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Ministry of Energy presents projects for Skavica hydro-power plants

5. February 2016

The bidding procedure had not been launched yet and every company is free to participate in it.

The Ministry of Energy and Industry held on Thursday a donors roundtable on how to exploit energy production potential of the Black Drin River. Attending the roundtable were representatives from the World Bank, European Bank for Reconstruction and Development (EBRD), KfW, SECO, GiZ, European Union (EU), Italian Co-operation, and UNDP.

Minister of Energy Damian Gjiknuri presented three versions on how to achieve the above goad: the first, consisting of the construction of a big HPP in Skavica, whose cost at €662.4mln was prohibitive for the Albanian government. It would also have a considerable environmental impact with over 5,800 hectares being submerged and 10,000 people being displaced. The second and the third version, according to him, consisted of the construction of two HPPs, one in Katund i Ri and the second in Skavica, but the height of the second dam would be 10m lower in the third version (395m in the second version and 385 in the third one).

Gjiknuri made it clear that the government preferred one between these two versions, which cost respectively €347.8mln and €313.8mln. According to him, the Katund i Ri HPP is not expected to affect the little Skavica HPP in both of its versions, and the Ministry of Energy and Industry has decided to grant its construction into concession to a private company. He said that a bonus had been given already to a Turkish consortium that had presented an unsolicited offer on the Katund i Ri HPP, but the bidding procedure had not been launched yet and every company was free to participate in it. Gjiknuri added that the government was thinking to assign the second HPP’s construction to the Albanian Power Corporation (APC), and the donors’ assistance was needed for implementing this project.

OSCE Press Review