Statkraft has announced it will commence construction of the Devoll hydropower project in Albania. The company will begin with the Banjë and Moglicë hydropower plants with a combined capacity of 243 MW and an annual production of about 700 GWh.
In total, the Devoll project will consist of three hydropower plants in the valley of Devoll, with an installed capacity of 278 MW. On average the power plants will produce about 800 GWh annually, increasing the Albanian electricity production by almost 20 percent. The investment decision for the third plant will be considered when the first two plants are completed.
Earlier this year, Statkraft acquired EVN’s 50 percent share of Devoll Hydropower Sh.A. and is now 100 percent owner of the company and the construction project. The change in ownership is approved by Albanian authorities. The concession agreement gives Devoll Hydropower 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.
The investment frame for the first two plants is estimated to EUR 535 million. The tendering process for the main contracts is in its final stage and main construction works are planned to start in October. The plants are expected to be completed in 2016 and 2018, respectively.
“The Devoll project is an important part of Statkraft’s investments in international hydropower, based on our hydropower expertise. This construction project secures both renewable energy and development in Albania, and underpins our position as Europe’s largest producer of renewable energy,” said Øistein Andresen, Statkraft Executive Vice President International Hydropower.