Finnish technology group Wärtsilä has announced the ground-breaking of the 90MW combined heat and power (CHP) plant in Dresden-Reick, Germany.
The ceremony marks the start of construction of the project for which Wärtsilä secured an engineering, procurement, construction (EPC) contract from public utility company DREWAG.
The power plant will be equipped with Wärtsilä’s eight 31SG gas engines, which will have the capacity to deliver up to 90MW of electricity, as well as 84MW of district heating output, for the city of Dresden.
DREWAG managing director Dr Frank Brinkmann said: “The new CHP plant enables us to provide a concrete response to the energy transition in Dresden.
“We are focusing on renewable energies as well as on security of supply because the plant with its high flexibility of use and black start capability does both.”
DREWAG has commissioned the CHP plant that will ensure reliable energy supply and build the renewables share.
The EPC contract was awarded to the Finnish company in January last year.
Wärtsilä is currently carrying out foundation works at the site, and the CHP plant is expected to begin its commercial operations by next year.
By late-2020, Wärtsilä is planning to deliver its 31SG natural gas-operated engines.
The company has also agreed to maintain the CHP plant for ten years under a Wärtsilä Guaranteed asset performance solution, with a five-year extension option.
Wärtsilä Europe Energy Business director Pekka Tolonen said: “We are very excited about this major CHP project. It represents an important milestone for us in the German market with our new and extremely flexible Wärtsilä 31SG engines.
“It is great that DREWAG has committed to applying the latest flexible power generation technology, which enables the share of renewables to be increased by ensuring that the plant will start very quickly and operate reliably in variable conditions.”