Lenders to provide €198m to boost access to electricity in Cameroon
Cameroon’s supply of electricity has received a big boost following the signing of a loan agreement to provide a €198 million to the country’s Kribi Power Development Company (KPDC) by development finance institutions.
The lenders are the African Development Bank (AfDB), the International Finance Corporation (IFC), the Netherlands Development Finance Company (FMO), the Development Bank of Central Africa (BDEAC), Proparco and a syndication of local banks led by Standard Chartered Bank.
A statement from the AfDB December 23, 2011 states that the lenders “signed on December 22, a loan agreement to provide a €198 million to the Kribi Power Development Company (KPDC).” KPDC is a subsidiary of the AES Corporation, an American global power company, in partnership with the Government of Cameroon, which owns 44% of KPDC.
The AfDB says it is lending €39.5 million to the Kribi Power Project.
The project is said to be comprising the construction and operation of a 216 megawatt gas-fired power plant located in the north of the coastal city of Kribi, in the southern province of Cameroon with a 100 km 225 kV transmission line to be connected to the country’s Southern Interconnected Grid.
It will provide increased reliability of electricity supply and enhanced energy security in Cameroon, the AfDB added.
By Ekow Quandzie