Combined Cycle, Gas, New Projects

PGE Takes Over Power Plant Construction After Contractor Abandons Project

Portland General Electric (PGE) has assumed control of the construction site of its new Carty Generating Station after the utility declared its engineering, procurement and construction (EPC) contractor in default of their agreement.

According to a PGE news release, Abeinsa Abener Teyma General Partnership, an affiliate of Abengoa S.A., was awarded the EPC contract in 2013 and began construction the next year.

Carty was expected online in the second quarter of 2016, but PGE says the contractor ceased construction activities Dec. 14, shortly after Abengoa S.A. sought to restructure its debt under the bankruptcy law of Spain where the company is headquartered.

PGE is now in the process of forming a new construction management team to resume work on the 440-MW natural gas-fired power plant.

The utility estimates Carty’s construction is 75 percent complete.  While the plant’s development was originally expected to cost upwards of $514 million, PGE says it will offer an update on costs and the expected completion date once construction resumes.