Wärtsilä and Huaneng Jiangsu, the provincial subsidiary of China Huaneng Group, one of China’s largest state-owned power generation companies, have signed a Strategic Co-operation Framework Agreement to collaborate in the development of sustainable power generation in Jiangsu, China. The agreement was signed 31 December 2020.

The aim of the Agreement is to develop more sustainable and flexible power generation based on internal combustion engine technology that would enable the integration of more renewable resources into the Jiangsu grid. This aligns with China’s energy security strategy of “four revolutions and one co-operation.” The strategy’s four revolutions are intended to curb energy consumption, establish a diversified energy supply system, upgrade energy technology, and speed energy sector development. The co-operation aspect refers to strengthening international co-operation to achieve energy security under open conditions.

At the signing ceremony Mr Cao Qingwei, Chairman of Huaneng Jiangsu, commented: “I appreciate Wärtsilä’s willingness to … enhance EU-China co-operation on energy. This will help us to innovate and take advantage of market opportunities in ancillary services, such as frequency regulation and peak shaving in Jiangsu province. Implementation of ICE technology will help China to accelerate its transition towards clean energy.”

Wärtsilä’s long-term R&D commitment on improving combustion engine efficiency has resulted in Wärtsilä engines having the highest efficiency numbers among existing prime movers. A key success factor has been the development of integrated engine functionalities that enable low emissions, and high engine efficiency of up to 50 % in single cycle mode, depending on the engine type.

The EU and China share common interests and goals for the clean energy transition and are jointly responsible for one third of the world's primary energy consumption.