Reconstruction of hydroelectric power plant "Bajina Bašta" - 65.5m EUR worth of investment

Reconstruction of Hydroelectric Power Plant (HE) "Bajina Bašta" in Perućac has commenced today (June 2nd, 2009), and 65.5m EUR will be set aside for that purpose.

The works commenced in the presence of the Minister of Energy of Serbia, Petar Škundrić, the ambassadors of Germany and Austria to Serbia, Volfram Mas and Klemens Koja, as well as the Director General of Electric Power Company of Serbia, Dragomir Marković.

- Serbia has started the investment cycle in energy sector, which anticipates realization of investments worth 9 billion EUR within the next five to seven years - said Petar Škundrić, Serbian Minister of Energy and Mining.

According to his words, about 5 billion EUR will be invested in new capacities, while about 4 billion EUR will be set aside for capital overhauls and regular maintenance, including necessary environmental works.

He expressed satisfaction with the fact that large number of local companies would take part in refurbishment of Hydroelectric Power Plant "Bajina Bašta".

- Every project in energy sector should and must provide an opportunity for our companies to work, create new values and, thus, overcome the effects of the economic crisis that has hit our country as well - said Škundrić.

Revitalization of four generators in power plant Bajina Bašta will last until year 2013. Total of 30m EUR will be provided from the loan of German KfW Bank, while 35.5m EUR will be set aside by EPS from the electricity sales incomes.

The winner on the tender for selection of contractor for revitalization works on Hydroelectric Power Plant "Bajina Bašta" is company "Andritz Hidro" from Austria, with which the contract was signed in November 2007.

Significant share of works has been entrusted to local companies: ABS "Minel", Institute "Mihailo Pupin", "Goša-Montaža" from Smederevska Palanka, ATB "Sever" from Subotica and "Elektroizgradnja" from Bajina Bašta.

The value of works that should be carried out by local companies is 18m EUR.

The first generator that has been out of operation for 10 months will be revitalized the first. It will be put in trial operation at the end of February 2010, which will be followed by revitalization of the second generator.

Revitalization of the generators No. 3 and No.4 will start in spring 2011, that is, 2012, so that Hydroelectric Power Plant "Bajina Bašta" will be completely refurbished prior to the beginning of year 2013.

After that, the power of hydroelectric power plant "Bajina Bašta" will be increased by 54 MW - from current 368 to 422 MW.

The life of the hydroelectric power plant will be extended by 30-40 years, its work will be more reliable, while the investments in maintenance of the power plant will be reduced.

Hydroelectric Power Plant "Bajina Bašta" produced about 63 billion kWh of electric power during 42 years of work.