Siemens Energy to Stop Support for Development of New Coal-Fired Projects
The company will continue to develop CO2-reducing services and solutions
November 12, 2020
Germany’s Siemens Energy has announced that it will discontinue support for new coal-fired power projects.
However, the company will continue to offer new technologies like gas-fired projects and components for combined heat and power (CHP), waste heat, and biomass co-firing projects. The new technologies offered by it include sector coupling to drive the energy transition and fight the impact of global warming with Power-to-X solutions and green hydrogen as the main components.
According to a BSE filing, the company will continue to develop its CO2-reducing service and solutions businesses.
The decision to walk away from coal-fired projects will not significantly impact the company’s revenues and financial health, according to the company. Currently, it does not have the competencies to provide utility equipment for new coal-powered projects.
As per the company’s statement, Siemens Limited will explore opportunities to further strengthen its alliance and collaboration with Siemens Energy in new areas to provide new and sustainable energy in India.
Siemens Limited’s revenue for the quarter ended September 30, 2020, stood at ₹136.8 billion (~$1.8 billion), and the profit after tax for the period stood at ₹10.8 billion (~$145.5 million). The revenue from gas and power was ₹51.7 billion (~$696.6 million), and the profit from operations was ₹6.9 billion (~$92.9 million) for the quarter ended September 30, 2020.
Coal is fast losing its ground. Recently, General Electric also announced its plans to exit the new-build coal power market. The company said that it would focus and invest in its renewable energy and power generation businesses. It would work to make electricity more affordable, reliable, accessible, and sustainable.
Meanwhile, India’s largest coal-fired power generator, NTPC Ltd, aims to transform itself into the country’s biggest renewable energy producer and refrain from acquiring land for new thermal power projects. By 2032, state-owned NTPC plans to add 32 GW of renewable generation capacity to its portfolio through organic and inorganic routes.