Croatia: Alstom and Siemens complain against HEP power utility decision to cancel tender for CHP Osijek plant

, SEE Energy News

Complaint about the cancellation of the tender for cogeneration in Osijek, Siemens and Alstom complain that power utility HEP declined their offers.

Both bidders who responded to the tender for the construction of cogeneration power plant in Osijek, Alstom and Siemens submitted a complaint to the State Commission for Supervision of Public Procurement, regarding HEP’s cancellation of the tender.

These companies do not want to comment on the appeals process that could take up to several months.

Alstom Croatia in cooperation with Alstom Switzerland offered 358.5 million euro without VAT for the job, while the consortium Siemens Croatia and Siemens Germany gave a slightly better offer, worth 320 million euro without VAT.

HEP decided that neither of the two bids met the conditions related to the object of procurement and that the offers are against the provisions of the tender documentation, and alternative offers that were submitted were not permitted. In addition, HEP believes that both of the offers contain harmful provisions. For example they complained that in Alstom offer, arrangement of object does not comply with the conceptual design and the location permit, and that the offered capacity of the power plant is bigger than the capacity for which the previous energy permit was issued. The complaint about the arrangement of objects applies to the offer from Siemens, as well as a number of other minor complaints, transmits