PraEis Ltd. helps in design build of peaker plants and distributed generation in Cleveland

Nov. 21, 2003 — In the power industry PraEis, Ltd. is focused on Gas Turbine Power Generation; Cogeneration-Distributed Generation/Combined Heat and Power (DG/CHP) and Emissions from Coal Fired Generation Plants (Flue Gas Desulfurization-FGD) as a Design Build General Contractor.

The PraEis, Ltd. team has been involved in the design build process of simple cycle peaker facilities providing over 500MW of power for large power generators and they are also focused on the distributed generation and combined heat and power technologies (DG/CHP).

This additional focus allows PraEis, Ltd. to help their industrial clients reduce their reliance on their local electricity generator and inevitably to help them manage energy in a way which will provide them with significant cost savings. Distributed generation power sources range from gensets with outputs of less than 100KW to turbines rated at a few MW. Up to forty percent of a commercial customer’s energy bills can consist of demand charges.

Customers utilizing DG resources can measure, analyze and manage their energy generation and consumption systems in real time so they can more efficiently operate and maintain their facilities by using cost curves to deploy assets and meet price curves.

“For our large industrial clients in the northeastern Ohio area if we can reduce their facility’s load by five percent during peak demand periods they might potentially reduce their price of peak energy purchased by 20 to 50 percent,” states Tom Kerr, President, PraEis, Ltd.

CHP can strengthen the nation’s energy infrastructure as well as the industrial sectors energy infrastructure. A proven form of distributed (on-site) generation (DG), CHP recycles valuable waste heat and turns it into cooling, heating, and power. The result: CHP facilities keep running during power outages or interruptions. And they can even provide power back to the grid during emergencies or periods of peak demand. At the same time by recycling energy CHP lowers energy costs and significantly reduces the impact of power generation on the environment.

At first most vertically integrated electric utilities view distributed generation (DG) as an unprofitable market segment and many times they view it as a threat to their traditional business as well as to their transmission and distribution systems.

There are, however, several electric utilities across the country who have embraced distributed generation (DG) and are utilizing it where they have poorly performing circuits, such as in undersized substations where a 1 to 2 MW increase in power is all they need. The DG solution allows them to hit their peak period needs and defer the capitol investment-which saves everyone money.

Over the past four years about 200,000 MW of new gas fired generating plants have been built, significantly increasing demand for gas while prices continue to rise. Demand for gas is rising and the U.S. gas production is declining. Spot market gas prices climbed to above $6.00/MMBtu in June of 2003, which is almost double the level of a year ago.

“These increases have impacted our industrial clients the most and in many cases make their products noncompetitive in international markets. At PraEis, Ltd. we are focused on combining technology with our clients current energy production capability in order to help them cut their operating costs and reduce their reliance on natural gas,” says Tom Kerr, President, PraEis, Ltd.

Based on the needs of their clients, PraEis, Ltd. is also involved in a program with a company in California which has a patented technology which reduces the Nox (nitrogen oxides) and So2 (sulfur dioxides) emissions from coal fired boilers allowing them to operate well within in the EPA emissions protocols.

“This technology will allow our clients to bring their coal fired facilities back on line and reduce their reliance on natural gas and assist them in lowering their facilities operating costs through the ability to burn a higher sulfur coal and still meet their existing clear air emissions requirements” states Tom Kerr, President, PraEis, Ltd.