The Senegal Electricity Sector Regulation Commission (CRSE) has awarded a tender for two solar photovoltaic (PV) projects to a joint venture comprising of ENGIE and investment partner Meridiam.
The two projects, which have a joint capacity of 60MW are part of the Scaling Solar initiative in Senegal, conducted jointly by the Senegalese authorities and the International Finance Corporation (IFC, member of the World Bank Group).
The project is located in Kahone, in the Kaolack region, and in Touba-Kaël, in the Diourbel region.
ENGIE and Meridiam will hold a 40% shareholding in the project company. FONSIS, the Senegalese sovereign fund, will also be a shareholder with a 20% equity stake.
The construction and the operation of the plants will be managed and executed by ENGIE. Read more: Scaling Solar programme sets new tender benchmark
Competitive solar PV plants
Yoven Moorooven CEO of ENGIE Africa said: “Our consortium delivered a highly competitive offer by leveraging our experience of developing and operating renewable energy projects in Africa – in particular in Senegal. This success demonstrates the merit of our integrated model for solar whereby ENGIE is acting as investor, operator and EPC contractor through ENGIE Solar (formerly known as Solairedirect).
“The CRSE and the IFC set out a clear, sound investment framework, which favoured the presence of long-term investors like ENGIE. Our focus will now be on finalising the projects to deliver the most competitive solar PV plants, to serve the country’s ambition of developing universal electricity access in a sustainable manner. Congratulations to the teams on this achievement.”
COO of Meridiam Africa, Mathieu Peller also commented: “We continue to deploy our fund in Africa, choosing projects aimed at supporting sustainable economic development. Thanks to the reduced costs of solar equipment, this particular project will have a high developmental impact by expanding Senegal’s capacity to generate clean energy at a very competitive price.
Peller added: “Increasing power generation is critical for the government’s objective to raise Senegal to the level of an emerging market by 2035. The project aligns with the UN’s Sustainable Development Goal Seven, which calls for increasing the share of renewable energy in the global energy mix.”