Electricity

EPCG, KfW ink EUR 33 million loan for Phase II of HPP Perućica’s reconstruction

EPCG KfW Perućica reconstruction

Photo: Facebook/EPCG

Published

September 19, 2019

Country

Comments

0

Share

Published:

September 19, 2019

Country:

Comments:

0

Share

Montenegro’s state power utility Elektroprivreda Crne Gore (EPCG) has signed a EUR 33 million loan agreement with German development bank KfW for Phase II of a project to overhaul and modernize the Perućica hydropower plant (HPP), the country’s oldest.

The loan agreement for the second phase of HPP Perućica’s reconstruction and modernization was signed by EPCG CEO Igor Noveljić and Bodo Schmuelling, project manager at KfW, according to a press release from EPCG.

The second phase of HPP Perućica’s reconstruction and modernization will cover the reconstruction and modernization of hydromechanical and electrical equipment at three of the plant’s seven units – the A5, A6, and A7 – and other equipment and the reconstruction of the Opačica and Moštanica canals.

Tendering for construction works planned in October/November and for modernization of equipment in early 2020

Tendering for construction works will be launched during October/November, while the works are expected to begin in the spring of 2020, Ivan Mrvaljević, head of development at EPCG, was quoted as saying.

Tendering for the reconstruction and modernization of hydromechanical and electrical equipment is envisaged to be launched in early 2020, while the works are planned to start in the early fall of 2020.

Loan deal to help prepare documentation to build new unit at HPP Perućica

Photo: EPCG CEO Igor Noveljić (left) and Economy Minister Dragica Sekulić (middle) tour HPP Perućica (Facebook/EPCG)

A EUR 700,000 portion of the loan will be used to produce project and tendering documentation for a EUR 23 million project to build a new, A8 unit at HPP Perućica, said Mrvaljević. The A8 unit, with a design capacity of 58.5 MW, would increase HPP Perućica’s overall installed capacity from 307 MW currently to 365.5 MW, he said.

At the signing ceremony, Montenegro’s Economy Minister Dragica Sekulić welcomed the fact that the loan agreement paves the way for adding some 60 MW of capacity to HPP Perućica, which is marking 60 years of operations next year.

For his part, Schmuelling noted that the loan agreement represents a continuation of KfW’s successful cooperation with EPCG, aimed at supporting Montenegro in securing reliable energy supplies from renewables and reducing greenhouse gas emissions. The EUR 33 million loan has been approved under KfW’s new Greening Public Infrastructure program, which earmarks EUR 80 million in favorable, subsidized lending for Montenegro, he said.

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

Coal-power-plants-Bulgaria-cutting-production-losses-pollution

Coal power plants in Bulgaria cutting production amid losses, pollution breaches

29 March 2024 - Coal plants in Bulgaria have halved output as renewables and gas power are cheaper and due to CO2 emission costs and pollution control

Croatian Chamber of Economy lex specialis for renewables position paper

Croatian Chamber of Economy asks for lex specialis for renewable energy sector

28 March 2024 - The Association for Renewable Energy Sources produced a position paper identifying obstacles and possible solutions

romania delgaz hydrogen 20HyGrid

Romania successfully tests blending hydrogen in natural gas distribution grid, households

28 March 2024 - E.ON Romania declared success in its test of blending hydrogen into the gas network and using the mixture in households.

IRENA-Global-solar-power-capacity-surpasses-hydropower-in-2023

IRENA: Global solar power capacity surpasses hydropower in 2023

28 March 2024 - The world's renewable electricity capacity additions in 2023 hit a record 473 GW, dominated by China. Solar power became the largest segment in total.