Korean Posco International plans to build RDF-fueled CHPP in Odesa for $106 mln – Ministry of Development
Posco International (Republic of Korea) plans to build a RDF-fueled combined heat and power plant (CHPP) in Odesa with a capacity of 12 MW of electricity and 40 MW of thermal energy and a total cost of $106 million, the press service of the Ministry of Communities and Territories Development of Ukraine (Ministry of Development) reported.
"The RDF-fueled CHPP construction project is an example of a modern, comprehensive approach to solving energy and environmental challenges. I express my gratitude to our Korean partners for their interest in cooperation within the framework of the EDCF mechanism. The Ukrainian and Korean sides have already begun preparing the Project Concept Paper (PCP), which, in accordance with the procedures, must be officially submitted by the government of Ukraine," the press service of the ministry quotes deputy minister Kostiantyn Kovalchuk.
It is noted that the city has already allocated a four-hectare land plot, identified a responsible utility company, laid all necessary engineering networks, including a gas pipeline, and agreed on a heat supply scheme with the Ministry of Development.
The project's payback period is estimated at 6.5 years.
Posco International is one of the largest Korean trading corporations, a subsidiary of POSCO. The corporation is developing business in the areas of energy, agro-industry, steel production and ecology. In 2023, Posco International merged with its subsidiary Posco Energy.
For its part, Odesa City Council reported on Telegram that Posco E&C would build a waste incineration plant in Odesa with the option of generating electricity and heat.
"We have the support of the state and all the prerequisites for the implementation of an important project for Odesa. I hope that we will be able to start it as soon as possible. Firstly, this is an environmental initiative, and secondly, it involves the construction of a thermal and electrical energy generation plant, which is extremely necessary for our city," said Odesa Mayor Hennadiy Trukhanov.