2G pursues growth goals in North America. Branch opening in Maryland (US) and Ontario (Canada)

2G continues its expansion in the North American market. In 2009 the first distribution and assistance branch for North America was inaugurated. Furthermore, from 2012 St. Augustine (Florida) has its own production facility. To strengthen the market position and increase proximity to customers and partners, two new offices have been opened: one in Maryland (US) and one in Ontario (Canada).

Long experience in the cogeneration sector

Both sites have been successful in hiring cogeneration experts with in-depth knowledge of the market and products. Among the newcomers to the 2G team is Dan Jones, an expert on the North American market with over 14 years of experience in the distribution and assistance of cogeneration plants, which has recently worked for a competitor. With the decentralization of distribution, assistance and after-sales service and after doubling the orders between 2016 and 2017, 2G aims to quickly realize its objectives for penetration of the North American market.

In addition to France and Japan, the North American market is currently one of the foreign markets with the highest turnover. 2G believes that in the medium term it offers a turnover potential of 40-60 million euros per year. In North America, there is currently a strong demand for natural gas plants. This is due to a very high spark spread in some regions of the United States. The spark spread is the difference between the price of gas and electricity and represents the decisive element for an investment in a cogeneration plant. Since 2007 gas production in the US has grown by 40%; in the same period the price of gas decreased by two thirds. According to the forecasts of the “IHS Markit” institute until 2040 the United States will cover its current needs with gas-fired power plants.

2g

Incentive programs for the cogeneration of electricity and heat

Sales activities are also supported by the Bipartisan Budget Act of 2018 which provides for a 10% tax credit for cogeneration projects, as well as an amortization bonus plan that allows amortization of 100% of investment costs in the first year (including investments in cogeneration plants). In addition, more and more states (eg California, New York and Maryland) recognize the advantages offered by cogeneration of electricity and heat in terms of reducing emissions and increasing the reliability of energy supply and launch incentive programs to increase the profitability of an investment in a cogeneration plant, especially in light of the increasingly frequent natural disasters.

Growth registered also for 2G Energie in France

Contrary to the general trend of the French biogas market to increasingly focus on biomethane, 2G Energie has a strong demand in France for biogas cogeneration plants.

In the first three years of its foundation, 2G Energie has quadrupled its turnover. To cope with the maintenance of all 150 field plants and to be able to offer the necessary assistance to partners resident in France, the number of employees was also doubled.

The main reasons for this development are, according to Jürgen Klein, CEO of 2G Energie, on the one hand the simplification of the rules for the construction of new cogeneration plants and, on the other, the growing number of expansions of the plants. 24/7 assistance, a toll-free service and a dense network of partners have made this rapid growth possible and contribute to increasing the profitability of 2G Energie.

40 biogas cogeneration plants in 2018

In 2018, the French subsidiary of 2G put into service around 40 cogeneration plants, including a prestigious project with a total electrical power of 12 MW in Saclay near Paris. From the beginning of November, three avus 4000a plants connected to a district heating network supply heat to the municipality of Saclay.

WHITE HARVEST ENERGY AND 2G. TOGETHER FOR CLEAN COGENERATION

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