The state-run Chinese Petroleum Corp (中油) will be able to sidestep land acquisition problems that plague other power projects in its plan to build a gas-fired power plant in northern Taiwan as most of the required property is already owned by the government.
Unlike other independent power producers in the north, the 480-megawatt Kuo Kuang Plant is unlikely to face problems acquiring land upon which to build gas pipelines to fuel the plant as it is to be built at CPC's Taoyuan Refinery -- the source of its LNG.
"We only need to run pipes ... a distance of 6.2km which is entirely within Taoyuan Refinery," said a CPC executive, who requested anonymity.
As for the transmission lines, "the distance between Kuo Kuang and Taiwan Power Co's (
Thus, as CPC is a state-run corporation, "We won't have many problems negotiating with the landowner," she said.
Acquisition of land upon which to build transmission and gas supply lines is the number one problem facing independent power producers building plants in densely populated northern Taiwan.
Recently Energy Commission (
A good example is the delay in full operation of the 900-megawatt Everpower Plant (
But the government has refused to issue the plant a building permit for the handful of remaining transmission towers until the company settles the dispute with the residents.
Construction of the Kuo Kuang Power Plant is expected to cost NT$12 billion, and will begin early next year, according to executives.
The plant is a joint venture between CPC, which owns 45 percent and CTCI Corp (
A CPC execuitve admitted yesterday that Siemens AG is the "first priority on the table in negotiations for the supply of turbines" and other equipment for the plant. But the executive added that other companies including GE, Mitsubishi Heavy Industries and ABB Alstom had also been approached to submit offers and that CPC had not yet reached a final decision.
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