Centrenergo recommissions Uglegorsk thermal power plant

Centrenergo (CEEN UK) switched on the first power unit of the Uglegorsk thermal power plant (TPP) on the morning of October 8, the company’s press service announced October 9. The 300MW power unit is working on a 200MW load. The heat generated by the power unit will reach the satellite city of Svetlodarsk in three days, according to the release. The plant’s power unit #4 is expected to be commissioned around November 15. Svetlodarsk is about to complete the construction of a new boiler station that will provide back-up heating to the city for the time that Uglegorsk TPP’s power units will be tested and tuned.

Uglegorsk TPP caught fire on March 29, which resulted in damage to its power workshop building, partial damage to power units #1 and #4 and severe damage to power units #2 and #3. The government was planning to restore and recommission the two least damaged power units by December 2013.

Alexander Paraschiy: The way Centrenergo presented the information about the recovery of Uglegorsk TPP implies the first power unit is only working in a test mode and there is still little certainty that it will be able to work without surprises. Moreover, it looks like the unit was being activated ahead of schedule in order to enable the start of the heating season in the satellite city since the new boiler plant is not yet ready.

So far, the news looks neutral for Centrenergo: on the one hand, the power plant is not dead and it can start generating revenue for the company already this month. On the other hand, we do not know for how long the restored power unit will be in test and tuning mode (that can last years), and we see additional risks of equipment failure related to the ahead-of-schedule restart.