INNIO Supports Ukraine’s Plan to Increase Renewable Energy with One of the Most Innovative Biogas Plants

JENBACH, AUSTRIA — April 29, 2019 —

INNIO announced today that through KTS Engineering, INNIO’s authorized Channel Partner, it will supply a complex solution based on four Jenbacher* biogas cogeneration units for a new zero-waste biogas plant of the Ukrainian agroholding I&U Group. The project will result in a total reduction of 24,000 tons of carbon dioxide emissions annually for I&U Group, one of the largest agricultural producers in the Ukraine.

With the Ukraine’s National Renewable Energy Action Plan focusing on diversifying the energy mix and strengthening production of renewables by 2020 and through 2030, projects based on biogas will help to achieve these goals. The project is being financed through a loan from the European Bank for Reconstruction and Development and the Clean Technology Fund. It is under a program founded to help the agricultural industry of the Ukraine develop renewable energy production from biowaste.

“Our major focus is high-end service and maintenance, enabling biogas operators to increase the efficiency of our customers’ investments,” said Pavel Savenko, shareholder, KTS Engineering. “We are proud to offer reliable, economical and sustainable power generation solutions from INNIO, near or at the point of use, to the Ukrainian agricultural industry. Biogas is not only a great source of renewable energy, but it also helps reduce greenhouse gas emissions and provides a solution to address the disposal of waste from livestock farms.”

INNIO’s fuel-flexible Jenbacher J420 biogas engines—which will be installed at the Novomirgorodsky Sugar facility owned by I&U Group in the Kirovohrad region—will have a total capacity of 6 megawatts (MW), and the project includes equipment installation, startup and further maintenance for the new plant. The Jenbacher gas engines are able to produce power and heat from biogas from beetroot pulp, corn silage, chicken droppings and animal dung.

The new combined heat and power plant will be equipped with INNIO’s myPlant^* Asset Performance Management solution, enabling around-the-clock remote monitoring and diagnostics of equipment operation that will allow I&U Group to reduce downtime and costs moving from a reactive maintenance schedule to a condition-based maintenance approach.

The Ukraine is the pilot country for INNIO’s biogas projects in Russia/CIS, with the first power plant in the region based on a Jenbacher J312 gas engine commissioned in 2009. That plant has a total capacity of 625 kilowatts. It is also home to one of the world’s biggest biogas plant designed and erected by Zorg Biogas AG, located in Teofipol, Khmelnitsky Region, based on 18 of INNIO’s Jenbacher Type 4 units—15 J420s and three J416s, with a total electrical output of 26.1 MW. Eleven of the engines are commissioned, with seven units in production for delivery in the 2^nd and 3^rd quarters of 2019.

This pilot is the first biogas plant of Ukrainian agroholding I&U Group powered by Jenbacher gas engines and is expected to be commissioned by fourth quarter 2019. Upon commissioning, the new biogas plant will be eligible for the "Green Tariff" — a Ukrainian government feed-in tariff scheme for electricity generated from renewable energy sources.

“We help companies in a wide variety of industries—such as utilities, oil and gas, food and beverage, commercial buildings, data centers and agriculture—provide reliable, economical and sustainable power to their customers,” said Carlos Lange, President and CEO at INNIO. “With the support of KTS Engineering, INNIO has succeeded in meeting customer needs in the Ukraine by supplying 40 biogas and landfill gas containerized Jenbacher gas engines in the last three years alone.”

In a move to increase renewable energy sources, the Ukraine has taken steps to accelerate the deployment of renewables. With the national power company, Ukrenergo, forecasting renewable energy to double from 1.5 gigawatts (GW) in 2018 to 3 GW by the end of this year, it is a goal that by 2025, full integration with the European Network of Transmission System Operators for Electricity will be achieved. As renewable energy sources are growing their share in the Ukrainian power system, peaking power plants with fuel flexible solutions like gas engines can help to complement a volatile energy source. INNIO serves as a key enabler in helping customers transition to renewable energy, providing tailor-made solutions that operate as an integral part in the energy transition.

About KTS Engineering

KTS Engineering is an authorized Channel Partner for INNIO’s Jenbacher gas engines in the Ukraine, operating since 2003 in the power and oil and gas markets of the country.

About INNIO

INNIO is a leading solutions provider of gas engines, power equipment, a digital platform and related services for power generation and gas compression at or near the point of use. With our Jenbacher and Waukesha product brands, INNIO pushes beyond the possible and looks boldly toward tomorrow. Our diverse portfolio of reliable, economical and sustainable industrial gas engines generates 200 kW to 10 MW of power for numerous industries globally. We can provide life cycle support to the more than 48,000 delivered gas engines worldwide. And, backed by our service network in more than 100 countries, INNIO connects with you locally for rapid response to your service needs.

Headquartered in Jenbach, Austria, the business also has primary operations in Welland, Ontario, Canada, and Waukesha, Wisconsin, US. For more information, visit the company's website at www.innio.com. Follow INNIO on Twitter and LinkedIn.

For more information, contact:

Susanne Reichelt
INNIO
+43 664 80833 2382
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Shaun Wiggins
Soteryx
+1 (518) 795-8096
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