The government of Egypt has invited consultants to bid by 20 October for a contract to advise on a 1,500MW combined cycle gas-fired power plant at Giza North near Cairo.

The Egyptian Electricity Holding Company (EEHC) through its affiliate company, Cairo Electricity Production Company (CEPC), is managing the tender process.

The winning bidder will advise the government in connection with the installation, start-up and operation of the project.  

The plant will use natural gas as the main fuel and light diesel oil as a back-up and is expected to cost around $1.4bn to build. Construction is scheduled to start this year with completion scheduled for 2014.

EEHC has applied for a $600m loan from the International Bank for Reconstruction and Development (IBRD), a subsidiary of the World Bank. If approved, the proceeds of the loan would be used to pay for the steam turbine generators and condensers.

Egypt is pursuing a mixed strategy for its power generation sector, incorporating engineering procurement construction (EPC) projects – such as Giza North – as well as independent power projects (IPPs) and negotiated basis projects.

The Ministry has drawn up a list of ten prequalified companies to bid on its planned IPP at Dairut and intends to make an award by November. Meanwhile, another project will be built using turbines sourced through a deal with Kuwait’s Kharafi Group.