Algeria invites bids for substation contracts

05 September 2013

Work will involve supplying and installing substations at four locations in Algeria

Algeria’s Compagnie de l’Engineering de l’Electricite du Gaz (Ceeg) has invited companies to bid for the contracts to build four high-voltage substations.

Contractors have until 7 October to submit bids for the four contracts. The work will involve carrying out studies, supply, installation and commissioning. The 400kV substations will be located at Ain Fateh, Bechar, Tazoult and El-Oued.

The projects are part of Algeria’s efforts to upgrade and expand its power generation capacity, and transmission and distribution network.

In June, Ceeg awarded seven contracts worth a total of $1.2bn for major power projects. The biggest contract was awarded to South Korea’s Daewoo E&C. The South Korean firm won a $361.4m deal to build three gas turbine power plants with a capacity of 400MW. The project is expected to take 40 months to complete.

The South Korean consortium of Hyundai E&C, Hyundai Engineering and Daewoo International was also awarded a contract to build three 400MW gas turbine power plants. The contract value is $315m and the work is scheduled to take 39 months to complete.

In the largest single project, Spain’s Ansaldo was awarded a $326.2m contract to build a 500-600MW gas turbine plant.

The projects are part of Algeria’s planned generation programme to meet rapidly rising local power consumption. The country suffered widespread blackouts in July 2012, when demand reached a record 9,463MW. Peak demand is expected to reach up to 15,000MW by 2017.

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