UPDATE – Guatemala utility seeks bids to build 180-MW Xalala

Guatemala utility Instituto Nacional de Electrificacion (INDE) issued a request for bids September 25 to build the 180-MW Xalala hydroelectric project on Guatemala’s Chixoy River. Bids are due March 31, 2008.

Previous statements by INDE had indicated the utility would merely seek bids for feasibility studies. However, the actual solicitation requests studies and development of the project on a build-operate-transfer basis. (HNN 9/24/07)

The estimated US$350 million to US$400 million project is to be built on the border for Quiche and Alta Verapaz departments. Although 180 MW has been the described project capacity, bid documents described the project as about 200 MW.

INDE General Manager Marinius Boer said the utility seeks an international company with ample experience to contribute 80 percent of the project investment. The remainder would come from Guatemalan investors. INDE is to award a 30-year power purchase contract to the winning bidder.

Studies to be performed over two years are to include technical, social, and environmental details to be incorporated into a feasibility study of the project. Construction is to require another three years.

Bid documents are available for US$10,000 from the address below until December 7. Terms of reference also are available on INDE’s Internet site, www.inde.gob.gt/inde.htm, and on Guatemala’s tender Internet site, www.guatecompras.gob.gt.

Bids are due by 10 a.m. March 31, 2008. A winning bidder is to be announced by May 15, 2008.

For information, contact Instituto Nacional de Electrificacion, Gerente de la Empresa de Generacion de Energia Electrica, 7a Avenida 2-29, Zona 9, Edificio Central del INDE, N 1- C.P. 01009, Guatemala City, Guatemala; (502) 2-4221800; Fax: (502) 2-4222040; E-mail: consultasxalala@inde.gob.gt; Internet: www.inde.gob.gt/inde.htm.

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