The project of public-private partnership by which three boiler rooms in Nis would switch from fuel oil and heating oil to biomass will be presented to Nis councilors tomorrow, and if they approve it, Nis City Heating Plant will be able to announce a public procurement for a private partner. It is anticipated that the partnership will last for 30 years, it is estimated that about 2.4 million euros will be needed for the investment, and the heating plant explains that this project would bring savings in addition to cleaner air.
If this project of public-private partnership is realized, the boiler rooms of the Faculty of Natural Sciences, Mika Antić and Krivi vir could switch to biomass.
The heating plant estimates that the net value of the project is 2,411,084 euros, and that the payback period is 13.8 years.
The explanation says that this would reduce heating prices and the costs of heat production, enable safer supply to users, relieve municipal resources and reduce harmful gas emissions.
By replacing the existing fuel oil with new biomass (wood chips) in the production of thermal energy in the amount of about 54,300 MWh per year, savings are achieved for the purchase of energy in the amount of about 90,132,558 dinars, or 766,562 euros, taking into account current energy prices – it is stated in the documents.
As it was pointed out, savings in electricity costs of 35% are expected, and the realization of the project would lead to the engagement of local companies, while private investments in public infrastructure would prevent further borrowing.
The director of the Heating Plant, Predrag Milačić, says that, according to expectations, at least one location will be ready next year, if they choose a private partner in the tender.
Of the three mentioned locations, the most time will be needed for Apelovac, and that will almost certainly not be possible before 2023 – Milačić points out.
It’s earlier explained that the idea is for the private partner to build the plant and to contract for the amount of thermal energy that he would hand over to the public company, which would supply the users.
In addition, he mentioned that all the energy sources used today are from exports, and that they would buy wood from factories in the vicinity of Nis, which would develop the local community.
Let us remind you that the Nis Heating Plant currently has 16 heat sources. Seven use gas as an energy source, eight fuel oil and one heating oil. The first seven produce about 95% of heat energy, and the other nine below 5%.
E2 portal (Southern news)
Source: E2 Portal by www.e2.rs.
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