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Siberian Power to Be Generated with Chinese Equipment
The Siberian Coal Energy Co. plans to use Chinese turbines and generators in its new electricity plants. That is a move to counteract the shortage of equipment expected once RAO UES of Russia begins its large investment program. SCEC general director Vladimir Rashevsky told Kommersant that the company may begin buying Chinese equipment in the next five years.
SCEC deputy general director Sergey Mironosetsky noted that Chinese equipment is cheaper than Russian and has equal efficiency indicators. “While the cost of construction of a coal station is estimated at $1100-1400 per 1 kW in our country, in China it is $600-700 and the building time averages 18 months,” he said.
More than 100 GW of new electric capacity went on line in China in 2006, a record amount throughout the world. While Russian heavy industry sees China as a potential competitor, not a lot of Chinese machinery is expected to be seen in Russia in the next five years. “The Chinese economy is growing fast, and that means that Chinese manufacturers of electricity-generating equipment will be working on the domestic market,” commented Ivan Shevchenko, corporate director of EmAlyans. “In addition, Chinese equipment is not certified in Russia. Finally, the idea that the Chinese always offer low prices is a myth. As far as a know, European concerns like Siemens and Alstom successfully compete with the Chinese on their own market.”
There is also the question of transporting the massive equipment over long distances, and the fact that Western-made equipment is more efficient than Chinese. Nonetheless, a shortage of generating equipment is expected in Russia. A source at Mosenergo said that that shortage is already being felt. “We are forced to order equipment from Western companies,” the source said, “since there are too few domestic manufacturers and their products do not always satisfy us with their quality. Several types of equipment are not made here at all.” The source said that orders placed with Western companies take several months longer to fill. He noted that there is a worldwide boom in electric plant construction right now, as a result of which not only construction material but engineering companies are in extremely high demand.
The equipment necessary to build the 34.2 MW of capacity planned by RAO by 2010 will cost 700 billion rubles. The company is counting on the use of Russian equipment, according to Marita Nagoga, head of the RAO press department.
www.kommersant.com
All the Article in Russian as of Mar. 20, 2007
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