Index – Economics – MVM made a big statement, they can win the government’s decision

The ministry stressed that combined cycle power plants (CCGT) can be built relatively quickly, their efficiency is extremely high, their specific carbon dioxide emissions are low, and their capacity can be adjusted according to current consumption. Widespread use of weather-dependent renewables also requires sufficient balancing capacity.

The planned units form the basis for connecting thousands of megawatts of solar generation to the system, and will also be suitable for hydrogen combustion to a certain extent.

According to the plans, two units with a maximum capacity of 500 MW each will be built at the Tiszai Erőmű site in Tiszaújváros and one unit with a maximum capacity of 650 MW at the Mátra Energia Zrt.Mátrai Erőmű site in Visonte. The ministry stressed that the developments make reasonable use of existing infrastructure, fully complying with environmental standards. It is expected that the time required to complete the work will be 3-3.5 years.

international competition

The Department of Energy also cited the fact that circular purchases have generated strong international interest, promising competition with price-cutting effects. After processing the responses received to the requests to fill in the gaps, six bidders entered the bidding phase in both Vizonte and Tiszaújváros.

The two new units at Tiszaújváros can produce an average of 5,200 gigawatt-hours of electricity per year, while the Matra unit can produce 3,800 gigawatt-hours.

The MVM Group is contributing to maintaining the stability of the domestic electricity system with 800 megawatts of new, state-of-the-art control capacity. “The planned investments help to maintain and increase the country’s electricity generation, meet the needs of residential and industrial customers, strengthen the security of supply, and help meet climate protection and carbon neutrality commitments,” they wrote.

Here are the possible winners

Later, MVM was informed that 6 companies and consortiums have moved forward with the closing of the stage of participation in the Matra and Tisza CCGT projects.

In the case of a combined cycle gas turbine power plant with a maximum capacity of 650 megawatts at the Mátrai Erőmű facility of MVM Mátra Energia Zrt.

  • General Electric and Calik Enerji Swiss AG (Turkish) consortium,
  • China National Machinery Corporation,
  • consortium ELSEWEDY ELECTRIC (Egypt), West Hungária Bau Kft. and Status KPRIA Zrt.,
  • Harbin Electric
  • Tecnicas Reunidas SA and
  • Consortium Siemens Energy, Market Építő Zrt. and Mytilineos SA (Greece) advanced to the next tender round.

As a result of the development of the MVM of the Tisai power plant, two units with a maximum capacity of 500 MW each will be created, the contractor of which is

  • Consortium Siemens Energy, Market Építő Zrt. and Mytilineos SA (Greece),
  • Calik Enerji Swiss AG (Turkish), Ansaldo Energia Spa Consortium (Italian),
  • China National Machinery Corporation,
  • consortium ELSEWEDY ELECTRIC (Egypt), West Hungária Bau Kft. and Status KPRIA Zrt.,
  • Técnicas Reunidas SA (Spanish) and
  • Harbin Electric (China) may be among the contenders.

The start date for the construction of the two new units can be determined based on the bidding documents of the bidders.

Viktor Orban announced

“We are building gas-fired power plants to serve large industrial centers, the decisions have already been made,” Prime Minister Viktor Orban said in March at the annual economic policy forum of the Hungarian Chamber of Commerce and Industry. The Prime Minister emphasized:

GOVERNMENT CALCULATIONS BY 2030 THEY WILL NEED 68 TERAUT HOURS OF ENERGY, IN 2022 IT WAS 43 TERAUT HOURS.

The EU does not ban gas-fired power plants, 2-3 such high-performance facilities could support the developments taking place in the eastern half of the country, Viktor Orban pointed out, emphasizing funding: if the EU gives money, then these investments in power plants will be financed from it, if not, then “Investors from all over the world are invited.”

Later, the minister in charge of Prime Minister Gergely Gulyash shared the details. According to him, the most important task is to provide the country with maximum energy supply from domestic sources, and he also stressed that gas-fired power plants can be built quickly, in 2-3 years.

According to a document obtained by Index after the announcement, the government expects the following forecast:

Data are expressed in %, where not, they are listed separately. 2021 2023 2025 2030 2050
Hydrogen: 0 0 0 0 0
Biomass: eleven eleven eleven eleven 15
Electricity: 20 (44 TWh) 22 (+2 TWh) 23 (+2.5 TWh) 26 (+7.5 TWh) 45 (+38 TWh)
District heating: 6 6 6 6 6
natural gas: 35 31 thirty 26 eleven
Oil and more: 28 thirty thirty thirty 18
Coal: 1 1 1 1 1
Total: 220 TWh 212 TWh 214 TWh 214 TWh 207 TWh

Earlier we spoke with several energy market experts: the advantage of gas-fired power plants is that they can be built in 2-3 years, the disadvantage is that our dependence on gas will continue to grow.

These power plants are not completely green, although they have a smaller carbon footprint than, say, coal-fired power plants.

– one of the market experts drew attention to our newspaper, adding that the total capacity of 2000 megawatts can be achieved with a load of more than 90 percent.

The interviewed experts took a clear position: these power plants are needed due to the growing demand for electricity, especially due to the huge consumption of the ever-increasing number of battery factories – it is important to highlight here for balance: we did not specifically talk to an expert on renewable energy sources. Another important aspect of gas-fired power plants is that they are also ideal for balancing solar energy.

(Cover photo: Matra Power Plant in 2019. Photo: Tamas Kashas/Index)