The terms of reference for the construction of the power transmission line Armenia-Georgia

ArmInfo. The technical commission on increasing the reliability of operation and efficiency of the electric power system of Armenia approved the terms of reference for the construction of a new power transmission line Armenia-Georgia at a meeting on March 15. The technical task, the press service of the Ministry of Energy Infrastructures and Natural Resources of the Republic of Armenia, was developed by the German bank KfW, which is financing the program, and Fichtner, which won the tender to identify the project consultant.

According to the terms of reference, the project is divided into several stages. At the first stage, it was planned to upgrade the electric substation with a voltage of 220 kW, build a new substation with a voltage of 400 kV, and also build a new overhead transmission line to the Georgian border. At the second stage it was planned to build an electrical substation with a voltage of 500 kW. However, in order to increase the effectiveness of the program, it is now planned to use existing electric substations, whose modernization is less expensive than the construction of new ones. At the same time, already in the existing areas where the electric substation was planned to be built, a solar power station will be built, the construction costs of which will be reduced through the use of existing infrastructures. As a result, the cost of the entire construction program for the electricity transmission line Armenia-Georgia will be reduced by 30%.  Moreover, the construction of a solar power plant will save another 20% of the funds.

It was noted at the commission meeting that the first project should be completed no later than the third Iran-Armenia power line currently under construction. In general, the program for the construction of the Iran-Armenia power line should be completed in parallel with the second power unit of the Yerevan Thermal Power Plant under construction.  Meanwhile, as previously reported to ArmInfo, the consultant of the construction project of the electricity transmission line Armenia-Georgia - the company "Fichtner GmbH & Co. KG" - has prepared a tender package for the selection of the general contractor. The project itself was planned to be implemented in three stages. Sources of funding for the first two phases are already known. Within the first two stages, it is planned to build the power transmission line itself with a voltage of 400 kilovolts and two DC substations in Ddmashen and Ayrum, which would allow starting work with the electric power system of Georgia in asynchronous mode. Prior to this, the impact of the project on the environment and social impact was assessed.

This work was planned to be completed before the end of this year, after which it was planned to begin construction work. Within the framework of the project it is planned to unite the electric power systems of Armenia and Georgia, which will promote the development of mutually beneficial regional cooperation within the framework of the created energy corridor Iran-Armenia-Georgia-Russia. The preliminary cost of the program, according to the company FICHTNER will be 326.9 million euros, 10% of which is part of the contribution of Georgia. At the first stage, it was planned to build a conversion substation in Ayrum and a 500 kilovolt air line 8 km long towards Georgia.

The second stage included the construction of a 400-kilovolt electrical substation with one transformer near the village of Ddmashen and the installation of an air-line with a voltage of 400 kV, which would enable the exchange of electric power in the amount of 350 megawatts. Then in Ayrum it was planned to install the module, and in Ddmashen - the second transformer to support the capacity of 700 MW. Based on the requirements of market and regional cooperation, at the final stage, the third stage was to install a second DC module, which would give the opportunity to increase capacity to 1,050 megawatts.

The first two phases of the program are estimated at 188.2 million euros. To this end, in 2014-2015, three loan agreements were signed. In particular, 168 million euros were allocated by the German bank KfW as a loan, another ? 10 million loan will be provided by the European Investment Bank. It is expected to receive another 10 million euros in the form of a grant from the European Commission. The first two phases of the program were to be implemented in parallel. The work is planned to begin in late 2018 and be completed before the end of 2019. Also, by the end of 2019, the construction of the Iran-Armenia power line will be completed, which will create an energy corridor.