Egypt to Rehabilitate and Modernize Hydropower Stations Through 2014

---

Researched by Industrial Info Resources (Cairo, Egypt)--The Aswan High Dam in Egypt began construction in 1960 and was inaugurated in 1971. The dam was constructed to satisfy a range of development initiatives in Egypt such as agricultural irrigation and electricity generation. The dam has 12 hydropower units, each with of which 175 megawatts (MW) of generation capacity before being upgraded. The high dam generates about 8,500 gigawatt-hours (GWh) annually. Power is evacuated through double-circuit 500-kilovolt (kV) overhead transmission lines connected to the national grid of Egypt.

In December 2010, Dr. Hassan Yunis, Egypt's minister of electricity and energy announced that the rehabilitation of the 12th unit was completed after a six-year rehabilitation and modernization project of all of the High Dam's hydropower units. The project had a total cost $300 million. The work included raising the generating capacity of all units from 175 MW to 200 MW and increasing the life of the units by another 40 years.

The Aswan 2 station is the third hydropower station after the Aswan High-Dam (2,400 MW after modification) and Aswan1 (280 MW). These power plants are among many hydropower stations built on the Nile River in different locations throughout Egypt such as Zifta, Rashid, Dumyat and Asyut. Aswan 2 is located 900 kilometers south of Cairo and nine kilometers from the High Dam. It consists of four 67.5-MW Kaplan turbine-generators.

Yunis revealed that seven international companies submitted their pre-qualification documents, four were shortlisted. These four companies submitted their offers recently, and the bid process and selection will be completed in August 2011.

The scope of the work for the rehabilitation and modernization of the Aswan 2 plant includes rehabilitation of control systems, turbine speed governors, protection systems and extension of the expected life of the station for 30 years. The rehabilitation work is expected to commence in the first quarter of next year and will be completed in 2014.

The Aswan 2 station was connected to the national grid in 1985 and produces 1,800 GWh annually . Hydroelectric power stations provide about 11% of Egypt's installed power generation capacity.

The estimated cost for rehabilitation of the Aswan 2 station is about $40 million, of which $26 million will be financed through a soft loan from KFW Bank (Berlin, Germany). The loan will be provided by Egypt's Ministry of Electricity to support the development of hydroelectric power stations throughout the country and will be repaid over 40 years at an interest rate lower than 1%.

Review Project File - 83600143 83600142 83600144 83600098 300021150

Industrial Info Resources (IIR) is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. IIR's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.