|
European Bank lends ECU 47.4 million to Armenia for gas-fired power station
Mario Sarcinelli, Vice-President of the European Bank for Reconstruction and Development, and State Minister Tashjian of the Government of Armenia today signed a loan agreement for ECU 47.4 million equivalent (US$ 57.4 million) to help complete the construction of a new 300MW gas-fired power station and build a transmission line to send the power to Yerevan.
"This loan is aimed at reducing, as quickly as possible, the large deficit in Armenia's power generating capacity," Mr Sarcinelli said. "It will improve the efficiency of electricity supply and reduce the negative environmental impacts of the power sector. The loan will also help avoid the need for the Government to restart the Medzamor nuclear power plant, which is situated close to a major urban centre in a highly seismic region."
The loan will be used to complete the construction of Unit 5 of the Hrasdan thermal power station, located 60 km north of Yerevan. The project includes erection of a 72km, 220kV double circuit transmission line connecting the power plant with the transmission station of Kharbed, in the suburbs of Yerevan. The project will provide work for up to 2,000 persons for construction, and for up to 250 persons for operation and management.
Unit 5 will use natural gas as its main fuel, which will minimise emissions from generation. It is designed to burn fuel more efficiently than existing thermal units. This will result in an anticipated 15 percent reduction in CO2 emissions. The Unit is also designed to withstand earthquakes of intensity 9 on the Richter scale. The project will therefore improve the reliability of electricity supply in a region of high seismic activity.
The total cost of the project is estimated at US$ 89.4 million. It will be financed by the European Bank and the Armenian Ministry of Energy and Fuel.
|
