Energy Ministry refers FSRU's tenders to Cabinet

The Energy Ministry completed its study of tenders for the Floating Storage and Regasification Units (FSRUs), and referred the results to Cabinet, which will now select one or more of the bids put forward.

Cabinet must also decide how many FSRUS it wants to provide. The government allowed companies to submit proposals (see table of bidders here) where the first FSRU will be installed in one of three sites: Selaata, Zahrani, or Deir Amar. The other two sites will be subject to future tenders in addition to bidding  for the construction of pipelines between the FSRU and the onshore power plants.

Some experts have said that three FSRU vessels would be unnecessary, and have questioned whether sectarianism is at play given that the locations are split between Shiite, Sunni and Christian-majority areas.

Her Excellency Nada Boustani in a recent interview dismissed these claims, saying that Lebanon’s FSRUs would be small in size, thereby justifying the creation of three. According to Zaher Sleiman advisor to the MOEW An FSRU could cost up to $400 million

FSRU’s are an integral part of the Energy Ministry’s plan to run Lebanon’s power plants on natural gas, in order to reduce costs and lower pollution.

Boustani said tenders for two new power plants are set to be launched in September.


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