Aughinish Alumina is seeking a new partner to build a proposed power station generating up to 160 megawatts of electricity.
The company last July announced that it hoped to progress the project at its Limerick site with German company Eon, but this arrangement has fallen through. It previously considered working with Bord Gáis on a similar project. At that stage, 240 megawatts was envisaged.
Aughinish, which is one of the largest electricity users in the Republic, now hopes to find a new partner for the combined heat and power (CHP) plant.
It believes at least 200 new jobs can be created if the project goes ahead. A spokesman said the commissioning of a new plant was very important for the firm.
The Aughinish site was an ideal location for the installation of a CHP facility because the plant had a major requirement for steam and was among the largest industrial users of electricity in the State, he said. It envisages using about 40 megawatts itself each year and selling the rest into the national grid.
Aughinish is among seven consortiums hoping to get the contract to operate the State's next power station. The Commission for Energy Regulation (CER) will select one of these consortiums after a lengthy evaluation process.
The company believes it will cost €100 million to build the station. Once operational, it could produce 130-160 megawatts of power. According to a tender notice published yesterday by Aughinish, companies interested in a partnership have until September 19th to contact the firm.
Aughinish, in its tender notice, expects partners to be able to design, manufacture, install, construct and commission the plant.
Any partner firm should be able to manage engineering services, administration, contract management, quality management and safety management. Essentially, the partner would manage everything up to and including connecting to the national grid.
Meanwhile, the electricity regulator, Mr Tom Reeves, is expected to announce a rise in electricity tariffs at the end of this week. A rise of 5-6 per cent is expected. While the announcement may attract criticism from consumer groups, Mr Reeves is expected to justify the rise on the grounds that the ESB is spending billions renewing its network and this is affecting the cost of producing electricity.
