AfDB approves $71.1m loan for Cameroon to electrify 150 localities
The Board of Directors of the African Development Bank (AfDB) Group November 11, 2011 approved a $71.1- million loan from the African Development Fund’s resources to finance the Lom-Pangar Hydroelectric project in Cameroon.
According to the Bank, the project estimated to cost $419.2 million, is jointly financed by five donors including the World Bank, the European Investment Bank, the Development Bank of Central African States and the French Development Agency
In approving the project, AfDB said its Board took note of its strategic importance to Cameroon and the sub-region.
“By maximizing the hydroelectric power potential of the Sanaga River by over 5000 megawatts, the project will help to provide rural electrification to some 150 localities including nine administrative centers while connecting 10,000 new subscribers in the East Region of Cameroon to the national grid,” the AfDB said in a statement.
It will reduce the technical and structural difficulties facing the energy sector in Cameroon and enhance the country’s energy infrastructure, which are among the essential conditions for improving national economic growth and competitiveness as well as helping Cameroon achieve its objective of becoming an emerging country by 2035, the statement added.
Commenting on the project, AfDB’s energy sector director, Hela Cheikhrouhou said “The project is the result of a comprehensive study with other development partners and its component package comprises an impounding dam, a hydroelectric plant, transformer stations, transmission and distribution lines.”
By Ekow Quandzie