$530 Million project to be capitalized by the African Development Bank in Angola by a way of boosting the Construction of a 343km, 400kv Central-South Transmission Cable
By Abdul Rahman Bangura–
NEW AFRICA BUSINESS NEWS (NABN) Freetown, Sierra Leone– This undertaking will relate both North and South transmission grids in Angola and let for the diffusion of clean energy between the two regions.
According to a press clearance on March 15th, 2021 by the AfDB, the venture once finalized, shall have the inclination to expand transmission capacity by 2,250 MW and exclude the desire for polluting diesel-powered generators in Southern provinces.
Similarly, the project is anticipated to “avert the consumption of 46.8 billion liters of diesel per year in the south, cutting 80 megatons of CO2 emissions,” allowing the government to save more than $130 million per year in diesel subsidies in 2023.
“The new transmission line will become the backbone for the distribution of power to the southern provinces of Angola and Namibia and will enable further power trading between countries in the region,” the statement expanded.
The finance package comprises of $480 million in financing from the Bank, along with $50 million from the Africa Growing Together Fund, a $2 billion facility sponsored by the People’s Bank of China and administered by the African Development Bank.
In furtherance, it implied that the budgets encircle the first phase of the Energy Sector Efficiency and Expansion Program (ESEEP) in Angola.
“As part of the ESEEP, 860,000 pre-paid meters will be installed and 400,000 new customers will be connected to the grid and effectively metered.”
This enterprise will benefit the 80% of residential clients in Angola who are not metered, heading to financial casualties and dependence on government pensions. In the same vein, Angola has considerably enhanced its capacity, operational efficiency, and sustainability of the electricity sector.
In the period 2015-2019, Angola’s total installed capacity in renewable energy rose from 1,017 MW to 2,763 MW, mainly through the exceptional exploitation of the country’s plentiful hydropower.
The AfDB in 2015, ratified a $1 billion power sector reform loan for Angola occurring in the achievement of an autonomous regulator and the unbundling of the sector into distribution, transmission and distribution companies.
The African Development Bank Group (AfDB) is Africa’s deluxe development finance establishment comprising of three different entities: the African Development Bank (AfDB), the African Development Fund (ADF) and the Nigeria Trust Fund (NTF).
For New Africa Business News (NABN) Abdul Rahman Bangura Reports, Africa Correspondent
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