• GE’s problems in Pakistan threaten reputation

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      Patrick Lavery

      Combustion Industry News Editor

Reuters has covered the problems that GE has encountered in Pakistan over the last few years, and the political reaction to those problems. In 2015, the company won contracts to supply six of its new highly-efficient 9HA gas turbines for three separate gas-fired power plants, due to come online before the start of summer in 2017. However, the delivery was delayed by one to three months, and after delivery some parts had to be air-lifted to France for modification, such that some of the summer months were missed. When the turbines did begin operation, they delivered power at only around half their rated capacity to begin with, and output rose only moderately afterwards, meaning there was a power shortfall compared to what the country expected, creating political tension for the ruling party. The reaction of politicians appears to have been mixed – the former energy minister believes GE spared no expense to quickly resolve the problems, while a “senior Pakistani official” told Reuters that the problems have cast GE in a bad light in the country. In September of last year, Pakistan awarded new power contracts to Siemens, after GE and other companies bid for the work, a possible sign of discontent. GE will be anxious to assure the wider world that its new turbines are reliable during difficult times for the company, while other gas equipment suppliers will be looking to tap into the Pakistani market, one of high growth with good access to gas supplies.