Episode 75 | Holistic Hybrid | Wärtsilä





We've heard from guests who have offered alternatives to diesel-powered generation. Conventional wisdom holds that this solution—often found on small islands—is dirty, expensive and inefficient.

Finland's Wärtsilä Corporation was a chance to clarify some of those misconceptions. The company has been operating for over 185 years. Diesel engines were first developed for the shipping industry in 1938. In the 1960s, Wärtsilä developed electric generation with its diesel engines.

Risto Paldanius, Wärtsilä's Director of Business Development, Energy Storage and Optimization, says the engines are much cleaner than you would think. For instance, plants employ a selective catalytic reduction (SCR) scrubber, same as larger power plants.

As Risto's title suggests, he believes the company is poised for another disruption in its long history. He says renewable energy is especially complementary to their engine's most versatile quality.

"[Renewables are] very beneficial for our engine business," he says, "because the engines are very flexible, with the starting and stopping, and high efficiency."

These engines, like combustion turbines, generate power much more quickly than thermal generation, like coal-fired, nuclear, or gas-fueled steam turbines.

Risto says they discovered this unique potential during a visit to Colorado about 10 years ago. His team was told their plant was not running that day, even though the electric dispatcher in Denver told them they loved the facility.

"He said, 'With this power plant, it gives me time. And then I can see what happens with the wind. It may not go as low as before, so I might not need to start the plant.'" says Risto. "Then we [Wärtsilä] started to understand there, there's probably a role for this kind of flexible, fast-starting/stopping plants."

The solution they unveiled in April 2019 was the "Engine+ Hybrid Energy" solution, as they call it. It combines Wärtsilä's diesel/gas-powered engines, renewable energy, and storage to create a reliable and efficient energy system throughout the day. Greensmith, acquired in 2017, provides a software-based energy management solution to balance these assets.

While Wärtsilä is technology neutral, Risto says they are currently using lithium ion batteries for their recent projects because it "is the most cost-competitive solution." He adds that they have considered sodium-sulfur batteries, and are also exploring lithium ion + flow batteries.

The results are considerably more renewable energy usage, and far less conventionally-fueled electricity, combined with smart energy storage policy that doesn't overrun the battery cycles. Though islands and developing regions would be ideal for this solution most of the business, Risto believes this concept will spread. "I think with a true hybrid system, islands will lead the way," he says. "The [Wärtsilä client] islands this year are probably going to reach 65% of energy produced by renewables."

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