The online magazine of Pon Power, the Caterpillar dealer for diesel and gas engines and generators.
In this magazine we keep you up to date on the latest projects, new products & services and technical innovations.
ASK A QUESTION
ASK A QUESTION
"The tax concession is 41.5% of the total investment in the Combustion Kit. That’s a fairly significant sum.”
Hans Jacobs
Consultant for ‘Subsidiefocus’
ADVANTAGES
Hans Jacobs, a consultant at Subsidiefocus, explains: “I was aware that the government encourages industries to invest in energy and sustainability via the Energy Investment Schedule (EIA), allowing a 41.5% deduction from profit before tax. But it was not a done deal at that stage. To be considered for the concession we had to prove that Pon Power’s Combustion Kit really worked.”
Adds Peter van Hoek: “We were about to install the kit on a Caterpillar machine owned by Delpeut brothers, an agri and horticulture business in Langenboom (NL). They were happy to cooperate with the experiment. Together with our Technical Specialists we performed an on-site test that allowed us to accurately measure emissions and fuel consumption, before and after installing the kit.” The outcome, as expected, satisfied the regulatory norms. On the basis of those results the firm of Delpeut applied for the Energy Investment concession, and, to everyone’s excitement, their application was approved. Peter van Hoek: “Thanks to close cooperation between Pon Power, Subsidiefocus and the Delpeut brothers we were able to create a precedent that has now paved the way for other customers to apply for the tax concession on our combustion kit. A fabulous result, that we’re all very proud of!”
FACTS & FIGURES
APPLICABILITY
CHP
CONCERNS
ALSON KNOW AS
BEMS
CHPs under 50 MWth and over 130 kWth
Combined Heat-Power Plant
Emission requirements for Combined Heat and Power Plants
Activities Decree (formerly BEMS)
The Decrees on Emission Medium-Range Requirements for Combustion Installations
“We’ve done a lot of prep work that’s now paying off for customers.
It’s a good feeling”
Peter van Hoek
Accountmanager Service
Pon Power
FACTS & FIGURES
GLASSHOUSE INDUSTRY
CHP installations generate both electricity and heat. Especially in the glasshouse industry medium range capacity CHPs are widely used for illumination and heating. The Activities Decree has been in effect since 2010 for newly built systems, however, all installations including older ones must comply with stricter norms by January 2017.
Observes Peter van Hoek, Account Manager Service at Pon Power: “With the majority of existing engines it is certainly feasible to achieve the new norm, however, meeting the new norm does require modifications to the combustion chambers in the cylinders. For this purpose we’ve developed the Combustion Kit, a modification, akin to the reconditioning of a cylinder head, that enables us to reduce hydrocarbon emissions to within the norm. We were excited to note that the kit, apart from producing more efficient combustion, had also resulted in achieving a small but notable fuel economy gain. It took a while before the penny dropped, but we eventually realized that our customers might successfully apply for a government subsidy on the required engine modifications. To really get to the bottom of the matter we took it up with ‘Subsidiefocus’, an organization that assist industries throughout the subsidy application processes. They quickly saw the potential.”
Anticipating future requirements, Pon Power developed the Combustion Kit, which enables its customers to comply with new regulations. The kit also brought another, unexpected bonus, for customers; it qualifies for a tax concession under the government’s Energy Investment Schedule (EIA).
In 2010, the government Decree on Emission requirements for Medium Range Capacity Combustion Systems (BEMS) was enforced, demanding medium capacity combustion systems, including CHPs (combined heat-power Plants) to comply with specific emission requirements. With effect from January 1st, 2017, the BEMS - known today as the Activities Decree- will also apply to engines installed prior to 2010.
ACTIVITIES DECREE
TO APPLY FOR SUBSIDIZATION
PON POWER PAVES THE WAY FOR CUSTOMERS