Senegal’s Electricity Sector Regulatory Commission, CRSE has awarded contracts to build two solar PV projects totaling 60 MW to a consortium formed by French energy giant, Engie and France-based investor and asset manager, Meridiam.
The two projects were assigned through a tender, which was launched by CRSE last October. A first 30 MW project will be built by the French consortium in Kahone, western Senegal, and will sell power under a long-term PPA to the Senegalese power utility, Société d’Electricité du Sénégal (SENELEC) at €0.03801 per kWh.
The second project, also 30 MW, will be located in Touba, in the central part of the country. Its final power supply price came in at €0.03983 per kWh.
The first of the excluded bids for the Kahone project, submitted by Masdar and Moroccan investment firm, Nareva Holding, had offered to sell power at €0.0388 per kWh, followed by an offer of €0.0439 per kWh submitted by UAE-base investors, Access Infra Africa and French renewable energy company, Total Eren SA.
The following bids were those of U.K.-based emerging market investor, Actis and South African renewable energy developer, Mulillo Group (€0.0450 per kWh), Norwegian developer, Scatec Solar (€0.0459 per kWh), and Spanish energy company, Acciona (€0.0579) per kWh.
As for the Touba project, the first excluded bid was also made by the Masdar-led consortium (€0.03989 per kWh), followed by the offers of Access-Total (€0.0439 per kWh), Scatec (€0.0462 per kWh), Actis-Mulillo (€0.0488 per kWh), and Alten-Al Noways-Aldwych (€0.0516 per kWh).
Overall, CRSE, which had pre-qualified 13 of the 14 submitted bids for the tender, shortlisted only eight developers for the final phase.
The tender was held by CSRE as part of the International Finance Corporation (IFC)’s Scaling Solar program, which aims to create viable markets for solar power in a number of African countries. The IFC is acting as principal transaction advisor.
The program is a competitive process to facilitate the rapid development of large-scale solar projects, funded by the private sector. It enables these projects to be launched in a short period of time by offering a range of advisory services, contracts, financing solutions, guarantees and insurance.