Montenegrin state power utility Elektroprivreda Crne Gore (EPCG) has announced an international tendering for the preparation of project documentation for installing a 58.5 MW unit at hydropower plant (HPP) Perućica.

The preparation of the project documentation for the A8 unit will be financed with a portion of a loan approved by the German development bank KfW and signed in September last year. EPCG said that the tendering will be conducted in line with the lender’s rules.

The deadline for the submission of bids is September 18, according to the public procurement notice.

The tendering will be conducted in line with KfW Bank’s rules

Studies have shown that the installation of the eighth unit would secure an additional output of about 50 GWh per year, while the A8 unit will also be able to provide system services to the Montenegrin power grid throughout the year.

The new unit could produce about 50 GWh per year, and will also provide system services

EPCG CEO Igor Noveljić said that the tendering represents the continuation of large investments in HPP Perućica.

The cost of the new unit is estimated at EUR 24 million

The project to install the A8 unit is valued at EUR 24 million. The new unit will increase the current capacity of the HPP from 307 MW to 365.5 MW, making Perućica the power plant with the largest installed capacity in Montenegro, Noveljić said.

Perućica will become the largest power plant in Montenegro

The signing of a contract on financing the EUR 24 million project and the selection of a supplier of equipment for the installation of the A8 unit are planned for 2021.

An analysis conducted by Germany-based consultancy Lahmeyer International confirmed the financial and economic feasibility of the project. The investment envisages the engineering, production, delivery and installation of a new unit, as well as the necessary construction works on the water intake and discharge system, EPCG said on its website.