GE’s Distributed Power business signs supply agreement

By GE | April 11, 2016

GE’s Distributed Power business recently announced it has signed a milestone 20-year parts supply agreement with Nixon Energy Solutions to strengthen Nixon’s ability to ensure the long-term availability and reliability of 11 of GE’s Jenbacher gas engines that will power three new landfill gas-to-energy (LFGE) facilities in Georgia. The agreement marks GE’s first comprehensive material stream agreement (MSA) with an authorized Jenbacher gas engine distributor in the United States.

Under the MSA, GE’s Distributed Power service business will provide planned and unplanned parts to 11 of GE’s Ecomagination, 2.17-MW J616 Jenbacher gas engines that NES is providing to MAS Georgia LFG, a Georgia-based renewable energy project. NES, a division of Brentwood, Tennessee-based Nixon Power Services, is GE’s authorized Jenbacher gas engines distributor in 13 states in the southeastern and mid-Atlantic U.S.

Nixon will use the parts to ensure the availability and reliability of the Jenbacher landfill gas-powered engines, which will produce a total of 24 MW of renewable electricity at the Oak Grove Landfill, Pine Ridge Landfill and Richland Creek Landfill in Georgia. The three new LFGE power plants are scheduled to be operational by the second quarter of 2016.

“The MSA with Nixon Energy Solutions illustrates our commitment to strengthen our network of gas engines sales and services providers and gives them the support they need to ensure excellent life cycle service for our customers,” said Margherita Adragna, general manager—services for GE’s Distributed Power business. “We are continually working to enhance our local service and equipment fulfillment capabilities to help our customers further improve the economics of their distributed power projects.”

Nixon’s installed fleet of Jenbacher LFGE units will be covered by GE’s regional remote monitoring and diagnostics center as well as internationally via a 24-hour customer service center.

Finding ways to help increase the financial viability of landfill gas projects is a priority for GE and its gas engine distributors as renewable energy developers grapple with various economic pressures—including competition from low natural gas prices and an uncertain outlook for project tax credits and other industry conditions.

“Our new material supply agreement with GE will bolster our ability to ensure the long-term reliability and availability of MAS Georgia’s installed fleet of Jenbacher gas engines, which in turn will help make the projects as cost effective as possible,” said Marty Siebert, vice president/managing director, Nixon Energy Solutions.

LGFE projects provide renewable power and help offset fossil fuel-generated electricity associated with greenhouse gas emissions. Additionally, by capturing the methane-rich landfill gas to produce on-site power, such projects reduce the amount of methane (a potent greenhouse gas) that can escape from landfills into the atmosphere.