ArmPower CJSC (“ArmPower” or the “Company”), developer, owner and operator of the Project, a special purpose vehicle incorporated in Armenia.
The Project consists of the development and operation of a 254 MW Combined Cycle Gas Turbine power plant, in Yerevan, Armenia under a Build–Own–Operate–Transfer (“BOOT”) scheme. The project will cost USD 266 million to build and will sell all its energy output to Electric Networks of Armenia (“ENA”) under a 25-year Power Purchase Agreement (“PPA”).
The new combine cycle power plant will be built at the fresh and clean site neighboring to Yerevan Combined Cycle Co-Generation Power Plant (YCCPP) owned by “Yerevan Thermal Power Plant” CJSC.
This is a strategic location, in consideration of the possibility to co-utilize the existing auxiliary infrastructures, such as water intake and discharge structures, fuel gas regulators and power transmission lines.
The main objectives of the Project are:
• to provide reliable power supplies;
• to promote internal Armenian power production;
• to shift the burden of investment capital for power generation from the Government to the private sector;
• to promote commercial development of thermal technology and cost reduction that will enable Armenia to become a major net exporter of electricity;
• to build and sustain the domestic capacity in the development and maintenance of power generation infrastructure.
Therefore, the Project will address the following key policy objectives:
• the provision of additional baseload generation capacity at a competitive price;
• the provision of energy security;
• job creation;
• promoting private sector as engine for the growth.
Regarding the social result, during the peak period of the construction of the Plant approximately 500 specialists/workers will be involved in all stages of the Project implementation. After the completion of the Plant construction activities, during the commissioning and operation period it is planned to involve a staff of 120-150 specialists, such creating job opportunities for the whole country.
As mentioned above, a new technology will be applied in Armenia, based which it is planned to deliver several training courses for engineers for the purpose of further developing their professional capacity.