Jun 10, 2018-Nineteen companies have submitted expression of interest to prepare the detailed project report (DPR) of the 105 MW Lower Seti Hydropower Project being developed by Tanahu Hydropower Limited (THL), a wholly owned subsidiary of Nepal Electricity Authority (NEA), the state-owned power utility.
Out of the nineteen companies that have shown interest to prepare the DPR, the THL will shortlist half a dozen companies to submit detailed proposals to prepare the report. The shortlisted companies will submit technical and financial proposals which will be evaluated by the THL as per the guideline set by the Asian Development Bank (ADB), the Manila-based multilateral lender which is providing a grant of $3.3 million to prepare the DPR.
According to the THL, it has already started the evaluation and it will shortlist six companies within a month and ask them to submit the technical and financial proposal. After evaluating the technical and financial proposal, the THL will send it to the ADB for approval before appointing the consultant to prepare the DPR of the 105MW peaking-run-of-the-river type project. “It will take us around 4 to 6 months to appoint the consultant,” said Pradeep Kumar Thike, managing director at THL. The consultant will get 20 months to prepare the DPR and documents for contractor appointment.
The Lower Seti project will be built around 20 km downstream of the powerhouse of the 140MW Tanahu Hydropower Project, a storage type project being developed by the THL. The Lower Seti will utilise water from the tail race of the Tanahu Hydropower Project although a separate dam will be built for the 105MW project.
The THL got the survey licence of the Lower Seti Project in October 2017 at the installed capacity of 92MW from Department of Electricity Development. But the preliminary study conducted by THL with support from the Japan International Cooperation Agency (Jica) showed the project could be built at increased capacity of 105MW.
Now, the consultant will have to prepare the DPR to develop the project at installed capacity of 105 MW.
The THL is also planning to allot shares of Lower Seti to the project affected locals and general public as the scheme is very attractive with low cost. The construction cost of the project is estimated at $220 million.
Meanwhile, the THL is about to appoint contractors for the construction of 140MW storage project. It has already singed memorandum of understanding with Sinohydro Corporation to execute hydro and electromechanical work at the project site. Similarly, the company is waiting for the ADB’s approval to select a contractor for the implementation of the first package of the hydroelectric project, which includes formulation of the detailed design of the project and construction of headwork. The storage project is being built using credit facility extended jointly by the ADB, the Jica and European Investment Bank (EIB).
Source: The Kathmandu Post