Malicounda, Senegal

Africa50-Project Finance

Malicounda is a 120 MW combined cycle thermal power plant under construction in Malicounda, 85 kilometres from Dakar, designed to produce at least 956 GWh of power a year. It is designed to initially run on fuel oil but is expected to be converted to natural gas when this becomes available from local fields.

The electricity generated will be sold under a 20-year PPA and fed into the network through an existing distribution substation. 

Africa50's Role


Africa50 worked with Senelec (the Senegalese utility) to select a strategic partner (Melec PowerGen). The consortium of sponsors is currently securing debt financing. 

Partners


Africa50, Senelec and Melec PowerGen
The African Development Bank is the Mandated Lead Arranger

Development impact

  • The plant is expected to increase generating capacity in Senegal by about 17%, while reducing generation costs by about 14%.
  • If the savings are passed on to consumers, this could result in a 3-7% fall in tariffs and a 1-3% rise in GDP.
  • About 150 jobs should be created during construction.
  • The additional energy is expected to increase production in the country, potentially adding up to 76,000 jobs in the long-term. 

Environment

  • The plant is expected to help satisfy base loads, facilitating the integration of intermittent
    renewable power into the country’s network.
  • This type of combined-cycle power plant produces lower output at higher efficiencies (up to 55%), with lower emissions than the older open-cycle plants presently being used, which dissipate as much as 67% of potential power as waste.
  • Emissions are expected to be below IFC guidelines.
  • When converted to gas, the plant will form part of the shift of Senegal’s energy mix to renewables and natural gas from diesel.

Project Photos

You are currently offline. Some pages or content may fail to load.