Savings Achieved From Installation of an On-Line Performance Monitoring System at the Naco Nogales Combined Cycle Plant

Union Fenosa began commercial operation of the 300 MW Naco Nogales combined cycle plant in October, 2003 under a power purchase agreement with Mexico’s Comision Federal de Electricidad, and is therefore in a financial risk-reward situation depending on the operational efficiency of the facility. As part of their effort to maximize the profitability of the plant, an on-line performance monitoring system was installed to alert and advise the operating and management staff of performance improvement opportunities. The Naco Nogales Plant consists of one 501G Siemens Westinghouse combustion turbine, a Mitsui Babcock HRSG, and a Siemens steam turbine. To readily identify equipment performance deficiencies, cycle isolation problems, or instrumentation problems in a timely manner, the plant installed an on-line performance monitoring system. The system monitors, archives process data and calculated results, and automatically reports on key performance indicators. A rigorous, first principles thermodynamic model validates the accuracy of measured data and provides off-line “What-If” optimization analyses to assist in operating and business decisions. Key to achieving improved operation was a unique combination of state-of-the-art software and technology transfer through training and mentoring for the plant operations team. This combination provided the information needed for improved information as well as a knowledgeable workforce that understood how to use the “new” information and tools to improve operations and business processes. This paper, written from the Plant’s perspective, describes some key features of the performance monitoring and optimization system, the technology transfer process and several examples of savings recognized by placing an emphasis on profit through a combination of workforce training and the latest software technologies.