UK-based Mott MacDonald has been selected as the independent engineer by The Bank of New York Mellon to monitor construction of the 406MW Chaglla hydroelectric power generation project in Peru.
Under the contract, Mott MacDonald will be responsible for supporting the lenders in the construction and operations monitoring phases of the project including visits, reporting on progress and certification of disbursement.
Earlier, the consultancy provided assistance related to technical, contractual and financial aspects of the project, helping the developers to reach a successful financial close.
The $1.2bn project calls for the construction of a 400MW main power plant featuring two Francis turbines of 200MW generation capacity each; an auxiliary plant equipped with a 6MW Francis turbine; a 127km, 220kV transmission line, and 34km of permanent access roads.
To be located on the Huallaga River, in the Chaglla district of the department of Huanuco, the project will also include a 202m concrete faced rockfill dam forming a 17.3km long 466 hectare reservoir, a surface powerhouse and diversion, spillway and headrace tunnels.
The project will be developed by Empresa de Generacion Huallaga (EGH), a subsidiary of Odebrecht Energia, which is estimated to generate around 2,545GWh annually when commissioned that is expected in early 2016.
EGH will construct the main components of the project between 800m and 1,000m above sea level on the left bank of the Huallaga River, on the territory of the rural community of Pillao.
The 220kV transmission line will connect the project with the Peruvian national grid Sistema Electrico Interconectado Nacional (SEIN) at the Paragsha substation near Cerro de Pasco.
Mott MacDonald project director Clare Rhodes-James said the project will create thousands of jobs and increase its electric generation capacity, enabling Peru's economic development.
"Once completed, this project will be Peru's third largest hydropower facility, providing approximately 13% of the country's installed hydropower," said James.