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Masdar signs roadmap to deliver 500 MW of solar projects

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Masdar has signed a roadmap with Ethiopia to deliver up to 500 MW solar projects in the East African nation as part of the Etihad 7 programme, the company tweeted.

Etihad 7, a UAE-led innovation program that aims to supply clean electricity to 100 million people by 2035 is dedicated to securing funding for renewable energy projects in Africa.

In January this year, the Government of Ethiopia and Masdar signed a Joint Development Agreement to develop two solar photovoltaic plants with a combined capacity of 500 MW in Ethiopia.

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OrganizationMasdar, Government of Ethiopia
SourceMasdar signs roadmap with Ethiopia to deliver 500MW of solar projects

1.14 MW solar plant commissioned

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THE Zim-China Wanjin Agricultural Development company has successfully installed a 1.14-megawatt solar project at its Sisi Farm in Zvimba North constituency to support farming activities.

The company is a joint venture between the Defence and War Veterans Affairs Ministry and the Anhui provincial state farms group company of the People’s Republic of China.

It was established in 2010 under the Defence Economic Development to attract Foreign Direct Investment to optimise food production.

The Sisi Farm is a demonstration project where the Chinese showcase their expertise with the locals gaining knowledge.

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OrganizationZim-China Wanjin Agricultural Development company, Defence and War Veterans Affairs Ministry, Anhui provincial state farms group company of the People’s Republic of China
ProjectSisi Farm Solar Project
Source1.14 MW solar plant commissioned

Updates

Sisi Farm Solar Project (Project)

NameRoleAmountFinancing InstrumentStatus
Zim-China Wanjin Agricultural Development companyInvestorn/an/aNew

Mining company Harmony commissions 30 MW solar plants in South Africa

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Harmony Gold Mining Company has commissioned 30 MW of ground-mounted solar projects in the Free State Province. The plants – Tshepong, Eland, and Nyala – are located in the town of Odendaalsrus, and the power generated will be sold to Harmony Gold Mining under a power purchase agreement (PPA) for a period of 15 years.

African Clean Energy Developments (ACED) was co-sponsor to AIIM / Old Mutual’s IDEAS Fund and was primarily responsible for procurement and PPA negotiations, the technical-commercial interface, and overarching transaction management, including raising debt funding. ACED also oversaw all land and permitting workstreams, and provided construction management.

The Tshepong project is connected directly to Eskom’s Distribution System and wheels energy to Harmony’s point of supply, where Eskom credits them for the energy supplied by the project. The Tshepong project is the first project financed “wheeling” project in South Africa, ACED says.

The Eland and Nyala projects connect directly to Harmony’s electrical system (behind the meter).

Construction of Phase 2 is expected to commence in December 2023 and be completed in FY25, the company says. Once complete, this will add a further 137 MW.

The first 100 MW of Phase 2 will be largely funded using the R1.5 billion green loan that was secured in June 2022, while the remaining 37 MW will be delivered through a power purchase agreement with an undisclosed company.

In 2020, several mining companies operating in South Africa announced their plans to build power plants relying on PV with a combined capacity of 585 MW. These include a 200 MW solar plant under development by gold provider Sibanye-Stillwater, a 75 MW facility planned by Anglo American Platinum, a 40 MW solar park by Goldfields, a 200 MW PV plant by Indian mining company Vedanta, a 30 MW project by Harmony, a 38 MW plant by Orion, and a smaller 3 MW facility by Exxaro.

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Overview

OrganizationHarmony Gold Mining Company, Infrastructural, Developmental and Environmental Assets Managed Fund (IDEAS Fund), African Clean Energy Developments (ACED), Rand Merchant Bank, Energy Group, Mahlako Energy Fund
ProjectHarmony Gold Mining Phase I: Tshepong, Eland, and Nyala

Japan’s Toyota Tsusho wins contract for the 2nd Illoulofin solar power plant

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Japanese company Toyota Tsusho has signed a public-private partnership (PPP) with the new Société béninoise de production d’électricité (SBPE) to develop the second phase of the Illoulofin photovoltaic solar power plant in the council of of Pobè in south-east Benin.

Toyota Tsusho is continuing its expansion in sub-Saharan Africa. The Tokyo, Japan-based company has just signed an agreement with Société béninoise de production d’électricité (SBPE) to develop the second phase of the Illoulofin photovoltaic solar power plant in the council of Pobè in south-east Benin.

The first phase of the project was completed in July 2022 with the commissioning of a power plant equipped with 47,212 solar modules, 113 inverters, six 3,515 kVA transformer substations, computer-assisted automatic control of the power plant and anti-intrusion surveillance and security systems. This first 25 MWp phase required an investment of 39.7 billion CFA francs (60.5 million euros) financed by the State of Benin with the support of the European Union (EU) and the French Development Agency (AFD).

RMT’s participation

SBPE is therefore turning to a public-private partnership (PPP) for the second phase. “The construction of this large-scale solar power plant will be presented as a Japanese PPP project that provides a stable source of low-cost electricity,” says Toyota Tsusho. The company, headed by Ichiro Kashitani, will be working with RMT, a German EPC (engineering, procurement and construction) company, a subsidiary of the French group Eiffage, which built the first phase of the Illoulofin solar power plant.

The second phase, with a capacity of 25 MW, is due to come on stream in 2024. This is “the first large-scale renewable energy plant construction project in West Africa by a Japanese company”, says Toyota Tsusho. But the company is also well established in other countries on the continent, notably in Egypt, where it has joined forces with French energy company Engie and Egyptian flagship Orascom Construction to install a 500 MW wind farm in Ras Ghareb, on the Gulf of Suez.

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OrganizationToyota Tsusho Corporation, Société béninoise de production d’électricité (SBPE), RMT
ProjectIlloulofin Solar Power Plant: Phase II
SourceBENIN: Japan’s Toyota Tsusho wins contract for the 2nd Illoulofin solar power plant

Updates

Illoulofin Solar Power Plant: Phase II (Project)

NameRoleAmountFinancing InstrumentStatus
Toyota Tsusho CorporationEPC––New
RMTEPC––New
State of Benin, European Union (EU), French Development Agency (AFD)Investor60.500.000 EURDebtNew

FCMB Offers N10M Clean Energy Loan to Households, Small Businesses

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Nigerian households and small businesses looking to acquire solar panels, batteries, inverters, and other green energy equipment now have access to as much as N10 million to buy these assets through the First City Monument Bank (FCMB) Energy Finance Loan.

The loan is designed to help homes and small businesses like hospitals, schools, restaurants, bars, stores, hotels, and fashion places keep life and work going by using clean energy.

Commenting on the Energy Loan product, the Managing Director of FCMB, Mrs. Yemisi Edun, described it as, “another bold intervention by the lender to unlock the potential of the renewable and clean energy sector, provide relief to Nigerians, and encourage clean energy.”

She said: “Access to energy drives economic growth and development. The FCMB Energy Finance offering is a reaffirmation of our commitment to eco-friendly energy finance to fight climate change, drive the growth of businesses, improve the quality of life, and accelerate development through environmentally sustainable energy solutions. With the removal of the petrol subsidy, more Nigerians are focusing on alternative energy sources to power their homes and businesses.”

In his comment, the Group Head of Business Banking at FCMB, Mr. George Ogbonnaya, said “We understand the challenges individuals and businesses face in securing funding to provide clean and sustainable power. The FCMB Energy Finance loan is structured to eliminate these challenges. It is a flexible facility with two to seven years of repayment options at competitive interest rates. We urge Nigerians, especially small business owners, to take advantage of this opportunity to reduce energy costs for their homes and businesses.”

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OrganizationFirst City Monument Bank (FCMB)
SourceFCMB Offers N10M Clean Energy Loan to Households, Small Businesses