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Hidroelectrica will execute next week the letter of guarantee amounting to EUR 8 million issued by UniCredit Bank to Austrian company Andritz Hydro for an upgrade contract after having won a litigation in Vienna
The electricity producer concluded in 2004 with Austrian-German consortium Andritz-Voith an upgrade contract for the power plants on Lower Olt river
The five plants, put into operation between 1987-2000, are equipped with 20 hydro groups, each with an installed capacity of 13.5 MW.<a target="_blank" href="https://myhive-offices.com/en/"></a>
The plants were refurbished over 2006-2013 and while the contract was ongoing
The company asked the consortium to replace the stainless steel equipment which got corroded
Amid the consortium’s refusal to take responsibility for the corrosion and for other unsolved technical problems
Hidroelectrica asked last year in July UniCredit Austria the execution of the bank guarantees issued by the two companies
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