ENGIE and partners reach financial close for PV projects in Senegal
ENGIE and its partners Meridiam and FONSIS have signed the EPC, O&M and finance contracts for two solar PV projects totalling 60MW.
The financing package for the two projects located in Kael and Kahone includes senior loans worth €38 million from the International Finance Corporation (IFC), the Finland-IFC Blended Finance for Climate Program, which helps spur private sector financing for climate change solutions in emerging markets, the European Investment Bank, and Proparco.
The solar PV plants are part of the Scaling Solar initiative in Senegal, conducted jointly by the Senegalese authorities and IFC.
ENGIE was selected as preferred bidder by Senegal’s Electricity Sector Regulation Commission (CRSE) in a tender launched in October 2017.
ENGIE and Meridiam hold a 40% shareholding in the project company. FONSIS, the Senegalese sovereign fund, is a shareholder with a 20% equity stake.
The projects are located in Kahone, in the Kaolack region, and in Touba-Kaël, in the Diourbel region; construction and operation of the plants will be managed and executed by ENGIE.
Yoven Moorooven, CEO of ENGIE Africa, said: “In an extremely competitive context, ENGIE reaffirms its commitment to be a long term player in Senegal and to bring clean and affordable energy to the country while creating sustainable jobs.
"These projects are perfectly in line with the strategy of the Group to become a leader in the zero carbon transition ‘as a service’ for our customers in Africa.”