Bangweulu Solar PV Plant

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The project envisages the construction and operation of a 47.5-MW (net) (55 MWp) solar PV plant in Lusaka South Multi-Facility Economic Zone. The special purpose vehicle Bangweulu Power Company Ltd is created to develop the plant on behalf of the sponsors - Neoen S.A.S. (55%), First Solar Inc. (25%) and Industrial Development Corporation, an investment company owned by the Government of the Republic of Zambia (20%). The project company won the project in a tender in June 2016, the first for the country under the Scaling Solar program, offering to sell power at just $0.06015 per kWh for 25 years. The contest was conducted by the Industrial Development Corporation of Zambia (IDC). Scaling Solar helps governments to quickly contract large-scale solar capacity with private financing. Total investment is estimated at $59 million and is funded through debt and equity, 68:32 ration. The debt package is provided by International Finance Corporation and the Overseas Private Investment Corporation of the United States (OPIC). The IFC investment comprises a $13.3 million A-Loan and an IFC-Canada Climate Change Program senior loan of $13.3 million. The Overseas Private Investment Corporation of the United States (OPIC) is providing the remaining $13.3 million of the debt. The IDA guarantee for the project comprises a partial off taker payment guarantee of up to $4 million. IFC also provided an interest rate swap on the deal. Financing closed in mid-December 2017. https://disclosures.ifc.org/#/projectDetail/SII/38685 https://ijglobal.com/data/transaction/37463/bangweulu-solar-pv-plant-55mw https://renewablesnow.com/news/financing-agreed-for-475-mw-solar-project-in-zambia-595421/