NunaGreen has canceled the ongoing tender for the expansion of the hydropower plant in Utoqqarmiut Kangerluarsunnguat, also known as Buksefjorden, after receiving only one final bid following a pre-qualification process involving three potential bidders.
In a statement published on its website, the company said it received just one bid in the completed design-build tender. After negotiations with the bidder, NunaGreen concluded that the bid level reflected the lack of competition in the process and that the risk allocation to NunaGreen as contracting authority was unattractive.
The company said the Buksefjorden expansion remains a key project for Greenland’s future energy supply and stressed that work on the project is continuing despite the tender setback.
Project continues while procurement path is reworked
NunaGreen said preparatory work, including the establishment of an access road, will move ahead as the company works to minimize the overall project delay.
The statement points to a procurement problem rather than a retreat from the project itself. The issue, as described by NunaGreen, was not whether the expansion should proceed, but whether the tender produced a competitive and workable result.
Chief Executive Officer Aviaaja Karlshøj Knudsen said the company is now focused on planning the next steps in a way that improves competition and supports more robust execution, while also managing risk in a project of this scale.
Next steps expected before summer
NunaGreen said it expects to provide further information on the next steps for the project’s execution before the summer.
In an email to GreenlandEnergy.com, Karen Anne Arleth, NunaGreen’s Head of Sustainability and Communication, separately confirmed that the tender had been canceled due to insufficient competition.
Taken together, the company’s public statement and email confirmation suggest NunaGreen is preparing to revisit how the next phase of the Buksefjorden expansion is structured, while keeping the project itself alive.
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