New Opportunities for Small Thermal Power Plants in China

In China, the Wangtai Thermal Power Plant resembles more than just a dirty and dangerous power plant; it is a high-tech factory that provides cleaner and more efficient energy production. It is the face of modern energy production, and Cat^® equipment is at its heart.

The resource behind this new age of energy is coal-bed methane (CBM). Found in coal and highly flammable, CBM is more commonly known as a "killer gas" and is the number one cause of death in China's coal mines. In the past, to ensure mine safety, CBM had to be discharged into the atmosphere. But since 2007, the Wangtai Thermal Power Plant has been using Cat® gas powered generators to convert this killer gas into a valuable source of energy.  

The plant, affiliated with the Jincheng Anthracite Mining Group, was established in 1991 and initially used coal gangue for thermal power generation. Since then, prompted by the government initiative "Clear Water & Blue Sky" to control pollution and promote a cleaner environment, the plant has transformed itself. According to Jia Baoguo, the plant's production director, the 21 Cat G3520C CBM generator sets they bought had three profound impacts on the plant.

First, Cat equipment simplified and sped up processes at the plant. With their detailed instructions, the power generator sets are more stable and easier to operate compared to plant's previous equipment.  "Cat machines are much more adaptable than our old turbine-generators," said Jia, who says he also appreciates the improved safety of the Cat equipment. "In the past, a turbine-generator took over an hour to start. Cat machines start immediately."

Second, the Cat power generation sets have increased the plant's efficiency. The plant now needs just 400 employees compared with 1,000, not only increasing company profits but also employees' pay. With the CBM experience from the Wangtai Thermal Power Plant, the excess workers have transferred to nearby plants where their skills are utilized.

Finally, the environment in and around the plant has improved drastically. Not only is the air cleaner, but exhaust produced by CBM power generation can be used to heat water or as a source for heat. "Now that we have CBM power generation, working conditions and quality of life for employees have improved a lot," Jia said. "What used to be a 'killer' in the coal mines is now a valuable resource."

After completing the Wangtai plant, the company converted the Chengzhuang Thermal Power Plant to use CBM, making the company a specialist in power plant conversion. The Jincheng Anthracite Mining Group is committed to the development of a sustainable economy and strengthening the power industry. By 2015, the group hopes to generate over 2.2 billion kWh of electricity and become a leading green power generation company. 

The development of a low-carbon economy has always been very important to the Chinese government.  As the energy industry transforms, Caterpillar is quietly providing the impetus for transforming Shanxi from a coal-dependent region into a sustainable province.