Loan Project of Construction of Iran-Armenia 400kV third power transmission line (“ Noravan’’ 400/220/20 kV) and related substation.

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Presentation transcript:

Loan Project of Construction of Iran-Armenia 400kV third power transmission line (“ Noravan’’ 400/220/20 kV) and related substation

Terms and conditions of Provided Investment Facilities Based on the Memorandum of Mutual Understanding signed on May 17, 2006 between the Republic of Armenia and the Islamic Republic of Iran a Contract (N4777/85EPC) was signed between SUNIR Company and Ministry of Energy and Natural Resources of RA “High Voltage Electric Networks’’ CJSC for “Design, Engineering, Procurement of Goods and Equipment, Supply and Construction of Iran-Armenia 400kV third power transmission line” (hereinafter Project). The Project cost is 107,9 mln. Euro. The financing of 77% of Contract total price will be carried out by the Export Development Bank of Iran (EDBI). (Financial Agreement N900/M/ARM/09, 26.07.2011 ), and 23% (24,8 Euro) by Company «SUNIR International FZE» (Bond Contract N1390/1195/57175, 23.02.2012)

Signing of additional Contract of financing recommencement with EDBI The length of OTL is 268 km, the number of towers are 706. The construction works of Project were kicked-off on August 2012 but they had been suspended at the beginning of 2013. On August 9, 2015 EDBI has recommenced financing and as a recommencement date was defined 01.09.2015. Signing of additional Contract of financing recommencement with EDBI

Project Objectives The Project implementation will enable: Enhancing the power flows from 350 MW up to about 1,000 MW between the Republic of Armenia and the Islamic Republic of Iran Increasing the reliability and stability of parallel works of RA and IRI Energy systems Increasing the Energy Security level Increasing the reliability and stability of Energy systems of RA by strengthening the North-South power connection of Republic Using the entire volume gas pipeline capacity of Iran-Armenia in the framework of the program "Gas Towards Electricity“.

Expected Project Results In the result of Project Implementation 400 kV double circuit OTL will enter into operation with the length of 268 km from “ Ddmashen” substation up to the southern border of RA (Agarak) and after construction of Armenia-Georgia 400kV OTL Armenia will become a transit country of Energy power.

Project Implementation Deadlines According to Performance schedule, Loan Project of Construction of Iran-Armenia 400kV third power transmission line (“Noravan’’ 400/220/20 kV) and related substation should be completed in 2017.

Loan and Grant Project of The impact on Electricity tariff in the result of Project Implementation Project name 01.08.2016-01.08.2017 01.08.2017-01.08.2018 01.08.2018-01.08.2019 01.08.2019-01.08.2020 01.08.2020-01.08.2021 01.08.2021-01.08.2022 01.08.2022-01.08.2023 01.08.2023-01.08.2024 01.08.2024-01.08.2025 01.08.2025-01.08.2026 01.08.2026-01.08.2027 01.08.2027-01.08.2028 01.08.2028-01.08.2029 01.08.2029-01.08.2030 Loan and Grant Project of “Construction of Iran-Armenia 400kV third power transmission line and substation ” Mln. dram 4,044.1 11,535.2 19,518.8 10,112.2 9,667.7 9,223.3 4,444.9 0.0 Impact on tariff 0.5944 1.6954 2.8687 1.4862 1.4209 1.3556 0.6533 0.0000

The impact on Electricity tariff in the result of Project Implementation