General Electric Corp. has acquired a controlling stake in a Florida-based company that develops and manufactures waste-heat recovery systems for renewable and distributed energy markets. Calnetix Power Solutions (CPS) focuses on industrial operations with potential for producing electricity using various types of engines, biomass boilers, and gas turbines.
The value of the purchase has not been announced.
CPS will be integrated into GE’s Jenbacher gas engine business, based in Austria. GE notes that much of the activity in small-scale, waste-heat recovery is centered in Europe.
“Alternative energy sources such as waste heat are growing in importance given the urgent global need for more efficient use of our limited resources,” stated GE Power & Water CEO Steve Bolze. “Acquiring CPS’s technology gives us a tremendous opportunity to enter this very promising, small-scale waste-heat-to-power segment with a competitive, fully commercialized offering. Because of its energy efficiency and zero emissions, we see this industry sector as a $1-billion global ‘space’ with high-growth opportunities.”
GE acquired the Jenbacher gas-engine business in 2003. Currently, its gas engine technology covers an output range of 0.25 to 4.4 MW, and operates on various gases with high efficiency, durability and reliability.
“The acquisition combines the strength of two leading high-efficiency, power generation technologies,” said Brad Garner, president and CEO of Calnetix Power Solutions. “It opens the door for utilizing GE’s diverse capabilities and resources to support and expand our technology. As proven through its earlier acquisitions of companies like Jenbacher and Enron Wind, GE is able to scale new power generation technologies quickly and effectively.”
GE said it also acquired certain underlying intellectual property from Calnetix Inc., CPS’s parent company. It states that, together with GE’s Jenbacher technical and distribution capabilities, the new properties will enable GE to provide advanced and comprehensive offerings for customers in the waste heat recovery power generation space.
“This suite of technology is a natural fit for our business,” stated Prady Iyyanki, CEO - Gas Engines for GE Power & Water. “By adding CPS’s capabilities to our existing portfolio of turbines and engines using waste gases or other alternative energy sources, we are now well positioned to become the industry’s waste heat to power expert.”