Request for Proposal (RfP) to be announced for construction of the largest TPP in Georgia

30 June, 2023

A Request for Proposal (RfP) will be announced for construction of a combined cycle, energy-efficient TPP with installed capacity of 350-430 MW in Gardabani Municipality for the purpose of increasing the stability, security and reliability of the power energy system of Georgia.

 

The TPP construction project will be implemented in the Public and Private Partnership (PPP) format, in accordance with the Georgian legislation. As a result of the above procedure, a private investor will be identified which will perform works related to construction and commissioning of the TPP, with the condition of its further operation.

 

100% share of GOGC in Gardabani-3 TPP in the amount of USD 2 450 000 will be transferred to the investor under the respective conditions. The TPP will be constructed in compliance with requirements submitted by the Georgian State Electrosystem and the needs of the energy system (flexible operation capacity etc.). The timeframes of the project implementation (including, construction and commissioning) will be 4 years after signature of the Share Purchase Agreement.

 

GOGC was instructed to announce a Request for Proposal for selection of an investor following the decision made at the government session on May 29, 2023. A special commission composed of representatives of GOGC, Ministry of Economy and Sustainable Development of Georgia, "Gardabani-3 TPP" LLC and JSC "Georgian State Electrosystem" was established for this purpose.

 

In addition to other technical parameters, the following necessary conditions must be considered for uninterrupted and reliable operation of the new TPP: gas turbine must be manufactured by General Electrics, Siemens or Ansaldo Energia, redundancy of critical infrastructure; minimum index of net efficiency – not less than 56%; all components and equipment of the TPP must be new; operation must be carried out by an experienced company and/or professional employees etc.

 

The criteria used for evaluation of received proposals are already defined. The Commission will first of all identify the lowest price proposal for construction of 1 MW and thereafter its compliance with the requirements established by the RfP documents. The Commission will identify the winner only if the proposal meets all requirements. Otherwise, the next lowest price proposal will be reviewed. After finalization of n the above procedure, GOGC will obtain a respective right from the Government of Georgia, followed by signing a contract with the winner.

 

The electronic auction will be open and any interested person will be able to participate in it. Information will be published on webpages of the Ministry of Economy and Sustainable Development of Georgia and GOGC.

 

The procedure period is 2 months (from June 30, 2023 to August 31, 2023). Proposals will be accepted from August 25 to August 31 (till 6.00 pm). The participants may submit only one proposal.