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AfrElec                               GAS-FIRED GENERATION                                           AfrElec








                           Islamic State and other extremist groups have   The DFC’s board has also agreed to provide a
                         led an insurgency in gas-rich northern Mozam-  $200mn loan to Mozambique’s Central Termica
                         bique over the past three years, and attacks have  de Temane to build a 420-MW gas-fired power
                         increased in frequency and ferocity in recent  plant, the lender said last week. The funds will
                         months. This has posed a threat to the region’s  also cover construction of a 25-km pipeline to
                         multi-billion dollar LNG projects.   connect the facility with the grid.
                           In late June, workers from a private construc-  The plant will supply electricity to Mozam-
                         tion firm hired at the 13.1mn tpy Mozambique  bique’s major demand centres via a 560-km
                         LNG project led by France’s Total were ambushed  cable, which obtained financing last year and
                         and killed by gunmen. And in August, militants  is due to go into operation by 2023. Mozam-
                         seized control Mocimboa de Praia, the main port  bique wants to utilise more of its gas resources to
                         of entry for the project’s equipment and other  diversify its energy mix, which currently consists
                         supplies. Total later that month formed a security  mostly of coal and hydropower. Using gas will
                         pact with the Mozambique government to help  also lower energy costs for users, the government
                         protect its $20bn venture.           has said.™
                                                        POLICY


       Nigeria aims for 25,000 MW by 2025




        POLAND           THE Nigerian government has secured $6.15bn  in development or due to be launched, includ-
                         to fund major power sector infrastructure pro-  ing the construction of a $29mn, 330-kV,
                         jects in a bid to expand its production output to  62-km-long transmission line, which will be
                         25,000 MW by 2025.                   built between Birnin and Kebbi. Other projects
                           The 25,000-MW target is set out in the  include the $200mn Lagos-Ogun Transmission
                         government’s road map, and is to be achieved  Infrastructure Project, the $170mn Abuja Trans-
                         through a range of programmes that have  mission Ring Scheme and the $274mn Northern
                         attracted foreign investment, Africa Oil & Power  Corridor Transmission project.
                         reported.                              The NEP is a government-led initiative that
                           Siemens has been chosen to manage many  is private-sector driven and seeks to provide
                         of the projects in a bid to improve management  electricity access to households and small and
                         and minimise corruption, as well as providing  medium enterprises (SMEs) in off-grid com-
                         technical know-how and generation and trans-  munities across the country through renewable
                         mission equipment.                   power sources.
                           The government has established innovative   The NEP is being implemented by the Rural
                         financing and co-operation models under the  Electrification Agency in collaboration with the
                         Economic Recovery and Growth Plan (ERGP).  World Bank, the African Development Bank
                         These include the President Power Initiative  (AfDB) and other partners.
                         (PPI), the Transmission Rehabilitation and   Nigeria wants to develop a data driven off-
                         Expansion Programme (TREP) and the Nige-  grid model that could be replicated in other
                         ria Electrification Project (NEP) infrastructure  sub-Saharan African countries. The NEP’s elec-
                         construction.                        trification target is to provide power to 250,000
                           The PPI was launched in July 2019 after an  SMEs, 1mn households and 44 universities by
                         agreement between the Nigerian government  focusing on solar hybrid mini grids and stan-
                         and Siemens.                         dalone solar systems.
                           The project aims to upgrade existing equip-  To develop the NEP, the Nigerian govern-
                         ment such as power substations, as well as install  ment was granted a $350mn facility by the World
                         distribution lines and transformers on the coun-  Bank. The NEP comprises three components:
                         try’s power grid. Siemens plans to upgrade Nige-  solar hybrid mini-grids for rural economic
                         ria’s transmission capacity to 7,000 MW during  development; standalone solar systems for
                         the first phase of the project.      homes, farms and enterprises and power systems
                           The TREP aims to upgrade the existing  for public universities and teaching hospitals.
                         installations as well as add more transmission   The NEP reached its first milestone in
                         infrastructure such as power lines and electric  December 2019 when a solar hybrid mini-grid
                         transmission corridors, among others.  power plant was commissioned in the Rokota
                           The French Development Agency (AFD),  community, in Niger State. The 64-kW solar
                         the Japanese International Cooperation Agency  hybrid plant, which features 360 kWh of battery
                         (JICA) and the European Union are all provid-  storage, can distribute a stable supply of power to
                         ing support. A number of projects are currently  326 households in a 10-km radius.™



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