Cancellation of tender for the expansion of Buksefjorden
NunaGreen has decided to cancel the ongoing tender regarding the expansion of the hydropower plant in Utoqqarmiut Kangerluarsunnguat (Buksefjorden).
In connection with the completed design-and-build tender, NunaGreen received only one bid following a prequalification process involving three potential bidders. Despite constructive negotiations with the bidder, NunaGreen has assessed that the bid level reflected the lack of competition in the tender process and that the allocation of risk to NunaGreen as the contracting authority was unattractive.
The expansion of the hydropower plant in Utoqqarmiut Kangerluarsunnguat remains a key project for Greenland’s future energy supply, and work on the project continues. Preparatory works, including the establishment of an access road, will proceed, and the focus is now on minimizing the overall project delay as much as possible.
NunaGreen expects to provide further information on the next steps for the project’s execution before the summer.
“We have worked diligently to ensure that the tender could lead to contract award and project initiation. As this has not been achieved, it is important for us to plan the next steps in a way that better supports competition and a more robust execution of the project. At the same time, we have a strong focus on identifying and managing risks in a construction project of this scale, so that it can be realized on a solid foundation and for the benefit of society,” says Aviaaja Karlshøj Knudsen, CEO of NunaGreen.
