A Report On The Technical Letter

1632 WordsNov 10, 20157 Pages
• The technical letter was sent to EU to inquire whether 37% efficiency is in line with the EU standards. The answer was that 37% efficiency completely satisfies the EU requirements. Mr. Baker thinks that 37% efficiency is economically feasible. It never was just about building the power plant. They looked at all the renewable options, possibility of Zhur, etc. During their analyses, they took the triple price of carbon from the 2012 study, to make sure it is still economically viable. • Regarding their opinion on Vice-president of ECA Ms. Laura Tuck and ECA Managing Director Ms. Ellen Goldstein, Mr. Baker said that their position is very clear and straightforward, if they see any problems with this project, they will not proceed with it, and they have no career advancement issues to satisfy. Ellen Goldstein has cancelled a $1.3 billion project in Bangladesh over the corruption issue. • Mr. Peters mentioned that Contour Global will only manage this project and it doesn’t have the expertise to build it. For the EPC contract, they have to have a competitive bidder. • Contour Global as an investor will provide the equity and the rest will come from the debt financing. • On 25% IRR: At this point, they don’t have a strong opinion, but Bank will give it a serious look. If this looks like a very unbalanced deal, they will not finance it. This is a problem of Kosovo government to agree to put such a high tariff on people. This is the other side of the request for higher
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