Serbia's power monopoly EPS and Bosnian power utility EPRS are expected to launch the construction of a planned hydro power complex on the Drina river after two years, Bosnian media reported.
The investment in the project is seen at 830 million euro ($1.1 billion), daily Nezavisne Novine (www.nezavisne.com) reported in the weekend.
EPRS said that according to an initial analysis the project would include the construction of the Dubravica, Tegare and Rogacica plants on the middle flow of the Drina river. The three plants will have a combined installed capacity of 321.45 megawatts (MW) and an average annual production of 1,200 gigawatthours (GWh) of electricity.
The 346 kilometre-long Drina river forms most of the border between Bosnia and Serbia.
The completion of exploration works, the preparation of the technical documentation and the issue of all necessary permits should take place in the coming two years, the daily quoted EPRS director general for investment and development Vladislav Vladicic as saying.
He added construction works could start after that, depending on the investors’ interest.
In September, EPS and EPRS signed an agreement to jointly prepare the construction of the Srednja Drina hydro power complex. In February, EPS and Italy's SECI Energia signed a preliminary agreement for the construction of the plants.
Vladicic said that at this stage the two power utilities continue their cooperation, while the participation of SECI Energia is planned for a later stage.
Apart from the Srednja Drina project, EPRS and EPS have another joint project, regarding the construction of four plants that will use the upper flow of the Drina river. The Gornja Drina hydro power project will include the future Buk Bjela, Foca, Paunci and Sutjeska plants that will produce around 800 GWh of electricity per year. This project is estimated to cost 435 million euro.
Vladicic said that the two utilities continue to hold intensive talks to select a strategic partner for the Gornja Drina project, adding that a partner will be picked this year. Last year a tender for the selection of a strategic investor was cancelled after the sole bid that was filed by Greece’s Public Power Corp. was turned down.
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