Globeleq, along with CDC Group plc (CDC) and TCQ Power, celebrated the start of construction of the 57-MW Western Area Power Generation Project in Sierra Leone. The president of Sierra Leone, Dr Ernest Bai Koroma, led the ground-breaking ceremony at the future power plant site.
Working alongside CDC, the UK’s development finance institution, and TCQ Power, who have been developing and financing the project, Globeleq will develop and oversee the construction and operations of the Western Area Power Generation Project located in the Kissy Dock area, approximately 4 km east of the center of Freetown.
Wärtsilä, the appointed EPC contractor, will design and build the plant, and once completed will provide full operations and maintenance services to the plant for 15 years. Two expansions of the plant to 128 MW are envisaged but have not yet been planned.
BB Energy, an independent energy trading company, will provide HFO under a 15-year fuel supply agreement and electricity will be sold under a 20-year power purchase agreement with EDSA, the Sierra Leone state owned utility, and the government.
The project will benefit from World Bank Group support provided by the Multilateral Investment Guarantee Agency (MIGA), the World Bank’s International Development Agency (IDA) and the International Finance Corporation (IFC), which acted as the lead arranger. The Emerging Africa Infrastructure Fund part of the Private Infrastructure Development Group and managed by Investec Asset Management, acted as structuring bank. Other lenders include CDC, FMO, and the African Development Bank.