In an effort to enhance fuel efficiency of Kotzebue city, General Electric Company (GE - Free Report) have launched a project along with Kotzebue Electric Association (KEA), an electric company that supplies electricity to the remote city and other rural areas. Under this joint project, General Electric will provide a Clean Cycle heat-to-power generator that will reduce diesel consumption and utilize the excess heat from the diesel engines to produce electricity for the local grid.
The Clean Cycle technology generates electricity from heat without creating additional emissions or requiring additional fuel. This innovative technology is highly reliable with very low maintenance costs.
Kotzebue is located in the north of the Arctic Circle and faces major logistical challenges related to electricity and high fuel charges. This heat and power technology addresses the increasing demand for high efficiency power generation in the city and boosts fuel efficiency. With the new Clean Cycle unit beginning its operation in fourth quarter of 2013, the project is expected to save approximately 177,000 liters (46,000 gallons) of diesel fuel annually and reduce the city’s energy costs.
General Electric is one of the most diversified technologies and financial service corporations in the world. Its segments include Power & Water, Oil & Gas, Energy Management, Aviation, Healthcare, Transportation, Home & Business Solutions, and GE Capital. GE Power & Water produces gas, steam and aero derivative turbines; generators; combined cycle systems; and renewable energy solutions, and provides water treatment services and equipment. In the last reported quarter, Power & Water segment reported revenues of $4.8 billion, down 26% year over year hampered by fewer wind and gas turbine shipments in the European markets.
General Electric currently has a Zacks Rank #3 (Hold). Other stocks that look promising and are worth a look now are China Merchants Holdings (International) Company Limited with a Zacks Rank #1 (Strong Buy), ITT Corporation (ITT - Free Report) and Compass Diversified Holdings (CODI - Free Report) , each carrying a Zacks Rank #2 (Buy).