Senegal Taiba Ndiaye Independent Power Producer Project

closed

The development objective of the Taiba Ndiaye Independent Power Producer Project for Senegal is to increase the power generated by Independent power producers. The central objective of the World Bank Group's (WBG's) engagement in the energy sector in Senegal is to support the country in securing the affordable, reliable, and sustainable energy supply needed to end poverty and promote shared prosperity. In doing so, the WBG is assisting the Government of Senegal (GoS) to pursue environmentally, financially, fiscally, and socially sustainable energy sector development. Energy shortages, high energy costs from inefficiency, or both, are slowing down economic development in many WBG client countries. Some have not been able to attract financing to maintain the existing infrastructure, let alone rehabilitate and expand it. International Finance Corporation (IFC), which has been developing the project together with the Sponsor through IFC InfraVentures will: 1) have the right to convert its development expenses into equity in Tobene Power (TP) prior to financial close and, on or after financial close, will have the right to invest additional equity under the same conditions as the Sponsor for a final shareholding of up to 10 percent in TP, for an amount of up to EUR 3.5 million; 2) provide an up to EUR 30 million A Loan and an up to EUR 55 million B Loan to TP, 3) mobilize an up to EUR 16.4 million equivalent in local currency in parallel loans to TP, and 4) provide an interest rate swap with a Loan Equivalent Exposure of up to US$ 5.5 million.