The plants will supply low cost, clean and reliable electricity in Maroua and Guider in the Grand-North of Cameroon. IFC is partnering with Release to realise these redeployable projects. The company will further install 7.7 MWp solar in Chad to supply clean, renewable energy to five smaller grids owned by ZIZ Energie. FMO and Energy Access Ventures back the Chad project.
Release by Scatec is a pre-assembled, modular and redeployable solar power and storage system, allowing for fast and easy power generation. Eneo and Release by Scatec have entered into a flexible contract term that enables Eneo to coordinate the generation capacity with their needs going forward.
IFC will contribute 10-20 percent of the project costs of the Cameroon project and will further support the development of Release by Scatec through project development activities and future financing.
“We are pleased to enter into this agreement with Eneo, which further fuels our journey to make renewable energy more accessible and affordable across growth markets” said Raymond Carlsen, CEO at Scatec. “The deal marks our entry into the Cameroonian market, and we are proud to contribute with a cost-efficient and immediate solution to a cleaner and more stable electricity supply in a region suffering from power shortages caused by droughts limiting the supply of hydropower.”
Sylvain Kakou, IFC’s Country Manager for Central Africa, added that access to sustainable, reliable and affordable power is essential to economic recovery and growth and that IFC is proud to partner with Scatec’s Release to help bridge the power gap in Cameroon through a unique solution that enables solar power systems to be quickly deployed to help meet the electricity needs of today while paving the way for more competitive, cleaner and long-term energy sector sustainability in Cameroon.
“This partnership fits with the World Bank Group’s mandate to align its work with the Paris Agreement goals to help our private and public sector partners meet global climate targets” said Mr Kakou.
The first power is expected to be delivered around year end 2021, and the remaining will be delivered in phases, where the full project is expected to be completed by mid-2022.
The pay-back time for Scatec’s investment in the project is in line with previous guidance around the Release business concept.
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