Green light for the tender of the PPP project of Havrias Dam in northern Greece

The PPP project for the Havria Dam in Halkidiki is moving forward as, with a decision of the Ministry of Infrastructure and Transport, the relevant tender has been now approved.

The project is expected to contribute greatly to the problem of water supply and irrigation in the area.

Now, the next steps are the application to the General Secretariat for PPP projects and its subsequent approval by the Inter-Ministerial PPP projects committee in order for the tender to be launched. It will be the first PPP project for a dam and generally water-related infrastructure.

The tender will be held in 3 phases: Expression of Interest, competitive dialogue (that will finalize the scope and other parameters as its environmental licensing) (and will be licensed environmentally) and finally the technical and financial offers, from which the contractor of the project will be awarded.

According to information of ypodomes.com, the contractor will undertake the construction and maintenance of the Dam and the accompanying projects, for a period of up to 30 years, out of which 2.5 years are related to the construction.

The initially estimated cost will exceed 105.89m euros (incl. VAT,VAT excl.: 85.4m euros) and will take over the water supply to the water companies with a certain quantity and a high level specifications terms of quality. The contractor will be reimbursed by the central Government with availability payments.

Management companies will have access to water and will charge the final recipient, i.e. consumers, just as they do now. The financing of the project will be 100% private without any support from NSRF. The cost of the expropriations is estimated at 30m euros, which will be covered by the regular budget.

According to the same sources, this project has already an environmental permit (EIA), making it quite “mature”. The project is considered critical for the region of Halkidiki as a severe water shortage has been observed, especially during the summer months, while with the increase of the tourist flows, the problem becomes more intense every year.