AEP, G.A.S. form turbine manufacturing venture

Sept. 13, 2001
American Electric Power Co. Inc., Columbus, Ohio, and G.A.S. Capital Inc., Lake Zurich, Ill., reported forming a joint venture to make and market turbine generators for use in cogeneration, remote site, supplemental generation, and backup applications.


By the OGJ Online Staff

HOUSTON -- American Electric Power Co. Inc., Columbus, Ohio, and G.A.S. Capital Inc., Lake Zurich, Ill., reported forming a joint venture to make and market turbine generators for use in cogeneration, remote site, supplemental generation, and backup applications.

The new venture, AEP Gas Power Systems, will manufacture and market a 1.2 Mw generator powered by a Lycoming turbine.

Paul D. Addis, AEP executive vice-president, wholesale activities, said the changing nature of the energy business requires more flexible sources of electric power generation. He noted the turbine's control system can take on electrical load in as little as 30 sec. Addis said energy users can respond quickly to delivery disruptions, or if local electric tariffs permit, cut electricity costs, using the unit for peak shaving.

He said the units will have multiple applications, including:

-- Cogeneration strategies could include flexible use of diesel or natural gas and reuse of the thermal energy as a source of process heat for industrial and manufacturing needs.

-- The unit can be programmed to step in automatically during periods of high power usage to shave peak usage and cut overall energy costs.

-- Multiple units can be connected in series to meet growing capacity needs.

With more than 50 million hr of operation in military and industrial applications, the generator can supply the needs of a midrange light manufacturing facility, two supermarkets, or more than 1,000 single family homes, AEP said.

G.A.S. Capital's other affiliates include General Aviation Services LLC, General Aviation Technologies, General Helicopters International Inc., and Jet Capital.