute an offer to sell or the solicitation of an offer to buy any securities or otherwise to engage in any investment activity.
8 Twentyfour7. 1.06
Disclaimer
16
67 CONTAINER FEEDER NEWBUILDINGS
You can finally retire
when your youngest child
is in a rest home.
WE OFFER FULL LIFECYCLE SUPPORT.
First Wärtsilä
power plant in Azerbaijan
inaugurated
[ A R O U N D T H E G LO B E ]
more on page 12
*around the
NEWS | PEOPLE AND FACES | EVENTS | DICTIONARY | PHOTO QUIZ | MY BOOKS
10 Twentyfour7. 1.06
FOLLOW THE SONG
GIANTS OF THE SEAS, Humpback
Whales can be found in all the worlds’
oceans. They are divided into four groups:
North Pacific, South Pacific, North
Atlantic and South Atlantic. The current
global population of Humpback Whales is
estimated to be about 35,000.
MOST POPULATIONS follow regular
migration routes, spending the summer
months feeding in temperate and polar
zones as the colder waters are nutrientrich. In winter they migrate to warmer
tropical waters to breed and calve. As
newborn calves have no body fat for
insulation, the sub-arctic waters in both
the northern and southern hemispheres
are too cold for them.
NORTH PACIFIC HUMPBACKS have
three primary wintering grounds off the
coasts of Japan, Hawaii, and Mexico.
South Pacific Humpbacks follow the
coast of eastern Australia and spend
their winters east of Queensland in the
sheltered waters of the Great Barrier Reef.
globe
HUMPBACK WHALES have extremely
powerful tail muscles and tail fins. Some
whales have been observed to swim at
speeds exceeding 32 kilometres per hour.
It takes them just 30 days to reach Alaska
from Hawaii.
THE SONGS of the Humpback Whale
are a subject of intense study and
speculation. Their complex and highlystructured calls are repeated for hours.
T E XT: KR I ST I I N A KU I S MA
11
Twentyfour7. 11
around the globe
SEATRADE CRUISE SHIPPING
March 13 – 16, Miami, USA
OTC.06
STAND NO. 1601.
INT. TUG & SALVAGE EXHIBITION
& CONFERENCE
April 24 – 28, Rotterdam, Netherlands
STAND NO. 3.
WORLD BIOENERGY 2006
May 30 – June 1, Jönköping, Sweden
The conference, exhibitions and
events are organised to take you
to the most relevant know-how,
and from there to the show-how of
bioenergy systems at work.
STAND NO. A03:01
RICHARD CUMMINS/CORBIS/SKOY
calendar
The world’s foremost
event for the development
of offshore resources
in the fields of drilling,
exploration, production,
and environmental
protection.
May 1 – 4, Houston, USA
POWERGEN EUROPE
May 30 – June 1, Cologne, Germany
Conference and exhibition for the
European power generation industry.
STAND NO. F2.
POSIDONIA
June 5 - 9, Piraeus, Greece
The International Shipping Exhibition.
NEFTEGAZ 2006
June 19 – 23, Moscow, Russia
The 11th International Oil & Gas
Exhibition.
STAND NO. 6231.
WÄRTSILÄ’S FINANCIAL
INFORMATION 2006
Wärtsilä will publish three Interim
Reports during 2006 as follows: The
report on January–March operations
Thursday, May 4, January–June
operations Friday, August 4,
January–September operations
Tuesday, October 31.
First Wärtsilä power plant
in Azerbaijan inaugurated
Last spring, the Azerbaijan
electricity company Azer-Enerji
awarded Wärtsilä a contract for
five gas-fuelled power plants with
a combined electrical output of
450 MWe. The new plants will
serve as decentralized power
plants supplying the national
grid in five different regions in
Azerbaijan.
The first plant, Astara, was
inaugurated in February 2006
by President Ilham Aliyev of the
Republic of Azerbaijan, and is
due to start operating early in
2006. The other four plants are
scheduled for completion later in
the year. Astara is equipped with
ten 20-cylinder Wärtsilä 34SG
gas-engine generating sets and
has a total output of 90 MW.
Wärtsilä acquires company
from Aker Kvaerner in Norway
Wärtsilä has acquired Aker
Kvaerner Power and Automation
Systems AS (AKPAS) from Aker
Kvaerner in Norway. AKPAS
supplies power and automation
systems for oil, gas, marine
and industrial applications. The
company mainly operates in the
North Sea region with customers
that include major oil and gas
companies as well as Norwegian
shipyards. AKPAS is situated in
Stord near the municipality of
Bomlo, where Wärtsilä already
has operations, and employs k
[ CO NT I NU ES O N PAGE 14 ]
GLOBAL PETROLEUM SHOW
June 13 – 15, Calgary, Canada
Every two years, the Global Petroleum
Show presents the latest in oil and
gas products and services.
NEWSFLASH
THE FINNISH PAVILION;
PAVILION 2, HALL 2.
around the globe
Dictionary 01.2006
BIOFUEL
Biofuels are a large source of
energy worldwide. They are
derived from forest, swamp
and agricultural biomass, and
from organic solid, liquid and
gaseous biowastes recoverable
from municipal, agricultural and
industrial processes.
APPOINTMENTS
COGENERATION
The simultaneous generation
of electricity and heat. Also
called Combined Heat and Power
(CHP). This method raises total
efficiency levels above 90% since
the heat produced during power
generation is recovered and used,
for example, in industrial processes
or to supply district heat.
IN BOARD OF MANAGEMENT
Jaakko Eskola
has been
appointed Group
Vice President,
Ship Power,
and a member
of the Board
of Management. Mr Eskola is
presently responsible for the
global sales of power plants.
Executive Vice President Mikael
Mäkinen, who currently heads
the Ship Power business, is
leaving Wärtsilä to pursue other
opportunities.
Christoph
Vitzthum has
been appointed
Group Vice
President,
Power Plants,
and a member
of the Board of Management.
Mr Vitzthum has been Managing
Director of Wärtsilä Propulsion
since 2002. Pekka Ahlqvist,
who is currently Group Vice
President, Power Plants, will
continue in the group with
COMBINED-CYCLE
TECHNOLOGY
The use of two different power
generation processes, e.g. fuelburning engines and steam
turbines, in the same power plant.
The second process utilizes heat
recovered from the first.
COMMON RAIL
A method of fuel injection that
eliminates the principle of one
pump/cylinder. The common rail
is constructed from a series of
accumulators inter-connected by
small-bore piping. The injection
pressure is adjusted as desired and
the injection timing (start and stop)
is controlled electronically. Wärtsilä
has used common-rail technology
to develop the “smokeless engine”,
which also reduces NOX and CO2
emissions.
responsibility for supervising
those Wärtsilä companies
that specialise in automation
products and services, and
the strategic management of
Wärtsilä’s automation activities.
Mr Ahlqvist will report to Tage
Blomberg, Group Vice President,
Services.
The above appointments are
effective 1 April 2006.
Matti Kleimola, Group Vice
President, CTO, will retire
on 1 May 2006. Following
his retirement, Mr Kleimola
will continue to function as
an advisor to the Board of
Management in matters related
to technology.
SHIP POWER BUSINESS
Magnus Miemois has been
appointed Vice President, Head of
the Solutions business.
Henrik Wilhelms has been
appointed Vice President,
4-stroke business.
HOW
ABOUT
A LITTLE
BUBBLY?
Champagne is for
celebration. It has launched
thousands of ships and
toasted billions of weddings,
inaugurations and business
deals. In more intimate
situations, it has witnessed
countless special shared
moments between couples.
Champagne has succeeded
perfectly in building a
consumer brand which
everyone desires. It’s an
excellent example of the
mysterious ways in which
we humans define ourselves
through what we consume,
and how we use food and
drink to give meaning to
social events.
The meaning and appeal of
champagne are universal.
So… when I tell you my
Saturday morning will
start with bubbles, don’t
you start to feel envious and
taste that unique thrill of
temptation?
Cheers!
1.06 Twentyfour7. 13
[ TWE NTYFOU R 7. VI S I TI NG WÄRTS I LÄ FACI LI T I ES AROU ND T HE GLO B E ]
around the globe
People
& faces
EDI DE GRASSI , AGE 53
ne unit, degreasing
I work on this V-shaped engi
then leaving a 2 mm
and
e
arriv
engines after they
next procedure.
the
for
layer of grease on them
Wärtsilä, Italia, Trieste
ALESSAN
DRO VARG
IU, AGE 39
I’m respon
sible for th
e pre-asse
engines –
mbly of W
crankshaft
ärtsilä 46
s and a va
riety of ot
her compo
nents.
IVIS GABRIELE, AGE 27, CRE
VATIN CORRADO, AGE 46,
AND FLAVIO BONAZZA,
Co-ordinating the duties
AGE 34
of mechanics that work in
pairs is our responsibility
– they tend to work in fixed
teams.
E 48
o:
GINO PERIC, AG
Roberto Trabucc
same machine as
s.
on
cti
fun
d
lle
I’m working at the
ontro
and numerically-c
tapping, reaming
NEWSFLASH
[ CO N T IN U ES F RO M PAGE 12 ]
T E X T: A N N A M A R I S I F O
135 people. This deal supports
Wärtsilä’s growth strategy and
increases its product portfolio
in electric propulsion systems,
power distribution and automation,
especially in the oil and gas and
offshore sectors.
NUCLEP in Brazil to
manufacture Wärtsilä engines
Wärtsilä signed an engine licence
manufacturing agreement with
NUCLEP (Nuclebrás Equipamentos
Pesados S.A) in Brazil in January
2006. The agreement allows
Nuclep to manufacture certain
types of Wärtsilä’s most modern
electronically-controlled commonrail 2-stroke marine diesel engines.
Nuclep expects to produce six to
ten Wärtsilä engines a year with
the first one scheduled for delivery
in 2008. Nuclep will also acquire
technical assistance, training,
marketing and production support.
Two power plants for
the Russian Arctic region
The Russian contractor GlobalstroyEngineering and Wärtsilä have
agreed on the delivery of a power
plant to generate electricity for the
Varandey oil terminal in northwest
Russia on the Pechora Sea, part of
the Barents Sea. The oil terminal
is used for the shipping of crude
oil to world markets. Wärtsilä is
supplying four 18-cylinder Wärtsilä
32 generating sets and the power
plant, which complies with strict
safety and environmental protection
requirements, is scheduled to be
fully operational in 2007.
A contract has also been signed
with the Bema Gold Corporation
for a cogeneration plant producing
electricity and heat for the Kupol
project, a high-grade gold and
silver mine located in the Chukotka
Autonomous Okrug of Siberia.
The power plant will have four 12-
cylinder Wärtsilä diesel generating
sets and will begin operation in
2008. The Kupol project is located
in the continental climatic region of
the sub-arctic climate belt.
Dual-fuel engines for captive
power plants in Pakistan
Wärtsilä is to supply natural gasfuelled Wärtsilä 50DF dual-fuel
engines for two captive power
plants in Pakistan. One will be
installed in an extension at the
Maple Leaf Cement Factory in the
Punjab, the other will operate at
the cement works of the D.G. Khan
Cement Co in Khairpur in the same
[ CO LU M N ]
Cruise industry has
A BRIGHT FUTURE
E 35
ABUCCO, AG
led machine
ROBERTO TR
ally-control
ic
er
m
nu
e
es tapping
do
so
My post is th
it al
gine units –
en
g
in
ill
dr
for
g.
and reamin
THE MARINE market is in one
EGON KRAVOS, AGE 31
I like to work on the tracing mach
ine
we use on engine units, transferrin
g
measurements in the blocks sent
to
us from the casting plant into three
dimensions to track down any poro
sity
or anomalies.
PAOLO VASC
OTTO, AGE 44
Testing engi
nes when th
ey are runnin
measuring th
g - and
e power they
produce.
57
ICCOLI, AGE
r heads and
ROBERTO M
nished cylinde
i-fi
m
se
g
lin
I like being
Instal
b
jo
a
is
on engines
head valves
assigned to.
region. Both plants are scheduled
to be in operation in autumn 2006.
Wärtsilä 50 DF engines operate
on natural gas with heavy fuel oil
(HFO) as back-up, and have both low
emissions and high levels of
fuel efficiency.
Wärtsilä service
acquisition in the US closed
Wärtsilä and Gerhardt Holding
Co., Inc. in the US have closed the
transaction transferring Gerhardt’s
service operations to Wärtsilä and
the business has been consolidated
into Wärtsilä with effect from
1 December 2005. Operations in this
VALENTIN
O MICAZ,
AGE 29
I receive en
gine design
s and carr
compariso
y out
ns. It’s pret
ty challeng
work. I prog
ing
ram numer
ical-control
machines
for drilling
engine un
also select
its and
tools.
business focus on servicing control
and automation equipment for gas
and diesel engines.
New WLSA training
centre opens in Finland
A new Wärtsilä Land & Sea Academy
(WLSA) opened in Turku, Finland, in
January 2006. The facility features
13 different Wärtsilä engines, engine
accessories and top-of-the-line
simulators to assist with practical
training. Already now, around 200
courses are scheduled to train nearly
2000 trainees from all over the world.
www.wartsila.com
of its most interesting business
cycles ever. Order intake is at
an all-time high, freight rates
are high, the oil price is high
but at the same time the world
economy isn’t growing that fast.
The conclusion must be that
globalisation is also affecting
the marine industry and that
transportation by sea is growing
faster than world trade.
I want to highlight one
specific area which is of interest to Wärtsilä, namely the
cruise industry. Currently doing well, new and existing
consepts being developed mean that the cruice industry’s
prospects are even better. In percentage terms, the mostrapid growth is taking place in Europe and very much
with European passengers. Many new destinations such as
Dubrovnik and Libya are being added to ship itineraries.
The biggest growth in passenger numbers is of
course taking place in North America and in cruises
out of Florida with large ships featuring climbing
walls, ice-skating rinks, wine bars and large spas.
Another trend is that all cruise lines have an urgent
desire to become more environmentally sound - smoke
from a ship’s engines is very visible “pollution”, in a
form that both passengers and the public notice.
For an engine builder, engine efficiency is the main
road to environmental soundness. Wärtsilä has taken
this one step further by looking at the total propulsion
system, including propellers, seals, secondary-clearing
methods, lifetime support etc. This has given us
a very competitive solution with both the lowest
environmental burden and the lowest lifetime cost.
The next step when analyzing efficiency is to integrate
ship systems even further, and to be able to do this big
solution providers and strategic alliances between sub
suppliers and shipyards/shipowners are needed. Wärtsilä
will develop in the direction of a solution provider
while at the same time developing all the individual
components to be cost-competitive and best-in-class.
Mikael Mäkinen
Executive Vice President,
Head of Ship Power
MIKAEL MÄKINEN IS LEAVING WÄRTSILÄ TO TAKE UP THE POSITION OF
PRESIDENT AND CEO OF CARGOTEC CORPORATION, A FINNISH CARGOHANDLING COMPANY. HE WILL START AT CARGOTEC ON 1 APRIL 2006 AND
BECOME PRESIDENT AND CEO ON 1 MAY 2006.
around the globe
My books
[ Y EST ERDAY, N OW, TOM ORROW | MY BOOKS ]
YESTERDAY
T E XT: PAOL A VI DA L
LA HERMANDAD DE
LA SABANA SANTA, (The
Brotherhood of the Shroud)
Julia Navarro (Spanish)
A fire in Turin Cathedral where
the famous shroud is kept.
A strange murder, mixed
up with cults and powerful
businessmen. From long ago
in the past to the present day,
relationships across time.
NOW
ANGELS & DEMONS
Dan Brown
The deepest mysteries of
history, some of them hidden
for centuries. Symbols, and
the most dangerous weapon
in history. Hidden clues left
in church documents by the
Illuminati. Fascinating.
RE-IMAGINE
An inspiration to many
naval architects and ship
owners, M/S Song of
Norway was extended in
1978. She is now the
M/S Dream Princess.
Tom Peters
International best seller, an
update on management trends
and everyday innovation,
the long and endless road to
excellence. So many thoughts
and suggestions, how things are
today and how they will not be
tomorrow…
TE XT: PAO L A V I DAL
AUTHO R I S G EN ERA L
M A NAGE R, WÄRTS I L Ä
C H I L E LT DA
DA VINCI CODE
Dan Brown
Don’t miss it, absolutely
absorbing! Read in just a couple
of days – a record for me. Eyeopening view of the Catholic
religion and all the myths that
surround the church and its
rituals and beliefs.
AU T H O R I S GE N E RAL M A NAG ER ,
W ÄRTSI L Ä I N C HI L E
M/S SONG OF NORWAY
T E XT: J O H N A N D E RS I N
The “mother” of modern cruise ships
YESTERDAY M/S Song of Norway
was built by Wärtsilä Helsinki
Shipyard in 1969. Launched as
Newbuilding 392 from a slip berth
on 12 December 1968, she had
a capacity of 724 passengers
and was delivered to Royal
Caribbean Cruise Line on the 5
October 1970. Nowadays she sails
under the name Dream Princess
and is mostly cruising in the
Mediterranean for Caspi Cruises.
Her clipper-like bow and slim
lines make her a beautiful ship
and what was at that time a novel
and very high-class interior design
made her a favourite choice of
cruise passengers all over the
world. M/S Song of Norway has
inspired many naval architects and
ship owners in the development of
cruise ships, which are becoming
bigger and faster every year. There
will always be something beautiful,
perhaps nostalgic in the design of
her clipper bow which gives the
whole ship an appealing shape. Her
extension in Helsinki by some 26
metres (85 feet) in 1978 increased
the number of passengers she
could carry to 1196 and made her
look even better.
M/S Dream Princess has seven
Wärtsilä (Vaasa)-designed-andbuilt 624TS diesel generating
sets. At the time she was built
the Wärtsilä Helsinki Factory had
a foundry which cast the engine
blocks and cylinder heads for our
own design 24-type engines. Her
main engines are four Wärtsilä
Sulzer 9ZH40/48 built under
licence in Vaasa.
NOW Today’s biggest cruisers are
post-panamax size. One series
of these is the RCCL Freedom
class cruisers. M/S Freedom
of the Seas, the first ship in the
series, is scheduled for delivery
in May 2006 by Aker Finnyards
in Turku. Freedom class cruisers
have six 12-cylinder Wärtsilä
silä
engines in V-configuration.
n. These
enormous ships offer theirr 3600
passengers every possible
e type of
entertainment, they have both iceskating rinks and wave surfi
rfing in
mechanically-propelled waterslides
aterslides
– not to mention all the posh
restaurants and shopping malls.
TOMORROW What will the future
bring as cruise ships become
larger? We have to use our
imagination. Perhaps they will
remain at sea indefinitely, and
have an airstrip on the upper deck
for passengers who are joining or
leaving the cruise or who maybe
want to make a visit ashore.
AUT H O R I S D I R ECTO R ,
WÄ RTS I L Ä I N F I N L A N D
around the globe
What was this event and where did it take place?
The answer can be found on page 73.
photo quiz
[ CO LU M N ]
around the globe
More about us
DEAR READER
You are holding the first issue of Twentyfour7., our
new customer magazine, and I hope it will prove to be
enjoyable reading. You are probably already familiar with
Marine News or Energy News, our earlier magazines.
You may know Wattson, our magazine for investors.
You know Wärtsilä well. We have a challenge!
With Twentyfour7. we will be communicating the
wide scope and depth of Wärtsilä solutions i.e. what we
stand for in terms of our products, our services and our
values. It is our belief that regardless of which particular
industrial segment they represent, our customers can
learn from a broad-ranging review of technologies and
applications. We are also certain that it is in our investors’
interest to understand the true extent of what we offer.
In Twentyfour7., the focus is on the Wärtsilä brand
and what it stands for. In our vocabulary, the brand is
really the people, those 12,000 Wärtsilä employees who
passionately take care of your ship power and power
plant solutions. We want you to learn more about us.
Enjoy!
Ole Johansson
President & CEO
Wärtsilä Corporation
[ CORPOR ATE CITIZEN SHIP ]
and its suburbs. Helping children who
have migrated to the city and live in the
streets and slums, the programme is open
to all irrespective of caste, creed or religion.
Currently, there are 300 “pavement schools”
in Mumbai and more than 7000 children are
receiving education.
Wärtsilä has adopted 16 of the balwadi
schools (intended for children aged 3-5) run
by REAP in Mumbai. It has been decided
that a further 16 balwadi schools in and
around Govandi will be adopted.
MEDICAL SUPPORT
FOR THOSE IN NEED
township
ing hills
undulat
of
circle
a
located within
medical
a
opened
has
Wärtsilä
i.
near Mumba
which
i,
Khopol
in
factory
its
at
facility
also meets the needs of the economicallydisadvantaged people who live in the
surrounding hills. Run by Dr. D.K. Joshi,
the clinic caters to more than 300 outpatients
each month. Medicines used in the centre
are funded by Wärtsilä and are dispensed to
all in need. The response to the clinic has
been overwhelming.
In May 2005, a clinic providing medical
services was set up at the school in Vavoshi,
a nearby village with a population of some
1500. Twice a week, the clinic offers both
check-ups and medicines free of charge.
Wärtsilä plans to expand its support
in these locations by caring for patients
suffering from eye ailments.
KHOPOLI IS AN INDUSTRIAL
EDUCATI ON.
CHILDRE N AGED SIX OR MORE RECEIVE NON-FOR MAL
SOCIAL WORK IN INDIA
IN INDIA, WÄRTSILÄ IS BUILDING RELATIONSHIPS WITH NONGRASSROOT
GOVERNMENTAL ORGANIZATIONS DOING SOCIAL WORK AT
FOLLOW.
LEVEL. THREE EXAMPLES OF ACTIVITIES BEING SUPPORTED
A DAY IN A MOBILE
DAYC ARE CENTRE
(daycare centres) play
an important role in the lives of children
of migrant workers all over India. Children
aged up to 12 receive healthcare, nutrition
and non-formal education. The first créche
was set up in 1969 and there are now more
than 450 centres. In total, the centres have
reached 600,000 children.
Mothers bring their children in the
morning at 9 am. Babies of less than two
years are fed a mixture of cereal and milk.
Children aged 3-5 play before they gather
together for story time. Children aged six or
more receive non-formal education if they
are temporarily resident in the area. If their
parents find permanent work, some children
will attend local schools.
For lunch the children have a nutritious
meal of khichdi (boiled cereals and pulses).
After lunch, the little ones take a nap.
This gives the staff time to meet and make
notes about topics such as reminding
mothers about doctor’s visits and planning
MOBILE CRÉCHES
information sessions – highlighting the
dangers of waterborne disease, for example.
Before mothers come to collect their
offspring at around 4 pm, the children are
given a simple snack of channa (roasted
chickpeas). The mobile créche is then closed
after another busy day.
Wärtsilä is supporting integrated daycare
in mobile crèches in the town of Gurgaon
in northern India.
SCHOOLING FOR
STREET CHILDREN
decade, the Reach
Education Action Programme (REAP) works
to assist tribal children with their schooling.
As well as supporting children from this
group, it serves as an awareness programme
for city children of school age.
It was in 1987 that REAP turned its
attention towards street children. The first
school to cater for them was established
in 1988 in South Mumbai. Since 1992,
REAP has expanded its activities and the
programme now covers both Mumbai city
ALREADY IN ITS THIRD
NUTRITIO US MEALS ARE AN IMPORTA NT
ELEMENT IN MOBILE DAYCARE .
SOCIAL RESPON SIBILITY
LÄ IN INDIA PHOTOS : WÄRTSI LÄ INDIA - CORPOR ATE
TEXT: LYDIA D´SA, COMMU NICATIO NS MANAG ER, WÄRTSI
reportage
[ AFRICA | AMERICAS | ASIA | EUROPE | O CEAN IA ]
The North Sea, the most
important oil drilling
region in Europe, is a
harsh worksite. Violent
storms and repeated
helicopter journeys
between the mainland
and anchored drilling
platforms test the skills of
offshore professionals.
A generous salary and a
gourmet-standard staff
restaurant help ease the
tough workload.
FOURTEEN DAYS
ON THE EDGE
TEXT: A RTTU R I K RÖ GE R
PHOTOS: N ICO BACKST RÖ M
21
reportage
p
THE HELICOPTER RISES gently
and tilts forward like a dragonfly. The
rain-drenched asphalt shrinks away as
we ascend. The pilot straightens out
into horizontal flight and heads out from
Stavanger in southwest Norway towards
the open sea. Six men are riding in this
Super Puma helicopter. According to
the ILO, the UN’s labour organisation,
their workplace in the oil and gas fields
is the most dangerous job in the world.
Occupational safety legislation in Norway
has been framed to meet these risks, so
serious accidents are rare. These oilmen
have said goodbye to their families for the
next two weeks, which will be followed
by another four weeks vacation.
The orange survival suits they are wearing are made of thick rubber, as
required by safety legislation.
Relaxing guitar music is being played through the headphones, but
the sound is drowned out by the constant hum of the rotors. Two men
are reading newspapers, the others are sleeping.
NEW FINDS AT AN OLD DEPOSIT. After about an hour of vibrating flight, two
ships become visible on the horizon, one large and one small. The drilling
platform towers out of the sea.
The larger ship is the 214-metre Petrojarl Varg, designed for oil processing
and interim storage. The small but sturdy Norman Ranger ploughs through
the water around it 24 hours a day. It’s there to rescue members of the
Petrojarl Varg’s crew if they need to be evacuated, as rescue teams from
the mainland could never reach the ship in time.
As the helicopter begins its landing approach, its passengers pull up the
hoods of their survival suits.
Petrojarl Varg operates in the middle of the North Sea, a notorious
location for storms. This vessel, designed by a British company and built
in Singapore, is the flagship of Petroleum Geo-Services ASA (PGS),
a Norwegian company that specialises in oil exploration and production.
It has been producing oil at the Varg field since 1998. p
The twin-engined Super Puma
helicopter is very reliable
and a standard in offshore
transportation, but many
workers find the vibration
during flights pretty stressful.
Some have eventually decided
to find shore-based jobs.
reportage
This deposit was declared exhausted at the beginning of the
new millennium and its pumping rights were available for almost
nothing. PGS purchased the majority of them and started threedimensional seismic measurements.
Several oil pockets previously inaccessible to drilling were found in
the Varg field. Double the amount of oil estimated was discovered,
and was then accessed using new horizontal drilling technology.
Many experts have designated the North Sea a twilight zone
in terms of oil drilling. They may have to reassess their opinion.
The greatest efforts in oil exploration are now however focused
elsewhere, in Arctic areas and in the South Atlantic. The seabed
off the coast of Brazil has been studied to a depth of 1,860 metres,
with promising results.
The helicopter curves towards the helicopter pad, where a
man dressed in a bright orange coat and white helmet guides its
descent. After its wheels touch the deck, the helicopter settles.
Passengers quickly exit onto the windy deck and make their way inside.
The changeover is carried out quickly, and the employees going
on vacation hurry into the helicopter.
IT’S A MAN’S WORLD. Petroljarl Varg is definitely a world of men.
The 40-person crew mainly consists of engineers, chemists,
technicians, mechanics, electricians and deckhands.
Petrojarl Varg is a double-hulled vessel with a capacity of
75,000 cubic metres, equivalent to 470,000 barrels of oil. At
early-2006 prices for sweet Brent crude oil from the North Sea,
the value of her cargo is well over USD 28 million.
“The unmanned drilling platform pumps oil to the vessel
from sediment layers located two and a half kilometres below
the seabed,” says Chief Engineer Jan-Erik Tenfjord. “Every two
weeks a tanker comes from the mainland to empty the vessel’s tanks.”
The ship only has one maritime
professional onboard. This is a sensible
solution as it does not move anywhere
but is held in place by ten massive
anchors.
If necessary, the vessel is turned
several times a day to minimize the
effect of wind and currents on the
pumping process. Control from the
bridge ensures that the 360-degree
rotatable turret engines move the ship
in the desired manner.
Petrojarl Varg is sitting on 84 metres p
“A GENEROUS SALARY
AND PLENTY OF TIME
OFF, THE STANDARD OF
LIVING ON BOARD ALSO
HELPS COMPENSATE
FOR THE EXTREME
CONDITIONS.”
This labyrinth of pipes
separates the oil, gas and sea
water. The danger of an
explosion means that every
possible precaution is taken.
Small but sturdy, the safety
vessel Norman Ranger patrols
the water around Petrojarl
Varg 24/7, on standby for
a possible evacuation.
p
reportage
There are two twelve-hour
shifts. While engineers and
chemists control the process
from warm locations inside
the ship, workers on deck
must face everything the
cruel sea has to offer.
1.
2.
3.
4.
5.
6.
TIMELINE OF DAILY ROUTINES
1. Coffee break: 9.15-9.30 am
2. Petrojarl Varg’s cuisine would make many
onshore restaurants green with envy.
3. The vessel’s officers gather for the daily
assessment meeting at 5.30 pm.
4. The supply boat brings fresh foodstuffs once
or twice a week – weather permitting.
5. ”Take care when working out!” Reminders
about the risk of possible injury are
everywhere, even in off-duty activities.
6. The ship’s crew has formed clubs for a whole variety
of hobbies including fly-fishing, painting, music, film...
reportage
of water, a shallow point in the open sea which means that the
waves here can be very large. Despite the North Sea’s rough
character, oil has been extracted here since the early 1970s.
DEVIATIONS RECEIVE IMMEDIATE ATTENTION. Service Engineer
Kjartan Olsen guides us down the steep, narrow metal stairs of
his workplace. The noise coming from behind the fire doors in
the engine room is deafening.
The power generated by the massive marine gas/diesel engines
equals that of 400 family cars, i.e. 33,750 kilowatts or 45,260
horsepower. Kjartan Olsen is a passionate engine man who has
tended these machines for four years. The engines’ primary fuel
is natural gas, a by-product of the oil drilling process.
“They’ve never disappointed us,” shouts Olsen in an effort
to be heard through the ear protectors we’re wearing. He pours
some lubricant into the machine.
The engine room is tidy and everything is where it should
be. The standard pin-up
calendar is missing.
Kjarten Olsen grabs a rag
and starts wiping the side of
the engine with a firm hand.
“We always leave everything
in tip-top shape when the shift
changes.”
Life on this vessel is dictated
by routine, and the work is
handled around the clock in
two shifts. On the bridge, the
shift changes at 7 am, where all
important issues from meeting
production targets to possible
dangers on deck are discussed.
The vessel’s officers meet each
evening at 5.30 pm.
This morning things were a little less humorous than usual.
Members of the night shift explained that something was
wrong with the process: a few tenths of millilitres more oil than
normal was dripping into the water.
All deviations are recorded and dealt with promptly.
LOBSTER SOUP, MASSAGE AND MOVIES. In addition to a generous
salary and plenty of time off, the standard of living on board
also helps compensate for the extreme conditions. The tiny
cabins on the vessel are austere but functional. The most
important feature is a good bed, in which crew members can
sleep soundly before their next shift.
The ship’s kitchen is a long way from austere. The menu
includes delicacies such as filet steak and lobster soup. As the
work is so physically demanding, good food is essential, and
luxury hasn’t been overlooked. The dessert table offers five
different kinds of ice cream, a similar number of cakes and
puddings, whipped cream, berries and fruit – to say nothing of
the remarkable selection of chocolates on the coffee table.
The only thing that’s missing is cognac to go with the
coffee – and that’s only available on the mainland. This ship is
completely alcohol-free. There is a wild rumour that a glass of
wine might have been served with Christmas dinner.
“Gaining weight is a more serious health problem here,” says
Olsen, patting his generous waistline.
The crew can exercise in the vessel’s weight room, and are
THE ONLY
thing that’s
missing is
cognac to go
with the coăee
– and that’s only
available on
the mainland.
This ship is
completely
alcohol-free.
encouraged to do so. Every ten-minute session of exercise earns the
employee a stamp, and these can be collected and exchanged for a
gift certificate.
As well as working out, the crew can surf the Internet or watch
movies on the big screen in the onboard cinema.
There are plenty of leisure time activities on board. Kayaks, knives,
fly-fishing lures and oil paintings bursting with Rubens-like female
figures emerge from the workshop on the lower deck. The crew of this
production vessel can even put its own band together.
HIGH WAVES ARE A TESTING EXPERIENCE. Snow
is flying in the early
morning darkness. The temperature has dropped close to zero, and a
chill that landlubbers cannot comprehend cuts through to the bone.
Floodlights turn the snowy deck yellow as the dark-blue sea gently surges.
A cargo vessel nuzzles up to the Petrojarl Varg bringing diesel fuel,
food and drinking water from the mainland. On its return trip it takes
a few containers of machine parts, dishes and carefully-sorted waste.
Loading is a tricky business. If the container hanging from the
Petrojarl Varg’s crane were to strike any part of the cargo ship, the
results could be disastrous.
Waves of 20 metres are a regular feature of the North
Sea, and they sometimes reach 30 metres. The really bad
weather is legendary.
“The wind speed was about 40 metres per second
when the wave hit. Those panes of glass up there just
shattered,” says Chief Engineer Jan-Erik Tenfjord,
pointing at a row of windows near the ship’s bow. The
windows are some 20 metres above the ship’s waterline.
“Water poured in and took everything from the cabin
corridor along with it, including the television.”
FISHING IN THE BACKYARD. Fortunately, there are also
quieter days.
“On really beautiful summer evenings we set up
a barbecue on deck seven and enjoy our time off in
t-shirts,” says Olsen.
“If the sea is really calm and the captain gives
permission, we lower one of the lifeboats and go fishing!”
Many different fish inhabit the waters around the
ships. A surprisingly-large number of species from coral
to dolphins have been found on the floor of the North
Sea as a result of oil exploration activity. Underwater
microphones dating back to the days of the cold war have also recorded
lively communication between whales.
Oil companies that use high-powered echo sounders for exploration are
regulated by legislation designed to protect life in the world’s oceans. If they
don’t observe such regulations, the powerful signals from these devices can
be very harmful to ocean mammals.
When it’s time to change crews the men who are leaving are as excited as
children on Christmas Eve. Many of them still have a long trip home after
the helicopter has taken them to Stavanger.
Members of the Petrojarl Varg’s crew live in places such as Spain,
Thailand and the Philippines. But when you have a break of four weeks,
there’s plenty of time for a trip home that may last half a day.
For years, experts have predicted that oil will run out in the next few
decades. New exploration technologies mean that offshore workers may well
be kept busy for much longer.
If oil drilling expands to Arctic regions, Jan-Erik Tenfjord, Kjartan Olsen
and other professionals will have to don an extra pair of longjohns beneath
their orange overalls!
A world of its own surrounded by hundreds of miles of sea, jobs on Petrojarl Varg are
in high demand. Hundreds of applications are usually received for each vacancy.
feature
FUEL
L
A
I
C
U
R
C
flexibility is
Since the technology already exists, moving
from fossil fuels to biofuels is not difficult.
Fuel availability is the primary concern.
TEXT: DAITHI O’HANLUAN PHOTOS: FENNOPRESS/PHOTONICA, SKOY, WÄRTSILÄ ARCHIVE.
[ F E AT U R E ]
In 2001, the UK’s Custom and Excise formed a special unit in Wales.
The objective was to track down and penalise any drivers using biofuels,
such as vegetable oil, to run their diesel engines. Sniffing out unusuallyfragrant exhaust fumes, highway patrols have collared several dozen offenders
who are saving more than 40 pence a litre by diverting oil from the kitchen
cupboard to their diesel engines.
In South Wales, an ASDA supermarket in Llanelli has slapped a ration on
sales of cooking oil after astonished internal auditors found that it was selling
far more than any other outlet in the country. The Customs and Excise unit
quickly acquired a nickname: ”The Frying Squad”, and while this is a good
reflection of British humour, it’s even better as a reflection of the rapidlychanging landscape in fuel supply and regulatory control.
The world’s known oil resources have traditionally been considered
sufficient to cover consumption for approximately 40 years. Recent trends,
however, indicate that it is becoming difficult to find new oil sources that
will cover the massive current increase in oil consumption. At the same time,
locations in which oil can be found are increasingly difficult to access.
Recent rises and fluctuations in oil prices, although mainly influenced
by global politics and a lack of refinery capacity, have clearly highlighted p
Olive oil company becomes major energy supplier
Casa Olearia Italiana, an olive oil
company located in Italy, now
produces electricity for
the country’s national grid using
liquid biofuel. Wärtsilä has installed
three Wärtsilä 18V32 units with
a total output of 24MWe. “Small
biofuel units are a very viable option
for Europe,” says Niklas Haga Senior
Development Engineer, Power Plant
Technology, “Our experience with
liquid biofuel engines is encouraging.
In several European countries, the
use of biofuel receives credits which
make a biofuel operation viable and
ensure profitability. Companies
moving in this direction will see a
return on their investment in a very
short time.”
According to Ari Suominen, General
Manager, Environment, Power Plant
Technology, combining the highlyefficient diesel combustion process
with clean liquid biofuel ensures low
emissions of CO2, CO, particles and
hydrocarbons without secondaryemission control systems. “The
power generation facility in Casa
Olearia Italiana also uses a selective
catalytic reduction (SCR) system
to achieve a 90% reduction in NOx
emissions. From an environmental
viewpoint, it’s a very sound
proposition.”
the vulnerability of an oil-dependent society. This has
led to a situation where alternative fuel solutions, such as
emulsified fuels, natural gas and liquid biofuels, are increasing
in importance. At the same time, efforts to slow or at least
mitigate climate change means that regulations governing
emissions multiply.
Companies are thus seeking to maximise energy efficiency,
minimise overall emissions and secure the future of their plant
investments. In short, they are looking for flexibility. Flexibility
in the fuels they are using, in the emissions they create, and room
for manoeuvre in the face of an uncertain and rapidly-changing
energy landscape, both in terms of supply and regulation. There
have already been some interesting developments.
In the oil and gas industry, for example, operators
increasingly want to use associated gas to power their
installations. Associated gas was previously a waste product on
oil rigs, burnt off by flaring. There are now power plants that
use this associated gas to supply operational energy to rigs and
oilfields. This increases the efficiency and economy of each rig
and reduces emissions.
Similarly, in the Liquified Natural Gas (LNG) shipping
sector, operators and shipowners are replacing steam boilerdriven turbines with LNG dual-fuel, electricity-generating
power plants, a choice which results in a massive increase in the
efficiency and flexibility of their plant. Flexibility is the key.
“In the 1990s, medium-speed diesel engines usually used
heavy fuel oil (HFO) for power generation applications. Diesel
engines, with their high simple-cycle efficiency, were the ideal
solution for utilising HFO, a byproduct of the oil-refinery
process,” says Vesa Riihimäki, Vice President, Power Plant
Technology in Wärtsilä’s Power Plants business. “But in recent
years we have seen a rapid and specific increase in applications
employing natural gas. We can utilize our long experience in
building lean-burn reciprocating gas engines and offer our
customers state-of-the-art solutions.”
Fuel comes from a range of sources. Not only are there
the various grades, such as natural gas, light fuel oil and
different grades of heavy fuel oil, the number of alternatives is
increasing. “Lurking just over the horizon are biofuels, a very
interesting new market,” says Riihimäki. Biofuels are typically
vegetable oils produced from soy beans, rapeseed and palm oil,
among other sources.
“Palm oil is one of the best. Currently, the largest sources of
palm oil are in Malaysia and Indonesia, but I’m just waiting
for the day that Brazil starts to produce liquid biofuel in large
quantities for export,” says Riihimäki. “The availability of
a fuel is the key. Once security of supply is guaranteed, the
market will begin to take off.”
“The great advantage of palm oil is that it is carbon neutral,”
he says. “CO2 is released to the atmosphere during the
combustion process, but will be absorbed back as the oil palms
grow, hence the CO2 will be recycled. As palm oil fuel is used,
new crops will use the CO2 that results from its combustion.”
More importantly, this evolution from fossil fuel to biofuel
is relatively easy to negotiate, as the UK’s “Frying Squad” p
A classic example
of fuel flexibility
Batamindo Industrial Park in
Indonesia is a classic example of
fuel flexibility. Four Wärtsilä 18V32
engines were installed in 1993 and
another 15 have subsequently been
added. After the Sumatra–Singapore
pipeline came into operation, natural
gas became available on the island
of Batam and Batamindo sought to
access this new supply of fuel in the
most cost-effective way. Wärtsilä has
therefore started to convert 12 of the
park’s engines from heavy fuel oil to
natural gas.
DF a natural choice for natural gas
feature
Liquified Natural Gas (LNG) carriers
represent a huge opportunity for dual-fuel
(DF) engines and have become popular with
shipowners and operators for their efficiency,
flexibility and low environmental impact.
“Currently there are four dual-fuel-electric
LNG carriers under construction and another
eighteen on order,” says Barend Thijssen,
Sales Director, Wärtsilä Ship Power Solutions.
“The demand for LNG shipping capacity is
expected to double in the next ten years,
so this is a growth market.”
Traditionally, gas evaporating from a vessel’s
LNG tanks is fed to boilers that drive a
steam turbine. “It’s inefficient, and the gas
coming from the LNG tanks is not sufficient.
Substantial amounts of heavy fuel oil (HFO)
have to be used to supplement the gas,”
says Thijssen. Switching from steam boilers
and turbines to DF engines improves plant
efficiency from 29% to approximately 43%.
Using less additional fuel, either the costly
and relatively clean marine diesel oil (MDO)
or the cheaper but less clean HFO, yields
lower operating costs and lower emissions.
As the ship has to carry less additional fuel,
more cargo space is available, and the overall
efficiency of the operation is higher.
Currently, Wärtsilä is the only company
able to supply dual-fuel engines that are
large enough to power LNG carriers. “We
are a leading player in this growing market,
but that fact hasn’t gone unnoticed by our
competitors,” says Thijssen.
LNG carriers are a natural market for dualfuel engines, where they are becoming the
engine of choice. But owners and operators of
floating oil- and gas-production installations
are also interested. As regulatory control over
a range of emissions such as nitrogen oxides
(NOX), sulphur oxides (SOX) and carbon
dioxide (CO2) increase, LNG will certainly
enjoy increased popularity as a marine fuel
in many more applications.
OWEN FRANKEN/CORBIS/SKOY
feature
discovered. “The technology to run on liquid biofuel exists,
and conversion from using HFO to liquid biofuel is relatively
straightforward. The primary concern is securing availability
of the fuel. Today, liquid biofuels are expensive, but we can
see that in certain regulatory environments, they are a clear
winner,” says Riihimäki.
Even for those firms that commit to one form of energy
supply, HFO for example, it’s not difficult to switch to
another type of supply, for example liquid biofuel. According
to Riihimäki, the conclusion is clear: “Businesses need fuel
flexibility, the ability to switch quickly from one source to
another, to ensure the security of their supply, to protect the
integrity of their investment, and also to adapt to the changing
regulatory environment.”
That said, the regulatory environment is currently skewed,
since it looks at the concentration of individual emissions that
result from combusting a fuel, such as nitrogen oxides (NOX),
sulphuric oxides (SOX) and carbon dioxide (CO2), instead of
looking at the impact of the fuel as a whole.
GARY HOULDER/CORBIS/SKOY
“It’s a well known fact that reciprocating diesel engines
have very high simple-cycle efficiency, which results in
low greenhouse-gas emissions. At the same time, the high
combustion temperatures create NOX emissions” says
Riihimäki. “We feel that regulators should look at technologies
as a whole. Different technologies have different characteristics,
and the emission limits set should therefore recognize the
characteristic benefits as well as the drawbacks. Having said
that, we recognize the need to improve the technology. We
are constantly working on improving efficiency and reducing
emissions”.
And this isn’t the only issue that regulators have to face.
According to Ari Suominen, General Manager, Environment,
Power Plant Technology, emissions control is a balancing act
involving the best available technology, cost, efficiency and
impact. “A new technology may reduce emissions, but lowering
emissions means that costs rise,” he says. This is an issue
regulators need to recognize. Business leaders, meanwhile, need
to look at all the options – and keep them open.
34 Twentyfour7.
Twentyfour7. 1.06
1.06
FINANCE&
T E XT: RAY V I N TO N
BUSINESS
WORLD
mandating the usage of gas for electricity
generation. Queensland is in the lead, demanding
that 13% of electricity be generated by natural
gas within the next decade.
FUTURE BUSINESS
State utilities have suffered from electricity
shortages, recent droughts have taken their toll,
and summer seasons have caused numerous
blackouts in all Australian states.
The IPP market is buoyant as a result of the
“semi-privatisation” of utilities and federal
government “sweeteners” such as renewable
energy certificates and carbon credits. Gas
projects are prolific, with natural gas, LNG, CNG,
LPG, landfill and biogas all making inroads.
Mining is buoyant with greenfield and the
extension of existing projects offering potential.
In this sector, gas is becoming the fuel of choice.
The Australian electricity market
Wärtsilä Australia is responsible for power plant sales and marketing in
Australia, Papua New Guinea, New Zealand, Fiji and some Pacific Islands.
Currently, the installed power plant base totals almost 300 MW with sizes in the
range 2-80 MW and fuels consisting of diesel, heavy fuel oil, and natural gas.
PROJECTED ELECTRICITY GROWTH
Forecasts indicate that gross generation of
electricity in Australia will increase at an annual
average rate of 2.1% from 237 TWh in 2004
to 409 TWh by 2030. Mandatory renewable
energy targets, compulsory gas schemes, and
greenhouse-gas emission benchmarking are all
being modelled in electricity growth forecasts.
In projections of energy consumption, one
of the most important drivers is growth in
economic activity. Over the medium term (20052010), it is assumed that GDP will grow at an
annual rate of 3.1%. The expected growth in
key energy-intensive industries is also a critical
element in these forecasts. Strong growth in both
the iron and steel and basic nonferrous metals
sectors is expected over the medium term.
ELECTRICITY GENERATION BY FUEL
In terms of the fuels used, we anticipate that
growth in electricity production will be led by
natural gas, followed by renewables and black
coal. Growth in the use of brown coal and diesel
will be lower.
Abundant reserves of natural gas in our region
have resulted in several state governments
GAS-FIRED ELECTRICITY GENERATION BY STATE
Generation
2003- 2009- 20192004 2010 2020
TWh
TWh TWh
20292030
TWh
New South Wales
Victoria
Queens Land
Western Australia
South Australia
Tasmania
Northern Territory
2.2
2.4
3.5
14.9
8.0
0.7
2.1
2.9
3.2
7.4
18.1
8.5
0.7
2.8
4.7
5.2
12.1
22.5
9.9
0.9
3.7
7.2
8.4
22.2
33.7
11.7
1.1
4.7
Total
33.8
43.6
61.5
89.1
LESSONS FROM RECENT BLACKOUTS
The recent blackouts have shown that while
electricity reform creates more dynamic system
operating conditions, rules and operating
practices have changed to only a minor extent,
and a comprehensive, integrated policy response
is therefore required to avoid blackouts reaching
unacceptable levels.
This augurs well for Wärtsilä’s large and
efficient natural-gas-powered intermediate and
baseload plants.
IN CLOSING
For many years Wärtsilä has been promoting the
benefits of medium-speed gas engines in the
Australian market. High efficiency in high ambient
temperatures, minimal water usage in the world’s
most arid continent, and the availability of
multiple plant configurations all mean an exciting
future for the Wärtsilä 34 gas range.
The increace in fuel prices means that
customers are looking more closely at
efficiencies. The excellent efficiency of Wärtsilä’s
products gives the company a strengthening
competitive edge while oil prices are high.
AUTHOR IS BUSINESS DEVELOPMENT MANAGER,
WÄRTSILÄ IN AUSTRALIA
AVERAGE ANNUAL GROWTH:
2004-2011 4.4%
2004-2030 3.8%
[ FI NANCE & BUS I NESS WO R LD ]
finance & business world
Could the ride be wilder than 2005?
A U T H O R : K A I S A O J A I N M A A , E Q U I T Y A N A LY S T, S E B E N S K I L D A
Kaisa Ojainmaa is equity analyst
at SEB Enskilda in Helsinki.
In the
industrialized
nations, the
deregulation of
power markets
has driven
investment in
smaller-sized
power plants
with shorter
pay-back
times.
Wärtsilä caters for the world’s
growing power needs
World electricity demand is growing. Increasing
prosperity, globalization and population growth
create a steady two per cent annual growth in
use of electricity around the world. Most of this
growth comes from emerging economies of Asia,
Middle East, Africa and Latin America, where
rising standards of living create urgent needs
for new generating capacity to run factories
and newly-purchased home appliances for airconditioning, cooking, heating, and refrigeration
equipment. As infrastructures are underdeveloped, large coal or nuclear power plants
cannot be added without major grid investments.
Engines therefore often turn out to be the
preferred technology for power generation in
emerging economies. The competitiveness of
Wärtsilä’s diesel engines in power generation also
comes from the rapid delivery, even to the most
remote sites.
In the industrialized nations, the deregulation
of power markets has driven investment in
smaller-sized power plants with shorter payback times. Also, oil-fired plants are increasingly
being replaced by natural gas-fired plants which
have become more competitive with the start of
emission trading in the EU. The environmental
benefits and efficiency of natural gas are expected
to make it a favoured choice for new electricity
generation capacity in coming decades. Wärtsilä
has recently experienced significant growth in gas
power plant orders and these currently represent
close to half of Power Plants’ total order intake.
Decentralized power production is often the
most sensible solution, which is why the market
potential for Wärtsilä will continue to exist for
years to come.
Global mix of vessel orders lifts demand for
Wärtsilä’s medium-speed engines
The shipbuilding industry enjoyed another strong
year in 2005. After three record years for new
vessel orders, shipyards will be the busiest they
have ever been. As shipyards are currently running
at full capacity and have long delivery dates,
some reduction in vessel orders is natural. Last
summer appears to have marked a peak in new
orders for tankers and bulkers, whereas project
activity remains robust in sectors important
to Wärtsilä: cruise ships, RORO vessels, LNG
carriers and offshore applications, driven by
the booming cruise and energy markets. A reorientation of orders away from the bulk shipping
market towards the container and specialized
sectors means that Wärtsilä is a clear beneficiary
of the current trends in end markets. Also, lack
of capacity in Asia has shifted orders to European
shipyards, particularly those for small and
specialized vessels. One result is that Wärtsilä has
gathered a strong backlog of orders, with deliveries
extending through to 2008 and beyond.
Service sales provide a cushion
for cyclical ups and downs
Engine sales in the Ship Power and Power Plants
markets are highly cyclical, and the exact timing of
peaks and troughs is really anybody’s guess. On the
other hand, Wärtsilä’s increasing share in Service
sales provides a cushion against these cyclical ups
and downs. Compared to just 30 per cent five
years ago, service business now accounts for more
than 40 per cent of total sales by the Group’s
Power Businesses.
Fuel shares in world electricity generation, 2002-2025
100
% of world electricity generation
2005 was a wild year. Wärtsilä shares rose by 58
per cent, on top of which total dividend yield
amounted to more than four per cent. Activity in
the global shipbuilding market was robust while
high fuel prices also kept investment activity
lively in the power sector. Wärtsilä’s net sales and
profitability continued to improve, with earnings
growth no longer being solely a result of reduced
costs. Currently, strong demand in end markets is
driving growth.
80
60
40
20
0
2002
Oil
2010
Renewables
2015
Nuclear
2020
Coal
2025
Natural Gas
Source: EIA
THE OPINIONS AND VIEWS STATED IN THIS ARTICLE ARE INDEPENDENT OF WÄRTSILÄ. WÄRTSILÄ DOES NOT TAKE
RESPONSIBILITY FOR THE VIEWS IN THIS ARTICLE.
A record-breaking year
A U T H O R : J O S É P H I N E R A M S AY, I R M A N A G E R
2005 was our best year ever in many respects.
Net sales by the Group’s Power Businesses climbed
to EUR 2,520.3 million (2,224.7 million), an
increase of 13.3% compared to 2004. Operating
income in Power Businesses totalled EUR 202.5
million and, as planned, reached the profitability
target (EBITA) of 8.0%. Order book at the end of
the year was at record level: EUR 2,905.7 million,
up by 56.6% compared to 2004.
Ship Power – success in many sectors
2005 was an outstanding year for our Ship Power
business. The number of orders received was a
record and totalled EUR 1,545.3 million, 84.7%
up on 2004. Net sales increased to EUR 710.3
million (631.2 million), an increase of 12.5%.
Growth in our LNG-carrier segment continued,
and major orders included 24 Wärtsilä 50DF
engines for AP Møller-Mærsk A/S and Kawasaki
Kisen Kaisha carriers. The offshore sector was
active throughout the year and we received several
significant orders for equipment to be installed
on oil platforms and support vessels. Sales of total
Ship Power solutions rose strongly during the year.
A good example was the order for 32 engines and
16 thrusters from the Danish company AP MøllerMærsk A/S for an oil-drilling platform.
Services – growth through acquisitions
Strong growth continued in the Group’s Services
business. Net sales were 16.7% higher than in the
previous year at EUR 1,093.1 million. We acquired
the German company DEUTZ AG’s installed
base of engines (totalling 12,500 MW), and thus
became the worldwide supplier of original spare
parts and services – including technical support –
for DEUTZ medium-speed marine engines. We
also signed our first Global Maintenance & Support
Customer Agreement for ocean-going vessels with
Reederei Blue Star GmbH in Hamburg, Germany.
This agreement covers a substantial part of the
maintenance and operational support for a number
of ships in the Blue Star fleet and is an excellent
match for the specific requirements of vessels that
trade globally in a liner service.
Power Plants – a stronger foothold
in gas power plant markets
Order intake for our Power Plants business
was high during 2005 and particularly good in
the second half of the year. During the fourth
quarter, order intake totalled EUR 346.6 million,
an increase of 63.7% on the same period in
2004. New orders received during 2005 totalled
EUR 865.2 million (1,019.5 million). In 2004,
Wärtsilä received orders of exceptional size from
Iraq. We further strengthened our position as a
significant supplier of gas power plants during the
year, a good example being the order for five power
plants received from Azerbaijan.
Good growth outlook going forward
Demand in the ship power and energy markets
looks likely to remain favourable for Wärtsilä for
at least the first half of the current year. Based
on the strong order book, Wärtsilä’s net sales are
expected to grow this year by as much as 20%.
The profitability level of 8% reached in 2005 will
remain. Net sales are expected to show further
growth in 2007.
Key Ratios
EUR million
Net sales
Ship Power
Service
Power Plants
Imatra Steel
Operational EBIT
Power Businesses
Imatra Steel
Depreciation and writedowns1
Power Businesses
Imatra Steel
Operating result
Power Businesses
Imatra Steel
Capital gains 3
Profit before taxes
Earnings per share, EUR
Balance sheet total
Interest-bearing liabilities, gross
Cash and bank balances
Operating result, %
Operational EBIT, %
Power Businesses
Imatra Steel
ROI, %
Power Businesses
Imatra Steel
Gearing
Megawatts delivered, Power Businesses4
Order book, end of period, Power Businesses
Order intake, Power Businesses
Long-term service agreements, MW
Operation and maintenance agreements, MW
Personnel, end of period
Year end market capitalization
FAS
2004
2,478.2
631.2
936.8
651.9
254.4
132.0
111.6
20.4
-100.0
-87.6
-12.4
239.8
111.6
20.4
107.7
236.5
1.75
2,326.7
319.5
168.5
9.7
5.3
5.0 2
8.0 2
20.1
10.9 2
16.8 2
0.18
6,011
1,855.3
2,791.4
9,609
2,569
12,475
1,441
IFRS
2004
2,478.2
631.2
936.8
651.9
254.4
112.0
87.7
24.3
-77.5
-65.3
-12.3
112.0
87.7
24.3
217.3
1.42
2,397.3
320.0
169.6
4.5
4.5
3.9
9.5
18.0
7.5
7.7
0.17
6,011
1,855.3
2,791.4
9,609
2,569
12,475
1,441
2005
2,638.8
710.3
1,093.1
710.3
119.0
224.3
202.5
21.8
-71.6
-67.2
-4.4
224.3
202.5
21.8
212.4
1.80
2,868.6
403.6
119.6
8.5
8.5
8.0
18.3
18.0
18.9
46.0
0.24
7,061
2,905.7
3,491.1
9,617
2,625
12,008
2,349
1
2004 does not include writedowns included in restructuring. 2 Excluding non-recurring
costs. 3 Capital gains are entered below operating income as required by IFRS.
4
Including licence-built.
in-depth
[ I N- D E PT H ]
America’s growing need
Few people would
associate country
singer Willie
Nelson with energy
production, but
that’s exactly what
he is doing. Nelson,
72, has birthed
his own brand of
alternative fuel,
BioWillie, which
he hopes will help
American farmers
– BioWillie biodiesel
can be made from a
number of crops –
and thus reduce the
need for foreign oil.
While
BioWillie may never become popular, it’s just one of the recent
suggestions for solving the problem of the growing American demand for energy.
The US was able to keep the production and consumption of energy in balance
until the 1950s, but over the years, energy use has outpaced domestic production.
In 2004, about 29% of total US energy consumption consisted of imported
energy – and that share is expected to grow. The country’s energy consumption
is estimated to increase at an average rate of more than one per cent per year, and
domestic production is likely to have a hard time keeping up, the US Department
of Energy says.
One of the biggest challenges in meeting the growing demand is the ever
increasing disconnection between what Americans want – affordable and
environmentally-friendly energy – and how they want to get it, says Jim Owen,
Director of Media Relations at the Edison Electric Institute. In order to provide
more energy, power companies need to build new plants and lines, but many
people don’t like this.
“At the same time as the public’s environmental concerns are understandably
becoming more dominant, we need new sources of energy because the population
is growing and we are consuming more energy,” he says. “No one wants to live
next to a power plant, but somehow everyone expects to get affordable energy.”
Although US energy production takes many forms, fossil fuels exceed all
other sources, accounting for 80% of total energy production. Coal is the most
important, making up 32% of total energy production, followed by natural gas
(28%) and oil (20%). Nuclear power, which constitutes about 12%, and renewable
energy sources (9%) such as biomass, hydropower, geothermal energy, wind and
solar energy make up the rest. p
TEXT: SOLJA NYGÅRD
Y
PHOTO: PETER TURNLEY/CORBIS/SKOY
Born in 1933 in Abbot, Texas. Given
his first guitar at the age of six, played
his first gig when he was 10. Sold his
first song “No Place For Me” at the age
of 23. Spent ten years writing songs in
Nashville then moved back to Texas.
Produced a string of great albums
during the 70s, 80s and 90s. An
American icon, he’s said to be talented,
generous and have “a compassion
which appears to be endless”.
DENNIS VAN TINE/LFI/SKOY
ROBERT LLEWELLYN/ZEFA/SKOY
DAN CALLISTER /CAMERA PRESS /SKOY
WILLIE NELSON STORY IN BRIEF
in-depth
THE WAY IN
WHICH THE
US HANDLES
ITS ENERGY
BUSINESS
MATTERS
TO THE REST
OF THE WORLD.
Coal may lead production, but Americans, who spend the equivalent
of more than EUR 423,000 million each year on energy, consume more
oil and gas than coal, nuclear power or renewable energy.
The country’s industrial and manufacturing sector uses about onethird of total energy consumption, while transportation uses some 27%,
residential 22%, and commercial 18%.
The appetite for imported energy is driven by petroleum
consumption – a fact that is hardly surprising to anyone who has
driven on the interstates or even just looked at the map and noted the
country’s true size. Since 1994, the US has imported more petroleum
than it produces. Today, half of all the oil consumed is imported.
The use of natural gas has also outpaced production. Currently, Texas,
Louisiana and Oklahoma account for more than half of all the natural
gas produced in the US, but more than 15% of total consumption is
made up by imports, which come in the main from Canada. Most of
the natural gas is used for heating homes.
Energy supply and demand play a crucial role in national security
as well as in economic output. The military and economic strength of
the United States mean that the way in which the country handles its
energy business also matters to the rest of the world.
To be able to supply residents, motorists, businesses and factories
with sufficient energy, the US can try to increase its own production
from either existing or new sources. It could also choose to import more
energy or try to clamp down on consumption – or do all three.
Some proposals for the first alternative include opening up the Arctic
National Wildlife Refuge in Alaska to oil drilling – an attempt the US
Senate recently blocked – and trying to resolve barriers to building new
nuclear power facilities after a hiatus of more than two decades.
A third suggestion is the federal government’s USD 1,200 million
Hydrogen Fuel Initiative, which is intended to reduce the country’s
growing dependence on foreign oil by developing technology for clean
hydrogen production and hydrogen-powered fuel cells. The government
believes that hydrogen technology has the potential to save 11 million
barrels of oil per day – about the same amount as daily net oil imports.
Based on public comments by President George W. Bush, the current
administration is interested in making the country less, not more,
dependent on foreign sources of energy. Increasing imports does not
appear to be high on the president’s agenda, even though that’s what
may have to happen .
As far as consuming less energy goes, the administration mentions
developing products that give consumers the same and even better
performance at lower cost by using less energy. As well as making
homes more energy efficient, the administration wants to do the
same for vehicles, and mentions hybrid cars, which are powered by
a combination of gasoline and electricity, as an alternative already
available to drivers.
People like Willie Nelson are not waiting to see when – and if – the
new initiatives materialize, they say they want action now – even if it
does mean driving a car that smells like peanuts.
Wärtsilä power plants
Wärtsilä is one of the beneficiaries of deregulation in
the US utility industry. The company’s Power Plants
business sells dispersed generation power plants
which can help large utility companies handle swings
in energy demand. They can also provide municipal
utilities and industrial customers with reliable and
affordable energy systems.
Wärtsilä sells 50–250 MW decentralized power
plants that use either natural gas or liquid fuel – in
some cases both – to municipal utilities, industrial
customers and large utility companies. A typical 200
MW plant costs USD 130–160 million and can operate
for more than six or seven decades, says Frank
Donnelly, Vice President, Power Plants, Wärtsilä
North America, and adds that most plants are
replaced not because they are worn out, but because
new technology offers more efficient solutions.
Power plants supplied by Wärtsilä are often
called dispersed generation plants, shaping plants,
or extended-peaking plants. Their characteristics
include fast start-up times – less than ten minutes
– and variable loading as well as good efficiency,
says Donnelly. They are used mainly for electricity
generation, though some also produce heat.
According to Donnelly, municipal utilities such
as the City of Rensselaer in Indiana buy Wärtsilä’s
plants for two main reasons: reliability and cost. Many
towns still purchase power from privately-held utility
companies, but they also have the option to use their
own plant. Sometimes it is cheaper for a municipal
utility to generate its own power than to buy it.
The same applies to many industrial companies
such as Canada-based Barrick Goldstrike Mines,
which selected Wärtsilä to supply a gas power plant
for its operations near Reno in Nevada (see “Leanburn simple-cycle strikes Nevada gold” on page
51). Manufacturing, mining, and other industrial
companies who have their own power plants can
purchase power from a large utility company when it is cheap, and
generate their own energy when prices are high.
Utility companies are also buying Wärtsilä’s plants. As they have
to deal with demand that goes up and down like a rollercoaster,
they use smaller, fast-starting plants to provide so-called ‘shaping’
power, says Donnelly.
When demand for energy suddenly rises – for example in the
morning when the majority of the population are getting up –
utility companies need extra muscle. The same applies when an
energy source such as a wind turbine stops operating, or when
one of the company’s plants breaks down.
“Our plants basically help large utility companies cope with
swings in demand,” Donnelly says, adding that such plants are
often classified as ancillary services.
“If a utility company suddenly loses the output of a plant, it has to
replace that capacity quickly or the whole system can come down.”
Before deregulation, which started some 14 years ago, large
utility companies didn’t have to worry very much about swings
in demand. They had plenty of excess power-generation capacity
and brought it on line when they needed to – and charged their
customers for it. Now that plants operate in a competitive market,
TRICIA MEADOWS/GLOBE PHOTOS/SKOY
ARE SHAPING THE US ENERGY LANDSCAPE
no one wants to have excessive capacity because doing so is
expensive.
“Our plants can help their systems when they need help,” says
Donnelly, who has worked for Wärtsilä for 18 years. “They could
be considered a product of deregulation.”
Generating peaking power and ancillary services by using the
plants that Wärtsilä supplies is significantly less expensive than
having a large coal-fired installation that is not fully employed.
According to Jussi Heikkinen, Marketing Director in Wärtsilä’s
Power Plants business, the company’s products are also more
economical than the competition.
Although Wärtsilä has been successful in the US, it faces some
challenges, says Heikkinen. Major competitors in the US are
domestic gas turbines, and Americans are not necessarily familiar
with Wärtsilä technology. Most of the competing gas turbines
have been developed from aircraft turbines, while Wärtsilä
technology is based on reciprocating engines, says Heikkinen.
“Seeing is believing, though,” he says. “We have had people
visit Colorado or Nevada, for example, to look at our power
plants, and when they come back, they admit to being pretty
impressed.”
in-depth
Almost everyone who lives in the northeastern
United States and Canada is likely to remember
where they were on 14 August 2003. That’s
when a power blackout caused chaos at airports
and on roads, resulted in essential appliances
shutting down, and left millions of people without
either lights or air conditioning.
The outage – North America’s largest-ever –
affected some 50 million users in eight US states
and Ontario, Canada, and cost businesses an
estimated USD 13,000 million in lost production.
While some blackouts are difficult, if not
impossible, to prevent – those caused by
terrorists or natural disasters such as hurricanes
– poor practice, the lack of an entity that oversees
the whole of the North American electrical
system, and continuing delays in improvements
to transmission reliability have not helped.
After the 2003 outage, the Electric Power
Research Institute, a non-profit consortium of
utility companies, issued a plan for upgrading
regional power grids to make use of modern
information technology. The central element
of the plan is a “smart grid” that monitors
itself and takes corrective action as and when
required, reporting the occurrence of problems
immediately.
Digital control of the power grid would result in
an interactive power system that is merged with
a communications network to provide the realtime exchange of information and power. Energy
consumption decisions by businesses and
consumers could be made on the basis of real-time pricing
information. This initiative is now known as the “Intelligrid,”
and has an estimated implementation cost of USD 160,000
million over 20 years.
To guarantee improved electrical reliability, an Electric
Power Reliability Organization is being established which
will have statutory authority to enforce compliance with
reliability standards by different market participants. More
than 3100 electrical utilities operate in the US
The US Department of Energy’s Office of Electricity
Delivery & Energy Reliability (EDER) is also working on
energy storage, transmission reliability, and electricity
distribution transformation programs. One example of the
energy storage program is a USD 25 million power plant
in Mississippi that stores electricity generated during offpeak periods for use when the need for power increases.
According to EDER, this plant can provide power for 7500
homes for at least ten hours.
While power outages have been making headlines in
the past few years, the US Department of Energy also
acknowledges that a prolonged interruption in the supply
of basic energy – electrical, natural gas, or oil products –
would have a devastating effect on the nation.
Many people are not waiting for the government or utility
companies to act. Electricity generators, which can be
purchased for as little as USD 350, are becoming more
popular. ABI, a technology research firm, expects total
generator sales in the US to rise from USD 5,300 million in
2003 to USD 6,900 million by 2011.
JOHN BARRETT/GLOBE PHOTOS/SKOY
“Intelligrid” to offer
real-time pricing
MANY PEOPLE
ARE NOT WAITING
FOR THE US
GOVERNMENT OR
UTILITY COMPANIES
TO ACT.
[ PASS I ON ]
passion
High
on speed
JARI VALO has been
surrounded by model
planes all his life. He
seems to have a magical
touch. One of his earliest
memories is launching
a plane that no-one else
could fly. Now he’s
reaching out for world
records.
AT THE AGE OF three, Jari Valo tagged along with his
father to the local aviation club in Helsinki. All the men
there were trying to fly a small, free-flying model plane, but
they just couldn’t. In the end, one of them gave the plane
to the kid who took hold of it, gave it a neat little twist and
then watched it fly higher and higher above his head.
“I don’t know what happened, but for some weird
reason, I managed to make it fly,” says Jari. Forty-three
years later, we’re in his home in a Helsinki suburb, about
five kilometres from that same club. “I have a very vivid
memory of the whole event,” he says with a smile.
This three-bedroom apartment has a certain style.
The vintage stereo, an antique clock, coffee-table books
about cars, the art on the kitchen wall, all contribute to
the feeling that nothing is here by chance. The room
closest to the front door has wings, engines, paints, tools
and rack upon rack of spare parts for the planes that hang
on the walls and sit in drawers. He calls it “The Lab”. It’s
the epicentre of Jari’s apartment. “I’m in there every day,
doing something.”
Trimming the untrimmable. Valo’s career as an
aeromodeller didn’t start at the age of three. It was his
father’s hobby, not his. It wasn’t until his teens, when one of
his friends started building planes – knowing very well that
Trimmed to the limit
TEXT: RISTO PAKARINEN PHOTOS: ARTO WIIKARI
Jari had access to some serious knowledge – that Jari took a shot at
it. And it was a very serious shot. By 19, he was already one of the
best in Europe. Today, he has twenty-plus – “21, 22, something
like that” – Finnish championships under his belt, and corresponds
with a vast network of air model experts around the world.
In the beginning, Jari got his hands on some Italian Rossi
engines that were pretty famous at that time. They were in fact
so good that according to some experts, there was no way to trim
them. What you had was what you got. But the engine’s creators,
brothers Ugo and Cesare Rossi, didn’t know Jari Valo. Improving
the unimprovable was a challenge he couldn’t resist. Soon, the
Rossi engine was spinning like never before.
“Once I succeeded in trimming their motors, there were no
boundaries for me. I jumped into this hobby, and I went in
deep,” he says. “It was all I did, and with hindsight it’s easy to see
that it probably wasn’t good for my grades at school.” p
passion
Parts from the sauna. As Valo now puts it, he
had more energy than knowledge. Trial and
error was his preferred method. As he wanted
to be the best, he was ready to do whatever
it took. And since it was the 1970s, and he
didn’t have any huge sponsorship deals, he
had to be smart.
“Once, I wanted to make wings out of
Abachi wood (African maple). It just happens
that sauna benches are made of Abachi. So I got
hold of some and made wings out of them.”
One of the classes in which he competes
is speed. In a competition, planes start on a
starting dock, a rack with wheels that support
the model before it takes off. The plane
travels in circles around the pilot, first on
the ground, taking off when it has picked up
sufficient velocity.
The first two rounds are for making sure
that the plane is travelling on its own, and not
being helped by the pilot yanking the control
lines. The next ten rounds are timed. Winning
speeds exceed 300 kilometres per hour.
“I built my first speed plane when I was 16.
A year or so later, I started experimenting with
single-blade propellers, and I realized that my
planes were just as fast with those with twoblade propellers. That gave me the potential to
build more-efficient planes and engines.”
Not everyone was happy with the young
Finnish innovator. “Some people were saying
that my planes were dangerous and that the
engines would blow up. Well, they didn’t, and,
single-blade propellers are now a standard
in the competition,” says Jari. “I guess it was
pretty tough for some of the others that this
young fellow just left them in the dust.”
means he has also outsourced some parts of
the construction process. “Between myself
and my girlfriend, Laura, who’s also an
aeromodeller, we use about 70 planes a year,
and since each one takes about twenty hours
to build, well, it all adds up”.
Backup from eastern Europe. Valo finished
fourth in the European Championships
in 1979. During the 80s and early 90s he
wasn’t particularly active in competitions,
but when the spark ignited and passion took
over again it was serious. Gone was the lone
ranger, and instead, he had an impressive
international network of engine builders and
other specialists, all of them either European
or world champions.
After the Berlin Wall came down, Jari got
access to enthusiasts in former Soviet states.
He located kindred spirits and established
close working relationships with two engine
constructors in eastern Europe who now
provide him with the top-quality engines that
he trims for competition.
The sheer volume of the planes he owns
A perfect burn. But the final goal of all
this activity is still to be achieved. He has
complete trust in his planes and is just about
to reach out for what he’s truly aiming at.
“I’ve had some really bad luck. Even though
I’ve won the world cup total competition,
I’ve often finished only fourth or fifth in the
world championships. A few years ago, I
clocked 311.9 kph in the unofficial practices.
After the competition, the official world
record stayed at 311.2 kph.”
It’s not all about competing. This passion
needs fuel. “A Swedish friend of mine once
said that the most beautiful sound he knew
was when his Nelson engine got up to 30,000
rpm. I know what he means. When my engine
gets to 43,000 rpm and the burning process is
perfect, it’s certainly music to my ears.”
All engine parts
are important, but
the glow plug is
absolutely crucial.
Reliable performance
is a must.
“Some people said
my planes were
dangerous and
would blow up
– they didn’t!”
– JARI VALO
R&D
INNOVATION
Research & Development
p
The first-generation
GasPac device used
in testing is some six
metres long, just over
three metres high and
2.5 metres wide. It has
a thermal capacity of
6 MW. Units delivered
to customers are
always customised for
the engine power and
gas employed.
GasPac™ is
a Wärtsilä trademark.
GasPac gets more out of engines
Wärtsilä has developed technology that offers customers the high efficiency
and power of gas engines even when poor-quality natural gas containing heavy
hydrocarbon is being used. GasPac uses a catalyst to improve gas quality.
THE INNOVATION that improves gas quality
was discovered in the autumn of 2004 while
working on another Wärtsilä project developing
fuel-cell technology. After joining the fuel-cell
technology unit, Timo Mahlanen, Development
Manager, Fuel Cells, who had previously been
marketing Wärtsilä gas engines, realised that the
pre-reformer employed in the fuel cell could also
be effective when used in gas engines.
“Engine capacity has to be reduced when
poor-quality gas containing a lot of heavy
hydrocarbons is used,” says Mahlanen. “Since
customers quite naturally want to get the most
out of their engine, I began to work with Sören
Karlsson, who was developing gas systems
in Ship Power. We were working on a catalytic
process that could be used to improve gas
quality.” Their work led to an innovation that is
currently in the process of being patented. The
GasPac name has already received international
trademark approval, and registrations in
Finland and the European Union region
are in progress.
Tests on the research and
development project’s firstgeneration unit will be
completed in February 2006.
“Our target is to prove that the
device works seamlessly with
a 6-cylinder Wärtsilä 35SG gas
engine,” says Jaakko Ruokomäki,
System Specialist in Wärtsilä’s
Fuel-Cell Group, who is
co-ordinating practical development work on
GasPac. The innovation is also compatible with
Wärtsilä’s other gas engines. The dimensions of
T E XT: A N N E KY T Ö L Ä
PH OTO : TO MMI T UO MI
the catalyst are tailored for each customer, with
factors such as gas flow and the quality of gas
used influencing module size.
MORE EFFICIENT USE OF GAS
In his previous positions at the Helsinki
University of Technology and VTT Technical
Research Centre of Finland, Jaakko
Ruokomäki also worked on improving gas
quality. According to him, the technique
used in GasPac is based on steam-reforming
technology that was already being employed
in the 1930s. While the original process aimed
at producing hydrocarbons from methane,
the target is now to retain the methane while
breaking down any heavier components into
hydrocarbons and carbon monoxide. In the
subsequent catalytic phase, hydrocarbons
and carbon monoxide react to become
methane and water. The objective is therefore
to increase the methane concentration and,
consequently, the methane count of the
natural gas to the highest extent possible.
“The best thing about this process is that we
don’t lose any gas energy at all, it just changes
form,” says Ruokomäki.
Development of GasPac continues,
with the target for secondgeneration devices being to
reduce the need for water, lower
the feed temperature, improve
the sulphur tolerance of the
process and reduce the size of
the device.
“Wärtsilä engines have
better electrical efficiency
than those of our competitors.
GasPac makes it possible
to apply this benefit to
Jaakko
other related areas,” says
Ruokomäki
Ruokomäki.
[AN ENVIRONMENTALLY-SOUND INVENTION INCREASES THE MARKET ]
GasPac gives Wärtsilä the
opportunity to expand the
market for its gas engines,
since it will be possible to introduce
motors of current design to oil
refineries and power plants which
use gas with a poor methane value.
1.
Since GasPac allows high
electrical efficiency to be
achieved with poor-quality
gas, it is also an ecological
invention as regards energy
production.
2.
Environmental soundness is
further enhanced by the
fact that sulphur
compounds present in the fuel are
removed by binding the sulphur into
a solid form in the desulphurisation
unit. The result is that there are
effectively no sulphur emissions.
3.
infographics
RUIS
Environmentally-sound
[ I N FO G R A P H I C S ]
CRUISIN
Decks
9
8
7
6
5
4
Skeg Thruster
Primary PTO/PTI
Reduction gear
Wärtsilä 32DF, 9-cylinder
3
2
LNG tank
1
36 m
18 m
15 m
Engine exhaust emissions
from the ferry running on
different fuels
CO2
NOX
SOX
HFO machinery
(1,5 % sulphur)
DF engines with
MGO
DF engines with
LNG
SING
The new ferry concept has a novel propulsion
rudders and an integrated skeg thruster.
LNG tank
ILLUSTRATION: TERO HARSUNEN, WÄRTSILÄ
G
Wärtsilä’s passion
for seeking out better
propulsion machinery has found concrete form in a ferry concept
suitable for cruising up and down the Norwegian coast between
small coastal communities. The new concept features a novel
machinery configuration based on dual-fuel (DF) engines using
LNG as the primary fuel. Since the natural landscape in which the
vessel would operate is still almost untouched, an environmentallyfriendly ship solution is essential. The same machinery concept
could easily be applied to other passenger-ship operations such
as short-route ferries and expedition cruise vessels. To be suitable
for the latter purpose, the ship should have a range that can
accommodate cruises lasting more than seven days without
refuelling.
TEXT: OSKAR LEVANDER
As oil prices continue to rise,
using liquified natural gas
(LNG) as fuel for ship power
systems could become more
than just a solution which is
environmentally-sound, it could
also become of considerable
economic interest.
setup featuring twin Efficiency
Natural gas is one of the largest sources of energy worldwide and
at current rates of consumption is expected to last about 150 years.
On an energy basis, known natural gas resources exceed known oil
resources and are widely distributed around the world.
Natural gas is a very safe fuel when the right precautions are
taken. In its gaseous form, it is lighter than air, which means that
should there be a leak, the gas will disperse upwards and not build
up in a ship’s bilges. Also, the ignition temperature of natural gas
is relatively high (600°C) when compared to diesel oil (250°C),
and natural gas is flammable only when mixed with air within a
relatively small concentration range (between 5% and 15%).
In its liquid state, LNG is not explosive, corrosive or toxic.
Possible spillage does not result in any lasting contamination since
the liquid simply boils off as a gas. The low temperatures required
for storage are an issue when talking about the normal steels used
in ship construction, but this problem can be avoided by using
appropriate materials for LNG systems. In overall terms, LNG
machinery can be as safe or safer than conventional solutions using
diesel oil.
JUST AS SAFE OR SAFER
ALL MAJOR EMISSIONS SIGNIFICANTLY REDUCED
When burnt, natural gas is very clean. Its high hydrogen-to-coal p
infographics
CRU
LNG tank
arrangement
[ IN FO G RA P H ICS ]
Although
additional space
is required for fuel
storage, enormous
reductions in
emissions can be
achieved.
ratio (the highest among fossil fuels) means
lower CO2 emissions than with oil-based fuels,
and levels of NOX and particle emissions are
significantly reduced. When natural gas is
liquefied, all the sulphur is removed, and this
means zero SOX emissions.
Calculations made for the new concept
shows a remarkable difference compared to
machinery that uses diesel fuel. As all the
major emissions can be significantly reduced,
the LNG solution is truly environmentallysound. Comparable reductions in CO2
emissions are particularly hard to achieve with
conventional oil-based fuels.
The main problem with using LNG in ships
is the relatively-large amount of space required
for fuel storage. The range demanded of the
new ferry means that very large tanks with a
capacity of 520 m3 are required. Regulations
concerning the location of the storage tanks
are also very strict. Finding suitable space for
them inside the vessel is a clear challenge,
affecting both the ship’s dimensions and
its internal arrangements. In this particular
design, two large LNG tanks are located
down on the tanktop in the centre of the
vessel inside the B/5 lines, as stated in the
classification rules.
NEW ALTERNATIVE SOURCE OF ENERGY
LNG
compartment
(250 m3)
The ferry is equipped with Hybrid Dual
Fuel (H-DF) machinery consisting of two
Wärtsilä 6R32DF propulsion engines and two
9R32DF generating sets. Total installed power
is 10.5 MW, with the engines using LNG as a
primary fuel and MDO as pilot and back-up
fuel. When manoeuvring and at low speeds,
operation is diesel-electric. At higher speeds,
the mechanical propulsion engines are engaged
in combination with the electric motors to
boost shaft power.
The vessel’s machinery is designed
according to an Emergency Shut Down (ESD)
philosophy. This means that if there is a gas
leak in one of the engine rooms, the gas supply
is cut off and the engines are switched over to
diesel mode. If the leak continues, the entire
room is shut down. This in turn requires full
redundancy in the machinery.
LNG is a new alternative source of energy
for ship power. The new ferry concept
shows how this new fuel can be efficiently
integrated into ship design and obtain the
environmental benefits on offer. The new
concept also offers lower operating costs than
those for a similar ship using low-sulphur
diesel oil. Although some additional space
for LNG storage is required, this can be
taken into account from the beginning of the
design process, and the cost is small when
weighed against the enormous reduction in
emissions that can be achieved.
Read more at www.wartsila.com/cruise
AUTHOR IS GENERAL MANAGER,
CONCEPTUAL DESIGN, WÄRTSILÄ IN FINLAND
Deck 1
LNG
compartment
(270 m3)
Machinery arrangement
LNG tank
LNG tank
Reduction Gear
Deck 2
Deck 1
Primary
PTO/PTI (2000 kW)
solution
Lean-burn simple-cycle strikes
NEVADA GOLD
TEXT: RICK McARTHUR PHOTOS: TIMO KAUPPILA
Clearly fulfilling the need
for intermediate and
peaking power, and with
its very rapid start-up
qualifying for use as
ready reserve, the
Western 102 power plant
is part of a new era of
modern gas power
plants in the US.
LOCATED NEAR RENO, Nevada, Western 102 is a 115.6
MW facility owned by Barrick Goldstrike Mines Inc. It
joins the Wärtsilä-supplied Plains End (111 MW) and Red
Bluff (50 MW) plants as suppliers of electricity to the US
transmission grid. Declared commercial in early December
2005, Western 102 is demonstrating the flexibility, efficiency
and reliability of gas engine technology and is the largest
power plant of its type in the country.
Contracted in late October 2004, Western 102 consists
of 14 gensets, each with a rated output of 8.4 MW at site
conditions of 35°C and 1324 metres above sea level. Even
under these stringent conditions, plant output to the grid
is guaranteed to be 115.6 MW. According to Dennis Finn,
Business Development Manager, Wärtsilä North America
Inc., this genset project takes advantage of Nevada Assembly
Bill 661, which allows industrial customers of the local utility
to leave the grid if they meet several requirements. Among
the most important of these is to have a hard generating asset
located within Nevada which provides the industrial user
with electricity, and any such asset must meet the utility’s
largest single-component failure criteria.
[ SO LUT I O N ]
High availability. The Western 102 gensets are Wärtsilä
20V34SG, modern natural-gas-fuelled spark-ignition engines
with pre-combustion-chamber (PCC) technology which
employ a lean-burn fuel/gas/air ratio to provide a very low
heat rate in conjunction with very low emissions rates. p
[ SO LUT I O N ]
The units are also equipped with Selective Catalytic
Reduction (SCR) systems for additional NOx reduction and
Oxidation Catalyst for additional carbon monoxide (CO)
and Volatile Organic Compound (VOC) control.
Wärtsilä provided power-plant and engine controls as
an integral part of the design. To facilitate the 10-minute
start-up and loading to full output from all gensets in warm
standby, each genset has the capability of synchronizing
with the grid rather than having shared synchronizers
for a block of gensets. Dennis Finn comments “The 10minute start-up to full load output is important because
it meets the utility’s ancillary services requirements and
provides an additional source of revenue for the owner
of the generating asset. Other technologies provide quick
start-up, but our solution is more reliable and provides it
a higher percentage of the time. We’ve demonstrated that
Wärtsilä technology does this much better than a lot of
technologies, and also better than the other technologies
competing in the intermediate/peaking market segment.”
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No process water for engine cooling. The Western 102 power
plant building has two engine halls with seven gensets in
each, separated by a central section that contains the control
room, MV switchgear area, motor-control centre (MCC),
maintenance area, and personnel facilities. The building is a
typical prefabricated type which includes sound insulation for
noise control. Silencers in the charge air piping to the engine
turbochargers and the large vertical silencer in the exhaust flue/
exhaust gas stack provide additional noise control.
Since this is a simple-cycle installation engine, heat is rejected to
the atmosphere via a closed loop cooling system using radiators,
which allows the gensets to reach their guaranteed performance
without consuming process water. To meet the utility-imposed
largest-component failure criteria, the plant has a redundant buss
bar system and redundant step-up transformers and breakers which
allow loss of one transformer without affecting plant output.
The technology supplied for the Western 102 plant is designed
for remote dispatch and regulation by the utility’s automatic
generation control system.
“WE’VE DEMONSTRATED THAT WÄRTSILÄ
TECHNOLOGY DOES THIS BETTER THAN THE
OTHER TECHNOLOGIES COMPETING IN THE
INTERMEDIATE/PEAKING MARKET SEGMENT.”
solution
Rapid start-up, flexible
operation, negligible use of
process water and a veryimpressive net heat rate
make the genset technology
employed in Western 102 a very
attractive solution.
Technology benefits. Wärtsilä genset technology offered the plant
owner several benefits that led to the selection of this set-up over the
other technologies that are available. These benefits include better
ancillary service, a lower cost to meet the largest-single-component failure
criteria, lower water requirements, guaranteed heat rate and greater plant
flexibility. Also, since the net plant output comes from a group of 14
gensets, the failure of one unit represents only a 7% loss of full-load-rated
output – a significant benefit compared to competing technologies that
feature from just one to three generating components.
Lean-burn, natural-gas-fired reciprocating engine technology does
not require use of water to meet the heat-rate, output, and emissions
guarantees even at the high ambient air temperature and elevation of
Western 102. The only process water consumed is a small amount needed
for washing the engine turbochargers and a small amount used to keep
the closed-circuit cooling-loop water expansion tanks at set point. This
consumption amounts to only some 7.5 litres per unit per week.
“From the viewpoint of providing both ready reserve and spinning
reserve,” says Finn, “We have a heat-rate advantage. And also, something
that is peculiar to the west and particularly to Nevada, is the fact that
we achieve the heat rate without using process water.” This package of
benefits, characteristic of the genset technology, allows Wärtsilä to offer
significant competitive advantages. p
Not more than an hour from
most Lake Tahoe ski resorts,
Reno has an average annual
rainfall of 7.5 inches. Average
annual rainfall in the Nevada
Desert is just four inches.
solution
WESTERN 102 CAN
CYCLE FROM SHUTDOWN
TO FULL LOAD AND BACK
TO SHUTDOWN SEVERAL
TIMES A DAY WITHOUT
AFFECTING THE EQUIPMENT
OR ADDING TO THE
MAINTENANCE HOURS.
Reno, known as ”The Biggest Little City in
the World”, has a population of some 180,000.
Plant flexibility. Under the 35°C, 1324 m-above-sea-level site conditions, the Wärtsilä
genset technology offers a guaranteed heat rate of 9179 kJ/kWh, which is clearly superior
to any other commercial simple-cycle technology. When gensets are removed from fullpower service to match demand reductions, the technology also provides greater operating
flexibility. Having all gensets in operation at minimum load maximizes the spinning
reserve. The efficiency of individual gensets at 50% of rated load is approximately 88% of
their efficiency at full load. Another example of the technology’s flexibility is that it has the
ability to carry full plant output with only 4.5 bar fuel-gas pressure.
“It’s important to understand that this is relatively-new technology which was
really not commercialised until the mid 1990s,” says Finn. “That’s not because the
hardware wasn’t there, it’s been there for a hundred years. It took the development of
very sophisticated electronic controls to operate the genset with natural gas in leanburn mode, something which makes the heat rate achieved the best in the world as
far as simple-cycle technology goes. Secondly, electronics were required to keep the
gas-fuelled engines stable in lean-burn mode, since the operating range in which
the engine produces both high efficiency and low emissions is very narrow. Without
sophisticated electronic control on the fuel, air and individual cylinders, the high
performance offered by these engines would not be possible.”
Flexibility is also demonstrated by the plant’s ability to cycle from shutdown to full
load and back to shutdown conditions several times each day without affecting the
equipment or adding to the maintenance hours.
As well as supplying the gensets for Western 102, Wärtsilä was also the project
engineering, procurement and construction contractor, providing a single point of
responsibility for both schedule and performance.
Twentyfour7.
inside
Guaranteed power
for hospitals
56
CONTENTS
RELIABLE ENERGY SUPPLIES
ARE LIFE-CRITICAL
56 GUARANTEED POWER FOR HOSPITALS k 59 BIOPOWER CHP PLANT FOR BELGIAN MUNICIPALITY
60 LIQUID BIOFUEL – A VIABLE CHOICE FOR POWER GENERATION k 62 OPTIMUM ENGINE PERFORMANCE
64 WÄRTSILÄ THRUSTERSk 67 NSB CONTAINER FEEDER NEWBUILDINGS OPT FOR A MEDIUM-SPEED SOLUTION
68 FIRST WÄRTSILÄ RT-FLEX50 ENGINES NOW IN SERVICE
Twentyfour7.
LYNN GOLDSMITH/CORBIS/SKOY
[ COGENERATION ]
[ INSIDE ENERGY ]
Guaranteed power
FOR HOSPITALS
are of fundamental
importance in medical care. No-break and
emergency-power functions are also essential.
ELECTRICITY AND HEAT
T E X T: D r J A C O B K L I M ST R A | I L L U ST R AT I O N : W Ä R TS I L Ä
E
nergy is the lifeline of a modern hospital. Since most life-support equipment runs on
electricity, an uninterrupted power supply is of the utmost importance. Ever-increasing
fuel prices mean that the costs of energy are substantial and any possibilities for
achieving savings should be welcomed. The demand for electricity, steam, hot water, heating
and cooling in a hospital makes it an ideal application for cogeneration, and this type of
installation can also provide the no-break and emergency-power functions.
Many hospitals have already acquired years of satisfactory experience in cogeneration.
Successful results depend on dedicated planning and engineering and installation methodology
which incorporates comprehensive information exchange with other users. An integrated
approach to operations and maintenance can further help in obtaining optimum performance.
Extensive demands on energy
Modern hospitals are completely dependent on energy. Proper medical care of many
patients in a limited space demands ultimate standards of cleanliness and a wellconditioned internal climate. The bathing of patients requires that clean hot water is always
available. Hot water and steam are also required for additional services such as providing
meals, sterilising equipment and cleaning textiles. Electricity fulfils a crucial role in life56 Twentyfour7. 1.06
support systems and in operating theatres,
and the lighting of common spaces is a major
consumer of electrical energy. Electricity is
also used to power productivity-enhancing
equipment such as patient lifts, adjustable
beds and elevators. Communication systems
for data handling and information exchange
all run on electricity. The energy supply in a
hospital is so important that it is subject to
many official regulations designed to ensuring
its permanent availability.
Heating and cooling depend
on the local climate
A typical hospital with 750 beds and a
polyclinic can have an average electric
load of close to 1.5 MW, with a base load
of 1 MW and a peak load of 3 MW. The
levels of heating and cooling required are
heavily dependent on the local climate and
the thermal properties of the building. For
a moderate climate such as that in The
Netherlands, the installed power for heating
[ INSIDE ENERGY ]
01.2006.
would be required to generate the 4.05 MJ of
heat. Relying on separate generation rather
than cogeneration would therefore result in
4.5/9.0 x 100 = 50% extra fuel consumption.
Cogeneration therefore results in a substantial
reduction in the use of fossil fuel, albeit on a
national basis.
totals some 10 MW and for cooling 1 MW.
The variation in heating load is much higher
than the variation in electrical load: if the
average heat load is 2 MW, the peak load can
easily be 10 MW during cold winter spells. If
natural gas is available, it is often the preferred
fuel because of its price level, easy handling
and clean burning characteristics. Hospitals
also perform a crucial function during major
disasters that could be accompanied by failure
in the supply of natural gas and electricity
from the grid. For this reason, the availability
of back-up liquid fuel for a diesel engine
powered generator and for dual-fuel burners in
the boilers is often a mandatory requirement.
“Cogeneration
should be the
standard solution
for energy supply
in hospitals.”
Advantages of cogeneration in hospitals
As already mentioned, hospitals have a
permanent demand for electricity, steam, hot
water and heating/cooling. From the fuelutilisation viewpoint, this is an ideal application
for cogeneration. In most cases, the demand
for heat is such that it exceeds the demand
for electricity. Consequently, a cogeneration
installation can be dimensioned for at least the
base load of electricity. If a substantial quantity
of running hours can be made for the additional
electricity demand, or if surplus electricity can
be sold at an attractive price, consideration can
be given to a larger installation.
The energy savings from cogeneration can
be calculated (see Figure 1). With a presumed
total efficiency of 85% and an electrical
efficiency of 40%, each kWh of electricity is
accompanied by 4.05 MJ of heat that can be
put to useful application. If this heat was not
available, it would have to be produced by a
separate burner-boiler combination having
an efficiency of approximately 90%. That
means that an extra fuel input of 4.5 MJ
No-break and emergency power functions
It can be argued that cogeneration involves
additional capital investment in generators
and that the associated costs should be
counterbalanced by net savings on energy
bills. For a hospital however, the nobreak function offered by a cogeneration
installation is an additional benefit in this
respect. The supply of electricity is so crucial
that a no-break and emergency power
function will always be needed. Cogeneration
installations can perform these tasks without
problems. Gas engines with per-cylinder fuel
supply have such good stability and loadstep response that the quality of their power
is more than adequate for sensitive medical
equipment. Under normal circumstances, the
generators of the cogeneration installation
run in parallel with the grid. If the grid fails,
the engine-driven generators stay on-line
even though some less-important user groups,
such as some lighting functions, may be
switched off temporarily. Vital instruments
involved in surgery, patient monitoring and
life-support systems, and communication
systems must certainly remain connected.
The presence of a cogeneration installation
therefore reduces the level of investment in
back-up equipment.
All factors considered, installations
that improve the efficiency of fuel use
are so beneficial for national economies
that governments are inclined to support
them with subsidies or even make their
employment mandatory. The increasing
scarcity of fuel all over the world will
certainly make energy more expensive in the
future. Hospitals are investments which are
intended to last many decades and selecting
the best options for energy supply is therefore
important. These considerations mean that
cogeneration should be the standard solution
for energy supply in hospitals.
UMC at the University of Utrecht
The University Hospital (UMC) of the
University of Utrecht in The Netherlands
has more than 20 year experience with gasengine driven cogeneration. The hospital has,
however, recently undergone a significant
expansion and the technology used in its
cogeneration system was old-fashioned
compared to current standards. It was decided
that three new gas-fired units with an electrical
rating of 2.1 MW be installed, i.e. a doubling
of the existing power supply. There is an
existing 3 MW diesel generator which can
take over if the gas-supply fails and in such a
case, the two steam boilers (11 MW each) can
also switch over to diesel fuel. Under normal p
FIGURE 2: TYPICAL ELECTRICITY PRODUCTION AND DEMAND PATTERN IN UMC, UTRECHT
FIGURE 1: ENERGY SAVINGS FROM COGENERATION
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[ COGENERATION ]
[ INSIDE ENERGY ]
circumstances, the diesel system is only used
during periodic testing.
Reliability considerations revealed that three
gas-engine driven generators operating in
parallel would provide sufficient availability.
In normal circumstances, the public grid is
used as back-up if a generating unit fails.
This is also the case during maintenance
activities, as only one unit is maintained at a
time as remaining engines have to carry the
base electric load. If one of these two engines
develops a problem, the diesel generator can
be added in to ensure that adequate back-up
power is available should the public grid fail.
The combined level of reliability in supplying
electricity is very high. The steam boilers have
sufficient capacity to produce the heat which is
otherwise taken from the gas engines.
The gas engines have electromagneticallycontrolled gas-admission valves on each
cylinder, an arrangement which results in an
unsurpassed step response. If the demand
for power varies when the system is in island
operation (i.e. on emergency power), the
control system instantaneously detects the
change in demand and instructs the gasadmission valves to supply exactly the
amount of fuel which will match electricity
production to demand. This ensures good
frequency and voltage stability.
High supply security
Economic modelling revealed the optimum
running pattern for the three cogeneration
units at UMC, at least for current levels of
electricity and natural gas prices (see Figure 2)
At night, electricity demand is about 3.5
MW. This is covered by running two engines
in parallel at about 83% load. The electrical
efficiency of the units is then close to the
nominal value and there is room for dealing
with positive load steps should the public grid
fail. From 7 am until 11 pm during weekdays,
the tariff for electricity is substantially higher
than it is during the night. In that time period,
therefore, all three engines are run at full load.
From 8 am till 6 pm, electricity has to be
bought in (i.e. ‘imported’) but this is largely
compensated for by some exports early in the
morning and considerably more exports in
the evening. Should the grid fail during the
daytime, electricity production by the two
cogeneration units is sufficient to cover all
preferred users, so there is a high security of
supply, even if one of the three units fails. If
this happens, the 3 MW diesel generator can be
started up to meet the demand. Under current
economic conditions, it is not profitable to
Twentyfour7.
export electricity during the night or to
install additional local power to cover the
daytime consumption peak.
Positive experiences with cogeneration.
Some hospitals have as much as 30 years
of experience with cogeneration and are
now deciding to renew or expand their
installations. Other hospitals are about
to implement cogeneration as a way of
complying with regulations for energy
saving in buildings. Many governments
encourage the use of cogeneration by
“An integrated
learning process
and maximum
information
exchange make
for a very reliable
installation.”
offering financial incentives. European
rulings mean that electrical utilities are
obliged to accept grid-parallel operation.
Cogeneration is certain to be the standard
in modern hospitals.
Modern gas engines as prime movers
for cogeneration installations have good
levels of reliability. They are the result of
reproducible manufacturing processes
that comply with quality standards. Their
running stability ensures good power
quality. For example, the new facility at
UMC in Utrecht has already proven its
ability to act as back-up power in case of
grid failure. With the proper strategy in
respect to the number of generating units
on line and a well-defined maintenance
program, levels of electricity availability
can meet the stringent requirements set by
a hospital environment.
Extensive and inclusive teamwork
brings benefits
Some hospitals are even investigating a gradual
increase of the group of electricity users that
will receive uninterrupted power in cases of
grid failure. The ideal would be that no user
even notices the transition from grid operation
to island operation. Achieving this involves
the combination of good design, careful
testing, and close observance of maintenance
and operational specifications. It appears
that extensive teamwork between operators
and maintenance crews helps in properly
understanding how installations perform.
For this reason, some hospitals avoid any
communication problems by fully integrating
maintenance procedures into operations. An
integrated learning process and maximum
information exchange make for a very-reliable
installation.
In The Netherlands, technical staff in
hospitals have for many years organised
workshops at which the regular exchange of
experiences takes place. The participation
of equipment suppliers and engineering
bureaus in such activities has stimulated
further improvements in existing cogeneration
installations and has also resulted in new
designs. Regular contacts of this type are to be
highly recommended in all countries.
Conclusions
In conclusion, hospitals are an ideal site for
implementing cogeneration because of the
substantial concurrent demand for heating,
cooling and electricity. Considerable savings
in energy bills can be achieved, especially
if governments remunerate the associated
national benefits. Cogeneration installations
have also proven their ability to act as back-up
generators in case of grid failure, a capability
which removes the need for additional
investments in emergency power. For a
successful installation, designers must ensure
that they choose equipment which can deliver
the correct power quality. Planners, designers,
engineering bureaus, manufacturers, installers
and operations and maintenance personnel
should all aim for maximum information
exchange and co-operation in order to achieve
the most satisfactory result. Energy supply for
a hospital is so crucial that problems in project
management cannot be accepted.
AUTHOR IS SENIOR ENERGY AND ENGINE EXPERT,
WÄRTSILÄ IN THE NETHERLANDS
[ INSIDE ENERGY ]
01.2006.
Patented Wärtsilä BioGrate
combustion technology is clean,
efficient and highly automated.
IN
November 2005, Wärtsilä
won a contract to supply the
Belgian company Renogen SA
with a biomass-fuelled combined heat and
power (CHP) plant for installation in the
municipality of Amel in Belgium’s Ardennes
region. The new plant will have a net electrical
power output of 3.29 Mwe, a thermal output
of 10 MWth for district heating, and is
scheduled to start operating in January 2007.
Renogen subsequently signed a ten-year
Operations & Maintenance agreement for the
plant with Wärtsilä.
The BioPower 5 CEX plant will burn
wood residues from local forest-industry
operations and Wärtsilä will also be supplying
a 12 MWth oil-fuelled boiler. The Amel
plant will deliver hot water to two local
factories and electricity generated will be
fed into the national grid. The investment is
receiving financial assistance from the Belgian
government for producing electricity from
renewable sources.
Highly modular and employing a
conservative design approach, Wärtsilä’s
BioPower plants can be delivered and
installed quickly. Clean, efficient and highlyautomated, enabling unmanned operation,
their proven technology offers a reliable and
durable solution which meets the need to use
renewable energy supplies with minimum
environmental impact.
BIOPOWER CHP PLANT
FOR BELGIAN MUNICIPALITY
solution with minimum
environmental impact is scheduled to start
operating early next year.
CLEAN AND EFFICIENT
T E X T: R I C K M c A R T H U R | I L L U ST R AT I O N : W Ä R TS I L Ä
Make up water
Feed water
Hot water
Cooling water
To DH network
From DH network
Condense
Steam
Air
Flue gas
Ash
BP CEX utg 1
Fuel
Schematic flowchart
of a BioPower CEX plant.
[ LIQUID BIOFUEL ]
[ INSIDE ENERGY ]
Twentyfour7.
A joint project between Wärtsilä
and ItalGreen Energy, the
Monopoli CHP plant is located
in the heart of Italy’s Puglia
olive growing region, and has a
generating capacity of 24MW.
At full output, the three gensets
will consume 45,000 tonnes of
vegetable oil each year.
LIQUID
BIOFUEL
– a viable choice for power generation
since the beginning of social
development, only recently has there been any
substantial research into extracting maximum
levels of efficiency from this energy source.
PART OF OUR LIVES
T E X T: N I K L A S H A G A | P H O TO : W Ä R TS I L Ä
T
he virtuous circle in Power Generation is the dream of the modern world: a power plant
that is environmentally friendly, that uses renewable fuel, and which uses cash crops
that could help to ease poverty in many of the world’s poorest countries.
This is no longer a dream, it is reality. Italy’s ItalGreen Energy and Wärtsilä have built the
world’s largest power plant fuelled exclusively by straight vegetable oil. Liquid biofuel can be
produced from practically any oil-rich crop - from sunflower seeds to rapeseed and palm oil.
The technology
Although transesterified bio/vegetable oils, also called biodiesels, can be used as fuel in
automotive diesel engines and in medium-speed engines, the price of this refined product is
too high for power production in many markets.
Diesel engines, which are based on compression technology, offer a much more appropriate
route because the oil can be used more or less straight from the crop. This is not a new
concept. In fact, Rudolf Diesel ran his first engine back in 1900 on peanut oil. Economics
clearly play a major role in the decision to generate power from liquid biofuel rather than fossil
fuel, and engine builders have had to overcome a number of technical hurdles.
Controlling fuel temperature is key
When optimizing their plant design, Wärtsilä developed a fuel-feed system which controls
the fuel temperature throughout the power plant. These modifications keep the viscosity of
the fuel stable by preventing overheating and eliminating cold zones which can lead to the
creation of wax.
Since August 2004, two Wärtsilä 18V32
generating sets have generated 16 MW of
power running at maximum efficiency in the
ItalGreen combined heat and power (CHP)
plant in Monopoli, Italy. Installation of a
third engine which went on line in June 2005
increased the baseload power output to 24 MW.
Practically zero emissions of CO2
Even though liquid biofuels have been
around since the beginning of human
social development, it is only recently that
environmental and commercial pressures
have resulted in any substantial research
being carried out into extracting maximum
levels of efficiency for the generation of
electrical power. Factors contributing to the
drive to develop viable liquid biofuel include
international governmental pressure driven by
fear of the effects of climate change, as defined
in the Kyoto Protocol, together with a need to
reduce our reliance on increasingly-expensive
fossil fuels. The use of liquid biomass for
power generation results in practically zero
emissions of CO2 to the atmosphere.
Quite naturally, there has been some initial
resistance from the major oil companies and
it is still difficult to find liquid biofuel at most
roadside filling stations. But liquid biofuel is
already being added to the many fuels available
on forecourts. Although the US has refused to
[ INSIDE ENERGY ]
01.2006.
ratify the Kyoto Treaty, many thousands of
hectares of ‘Corn Belt’ states in the USA have
been producing oil for ethanol production
for several years. Corn (maize) farmers see
this as both a new source of income and a
contribution to the ‘green’ debate. In 2005,
production totalled 4.4 billion gallons, up by
more than 20% over 2004.
Palm oil from Malaysia and Indonesia
During the past decade, the price of palm
oil has been clearly lower than that for other
vegetable oils and it has lately become the
most interesting commodity to use as liquid
biofuel. In terms of production volume,
palm oil is the world’s second most produced
vegetable oil after soybean oil. Palm oil
exports come predominantly from Malaysia
and Indonesia and these two countries can be
expected to maintain their dominant position
in exports of oils and fats, accounting for
45% of total trade.
Although Malaysia is currently the world
leader in palm oil production, that fact that
Indonesia is constantly increasing the size of
its plantations means it is quite likely to take
the number-one position in the course of
the next ten years. Indonesia has focused its
industrial activity on producing crude palm
oil, but that is also set to change as processing
resources are being developed at a rapid
pace. Currently, most of the oil produced
is exported either to Europe or to other
countries in Asia such as India and China.
Optimizing use of the new fuels
Clearly, though, it is up to the major engine
producers to lead the field by ensuring that
they build engines which can optimize use of
these new fuels. In medium-speed engines,
which can run on most qualities of heavy
fuel oil (HFO), it is in the fuel feed systems
that major research has taken place. For
many decades these engines have proven their
worth as electrical power generating sets, as
direct power for marine drives, and for onand off-road equipment in the most extreme
conditions.
Experience built up by engine builders
such as Wärtsilä in the use of filters,
separators, preheaters and coolers places
them in a unique position at the forefront of
technology to develop optimal systems for
extracting maximum power with the lowest
possible emissions.
AUTHOR IS SENIOR DEVELOPMENT ENGINEER,
WÄRTSILÄ IN FINLAND
ItalGreen Energy
I
talGreen Energy is the energy division of the
Casa Olearia Italiana Group (COI), one of Italy’s
leading suppliers of olive and other vegetable
oils. As well as being able to lay claim generations
of know-how in oil refining and treatment
processes, ItalGreen has developed considerable
experience in renewables and biomass-fired
power systems. The company have taken full
advantage of the current opportunities for green
certificates provided by the Italian authorities and
encouraged by EU directives.
Local legislation in Italy encourages the use
of green certificates, one benefit of which is an
electricity selling price fixed for a period of eight
years. By law, all power producers and importers
in Italy are currently required to supply at least
2.35% of their power to the grid using renewable
resources. The amount of power supplied in this
way will progressively increase as the technology
becomes more widely accepted and incentives
encourage more private entrepreneurs to build
and operate their own power plants.
ENCOURAGING ENERGY ENTREPRENEURS
TO TAKE AN ACTIVE ROLE
This policy is of primary importance in Italy’s
energy market. The risk of power shortages, high
electricity prices and demanding environmental
requirements are further factors which
encourage energy investors to take an active role.
In such a context, liquid-biofuel-based energy
production represents one of the best ways of
ensuring the economic viability of this type of
‘green’ energy projects. In addition, the high
overall levels of power plant performance that can
be achieved using medium-speed reciprocating
engines make ‘green’ energy an increasingly
attractive proposition.
Casa Olearia Italiana, located in Monopoli in
the heart of Italy’s Puglia olive growing region,
covers an area of 100,000 square metres
(24.70 acres). The facility produces extra virgin
olive oil, olive oil, and refined pomace oil and
seed oils such as sunflower, corn, soy, peanut,
grape, rape and palm. Monopoli’s specialist
harbour for foodstuffs-oil is one of Italy’s most
active and well equipped.
The warehouse for oil storage is fitted with
more than 100 stainless steel tanks with a
combined capacity of some 60,000 tonnes.
The packaging plant for the company’s own
brands and other international household and
commercial brands is one of the world’s largest.
It has four packaging lines, one of which can
produce 11 items a second. Casa Olearia Italiana
is an ISO 9002-certified company.
THE MONOPOLI CHP PLANT
The Monopoli CHP plant is a joint project
between Wärtsilä and ItalGreen Energy, part
of the COI Group. The first two Wärtsilä 18V32
generating sets were commissioned in August
2004 with a total capacity of some 16 MW. A third
engine, commissioned in June 2005, increased
the plant’s capacity to 24 MW.
It is estimated that the three engines will
consume up to about 45,000 tonnes of
vegetable oil per year when running at full
output. Combustion of liquid biofuels enables
simultaneous generation of electricity and heat
without sulphur emissions and zero consumption
of fossil fuel. Located inside the existing vegetable
oil refinery, the Wärtsilä-designed plant supplies
both green electricity to the national grid and
steam and power for factory processes. Wärtsilä
was responsible for the fuel tests, detailed
engineering, delivery of the full generating set
package, start-up and erection supervision.
ItalGreen Energy handled the civil works, plant
erection and site activities.
The Green Certificate scheme in the European Union
U
nder the Kyoto protocol, the European Union
committed its Member States to reductions of
8% from 1990 levels of greenhouse gas emissions
between 2008 and 2012. Each country in the EU
has set specific levels and is working towards a
cross-union tradeable system. The details of this
system are still evolving. In Italy’s case, the target
for greenhouse-gas reduction is 6.5%.
A variety of incentive mechanisms, including
Green Certificates, exist for motivating
companies to reach this target. These are
financial contributions at community, national
and regional levels, the renewable-energy
certificate system, and grants of origin. In the
case of the Green Certificate, local Independent
Transmission System Operators have the task
of checking self-certifications and complying
with all the procedural rules. Each power
generation plant that uses non-renewables is
currently obliged to produce 2.35% of its annual
electricity production using renewables. If they
fail to comply with this requirement, they must
buy a Green Certificate for each and every 50
megawatt-hour included in that calculated 2.35%
of annual output.
On the other hand, power companies such
as ItalGreen Energy who produce energy from
renewables will be awarded Green Certificates
at the same rate and can then sell these Green
Certificates to the offending power producers.
In this way, power plants with low levels of
greenhouse-gas emissions beanefit from their
investment twice over: firstly from selling their
electricity to the national grid, and secondly by
being able to trade their Green Certificates.
[ OPTIMUM ENGINE PERFORMANCE ]
[ INSIDE MARINE ]
Twentyfour7.
OPTIMUM ENGINE PERFORMANCE
with cost savings
starts to benefit from Wärtsilä’s
Operations & Maintenance concept, off-hire time and
human error could become a thing of the past...
AS THE MARINE INDUSTRY
T E X T: PAT R I K W H E AT E R | P H O TO S : W Ä R TS I L Ä
T
he offshore and energy industry knows
how to get the best from its engines in
terms of performance and operational
costs – it leaves it all to the engine builder.
For the last five years, Wärtsilä has been
offering this sector both full performance and
operational responsibility for its stationary
engines in places as far flung as Bangladesh,
Columbia, France, India and Kenya, building
up a reference list that now totals more than
2600 MW. Wärtsilä is now looking to expand
service provision in the marine industry.
Cost and performance efficiency
Wärtsilä Operations & Maintenance is
essentially a ship-management system for the
engine room in which five or ten-year, fixedprice service agreements are tailor-made to
keep each customer’s investment both costand performance-efficient throughout an
engine’s lifetime. In a nutshell, the concept
has been designed to ensure safe and reliable
ship operation; to eradicate downtime; to
ensure the performance and monitoring of
both main and auxiliary engines and other
Wärtsilä products; to provide trained and
skilled seafarers; and to ensure rapid response
by maintenance crews wherever and whenever
they are required.
Tage Klockars, Operations & Maintenance
Systems Manager, explains: “Utilizing the
latest technology means that today’s products
are very sophisticated. Training engineers
in the correct use of modern engines is not
an easy task for shipowners and operators.”
A case in point is the fact that although
80% of machinery breakdowns are still
down to human error, this could in time
fall to insignificant levels as more and more
shipowners sign up to the Operation &
Maintenance concept. “Primary drivers in the
ship power industry are running costs and
environmental impact, and one consequence
of this is that the technology becomes
very advanced. Support and back-up from
someone operators know and trust is therefore
essential.”
“An increasing
number of requests
from customers
for long-term
Operations and
Maintenance
contracts are being
received.”
Owners of cruise ships frequently opt for
Wärtsilä’s common-rail engine technology
and the LNG market favours the dual-fuel
alternative, so there are definite winds of
change in the market for this kind of highend, environmentally-sound multifuel
technology. An increasing number of requests
from customers for long-term Operations and
Maintenance contracts are being received.
In late 2005, Blue Star became the first
containership owner to sign up to the scheme
with the nine two-stroke RT-flex enginedvessels in its fleet. It’s almost certain that other
marine industry stalwarts will follow suit.
Centralised management
The Operations & Maintenance concept is
based on two elements: the Part Crew Concept
(PCC) and the Technical Management
Concept (TMC). In both instances, a
centralised, land-based management system
is established to administer the operation in
a way not dissimilar to the way in which a
traditional ship-management company runs
its ships – but in this case it’s the engines and
engineering staff that are managed.
“We centralise all engine maintenance,
scheduling, contract management and
invoicing. This makes it cost effective for
us and for the customer. At the same time,
our network maintenance staff provide close
support so it’s easy for them to be on ship or
at the yard more or less immediately, wherever
and whenever they’re needed,” says Klockars.
Technical management
As part of the Technical Management Concept
Wärtsilä provides a rapid-response crew to
carry out all scheduled and unscheduled
engine maintenance according to an
operational schedule. An exchange parts
system helps in shortening downtime, and
major overhauls are carried out in conjunction
with major maintenance on other machinery
or onboard equipment. Overhaul parts are
taken ashore for reconditioning in Wärtsilä
workshops. All parts are provided by the
engine builder, including all software upgrades
and the maintenance of computer systems.
Technical and operational training can also be
conducted on board when this arrangement
suits the ship operator.
“We charge a fixed price which includes
all spare parts for both scheduled and
unscheduled maintenance, all personnel
requirements, condition-based maintenance
(CBM) and monthly reporting, on-line
monitoring, maintenance management and
the coordination of all people and tools,
and onboard inventories,” says Klockars. All
Wärtsilä’s on-line services are incorporated
into the PCC and the TMC concepts.
[ INSIDE MARINE ]
01.2006.
Cruising companies can focus on their core
business while Wärtsilä takes care of the
engines, equipment and associated servicing.
No additional crew positions
The Part Crew Concept (PCC) adds a further
dimension to the scheme in that Wärtsilä
provides part of the onboard engineering
team. There are no additional crew positions
and crew costs for the ship owner or operator
are not increased.
“We provide a Second Engineer, an
Electronics Engineer and junior engineers,
all of whom sail with the ship during normal
routine operations. They provide specialist
skills and have access to all our technical
services, on-line services, documentation and
expertise. Although employed by Wärtsilä,
they fall under the responsibility of the
ship’s Chief Engineer who involves them in
all onboard duties so that they fulfil their
traditional roles” says Klockars.
When customer opts for the Part Crew
Concept, the engine builder takes complete
responsibility for Wärtsilä engines and
products and can provide performance
guarantees. “This is performance-based ship
management,” says Klockars. “Wärtsilä’s
Operations & Maintenance service offers
shipowners significant savings in operational
costs. When we‘re able to guarantee optimum
performance, further savings in lube and
fuel oil consumption can be achieved as
we can optimise how the engine performs.
Also, having optimum performance data
means we can reduce spare-part requirements
since wear and tear on engine components
is reduced. Off-hire time and human error
are significantly reduced if not eradicated
completely.”
“Wärtsilä’s
Operations &
Maintenance service
offers shipowners
significant savings
in operational costs.”
[ WÄRTSILÄ THRUSTERS ]
[ INSIDE MARINE ]
Twentyfour7.
WÄRTSILÄ THRUSTERS
the driving force behind dynamically
positioned Offshore Applications
DSS21 drilling rigs are a design
developed by Keppel and Marine
Structure Consultants. This semisubmersible drilling rig for AP
Møller-Mærsk A/S is suitable for
all-year-round operation and can
be used for development drilling in
depths of up to 3000 metres.
that high
oil prices have resulted in
increased activity in the
offshore market. The many
new semi-submersible drilling
rigs and drill ships on order
are a direct result of the
high demand for all types of
equipment connected with oil
exploration and production.
THERE IS NO DOUBT
The Safe Concordia
accomodation rig,
owned by Consafe
and built at Keppel
Fels, is equipped
with four Wärtsilä
thrusters with an
input power of
2500kW.
KEY DATA: STEERABLE THRUSTERS FOR DSS21 SEMI SUB DRILLING RIG
Rig type
Number of thrusters and type
Input speed
Input torque
Reduction ratio
Input power
Propeller diameter
Nozzle type
DSS21 Semi Submersible Drilling Rig
8 x FS3500-671/NU
0 - 600 rpm
63,667 Nm
3.538
4000 kW
3800 mm
Wärtsilä High Efficiency, 3 degrees tilted
[ INSIDE MARINE ]
01.2006.
T E XT: H AN S L A HEI J | I L LUSTRATI ON: W Ä RTSI LÄ AN D KE PPE L FE LS
IN
addition to the increased
demand for equipment, there is
a drive for offshore activities to
move to deeper water. Operating in these
conditions requires that offshore structures be
dynamically positioned (DP) and these units
thus require their own propulsive power. As
it is the driving force, propulsion equipment
plays an important role in the successful
operation of an offshore installation.
This article takes a closer look at this type
of propulsion equipment, the Steerable
Thruster.
Wärtsilä thrusters have their origins in
Lips offshore thruster design. First delivered
in 1967, the Lips thruster has been further
developed to have a power range of
800-7000 kW and comply with the highest
requirements for offshore installations.
Wärtsilä offshore thrusters are employed
in heavy-duty seagoing applications such as
semi-submersible drilling rigs, drilling ships,
cable layers, research vessels, and product
tankers. The Wärtsilä offshore thruster
range covers all types of thruster. To ensure
it fulfils the operational requirements of
an offshore application, the design criteria
for each type and size of Wärtsilä offshore
thruster focus on:
1. Using components suitable for continuous
operation in heavy offshore conditions,
2. Ensuring reliability and durability to
minimize down-time, and
3. Providing a lifetime of at least of 25,000
hours at full continuous load (i.e. at 100%
power for 100% of the time)
Design of the Wärtsilä thruster also
involves a modular approach which means
that standardized sub-assemblies can be used
to fabricate different types of the same size
of thruster. This approach means that the
following types are available:
1. Modular Thruster in weld-in, bolt-in
or can-mounted execution
2. Retractable Thruster
3. Containerised Thruster
4. Underwater (de)mountable thruster
All these thruster types are available in
input power ratings of up to 7000 kW and
can be supplied with either fixed-pitch
propellers (FPP) or controllable-pitch
propellers (CPP). Nozzles are commonly used
in DP applications to increase thrust, but
thrusters can also be supplied without nozzles
for specific applications.
Reliable and durable
As already mentioned, the design philosophy
in Wärtsilä thrusters focuses on ensuring
reliability and durability, both of which are
important in ensuring availability of the
system and minimizing downtime. All aspects
of Wärtsilä thrusters cannot be fully described
here, but a few key features are mentioned
below.
Transmission parts (i.e. gearwheels and
bearings) are designed for continuous running in
dynamic positioning conditions. All gearboxes
are fitted with a spiral-bevel gear set, made of
special high-quality forged steel, case-hardened
and fine-machined after hardening to Class 6 DIN 3965 - (H.P.G. process) or better.
Performance requirements demand that
thrusters incorporate a large number of antifriction bearings. Every Wärtsilä azimuth
thruster is fitted with separate bearings that
take axial and radial loads. This ensures
long bearing life. The pinion shaft is also
supported on both sides of the pinion wheel,
function of a steerable thruster consists of a
hydraulic powerpack connected to a number
of hydraulic steering motors. To ensure
redundancy in the system, the powerpack is
equipped with two 50 % capacity pumps that
run at the same time. If one pumps fails, the
steering capacity that remains is sufficient to
ensure safe operation.
Lubrication oil
The propeller gearbox in a steerable thruster
is completely filled with lubrication oil. Each
thruster has single lubrication pump which
takes suction from the lowest part of the
thruster. This ensures optimal circulation of
the oil, and also has the advantage that should
water enter the unit, it will be immediately
noticed as the suction is from the lowest part.
As the circulation of oil is not critical, only
one pump is supplied for each unit. A header
tank is provided to ensure positive pressure
across the seals against the surrounding
seawater. For semi-submersibles that have a
“RELIABILITY
AND DURABILITY
ARE THE BASIS
FOR DESIGN.”
an arrangement which ensures that there is no
deformations in loaded conditions and that
tooth contact between the pinion and crown
wheels is optimal under all load conditions.
Sealing system
A good sealing system is essential for troublefree system operation. A high-quality triple-lip
Wärtsilä viton seal is therefore installed on the
propeller shaft. A ceramic coating is applied
over the full length of the liner. As an option,
the sealing system can be extended to a 4BL
seal (i.e. four viton sealing rings) with special
monitoring possibilities.
A triple lip seal is installed between the
rotating steering pipe and the stationary
support pipe. An extra-heavy-duty type of lip
seal is fitted at the outside to prevent debris
from entering the area between the support
and steering pipes.
Hydraulic steering system
The steering system that provides the azimuth
Wärtsilä underwater (de)mountable thrustes
ready for installation.
different draft in transit and operation, this
system is extended with either an extra (i.e.
higher) header tank or a single header tank
with adjustable pressurised air to compensate
for the difference in water pressure at different
droughts.
Underwater mountable thrusters
A type of thruster widely used on semisubmersible drilling rigs and drill ships is
the underwater (de)mountable thruster. The
first Lips thruster of this type was delivered
in 1980. With this type installation, the
outboard part can be removed without dry
docking the rig or vessel. This arrangement
ensures continuous availability of the offshore p
[ WÄRTSILÄ THRUSTERS ]
[ INSIDE MARINE ]
Twentyfour7.
INSTALLATION SEQUENCE FOR UNDERWATER MOUNTABLE THRUSTERS
Receptacle with steering gearbox on top
Three tubes for hoisting wires
One outboard
hoisting wire
Three inboard hoisting wires
installation since thrusters can also be
exchanged in the open sea. The installation
sequence for the thruster outboard part is
shown at the top of this page.
DSS21 Semi-submersible drilling rig
One example of an application for Wärtsilä
underwater (de)mountable thrusters is the units
Cross-section of
Wärtsilä azimuth
thruster.
to be supplied for two semi-submersible drilling
rigs at Keppel Fels in Singapore.
Keppel Fels, a world leader in the
construction of offshore jack-up drilling rigs,
semi-submersible platforms and other offshore
facilities for the oil and gas industry, ordered
a complete package of Wärtsilä generating
engines as well as steerable thrusters in August
2005.
The rigs are being built for the Danish
company AP Møller-Mærsk A/S and are of
the DSS21 design developed by Keppel and
Marine Structure Consultants. They will be
employed for development drilling in deep
water down to a depth of 3000 metres and
are intended for all-year-round operation in
regions off the coasts of West Africa, Brazil,
the Gulf of Mexico ans southeast Asia.
Delivery of these semi-submersible rigs is
scheduled for 2008 and 2009.
Each dynamically-positioned semisubmersible will be equipped with eight
Wärtsilä Steerable Thrusters of underwater
(de)mountable design. The input power for
each unit is 4000 kW at a variable input speed
of 0-600 rpm.
To increase thrust in both DP and transit
conditions, the thrusters are equipped with
Wärtsilä High Efficiency nozzles. To reduce
interaction between the thrusters and between
thruster and hull, the nozzles are tilted so
that the jet produced leaves the thruster at an
angle.
A special feature of these steerable thrusters
are the quadruple seal arrangements on the
“LONG EXPERIENCE
COMBINED
WITH IN-HOUSE
EXPERTISE.”
propeller-shaft seals. These seals are of the
Wärtsilä 4BL type and have four viton sealing
rings running on a ceramic-coated liner. This
multi-barrier seal has two sealing rings facing
the water and two seals facing the oil. There
is also a special connection for monitoring
to allow early detection of any possible seal
leakage.
In addition to the thrusters, the DSS21
rigs will be equipped with eight 16-cylinder
Wärtsilä 26 generating sets having a combined
electrical output of 39,920 kWe.
The reliable partner
Wärtsilä has a long history of supplying
steerable thrusters. It also has the in-house
hydrodynamic expertise required to make a
success of offshore projects. With more than
35 years experience in steerable thrusters,
Wärtsilä is the reliable partner in the
demanding offshore market.
AUTHOR IS GENERAL SALES MANAGER,
WÄRTSILÄ IN SINGAPORE
[ INSIDE MARINE ]
01.2006.
NSB CONTAINER FEEDER
NEWBUILDINGS OPT FOR A
MEDIUM-SPEED SOLUTION
NSB sets a new trend with a
medium-speed solution for a 2000TEU containership.
GERMAN SHIPOWNER
T E X T: PAT R I K W H E AT E R | I L L U ST R AT I O N : W Ä R TS I L Ä
R
eefer containerships and four-stroke
diesel engines do not usually form
part of the same sentence, but it’s
an increasing trend as more and more
newbuildings of this shiptype show interest
in using four-stroke engines.
Largely as a result of burgeoning worldwide
capacity, shipowners with container feeder
newbuildings of up to 2000TEU in mind are
looking for alternative means of propulsion
rather than wait for a vacant slot at the
two-stroke engine-builders yard. ReedereiNSB is taking the lead.
While this shipowner is not the first
operator to opt for a medium-speed solution
for such a ship, it is perhaps the most
prominent as it has a fleet of more than 40
containerships capable of carrying between
1000 and 6750TEU. Reederei-NSB has
selected ten 9-cylinder in-line Wärtsilä 46
four-stroke engines for a series of five
2100TEU containership newbuildings being
constructed at the Aker Ostee shipyard.
Wärtsilä signed an agreement with the
shipyard last year in May and will deliver the
first two 10,395 kW engines to Hull No. 136
in October. To each ship the contract also
includes supply of three 9-cylinder Wärtsilä
Auxpac 20 generating sets, each with an
output of 1600 kWe. The first vessel is
scheduled for delivery in March 2007.
Jan-Anders Backman, General Manager at
Wärtsilä, Ship Power, 4-stroke business, says
this type of installation offers owners a host
of benefits and is a more flexible, compact
solution.
The lower height of the four-stroke
engine alternative permits a much smaller
engine room and lower deck head than the
conventional cathedral-engine configuration,
freeing up valuable space for cargo. This saving
of space is clear in the case of the NSB ships
– the initial drawings depicted a 1900TEU
vessel but this has since been increased to
2100TEU, with an appropriate increase in
ship length from 190 metres to approximately
210 metres.
Cost savings
Commenting on the benefits, Backman says
“With a two-stroke engine, the power ratio
is normally optimised to run on a higher
maximum continuous rating of say 80-90% to
drive a fixed pitch propeller. With the NSB
vessels, two four-stroke engines will drive a
single controllable pitch propeller through a
twin-in/single-out reduction gear. If the vessels
are operating at low speed or in light ship
conditions they can run just one engine.”
“This means less fuel is consumed than with
a traditional two-stroke engine because a fourstroke will always be running in its optimum
speed range. With this arrangement you can
run one engine and simply reduce the pitch of
the propeller instead of having to lower engine
rpm as you would in the two-stroke engine
and fixed-pitch propeller solution. Further
cost savings can be made on the lube oil front
as two-stroke engines require that cylinders are
lubricated by the system oil.”
With a four-stroke engine, the lube oil is
treated outside the engine by continuous
separation. On its way to the engine, oil passes
through a lube oil cooler, a full-flow automatic
filter unit and a safety filter which provides
final protection. For the purpose of runningin, provision has been made for the mounting
of special running-in filters in the crankcase in
front of each main bearing.
Further cost savings will come when vessels
are operating in and out of Ship Emissions
Control Areas (SECA). In May 2005,
MARPOL Annex VI came into force setting
limits on sulphur oxide (SOx) and nitrogen
oxide (NOx) emissions from ship exhausts,
prohibiting deliberate emissions of ozonedepleting substances. The introduction of this
ruling means that engine lube oil may have to
be changed to be compatible with low-sulphur
bunker fuel when a ship enters a SECA. In
contrast to ships operating two-stroke engines,
Reederei-NSB’s newbuildings will not have
to carry two types of lube oil for situations
when the engine is changed from high- to lowsulphur-content fuel: four-stroke engines can
temporarily run on the same lube oil during
operation with both types of fuel.
PRINCIPAL PARTICULARS OF THE CONTAINERSHIP NEWBUILDINGS
The use of 4-stroke engines frees up valuable
space for cargo.
Length oa
Breadth mld
Design draught
Tonnage
Main engine
Auxiliary power
PTO
approx 210 m
28.8
9.5 m
21 000 gt
2 x 10,000 kW
3 x 1600 kW (electrical)
1300 kW
[ RT-FLEX50 ENGINES ]
[ INSIDE MARINE ]
FIRST
WÄRTSILÄ
RT-FLEX50
ENGINES
now in service
POSITIVE ACCEPTANCE
in the market – 41
engines had been
ordered when the first
two entered service.
T E X T: B E AT S C H U M A C H E R
P H O TO S : W Ä R TS I L Ä , C A P I TA L S H I P
M A N A G E M E N T C O R P. A N D R E D E R I
A B D O N S Ø TA N K
IN
January 2006, two ships
entered service with the first
RT-flex50 low-speed engines:
the 37,000 dwt product tanker Aristidis
and the 19,625 tdw geared bulk carrier
Credo. Both passed their sea trials with
flying colours, and then sailed on their
maiden voyages.
Aristidis, the first to be delivered, was
built for Barclay Shipping Ltd of Greece
by Hyundai Mipo Dockyard Ltd, Korea,
and left the shipyard on 7 January. Credo,
built by Shanghai Edward Shipbuilding
Co Ltd in China for its Swedish owner
Rederi AB Donsøtank, was scheduled
to leave the shipyard at the end of
January. Both vessels are equipped with
a 6-cylinder Wärtsilä RT-flex50 engine
having a maximum continuous power of
9720 kW at 124 rpm. Manufacture of the
engines was subcontracted by Wärtsilä
Corporation to its licensee Diesel United
Ltd in Aioi, Japan.
The Aristidis has overall dimensions
of about 184 m long, 27.4 m beam
View from the bridge
of Aristidis during sea trials.
Twentyfour7.
[ INSIDE MARINE ]
01.2006.
Both the 21,000 dwt geared bulk carrier Credo (left) and the 37,000 dwt product tanker Aristidis (right) are fitted with 6-cylinder Wärtsilä RT-flex50 engines.
and 17.2 m deep, with a design draught of
9.8 m and service speed at that draught of
approximately 15.3 knots. Built to Ice Class
1A Super, the Credo is 158 m long overall,
has a beam of 24.6 m and is 13.5 m deep with
a design draught of 9.0 m. For the Credo,
Wärtsilä also supplied a 5.5 m-diameter
Wärtsilä Lips controllable-pitch propeller,
three 4-cylinder in-line Wärtsilä 20 diesel
generating sets, PTO tunnel gear and an
associated 2000 kWe alternator, and a Wärtsilä
Lipstronic propeller-pitch control system.
The new RT-flex50 common-rail lowspeed engine has received positive acceptance
in the market with 41 engines having been
ordered by the time the first two went into
service. Engines have been ordered for
newbuildings contracted with shipyards
in China, South Korea, Germany, Japan,
Croatia and India for a variety of owners in
China, Greece, Scandinavia, Germany, India
and The Netherlands. These newbuildings
include general cargo ships and bulk carriers
in the range 20,000–53,800 dwt, product and
shuttle tankers of 37,000–52,500 dwt, car
carriers and 17,000 m3 LPG carriers.
The RT-flex50 has been tailored exactly to
the propulsion requirements of various sizes
of bulk carriers in the handymax to panamax
size range, product tankers and feeder
container vessels. With five to eight cylinders,
the engines cover a power range of 5800 13,280 kW at 99 - 124 rpm. A key feature
of RT-flex50 engines for all such ship types is
that they allow a compact engine-room design.
Owners are proving to be very interested in
the special benefits of electronically-controlled
common-rail systems for fuel injection and
valve actuation in engines of this size, especially
the great flexibility in engine setting. The
resulting benefits are lower fuel consumption,
lower minimum-running speeds, smokeless
operation at all running speeds, and better
control of other exhaust emissions.
RT-flex system is adaptable
The RT-flex common-rail concept, already in
service in engines of 960, 600, 580 and now
500 mm bore, has proved readily adaptable to
widely-different cylinder sizes. Although the
common-rail system has been simplified for the
RT-flex50 compared to the systems in the larger
RT-flex engines, reliability and safety have been
given the utmost priority in its design. There is
“Owners are very
interested in the
special benefits
of electronically
controlled commonrail systems.”
still adequate spare capacity and duplication for
redundancy in the supply pumps, main delivery
pipes, crank angle sensors, electronic control
units and other elements.
The rail unit in the RT-flex50 is arranged
on the upper platform. The fuel rail is a
single-piece pipe on which are mounted the
injection control units (ICU) for individual
cylinders. This single-piece design reduces the
number of flange joints and simplifies trace
heating and insulation. Each ICU on the
fuel rail serves just two fuel-injection valves
in its corresponding cylinder cover, with
independent control of each fuel valve.
The supply unit is neatly arranged on a gear
drive from the crankshaft thrust collar, with a
single intermediate gearwheel. Engines with five
or six cylinders have two fuel supply pumps and
two servo oil pumps. Engines with seven and
eight cylinders have three fuel supply pumps.
RT-flex engines are able to run in a very
stable manner at very low speeds, slower than
camshaft-type engines. This is made possible by
the precise control of fuel injection, optimised
injection pressures, optimised valve timing, and
shutting off individual injectors at low speeds.
RT-flex engines can run without smoking at
12% of their nominal speed or even slower.
This was demonstrated when, during sea trials,
the main engine in the Aristidis was able to run
stably at 15 rpm.
The RT-flex system gives important benefits
in environmental compliance. The most
obvious is smokeless operation of RT-flex
engines at all engine speeds. The flexibility of
the RT-flex system also allows a good balance
between fuel consumption and compliance
with NOx regulation in the MARPOL 73/78
convention.
By allowing injection pressures to be
optimised at all loads, RT-flex engines
consume less fuel at part load than
conventional camshaft-type engines.
Advantage has been taken of the complete
flexibility in fuel injection and valve operation
allowed by the common-rail system to offer,
through Delta Tuning, even lower specific fuel
consumption at less than 90% load.
Some design features
A close look through the design of the
RT-flex50 confirms its similarity to other
Wärtsilä RTA and RT-flex engines. It is
designed throughout for structural safety, high
reliability and long times between overhauls,
which are expected to be required after a
minimum of three years’ running.
For example, the RT-flex50 has the latest
piston-running features which allow very
low cylinder-lubricating-oil feed rates
(0.9–1.1 g/kWh) but with very low wear
rates. These features include fully-deephoned cylinder liners, chromium-ceramic
top piston rings, chromium-plated piston p
[ INSIDE MARINE ]
[ RT-FLEX50 ENGINES ]
Twentyfour7.
in the lower part. Losses of system oil are
minimised as all scraped-off oil is recirculated
internally to the crankcase.
The bore-cooled cylinder cover is secured
by eight elastic studs. It has a single central
exhaust valve housed in a bolted-on valve cage.
Shop testing and sea trials
The first production RT-flex50 engines,
including those for the Aristidis and Credo.
successfully completed their official shop
tests in summer 2005. The tests included the
comprehensive testing programmes which are
normal for a new engine design, together with
type-approval tests for the RT-flex50 engines
and the WECS-9520 electronic-control
“Shop tests were
completed with
excellent results.”
The first Wärtsilä 6RT-flex50 engine in the final stage of assembly at Diesel United’s Aioi works in Japan.
ring grooves, an anti-polishing ring at the
top of the liner, optimised cylinder-liner
surface temperatures, and optimised cylinder
lubrication using the long-proven loadcontrolled accumulator system.
The scavenging system employs the latest
high-efficiency turbochargers. Particular
care has been taken to ensure efficient water
separation after the scavenger air cooler.
The high-efficiency separator is located in
an underslung air receiver so that air swirl
aids water-droplet separation. Ample
drainage is provided.
The engine structure has been designed
using the latest computer-based tools and
techniques fully incorporating knowledge
from existing engine types. The whole
is very sturdy with low stresses and high
stiffness. The double-walled bedplate has an
integral thrust bearing. The double-walled
column has thick guide rails for rigidity
under crosshead shoe forces.
The main, bottom-end and crosshead
bearings all have white-metal running
surfaces. The crosshead has a full-width
lower-half bearing with the crosshead pin
being of uniform diameter.
The piston-rod gland is of a proven design
with highly-effective dirt scraping action in
the top part and system-oil scraping ability
systems now incorporated in RT-flex engines.
The engines completed the shop tests with
excellent operating performance results. The typeapproval tests were passed on 13 August 2005.
Sea trials for both vessels proceeded
according to schedule with no major
engine-related problems. The usual minor
adjustments to the WECS electronic control
systems were made since the actual response of
the engine to ship and propeller in shipboard
operation cannot be fully simulated during
shop tests.
The only unexpected feature of the RT-flex
system was the higher-than-anticipated
consumption of compressed air for building
up rail pressures when starting. In all other
respects both engines started well and
demonstrated very good low-speed operation,
with stable running at speeds down to 15 rpm.
After completion of the sea trials, a detailed
inspection was made of the engine onboard
Credo and one cylinder in the engine was
opened for examination. All running parts
were found to be in good condition. The
piston crowns had the heavy carbon deposits
that are usual after low-speed running but no
deposits were found below the top rings. The
piston rings and cylinder liners were all in
good condition.
AUTHOR IS PRODUCT MANAGER,
WÄRTSILÄ IN SWITZERLAND
Service to remember
*Sign off
It’s handy to
know specific
customs.
more on page 73
AT YOUR SERVICE | TRAVELLERS’ GEAR | HISTORY CORNER | LITTLE ENGINEER | MY PARENTS
71
Twentyfour7. 71
[ S I GN O FF ]
When you lean back at the dinner
table after an exhausting day, how
would it feel if a waiter were to
arrive with a refreshing drink - just
before you decided to order one…
In these pages we hope to
give you moments to relax with
“something sweet” – far from all
the things you usually face at work.
sign off
[ AT YOU R SERVICE ]
T E X T: M A R I S A B E R I S A P H OTO : I L P O M U ST O
Afternoon tea
– with style
IN THREE WORDS, the London-based Mandarin
Oriental Hyde Park is all about anticipatory customer
service. Visit this luxury hotel once and the next time you
arrive, the staff will remember your name. Otto Hannuksela,
Assistant Manager at the Park Restaurant, makes sure that
customers leave the dining room with wide, satisfied smiles.
HOW ARE CUSTOMERS KEPT SATISFIED?
The key is tailored service. We look after our guests in a
friendly, discreet manner and, in principle, aim to fulfil
every one of their requests. We’d rather not use the word ‘no’
at all! Service with a smile is a given, and we like to discover
and learn our guests’ tastes and preferences. So when Mr X
enters the Park Restaurant, he’s given his regular table and
asked if he would care to have his usual Apple Martini. We
ensure that every guest feels appreciated and important.
1.
WHAT MAKES PEOPLE COME BACK TO
MANDARIN ORIENTAL HYDE PARK?
Friendly staff. That’s the critical factor – ‘I don’t
know’ just isn’t part of our vocabulary. For example, while the
Park Restaurant menu has more than 50 alternative items, if
a guest cannot find the one that is exactly right, our kitchen
can handle pretty much any request under the sun. We also
serve that famous and very popular English afternoon tea.
2.
HOW DO YOU HANDLE CUSTOMER FEEDBACK?
Very seriously. We address every issue and every
question, no matter how small. Guests can approach
any member of staff and they’ll make sure the issue gets
resolved. Since it’s important to keep all our personnel up-todate on customer feedback, open communication between
staff is crucial. If a guest is unhappy about something, we
do our best to correct the situation. We might, for example,
invite the guest to dinner – on the house!
3.
+
[ T RAVE LLE RS ’ GE AR ]
Photo bank for travel pics
Enthusiastic digital photographers
fill up their memory cards quickly
when on holiday. A handy solution
to this problem is to download the
photos to a portable photo bank.
The Archos™ Gmini 400 device lets
you save and view photos transferred
from a digital camera or computer
(PC or Mac). The device has a
20-gigabyte hard disk and you can
copy digital photos to the unit from
a CompactFlash® memory card. An
adapter for SmartMedia™, MMC,
SD™, Memory Stick® and Memory
Stick PRO™ cards is sold separately.
The Gmini 400 is actually an
entertainment centre that can be
used for listening to music, watching
videos and playing games on the
2.2-inch colour screen.
er
Photoquiz answ
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Keep your belongings dry
Take your mobile phone or camera
with you on the water. Aquapac
waterproof bags protect electronic
equipment, passports, money and
medicine from water or even sand
and come in a variety of sizes. The
patented locking system keeps
all bag models watertight to a
minimum depth of 5-10 metres.
www.aquapac.net
TRAVEL GUIDES
A good opponent
What to do and say – and what not to do!
TEXT: PETER KOOISTRA PHOTO: TOMMI TUOMI
“WHAT I USUALLY TAKE WITH ME when I’m travelling is a dictionary and
a traveller’s guide – Lonely Planet for example. The last one I bought was
the guide for Indonesia. In total, I have about five dictionaries and some
eight travel guides. For longer trips, I take books by Tom Clancy, David
Baldacci and similar writers.
It’s my experience that people are really appreciative it if you can speak
some basic words in their language, if it’s not English. Traveller’s guides
tell something about the country’s culture and history. This really helps in
building a good relationship with customers.
It’s handy to know specific customs, and also things that you should
NOT do. In the case of Indonesia, it was pretty good to know what
had happened during the Dutch colonial period, and especially how
Indonesians view that period nowadays. I really saw that our customers
appreciate the fact that you know something about their nation.
I usually spend about an hour each day studying during the first week
of a trip. After that, I check the guide every now and then, and also when I
have the time to go somewhere on a Sunday – if working on Sunday isn’t
necessary.”
1.
2.
The Mephisto travel chess computer
(1) is a small but educational
opponent when travelling. It’s
ideal for players from beginner to
intermediate levels. You can start
with the easiest level and progress
to tougher challenges with the
help of the computer. The game
includes 64 playing levels, 16 stored
openings and 11 teaching modes.
If you stop playing in the middle
of a game, it will be stored in the
memory for up to 300 hours.
SAITEK GmbH
Get some peace and quiet
Talkative fellow travellers, daylight
or the lively nightlife of a hotel
street are easy to block out with
eye shades (2) and ear plugs.
www.samsonite.com
AUTHOR IS SUPERINTENDENT, FIELD SERVICE, WÄRTSILÄ IN THE NETHERLANDS
sign off
[ H ISTO RY CO RN ER | LITTLE ENG INEER’S PAG E ]
AMUNDSEN
SHOWED THE WAY
TEXT: INGELA NILSSON
The great breakthrough
for diesel engines came in
1912 when the renowned
Norwegian polar explorer
ROALD AMUNDSEN reached
the ice barrier at the South
Pole with Fram, a research
vessel. Fram was equipped
with a 180 BHP ‘Polar’
diesel engine supplied
by AB Diesels Motorer.
Despite the extremely tough
conditions, the engine
worked perfectly and after
a satisfied Amundsen
returned to civilisation
at Hobart in Tasmania,
he sent a telegram to the
manufacturer saying “Diesel
engine excellent”. Engines
subsequently manufactured
were given the name ‘Polar’
which still is a registered
trademark.
The first Polar engine was
delivered by AB Diesels
Motorer in Sweden. In 1917
the company merged with
Atlas Diesel, who sold their
engine manufacturing
activities to Nyqvist & Holm
(NOHAB) in Trollhättan
in 1948. In 1979 NOHAB
became a Wärtsilä company.
AUTHOR IS EXECUTIVE ASSISTANT,
WÄRTSILÄ IN SWEDEN
Tearaways on wide wheels
A big boy’s game for relaxing after a heavy week at work.
T E X T: K R I ST I I N A K U I S M A P H OTO : TO M M I T U O M I
ALTHOUGH LEARNING how to handle radio-controlled cars
is easy, the possibilities for trimming and enhancing their
performance make it a challenging hobby, even for people
who have plenty of experience. And those who want to get
everything possible out of their cars build them from scratch. As
construction of a real competition model demands more waking
hours than there are in a weekend, hobbyists desperate to get
going purchase their toys ready made.
There are two schools of thought among radio-control
enthusiasts concerning power sources. One swears by
electric motors, for the other, liquid-fuelled motors are the
only possible choice.
Electric motors get their power from rechargeable battery
packs. Today’s motors are efficient and a single charge can
provide 10-30 minutes driving time. As recharging takes about an
hour, it’s a good idea to have two or three packs with you so that a
shortage of current doesn’t cut your driving session short.
Electric motors are considered foolproof. Safe for use by young
hobbyists, they are also almost silent. Liquid-fuel motors use a
combination of methanol, nitromethanol and oil which is sold
ready mixed. Each tankful provides 15-30 minutes driving and you
can start immediately after refuelling.
Liquid-fuelled motors usually
promise better performance, and
for dedicated enthusiasts, it’s the
combination of noise and smell that
make model-car racing feel real. Each
engine’s ability to perform depends
on a reliable fuel supply, a glow plug
in good condition, and a carburettor
that’s adjusted correctly.
The massive wheels of the Giga
Crusher Twin .26-Engine 4WD
Monster Truck are driven by two
liquid-fuelled motors, each of which
has its own fuel tank. Together, the
two motors produce five horsepower.
As the chassis has double wishbones
and twin shock absorbers on each
wheel, it should be able to withstand
the most punishing demands of its
tearaway drivers.
KYOSHO GIGA CRUSHER TWIN .26-ENGINE
4WD MONSTER TRUCK EUR 1,000
When you have a passion
for something, it doesn’t
matter if you’ve made
it or not.
WE SERVICE ANY ENGINE.
sign off
[ MY PAREN TS ]
WHAT DOES MY MOTHER/FATHER
DO IN WÄRTSILÄ?
“He is working hard with his tiny
little hand by the computer.
He writes big paper notes and
he is gentle and nice. I would like
to come to work with my father.”
– JULIANA EKLUND, 5 years
(DAUGHTER OF ANDERS EKLUND, GENERAL MANAGER FOR PRODUCT
ENGINEERING IN DELIVERY CENTRE VAASA, FINLAND)
“He sits and writes at his computer
all the time. Sometimes he travels
and builds up a power plant.
Well, he doesn’t build them by himself.
He just decides who drives
the hoisting crane and so on.”
– JULIA VESTMAN, 6 years
(DAUGHTER OF KIM VESTMAN, PROJECT MANAGER
IN THE CUSTOMER ASSISTANCE CENTRE, FINLAND)
WHAT KIND OF ENGINE IS NEEDED
TO MAKE A SHIP MOVE?
“Well, all kinds of engines: white or
black. Maybe the engines are black.”
– JENNY HUHMARSALO, 4 years
(DAUGHTER OF MARKO HUHMARSALO,
PROJECT MANAGER IN SERVICE PROJECTS, FINLAND)
“It is moving on the water”
– ALEKSI KAUNISMÄKI, 4 years
(SON OF TAPIO KAUNISMÄKI, WORKSHOP MANAGER
FOR PART WORKSHOP IN DELIVERY CENTRE VAASA, FINLAND AND
ELINA KAUNISMÄKI, DEPARTMENT ASSISTANT IN HUMAN RESOURCES,
FINLAND)
WHAT IS A POWER PLANT
NEEDED FOR?
“A power plant is needed in a ship.
And if there is problem in the ship,
you can go in there and
get help from the plant.”
– ESSI HUHTANEN, 7 years.
(DAUGHTER OF VELI-MATTI HUHTANEN, MANAGER FOR ELECTRICITY
AND AUTOMATION WITHIN PRODUCT ENGINEERING IN DELIVERY
CENTRE VAASA, FINLAND)
Imagine what
passion can do.
WE JUST LOVE ENGINES.
45°W
0°
45°E
90°E
135°E
WÄRTSILÄ NETWORK
75°N
45°N
0°
strikes Nevada gold
MORE ON PAGE 51
[ SO LUT IO N ]
45°S
90°W
Twentyfour7.
p 01.2006
R E P O RTAG E
NO. 01.2006
Twentyfour7.
i

Wärtsilä Quarterly Magazine

Transcription

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