Infrastructure Brief

News and opinion on public works procurement

Energy

  • Energy|
  • Kenya News|
  • Project Updates

    • Metier Partners With Tembo Power On Kaptis Hydroelectric Project

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    By Kevin Davids

    An agreement has recently been signed between Metier and Tembo Power, the company developing the Kaptis hydroelectric project in western Kenya. Metier will participate in the financial closing of this project, which will produce 14.7 MW, by taking a 40% stake in it.

    The financial completion of the Kaptis hydroelectric project in Kenya will take place by the end of the year. It is one of the points of the agreement recently concluded between the project developer Tembo Power, a company based in Ebene, Mauritius, and Metier Private Equity International, a company based in South Africa specialising in the financing of renewable energy and energy efficiency in Africa.

    According to Tembo Power, the agreement with Metier will enable it to select the financial partners and complete the financing of the hydropower project which will result in the production of 14.7 MW from a run-of-river hydropower plant. It is a hydroelectric facility that operates independently of a water reservoir. Such a facility has less impact on the river and its biodiversity.

    40% stake for Metier

    Tembo Power began development of the Kaptis hydroelectric project in 2013, following preliminary studies conducted by its partner Humphrey Mulindi. The purpose of the study was to determine the real potential of the site selected for the future hydroelectric power plant.

    The engineering, procurement and construction (EPC) contract for the future hydroelectric power plant will be executed by WK Construction, a company specialised in hydraulics. This company, based in South Africa, is one of the financial partners of the project, in which it holds a 20% stake.

    The new investor, Metier, now holds a 40% stake. The South African-based financial company has decided to place this investment within the framework of its Metier Sustainable Capital International Fund II. It is a fund that targets investments offering social and environmental benefits as well as financial returns. Its investments are balanced between renewable energy projects (encompassing both grid-connected and distributed generation) as well as growth capital investments in other sectors, such as energy efficiency and the exploitation of resources such as water or waste management.

    The remaining 40% of the Kaptis hydroelectric project is owned by Tembo Power. “We look forward to the prospects of the Kaptis project and, more broadly, the prospects of Tembo Power’s portfolio, which fits well with the fund’s strategic direction. The fund is focused on small and medium scale renewable energy projects. We want to invest in Kenya’s energy sector and provide clean energy to support the Kenya Power and Lighting Company’s (KPLC) electricity supply,” says Michael Goldblatt, Director of the Sustainable Capital International Fund II.

  • Energy|
  • Project Updates|
  • Tanzania News

    • Greenlight Planet Surpasses 300K Home Solar Installs In Tanzania

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    By Kevin Davids

    The home solar kit supplier Greenlight Planet has passed the 1.5 million electrified people mark in Tanzania. This result should boost the company’s activities in several other African countries where it is present.

    Greenlight Planet publishes its activity results in Tanzania. The solar home system provider says it has already installed solar home kits in 300,000 homes, benefiting 1.5 million people, mainly in rural Tanzania. This was achieved during the company’s nine years of service in this East African country.

    Greenlight Planet distributes its famous Sun Kings to households. It is a system consisting mainly of a solar panel, batteries for electricity storage and LED bulbs, which are energy efficient. Greenlight Planet’s Sun King systems also have recharging spaces for mobile phones.

    The importance of solar kits in Tanzania

    Less than 17 per cent of Tanzania’s rural population has access to electricity, leaving more than 80 per cent of rural households in the dark at night. According to the Tanzania Rural Electrification Agency, the government plans to increase the rate of access to electricity for rural households to 50% by 2025 and 75% by 2033. “Given the size of the country and the dispersion of the population, off-grid energy is well placed to play an important role in providing rural people with access to electricity,” explains Greenlight Planet.

    The company, which employs more than 175 people in Tanzania, estimates that its solar home systems have saved rural households 70 billion Tanzanian shillings (more than $30 million) in nine years. This was achieved by switching from kerosene lamps to clean electricity. According to the Chicago-based company in the United States of America, its solution has also prevented the emission of 300,000 tons of carbon dioxide (CO2).

    Mobile money to facilitate the distribution of solar kits

    “With pay-as-you-go technology, customers have the ability to pay for their Sun King system in small instalments over time, allowing them to benefit from dramatic improvements in home savings, increased productivity for their small businesses and additional study time for their children. Increased affordability for customers, coupled with our network of nearly 800 sales agents and a series of strategic distribution partnerships, is helping us bring clean, reliable energy to rural communities,” said Dhaval Radia, Senior Vice President of Greenlight Planet.

    The company, launched in 2009, relies on mobile money to distribute its solar home systems. Recently, the solar kit supplier signed a partnership with Vodacom Tanzania, which offers this payment service via mobile phone. In November 2019, Greenlight Planet signed a partnership with the French telecommunications giant, Orange. The aim of the agreement this time is to market the solar kits at home in several countries in sub-Saharan Africa.

  • Energy|
  • Uganda News

    • Uganda Signs Agreement To Build Four Solar And Wind Farms

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    By Kevin Davids

    The Ugandan government recently reached an agreement with Hussain bin Jassim Al-Nowais, head of Amea Power, an independent power producer (IPP) based in the United Arab Emirates. The IPP wants to build four solar and wind farms in two regions in Uganda.

    New renewable energy projects will be implemented in Uganda. It is the promise of a recently signed agreement between the chairman of Amea Power Hussain bin Jassim Al-Nowais and Ugandan head of state Yoweri Museveni. The agreement specifically covers the construction of four wind and solar farms in two regions of the country.

    In the West Nile region of northwestern Uganda, the Independent Power Producer (IPP) wants to build a 10 MWp solar photovoltaic power plant and a 10 MW wind farm. Amea Power wants to build the largest facility in the Karamoja region of northeastern Uganda. The UAE-based IPP wants to build a wind farm with a capacity of 120 MW. The solar power plant will be capable of supplying 80 MWp to the Ugandan electricity grid.

    Amea Power’s increase in installed capacity

    The chairman of Amea Power Hussain bin Jassim Al-Nowais said that implementation of his project in the West Nile region will begin before January 2021. These new projects will enable Amea Power to increase its installed capacity on the African continent. In recent months, the UAE-based company has obtained several concessions from African governments.

    The most recent is the construction of a 50 MWp photovoltaic solar power plant in Mali. The plant will be located in Tiakadougou-Dialakoro, a small town of 7,000 inhabitants, a short distance from Bamako. The solar power plant will supply electricity to the Koulikoro region. Also in West Africa, in Togo, Amea Power recently started construction of the Blitta photovoltaic solar power plant. The plant, which will be commissioned in two phases, will have a capacity of 50 MWp with an investment of 33.5 million euros.

    In Egypt, Amea Power has received authorisation from the military complex to supply700 MW of electricity from two installations. It is a 500 MW wind farm that will be built in Jabal Al-Zayt, in the town of Ras Ghareb in the Gulf of Suez. The project will be developed by Amunet Wind Power Company (AWPC), a subsidiary of Amea Power. The IPP will also build a 200 MWp solar farm in Kom Ombo (a locality in Upper Egypt) through its subsidiary Abyodos Solar Power Company (ASPC). Amea Power’s two projects in Egypt will require an overall investment of $750 million.

  • Energy

    • Uganda In Talks With Kenya Over Dwindling Oil Supply

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    By Kevin Davids

    Finance Matia Kasaija says Uganda’s fuel reserves were drying up as the quota it imports through Kenya’s seaport of Mombasa has reduced.

    Uganda’s minister of finance Matia Kasaija on Tuesday said the country is in talks with neighboring Kenya over the dwindling fuel supply.

    Kasaija told parliament that Uganda’s fuel reserves were drying up as the quota it imports through Kenya’s seaport of Mombasa has reduced.

    “We have raised the issues with the Kenyan authorities and we are doing everything possible to ensure the supply of petrol and diesel is sorted,” he said.

    He attributed the reduction to global outbreak of the novel coronavirus that has forced the oil producers in Middle East to reduce the supplies.

  • Energy|
  • Project Updates|
  • Tanzania News

    • Rukwa Coal Project Secures Funding

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    By Kevin Davids

    In a joint statement, the company’s Chairman, Jeff Malaihollo and CEO, Alistair Muir said the amount was before expenses were deducted.  The new ordinary shares of 0.02p each were sold at a placing price of 0.04p per ordinary share with existing shareholders through Brandon Hill Capital Limited.

    “As envisaged, following the passing of the resolutions, subscribers to the placing will now be issued with one warrant for every two placing shares subscribed for under the placing,” the two company officials stated.

    Meanwhile, Edenville Energy Plc said its Rukwa coal project’s wash plant recommenced continuous operations early this month. “As announced on 27 February 2020, a stockpile of approximately 6,000 tonnes of unwashed run of mine coal, which was mined from the southern pit at Rukwa, has been established adjacent to the wash plant,” the statement added.

    The statement further said the wash plant is currently processing ore from the stockpile ahead of the first customer pick-up which is scheduled for last week. “As previously announced, the Company expects to commence mining from the northern area at Rukwa during March 2020 as the stockpiles diminish and the ramp up in production continues,” the London based company stated.

    As previously noted, the region has so far experienced one of its wettest rainy seasons in many years. Should this continue throughout March there is the potential for further disruption to mining operations ahead of the expected end of the rainy season in late April.

    Apart from the Rukwa project, the company also has exploration licences form a contiguous block covering 494.99 square kilometres and lie adjacent to the Kiwira-Songwe coalfield.  It paid a private vendors U$161,700 in cash to acquire it. The licences are held by Edenville’s 99.5 percent owned Tanzanian subsidiary, Edenville International (Tanzania) Limited.

  • Energy|
  • Kenya News

    • Redavia Solar Enters Kenyan Market

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    By Kevin Davids

    Regional solar energy company Redavia has ventured into the Kenyan market after signing an energy deal with Exotic EPZ.

    Redavia designs, manufactures, installs and maintains solar systems on behalf of its clients. Exotic hopes the solar power will reduce its monthly electricity costs.

    “Our system is based on a pre-configured model, including high-performance solar modules and electrical components which are easy to ship, set up, scale, and redeploy,” said Redavia chief executive and founder, Mr Erwin Spolders, in a statement.

    Exotic EPZ managing director, Ms Jane Maigua, said Redavia provides cost-efficient renewable energy under a flexible contract, thus enabling them to reduce costs and increase operational flexibility.

    She said the power will enable their company to reduce carbon footprint and solve the sustainability challenge of energy needs.

    Entrance of the company in the Kenya solar energy market will further open a widow for alternative power for manufactures when a majority have been complaining of high electricity tariffs.

  • Africa|
  • Congo News|
  • Energy|
  • Water

    • DRC Moves To Revive Grand Inga Dam Project

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    By Kevin Davids

    The Democratic Republic of Congo is looking to breathe new life into the Grand Inga Dam project, which is said to be the world’s largest proposed hydroelectric scheme that could produce sufficient energy to power east, central and southern African countries.

    The project on the Congo River could have up to eight separate dams that would produce 43,500MW (4.35GW) of electricity – more than twice the power generation of Three Gorges Dam in China, and over a third of the total electricity currently produced in Africa.

    But since mooted ten years ago, it has faced delay over several issues such as contractors, timelines and funding sources for the $80 billion needed to finance the construction of the dams and the establishment of transmission lines.

    That will be the focus of discussions when leaders from concerned regions meet in a conference next month, which is organized by President Félix Tshisekedi of the DRC and is expected to be attended by delegates from Angola, Kenya, Republic of Congo, Rwanda, South Africa, and Uganda. The April 28 meeting in Kinshasa is backed by the African Union while Egyptian head Abdel Fattah al-Sisi and potential investors have been invited to help kick off the project.

    In addition to discussing the feasibility of the Inga Dam project, officials say the move by Tshisekedi is meant to garner regional political support for the mega power project that is seen as the ultimate solution for Africa’s power shortage and green energy.

    DRC hosts the largest concentration of hydropower potential in the world at the Inga Falls, about 150 km from the mouth of the Congo River. With this, the country could provide a significant portion – up to 40 percent – of Africa’s electricity demand but harnessing that potential has not been particularly easy.

    The country presently has two Inga projects that were completed in the 1970s and 1980s respectively. And in late 2018, authorities announced a deal for a Spanish-Chinese consortium to develop the Inga 3 project on the Congo River rapids, which is one of the world’s most powerful and centre to the country’s energy plans.

    But the joint venture idea was resisted last year. Spanish firm ACS withdrew from the possible consortium that included China’s Three Gorges Corp and could have seen $14 billion invested in the third dam with funding from the African Development Bank.“There has been an Inga 3 development agreement for a few years now. But we can go from Inga 1 to Inga 8,” DRC Minister of Water Resources and Energy, Eustache Muhanzi Mubembe, said.

    General Electric has been contracted to renovate the neglected Inga 1 and 2 dams and will be working on Inga 3 after signing an agreement worth $1 billion – the largest U.S. investment in Congo. But the deal with the American firm does not prevent other partners from being part of the project, according to Mubembe.

    “The development agreement remains open. We have had Chinese and Spanish contractors since 2016 on the Inga 3 development agreement. And there are Spanish contractors who have left the agreement. Nobody chased them away. The DRC would like to have everyone in it. Americans, Chinese, Indians, Egyptians…are all welcome,” the minister was quoted as saying by The East African.

    AfDB will be funding the redesign of the Inga 3 dam, Tshisekedi said in a recent State of the Nation address. That would raise the output from the initial 4,800 megawatts to reach 11,000 megawatts or more, and Inga could make DRC “the heart of the world’s clean energy production system,” the President added.

    With AfDB’s permission, the DRC is now inviting bidders while officials are in talks with the regional bank for an agreed date to commence construction. Confirmation is expected in the next few days, Mubembe said.

    A major and recurrent barrier to implementing the hydropower project after many years of conception was the political instability in the DRC. With relative stability now in the country after President Tshisekedi came into power last year, the DRC is moving fast to revive the mega-project that could also help save its endangered forest resources.

  • Africa|
  • Energy|
  • Project Updates

    • Libya Begins Construction of Kufra Solar Plant

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    By Kevin Davids

    Construction of a 100MW solar photovoltaic power plant in the town of Kufra in south-eastern Libya has commenced. Prime Minister of the Eastern Government Abdullah Thinni launched the project and laid the foundation stone for the construction.

    The solar project is in line with the 2030 vision of the General Authority for Electricity and Renewable Energy, based in the East, which aims to exploit alternative and clean energies, particularly solar and wind power.

    The power plant will occupy an area of 200 hectares and construction has been entrusted to a Chinese company. Upon completion,it will reinforce the electricity network of the city of Kufra, which is currently supplied by a thermal power plant consisting of 3 units of 25 MW each. The power plant has been out of service for several months due to a fuel supply problem following the unrest in this North African country. Two of the three units of the thermal power plant have recently been rehabilitated.

    Libya is one of the countries blessed with high potential of solar and wind energy. The country currently produces energy of 33 TWH to meet the demand on the local electricity market.

    The demand on energy will substantially increase in the near future,leading to more consumption of oil and gas which causes a reduction in the national economical revenue and more carbon dioxide emission.

    In 2013, the Libyan government launched the Renewable Energy Strategic 2013-2025 Plan, which aims to achieve 7% renewable energy contribution to the electric energy mix before end of 2020 and 10% by 2025. This will come from wind, Concentrated Solar Power, solar PV and solar heat.

  • Africa|
  • Energy|
  • Tenders|
  • Water

    • Angola, Namibia To Launch Tender For Baynes Dam Construction

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    By Kevin Davids

    The governments of Angola and Namibia have signed bilateral agreements for the construction of a cross border Baynes hydroelectric dam. Angolan Minister of Energy and Water H.E. João Baptista Borges made the announcement and said the agreement will enable the launch of a public tender for the selection of a construction firm for the project, in line with the proposed timeline.

    “If we stick to the schedule of the agreement, we can comply with the deadlines, because there is a great interest in this bi-national project,” said Minister João Baptista Borges.

    Construction of the Baynes hydroelectric dam falls within Angola’s Energy 2025 Vision, which centers on creating increased capacity and distribution capabilities, supported by new renewables and private sector investment in new power generation projects. The planned hydroelectric dam will be located on the Cunene River on the border between Angola and Namibia.

    Construction is scheduled to begin in 2021 and a completion date scheduled for 2025. It is estimated to cost US $1.2bn; feasibility studies for the project was already carried out. According to the agreement, of the 600 MW to be produced by the plant, 300 MW will be directed to Angola and Namibia, respectively.

    Namibia has enormous potential for solar energy production. The country is the driest on the African continent, with 300 days of sunshine per year. The country is aiming for 70% of its installed electricity capacity to come from renewable sources by 2030. Angola on the other hand has only 14MW of non-hydro clean energy generation capacity, all of it off-grid. The country renewable energy plan is targeting 800MW of capacity, including wind and biomass.

  • Energy|
  • Kenya News

    • Kenya’s Koru-Soin Dam Project To Begin Soon

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    By Kevin Davids

    Construction of the $388 million Koru-Soin dam in Kenya will begin soon. National Water Harvesting and Storage Authority acting CEO Geoffrey Sang confirmed the report and feasibility study are done and the designs finalized.

    “We have designs for the project and the Government will allocate money for the project because the Government has goodwill and fully committed to ensure that it will be implemented,” said Eng Sang

    “We have really planned for the process of public participation to kick off any time because the public must be engaged since a number of things will occur that include displacement of people to pave way for the construction of the multi-purpose dam,” Sang says.

    The project aims to to control flooding in the lower Nyando area, supply water for industrial use as well as generate hydroelectric power. It is also expected to end water shortages in the neighbouring counties of Kericho, Nandi and Kisumu.

    The dam which was initially planned in the 1980s will be located 5 km upstream river Nyando from Muhoroni town and will be developed on a 2,500 acres of land. The project will have a treatment plant of 35.5m cubic metres. By acting as a sediment trap, Koru-Soin dam will reduce sediment loading and deposition downstream, which is the main cause of flooding.

    Water will be supplied to Muhoroni, Koitaburot, Koru, Chemelil, Awasi, Miwani, Ahero, Rabuor, Riat Technical College and Mamboleo. Kisumu city, Ahero, Chemelil, Miwani and Awasi towns will be the other beneficiaries. The project is being  funded by the World Bank in partnership with the government