The engineering, procurement and construction (EPC) contract for the 1st phase of the D’jermaya solar power plant in Chad has been awarded.
The contract was awarded to Elsewedy Electric T&D, the subsidiary of the Egyptian company Elsewedy Electric. D’jermaya CDEN Energy (DCE) the project’s developer awarded the contract. The Cairo-based company was chosen in a tender launched back in 2020.
In addition to the construction, Elsewedy will also be responsible for testing and commissioning the 36 MWp capacity solar photovoltaic plant. Moreover, the company will construct an 8 MWh electricity storage system, as well as a 33 kV overhead transmission line.
Furthermore, it will build two 25 MVA (90 kV) power transformers for interconnection with the grid from the Lamadji substation.
Also Read: Cameroon-Chad Electricity Grid Interconnection Project to Get US$ 305M+ Shot in the Arm
According to Elsewedy Electric T&D, “This pioneering project will make it possible to achieve the Chadian government’s national development objectives. The objectives include liberalising the energy sector and mobilising private investment. Additionally, the objectives include promoting the development of renewable energies in Chad.
D’jermaya Solar Project Overview
D’jermaya Solar Project which includes a Battery Energy Storage System (BESS) of 4 MWh, has a total capacity of 60 MWp and it is planned to be implemented in two phases, the first of which is 32 MW and the second 28 MW.
Upon completion, the D’jermaya Solar power plant will supply electricity to more than 25,000 people through the Société Nationale d’Electricité/National Electricity Company, Chad, owned grid thanks to a 20-year power purchase agreement signed in 2019.
The facility, other than supplying electricity will help reduce carbon emissions by 38,000 tonnes per year.
Reported earlier
Aug 2018
Chad signs PPA for the construction of a 60MW solar power plant
The government of Chad under its national utility La Société Nationale d’Electricité (SNE) entered into a 25-year power purchase agreement (PPA) with a consortium of InfraCo Africa and Smart Energies International for the construction of a 60-MWp solar power plant.
The contract consists of the Djermaya Solar project, which will be realised in two stages; 32 MWp and 28 MWp which will be developed by Aldwych Africa Development Limited (AADL) on behalf of InfraCo Africa, and Smart Energies.
First large-scale PV project
This will be one of the first large-scale PV projects in Chad, a country that relies upon expensive heavy fuel oil and diesel for electricity. This reliance makes it vulnerable to global fuel price fluctuations and supply failures.
“This PPA marks the beginning of a long collaboration between a consortium led by Smart Energies and InfraCo Africa, the SNE and the Chadian government. Energy needs are very important in Chad – needs are mostly satisfied today by polluting energies.
In a country with strong sunlight like Chad, solar energy appears as a great means to expand access to clean energy. We are happy to contribute to its deployment in Chad,” said Hugues Antoine Guinoiseau, director of Smart Energies International.
Project financing
The African Development Bank (AfDB) has been confirmed as the mandated lead arranger for the solar project. InfraCo Africa will contribute US $3 m to the development of the scheme, while a sister company, the Technical Assistance Facility (TAF), will add US $0.8m in grants and the EU-Africa Infrastructure Trust Fund (EU-AITF) has allocated US $7.3m for the construction of a transmission line and substation to connect the plant to the grid.
An Environment and Social Impact Assessment (ESIA) on the project is expected to be concluded imminently. The African Development Bank (AfDB) has also been confirmed as the mandated lead arranger for the project, the bank that last year unveiled plans to support 10GW of solar across the Sahel region by 2020.
“InfraCo Africa is uniquely able to fund high-risk projects in the earliest stages of their development so that they can complete activities, such as negotiating bankable PPAs, which are necessary to mobilise private sector investment. Working with our sister PIDG companies, D’jermaya Solar demonstrates our commitment to investing in challenging markets, both here and across West Africa,” said InfraCo Africa’s head of West Africa Business Development, Kodjo Afidegnon.
Jul 2020
The proposed D’jermaya solar project in Chad enters a new phase
The proposed D’jermaya solar project in Chad has entered into a new phase following a call for bids to recruit a company to carry out the engineering, procurement, and construction (EPC) of its first 32 MWp phases.
This comes approximately 2 years after the government of Chad under its national utility La Société Nationale d’Electricité (SNE) entered into a 25-year power purchase agreement (PPA) with the 60-MWp solar power project developers, a consortium made up of Aldwich International, Smart Energies and Infraco Africa, a finance company owned by Private Infrastructure Development Group (PIDG).
The developers have set 31st July 2020 as the deadline for submission of bids from interested companies. This phase is expected to be operational before the end of next year.
Carrying out the second phase
The second phase which has a capacity of 28 MWp will be carried out when the first phase is operational to complete the entire Djermaya solar project.
The construction works of the entire project include the installation of 200,000 solar panels on an area of approximately 100 hectares about 30 km from N’Djamena, the capital city of the Central African country. It also includes the construction of an 18 km long 33 kV double circuit overhead transmission line and two 33/90 kV transformers at the Lamadji substation.
Chad’s first Independent Power Producer (IPP)
Once complete, the D’jermaya solar project will be one of Chad’s first Independent Power Producers (IPP) and one of the country’s first commercial-scale solar plants.
It will also play a leading role in delivering on the government of the Republic of Chads’s National Development goals which are to liberalize the energy sector, mobilize private investment, and promote the development of renewable energy in the Central African country.
Chad heavily relies upon expensive heavy fuel oil and diesel for electricity and this makes her vulnerable to global fuel price fluctuations and supply failures.
Dec 2021
Over US$ 41M Financing Agreement Signed For D’jermaya Solar Project in Chad
InfraCo Africa recently signed an over US$ 41M financing agreement for the development of the proposed D’jermaya Solar Project in Chad.
InfraCo is a London-based development company and a part of the Private Infrastructure Development Group (PIDG) funded by governments of the UK through the Foreign, Commonwealth & Development Office (FCDO), the Netherlands through the Directorate-General for International Cooperation (DGIS), and Switzerland through State Secretariat for Economic Affairs (SECO).
Other funding commitments
This funding adds on the slightly over US$ 20M funding committed by African Development Bank (AfDB), the US$ 10.5M committed by Proparco, a subsidiary of the French development agency dedicated to the private sector, and the US$ 10.5M committed by Emerging Africa Infrastructure Fund (EAIF), a fund of PIDG managed by UK asset manager Ninety-One.
According to InfraCo, Boston-based energy private equity investor, Denham Capital has also come on board as a “long-term investor,” via Casablanca-based, sub-Saharan Africa-focused renewables developer Neo Themis.
InfraCo did not specify Denham’s financial commitment however Fatou Gaye, InfraCo’s business development manager for the Chadian project, said that Denham and Neo Themis will “progress the project through to construction and operations in the coming months.”
