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The best way to approach turbine business is by understanding that you are buying the beating heart of a power plant or AIcompute campus: highrisk, highvalue, and deeply technical. The complexities fall into five major categories, and each one has a clear, solvable pathway if you approach it like an investor, developer, EPC, or utility procurement team.
Additionally, Unicorn Solar is negotiating relationships with natural gas companies so we can ensure that our customers will have their natural gas requirements solved.
Partnering with gas owners to buy at low cost. Also, we are working with several parts companies and will potentially buy a parts manufacturer with a partner.
In Part 1, we discussed Technical & Engineering Complexities, Regulatory, Safety & Environmental Compliance, and Integration with Balance-of-Plant (BOP) Systems, why
these are complex and how to solve them.
4. Supply Chain, Lead Times & Logistics
Gas turbines have long lead times:
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Aeroderivative turbines: Was 6–12 months; now, with many companies competing for the same products, it can be up to 3 years for new equipment.
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Combinedcycle turbines: Was 12–24 months; now, with many companies competing for the same products, it can be up to 4 years for new equipment.
Why this is complex
- Global supply chain volatility affects delivery.
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Turbines require specialized transport (heavyhaul, port coordination).
- Delays cascade into EPC schedule overruns.
How to solve it
- Lock in delivery windows with contractual penalties.
- Use OEMcertified logistics partners.
- Sequence procurement with EPC construction milestones.
5. Commercial, Warranty & LongTerm Service Agreements
Gas turbines require:
- Longterm service agreements (LTSA)
- Spare parts packages
- Performance guarantees
- Availability guarantees
- Insurance and risk mitigation
Why this is complex
A poorly negotiated LTSA can cost millions over the turbine’s life.
How to solve it
- Require availability guarantees (95–99%).
- Include OEMstaffed maintenance for the first 3–5 years.
- Negotiate fixedprice parts and labor for major overhauls.
- Add liquidated damages for underperformance.
6. Financial & Bankability Requirements
Investors and lenders require:
- Proven OEM technology
- Bankable warranties
- Predictable O&M costs
- Clear fuel supply contracts
- Insurance coverage for outages
Why this is complex
If the turbine package isn’t bankable, financing stalls.
How to solve it
- Use Tier1 OEMs only.
- Provide lenders with OEM performance models and EPC risk assessments.
- Bundle turbine + LTSA + fuel supply into a single bankable package.
7. How EPCs, Developers & Investors Solve All Complexities
Here’s the industrystandard procurement workflow:
StepbyStep Solution
- FrontEnd Engineering Design (FEED): Defines load, fuel, emissions, and integration requirements.
- OEM Technical Modeling: Ensures the turbine matches the site.
- RFP to OEMs: GE, Siemens, Mitsubishi, Solar Turbines.
- EPC Integration Review: Ensures compatibility with BOP systems.
- Permitting PreApproval: Air district + utility interconnection.
- Contract Negotiation: Performance guarantees, LTSA, delivery schedule.
- Factory Acceptance Testing (FAT): Verifies turbine performance before shipment.
- Delivery & Commissioning: EPC manages installation, testing, and startup.
- LongTerm Operation & Maintenance: OEM or EPC handles ongoing reliability.
To summarize, the best way to approach turbine business is by understanding that you are buying the beating heart of a power plant or AIcompute campus: highrisk, highvalue, and deeply technical. The complexities fall into five major categories, and each one has a clear, solvable pathway if you approach it like an EPC or utility procurement team.
What Unicorn Solar has done is partner with a procurement team that has deep knowledge in this space and has access to equipment either refurbished or waiting to get refurbished. Also, we have a financial partner that can assist us in getting the turbine into escrow in first position if it meets the requirements of our supplier. What we have learned is that if we do not get into first position for a viable turbine, the likelihood of winning the opportunity to purchase is low.
Additionally, we are negotiating relationships with natural gas companies so we can ensure that our customers will have their natural gas requirements solved. Also, we are working with several parts companies and will potentially buy a parts manufacturer with a partner.
.…by Robert Benedict
Unicorn Solar is watching, studying, and working with companies innovating within the solar and decarbonization space. Please reach out to us, and we can work together to build a more efficient energy world.
You can read more information in our LinkedIn here: Unicorn Solar
If you have any questions or would like to work with a team of professionals who can help you achieve your success, please don't hesitate to contact Robert, Karlita, Jayde, or Elizabeth for more information. Also, if you have supply-related questions, please contact Sarahy. For BESS, inverter, and transformer questions, please reach out to George, Sebastian or Anthony.
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