Industry and Engineering Corporation, IEC is associated with engineering and construction of major civil, environmental and industrial Engineering projects, involving the most advanced engineering and construction technology in the implementation of the aforementioned developments. IEC’s affiliated companies in Turkey (Serik Marina, Antalya Shopping Center and Canal Istanbul projects), in Azerbaijan (Water transfer from Aras river to Tabriz, Kerman Water Transfer Project and Khuzestan Water Projects) in UK (Eynsham housing project) and (Globally financing IEC corporation’s affiliated companies) in Kyrgyzstan (CASA1000 Hydropower project), in the Kazakhstan ( South Kazakhstan region’s project, Almaty Grand Ring Road Project, G4City project, SEZ (Khorgos Eastern Gates) Pharmaceutical plant and Astana’s rain water accumulation project), is involved in Park Ankara Development Project and (Road construction in Ukraine, modern health city in Kiev, Underground railway construction in Dnipro and Highway construction between Hungary and Romania) are involved together with its joint venture international and local companies in designing, financing and construction process. .

IEC KYRGYZSTAN - ZIL Project -Master Group Project - CASA1000 PROJECT

IEC KYRGYZSTAN - ZIL Project -Master Group Project - CASA1000 PROJECT

ZIL Project


 Master Group Project




Information on the project “CASA-1000”
The project "CASA-1000" (Central Asia - South Asia 1000 MW) involves the construction of high-voltage power line linking the Kyrgyz Republic Energy Systems (hereinafter KR) and the Republic of Tajikistan (hereinafter RT) with the Islamic Republic of Afghanistan (hereinafter IRA) and the Islamic Republic of Pakistan (hereinafter IRP) for electricity export to Central Asian countries and the development of appropriate instruments and mechanisms for electricity trading, corresponding to international standards.
The line route of 500 kW of alternating current, according to the feasibility statement (FS), prepared by the SNC-Lavalin company in February, 2011, will pass from substation Datka in the Kyrgyz Republic to substation "Hodzhent" in the Republic of Tajikistan and lines of 500 kW of a direct current beginning from the converting station in Sangtud (Republic of Tajikistan) to the converting station in Novsher (Islamic Republic of Pakistan), lying through the Islamic Republic of Afghanistan.
Scope of work on the Kyrgyz Republic includes construction of a power line (hereinafter-PL) of VL of 500 kW from substation of PS "Datka" of 500 kV to border with the Republic of Tajikistan, 450 km long with a cell of 500 kW on substation of Datka. According to the project, implementation of export in the area of ("CASA-1000") is scheduled for summertime (from May to September) when the Kyrgyz Republic and the Republic of Tajikistan have surplus of the electric power, and the Islamic Republic of Pakistan and the Islamic Republic of Afghanistan have an acute shortage.
At the session of the Intergovernmental Council for the project CASA-1000 dated December 3, 2014 as follows:
-Set price for electricity at the rate of 5.15 US cents / kWh - Pakistan and 5.1 US cents / kWh - Afghanistan, the benefits - annual net profit of "Electricheskie stancii" JSC will be from 65 to 90 million dollars for 1.25 - 1.75 billion kWh;
-Defined expensive tariff for return on the construction, exploitation and maintenance, community support in the amount of 4.26 US cents / kWh - Pakistan and 3.01 US cents / kWh - Afghanistan, the benefits - JSC "NES Kyrgyzstan" pays all the costs for lines building for 15 years.
The level of total electricity supplied in the frame of the project from the Kyrgyz Republic at the beginning of the commercial operation of the project in the 2019-2020 biennium will be: first level - 503 million kWh, the second level - 755 million kWh, and at the end of the project after 15 years of operation of the first and second levels of the compositions of the 714 million kWh or 1428 kWh per year.
In order to achieve successfully project implementation, nowadays main project agreements between economic entities of the participating countries are signed, which define the volume of supply, the price of electricity and the procurement procedures for the construction of power

Lines in the project (a general agreement, power purchase agreements and coordination agreements). From the Kyrgyz side in these agreements are the "Elektricheskie stancii" JSC and "NES Kyrgyzstan" JSC.
The total cost of the project is more than 1 billion US dollars from which:
-Kyrgyz Republic - 233 million US dollars (of which about 33.0 million US dollars in the form of taxes and duties.).
- Tajikistan - 270 million US dollars;
- Islamic Republic of Afghanistan - US $ 300 million;
- Islamic Republic of Pakistan - 200 million US dollars.

Financing of the Kyrgyz part of the project:
As of today, the amount of confirmed funding is about $ 185 million US. From which the International Development Association (. US $ 45 million), the European Investment Bank (70 million euros.), The Islamic Development Bank (US $ 50 million.)
MAP financing terms
In accordance with the Agreement on financing between the Kyrgyz Republic and the International Development Association (transmission and power trade project Central Asia - South Asia), signed on 24 April 2015 in Bishkek and ratified by the Law of the Kyrgyz Republic from July 15, 2016 № 115, the International Development Association allocate Kyrgyzstan credit and grant funds in the amount of SDR 29400000 (equivalent to $ 45 million.), of which SDR 4.4 million - in the form of a grant (equivalent to US $ 6.75 million US.) and SDR 25 million - in the form of a soft loan (equivalent to 38 25 million US dollars) with an interest rate of 0.75% and a term of 40 years, including a grace period -. 10 years.
EIB financing terms:
In accordance with the Agreement on financing between the Kyrgyz Republic and the European Investment Bank (electricity transmission Central Asia - South Asia), signed on 2 October 2015 in Luxembourg, and ratified by the Law of the Kyrgyz Republic from July 15, 2016 № 113, the European Investment Bank will provide the Kyrgyz Republic credit facilities in the amount of 70 Million Euros.
Thus, by the results of joint consultations with the European Investment Bank it was decided to indicate the financial terms of the re-lending said means on receipt each of the seven tranches from the European Investment Bank in the form of additional annexes to the main debt obligation

Given circumstance conditioned by the fact that in the framework of the above agreement between the Kyrgyz Republic and the EIB provides that on receipt of each tranche of the KR Ministry of Finance will determine the most appropriate loan terms in accordance with the EIB's proposals for a floating or fixed rate.

IDB financing terms:
In accordance with the Loan Agreement between the Kyrgyz Republic and the Islamic Development Bank (Kyrgyz part of the Project transmission and trade of electricity to Central Asia - South Asia (CASA-1000), signed on 4 January 2016 in the city of Jeddah and ratified by the Law of the Kyrgyz Republic of July 15, number 114, The Islamic development Bank will allocate to Kyrgyz Republic credit funds in the amount of 33.3 million Islamic dinars, which is equivalent to 50 million US dollars for a period of 25 years, including a grace period - 7 years and interest rate of 1.5%.
At the same time, issues of a covering of deficiency of financing of the CASA-1000 project are handled.
Multi-Donor Trust Fund administered by the World Bank at the moment has reached an agreement with the US State Department and DFID (Department for International Development, UK), which allocates 10 million dollars, as the share of various KR project costs financing.
At the moment, the contract for consulting services between JSC "NES Kyrgyzstan" and the company "Monenko" (Iran) on the 500 kW transmission line DatKa - Khudjent (Sughd) was signed and sent for approval by the World Bank.
Prequalified companies selection for the projects financed by the IDB on a 125 km 500 kV transmission line Datca - Khudjent (Sughd) are completed. The tender documents of the second phase are developed and on coordination “NES Kyrgyzstan"JSC and the IDB.
Tender documents are prepared for the selection of contractors for the projects financed by the IDA and the EIB on the 325 km transmission line of 500 kV Datca - Khudjent (Sughd) and the cell at the substation "Datca", which are pending on consideration JSC "NES Kyrgyzstan" and the financing banks.
The initial tender for converting substations in Afghanistan, Pakistan and Tajikistan was cancelled because of receipt of financial offers not corresponding to the project budget by 2-2, 5 times.
In this regard MPS made the decision on restructuring of the project which consisted in an exception of converting substation of 500 kW in Afghanistan. At the same time power transmission for Afghanistan will be provided on the existing line 220 of kW from the territory of Tajikistan with a construction of an insert of a direct current of 220 kW. Nowadays, the tender

documentation is coordinated by the countries and donors. By results of preliminary negotiations with potential participants of the tender for converting substations of a direct current in Tajikistan and Pakistan, the decision on creation of the mechanism on contract management is made which Engineers of the Customer will enter and representatives of Tajikistan and Pakistan at the same time representatives from Kyrgyzstan and Afghanistan, will have the status of observers, and also implementation term from 36 to 42 months is increased. The repeated tender is announced on October 7, 2016 with completion of 1 stage (technical proposal) in February, 2017 On the power line in Afghanistan in connection with a feedback of the request the Henan company and after receipt of approval of the World Bank made the decision on transition to consideration and updating of requests to the second for a rank to participants of the tender by the Kalpatary companies and Kes. Obnovlennye financial offers of data of firms don't correspond to the project budget. Consideration of the matter is transferred by committee on purchases of the Project SRG and the subsequent approval of Ministry of Railways which meeting is expected at the beginning of December, 2016.
On the Customer's a direct current Engineer the decision to begin negotiations with the Fichtner Company on value adjustments of services in connection with restructuring of the Project in a direct current is made.





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