The deal involves ENGIE’s investment partner Meridiam consortium plus Fonsis, the Senegalese Sovereign Fund, and is with Senelec, a Senegalese off-taker.
Developed by the Senegalese government and the International Finance Corporation, which is part of the World Bank Group, the projects have a combined installed capacity of 60 MW and are part of a wider initiative in Senegal called Scaling Solar.
Nearly half the population of Senegal has no access to electricity, and the Scaling Solar project enables governments to rapidly mobilise privately-funded projects to improve this problem.
The construction and operation of the two projects – which are located in Kahone within the Kaolack region, and Kaël in the Touba region – will be managed and executed by ENGIE.
Philippe Miquel, head of ENGIE Western & Central Africa, said: “This long-term public-private partnership with Senegalese Authorities and Senelec is the first IPP project of ENGIE in the country. We have been able to capitalize on our experience of developing and operating renewable energy projects in Africa – in particular in Senegal.”
Yoven Moorooven, chief executive of Engie Africa, added: “ENGIE has been committed to developing and implementing solutions that meet Africa’s economic and social needs for decades. The signing of the power purchase agreement demonstrates that our commitment to the region is ongoing. Our focus is now on the future and on finalising the projects in Kahone and Kaël, ensuring that Senegal has access to sustainable energy for the foreseeable future.”