Business news from Ukraine

STATE-RUN UKRENERGO PLANS TO FINISH CONSTRUCTION OF SUBSTATION WITH A POWER CAPACITY OF 500/220 KV

Ukrenergo National Energy Company will finish construction of the Kreminska substation with a power capacity of 500/220 kV (Kreminna town in Luhansk region) by the end of May 2020, Ukrenergo operations director Volodymyr Kudrytsky said at a press conference in Kyiv.
“Kyiv Energy Construction Company in Ivano-Frankivsk, one of the biggest companies Ukrenergo is working with, won the bids in 2017. At present moment, it is building the facility. May 2020 is an expected date of completion of the building works,” he said.
Kudrytsky reminded that the term for completion of the works was scheduled for December 2018. However, these terms have been shifted over the Cabinet of Ministers’ delay to approve the design documentation and settling the issues with land acquisition. Kyiv Energy Construction Company in order not to waste time started to buy necessary equipment and machinery before the government approved the documentation.
According to company’s operation director, the cost of construction now totals UAH 1.3 billion, while the Cabinet of Ministers initially appraised it at UAH 1.7 billion.
He also reported that Ukrenergo was working over the project on increase of the capacities of Luhansk thermal power plant (TPP).
“To provide distribution of Luhansk TPP in full, at a moment we initiated building of another facility, it is on the stage of design. This is a 220 kV transmission line from Luhansk TPP to Yuvileina power substation,” he said.
As reported, construction of Kreminska substation launched two years ago.
The Kreminska substation will make it possible to synchronize the electricity supply system in the northern Donbas with Ukraine’s Integrated Power System (IPS) and provide a stable link to that system.
Consumers in the northern part of the Luhansk region are only supplied by coal-fired Luhanska TPP. Previously, the fuel was delivered to the station by rail through Russia, but today deliveries have ceased completely being blocked by the Russian Federation.
Now the station runs on gas, which is much more expensive than coal. This is economically disadvantageous. In addition, the station is located in close proximity to the war zone, and its continued operation is constantly under threat. These factors pose significant risks of complete shutdown of the Luhanska TPP. At the same time, due to damage to power grids as a result of hostilities, only two 110 kV transmission lines now connect the Luhanska power unit with the power grid of Ukraine. Their capacity, with no generation at the Luhansk TPP, is only 110MW. Meanwhile, the power unit’s consumption is from 140 MW at night to 220MW in the evening peak. Thus, if the operation of the Luhansk TPP stops in any reasons, the region won’t be provided with electricity as strongly as required.

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MYKOLAIVOBLENERGO TO BUILD POWER DISTRIBUTION SUBSTATION

Mykolaiv-based Svitlolux-Elektromontazh LLC by the end of 2019 is going to build a power distribution substation 35 kV to connect it to a solar power plant Solar South 1 with a capacity of 19.2 MW (Vitovsky district of Mykolaiv region) on the territory of JSC Mykolaivoblenergo.
According to ProZorro, the parties signed a respective agreement worth UAH 2.4 million on August 8.
According to the Single Register of Legal Entities and Individual Entrepreneurs, Solar South1 belongs to Solar Generation company, which owned by France Bonté.

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33 MW SOLAR POWER PLANT OF BUSINESSMAN KHMELNYTSKY TO BE CONNECTED TO SUBSTATION

Podilsky Energoconsulting LLC under a contract with PJSC Zaporizhiaoblenergo will reconstruct the Robocha substation to connect Scythia Solar 2 photovoltaic power plant with a capacity of 33 MW belonged to UDP Renewables of businessman Vasyl Khmelnytsky.
The cost of the contract signed on June 3, 2019 is UAH 20.641 million, according to the ProZorro e-procurement platform.
According to a posting on the website of UDP Renewables, the start of the operation of Scythia Solar 2 photovoltaic power plant is scheduled for September 2019.
The plant is located on the territory of Kostiantynivka rural council of Melitopol district of Zaporizhia region.
As reported, UDP Renewables on March 1, 2019 launched Scythia Solar 1 photovoltaic power plant with a capacity of 13 MW in Zaporizhia region. Investment in the project totaled $10.1 million.
KNESS (Podilsky Energoconsulting LLC is a member of the goup) acted as general contractor and Ukrgasbank (Kyiv) acted as a financial partner.
According to UDP Renewables, its plans include an increase in the 2 photovoltaic power plants portfolio to 175 MW in 2019.

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ZAPORIZHIAOBLENERGO TO RECONSTRUCT SUBSTATION TO CONNECT 20 MW SOLEN ENERGY SOLAR PLANT

PJSC Zaporizhiaoblenergo by September 2019 will reconstruct the 150/35/10 kV Likarniana substation due to the connection of a Solen Energy LLC solar power station in Zaporizhia.
The announcement of the signing of a relevant agreement with Assembly and Construction Company Synergy LLC on March 14 was published in the ProZorro system.
Development and Construction LLC also participated in the auction.
In May 2018, Zaporizhia City Council allocated 36 hectares for Solen Energy LLC on the Orikhivska highway.
According to Solen Energy’s website, the station’s capacity is 19.9 MW, the construction contractor is SIS LLC. The station has Risen and Longi modules with a capacity of 345 W and 365 W each, as well as ABB inverters with a power of 120 kW. In February, open hearings on providing feed-in tariffs to the station were held in Zaporizhia.

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STATE-RUN UKRENERGO SIGNS EUR 19.4 MLN CONTRACT WITH CHINESE COMPANY TO RECONSTRUCT SUBSTATION

National Energy Company Ukrenergo has signed a contract with Xian Electric Engineering Co. Ltd. (China) to reconstruct the 330 kV Brovarska substation with the installation of an autotransformer, the press service of the company has reported. The press service said that 11 companies from eight countries took part in a tender under the rules of the European Investment Bank (EIB), which finances the project. The cost of the project fell by 25%, to EUR 19.4 million.
Reconstruction of the Brovarska substation envisages the installation of modern complete switchgears with SF insulation and the modernization of relay protection and emergency control systems.
In addition, an additional 330/110/35 kV autotransformer with a capacity of 200 MVA will be installed at the substation. This will ensure the reliability and security of energy supply to consumers of the Kyiv energy hub – Brovary, Boryspil and Baryshivka districts of Kyiv region, including the Boryspil airport, as well as expand opportunities for their further economic development.
“Modernization of the Brovarska substation is one of the strategic projects of Ukrenergo. In two and a half years, this substation will be fully automated in accordance with international requirements for reliability and safety,” Deputy Director for Investment Volodymyr Kudritsky said.
Ukrenergo operates trunk and interstate transmission lines, as well as centralized dispatching of the country’s integrated power grids. It is a state-owned enterprise managed by Ukraine’s Finance Ministry. The company will be soon reorganized into a private joint-stock company.

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