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Customized Operation and Maintenance For Fossil Power Plants

Holger Illbruck Siemens AG, Power Generation Germany

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1. Introduction The primary objective of every power plant owner is to get constructed and to operate his plant as cost-effectively as possible to maximize his profit. This means that he has to minimize – besides the investment costs for construction - the life cycle costs, which are influenced by different factors. One of them is the operation and maintenance cost incurrent in course of operation period of the power plant. The power plant utilities are further driven to reduce their life cycle costs by the deregulation of the different power markets. Cost reduction by outsourcing of O&M activities is one opportunity to meet such requirements. This presentation shall give an overview of the O&M Services shown on the example of the Arrúbal project in Spain as well as the approach to customize services in compliance with different clients and market requirements. In general our service experiences are based on operation and maintenance of combined and open cycle power plants being equipped with gas turbines and other OEM components. A track record of the performances of the power plants under an O&M contract is shown exemplary for the power plants Paka (800 MW) and Pasir Gudang (400 MW). Both plants are located in Malaysia and are owned by the Malaysian construction company YTL Corporation. The track record has been published by the operations company YTL Power Services, a joint venture of Siemens AG (51%) and YTL Corporation (49%). After the know how transfer to YTL Power Services was achieved the joint venture contract was terminated as planned in the year December 2001. Since, that date YTL Power Services is a 100% subsidiary of YTL Corporation.

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Options Previous ID266 Next 2. the focus is now. To optimize customer’s benefit and to minimize customer’s risk in the project several service products are available. Power Train or for the whole Plant can be provided. more and more on Long Term Service products. A service package of O&M products can be customized as to meet customers specific needs: comprehensive maintenance programs for Gas Turbine. 2003 12 A wide range of service products from the simple supply of spares to integrated asset management is offered. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.doc/2003-04-09 page 3 of 21 . The scope of such Long Term service products can vary according to customer demands. Range of Service Products Service Product Portfolio Full Scope Full Scope O&M (Lump O&M Sum) Full Scope O&M (Pass Through Accounts) O&M Managers + LTM Full Scope Maintenance Long LongTerm TermMaintenance Maintenace (LTM) (LTM) Turnkey Outages OEM Parts & technical Field Assistance P ole Wh lan t OEM Power Generation Kodierung May 6-8. Due to the recent market developments.

Competence Network It is of great importance to a power plant owner to be informed about the concept of how the fleet experience of an OEM/O&M contractor is introduced and available to his power plant. To fulfill these requirements a competence network has been established. May 6-8.Options Previous ID266 Next 3. The Service Back Offices evaluate and assess all the improvements and distribute this information to the individual Power Plants. thus we deem it as essential to use OEM managers as O&M managers at the power plants. In addition to these procedures annual global O&M manager meetings ensure direct exchange of experience. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.. O&M Competence Network O&M Team Project A Generator Works O&M Team Project B Steam Turbine Works Service Backoffice Gas Turbine Works O&M Team Project C Annual Plant Manager Meeting Engineering O&M Team Project .. The use of OEM managers at the plants facilitates the exchange of information across the plants as well as across OEM works. 2003 Power Generation Kodierung 27 Due to the high availability demand and the life cycle cost reduction requirements of power plants a permanent improvement of the O&M services is requested. Since the experiences gathered by people is among others a significant source of know how. new improvements and developments are being pursued. Depending on the results of this ongoing evaluation.doc/2003-04-09 page 4 of 21 . The Service Back Office located in Erlangen collects all O&M experience of the individual Power Plants.

C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. operation hours. reliability and efficiency of the plant.Structure Power Diagnostics™ Center Data Handling Hardware / Software Plant Technology Servers Central Data Base.1 Power DiagnosticsTM An essential part of the competence network is Power DiagnosticsTM which enables operators to minimize the life cycle costs of power plants and at the same time maximize the output of electrical energy. The drive to reduce life cycle costs results among other things in the reduction of staff and labor costs. Analysis Tools. Whereas the desire to maximize electrical output requires to raise the availability. reliability and efficiency with minimum staff is Power DiagnosticsTM. The Power Diagnostic Center has access to the data monitored continuously at the power plant for all important operation values such as temperature distribution at gas turbine outlet. Rule Based Diagnostics Engineering and Process Specialist ST Specialist GT-Specialist Access Generator Specialist Worldwide Worldwide Network for Remote Service Service Communication Communication Data Acquisition via WIN_TS May 6-8. gas turbine start-up curves. Power Diagnostics™ Services . The Power Plants covered under a long term service contract can be connected via telephone line to the Power Diagnostic Centers in Erlangen or in Orlando. 2003 Data Acquisition Plant 1 Data Acquisition Plant 2 Data Acquisition Plant 3 Power Generation Kodierung 44 • Evaluate the power plant performance.doc/2003-04-09 page 5 of 21 . vibrations. A solution for high availability.Options Previous ID266 Next 3. Experienced plant managers monitor the data in the Power Diagnostics Center and analyze these values with the objective to: • Determine the actual conditions of systems and installed components. performance curves etc.

Generator or Steam turbine. consultancy through specialists for Gas turbine. events or trips. In case of detected abnormal trends. recommendations for detection and prevention of predictive maintenance damages. The Power Diagnostics Center is one of the important features for early C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.Options Previous ID266 Next If needed the Power Diagnostics Center has direct access to specialised OEM know how.doc/2003-04-09 page 6 of 21 .e. i. actions are given.

5 deg deg // day day ~. 2003 May 6-8.doc/2003-04-09 page 7 of 21 .Options Previous ID266 Next Advantages of Remote Monitoring by OEM Benefits of Online Plant Thermodynamics Early detection of abnormal operation Remote diagnostics is more sensitive than equipment protection criteria/thresholds of Identical thermodynamics code for plant design and online monitoring provides I&C highest accuracy due to applied OEM knowledge Profound root cause analysis by applying the entire knowledge of the Original Online Thermodynamics Equipment Manufacturer detects as well decreases in performance of plant components (failures. Organization as a service. carried out by highly trained specialists. 2003 Power Generation Kodierung 49 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. Advantages also it for understaffed In several cases was possible toplants run the faulty equipment under close observation Remote are offered by Siemens PG Power DiagnosticsTM until the performance next planned evaluations outage. Timely Repair Planning By early fault detection and continuous remote monitoring it is possible to optimize the repair process as it can be planned ahead and spare parts can be shipped in advance. degradation) as also drifting measurements (which can have an impact on operation due to I&C settings) Continuous Monitoring gives Customer more security for further operation. May 6-8. 2003 Power Generation Power Kodierung Generation Kodierung 1 50 Analysis of unit data utilizing diagnostic tools can identify problems before they become critical 10 10 5 5 0 0 -5 -5 -10 -10 -15 -15 -20 -25 Learned limits from WIN_TS WIN_TS IN_TS Alarms Alarms W ussions ions with with LT LTP P On going disc uss a nd nd Cus Customer tomer Manager a Slope Change Occurs Over weekend Chann annel el1 1= =g gas as Ch Sub b chan channel nel 1 1= =0 0-5 -5 deg deg IGV IGV Su Upper er Li Limit mit = =5 5 TC # 2 Upp Lower wer Limit Limit = = -1 -11 1 TC # 2 Lo Wk 1 Wk 2 3 Wk 3 ~.5 >1 deg deg //day day >1 -30 -35 -40 T emp Begins to Drop at 1 deg per hour 4 Wk 4 Wk k5 5 W Wk6 6 Wk Wk77 Wk Wk 8 8 Wk Wk99 Wk inspect May 6-8.

ISO Corrected - Offline Compressor Wash GT Online Thermodynamics Trending Screenshot May 6-8. 2003 Power Generation Kodierung 52 Compressor Efficiency .Options Previous ID266 Next GT Online Thermodynamics Module (Screenshot) May 6-8. 2003 Power Generation Kodierung 53 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.doc/2003-04-09 page 8 of 21 .

C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.5 4. RCM Method optimises the number of scheduled maintenance tasks Comparsion of RCM Maintenance workload with time based workload for a Siemens V94.Options Previous ID266 Next 3.5 44.2 Reliability Centred Maintenance A logic supplement to Power Diagnostics with its feature of predictive maintenance is the introduction of a Reliability Centred Maintenance (RCM) method. technicians and others.6 315 119 7500 Percentage Reduction May 6-8.5 4 0 2 24 Electrical 0 0 0 2 0 0 0 0 12 54 2 Operations 52 2253 0 40 14 367 1121 0 30 1460 54 Total 38.2 70 5391 Number of Maintenance Tasks according to Product Manual (Yearly) Total 62.2% 28.doc/2003-04-09 page 9 of 21 .5% 65.2 Gas Turbine YTL Power Service Journal Nov-Dec 1997 Number of Maintenance Tasks Recommended by RCM (Yearly) System Air Intake GT Mechanical Blow Off System Fuel Gas Ignition Diverter Damper Lubricating Oil Governor Control Static Frequency Converter Generator / Transformer Cooling System C&I 2 1 0 16 2 2. maintenance managers. 2003 38.0% 41.5 9 4 0 0 2 Mechanical 0. The RCM Method allows to reduce the number of maintenance tasks specified in the product manuals of the various component suppliers. The expert team will define maintenance schedule with focus on the functionality of systems in the context of the actual operating regime. The component oriented maintenance schedule of the OEM suppliers will be redefined by an expert team consisting of OEM experts.7 10 6 12 2.5 110.1% Power Generation Kodierung 17 As published by YTL Power Services a significant reduction of maintenance tasks has been achieved through introduction of RCM.

which is audited by an independent third party. ISO 9001 or equivalent.doc/2003-04-09 page 10 of 21 . C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. is a measure of growing importance of protection of owner’s assets especially on deregulated markets where beside electrical power also power plants are a merchandise. The Prerequisite: ISO 9001 Certification First Class Power Operation by ISO 9001: • Comparison with global competitors • Transparent processes give common goals and motivation to the staff • Living these processes means maximum control of the technical and financial aspects of plant operation • Maximum Plant Availability • Maximum Plant Profitability • Positive Public Perception • Maximum Staff Motivation May 6-8. Quality means “First Class Plant Operation”. As integral scope of an O&M agreement it is possible to develop and implement a quality system including a third party certification.Options Previous ID266 Next 4. 2003 Power Generation Kodierung 28 The benefit of a quality system can be maximized through combination with a computerized plant management system. Quality A certified quality system. The perception of potential buyers is expected to be influenced positively if all processes related to operation and maintenance are integrated in a certified quality system.

issue and expedite orders for spare parts. material and services. The preferred solution is an intelligent.g. with the help of our IT solution for computerized plant management. Prepare. compiling and archiving information. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. Cost control for spare parts. Monitoring of defects. material and services Process Permit to Work system.doc/2003-04-09 page 11 of 21 . • • • • • • • • • Recording and maintenance of plant documentation. Scheduling and Follow Up of plant outages Management of spare parts inventory. modifications. Control and follow up of deenergizing processes of related systems. The experiences of our O&M projects show that the workload for information management can be limited to about 10% of the daily working hours. A significant cost factor is labor cost for plant staff. plant-wide IT support in the form of a plant management system – in particular for maintenance work. Provision of information on present plant’s conditions. It is considered that 20% till 40% of the working hours are spent for finding. e.Options Previous ID266 Next 4.1 Computerized Plant Management System The increasing competition in power markets is making cost-optimized power plant management indispensable. documentation and spare parts management. failures and their follow up. BFS++TM System.

All this ensures fast. BFS++ utilizes the hardware and software environment already in place in the power plant and also features field-proven interfaces to other systems such as DCS and I&C.Options Previous ID266 Next Tie your Team together Management Shift Maintenance Engineers/ Technicians Workshop Storehouse Doc. smooth integration and high acceptance.5 Days 30 Commissioning Finding Standard Preperation 20 31 10 3 Originial Standard Plan 0 Paka GT11 Paka GT12 Paka GT22 Paka GT21 Pasir GT11 Pasir GT12 Jun 1998 Aug 1998 Nov 1998 Feb 1998 Aug 1999 Jan 2000 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. 2003 Power Generation Kodierung 62 The functions offered by BFS++-System are in line with standard power plant practice (i..000 running hours 50 45 46 YTL Power Service Journal Jan-Feb 2000 3 40 8 28 23 21 17 15. and special needs can be readily integrated as required.. The system is delivered in a reconfigured form with power-plant specific catalogues which consider the fleet experiences also derived from utilizing the fleet data storage collected through applied BFS++ systems. Spares Track Record Hot Gas Path Inspection at 33. Archive . Monitoring Consumables BFS++ Administration May 6-8. 2003 Power Generation Kodierung 31 .e. extensive adaptation is not necessary).doc/2003-04-09 page 12 of 21 May 6-8.

This minimizes client’s initial investments and. through permit to work establishment up to spares cost control and inventory management. It offers it’s users a 3 in 1 solution covering operation. A parameter to measure the stability of processes at a power plant is the downtime for major overhauls.Options Previous ID266 Next Ordering System and electronic documentation. maintenance and administration processes from fault detection. The recorded downtime published by YTL Power Services for six consecutive hot gas path inspections over a period of 18 month shows a steady trend of continuous outage shortening. efficient processes. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.doc/2003-04-09 page 13 of 21 . ensures consistent.

Contract Duration: 12 Years May 6-8. Our experience as operator is represented through more than 33 contracts with more than 12.000 MW installed capacity world wide. Beside this experience our Service organization has more than 90 Long Term Maintenance contracts with more than 35.doc/2003-04-09 page 14 of 21 .000 MW. 94. Through all this several worldwide experience our service organization has put in place a knowledge network sharing all relevant technical information through a home based back office. Spain Plant:: Arrúbal.000 MW.3A Combined Cycle Rating: 800 MW Contract Order: 2002 Contract Structure: Full Scope O&M Mobilization & Operation Fee (fix&var). O&M at Work: Arrúbal. O&M Contracts Our substantial experience in the field of power plants including our commissioning experience is more than 500. Signature of this contract was completed in a fast track negotiation and will cover the full scope O&M for the whole plant for a period of approximately 12 years. Spain Owners: Gas Natural Location: North of Spain Frame: 2x1S. These 3 projects are just an example out of the record. 2003 Power Generation Kodierung 68 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.1 Arrúbal: Arrúbal is Siemens first major O&M’s award in Europe.Options Previous ID266 Next 5. O&M at Work As part of our global experience record of projects we awarded 3 major projects in the last 2 years. In the following the project will be presented in more detail. 6. 6.

Siemens O&M will operate the full plant and maintain all equipment delivered under the EPC contract. ENDESA and Siemens as investors. Morocco Plant:: Tahaddart.doc/2003-04-09 page 15 of 21 .Options Previous ID266 Next 6. Morocco Frame: 1S. 94. Morocco Owners: ONE / ENDESA / Siemens SPV Location: Near Tanger. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. Mobilization & Operation Fee (fix&var). order 12/2002 Contract Structure: Full Scope O&M Initial Spares. Contract Duration: 20 Years May 6-8.3A Combined Cycle Rating: 384 MW Contract Order: LOI 12/2001. 2003 Power Generation Kodierung 67 The moroccan Tahaddart customer (Energy Electrique de Tahaddart) EET is a shareholder company founded by ONE (Office National d’Electricite). Tahaddart is a typical O&M project where all O&M activities are included for 20 years from commercial operation date in a firm level payment structure.2 Tahaddart: O&M at Work: Tahaddart.

doc/2003-04-09 page 16 of 21 . under Construction Rating: 460 MW Contract Order: 2001 Contract Structure: Fix Mobilization. Taiwan Frame: 2 x 1 V84.Operation Fee. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. Location: near Taipeh. a single purpose company. Ltd.Options Previous ID266 Next 6.3A Combined Cycle. unplanned and routine maintenance and operation of the plant. the customer required an O&M contract in a new structure which considered that local supplies and services are partly directly handled by the owner. The project is based on a customized contract structure tailored to owners needs. 2003 Power Generation Kodierung 66 This 450 MW. For his newly ordered Power Plant.3 Kuo Kuang: O&M at Work: Kuo Kuang.. Taiwan Owners: Kuo Kuang Power Co.Ltd. 2 on 1 Combined Cycle Power Plant is an EPC Contract with Kuo Kuang Power Co. Taiwan Plant:: Kuo Kuang. others are purchased and specified by O&M contractor in a guaranteed budget. 14 years O&M including planned.. Pass-through Accounts Contract Duration: 14 Years May 6-8.

Customer and Operator Synergies The sum is more than just the addition ! The know how of the Customer together with the O&M contractor’s experience ensure maximum long term asset protection.doc/2003-04-09 page 17 of 21 .1 Arrúbal Milestones of the Project The Arrúbal O&M project schedule starting from submission of the proposal up to signing the contract was based on targeted negotiations in a very short time.Options Previous ID266 Next 7. Handing over of the O&M proposal to Gas Natural: Negotiation and Clarification Signature of the O&M Contract Start Pre-Mobilization Phase Start Mobilization Phase Start Operation and Maintenance Phase November Summer November November August October & Autumn 2001 2002 2002 2002 2003 2004 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. worldwide long term O&M experience is brought in by us. These synergy contributions from both parties allow fastest possible elaboration of the O&M procedures and fastest possible installation of the ensuing engineering and administration processes. 7. and the long term experience in the local market as well as from the power plant ownership. What are the synergy contributions in this specific case? The contribution of the customer is the know how in regard to regional power production requirements. On the other hand. An excellent example for synergies can be seen in the O&M procedures.

2 Arrúbal Brief Description of the Scope Arrúbal Brief Description Scope Pre Mobilization Phase (approx. 24 Months prior to COD) • • • Review of EPC design Specification of High Availability Spare Part Package Order of Strategic Spares Mobilization Phase (14 Months prior to COD) • • • • • Hiring of Expats and local Personnel Training of local Personnel Assistance during Commissioning Setup of Computerized Maintenance Management System Preparation of O&M Policies and Procedures Operation Phase (after COD) • • • • • May 6-8. unplanned and day to day operation will be handled by operator. after the provisional acceptance of the plant. In the second phase . planned.12 months before the commercial operation of the plant .Start of assess and hire of local staff and training according to its specific needs.doc/2003-04-09 page 18 of 21 . the O&M period starts and all routine. Within this period of time our implementation team puts also into place a spare parts purchasing specification and specifies the high availability spare parts package. 2003 Daily Routine Maintenance Planned Maintenance Unplanned Maintenance Day to Day Plant Operations Material Schedule and Inventory Control Power Generation Kodierung 69 The Arrúbal O&M project is divided into 3 distinguished phases. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. In the third phase.Options Previous ID266 Next 7. During that time the O&M staff will be also involved in the commissioning of the plant and set up all necessary administration and IT tools. The first one is initial pre-mobilization phase in which EPC design will be reviewed for it’s maintainability. This period starts at the beginning of the EPC implementation.

21 96.25 96.65 93.71 94. operator takes over significant share of customer’s risks. An increased availability leads to increased revenues for the customer. Track Record Highest Availability due to tailor-made Maintenance and Operation Contract Paka and Pasir Gudang Statement from YTL Oct 2002.Options Previous ID266 Next 8.10 80 Industry Average Availability 86% percent 60 ** 40 ** * * * ** Paka Pasir Gudang 20 0 ** 2 GT Major Overhauls * 1 GT Major Overhaul Oct 95Se p 96 Oct 96 Se p 97 Oct 97 Se p 98 Oct 98 Se p 99 Oct 99 Se p 00 Oct 00 Se p 01 Oct 01 Se p 02 Oct 02 M ar 03 May 6-8.43 94.43 91.doc/2003-04-09 page 19 of 21 .26 accidents.58 100 94.7% (unit capability is equivalent to plant energy availability). For example one typical warranty in O&M contracts taken by operator is an availability warranty.77 97.84 94.04 95. 2003 Power Generation Kodierung 36 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. Benefits Within the frame of O&M contracts.66 93.53 90.84 93. PowerGen Singapore 93.95 96. For Combined Cycle or Cogen Plants the median of : • • 267 unit years resulted in a unit capability of 85. an independent non OEM organization. Siemens has a proven record of increased availability beyond the typical industrial averages published in 2001 by EURELECTRIC.29 92. 1966 unit years resulted in an accident rate per year and unit of 10.

Options Previous ID266 Next Track Record Minimum Number of Accidents due Health and Safety Competency 10 Statement from YTL Oct 2002. 2003 Power Generation Kodierung 40 C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck. PowerGen Singapore 8 Accidents 6 P aka 4 P a s ir G u d a n g 3 3 2 1 0 1996 2 2 1 0 2 1 0 1 0 2001 2001 1 0 1997 1998 1999 2000 Ye a r May 6-8.doc/2003-04-09 page 20 of 21 .

Asia and Africa are proof of our competitiveness in this particular area. Summary Conclusion 12. The recent three O&M contracts placed in Europe.000 MW. gained worldwide. • • • • Own maintenance management system called BFS++.000 MW and Long Term Programs for more than 35. contributing to plant’s availability and reliability increment.doc/2003-04-09 page 21 of 21 . O&M services include also risks sharing with customers.000 MW as OEM LTM as 50. O&M services are supported by dedicated service back offices and Power Diagnostics Center. Presently trusted by clients worldwide to operate more than 12. 2003 Power Generation Kodierung 43 • • • Comprehensive operation and maintenance services are provided for entire power plants down to individual components.000 MW M Background Plant Managers with OE cedures for: Proven Standard Pro ce -Administration an ten ain -Operation –M w via Power Diagnostics OEM Expert Know Ho e Dedicated Back Offic IT-Tools t Quality Managemen May 6-8. This center not only enhances the plant’s monitoring effectiveness but also provides fast experience information on generic problems. C:\workinprogress\------ACTIVECONFERENCES-------\pennwell\europe2003\working\fromthem\ID266_Illbruck.000 MW as O&M 500. provides comprehensive.Options Previous ID266 9. Services are based on worldwide operational experiences combined with detailed/country specific knowledge of power generating and distribution market. cost saving services.

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