Remarks by
U.S. Energy Secretary Bill Richardson
Announcing the
GE GAS TURBINE BREAKTHROUGH
Greenville, South Carolina
February 18, 2000

Thank you, Bob (Nardelli, CEO of GE Power Systems).

I wish that anyone who ever doubted the power of public-private partnerships could be with us today. The U.S. Energy Department and General Electric have collaborated to produce one of this country's most important successes in its energy research and development program ever.

Bob, you and your team have produced nothing less than the future of electric power generation for this country and for most of the world. Today, we will see the most advanced combustion turbine anywhere, incorporating breakthroughs that were barely imagined a decade ago. Soon the turbine will be shipped to New York, where one of the world's largest independent power producers will move it over the commercial threshold.

And when that move occurs, people of this globe will be able to step into a great new period of cleaner and more efficient energy worthy of the 21^st Century.

We have raised the standard of turbine technology through this partnership between the Energy Department and General Electric. We have pushed it to a new plateau of power efficiency and superior environmental performance. And we have solidified the United States as the world's leader in the power technology that will be most in demand for the coming decade and beyond.

For America, this milestone will not only help maintain a cleaner environment, it will help fuel our growing economy - and it will help keep electric bills low in homes and businesses across our country.

Pardon me for crowing. But there is much to crow about. We set our goal high. And not only have we reached it. We reached it on time and on budget. The U.S. government's investment in a very worthy project has paid off. Once again, we have shown that Americans' confidence in themselves is well placed.

In his State of the Union Address last month, President Clinton called on the nation to renew its commitment to a clean energy future. Investments in advanced technology, the President has said, will allow us to continue to grow our economy while improving our environment. There is no better example of what the President has in mind than the technological breakthrough that has brought us all here today.

The Clinton-Gore Administration, promptly upon taking office nearly eight years ago, put forth an economic stimulus plan that invested in some of America's newest and most promising technologies. The revolutionary gas turbine was among targets of the plan because most experts predicted it would be the industry's first choice for the next wave of power plant construction. All of you in the power industry know America needs electricity to fuel its vitality and fulfill its potential.

When the turbine program concludes, the Energy Department will have invested almost $100 million in the development of what GE calls the H-System. GE will have contributed nearly $200 million to our program, plus another $300 million in related technology development.

This new, powerful gas turbine serves as a trophy of sorts for the Clinton Administration's commitment to the future. But so does our robust economy, which is stronger than ever.

This will be the first gas turbine power system to top the 60 percent efficiency threshold, or what is regarded to be the "four-minute mile" of turbine technology. When the Energy Department began its advanced turbine development program in the early 1990s, the best turbines available had efficiencies of 50 percent. Every percentage point can mean as much as $20 million in reduced operating costs over the life of a typical gas-fired combined cycle plant.

You can you see why we're excited about the efficiency of this new technology. As for the cleanliness of this new turbine, it will cut in half nitrogen oxide emission levels of turbines now in use. The H-System turbine also will produce the fewest tons of carbon dioxide per kilowatt of electricity of any gas turbine available today.

The new turbine will be suitable for the nation's most environmentally constrained areas and once deployed on a large scale, can contribute significantly to reducing greenhouse gases that can cause global warming.

And there is no doubt that the technology will be deployed on a grand scale. Natural gas turbines are expected to make up more than 80 percent of the power-generating capacity to be added in the United States over the next 15 years. Globally, power generation from the turbine market could approach $100 billion over the next decade.

The turbine system we will see today is the product of scientific excellence, drawn not only from private industry but from a coalition of our best academic and national laboratories.

The research consortium led by the South Carolina Institute for Energy Studies is a model of how universities can participate in industrial development efforts. More than 60 U.S. universities played a role in getting us here today.

Finally, let me say to Senator Hollings: We wouldn't be here this morning if it weren't for people like you in the Congress who realize the importance of keeping America sharp, strong and secure.

We all should feel proud of what we are accomplishing and pleased that we are moving forward together.