New contract for Kalivac facility

TIRANA, March.31 – The well know German bank “Deutche Bank” has purchased from the Italian company “Becchetti” 45 percent of the shares of the hydropower unit of Kaliva箠The news was made public by Economy Minister, Genc Ruli, who reassured the intention of the German bank to invest in the facility. Commenting thus on the start of the negotiations, Ruli confirmed that the Italian company, which has a 10 years concession on the unit, had withdrawn from the project, for financial reasons. The company ha s committed nevertheless to liquidate all debts to subcontractors, which had been complaining about non proper business conduct of the company earlier.
The Kaliva硰ower plant has been planned to be built on the river of Vjosa, with an estimated cost of $120 million and a production capacity of 400 million kilowatt/ hour, equal to 8 percent of national consuming. Another benefit would be the minimizing of technical losses given the southern positioning of the unit. Together with the power plant of Bratila, Kalivac has resulted one of the most profitable projects among all projects related to energy in the country. Both units will be connected to the 110 KV system of the substation of Gramsh.
The minister has also commented on the latest developments with the Italian Essegei. Previously answering to the concerns of the People’s Advocate for the non correct implementation of the contracts on the side of companies Ruli had said that the government would terminate the contracts with Essegei. Nevertheless, Ruli has explained that the aim of the government is not to terminate contracts without assuring that they efficiently respect subcontractors first. In fact the ministry has renovated the contract with the Italian Essegei including some changes benefiting the Albanian state and consumer such as the increase in the total amount of the investment from 8.6 million to 13,3 million euro. The company has also updated the plans for the facility improving the projected technical capacity from 8500 kilowatt/ hour to 15250 kilowatt/ hour.