Brazil development bank funds 1,087-mw Estreito

Brazil’s national development bank approved financing of 2.6 billion reais (US$1.4 billion) for construction of the 1,087-mw Estreito hydroelectric project on Brazil’s Tocantins River.

Banco Nacional de Desenvolvimiento Economica e Social (BNDES) said the funding would be provided to the companies forming the Estreito development consortium Consorcio Estreito Energia (Ceste). The consortium awarded a 230 million euro (US$326.6 million) contract in October to Impregilo of Italy and OAS Engenharia of Brazil to build the project.

BNDES said it will provide 72.6 percent of the total project investment of 3.6 billion reais (US$2 billion).

Consortium member Renova Energia Renovavel, a unit of Suez Energy South America, is to receive from BNDES 1.049 billion reais (US$590.8 million), half directly and half indirectly.

Consortium member Companhia Vale do Rio Doce will receive financing of 808.3 million reais (US$455.2 million), Alcoa Aluminio will receive 687.3 million reais (US$387.1 million), and Camargo Correa will receive 116.2 million reais (US$65.4 million).


Aboitiz, SN Power win projects

Philippine power producer Aboitiz Power and Norway’s Statkraft Norfund Power Invest (SN Power) won a November 2007 auction for privatization of the Philippines’ 75-mw Ambuk-lao and 100-mw Binga hydroelectric projects.

The SN Aboitiz Power Hydro consortium, which already acquired the Philippines’ largest hydropower plant, 360-mw Magat, offered US$325 million for the Ambuklao and Binga hydropower plants in the northern Philippines’ Benguet Province.

Breaking news can be found at HydroNews.net, HCI’s Internet news service. For headlines of the latest top stories in hydro, visit www.hydronews.net.


IMPSA to equip Venezuela’s 2,320-mw Manuel Piar

Argentina hydro industry supplier IMPSA signed a US$520 million contract in January to supply ten turbine-generators to Venezuela’s 2,320-mw Manuel Piar (Tocoma) hydroelectric project on Venezuela’s Caroni River.

Argentine President Cristina Fernandez initially announced the award in Buenos Aires, disclosing a letter from IMPSA President Enrique Pescarmona. IMPSA confirmed the deal in a statement reported by Business News Americas.

The contract with Venezuela utility CVG Electrificacion del Caroni (Edelca) calls for IMPSA is to supply ten 232-mw Kaplan turbines, generators, and other equipment.

Latin lender Corporacion Andina de Fomento (CAF) announced the signing in January of an 18-year US$600 million loan to help Edelca complete the US$3.06 billion project. CAF, the Andean Development Corp., originally announced the loan in April 2007. It provided a previous US$300 million loan to the project in 2004.

CAF said the loan is to cover 30 percent of the US$3.06 billion project, with the remaining 70 percent financed by Edelca and other multilateral sources. The Inter-American Development Bank approved a US$750 million loan for the project in 2005.

In March 2007, Edelca confirmed the award of a US$970 million construction contract to a consortium including Italian construction company Impregilo SpA with 40 percent, Brazil’s Odebrecht with 45 percent, Venezuela’s Vinccler C.A. with 10 percent, and Brazil’s CBPO Engenharia Ltda. with 5 percent. Metso Minerals of Finland received a contract to provide crushing and screening equipment.

Venezuela President Hugo Chavez renamed the project Manuel Piar in 2006.



Pacific Hydro of Australia and SN Power of Norway awarded a 175 million euro (US$254.6 million) contract to German-based Hochtief Construction AG and Tecsa of Chile to build the 158-mw La Confluencia hydroelectric project on Chile’s Tinguiririca River. The World Bank’s International Finance Corp. announced approval in October 2007 of US$208 million in financing, paving the way for construction to begin.

Russian equipment supplier Power Machines announced it signed a contract worth 3 billion rubles (US$122 million) to supply pump-turbines for the 840-mw Zagorskaya 2 pumped-storage project in Russia’s Moscow Region. Hydro generator HydroOGK awarded the contract for four 214-mw pump-turbines having a 6.3-meter diameter.

Nigeria’s Bureau of Public Enterprises (BPE) named Delphos International Ltd. of the United States to help it prepare the 600-mw Shiroro hydroelectric project and the 1,320-mw Egbin thermal power plant for privatization. With a US$467,300 grant from the U.S. Trade and Development Agency, Delphos is to develop methodology to be used in preparation of bid packages and for training BPE employees. The technical assistance is intended to present general design parameters and assess the required capital investment spending for the power plants.


International hydro group offers greenhouse gas forum

The International Hydropower Association (IHA) offers a forum July 15 on greenhouse gas emissions of reservoirs, in conjunction with the HydroVision 2008 conference, July 14-18 in Sacramento, Calif., U.S.A.

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IHA said, increasingly, claims are made that reservoirs emit greenhouse gases, mainly methane and carbon dioxide, blamed as contributing to global warming. The forum, “Reservoirs, Hydropower, and Climate Change: Understanding the Greenhouse Gas Footprint,” is to present facts about greenhouse gas measurement at reservoirs, methods of predicting a greenhouse gas issue at a reservoir, and possible mitigation measures.

“In this important forum, the International Hydropower Association presents science-based information on the status of greenhouse gas emissions from freshwater reservoirs and shares a logical path forward for determining any human-induced footprint related to such emissions,” IHA said.

The forum also includes discussion of climate change in a broader context, as well as the importance of sustainable development and operation of reservoirs for water storage and power generation.

IHA has developed a Sustainability Assessment Protocol to promote greater consideration of environmental, social, and economic sustainability in the assessment of new energy supply options, new hydro projects, and the operation of existing hydro projects.

The forum will be held from 8 a.m.-5 p.m. July 15. Registration is US$295. Information can be obtained from the Internet at www. hcipub.com/hydrovision/activities.asp.


VA Tech to equip 1,200-mw Teesta 3, 1,200-mw Karcham Wangtoo

Andritz VA Tech Hydro said December 19 its India units received contracts totaling 210 million euros (US$302 million) to equip the 1,200-mw Teesta Stage 3 and 1,200-mw Karcham Wangtoo hydroelectric projects in India.

The contracts went to VA Tech Hydro India Pvt. Ltd. and VA Tech Escher Wyss Flovel Ltd.

Andritz VA Tech Hydro is to supply developer Teesta Urja Ltd. the complete electro-mechanical package for six vertical Pelton units of Teesta Stage 3 on the Teesta River in Sikkim State. The six units are to go on line by August 2011.

On behalf of its Jaypee Karcham Hydro Corp. Ltd., Jaiprakash Industries placed an order with Andritz VA Tech Hydro for four erosion-resistant Francis turbines for Karcham Wangtoo on the Satluj River in Himachal Pradesh State. The units, totaling 1,200 mw, are to go on line by August 2011. Karcham Wangtoo originally was to total 1,000 mw.

Andritz VA Tech Hydro said the Teesta and Satluj carry large amounts of sand with a high quartz content that can cause major erosion damage to turbine parts. It said the erosion resistance aspect was given special attention in turbine design. In addition, all turbine runner surfaces in contact with water will be provided with a very hard special ceramic coating.


Voith Siemens, Siemens to equip 248-mw Picote 2

National utility Energias de Portugal S.A. (EDP) awarded a contract to a consortium of Voith Siemens Hydro Power Generation and Siemens S.A. to supply generating equipment for the 248-mw Picote 2 hydroelectric project on Portugal’s Douro River.

Voith Siemens said the 56 million euro (US$82 million) contract includes supply of a 248-mw Francis turbine, 273-mva generator, excitation system, automation, and balance of plant equipment.

EDP plans to invest 130 million euros (US$170 million) on Picote 2, an expansion of the existing 231-mw Picote project, which has been in service since 1958.

EDP previously awarded a 46 million euro (US$60.1 million) civil works contract to a consortium of Obras Publicas e Cimento Armado and Moniz da Maia, Serra & Fortunato — Empreiteiros.


Malaysia utility to build two 300-mw projects

Malaysia state power utility Tenaga Nasional Bhd (TNB) says it will proceed with development of the 300-mw Hulu Jelai and 300-mw Hulu Terengganu hydroelectric projects on the Malay Peninsula.

State news agency Bernama reported TNB Chief Executive Datuk Seri Che Khalib Mohamad Noh said work is to begin by mid-2008 on Hulu (or Ulu) Jelai in Pahang State and Hulu Terengganu in Terengganu State. The projects are to be completed by 2013 at a cost of 2.5 billion ringgit (US$750 million).

Che Kalib previously said feasibility studies were under way on the two projects. The utility head said TNB would ensure there is no delay in building the projects so they can meet area demand under TNB’s East Coast Economic Region (ECER) master plan.

“Overall, TNB’s investment of 3 billion ringgit (US$901 million) in the dams and other projects demonstrates its confidence in the objectives of ECER,” Che Kalib said.

The official said TNB also is working to supply electricity to Tioman Island from a combination of solar, wind, hydro, and diesel power, making Tioman the first such site in the world.

Although the utility announcement did not elaborate on the two hydro projects, a report by the ASEAN Center for Energy of the Association of Southeast Asian Nations said the conventional 300-mw Hulu Jelai project could be expanded to a pumped-storage project of between 1,000 and 1,200 mw.


Serbia awards rehab for Bajina Basta

Serbian utility Elektroprivreda Srbije awarded a contract to Andritz VA Tech Hydro for complete modernization of the 381.6-mw Bajina Basta hydro project on Drina River.

The 65 million euro (US$97 million) contract includes complete modernization of electro-mechanical equipment, increasing each of the four turbine-generators to 108 mw from 95.4 mw. Total capacity upon completion will be 432 mw.

Work in the powerhouse is to begin in June 2009, with full completion by December 2012.

Andritz said Bajina Basta, which was built in 1966, will be ready for reliable operation for another 30 years.


Three units of China’s 6,300-mw Longtan begin operation

The first three turbine-generators of the 6,300-mw Longtan hydroelectric project began commercial operation in December 2007 on the Hongshui River in China’s Guangxi Zhuang Autonomous Region.

General Manager Dai Bo of Longtan Hydropower Development Co., a unit of China Datang Corp., said commercial operation began 14 months ahead of schedule, official Xinhua news agency reported.

Longtan, China’s third largest hydro project after 22,400-mw Three Gorges and 12,600-mw Xiluodu, has another six units that are to begin operation through 2009. It had been testing the first three units, which started up in May, July, and October.

China Datang invested 30 billion renminbi (US$3.75 billion) to build the 216.5-meter-tall dam, a ship lock, and an underground powerhouse. Construction began in 2001 and is to finish in 2009.

Voith Siemens Hydro Shanghai delivered the first of seven 715-mw Francis turbine runners to the project in 2006. Its consortium partner, Dongfang Electrical Machinery Co. of China, is manufacturing the balance of equipment.


Rio Tinto plans Cameroon’s 1,000-mw Songmbengue

Rio Tinto Alcan and the government of Cameroon amended a 2005 letter of intent to provide access to additional water resources for construction of the 1,000-mw Songmbengue project on Cameroon’s Sanaga River.

The new hydro project agreement is to facilitate technical and pre-feasibility studies for a new greenfield smelter with potential to produce 400,000 tons per year. Rio Tinto Alcan said it plans to carry out the technical studies and to decide whether to proceed by the end of 2009.

Alucam, a joint venture of Cameroon and Rio Tinto’s recent acquisition, Alcan Inc. of Canada, originally agreed in 2005 to expand Alucam’s existing smelter at Edea. That plan included construction of the 330-mw Nachtigal project on the Sanaga and construction of 56-mw Lom Pangar Dam on the Lom River.


Four Vietnam firms to build 2,400-mw Son La

State utility Electricity of Vietnam (EVN) contracted with Vietnamese construction companies to build the 2,400-mw Son La hydropower plant.

State media said EVN, the sole investor of the US$2.3 billion plant, aims to start the first generator in late 2010. By 2012, the plant would be fully operational.

EVN signed the 13.41 trillion dong (US$830 million) contract in November 2007, giving Song Da Corp. the largest building package worth 9.27 trillion dong (US$574 million), with another worth 1.18 trillion dong (US$73 million) going to Truong Son Construction Corp., the Vietnam Economic Times newspaper said.

Licogi won a 1.85 trillion dong (US$114.6 million) package and Lilama Corp. received a package valued at 1.11 trillion dong (US$68.7 million).

Work has been under way since late 2005 on the Da River in Son La Province, 340 kilometers northwest of Hanoi.

EVN signed a contract in October with Alstom Hydro, a venture between French engineering group Alstom and French construction group Bouygues, worth about 190 million euros (US$270.5 million) for all equipment of the plant.



Austrian utility Vorarlberger Illwerke AG awarded a contract to VA Tech Hydro GmbH to supply generator rotors for refurbishment of the 198-mw Rodundwerk 1 pumped-storage project. VA Tech Hydro is to supply two rotors for 53-mva hydro turbine-generators at the project on Austria’s Ill River.

Turkish power producer Limak Insaat Sanayi ve Ticaret A.S. awarded a 33 million euro (US$49 million) contract to Voith Siemens Hydro Power Generation to supply electro-mechanical equipment for the 96-mw Uzuncayir hydro project in Turkey’s East Anatolia Region. Voith Siemens is supplying the equipment with Voith Siemens Hydro St. Polten, Voith Siemens Hydro Turkey, and Siemens Sanayi ve Ticaret.

Electricité de France and PricewaterhouseCoopers of the United States were winning bidders for an investment study of the completion of two hydro projects totaling 2,260 mw on Kyrgyzstan’s Naryn River. With a bid of 73.8 million Russian rubles (US$3 million), EDF and PricewaterhouseCoopers were chosen to study 1,900-mw Kambarata 1 and 240- to 360-mw Kambarata 2.

Russian equipment supplier OJSC Power Machines and its Chinese partner, China Zhejiang Fuchunjiang Hydropower Equipment Co., signed contracts totaling 28 million euros (US$41.5 million) to equip the 660-mw Shengsigou and 600-mw Yinpan hydro projects in China.

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