Under a turnkey construction contract, Enefit Industry AS plans to construct a hydrogen-capable gas engine thermal power plant within the Balti Power Plant complex in Narva, according to a press release.

Enefit Industry is procuring a power plant intended for combined heat and power generation and the provision of frequency reserves.

With a total capacity of approximately 100 MW, it will be based on gas reciprocating energy technology, with each engine having a capacity ranging from 4-13 MW. The plant is expected to operate primarily on natural gas or biomethane, as well as already be able to use up to 25 percent hydrogen by volume as fuel.

"The situation on both the frequency markets and the day-ahead electricity market clearly shows that Estonia needs new flexible and dispatchable generation capacity," acknowledged Enefit Industry CEO Lauri Karp.

"The advantage of a dispatchable gas-fired power plant is its rapid start-up, enabling a quick response precisely when electricity prices are high," he added.

Thermal energy to help heat Narva

In addition to electricity generation, the power plant will also produce thermal energy.

During its operating hours, residual heat from the gas power plant can be supplied to Narva's district heating network.

"This power plant will not solve Narva's heat supply challenges, but it does offer an additional source of thermal energy, and will allow for more efficient use of residual heat generated in the power plant," Karp noted.

The public contract has an estimated value of €100 million, and the power plant is scheduled for completion in 2028.

The qualification phase of the procurement runs until May 29, and Enefit Industry is expecting to receive preliminary bids by the end of June.

The new power plant is to be developed in response to the frequency reserve procurement announced by transmission system operator (TSO) Elering.

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