Tom Holt, CEO of Siemens Power Generation Services Division, says that digital technology is making important contributions to the power generation industry.

In an interview with an in-house magazine, Holt says that smart sensors have become smaller and tougher, so they can be installed in places where they couldn't before and in harsher environments. With wireless communication, transmitting sensor output from difficult locations has become a reality.

Tim Holt, CEO Siemens Power Generation Services Division.Tim Holt, CEO Siemens Power Generation Services Division.This enables the user to monitor parameters like RPM, temperature, emissions, and operating efficiency, in real time. Granular data monitoring supports preventive maintenance, which means that the lifespan of expensive capital equipment can be prolonged. Access to real-time data means faults can be detected early and expensive downtime or catastrophic failures prevented.

This data also enables more accurate scheduling of routine service. Scheduling of service intervals can be more a matter of choice for the operator, who, rather than following an arbitrary timetable, can schedule the service during periods of lowest electricity prices.

Growth of renewable energy brings with it new challenges for the power generating industry. The volatility of renewables means that utilities have to be flexible. Gas turbines can ramp up or down as necessary depending on demand.

As the electricity-generating market has been transformed, so have generators’ requirements, Holt says. Gas turbines can be more flexible than a coal or nuclear plant. And he says that the fact that the use of renewable energy sources is expanding, requires that gas turbines be even more flexible.

But that operational flexibility must also be measured against ensuring the lowest costs and the lowest emissions. Digitalization can contribute by providing data for operators to tweak the system to optimize performance for lowest cost and minimum emissions, he says.

There are, however, a couple of caveats, the magazine says.

Power generation is a conservative industry that has generally resisted change. But attitudes are beginning to change in response to competitive pressure. Also, as with many other industries, there is an influx of younger workers who are comfortable with digital technology.

A second challenge being faced across the digital Industry of Things (IoT) is cybersecurity. Holt says, “We are confident we have access to some of the best cybersecurity technology available, including innovations developed by other parts of Siemens. Our 'security-by-design' and 'defense-in-depth' approach focuses on assessing, implementing, verifying, and managing the security of both data and physical assets."