Energy RD Performance: Gas Turbine Case Study

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Energy RD Performance: Gas Turbine Case Study ( energy-rd-performance-gas-turbine-case-study )

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1. INTRODUCTION/OVERVIEW This study for the Central Research Institute of Electric Power Industry (CRIEPI) details the MIT Energy Laboratory case study on gas turbines to help us better understand energy R&D performance. The project included three main tasks: • Performing a rigorous, documented study of gas and combined cycle turbine improvements. This involved a detailed analysis of the development and deployment of gas and combined cycle turbine technologies through literature review, market examination, and interviews with key industry leaders and researchers. • Drawing conclusions about energy R&D performance in specific cases. To accomplish this, we used our gas turbine case study in addition to other analyses of generation development. • Applying the lessons learned from these case studies to emerging energy technologies. This study focuses on the evolution of gas and combined cycle turbines. These turbines have emerged as a strong force in the power generation market and are marked by both rapid development and high demand. Their success and growth in popularity would not have been possible without decades of previous R&D and ongoing advancements which allowed them to be practical machines when market economics demanded them. Market success demanded that the power generation industry go beyond simply improving gas turbine technology. Although the technological improvements had been occurring for years, often sustained by non-energy markets, it was not until these advances interacted with three other drivers that a new and substantive shift took place in the gas turbine industry. These other drivers to gas turbine success were fuel availability, restructuring of the electric utility industry, and environmental concerns. The notion of technical R&D as part of a convergence has a substantive history. For example, when Shell International Petroleum examined the evolution of the world’s energy systems, it found that a number of “converging developments” all contributed to the process. Figure 1 shows an example of how various developments played important roles in large changes in the energy field. In this example, automobiles achieved widespread success due to four major inputs: the availability of oil, new and improved materials such as polymers and high-quality steel, new manufacturing techniques such as assembly line production, and a social desire for freedom and consumption. We find that a similar framework can be used to help explain the large expansion in the gas and combined cycle market in the late 1980s and 1990s. Our study indicates that four major forces and events interacted to contribute to and cause the industry developments. One set of important advancements took place in turbine technology. Materials engineering and cooling improvements allowed gas turbines to operate at higher temperatures and thus increase their efficiencies. Second, the deregulation of natural gas prices led to gas being both plentiful and available at reasonable cost, leading to the increased desire to use this fuel in electrical generation. Third, 1

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