Montenegro: HPP Moraca project restart with Chinese financing

, SEE Energy News

Norinco International from China and Berekt Enerji from Turkey submitted tenders for the construction of HPP on Morača

In addition to Chinese and Turkish companies, the interest in the construction of hydro power plants on Moraca were shown by companies from Slovakia, the Ministry of Economy said for “Vijesti”. The Ministry stated that Norinco International from China and Berekt Enerji from Turkey submitted tenders (technical document) for the Project- construction of HPP on Morača.

“Negotiations with other interested companies from China and Slovakia are currently at the level of initial interest“, stated the Ministry.

When asked whether Turkish company Bereket Enerji proposed two instead of four HPPs to be constructed the Ministry answered that having in mind that the procedure is ongoing the public shall, upon evaluation of all submitted tenders, be informed if any tender was evaluated as the tender of Governmental interest, “and that is respecting the highest standards in the field of energy, implementation of best technical solutions providing the best international practice in the field of environmental protection“.

They added that the Government is currently conducting negotiations with several interested companies with the aim of obtaining the best offer for the construction of HPP on Morača.

“Depending on the interest of investors and quality of submitted tenders further steps shall be determined “, stated the Ministry.

Last year the Government adopted proposals of Memorandum of Understanding on cooperation in the field of hydro energy with the emphasis on HPP on Morača River and Komarnica River with Chinese companies Norinco International and Sinohydro, as well as Turkish Bereket Enerji.

Memorandum of Understanding between the Governments of Montenegro, Turkey and Slovenia was also adopted. For that purpose the corresponding documents for HPP on Morača was submitted to them.

The Ministry previously stated that the Government is interested in all investors’ proposals, in accordance with DBOT (design-build-operate-transfer) or BOT (build-operate-transfer) arrangement, under the condition that they do not require state guarantees and imply the state-of-the-art solutions in this field and also in the field of environmental protection.

On 26th of February, 2010 the Ministry of Economy announced Pre-qualification public procurement for the award of concession for HPP on Morača River, but since there were no qualified tenderers to submit bids, in November 2011 it was announced that tender failed. For participation in public procurement for the construction of HPP on Morača that time the Italian companies Enel and A2A qualified in the Consortium with Montenegrin Electric Enterprise (EPCG). Chinese Sinohydro Corporation and Austrian Strabag also qualified in pre-qualification public procurement but gave up participation, transmits