FGD project on TENT A biggest environmental improvement project in Serbia, Contract signing with Japanese consultant by end of the march

Contract singing with Tokio Electric Power Service Co (TEPSCO) will be completed by end of the march 2012, after the project working teams will be formed in order to start the production of technical documentation and other related documents important for flue gas desulphurization (FGD) tender.

Official confirmation on consultant selection for realization of most important environmental project in Serbia, the flue gas desulphurization project on TENT A is expected on 26 march. The consultant company TEPSCO is qualified and very reliable partner, referenced on many projects in world, stated Mr.Djordji Biljanovski, CE TPP " Nikola Tesla" Deputy Director.

Mr.Biljanovski reminded that Japan solved this type of problems long time ago and in a very effective manner. Japanese law and regulations on environmental protection are more strict in comparison with Europe and world in general. We believe that by choosing this consultancy company for project partner we already secured the reliable and safe project implementation. The consultant will assist in preparation of technical specifications, tender procedures but also in supervision of facilities construction. Of course the partner consultant will remain present and even upon the facilities commissioning and during guarantee period.

Beside the main consultant, subcontracting companies are also known. Domestic Serbian company, Energoprojekt Enel, already known and present in TENT surely provides additional comfort and reliability on this FGD project implementation.

The financing of the consultant is already foreseen with Jen credit line which was signed on 24th November 2011 between governments of Serbia and Japan, now submitted to Serbian Parliament for verification. The agreement in question is the loan contract between EPS ( Electric Power of Serbia and JICA ( Japan International Cooperation Agency) in value of 26,25 bill dinars which government of Japan approved to EPS for FGD projects on TENT A.

Mr.Biljanovski says that the credit line must be withdrawn and spent in following ten years, as long as the contract is valid with consultant, and the value of this contract by end of 2017 is 840 mil jen.

Upon contract signing procedures completion we expect that working project teams start the activities on production of technical speficications and tender documents. Of course the complete process will be transparent and public and the right for tender bidding will be assured to all referenced companies, explains Mr.Biljanovski.

It is expected that by end of the year the work contractor will be known so we can open the working sites in beginning of 2013. The construction of FGD facility on TENT A, for units 3 to 6, will be completed by end of 2017 as it is regulated with law regulations on environment.

At the moment all ESPs are working under European regulations with approved emission of 50mg/m but once the FGD facility is completed the emission will be less than 25mg/m which will significantly improve the environmental condition in local community of Obrenovac but also in wider area.

Financial assets we need for production and energy efficiency increase, as well as environmental protection projects in next five years are in value of 1,1 bill euros out of which 600 mil euros are for environmental projects. In mentioned 600 mil euros we also included FGD project value of 250 mil euros.

Beside this biggest and financially most important project, we have some other problems related to environmental protection and environment measures. There is the waste water management system on TENT B, value of 15 mil euros. This project will be financed from EU donations, IPA funds. We are preparing the conceptual design and feasibility study and we are expecting tendering procedures to start soon.

We are also expecting the overhaul and modernization of ESP on A3 unit which is the only remaining ESP we did not modernized. The same work will be done in Tpp Morava in Svilajnac. For this projects we also secured the financing from EU Donations in value of 16 mill euros. Currently we have underway one environmental project, emission monitoring project in TENT CE, in value of 4 mil euros, explained Biljanovski.

Out of other big projects to be financed by EPS and TENT I would like to mention also the ash handling system on TENT A. We have new system of processing ash to hard ash transport, the same approach we completed some years back on TENT B. The value of this project is projected at 40 mil euros, and the conceptual design and feasibility activities are underway also. As for TENT B, we are also preparing design and feasibility study for FGD facility on this location, we will try to estimate the needed funding for this FGD project as well.

Finally we have also one important environmental related project underway, de nox project – decreasing of Nox in our production. We starting the works on our unit A5 this year, during regular overhaul, as well as we did on units A3, A4. We are looking forward to a successful completion of the project on our other 300mw units as well. This measures will influence not only production and energy efficiency but also environmental protection increase as well.