Tokyo, March 10, 2015 — Fuji Electric Co., Ltd. (TSE: 6504) (“FE”), headquartered in Tokyo, Japan, led by President Michihiro Kitazawa, is pleased to announce that it has been awarded a contract for a power generating unit for the Þeistareykir Geothermal Power Plant in the Republic of Iceland (“Project”).
1. Contract Description
This contract has been awarded by the National Power Company of Iceland (Landsvirkjun) to the consortium consisting of FE and Balcke-Dürr GmbH of Germany and FE will design, manufacture and supply the steam turbine and generator, which will be installed and commissioned on site in Iceland and delivered to Landsvirkjun.
2. Fuji Electric’s Geothermal Power Generation Business
Geothermal power generation can be used as a base-load power source that provides a stable power supply while using steam and hot water in the ground, which are renewable energy sources. Development of geothermal power stations is in progress not only in Iceland but also in the countries all over the world where high geothermal resource potential exist: Asia, Africa and Latin America, and Japan as well.
Since 1960, FE has delivered a total of 71 geothermal steam turbine power generation units providing a capacity of 2,787 MW in Japan and overseas (of which six units with a capacity of 219 MW have been delivered to Iceland) and, in the decade from 2004 to 2013, FE achieved the world’s largest market share (40%) with 21 units delivered providing 1,068 MW. FE continues meeting customer needs by providing highly-reliable power generation facilities and services, which are proven by long term operating experiences and track records in geothermal atmosphere which causes corrosion and erosion, and fulfilling social needs including that for a low-carbon society.
Situation of Geothermal Power Generation in Iceland
Iceland is actively making use of renewable energy and over 99% of its annual electric power is generated from renewable energy sources. The percentage of geothermal power generation is over 27%, next to hydroelectric power generation, and construction of multiple geothermal power stations is planned for the future, since it has the world’s sixth-highest geothermal resource potential.*
*Source: Japan Oil, Gas and Metals National Corporation