Botswana will be building a new photovoltaic solar power plant over the next few years. The Norwegian independent power producer (IPP) Scatec has been awarded the contract to build a 120 MWp solar photovoltaic plant in two phases. For the first phase, Scatec has contracted the debt with the South African investment company Rand Merchant Bank and the International Finance Corporation (IFC), the private sector financing arm of the World Bank Group.
The solar power plant will be built at Mmadinare, near the former mining town of Selebi-Phikwe, 400 kilometres north-east of the capital Gaborone. Its two phases will require an investment of 1.4 billion Botswana pulas, or around $104 million, including $90 million for the implementation of the engineering, procurement and construction (EPC) contract.
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“As we take the next step in our renewable energy journey in Botswana, we look forward to commencing construction of the country’s largest solar project,” says Terje Pilskog, Scatec’s Chief Executive Officer. In addition to the EPC contract, Scatec’s South African division will provide operation and maintenance (O&M) services for the Mmadinare solar PV plant for 25 years, under a power purchase agreement (PPA) signed with the state-owned Botswana Power Corporation (BPC).
According to Scatec, the solar power plant will prevent the emission of around 48,000 tonnes of CO2 and power around 20,000 homes a year. The facility will add to Botswana’s installed capacity. The southern African country generates 80% of its electricity (993 MW) from coal. However, Botswana has opened up its electricity sector to public-private partnerships (PPPs), enabling solar power to be produced on a large scale. The first two solar power plants (4 MWp) connected to the national grid were commissioned in October 2023 in Bobonong and Shakawe.
Jean Marie Takouleu