The Growing Backlog of Gas Turbine Orders: Implications for Customers

As every first Saturday of each month, welcome to this month’s edition of the GasTurbineHub Newsletter!

In today’s newsletter:

📈 The growing backlog of gas turbine orders – higher leading times for new gas turbines.
🏭 Gas Turbine New Installations – Latest updates on projects and deployments.
⚙️ Gas Turbine Technology Developments – Innovations driving efficiency and performance.
🔥 Hydrogen Gas Turbines – Advancements in hydrogen-powered solutions.
🌍 Carbon Capture and Sequestration Projects – Key progress in reducing emissions.
📅 2025 Events Calendar – Upcoming industry events and opportunities to connect.

Let’s jump right in!

The Growing Backlog of Gas Turbine Orders: Implications for Customers

The global gas turbine market is experiencing a significant surge in orders, with major players like Siemens Energy, GE Vernova, and Mitsubishi Power reporting record-breaking backlogs in 2024. While this signals strong demand for efficient and hydrogen-ready gas turbines, it also raises critical concerns for current and prospective customers regarding delivery timelines, maintenance support, and overall market stability.

A backlog refers to the accumulated volume of orders that a company has received but has not yet fulfilled. In the gas turbine industry, backlogs occur when demand for new turbines and service agreements exceeds manufacturers’ capacity to produce and deliver them within standard lead times. While a strong backlog can indicate high market demand and financial stability for manufacturers, it also poses significant challenges for customers who depend on timely equipment deliveries and service support.

Record Backlogs: A sign of Market Strength or Bottleneck?

Siemens Energy

Total Order Backlog: €123 billion
Gas Services Backlog: €45 billion
New Gas Turbine Orders in 2024: €16.4 billion (+27% YoY)
Book-to-Bill Ratio: 1.52 (orders significantly outpacing deliveries)
Key Markets: Middle East, North America

Siemens Energy’s backlog reflects rising demand for hydrogen-capable turbines and increased interest in flexible power generation. However, customers are now facing longer delivery timelines as Siemens struggles to match manufacturing capacity with order volume. Power plant developers and industrial clients who depend on Siemens gas turbines for near-term projects could experience delays, potentially affecting energy supply reliability.

GE Vernova

Total Power Backlog: ~$80 billion
Gas Power Backlog: $30–40 billion
New Gas Turbine Orders in 2024: GE remains market leader in heavy-duty turbines
Service Agreements: GE’s extensive installed base includes >7,000 gas turbines
Key Markets: North America, Middle East, Asia

GE Vernova’s backlog is a double-edged sword for customers. While its dominant installed fleet ensures strong aftermarket support, the company’s focus on long-term service agreements (LTSAs) means that new customers must compete for limited service resources. This could lead to extended wait times for maintenance, upgrades, and spare parts, raising operational risks for plants relying on timely servicing.

Mitsubishi Power

Gas Turbine Order in 2024: $12.5 billion
New Gas Turbine Orders in 2024: Strong demand for JAC-class & F-class turbines
Service Agreements: Growing number of LTSAs, particularly in Asia
Key Markets: Japan, Southeast Asia, Middle East, North America

Mitsubishi Power is rapidly expanding its JAC-series and F-class turbine installations, yet its backlog growth suggests potential constraints in production capacity. Customers ordering Mitsubishi turbines in 2024 may face multi-year lead times, which could force utilities and industrial operators to seek interim solutions, such as extending the lifespan of existing assets or procuring alternative technologies.

Critical Impacts on Current and Prospective Customers

Delays in Project Execution

For utilities and industrial customers relying on new turbine installations, long backlogs can disrupt construction schedules and lead to cost overruns. Delays in gas turbine delivery could force companies to rely on older, less efficient power sources, undermining decarbonization and energy transition goals. Some gas turbine models now have leading times of up to 37 months, substantially affecting project planning and execution.
Strain on Maintenance and Spare Parts Availability

With millions of dollars tied up in LTSAs, current gas turbine operators are increasingly concerned about slower turnaround times for scheduled maintenance. As major OEMs prioritize servicing their largest contracts, smaller operators may struggle to secure parts and technical support, potentially causing forced outages and unexpected downtime. Customers are now experiencing lead overhaul times of around 350 days, a sharp increase from the 120 days that were previously standard.
Rising Costs for End-Users

The high backlog demand has shifted pricing power to OEMs, meaning customers may pay more for both new turbines and service agreements. Additionally, inflationary pressures on raw materials and supply chain constraints are further driving up capital and operational costs for gas turbine buyers.
Uncertainty in Decarbonisation Strategies

Many power producers are investing in hydrogen-compatible gas turbines as part of their long-term net-zero strategies. However, backlog-induced delays may slow the transition to cleaner gas power, forcing utilities to rely on conventional fossil fuel assets longer than anticipated.

Navigating the Challenges: What Can Customers Do?

Diversify Suppliers: Considering multiple OEMs for gas turbine procurement can help mitigate dependency risks.
Secure Early Service Contracts: Locking in maintenance agreements ahead of time can ensure better availability of spare parts and support.
Leverage Alternative Technologies: Exploring energy storage, hybrid solutions, and efficiency upgrades for existing turbines can offset some of the negative impacts of order delays.
Engage in Strategic Partnerships: Collaborating with manufacturers to co-develop solutions can give large buyers greater leverage in securing deliveries and services.

Looking Ahead: While the record gas turbine backlogs of Siemens Energy, GE Vernova, and Mitsubishi Power signal strong demand and industry growth, they also introduce significant risks for customers. Delays in turbine availability, constrained service resources, and rising costs are challenges that utilities, industrial operators, and power producers must strategically navigate. Customers should proactively engage with OEMs, plan for contingencies, and explore diversified technology options to maintain reliability and cost-effectiveness in their power generation operations.

The future of gas turbines remains strong, but the race to secure timely deliveries and services will define winners and losers in the evolving energy landscape.

Join the Conversation: Sign up for our newsletter to stay updated on developments in gas turbine technology and the energy sector.

The Latest News in a Snapshot

Gas Turbine New Installations

Ansaldo & SSE to Build 300 MW Biofuel Power Station in Ireland

“Ansaldo Energia and SSE Thermal are partnering on the Tarbert Next Generation plant, which will use an Ansaldo AE94.3A gas turbine running on 100% sustainable hydrotreated vegetable oil (HVO) biofuel. The simple-cycle station will provide fast, lower-carbon peaking power to support Ireland’s grid.”
Source: Ansaldo Energia (03/02/2025)
GE Vernova and Iraq’s Ministry of Electricity propel key projects forward

“GE Vernova and Iraq’s Ministry of Electricity completed upgrades on 46 gas turbines across 12 power plants, adding over 500 MW to the national grid. Advanced Gas Path upgrades increased capacity by 6% at select plants, enhancing efficiency and supporting Iraq’s energy transition.”
Source: GE Vernova (05/02/2025)
Mitsubishi Power Secures Major Gas Turbine and Services Order for Al Wanda Power plant in Morocco

“Mitsubishi Power will supply two M701JAC gas turbines (~990 MW total) for Morocco’s Al Wahda peaking plant, supporting grid stability and adding nearly 7% to the country’s generation capacity when operational in 2027.”
Source: Mitsubishi Power (12/02/2025)
Mitsubishi Power Completes Alba Power Station 5 Block 4 Project in Bahrain

“Mitsubishi Power inaugurated a 680.9 MW combined-cycle plant at Aluminium Bahrain, powered by an advanced hydrogen-ready M701JAC gas turbine. The project, completed ahead of schedule, expands Alba’s captive power and marks the first JAC turbine in a Middle Eastern smelter.”
Source: Mitsubishi Power (19/02/2025)
Siemens Energy Supplying Gas Turbines for Taiwan’s Energy Transition

“Siemens Energy will supply two HL-class gas turbines for the Sun Ba II power plant in Taiwan, a 1.3 GW combined-cycle facility aimed at reducing CO₂ emissions while ensuring grid stability. This project is part of Taiwan’s strategy to transition from coal to lower-emission gas-fired generation.”
Source: Siemens Energy (25/02/2025)

Gas Turbine Technology Developments

Turbine Inlet Air Cooling Systems: Worth the Cost?

“Gas Turbine World reports that inlet cooling (fogging, evaporative cooling, wetted media, or chillers) can boost gas turbine output by ~5–25% on a 90°F day and improve efficiency. These upgrades effectively add emissions-free capacity at $15–$185 per kW installed, depending on the technology.”
Source: Gas Turbine World (04/02/2025)
Emerson Upgrades DeltaV Control System for Edge Data

“Emerson released DeltaV Edge Environment 2.0, bridging plant control systems and IT applications. The update creates a secure, read-only replica of distributed control system data for cloud or on-prem analytics, enabling easier use of real-time operational data in AI, batch optimization, and enterprise tools.”
Source: Gas Turbine World (11/02/2025)
3D Scanning and AI Speed Up Compressor Overhauls

“Turbomachinery Magazine highlights how combining 3D laser scanning with generative AI automates turbomachinery inspection and repair. Digital inspection platforms now rapidly detect out-of-tolerance parts and suggest fixes, cutting the time to assess and plan compressor repairs by over 50% while reducing human error.”
Source: Turbomachinery Magazine (25/02/2025)

Hydrogen Gas Turbines

Hanwha & Baker Hughes Partner on Ammonia-Fueled Turbines for Shipping

“A new joint development will design small gas turbines capable of 100% ammonia fuel combustion for marine propulsion. The turbine will integrate Baker Hughes technology with an ammonia combustor from Hanwha’s PSM subsidiary, aiming to enable zero-carbon power for large ships by 2028.”
Source: Hydrogen Central (04/02/2025)
Singapore’s Hydrogen Gas Turbine Market Heats Up

“Singapore is advancing hydrogen-compatible power plants to reduce carbon emissions. Keppel Ltd. and PacificLight Power Pte Ltd. are developing gas turbine projects aligned with the government’s mandate for new and upgraded natural gas plants to support at least 30% hydrogen by volume.”
Source: Asian Power (08/02/2025)

Carbon Capture and Sequestration Projects

Biofuels Producer POET Taps Tallgrass for CO₂ Storage

“POET and Tallgrass announced a project to capture CO₂ from POET’s ethanol plant in Fairmont, Nebraska, and pipe it to Wyoming for permanent underground sequestration. An existing natural gas pipeline is being converted for CO₂ transport, with the new Trailblazer CCS line set to begin service in 2025.”
Source: Tallgrass (13/02/2025)
Mitico Raises $4.3M to Scale Up Carbon-Capture Tech

“California-based startup Mitico secured seed funding to pilot its novel metal-carbonate sorption technology for post-combustion carbon capture. The company’s system can capture >95% of CO₂ from exhaust streams (e.g., gas-fired plants, boilers), and the funds will accelerate demonstrations to prove its cost and performance at scale.”
Source: Turbomachinery Magazine (26/02/2025)

Gas Turbine Related Events Happening in 2025

FT8 Users Group Second Annual Meeting
Date: March 18-20, 2025
Location: Charlotte, North Carolina, USA (In-person)
Organizer: FT8 Users Group
Website: FT8 Users Group
Key Topics: User experiences, maintenance practices, technology advancements in FT8 gas turbines.

European Turbomachinery Conference (ETC16)
Date: March 24-26, 2025
Location: Hannover, Germany (In-person)
Organizer: European Turbomachinery Society
Website: ETC16
Key Topics: Fluid Dynamics, Thermodynamics, Turbomachinery Design.

ETN Global Annual General Meeting & Workshop
Date: March 25-27, 2025
Location: Bergen, Norway (In-person)
Organizer: ETN Global
Website: ETN Global Events
Key Topics: Industry collaboration, innovation, turbomachinery advancements.

Western Turbine Users Inc 35th Anniversary Conference
Date: March 30-April 2, 2025
Location: Long Beach, California, USA (In-person)
Organizer: Western Turbine Users Inc
Website: WTUI
Key Topics: Gas turbine operations, maintenance, technology updates.

V94.2 (SGT5-2000E AE94.2) Users Conference
Date: April 7-10, 2025
Location: Zagreb, Croatia (In-person)
Organizer: GTUsers
Website: GTUsers Conferences
Key Topics: User experiences, maintenance practices, technology advancements in V94.2 gas turbines.

European HRSG Forum (EHF) 11th International Conference
Date: May 15-17, 2025
Location: Prato, Italy (In-person)
Organizer: European HRSG Forum
Website: EHF
Key Topics: Heat recovery steam generators, combined cycle plants, maintenance strategies.

7F Users Group Conference and Vendor Fair
Date: May 19-23, 2025
Location: Birmingham, Alabama, USA (In-person)
Organizer: 7F Users Group
Website: 7F Users Group
Key Topics: User experiences, maintenance practices, technology advancements in 7F gas turbines.

MEGAWatt 2025
Date: May 20-21, 2025
Location: Bergamo, Italy (In-person)
Organizer: MEGAWatt Expo Organizing Committee
Website: MEGAWatt
Key Topics: Gas and Steam Turbines, Alternative Fuels, Digitalisation, Grid Integration, and Market Integration.

LM2500 User Group Meeting
Date: June 3-5, 2025
Location: To Be Confirmed (In-person)
Organizer: ETN Global
Website: ETN Global Events
Key Topics: User experiences, maintenance practices, technical updates for LM2500 turbines.

ASME Turbo Expo 2025
Date: June 16-20, 2025
Location: Memphis, Tennessee, USA (In-person)
Organizer: American Society of Mechanical Engineers (ASME)
Website: ASME Turbo Expo
Key Topics: Gas turbine technology, propulsion engineering, energy solutions.

Legacy Turbine Users Group Third Annual Conference
Date: June 16-19, 2025
Location: USA (In-person)
Organizer: Legacy Turbine Users Group
Website: Legacy Turbine Users Group
Key Topics: Frame 5, 6B, and 7EA gas turbines, maintenance, operations.

AOG (Alstom Owners Group) Users Conference
Date: July 14-17, 2025
Location: Niagara Falls, New York, USA (In-person)
Organizer: AOG Users Group
Website: AOG Users
Key Topics: GT8, GT11N, N1, N2, GT13, GT24, GT26.

HRSG Forum 2025 – Heat Recovery Steam Generator Users Conference
Date: July 21-24, 2025
Location: The Woodlands (Houston), Texas, USA (In-person)
Organizer: HRSG Forum
Website: powerusers.org
Key Topics: HRSG Tube Failures, Water Treatment, HRSG Preservation.

HA Users Group 2025 Annual Conference
Date: August 4-8, 2025
Location: Greenville, South Carolina, USA (In-person)
Organizer: HA Users Group
Website: powerusers.org
Key Topics: 7HA, 9HA.

Combined Cycle/Steam Turbine/Generator/Power Plant Controls User Groups and Low Carbon Peer Group Conference
Date: August 25-28, 2025
Location: Washington, D.C., USA (In-person)
Organizer: Steering Committees of each User Group
Website: powerusers.org