Almaty-2 power station

From Global Energy Monitor

Almaty-2 power station (ТЭЦ-2 имени А. Жакутова, АО "АлЭС" Алматинская ТЭЦ - 2) is an operating power station of at least 510-megawatts (MW) in Almaty, Alatau, Kazakhstan with multiple units, some of which are not currently operating.

Location

Table 1: Project-level location details

Plant name Location Coordinates (WGS 84)
Almaty-2 power station Almaty, Alatau, Almaty, Kazakhstan 43.29292, 76.798519 (exact)[1]

The map below shows the exact location of the power station.

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Unit-level coordinates (WGS 84):

  • CC1, GT1, GT2, Unit 1, Unit 2, Unit 3, Unit 4, Unit 5, Unit 6: 43.29292, 76.798519

Project Details

Table 2: Unit-level details

Unit name Status Fuel(s) Capacity (MW) Technology CHP Start year Retired year
CC1 Construction[2][3][4][5][6][7][8][9][10][11][12][13][14][15][16] fossil gas: natural gas[17][15][18] 200[3][19][20][21][22][7][15] combined cycle[6][15] yes[15][23] 2026 (planned)[2][3][21][22][14][15][24][25]
GT1 Construction[2][3][4][5][6][7][8][9][10][11][12][13][14][15][16] fossil gas: natural gas[15] 179[7] gas turbine[15] yes[15] 2026 (planned)[2][3][21][22][14][15][24][25]
GT2 Construction[2][3][4][5][6][7][8][9][10][11][12][13][14][15][16] fossil gas: natural gas[15] 179[7] gas turbine[15] yes[15] 2026 (planned)[2][3][21][22][14][15][24][25]
Unit 1, timepoint 1 Operating coal: bituminous 80 subcritical yes[26] 1980 2026 (planned)[2]
Unit 1, timepoint 2 Cancelled[18][26][27] fossil gas: natural gas[18][17] 80[28][29] steam turbine[28] yes[26]
Unit 2, timepoint 1 Operating coal: bituminous 80 subcritical yes[26] 1981 2026 (planned)[2]
Unit 2, timepoint 2 Cancelled[26][27] fossil gas: natural gas[18][17] 80[28][29] steam turbine[28] yes[26]
Unit 3, timepoint 1 Operating coal: bituminous 80 subcritical yes[26] 1983 2026 (planned)[2]
Unit 3, timepoint 2 Cancelled[26][27] fossil gas: natural gas[18][17] 80[28][29] steam turbine[28] yes[26]
Unit 4, timepoint 1 Operating coal: bituminous 50 subcritical yes[26] 1989 2026 (planned)[2]
Unit 4, timepoint 2 Cancelled[26][27] fossil gas: natural gas[18][17] 50[28][29] steam turbine[28] yes[26]
Unit 5, timepoint 1 Operating coal: bituminous 110 subcritical yes[26] 1989 2026 (planned)[2]
Unit 5, timepoint 2 Cancelled[26][27] fossil gas: natural gas[18][17] 110[28][29] steam turbine[28] yes[26]
Unit 6, timepoint 1 Operating coal: bituminous 110 subcritical yes[26] 1989 2026 (planned)[2]
Unit 6, timepoint 2 Cancelled[26][27] fossil gas: natural gas[18][17] 110[28][29] steam turbine[28] yes[26]

CHP is an abbreviation for Combined Heat and Power. It is a technology that produces electricity and thermal energy at high efficiencies. Coal units track this information in the Captive Use section when known.

Table 3: Unit-level ownership and operator details

Unit name Owner Parent
CC1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
GT1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
GT2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 1, timepoint 1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 1, timepoint 2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 2, timepoint 1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 2, timepoint 2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 3, timepoint 1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 3, timepoint 2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 4, timepoint 1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 4, timepoint 2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 5, timepoint 1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 5, timepoint 2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 6, timepoint 1 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]
Unit 6, timepoint 2 Almaty Power Plants JSC [100%][30] Samruk-Energo JSC [100.0%]

Unit-level fuel conversion details:

Unit 1: Planned conversion from coal to fossil gas cancelled.

Unit 2: Planned conversion from coal to fossil gas cancelled.

Unit 3: Planned conversion from coal to fossil gas cancelled.

Unit 4: Planned conversion from coal to fossil gas cancelled.

Unit 5: Planned conversion from coal to fossil gas cancelled.

Unit 6: Planned conversion from coal to fossil gas cancelled.

Project-level coal details

  • Coal source(s): Ekibastuz coal basin

Background

The Almaty-2 power station is owned and operated by Almaty Power Plants JSC, which is fully owned by Samruk-Energo, which in turn is owned by the National Welfare Fund of Kazakhstan Samruk-Kazyna. Almaty Power Plants also includes Almaty-1 power station and the Almaty-3 power station. The plant is a combined heat and power station in Almaty, Kazakhstan.[31] The 510 MW power station has plans for additional gas-fired units of up to 600MW which will replace the existing coal-fired units by 2026.

The 510 MW power station is the largest thermal power plant in the region and provides Almaty with 60% heat supply and 40% electricity.[32][33] Due to its capacity, the power station is deemed the most polluting out of the three Almaty power stations.[34] In September 2017, then President Nazarbayev instructed the Akim (Mayor) and Samruk-Kazyna SWF JSC to take measures to transfer Almaty-2 power station to gas by 2020 and to complete the gasification of the private sector.[35]

Almaty-2 power station and Almaty-3 power station burn about 3 million tons of coal per year. The only fuel supplier is Bogatyr-Komir LLP.

The only supplier of natural gas in the region is KazTransGas. The chain of ownership leads to the Government of Kazakhstan. "KazTransGas Aimak" is 100% owned by JSC "KazMunayGas", which is divided between the National Welfare Fund "Samruk-Kazyna" (90%) and the National Bank of the Republic of Kazakhstan (10% + 1 share).[34]

Proposed conversion to gas

Discussions about converting CHP-2 from coal to gas began in 2017 following an official decree by former president Nursultan Nazarbayev to reduce air pollution.[36][37] The initial conversion was targeted for 2020.[37]

As of 2020, Samruk-Energo JSC was planning to convert the plant's coal units to gas units.[38][39]

In 2021, the company noted that the power station would be able to operate for another 10 to 15 years and proposed installing emission controls at the power station to reduce emissions. In addition, the company proposed to finalize a feasibility study to convert the power station to gas.[40]

Original proposal (cancelled)

After considering four separate options, estimated to cost between 100 and 560 billion tenge (US$0.3 to 1.3 billion),[41] a feasibility study was reviewed by the state expertise (RSE, or РГП «Госэспертиза»). In April 2021, the company received a negative conclusion on the proposed study, in part because of the boiler locations.[40] As of May 2021, the company was revising the feasibility study to address comments from the state expertise.[42] According to planning documents, it appears the company must develop a feasibility study for the project and make a decision on the implementation of projects to reduce emissions, in coordination with authorized bodies, by December 31, 2021.[42] In November of 2020 it was estimated the conversion to gas could be completed by 2025.[43] Based on the company’s financial statements, the cost estimates of the selected conversion plan increased from 98 billion tenge (US$229 million) to 131 billion tenge (US$306 million) in 2021.[42] Coal ash waste storage on site may reach its capacity by 2024 which has been cited as one of several reasons to swiftly convert the coal units to gas.[32] In April 2021, the initial proposed project did not receive the government approval. One of the reasons was an increase in total estimated cost by more than 30 billion tenge.[44]

New proposal

A new proposed project has been announced in July 2021 and includes construction of a new combined cycle gas power plant at the same location as the existing coal power station. The project is expected to undergo expert examination by December 2021 and is supported by the President of Kazakhstan.[45][46] According to a news source from November 2021, after the construction of the new gas-fired units, the coal-fired units will be mothballed and kept as a backup in case of emergencies. Construction was expected to start in the spring of 2022, and the first gas-fired unit was expected to be commissioned by the end of 2023.[47] The entire combined cycle unit is expected to be commissioned by 2025.[48] As of April 2022, the project proposal was submitted for government approval.[49] The proposed capacity ranges from 250 MW[50] to 400 MW[48] to 600 MW[51], depending on the source.

As of November 2022, the contractor for the supply of equipment, design and construction of a new gas station up to 600MW at the site of Almaty CHP-2 was to be determined based on the results of a two-stage open international tender, with the commissioning date for the whole unit moved a year to 2026, and the start date for the first turbine moved to 2024.[52][53] The technical specification for the selection of an EPC contractor and the draft EPC contract were developed according to the FIDIC (International Federation of Consulting Engineers) Yellow Book. The first stage was to last until December 15, 2022.[54]

According to the EBRD project summary, the project will be developed in three phases with the first phase consisting of a 200 MW unit. The total duration of modernization of Almaty CHP-2 will be 65.5 months during 2022-2026. The current planned configuration of the main equipment of gas turbine units for the new CHP as per the feasibility study prepared by APP is as follows: 1) one combined-cycle gas power unit (CCGT); 2) two gas turbine power units with cogeneration. CHP-2 will be modernized within the existing site; additional land acquisition is not envisaged. Modernization will be performed so that existing equipment could be operated in parallel and be mothballed afterwards. The power plant will provide electricity, heat for heating, hot water supply during the heating period, and heat for hot water supply during the summer period.[55]

In May 2023 it was announced that the winner of the EPC tender is the consortium of three Chinese companies - Dongfang Electric International Corporation, Powerchina Sepco1 Electric Power Construction Co. and Powerchina Hebei Electric Power Engineering Co.[56] The cost of the project according to the EPC-contract is 330 billion tenge.[57] The same month, the government of Kazakhstan approved the General Roadmap for the City of Almaty until 2040, which included modernization of the power station.[58] In July 2023, it was reported that the project documentation was being developed.[59]

Also in May 2023, a media source reported that the plant will continue to burn coal until 2030, despite the fact that its transition to gas will is planned to be completed in 2026, said Erlan Kirkinbayev, Chairman of the Board of Almaty Power Plants. "The station is expected to be commissioned in 2026, but until 2030, it will probably operate in parallel mode running on both gas and coal. Mothballing of this coal station will be after 2030."[60]

According to Samruk-Energo, due to the geopolitical situation in the world in April 2023 Siemens Energy (a supplier of gas turbines and generators) announced an extension of the production and delivery deadlines for equipment for Almaty's thermal power plants. Based on the new schedule, delivery is expected during 2025 with the full commissioning of the station in 2026.[61][57] As of April 2024, the construction was in progress.[57][62][63]

In August 2024, it was reported that the construction was proceeding with a slight delay from the schedule, but contractors assured that the project would meet the deadline by the end of 2026. Turbines had already been manufactured in the United States, and boilers in Germany, and testing of the turbines was underway.[64]

Gas infrastructure

Development of gas infrastructure for Almaty-2 and Almaty-3 power stations included construction of four large-scale facilities completed in September 2024: two automated gas distribution stations at Almaty-2 and Almaty-3, a TIP-04 pipeline connection between the Almaty-Bayserke-Talgar Gas Pipeline and Kazakhstan-China Gas Pipeline (part of the Central Asia-China Gas Pipeline), and a second line of the Almaty-Baiserke-Talgar Gas Pipeline.

Financing

In July 2022, the European Bank for Reconstruction and Development (EBRD) disclosed that they would be providing a loan of up to €252 million ($257.6m) for the modernization of the power station. The project is part of the Green Cities Program of EBRD in Almaty and will be implemented under an EPC contract. The conversion aims to reduce carbon dioxide emissions by 3 million tons and improve air quality within the region.[55]

The loan agreement was signed in November 2022 for 130 billion tenge (ca EUR 270 million). A syndicate of Kazakh and international banks would participate in the transaction. Samruk-Kazyna provided corporate guarantee.[55]

Furthermore, an agreement of intent was also signed with the Development Bank of Kazakhstan in November 2022.[54] The Asian Development Bank will be the third bank to provide financing.[65]

In June 2023, loan agreements were signed with the Asian Development Bank (worth 98 billion tenge ($219.2 million)) and with the Development Bank of Kazakhstan. Both loan agreements benefit from Samruk-Kazyna's corporate guarantee.[66][67]

Articles and Resources

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Additional data

To access additional data, including interactive maps of the power stations, downloadable datasets, and summary data, please visit the Global Coal Plant Tracker and the Global Oil and Gas Plant Tracker on the Global Energy Monitor website.