This is record financing for electrification and access to drinking water in rural Angola. The $1.6 billion loan from the Export-Import Bank of the United States of America will benefit Sun Africa, a company based in Miami, Florida. The American company is developing a portfolio of solar mini-grids for electrification and access to drinking water in rural areas, in partnership with ING Capital and Omatapalo.
According to the American bank, the project, which will create 3,100 jobs in the United States of America, will increase access to electricity and drinking water in several provinces of Angola that previously had none, and will help to improve health, education and social well-being. Sun Power will build 65 solar mini-grids equipped with electricity storage systems to supply households, as well as water collection and treatment systems in southern Angola.
Electrifying 350,000 homes in Angola
In the provinces of Cunene, Huila, Namibe and Cuando Cubango, Sun Africa plans to install 200 solar cabins and at least 60,000 solar home systems. These kits will provide access to electricity for at least 827,000 people. At the same time, 64 communities will be electrified thanks to 220 MW of solar capacity and 286 MWh of battery storage. In the provinces of Catete and Lauca, the company, headed by Adam Cortese, will roll out six municipal distribution networks, bringing electricity to a further 45,000 homes.
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Sun Africa will also build solar farms with a combined capacity of 600 MW for Angola’s national electricity grid. The US energy company estimates that the project in Angola’s southern provinces will bring electricity to 350,000 homes and supply drinking water to 1.1 million Angolans. For the US government, the stakes are also diplomatic.
Countering Chinese competition
The $1.6 billion in funding has been granted under the China and Transformational Exports Program (CTEP). This programme is mandated by the US Congress to support American exporters facing competition from China. Competition is very tight in Angola, where China is leading the way, particularly in the construction of electricity infrastructure.
A few weeks ago, China Energy Engineering Corporation (CEEC or Energy China) recommissioned the 34 MW Luachimo hydroelectric power station. Its subsidiary China Gezhouba Group Corporation (CGGC) is currently building Angola’s largest dam. The mega reservoir on the Kwanza river will be equipped with a 2,172 MW hydroelectric power station. This is equivalent to the installed capacity of a country like Ivory Coast (2,230 MW).
Jean Marie Takouleu