GE's Largest Jenbacher Cogen Plant in Hungary to Generate Heat and Power for Key Industrial City


Central and Eastern European Customer Service Capabilities Strengthened
by GE's New Hungary Gas Engine Service Center

JENBACH, AUSTRIA - June 27, 2006 - With many Central and Eastern European countries seeking to modernize their local district heating systems, GE Energy's Jenbacher gas engine business has provided eight cogeneration units for its largest combined power and heat (CHP) project in Hungary.

GE supplied Energott Kft, the general contractor of the project, with eight, natural gas-fueled JMS 620 GS-N.LC units capable of generating a total of 24.4 MW of electricity and 22.4 MW of thermal power. The plant, whose commissioning began at the end of June 2006, is owned and operated by Erőmű Fejlesztő, Beruházó Kft (Power Plant Developer, Investor Ltd.).

The new cogeneration plant will support the local public grid and a district heating system in the industrial city of Székesfehérvár, 65 kilometers southwest of the nation's capital of Budapest.

GE's engines were installed at two sites in the city. This arrangement improves overall plant efficiency by reducing the distance that the engines' heat must travel within the district heating system, and therefore the amount of heat that is potentially lost during distribution.

"The Székesfehérvár project exemplifies GE Energy's commitment to serving the growing and diverse energy and environmental requirements of customers throughout Europe," said Daniel Koch, Chief Financial Officer of GE's Jenbacher gas engine business. "Using CHP technology to simultaneously generate power and heat helps the customer save primary energy of roughly 40%, compared to equipment for separate generation."

To strengthen customer service capabilities for Jenbacher plants in the Central and Eastern European region, GE Energy opened its Hungarian Jenbacher engine service center in late 2005.

Located in the city of Veresegyház, 20 kilometers northeast of Budapest, the office is "co-located" with GE's gas-turbine spare parts manufacturing operation.

That expansion comes as demand for GE's gas engine technology is expected to remain strong in Hungary and throughout the region.

With approximately 120 Jenbacher gas engines in operation (its smallest installation provides 330 kW of power), GE already has established a strong presence in Hungary.

Providing convenient service to customers, the new Jenbacher gas engine service center currently serves about 70 local Jenbacher plants.

With six field technicians and three office employees, the center handles various orders, including for spare parts, service and repair work, as well as maintenance contracts and commissioning.

In addition to serving customers in Hungary, GE's new Jenbacher center is helping to enhance customer service in surrounding countries including Romania, Slovakia and Croatia.

Based in Jenbach, Austria, GE Energy's Jenbacher business is a global manufacturer of reciprocating gas engines, packaged generator sets and cogeneration units. Jenbacher engines run on natural gas and various "specialty gases" created from landfills, coal mines, sewage sludge and industrial wastes.

About GE Energy

GE Energy (www.ge.com/energy) is one of the world's leading suppliers of power generation and energy delivery technologies, with 2005 revenue of $16.5 billion. Based in Atlanta, Georgia, GE Energy works in all areas of the energy industry including coal, oil, natural gas and nuclear energy; renewable resources such as water, wind, solar and biogas; and other alternative fuels. Numerous GE Energy products are certified under ecomagination, GE's corporate-wide initiative to aggressively bring to market new technologies that will help customers meet pressing environmental challenges.

For more information, contact:

Dennis Murphy
GE Energy
(678) 844 6948
dennis.murphy@ps.ge.com

Ken Darling or Tom Murnane
Masto Public Relations
(518) 786 6488
kenneth.darling@ps.ge.com
tom.murnane@mastopr.com

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