Dagachhu Hydro Power Corp. has awarded a contract to French engineering group Alstom to supply key equipment for the construction of a hydropower project on Bhutan’s Dagachhu River.
The 55 million euro (US$80 million) contract was awarded to an Alstom-led consortium that includes Andritz Hydro. The 114-MW Dagachhu project is expected to cost 151 million euro (US$220.5 million) and is being financed with Bhutan’s equity and a pool of credit supplied by the Asian Development Bank.
The new power station is being built in the southwestern district of Dagana and is expected to begin commercial production by the end of 2012.
“Dagachhu is already the fourth power station we have supplied major components to, a fact which demonstrates the enormous trust the customer places in the Alstom group,” said Wolfgang Kolliker, executive director of Alstom Hydro Austria.
India’s HCC will perform the project’s civil construction under a US$79.7 million contract awarded in July. (HydroWorld 7/14/09) The run-of-river Dagachhu project is to export power to India on a 1,200-kilometer transmission line built to deliver power to India’s eastern region from the 1,020-MW Tala project, which Bhutan brought on line in 2006.