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Success Stories Sucess Stories
EIC Survive& &Thrive Thrive IX EIC Survive 2025
2025 JulyJuly 2025
Story type #energy transition (main category) #environmental sustainability & social impact, #scale up, #technology
Benefits
Siemens Energy AB (Sweden) Patience pays off thanks to record gas turbine sales
FEED Manager
Siemens Energy AB in Sweden is a subsidiary of Siemens Energy, one of the world’s leading energy technology companies with more than 101,000 employees in more than 90 countries. The Swedish entity has achieved exceptional success through its long-term commitment to gas turbine efficiency and hydrogen readiness. The SGT-800 gas turbine, built in Finspång, delivers marketleading 60% efficiency in its MW-range in combined cycle configuration. With first hydrogen-ready units sold to German municipal utilities and strong demand across Asia and North America, Finspång’s twodecade investment in sustainable technology has positioned it firmly as one of the leading contributors to the energy transition. The challenge - For Siemens Energy’s Finspång facility, the major challenge hasn’t been responding to recent market disruption – rather it, has centred around maintaining a consistent focus on efficiency and fuel flexibility across decades while others chased different priorities. Unlike competitors who pivoted to decarbonisation only recently, Finspång began its journey over 20 years ago, developing technologies for both maximum efficiency and alternative fuels well before they became industry imperatives. This long-term vision required substantial sustained investment in research and development, testing infrastructure and advanced manufacturing. Initially, many traditional customers in sectors such as oil and gas had little incentive to prioritise efficiency as fuel was essentially free to them, while hydrogen remained primarily a waste gas in refineries as opposed to a cornerstone of energy transition. The facility also needed to balance its innovation agenda with daily production demands. At the same time, it needed to continuously improve its core products through incremental advances in materials, temperature tolerance and leakage reduction – a patient approach that contradicted the industry’s tendency to reinvent solutions.
▸ Strong market position.
Key findings For young people ▸ Commit to learn the technology.
Anders Hellberg
How is Siemens Energy AB (Sweden) thriving?
▸ Over 600 units of the SGT-800 gas turbines sold worldwide.
For industry ▸ Stick to facts. The solution - Siemens Energy’s success at Finspång stems from a consistent strategic vision that has evolved through persistent, incremental improvements rather than dramatic pivots. This approach began gaining momentum approximately 20 years ago when the facility was acquired by Siemens AG at that time – this provided access to additional technologies and expertise that complemented Finspång’s engineering heritage, which dates back to 1913. The strategy focused on two complementary pathways. First, relentless improvement in fuel efficiency – here, the company has achieved a remarkable 60% in combined cycle configuration for its 60MW SGT-800 turbine, a level that would typically require a 300MW unit. This efficiency translates into significant operational cost savings and emissions reductions for customers. Second, the facility invested early in alternative fuel capabilities, particularly hydrogen readiness. This work began around 15 years ago and initially addressed hydrogen as a waste gas in industrial settings before evolving to focus on its environmental benefits. A crucial enabler was the adoption of additive manufacturing, which allowed for rapid prototyping and the creation of advanced components capable of functioning with hydrogen blends. The testing infrastructure at Finspång has undergone continuous enhancement to support this development. A decade ago, the facility was rebuilt to accommodate hydrogen testing, with capabilities progressively increasing to handle 75% hydrogen blends. By 2030, Siemens Energy expects to achieve full 100% hydrogen compatibility, meaning most of its turbine frames will be able to operate seamlessly with either natural gas or hydrogen without modification. This developmental approach has capitalised on some of Finspång’s distinct advantages. As a manufacturer of smaller turbines (25-60MW), the facility had greater flexibility to experiment and iterate compared to producers of larger units. Its focus on decentralised power generation aligned perfectly with emerging
For government ▸ Invest in infrastructure in all ways.
Siemens Energy AB (Sweden) at a glance: Key products and services: gas turbines manufacture. Main industries served: ▸ Conventional power – 75% ▸ Oil and gas – 25% Headquarters: Finspång, Sweden Year established: 1913 Number of employees: 3,100
market needs for resilient, distributed energy systems. Additionally, being part of Siemens Energy provided access to broader technological resources while maintaining the site’s specialised expertise. So far, the SGT-800 turbine has sold around 600 units worldwide. Current production has doubled from historical levels to 100 units annually, with the SGT800 representing 75% of output of the Finspång site. German cities have proven particularly receptive to Finspång’s hydrogen-ready turbines, with already some units sold that can run on blends of up to 75% hydrogen today and be ready for 100% hydrogen when supply infrastructure matures. This early-mover advantage has created a strong market position that competitors now struggle to match. While other manufacturers are scrambling to adapt existing designs for increased efficiency and hydrogen compatibility, Finspång’s two-decade head start has resulted in technologies that deliver immediate carbon reductions through efficiency, all while offering a futureproofed pathway to zero-carbon operation when green hydrogen becomes widely available.