Consultants compete for Zarqa deal

14 October 2009

Six teams of consultants have submitted valid bids for a contract to develop Jordan’s third independent power project (IPP)

Germany’s Fichtner teamed up with HSBC and UK law firm Clifford Chance to bid. A second group comprises Dutch companies Kema and Royal Haskoning with the US’ Chadbourne & Parke. The US’ CRA International bid in a consortium with Australia’s Sinclair Knight Merz and UK law firm Trowers & Hamlins. UK law firm Denton Wilde Sapte also bid with the US’ Power Engineers and the UK’s Project Financing Solutions. The US’ K&M Engineering & Consulting and Belgium’s Tractebel Engineering also submitted bids.

Jordan’s National Electric Power Company (Nepco) will choose the winner, which will provide consultancy services to develop a power plant on a build-own-operate basis. One source at Nepco says it plans to issue a request for proposals to developers in January.

In early 2009, Nepco completed a study to determine the size, location and technology for the country’s third IPP. According to the study, the power plant will have a capacity of 400-500MW and will begin operating in 2013 or 2014. Nepco has chosen Zarqa, to the north of the capital, Amman, as the location for the plant.

The plant will use either steam turbines or diesel engines to generate electricity, with heavy fuel oil as the primary fuel and natural gas as a back-up.

Nepco’s study also showed that Jordan would need to add two further 120-200MW plants to its national grid by 2012. Its current power capacity is 2,500MW.

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