Government studies proposals of Korean company on construction of first private thermal electric station in Azerbaijan

Azerbaijan's Ministry of Economic Development has offered its proposals to the Cabinet of Ministers of the project of construction of the first private thermal electric power station in Alyat settlement of Baku.

According to Day.Az, Economic Development Minister Heydar Babayev told reporters that following long-lasting talks with the South Korean energy company KEPCO, definite proposals were formed and presented to the Cabinet of Ministers, which in turn sent them for coordination of the due bodies.

"We have received a number of opinions and are waiting for others for proposals to be discussed in the Cabinet of Ministers", said Babayev.

He noted that there are a number of other proposals from foreign companies on such kinds of projects. "This contract is complex and we consider it expedient to wait for the results of the project implementation and start talks with other companies after that", the Minister said.

It should be noted that KEPCO estimates the volume of investments to construction of the first private electric station in Alyat at AZN 640,000,000 or EUR 523,000,000. Under the feasibility study of the project, submitted to the Ministry of Economic Development, the electric station will consist of two gas and one steam turbine. The station capacity will make up 818 MW and the performance factor-57.27%.

For  production of each 1 KW-H of energy, it is planned to use only 0.185 cubic meters of natural gas, in other words, energy, received from 1 cubic meters of gas will make up 5.4 KW/Hs.

The project will be fully financed by KEPCO. The turnkey construction of 1 KW capacity station will be invested AZN 783 or EUR 640.

The company's proposals for the Economic Development Ministry was held by a consortium of consultants, which included French BNP Paribas (financial consultant), British Allen&Overy (legal consultant), MottMacDonald (technical consultant), Azerbaijani MGB (legal consultant).

/Day.Az/