NREA issues tender for operation, maintenance of Gabel El-Zeit wind station

Mohamed Farag
2 Min Read

The New and Renewable Energy Authority (NREA) has issued a tender for the operation and maintenance of the 220 MW Gabel El-Zeit wind power plant, for a period of five years.

The NREA announced that a session to open the technical envelopes will be held on 11 October, with a further session to be held to discuss bidder inquiries next Thursday.

The value of the temporary insurance for the tender stands at €400,000, with the bidding conditions for the operation and maintenance of the wind power plant amounting to about €600 including VAT.

The authority stated that two sealed envelopes, covering previous experience and the technical offer for the financial offer, will be submitted. Bids for the plant will be received until 11 October, the date set for the opening of the technical bids. The final insurance will be paid at 10% of the total value of the bid upon awarding the tender.

The NREA had previously announced its intention to establish a subsidiary company to maintain and operate wind projects across Egypt. The decision was cancelled due to the high costs it entailed, and the lack of full experience.

Sources said that the authority preferred to offer a tender and choose a company to undertake the operation and maintenance for a specific period.

It has also considered inviting an investor to establish the company themselves, which the investor would fully own. The investor would maintain the authority’s stations through a contract between the two parties for a period of five to 10 years, provided that the investor outlines a value for operating and maintaining the projects.

As part of the government’s strategy to diversify energy production sources, Egypt is looking to produce 20% of its total energy requirements from renewable energy sources by 2022, a percentage that is set to increase to 42% by 2035.

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