NEWS RELEASE                                                                                        June 2019

Maximizing CFT Profits in the Coal Fired Power Generation Industry

Coal fired power represents the largest single opportunity for suppliers of combust, flow and treat (CFT) equipment.  The replacement and repair for existing plants far exceeds that of any other application. There is so much new plant construction in Asia that coal fired generators remain the leading purchasers of new systems and components. The market is very challenging for CFT suppliers because the geographies and decision makers keep changing.

Who would have predicted that in terms of CFT products for new plants the U.S. would not be in the top 50 countries and that India, Vietnam, Indonesia and Turkey would be near the top behind China?  Who would have predicted that China would have tougher standards for the combination of greenhouse gases and air pollutants than any other country?

Non-Chinese suppliers of instruments, valves, pumps, nozzles, seals, mist eliminators, filter bags, precipitator rappers and DeNOx catalyst have to be innovative to keep leadership positions when more than 50 percent of the market is in China. The emergence of Chinese coal fired  generator and APC system suppliers on the world stage has both negative and positive implications for the international CFT suppliers. The negative aspect is that the suppliers will tend to use Chinese components. The positive aspect is that many of these companies are now supplying build, own, operate systems.  If an international supplier has the lowest total cost of ownership (LTCO) product then he has a chance to sell to Chinese system suppliers who are charging owners a fixed price per kW.

This opportunity can be seized  with the aid of tools developed by the McIlvaine Company which are outlined in the Most Profitable Market Program explained at



The future is in total solutions. A valve or a pump is no better than the way it is used in a system.  Many of the opportunities will take place in countries where the supplier does not have a strong sales presence. Working with local entities is one option. Another is to collaborate with other suppliers of complimentary products and jointly chart a sales strategy for a particular country. McIlvaine will be participating in a half-day session at PowerGen to discuss these options.

SiloBuster Program

In many cases the supplier already has representatives or company personnel in the target country. These people can be most effectively used by busting the geographical and application silos. These people can become more effective if there is a forecast of the product sales potential  at each major prospect. In most cases a successful sale needs the efforts of multiple people at disparate locations. Maximizing their contribution is a goal of the SiloBuster program.

LTCOV Program

Success is contingent on providing the lowest total cost of ownership (LTCO) and then validating it (LTCOV). With remote monitoring and data analytics the cost and performance of each CFT product will be tracked. Suppliers need to understand the processes, adapt their products to make them superior and then validate this superiority through all the means available including exhibitions, media and some innovative routes to market as explained in 44I Coal Fired Power Plant Decisions

Program for Each Utility

Purchases at each large power plant are large enough that a specific revenue opportunity can be generated and a program to pursue it put in place.

Corporate Name: EVN Unit Size: MW 660
Plant Name: Genco 3 Vinh Tan 2 Vĩnh Tân commune, Tuy Phong district, Bình Thuận province. Vietnam
Unit #  1 Specific product purchases 2019
Forecasts can be supplied for sixteen types of valves, four types of pumps, actuators, limestone, lime, precipitator internals, dust bags, gas instrumentation, liquid instrumentation, controls, treatment chemicals, ammonia, urea, catalyst, cartridges, dewatering filter belts, membrane modules, linings, nozzles, mist eliminators, fans, air compressors, oxidation compressors, motors, VFD, seals, packing, hose, couplings, compressed air filters, lubrication filters. Ball Valves  -  $170,000
Butterfly Valves  -  $120,000
Globe Valves  -  $190,000
Plug Valves  -  $100,000
Gate Valves  -  $150,000

A complete profile on EVN as well as every major utility is provided in the Utility Tracking  System along with capacity in MW for thousands of operators and 15,000 individual units.

Market Reports

The Utility Tracking System 42EI Utility Tracking System  provides coal fired capacity forecasts for each country. The capacity will increase from 2 million MW to close to 2.3 million MW between 2018 and 2022. For some countries such as Belgium coal has been phased out. But for others such as Bangladesh there will be sixteen times as much coal fired capacity in place in 2022 as in 2018.

Coal Plants by Country (MW)
Installed Base

Country 2018 2019 2020 2021 2022 2023 2024
Albania 0 0 0 0 0 0 0
Argentina 350 350 350 350 350 350 350
Australia 24,442 24,442 24,442 24,442 24,442 24,442 24,442
Austria 635 635 635 635 635 635 635
Bangladesh 525 1,200 2,500 5,500 8,000 10,000 12,000
Belarus 0 0 0 0 0 0 0
Belgium 0 0 0 0 0 0 0
Bosnia & Herzegovina 2,073 2,073 2,073 2,073 2,073 3,000 4,000
Botswana 600 600 732 732 732 1,200 1,200
Brazil 2,804 2,804 2,804 2,804 2,804 3,400 3,400
Bulgaria 4,889 4,889 4,889 4,889 4,889 4,889 4,889
Cambodia 505 505 505 505 1,200 1,200 2,000

Individual market reports are also provided

World Fabric Filter and Element Market,  N027 FGD Market and Strategies,  N035 NOx Control World Market, N056 Mercury Air Reduction Market, N031 Industrial IOT and Remote O&M,  5AB Air Pollution Management, N029 Ultrapure Water: World Market,  N028 Industrial Valves: World Market, N026 Water and Wastewater Treatment Chemicals: World Market, N024 Cartridge Filters: World Market,  N020 RO, UF, MF World Market, N019 Pumps World Market, N006 Liquid Filtration and Media World Markets, N005 Sedimentation and Centrifugation World Markets 

These reports cover coal fired power along with other applications.

Project Tracking

The  Alert  41F Utility E-Alert  provides project news. Background details can be found in the tracking system database.  The SiloBuster program can be used to coordinate the sales effort.  The revenue forecast for specific products at each plant provides a long range tool for which this updated information is just a small piece of the puzzle. The program is geared to provide maximum value to those suppliers selling high performance products. Success comes with a long term program which convinces the customer to include the supplier on a bid list whenever the opportunity arises.

Although the coal fired market is challenging the Most Profitable Market Program provides a route to market to maximize success.  For more information on the program contact Bob McIlvaine  847 784 0013  This email address is being protected from spambots. You need JavaScript enabled to view it.