Madagascar: The African Advancement Lender Approves $43 Million Bank loan to Finance 2nd Stage of Electric power Transmission Task
2 min readThe Board of Administrators of the African Improvement Bank (http://www.AfDB.org/) has authorised a mortgage of UA 30 million ($42.9) million to finance the 2nd phase of a important energy transmission and interconnection venture in Madagascar.
The Power Transmission Community Reinforcement and Interconnection Undertaking in Madagascar (PRIRTEM-II) consists of the design of a 135-km, 220 kV interconnection line between the cash Antananarivo and the central industrial town of Antsirabé.
The challenge will assist to feed the electrical power created by the Sahofika Hydropower Plant into the nationwide grid, supplying some 8 million men and women with inexpensive, clear power.
The funding contains a loan of UA 20 million ($28.6 million) from the African Improvement Fund (ADF), the concessional lending window of the Financial institution, and a financial loan of UA 10 million ($14.3 million) from Pillar 1 of the Transition Aid Facility (TSF), the Bank’s funding system for fragile and changeover nations.
The next stage of the challenge also contains the electrification of 19 villages in the Soanindrariny, Ambohidranandriana, Ambatomena and Ambohimiarivo municipal councils of central Madagascar, a nation which, regardless of owning huge renewable power opportunity, has an electrical energy entry price of only 15% nationally and 6% in rural parts.
The Bank’s region supervisor in Madagascar, Mohamed Cherif, claimed the project demonstrates the Bank’s determination to expanding access to clean up and minimal-price tag energy. This, in transform, is predicted to direct to the emergence of new economic prospects, the improvement of industrialization, increased small business competitiveness and career generation on the Indian Ocean island.
As the sector’s guide donor, the Bank is presently actively engaged in several transformative strength jobs in Madagascar, which includes PRIRTEM-I and the Sahofika plant, both intricately linked to PRIRTEM-II.
The undertaking is aligned with the Bank’s State System Paper (CSP) 2017-2021 for Madagascar, which focuses on the enhancement of vitality and transportation infrastructure to help the country’s inclusive growth, as very well as with the Nationwide Electricity Plan (NPE).
The task is also in line with the Bank’s New Offer on Electrical power for Africa 2016-2025, as perfectly as its Superior-5 priorities “Light up and Energy Africa” and “Improve the high quality of life for the people of Africa.”
The funding was approved on 11 December.
Dispersed by APO Group on behalf of African Improvement Bank Group (AfDB).
Media Call:
Amba Mpoke-Bigg
Conversation and External Relations Section
African Advancement Bank
E mail: a.mpoke-bigg @afdb.org
