World Bank to finance electrification investments in Angola
The World Bank has approved $250 M to improve the operational performance of the electricity sector utilities and increase electricity access in Angola.
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Angola, Luanda: The World Bank has approved $250 M to improve the operational performance of the electricity sector utilities and increase electricity access in selected cities of Angola.
The Electricity Sector Improvement and Access Project will finance electrification investments in Angola delivering 196,500 new electricity connections that will benefit close to one million people and 93,857 public lights.
The project will focus on electricity access expansion and improvement of revenue collection, electricity service improvement, capacity improvement of the public electricity producer PRODEL and strengthening sustainable management of generation plants.
The project also aims to increase the commercial performance of the national electricity distribution company ENDE as well as provide financing to the national transport network RNT for targeted interventions to improve and optimise the dispatch of electricity supply and the overall management of the national transmission network.
“Investment in infrastructure, especially in energy, is key to economic development. Quality access to electricity services will have a spill-over effect in many other sectors, including agribusiness, health, education, just to name a few,” said Jean-Christophe Carret, World Bank country director in Angola.
Less than 40 % of Angolans have access to electricity, with inadequate electricity services impacting poverty, productivity and regional disparities. Therefore, the project aims to deliver the most critical actions needed to help expand electricity access, improve the operational and commercial performance of utilities, and ultimately boost their creditworthiness.
The total project cost is $417 M, financed with a $250 M loan from the World Bank and a credit of $167 M from Agence Française de Développement.
Source: ESI Africa