Mocuba Solar (IFC-36787)

Countries
  • Mozambique
Where the impacts of the investment may be experienced.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Proposed
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 27, 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
Mocuba Solar PV
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 Amount (USD)
$ 42.20 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Project Cost (USD)
$ 84.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please see updated project documentation for more information.
Primary Source

Original disclosure @ IFC website

Updated in EWS Jun 26, 2017

Disclosed by Bank Jan 21, 2016


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Project Description
Central Solar de Mocuba (the "project" or "the company") consists of the design, construction and operation of a 40MW solar photovoltaic (PV) power plant in Mocuba, in the Zambezia Province in Central Mozambique. The total project cost is estimated at US$84m. IFC's proposed investment consists of an A loan of up to US$21 million and a B Loan of up to US$21.2 million from the Emerging Africa Investment Fund. The project sponsors are - Scatec Solar (52.5%), a Norwegian solar power company; Norfund (22.5%), the Norwegian Investment Fund for Developing Countries; and Electricidade de Mozambique (EDM, 25%), Mozambique's state-owned public power utility. The project will be financed through a special purpose vehicle (SPV) created for the project and IFC's funds will be routed through this SPV. The project will sell 100% of its output to EDM under a 25-year power purchase agreement.The power plant will be built on a 126-hectare (ha) plot near the existing EDM substation in Mocuba, 13 km from the center of the city of Mocuba, in the Zambezia Province, Mozambique. The proposed site is located in the Special Economic Zone of Mocuba (Zona Economica Especial de Mocuba). The District of Mocuba is characterized by slightly undulating rolling hills with rocky summits and Mocuba is part of the erosion plain of Zambezia. The project area is located on a relatively flat area and is mostly underlain by rocks. The project site is located within the Licungo River basin; the nearest point from the project perimeter is about 2.5 km from the eastern bank of the Licungo River. The Egaro River is closer to the project area and is located directly adjacent to the site towards the east.The project site was previously used for subsistence farming and the surrounding land use includes a mixture of agricultural land and uncultivated land. The project will include a 500-1000m 33kV transmission line to the Mocuba substation and the construction of a 500-1000m gravel road to connect the project site to the main road (R479).The solar power plant will compose of panels of polycrystalline PV modules, suitable for 1,500V PV system applications. It is expected that there will be 32 modules per string; each PV module's power rating will be 320Wp and the number of strings will be 3952 (equaling a total number of modules of 126,464). The PV modules will be mounted using a steel substructure embedded in the ground. The total amount of AC installed power will be 30MW and total DC power will be approximately 40MW. The plant will occupy approximately 70 ha of the 126 ha site.Central Solar de Mocuba (CESOM) has assigned Scatec Solar as the engineering, procurement and construction (EPC) contractor as well as the operations and maintenance (O&M) contractor. As at the time of IFC's visit in November 2015, construction had not started but de-mining operations and geotechnical surveys were being carried out. The construction phase is expected to take nine months; commissioning is expected to be in December 2016 with plant take-over expected in February 2017.
Investment Description
  • International Finance Corporation (IFC)
Contact Information
Contact Person: Roberto Berardo Company Name: Scatec Solar Address: Unit 109B , The Foundry, 75 Prestwich Street, Green Point, Cape Town 8005 Email: mailto:Roberto.berardo@scatecsolar.com Phone: +27 (0) 823106233 Facsimile: +27 86 560 3828 ACCOUNTABILITY MECHANISM OF 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/