Energy: Reconstruction of Trbovlje Thermal Power Plant - TET 3
Executive summary
TET is one of two coal-fired power plants in Slovenia that use locally-mined coal. It boasts a long tradition in the energy sector and rich experience; the first kWh of electricity was produced there back in 1906. TET is the largest energy facility in the Zasavje region. Together with the Zasavje coal mines it has always been a cornerstone for the development of industry, craft and transport in Zasavje and throughout Slovenia. The thermal power plant has two production units – a steam plant having capacity of 125 MW, which produces electricity from brown coal from the Zasavje coal mines, and two steam plants with combined power capacity of 2 x 31.5 MW that burn fuel oil and function as a reserve in the Slovenian power generating system. The annual production of electricity in the thermal power plant is approximately 600 GWh.
Current status
125 MW coal-fired steam block has operated since 1968. According to technical life cycle it is necessary to execute major reconstruction of the boiler within the next 5 years. Recent investments were made in field of new discharge facility for coal and biomass, refurbishment of steam turbine and generator. Existing infrastructure (cooling water of the Sava river, a 360m high chimney, railway, transformation bay) is in good condition and it serves well the site especially for the production of electricity. Production in local coal mine RTH will be discontinued at the end of 2012. TET 3 produces approximately 5% of electricity needed within Slovenian power supply system.
Investment opportunity
The site for TET 3 can accommodate a unit having capacity up to 300 MW, the same amount of capacity is also possible to transfer into transmission grid without any major investment needed. The potential investor may chose between a stake in the company’s capital and a loan agreement secured by electricity produced after the reconstruction of the facility. A minimum investment needed is funding for the boiler reconstruction. Other solutions for investment having total capacity of 300 MW would be an advantage.
Project budget / Total cost
The reconstruction of the boiler with other minor investment requires € 70 million with expected internal rate of return (IRR) of 7%. The project will take 3 years to complete.
Project finance / Support
Finance contracts to cover approximately € 35 million or 50% of the total investment.
Project advantages
A project offering the potential investor(s) to make their money work and to enter the Slovenian and the regional electricity markets together with the Slovenian producer of electricity with a long track record of more than 100 years.
Contact point
Holding Slovenske elektrarne d.o.o. (HSE d.o.o.)
Address: Koprska ulica 92, SI-1000 Ljubljana
Phone: +386 (0)1 470 4100
Fax: +386 (0)1 470 4101
Email: hse[@]hse.si; info[@]hse.si
URL: www.hse.si
Thermal Power Plant Trbovlje
