Bosnia and Herzegovina, Government of the RS signed the contract for financing and construction of HPP Dabar

, SEE Energy News

The Government of the Republic of Srpska (RS) signed the contract for financing and construction of hydropower plant Dabar, worth some 190 million euros.

According to the signed contract, the hydropower plant will be built by China Energy Gezhouba Group and will be financed through a loan provided by Chinese Eximbank, with the guarantee provided by the Government.

In January 2019, Hidroelekrana Dabar, part of ERS’ subsidiary Hidroelektrane na Trebisnjici (HET), has launched an international tender for financing and construction of hydropower plant Dabar. The selected partner will be obliged to build a dam with embankments and an accumulation basin, a surge tank, a machine house, two 200 kV transmission lines and a drainage channel. The preferred model of financing is a monetary loan with a 15-year repayment period and a four-year grace period. The project partner is expected to provide 85 % or more of the financing, while HET will provide up to 15 %. HPP Dabar will remain in HET’s sole possession following the construction which will last four years.

Future HPP Dabar is a part of hydroelectric system Gornji Horizonti, its planned power output would be 159 MW and its annual electricity generation should be about 250 GWh.