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

HT Profession Energia ink first virtual PPA in Croatia

HT, Profession Energia ink first corporate PPA in Croatia

27 May 2023 - The adviser to Hrvatski Telekom in reaching the power purchase agreement was consulting company PwC Croatia

Enery-scholarships-female-students-renewables-program-Austria

Enery offers scholarships to female students at renewables program in Austria

26 May 2023 - Enery Development is offering two scholarships to female candidates for master's studies in renewables in Austria

Biogas power plant in Croatia goes bust due to price controls

Biogas power plant in Croatia goes bust due to price controls

26 May 2023 - Unless the Government of Croatia helps biogas power plants, 70% will need to be shut down before summer, their association claims

bef 2023 auctions investments serbia neda lazendic

Neda Lazendić: Serbia has reliable investment environment

25 May 2023 - Neda Lazendić, Country Manager at WV-International, was one of the panelists at the Belgrade Energy Forum 2023