Ejuva One and Ejuva Two Solar Energy Projects (MIGA-13755)

Countries
  • Namibia
Geographic location where the impacts of the investment may be experienced.
Financial Institutions
  • 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
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
May 19, 2017
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
International Lender to be Determined
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Guarantee
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 35.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ MIGA website

Updated in EWS Aug 19, 2021

Disclosed by Bank Apr 19, 2017

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

On December 14, 2017 and April 4, 2018, MIGA signed contracts in which it agreed to issue guarantees of $2,370,738.60 covering equity investments and $14,738,835.80 covering non-shareholder loans from CIGENCO SA (Pty) Ltd ("CIGenCo") and Investec Bank Limited ("Investec"), respectively, for both the Ejuva One Solar Energy (Pty) Ltd and Ejuva Two Solar Energy (Pty) Ltd in Namibia. The guarantees are issued for a period of up to 15 years against the risks of Transfer Restriction, Expropriation, Breach of Contract, and War and Civil Disturbance.

The Projects consist of the construction, ownership, operation and maintenance of two 5 MW solar energy generating facilities. The electricity output of both Projects will be sold to Namibia Power Corporation Limited under 25-years Power Purchase Agreements ("PPA").

The Projects were awarded through the Renewable Energy Feed in Tariff Program, which was approved in 2010 and commissioned in 2011 by the Minister of Minerals, Mining and Energy. The program is aimed at procuring generation of power from various renewable sources up to a maximum of 5 MW per project. The Projects were among the 14 independent power producers that signed a PPA among 27 shortlisted bidders. The Projects are at the initial stages of construction involving site demarcation with estimated commercial operation dates in July, 2017.

Ejuva One and Ejuva Two are located side by side on a 35-hectare site, about 1 km outside of the town of Gobabis, Omaheke Region, approximately, 220 km from Windhoek and are being constructed and managed as one project. The site location is across the road from the Gobabis substation therefore the connection to the grid is by means of short sections of overhead distribution lines. The habitat is modified by agriculture; however, immediately prior to the project acquiring the land it was unused. The site is accessed from a secondary road just off the main highway between Windhoek and Gobabis. The Projects are being constructed by an EPC contractor, Consolidated Power Projects ("CONCO") through its Namibian subsidiary, which is responsible for overall design and project management, and is assisted by specialist sub-contractors for the installation of the solar modules panels and other installation works, namely, PIA Solar SA (Pty) Limited and Alternative Energy Systems CC.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.
Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

CIGenCo and CONCO are subsidiaries of Consolidated Infrastructure Group Limited, a holding company listed on the Johannesburg Stock Exchange, which has a presence in approximately 25 countries on the African Continent.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - Consolidated Infrastructure Group Limited Parent Company -
- - - - Consolidated Power Projects Contractor -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

*Contact information not provided at the time of disclosure*

ACCOUNTABILITY MECHANISM OF MIGA

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/

How it works

How it works