U.S. turbines facing imminent shutdown.
In the heart of Siberia, the city of Yakutsk is bracing for a potential increase in electricity prices. This prediction stems from the planned switch from American-made gas turbines to Russian-made equivalents at the Yakutsk GRES-2 power plant.
RusHydro, the company responsible for the power plant, has submitted an application to shut down the second power block of Yakutsk GRES-2 from December 1, 2025, pending a decision. The switch is aimed at addressing the inefficiency of the American gas turbines installed at the plant, which has led to costly turbine replacements.
However, the higher production costs associated with the Russian turbines are expected to be the primary cause of the predicted price increase. This is due to several factors, including the lower efficiency of the Russian-made gas turbines, increased fuel consumption per unit of electricity produced, and higher maintenance and operational expenses.
Logistical and infrastructure challenges in Yakutsk and the Arctic region also contribute to the increased costs. The remote and harsh environment makes transporting turbine components and fuel more expensive, thereby raising overall power generation costs and electricity prices.
Moreover, economic factors linked to sanctions and supply chain disruptions may restrict access to advanced foreign turbine technology, compelling reliance on domestically produced but less cost-effective equipment.
The first stage of Yakutsk GRES-2, with a capacity of 193.5 MW, has been in operation since 2016. In an attempt to address the inefficiency of the American gas turbines, Yakutsk GRES-2 announced a tender for the supply and installation of two Russian-made gas turbine units, EGES-25PA, with a total capacity of 50 MW, worth 1.2 billion rubles.
However, the switch to Russian-made turbines is not without controversy. As early as 2016, Yakutia.Info warned that installing American gas turbines would not be cost-effective. The installation has been criticized for benefiting various entities involved in the turbine production and sale but not the population.
The energy security headquarters in Yakutia concluded that the difficult situation in the republic's power system is due to increased electricity consumption, repairs needed for objects, increased accident rates of generating equipment, the need to save the engine resource of American gas turbine units due to sanctions, and this leads to risks of power supply disruptions in the republic.
The electricity situation in the Central Energy Region of the Republic of Sakha (Yakutia) is very challenging, with a deficit of 116 MW from 2023. This deficit is expected to worsen as the troublesome American LM6000 gas turbines installed at GRES-2 and powering Yakutsk are nearing the end of their life.
The Telegram channel "Torboznoe Radio" keeps Yakutians informed about the electricity situation in the Republic of Sakha (Yakutia). As RusHydro awaits a decision on their application to shut down the second power block of Yakutsk GRES-2, the city and its residents look towards the future with a sense of uncertainty.
In the context of the impending shutdown of Yakutsk GRES-2's second power block, the anticipated rise in electricity prices could be attributed to the switch from American-made gas turbines to Russian-made equivalents, as the latter are expected to incur higher operational expenses and increased fuel consumption. Furthermore, the remote and challenging Arctic conditions, along with potential economic factors such as sanctions and supply chain disruptions, could exacerbate these costs.