“Modernization of Almaty CHPP-2 with minimized environmental impact”

“Modernization of Almaty CHPP-2 with minimized environmental impact”

Almaty CHPP-2 named after A.Zhakutov (currently operating)

Year of commissioning 1980-1989.

Primary fuelEkibastuz coal of KSN 0-300 grade:
consumption – 2.2 million tons/year;
ash content – 42%.

Capacity: rated output power510 MW;
available electric capacity – 314.5 MW;
installed heat capacity – 1,411 Gcal/h;
available heat capacity – 952 Gcal/h;

In operation: 8 power boilers, 6 turbines.

Dry ash dump: area – 210 ha (≈28 million tons considering the feasibility study correction).

Project
“Modernization of Almaty CHPP-2 with minimized environmental impact”

Primary fuel: natural gas:

Implementation period: 2022-2026.

  • Start-up complex (4 hot water boilers) – 12.2025.
  • Start-up complex 1 (CCGT) – 04.2026.
  • Start-up complex 2 (KOGTU) – 06.2026.
  • Start-up complex 3 (KOGTU) – 09.2026.

Installed capacity according to the feasibility study: electric power – 557 MW;
heat power – 957 Gcal/h;

Project cost according to the feasibility study dated 30.12.2021: 325.9 billion tenge including VAT.

Emissions of harmful substances:
before implementation – 37.1 thousand tonnes;
after implementation – 2.7 thousand tonnes.

Project implementation progress:

Financing:

  • Loan Agreement dated 25 November 2022 Operational Number 52821 between Almaty Electric Stations JSC (the “Borrower”) and the European Bank for Reconstruction and Development;
  • Credit Line Opening Agreement (CLA) dated 8 June 2023 between Almaty Electric Stations JSC (the “Borrower”) and Development Bank of Kazakhstan JSC;
  • Loan Agreement dated 9 June 2023 between Almaty Electric Stations JSC (the ‘Borrower’) and Asian Development Bank.
  • Advance payment was made for commencement of works, manufacturing and delivery of equipment according to the project.

Information on the EPC Contractor Selection Procedure

  • The tendering process was conducted in accordance with the European Bank for Reconstruction and Development’s Procurement Policy, Principles and Rules on the EBRD’s e-portal – ecepp.com from October 2022 to May 2023.
  • On 31 May 2023, the EPC Contract was signed with the winning.

Consortium consisting of:
– “Dongfang Electric International Corporation”;
– “Power China Sepco1 Electric Power Construction CO., LTD”;
– “Power China Hebei Electric Power Engineering CO., LTD”.

Progress report
Project design and estimate documentation

  • Project design and estimate documentation has been developed and submitted for obtaining the Conclusion of RSE “Gosexpertiza”
  • Positive Conclusion of RSE “Gosexpertiza” on adjusted feasibility study of the project with total project cost of 388.9 billion KZT (03.10.2024) was obtained
  • Draft ESIA developed, public hearings held, Environmental Impact Statement for the first category facilities received (05.11.2024)

Equipment

Main equipment testing have been started at the manufacturing plant:
– Gas turbines and generators (SiemensEnergy)
– Steam turbine (Dongfang Turbine Corporation LTD.)
– Heat recovery boilers (MHI Power Dongfang Boiler Corporation LTD.)
– Water heating boilers (Wuxi Huaguang Environment & Energy Group Corporation LTD)
– The first batch of the main equipment has been shipped from the European and US factory sites.

Construction and installation works

  • Contracts on engineering services of technical and authorial supervision were concluded.
  • Approval on the project design and construction project was obtained by the decision of the Investment Attraction Council of the Republic of Kazakhstan to start construction and installation works until the positive conclusion of RSE “Gosexpertiza” (03.10.2024).

  • Pre-construction and installation works have been completed.

The project implementation is regularly monitored by deputies of the Majilis of the Parliament of the Republic of Kazakhstan, the Maslikhat of Almaty, representatives of the Amanat Party, the Public Council of Almaty, Samruk-Energy JSC, and creditor banks.