ARMINFO News Agency, Armenia
December 21, 2017 Thursday


The Armenian government approved a list of companies that had
prequalified selection for the construction of the largest solar power
station "Masrik"

Yerevan December 21

Naira Badalyan. On December 21, the Armenian government approved a
list of companies that had prequalified selection of an investor for
the 55-MW solar power plant project Masrik. The Cabinet also approved
the draft agreement on assistance from the government and on the
invitation to participate in the procurement procedure.

Minister of Energy Infrastructures and Natural Resources of the
Republic of Armenia Ashot Manukyan, presenting the draft decision,
recalled that the scale of the project has no analogues. 20 companies
submitted applications for participation in the international tender
for the investor's choice of the project for the construction of the
solar power plant "Masrik-1". The prequalification stage of the
international tender was overcome by 10 companies and 1 consortium.
"All 10 companies have high international prestige and wide experience
in this area," the minister said.

As ArmInfo informed earlier, until March 2018, the tender for the
investor's choice of the project for the construction of the solar
power plant "Masrik" will be fully completed, and at the end of 2018
Armenia will receive the first powerful solar power plant. According
to preliminary data, the total investment in this generation facility
will be $ 65-70 million. Earlier in an interview with the corr.
ArmInfo Deputy Minister of Energy Infrastructures and Natural
Resources Hayk Harutyunyan reported that the prequalification tender
was announced on April 28 and finished on June 10.

It will be voluminous and will last until the second quarter of 2018.
At the first stage of the competition, it is planned to identify an
investor for whom clear criteria have been established. In particular,
he must have experience in the construction of solar power plants with
a total capacity of at least 100 MW. This is done in order to involve
serious companies in the project. The very preparation for the tender
was conducted for a long time. As a result of the project, Armenia
will receive a competitive and record low solar power plant. The
deputy minister refused to name the size of the tariff, pointing out
only that it should be more affordable in comparison with the tariff
from thermal blocks. "There is a hope that it will be within the
tariffs established for hydropower facilities," Hayk Harutyunyan said.
According to him, Armenia has a good resource for solar energy, and
good conditions have been created for investors.

It should be reminded that the total cost of the program for the
construction of solar power stations in Armenia is $ 129 million. A
feasibility study for the construction of solar power plants has
already been prepared. Within the framework of the program it is
planned to build solar power stations with a capacity of up to 110
megawatts in various regions of Armenia. Of the 6 surveyed areas in
two, the Spanish consulting company Aries Engineering has already
submitted feasibility studies. They relate to the localities of
"Masrik" in Gegharkunik region and "Dashtadem" in Aragatsotn region,
studies on the remaining four localities continue.

On May 3, 2010, the German bank KfW jointly with the government of the
Federal Republic of Germany provided credit to the Central Bank of
Armenia in the amount of 18 million euros and a grant of 1.5 million
euros. Then the chairman of the Central Bank of the Republic of
Armenia Artur Javadyan noted that the funds are directed to the
implementation of the second phase of the program "Promoting renewable
energy." Within the framework of this program, 14 credits for the
amount of 2.9 billion drams have already been provided, eight of which
are for the construction of small hydro power plants, and six for the
modernization of existing small hydropower facilities. Javadyan
recalled that in November 2004, a loan program "Renewable Energy
Development Assistance" was signed between the Central Bank and KfW
Bank for a total of 6 million euros, and another 1.5 million euros
were provided in the form of a grant. In addition, the Climate
Investment Fund for the development of alternative energy provided
Armenia $ 28 million, of which $ 2 million - a grant and $ 26 million
- a loan. The loan terms are soft - 0.25% per annum with a maturity of
40 years and a grace period for payments in the first 20 years. Grant
funds are being used to study the localities, develop a feasibility
study for the project, calculated at a 110 MW station.