ABB Pioneers Installation of Eco-Efficient Switchgears

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Switzerland-based power & automation giant ABB Ltd. ABB has taken a quantum leap toward improving gas insulated switchgear ("GIS") technology. The company has pioneered the use of eco-efficient gas mixture as a substitute for traditionally used relatively toxic sulfur hexafluoride (SF6).

Eco-Efficient Switchgears

ABB has commissioned first-of-its-kind high- and medium-voltage GIS that eliminate the use of sulfur hexafluoride, thereby minimizing environmental impact. This revolutionary eco-efficient switchgear runs on "SF6 alternative gas mixture" and uses this as insulation and switching medium for high-voltage switchgear.

Switchgears are widely deployed for controlling, protecting and isolating electrical equipment in power networks. Required in all steps from power generation to power consumption, these instruments are of paramount importance in the entire power value chain. Power transmission and distribution particularly requires the high- and medium-voltage switchgear to enhance grid reliability and safety.

ABB has partnered with 3M MMM to develop this fluoroketone-based "SF6 alternative gas mixture" that reduces global warming by 100% without affecting the quality or reliability of instruments. Moreover, this can slash CO2 and other related emissions from GIS devices by half in the entire lifecycle of the equipment.

ABB is supplying the 170/24 kV switchgear bays to energy service provider Swiss Utility EWZ, for the latter's recently developed 3 x 50 megavolt ampere ("MVA") substation in Zurich. This substation is responsible for providing electricity to more than 50,000 inhabitants of Zurich. Interestingly, the GIS-based substation is an architectural wonder, considering that it has replaced the 66 year-old outdoor air-insulated switchgear ("AIS") substation, thereby freeing up 70% of space.

ABB's partnership with Swiss Utility EWZ dates back to 1967 when it had first installed high-voltage GIS for the company, which was also the first in the world. Commissioning of the latest eco-efficient switchgear reflects ABB's commitment to use technology as a key factor for setting itself apart from peers as well as gaining larger market share. The company has also installed energy-saving and low-noise power transformers, and substation automation protection and control systems in Swiss Utility EWZ's substation.

To Conclude

SF6 is rampantly used in the electrical industry as it greatly minimizes the size of switchgear installations. However, being a greenhouse gas, it also impacts natural environment adversely. Further, use of this gas during decommissioning of old substations leads to massive expenditure on part of clients.

As the European countries have upgraded their environmental regulatory standards to minimize greenhouse gas emissions till 2020, majority of service providers are expected to find themselves in need to slash emission levels. As switchgear is widely used in power transmission and distribution, more and more energy service providers are likely to turn to ABB for complying with environmental regulations, thereby strengthening its prospects in the long run.

ABB has developed a solid foothold in the high-voltage GIS market, ever since it pioneered the technology in 1960's. The company's global base of GIS installations has crossed the 300,000 mark. Going forward, the latest innovation is expected to unlock a plethora of commercial prospects for the company, thus adding to its competitive strength.

ABB currently carries a Zacks Rank #3 (Hold). Better-ranked stocks in the broader industrial goods sector include AZZ incorporated AZZ and Ideal Power, Inc. IPWR, both holding a Zacks Rank #2 (Buy).