AfDB approves $1b for energy
ETHIOPIA: The African Development Bank (AfDB) has recently approved over $1 billion to be invested in energy projects in Egypt, DR Congo, Ethiopia, Kenya and Tanzania, it said in a statement released early this week.
The statement said the financing is in line with the top priority the bank puts on energy for Africa's development. The funding includes a $69.4 million (about Sh97.2 billion) to finance the IringaShinyanga transmission line project. The planned line is a 400 kV line and will have a length of about 670 km.
"It will interconnect four substations at Iringa, Dodoma, Singida and Shinyanga towns. The project was approved on October 26, 2010," AfDB noted in the statement.
Egypt will get $550 million to finance the Suez steam cycle thermal power plant project and DR Congo $106.6 million for its rural and periurban electrification project. In Ethiopia, nearly $232.2 million will be used to finance the electricity transmission system improvement project whereas in Kenya the $71.45 million loan will be for a project to improve power transmission.
AfDB said the purpose of the Suez Power Plant Project is to increase the power generation capacity in Egypt leading to the enhancement of socio-economic development. It involves the construction of a 650 megawatt (MW) steam cycle power plant at a site located in the vicinity of Suez city, about 150 km east of Cairo.
Power will be evacuated from the plant through a 220 kV network by rehabilitating the existing double circuit over-head transmission line and implementing two additional underground cables.
The power generated will be used for industrial and commercial activities countrywide thus contributing to job creation, increase in productivity, electricity connection rates and improvement in the quality of life. "Other direct project beneficiaries include the people living around the project site who will benefit from employment during project implementation and operation," the bank said.
The two grants for DR Congo target an investment project concerning the rehabilitation and extension of the electric power distribution system of Kinshasa and selected localities in four provinces.
It among other things comprise the improvement, rehabilitation and extension of the medium and low voltage lines as well as establishment of connections, installations of public lighting units and promotion of specific commercial operations to increase the number of new subscribers and reach the maximum number of inhabitants.
AfDB said all these operations will contribute to increasing available energy, improving network operating conditions and enhancing the operational performance of sector players. They will also help reduce technical and non-technical losses, in particular through the installation of prepayment meters. -PB News