Norway-based renewable energy company Statkraft is gearing up to commence the construction of a 278MW hydroelectric project in the valleys of Devoll, Albania.
The Devoll project, which comprises three plants on the Devoll River 70 km southeast of the capital Tirana, has an estimated production capacity of 800GWh per annum.
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Utilising 555m head of the river, the plants will be between 650 and 95 meters above sea level.
With this project, Albania’s electric production is expected to increase by 20%.
The company, meanwhile, has earmarked an investment of €535m for the construction of first two plants, Banjë and Moglicë, which will have combined capacity of 243MW.
Statkraft further said the tender process to award the construction agreement for the two plants is currently in the final stages.
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By GlobalDataFollowing the conclusion of these agreements, the construction is expected to begin in October 2013.
The constructions of the plants would be completed in 2016 and 2018, respectively, the company added in its statement.
Statkraft Hydropower International executive vice president Øistein Andresen said the Devoll project marks an important investment for the company in global hydroelectric sector.
“This construction project secures both renewable energy and development in Albania, and underpins our position as Europe’s largest producer of renewable energy,” added Andersen.
The project will be owned by Devoll Hydropower, an equal joint venture company formed by Statkraft and the Austrian energy company EVN.
However, Statkraft acquired 50% holding of EVN to completely own the company and the project earlier in 2013.
As per the concession agreement, Devoll Hydropower has the right to build, own and operate the power plants until they are transferred back to Albanian authorities at the end of the concession period.
