MWM on the Energy Reform in Germany: Cut Energy Costs and Boost Your Company’s Competitiveness with CHP Plants
For the industry, energy prices are an important cost factor and have a significant influence on the competitiveness, especially for energy-intensive operations. With revenue amounting to about €330 billion (18 percent of the revenue of the entire processing industry), energy-intensive industries occupy a key position in the national economy, as they deliver vital resources and materials for industries such as the automotive, electrics, packaging, construction, and engineering sectors.
Highly efficient CHP plant with nine MWM gas engines TCG 2032 V16 in the GLOBALFOUNDRIES chip factory in Dresden, Germany
Every year, energy-intensive industrial enterprises spend more than €17 billion on energy. For energy-intensive production in Germany to remain feasible and competitive on a global scale, energy prices must be regarded as a critical location factor.
With its fees, charges, and levies, the electricity price for non-subsidized industrial enterprises in Germany is among the highest in Europe. According to the report of the “Growth, Structural Change, and Employment” Commission, the total power expenditure of the German industry climbed from about €22 billion to about €27 billion from 2010 to 2014. For energy-intensive operations that do not get their power from internal power plants, the average electricity price in 2018 was about 84 percent higher than in 1998 and 184 percent higher than in 2000. This results in a significantly higher financial burden especially for energy-intensive medium-sized industrial enterprises in sectors such as construction materials, chemicals, glass, non-ferrous metals, paper, and steel.
To reduce electricity prices for energy-intensive industries on a long-term basis, the “Growth, Structural Change, and Employment” Commission encourages the transition to CHP (combined heat and power) plants with flexible operation in the context of the energy reform. MWM’s highly efficient gas-fired CHP plants enable the implementation of modern, custom-tailored power plant solutions for secure, clean, and affordable distributed energy supply, which are especially suitable for the needs of energy-intensive operations.
MWM: Partner for Sustainable Energy Concepts
In order to guarantee payback on investments, long-term planning security is of great importance to enterprises. Together with MWM as a partner, the most suitable individual energy concepts can be elaborated and rolled out to master the structural and energy reform in Germany in an efficient, secure manner.
The transition to gas-fired CHP plants for distributed energy generation is not only attractive for energy-intensive industrial enterprises. Energy-producing companies such as municipal utility providers can also benefit from the economic advantages of combined heat and power plants. For example, the Würzburg municipal utility provider takes an active part in the control energy market with the installation of two MWM TCG 2020 V12 gas engines in a CHP plant.
The replacement of the natural gas-fired engines with the new gas engines saves resources and makes the location more efficient. Thanks to the flexible operation of the CHP plant, the Würzburg municipal utility provider’s location is able to enter the control energy market. Apart from maximizing their income, operators that switch to flex operation will be able to run their plants efficiently even after the EEG subsidy runs out. Further information:
- Report of the “Growth, Structural Change, and Employment” Commission (in German)
- MWM CHP Plants and Cogeneration Power Plants
- MWM Gas Engines and Power Gensets
- MWM Cogeneration Plants for Commercial and Industrial Facilities
- Press release: Modernization of Heuchelhof Cogeneration Power Plant: ETW Energietechnik Supplies Würzburg Municipal Utility Provider with Two MWM TCG 2020 Gas Engine Gensets for Entry to Control Energy Market