Jordan’s National Electric Power Company (Nepco) has selected teams led by South Korea’s Korea Electric Power Company (Kepco) and the US’ AES as first-ranked bidders for two independent power projects (IPP).

Bids were invited from international developers to build a new IPP (IPP3) and from the operators of Jordan’s existing IPPs to extend the existing plants in a separate tender (IPP4). Nepco has entered negotiations with the first-ranked bidders for each project and will soon decide whether to proceed with one or both of the projects, according to a source at Nepco.

Bidders were asked to submit bids under different configurations of fuel and size. Only the liquid fuel and gas options will be considered for both projects, says a source at Nepco, but the size of project is still under negotiation.

Saudi Arabia’s Acwa Power, in partnership with Germany’s Man Diesel & Turbo, submitted the following bids (all figures in JD a kWh) for IPP3:

• 350MW using liquid fuel: 0.134055 ($0.18)
• 350MW using liquid fuel and gas: 0.132431
• 600MW using liquid fuel: 0.135826
• 600MW using liquid fuel and gas: 0.133508

South Korea’s Korea Electric Power Company (Kepco), with Japan’s Mitsubishi Corporation, submitted the following bids for IPP3:

• 350MW using liquid fuel: 0.130466
• 350MW using liquid fuel and gas: 0.122090
• 600MW using liquid fuel: 0.131209
• 600MW using liquid fuel and gas: 0.124154

Saudi Oger, with a South Korean team of Korea East-West Power Company and STX, also submitted a bid, but it will be returned as it was not deemed compliant at the technical evaluation stage.

The following groups were prequalified in December 2010, but did not bid (MEED 10:12:11):

• AES (US)
• Malakoff International (Malaysia)/Jordan Dubai Capital (local)/Consolidated Contractors Company (Athens-based)
• Sithe Global Power Ventures (US)

Bids for IPP4, the IPP expansion proposal, were submitted by the local Central Electricity Generating Company (Cegco) and the US’ AES, the operators of Jordan’s existing IPPs.

AES submitted the following bid:

• 350MW using liquid fuel: 0.140841
• 600MW using liquid fuel and gas: 0.132506

Doubts have been cast over AES’ commitment to the project since revealing its intention to exit the region following the Arab uprisings (MEED 24:2:11).

Cegco – which is owned by Enara, the Jordanian government and the Social Security Corporation – submitted the following bid:

• 350MW using liquid fuel: 0.142054
• 600MW using liquid fuel and gas: 0.141805

The winner will be awarded a build-own-operate (BOO) contract. The desired commercial operation date for the plant is 2013-14.

The selected developer will be responsible for sourcing heavy fuel oil (HFO) of the quality suitable for the equipment proposed. Responsibility for liquid fuel procurement (HFO or distillate) will be determined at a later stage of the tender process. Nepco intends to supply the natural gas for the project, but is not committed to doing so.

Nepco, which operates most of Jordan’s power network, will also buy the output of the plant for a period of 25 years. US-based firm K&M Engineering & Consulting is Nepco’s adviser on the project.