Despite a report by international construction consultancy firm Northcroft that Israel Electric Corporation (IEC) (TASE: ELEC.B22) paid a high price for natural gas turbines purchased for its emergency plan, the company could find itself with only one bidder in upcoming tenders for the second stage of the plan.
Sources inform ''Globes'' that IEC will shortly publish a $400-500 million tender for the supply of generators for the Ramat Hovav, Eshkol, and Hagit power stations. The tender, part of the emergency plan, was due to be published a month ago, but was delayed by the labor sanctions at the company.
The generators are due to be delivered by July 2012, requiring IEC to prepare to procure the equipment now.
The source said that Siemens AG (NYSE: SI; XETRA: SIE) and General Electric Company (NYSE: GE) have unofficially told IEC that they will not participate in the tender. This means that France's Alstom SA (LSE: ALS; Euronext: ALO) is shaping up to be the sole bidder.
Published by Globes [online], Israel business news - www.globes-online.com - on May 21, 2009
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