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GABON: AfDB finances construction of two hydroelectric power plants

GABON: AfDB finances construction of two hydroelectric power plants ©Maxim Burkovskiy /Shutterstock

The AfDB wants to finance the construction of the Ngoulmendjim and Dibwangui hydroelectric power plants. On January 4, 2019, the bank signed a letter of intent to finance, in which it undertakes to be a co-arranger and co-lender of funds for these projects. The Bank will pay €160 million to Africa Finance Corporation (AFC) for the construction of these power plants. A project led by Gabon Power Company, the energy holding company created by the Fonds gabonais d’Investissements stratégiques (FGIS) and whose purpose is to contribute to the financing of energy projects in Gabon.

The Ngoulmendjim dam site will be built on the Nkomo River in the estuary province, 125 km from Libreville, the Gabonese capital. In addition to its 73 MW generating capacity, the dam will have an annual production capacity of approximately 500 GWh. The Dibwangui dam will be located on the falls of the Louétsi River in the Mandji Village (Ngounié Province). It is located 450 km southeast of Libreville and has an installed capacity of 15 MW and an annual production capacity of 90 GWh. Both projects will be carried out within the framework of a Boot-type construction and operation contract (Build, own, operate, transfer). The plants are expected to improve electricity supply in Gabon. In 2015, 350,000 Gabonese still had no access to electricity.

In October 2018, power purchase contracts for Ngoulmendjim and Dibwangui were signed and were respectively carried out by the project companies Asokh Energie and Louetsy. According to Serges Thierry Mickoto, Chairman and CEO of GPC, “these two projects are part of the “Emerging Gabon 2020 Vision”, whose objective is to cover all the energy needs of the interconnected network of Libreville and its surroundings with a competitive, sustainable and job-creating offer.

Luchelle Feukeng

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