Elektroprivreda (EPCG) has not yet received the main construction permit for the construction of the Gvozd wind power plant (WE), which is expected in January, while the signing of the loan agreement between the state energy company and the European Bank for Reconstruction and Development (EBRD), which will finance that energy facility scheduled for early June.
The request for issuing the main construction permit to the Ministry of Ecology, Spatial Planning and Urbanism was submitted this month, although the energy company announced in December that they would submit the request by the end of that month and expect it to be issued in January.
In the previous period, a construction permit was obtained for the access roads, while the issuance of the main construction permit is certain, and based on the request for obtaining the main construction permit submitted on May 11th this year for the construction of the Gvozd Power Plant with accompanying documentation, in June of this year. The reason for the slight delay was the resolution of one remaining case related to property-legal relations, as well as the adoption of a corresponding decision by the Nikšić Administrative Court regarding the project at the session held on April 27th, 2023. For the most part, all legal requirements have been met and the request for the issuance of a building permit was submitted within the mentioned deadline – the state energy company said.
EPCG, which in the first announcement of this project announced the expected start of the construction of the Gvozd power plant in 2021, and the commissioning 18 months after the start of the works. However, it was later clarified that the coronavirus pandemic in the previous two years was the key reason why the construction of the wind farm was delayed, as it affected the acquisition of the necessary permits, consents and negotiations on the financing of this project, and that it is realistic that this facility will be in 2024.
According to the obtained construction permit for the access roads, it is planned that the activities on the preparatory works will begin after the signing of the credit arrangement with the EBRD in the summer period of this year. As we said previously, after the evaluation of the final offers of the ongoing tender procedure and the conclusion of the contract with the first-ranked bidder, engineering, manufacturing, delivery, assembly and commissioning of the wind turbines follow – the company said.
The EPCG did not specify when the main construction works will begin, but it was stated that after the signing of the contract for the purchase of the selected wind generators, it is realistic to expect that activities on the execution of the main works will begin.
The deadline for the construction of the power plant is 18 months after the start of the works.
The company recalled that in December, a draft loan agreement was agreed with the EBRD for the financing of the Gvozd wind farm construction project, which was then approved by the company’s Board of Directors and Shareholders’ Assembly.
It is a loan of EUR 82 million for financing the construction of the Gvozd VE and the necessary infrastructure for connection to the power system without the anticipated participation of investors, it foresees a grace period of 24 months during construction so that the project will essentially pay for itself. The signing of the loan agreement is planned for June 5th this year – EPCG said. The Montenegrin Electric Transmission System (CGES) has given consent for its connection to the power system of Montenegro.
The equipment supplier and contractor has not been selected yet
News asked who was awarded the job of equipment supplier and contractor for VE Gvozd out of the four companies that passed the pre-qualification tender.
As mentioned earlier, all tender procedures are conducted transparently on the electronic procurement portal of the EBRD in accordance with their procedures. The pre-qualification part of the tender procedure has been completed and bidders who met the required qualification criteria have been selected with the consent of EBRD Bank. The second round of the tender procedure is underway – the company said.
As they added, after the evaluation of the binding offers that contain the technical and financial part, in accordance with the EBRD rules, the first-ranked bidder will be selected for the engineering, manufacturing, delivery, assembly and commissioning of wind turbines.
