site.btaUPDATED NEK Launches Public Procurement Procedure Worth over BGN 220 Mln for Hydro Aggregates at Chaira Plant

The National Electricity Company (NEK) launches a public procurement procedure for the supply and replacement of generators, turbines, main and auxiliary installations, systems for control, testing and putting into operation of hydraulic aggregate 1 (HA1) and 4 (HA4) at the Chaira Pumped Storage Hydro Power Plant, the Energy Ministry said Wednesday.

NEK will seek a contractor for the full replacement of the two hydraulic aggregates, after a series of analyses and studies established that the current aggregates have been overused and the optimal long-term solution is to install new ones.

Caretaker Energy Minister Vladimir Malinov is quoted as saying that the replacement of the old hydraulic aggregates with entirely new ones based on modern high-tech solutions will guarantee the power plant's long-term sustainable use and improve the electricity system's security and effective management. In his words, restoring Chaira's operation is among the main priorities of the caretaker government. The implementation of the large-scale project will contribute to the successful integration of the growing electricity production from renewable energy sources and the implementation of the country's decarbonisation goals, Malinov added.

Chaira is the biggest pumped storage hydroelectric power plant in the region with a key role for the electricity system's security and balance. It is located in in Southwestern Bulgaria.

The public procurement procedure includes designing, manufacturing, and supplying the installations, removing the existing and installing the new ones, supervising the process, tuning, testing and putting into operation the installations, personnel training, and fixing of defects within the guarantee period of the equipment listed in the technical specification. The procedure is estimated to be worth BGN 220,526,890 (VAT excluded); it is to be implemented within 42 months. Applications are welcome until November 15, 2024.

In a news briefing on Wednesday, Minister Malinov commented that the investment project will contribute greatly in several directions. Firstly, towards the security of the electricity system and the ability to parry the blow to electricity prices both for households and businesses. Secondly, the project will contribute greatly, once Chaira resumes operation, to the increase of the volume and use of electricity from renewable energy sources.

The public procurement procedure is to be implemented within 42 months. "We have also envisaged short-term measures, namely the direct negotiation on the repair of HA1 by the manufacturer, so this public procurement procedure is also going for direct negotiation with Toshiba, the equipment's manufacturer," Malinov said.

In an interview for BTA, Engineer Martin Georgiev, NEK Executive Director, explained that restoring Chaira, which is in bad shape, is a priority of NEK. The signs that Chaira's equipment is heavily overused were present before the start of the rehabilitation activities, he said.

On September 5, Bulgaria and Japan signed a memorandum of cooperation envisaging closer bilateral cooperation in natural gas use, nuclear power, renewable energy and low-carbon hydrogen technology. One of the main points in the memorandum is to promote cooperation between companies in the two countries in the field of hydroelectric energy, specifically vis-à-vis the Chaira Pumped Storage Hydro Power Plant.