Globeleq Malindi (MIGA-15297)

Regions
  • Africa
Geographic location where the impacts of the investment may be experienced.
Countries
  • Kenya
Geographic location where the impacts of the investment may be experienced.
Specific Location
Lagobaya, Malindi, Rabai, Lamu, Kilifi County
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
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
Proposed
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
Oct 3, 2024
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
Globeleq Africa Limited
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)
$ 24.35 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
Other Related Projects
Primary Source

Original disclosure @ MIGA website

Updated in EWS Oct 14, 2024

Disclosed by Bank Sep 3, 2024

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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.

As stated by the MIGA, this summary describes the application made to MIGA to provide political risk insurance coverage to Globeleq Africa Limited of the United Kingdom, and/or any of its subsidiaries (Globeleq) for its equity and/or quasi-equity investments made into the project enterprise Malindi Solar Group Limited (PE), against the risk of Breach of Contract for an amount up to US$24,350,000 and for a period up to 18 years.

The project involves the design, financing, construction, operation, and maintenance of a 40MWac solar photovoltaic power generation plant, including associated and auxiliary works, equipment, infrastructure and interconnection facilities located at Lagobaya, Malindi, Kilifi County. The estimated 98-gigawatt hour of annual power generated by the solar power plant will be evacuated via the onsite transformers and step-up substation before onto the Weru substation. From there, it will be transmitted to the Malindi substation, located approximately 16 kilometers west of Malindi town, where it directly connected to the national 220kV transmission line running between Rabai and Lamu.

The Project is located at Langobaya in Kilifi County and is about 100-kilometer (km) northeast of Mombasa and approximately 40 km west of the center of town of Malindi. The Malindi Project site area is ~ 184 hectares (ha).   

Direct current (DC) power produced by the panels is converted into Alternating current (AC) by the use of inverters. A voltage step-up substation within the solar power plant boundary transforms the low-voltage output of the inverters is then transformed to Medium Voltage/High Voltage (MV/HV) compatible with the Kenya Power and Lighting Company (KPLC) grid. The Project also includes an access road of approximately 600 meter (m) that turns off from   Viriko Kwa Dadu Road. After refurbishment, the access road was handed over to the Kilifi County Government for maintenance and upkeep.  

The Project also includes an approximately 350 m 220 kilovolt (kV) grid connection (Loop-in Loop out) that connects with an existing 220 kV transmission line routed to the Malindi substation, located approximately 16 km west of the town of Malindi operated by Kenya Electricity Transmission Company (Ketraco).  The Ketraco transmission line and Malindi substation are out of scope of the Project and are not considered Associated Facilities to the Project.  

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.

As stated by Bloomberg, Globeleq Africa Limited provides power generation services. The Company owns and operates natural gas, solar, wind, and fuel oil power plants. Globeleq Africa serves customers worldwide.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
Globeleq Inc Parent Company Energy owns Globeleq Africa Limited Client Energy

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.

Client - Globeleq Africa Limited:

Tambo Charo - Social Manager and HSE Officer 
Address: P.O Box 66168, Kenya 
Email: Tambo.charo@globeleq.com
Phone: +254 712569094  

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/

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