Welsh appoints Siemens to run gas-turbine plant

Welsh Power has awarded the contract for the development of a gas-turbine plant at Uskmouth worth four hundred and fifty million pounds to Siemens.

Severn Power, a subsidiary of Welsh Power, signed the deal with Siemens. The deal obligates Siemens to undertake the duties of designing, engineering, construction, commissioning, testing and completion, operation and management of the combined-cycle gas-turbine plant which has a capacity of producing eight hundred and fifty megawatts.

This comes soon after planning permission for the project had been granted by the Department for Business, Enterprise and Regulatory Reform in August of 2007.

In March this year Severn Power revealed that it had directed three banks namely The Royal Bank of Scotland, ING and Calyon in the leading, arranging and underwriting of a debt worth five hundred and fifty million pounds required to finance the project.

Chief executive of Welsh Power, Alex Lambie, was happy with the conclusion of the negotiations and couldn’t wait to see the construction work getting started. He expressed confidence that Siemens would be able to complete the project by 2010 as scheduled.

Mr. Lambie observed that there were worries in the United Kingdom that it would not be possible to construct a new plant which would help bridge the projected shortfalls emanating from older plants being shut down.

The chief executive of Welsh Power added that the project would generate six hundred and fifty employment opportunities and enhance Wales’ self-sufficiency in energy. The project is projected to take two and a half years to construct and will commence commercial operations in 2010.

www.welshpower.com