Botswana Solar Phase 2

active

 IFC’s proposed investment consists of an A loan of up to $19 million for the development of the greenfield 50MWac Mmadinare Solar PV Facility (the “Project” or “Phase 2”), located on a 140-hectare site, approximately 5.8 km northwest of Selebi Phikwe and 9.2 km southeast from Mmadinare, in the Selebi Phikwe District of Botswana. Phase 2 of the Mmadinare Solar Complex will be adjacent to the 50 MWac Selebi Phikwe Project (Phase 1) that is currently under construction, bringing the total capacity of Phase 1 and 2 to 100 MWac. The Project will be a replica of Phase 1 that consists of the construction, operation, and maintenance of a 50 MWac (60 MWp), grid connected, ground mounted solar PV plant. The power plant will connect into a spare bay of the substation built for Selebi Phikwe Solar. Scatec ASA (“the Company”), a Norwegian based renewable energy company, was awarded Phase 2 by the Botswana Power Corporation (BPC) on April 18, 2023. Scatec, through its subsidiary Mmadinare Solar (Pty) Ltd, has entered into a Power Purchase Agreement (PPA) with the BPC that will allow for the development, construction, testing, commissioning, operation, and maintenance of the 50MWac solar PV facility for a period of 25 years. At the end of this term, the Project will be decommissioned or repowered. Scatec Botswana Operations (Pty) Ltd has been established as the Project Special Purpose vehicle (SPV), and will also assume the role of the Engineering, Procurement and Construction (EPC) contractor, the Operations and Maintenance (O&M) contractor and Asset Manager for the project.  Previous IFC exposure to the client in Botswana started with the Phase 1 Selebi Phikwe Solar disclosed on 23 June 2023 (https://disclosures.ifc.org/project-detail/ESRS/44613/botswana-solar) and whose construction commenced in November 2023.