Pipelines, Storage & Power

Gas makes headway in power sector

Lower gas prices and cheaper floating regasification technologies have improved the economics of using gas for power generation, despite the simultaneous decline in coal prices Lower gas prices and cheaper floating regasification technologies have improved the economics of using gas for power generation, despite the simultaneous decline in coal prices.
By Peter Stewart 17 February 2016 0 24330
Lower gas prices and cheaper floating regasification technologies have improved the economics of using gas for power generation. (Eleco)

Coal emits around twice as much carbon dioxide as gas when used for power generation, and also emits pollutants such as sulphur dioxide, nitrogen oxides, particulate matter and mercury. Last December’s COP21 agreement in Paris to limit global warming to “well below” 2C has put strong pressure on governments to switch to lower-emitting alternatives. There has been a backlash against coal in the business community, notably in banks’ reluctance to finance new coal-fired power projects.

Despite this, pledges by individual countries – such as India –...