Renewables

Attempts to revive Vranduk HPP project in Bosnia and Herzegovina

Photo: EPBIH

Published

August 14, 2017

Comments

0

Share

Published:

August 14, 2017

Comments:

0

Share

The companies involved in the construction of the Vranduk hydro power plant in Bosnia and Herzegovina have been trying to find a way to continue the construction of this HPP after the termination of the contract. Austrian Strabag has been exploring the possibility of settlement, while state-owned power utility Elektroprivreda BiH (EPBiH) has initiated talks with another company, media in the region reported.

Works on the construction of Vranduk HPP were stopped after Strabag decided in July to withdraw from the project. However, according to the Croatian daily Večernji list, the Austrian company representatives have talked with the EPBiH representatives about the possibility of reaching a settlement, the portal Energetika.ba reported.

The reason for the termination of the contract is the actual cost of the works. Večernji list has learned that the final offer submitted by Strabag was different from the bid submitted on the tender. The Austrian company allegedly requested another EUR 2.5 million to cover “additional costs” of the construction.

Elektroprivreda BiH did not accept this request, Strabag stopped works, and Bosnian power company stopped payments. After that, at the request of this Austrian company, the contract was terminated.

Vecernji list writes that, on the other hand,  in order to show Strabag that it cannot be blackmailed, the EPBiH has started talks with Euroasfalt company about the possibility to take over the project.

EPBiH signed a contract with companies Strabag AG and Croatian Končar KET, worth EUR 57.4 million, in January 2016. The agreement foresees preparation of project documentation, production, delivery and installation of equipment, construction works, testing and commissioning of the plant.

The construction of Vranduk HPP on the river Bosna was launched in September 2016. It was announced that the works should be completed in November 2019.

The HPP with installed capacity of 19.6 MW would produce 100 GWh of electricity annually, which would increase the share of electricity from renewable sources and contribute to reduction of the CO2 emissions. This wolud be the first ever HPP built on the river Bosna.

The funds for the project have been secured from Elektroprivreda BiH and loans from the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD).

Vranduk is the first major project for EPBiH after many years, since the construction of Višegrad HPP 40 years ago.

Comments (0)

Be the first one to comment on this article.

Enter Your Comment
Please wait... Please fill in the required fields. There seems to be an error, please refresh the page and try again. Your comment has been sent.

Related Articles

Romanian heating plant 80 MW solar park green hydrogen gas

Romanian heating plant to build 80 MW solar park, mix green hydrogen into gas

05 July 2022 - Romania's Oradea city is pushing ahead with decarbonization by launching integrated projects for solar power and green hydrogen

Turkish entity Cyprus energy water deal government Nicosia

Turkish entity in Cyprus offers energy, water deal to government in Nicosia

05 July 2022 - Cypriot Turkish leader Ersin Tatar offered the Republic of Cyprus a deal on hydrocarbons, electricity, renewables and water, but under a two-state solution

offshore wind

Hellenic Petroleum, RWE to develop offshore wind projects in Greece

05 July 2022 - RWE and Hellenic Petroleum joined forces to explore offshore wind opportunities in Greek waters. The country is targeting 2 GW in total by 2030.

What’s new in Federation of BiH ’s draft law on renewables auctions

What’s new in Federation of BiH’s draft law on renewables?

04 July 2022 - It introduces auctions for the allocation of feed-in tariffs and feed-in premiums for renewable power plants