Ivicom Consulting GmbH Austria and Mitsubishi Heavy Industry (MHI) formed a Consortium and thus signed an Agreement on the land lease and construction of Wind Power Plan with the Ministry of Economy representing the State Montenegro. Execution of the project and said agreement has been assigned in favour of Project Company (project proponent) whereas MHI was keeping an American call option for taking majority equity stake over Project Company. In later stage, after adoption of new grid code, it has appeared that MHI has no suitable wind turbine in its product range what implied that MHI will stay in the project just in minor part as equity holder. IVICOM Consulting is looking for a new major equity partner. CER’s are going to be traded in the respective market.
Electricity produced at wind power plant is to be supplied to CGES (Crnogorski Elektroprenosni Sistem) through Market Operator of Montenegro on preferential basis (subsidized price). CGES is a national company carrying out activities in the area of electricity transmission, while Market Operator of Montenegro shall manage and balance Montenegro’s portfolio of renewable energy . All the wind turbines are connected with 35 kV underground power lines with the 35/110 kV substation located within the plant. New 110kV overhead transmission line and new 110/35 kV substation are to be built to/at village Brezna. 110 kV overhead transmission line from village Brezna to town Nikšić already exists. Substation at Brezna and overhead transmission line are to be given to CGES for operation and maintenance.
The project is to be implemented in the Montenegro, Municipalities of Nikšić and Šavnik, near Gvozd Village. Wind measurements on site are ongoing since September 2009. and results have shown that generation of wind energy on that location may result with feasible project. Also, economic, geophysical, environmental and settlement characteristics for this location have also been taken into account before final decision was made. Project proponent has already won international tender for use of municipality and state owned land and has also signed contract with Ministry of Economics for the expropriation with compensation of privately owned land.
Annual net energy production is estimated at minimum 220,000 MWh. Calculation is based on short-term measurements at maximum height of 60m above ground level in the area of the planned Krnovo wind power plant with a measurement period of 2 years and 3 months (September 2009-December 2011). The annual yield is corrected to the long-term norm using nearest NCAR/NCEP dataset as source of long term reference data.
The wind turbines are connected with 35 kV underground power lines with the 35/110 kV substation located within the plant (WPP Substation Krnovo). WPP Substation Krnovo is to be built and operated by project proponent. New 110/35 kV substation Brezna is to be built by project proponent and handed over for operation to Electric Power Company of Montenegro (EPCG). EPCG will repay this investment cost to project proponent as a loan (according to the Montenegro’s legislation). New 110 kV overhead transmission line Krnovo – Brezna (19 km) is to be built by project proponent at its own cost. It is still under negotiations who will operate this transmission line but project proponent will keep ownership nevertheless. New 110 kV overhead transmission line (6,4 km) from new substation Brezna to existing overhead transmission line Brezna – Nikšić will be built by project proponent and handed over for operation to EPCG. Same as new substation Brezna, investment cost for this power line will be repaid as a loan to project proponent. As a part of the negotiations with EPCG it is project proponent intention for the measurement point to be situated in substation Krnovo on 110 kV side (EGPJ,y).
