ACWA Zarqa Thermal Power Station (MIGA-14770)

Countries
  • Jordan
Where the impacts of the investment may be experienced.
Financial Institutions
  • European Bank for Reconstruction and Development (EBRD)
  • International Finance Corporation (IFC)
  • Multilateral Investment Guarantee Agency (MIGA)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Bank Risk Rating
A
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Oct 17, 2016
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
Industrial and Commercial Bank of China
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Grant
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 247.19 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Primary Source

Original disclosure @ MIGA website

Updated in EWS Sep 23, 2017

Disclosed by Bank Aug 23, 2016


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Project Description
This summary covers a proposed non-shareholder loan facility and a hedging arrangement (interest rate swap) from Industrial and Commercial Bank of China Ltd. (ICBC) for the Al Zarqa Power Plant for Energy Generation PSC (APZ) in Jordan. The lender has applied for MIGA guarantees of up to US$247.19 million to cover principal, interest and interest rate swap for a period of up to 20 years against the risks of transfer restriction, expropriation, breach of contract, and war and civil disturbance. The project involves the design, construction, ownership, operation and maintenance of a combined cycle dual fuel thermal power generating facility (APZ) with a net installed capacity of 485 megawatt in Zarqa Governorate of Jordan. The project will be located approximately four km northeast of Zarqa city and 40 km northeast of the capital city of Amman. It will replace a 363 megawatt power plant, the Hussein Thermal Power Station (HTPS), which was in operation for over 30 years until it was decommissioned in December 2015. The Project is expected to generate close to 3,200 gigawatt-hour annually. The power generated will serve 620,000 residential customers. The new power plant will utilize imports of natural gas through the Aqaba New Liquefied Natural Gas Terminal. The Project is aligned with the Government of Jordan's goal of increasing the share of natural gas in the country's energy mix.
Investment Description
  • European Bank for Reconstruction and Development (EBRD)
  • International Finance Corporation (IFC)
  • Multilateral Investment Guarantee Agency (MIGA)
Contact Information
Accountability Mechanism of the IFC The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org. You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org/