Alstom have bagged a massive deal with Russian hydro power company RusHydro. The agreement will lead to the creation of a joint venture plant that will manfacture hydro power equipment based in Ufa City in the Republic of Bashkortostan.
The deal, whose value has not been revealed, was announced yesterday during Russian Prime Minister Vladimir Putin’s two day state visit to France.
The Ufa plant will make hydro power equipment for small hydraulic power plants with capacities of up to 25 MW, medium-sized hydro power plants with capacities of up to 100 MW and pumped storage plants with capacities of up to 150 MW. Although hydro power currently makes up only 20% of the country’s total electricity supply, Russia has more than a hundred hydro power plants with the total installed capacity of 45 GW, the fifth largest in the world.
Patrick Kron, Charmain and CEO of Alstom, said: “These agreements consolidate Alstom’s growing participation in Russia’s power generation market. By investing in Russia’s industry and transferring its state-of-the-art technologies, Alstom confirms its strong commitment to the development of the country’s energy industry.”
The Alstom deal comes in the wake of closer ties between the two countries when it comes to the energy sector. Just recently Total announced it planned to take a 12% stake in Russian natural gas production company Novatek, Russia’s second-largest natural gas producer.