Benin - Rural Electrification Project (PERU) (AFDB-P-BJ-FA0-007)

Countries
  • Benin
Where the impacts of the investment may be experienced.
Financial Institutions
  • African Development Bank (AFDB)
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
U
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
Sep 26, 2019
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
MINISTERE DES MINES, DE L'ENERGIE ET DE L'HYDRAULIQUE
The holder of the loan, grant, or other investment.
Sectors
  • Hydropower
The service or industry focus of the investment. A project can have several sectors.
Investment Amount (USD)
$ 35.48 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Currency conversion note:
Bank reported UA 49,281,166
Converted using 2019-09-26 exchange rate.
Primary Source

Original disclosure @ AFDB website

Updated in EWS Jun 17, 2020


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Project Description

The Rural Electrification Project (PERU) is an investment project concerning the extension and densification of rural electricity distribution networks. The project is in keeping with the 2016-2021 Government Action Programme which, among others, aims to build up the country's energy capacities and improve the population's living conditions. It covers the entire territory of Benin with the exception of the city of Cotonou where the Bank is financing a similar project approved in 2017. PERU concerns 309 localities representing an estimated beneficiary population of one million inhabitants. The project has the following three components: (a) electricity infrastructure; (b) institutional support; and (c) Project Management. The total cost is EUR 96.39 million with an estimated Bank contribution of EUR 61.77 million. The project implementation period is 36 months.

The PERU's objective is to increase the rural electricity access rate from 8.11% in 2018 to 13.78% in 2022.

The Project's main beneficiaries are the 48,324 households to be connected to the power grid. It is planned to reduce the connection cost to CFAF 25,000 instead of 90,000 since the project will finance the connection equipment. Thirty-five schools will be connected to the electricity network and will benefit from drinking water supply under the National School Canteens Support Project established by the Government. SBEE is also a direct beneficiary due to the increase in its number of subscribers and the volume of energy sales. The operational capacities of SBEE and ABERME will be built up through training sessions for their employees in charge of planning and operations. Access to electricity will benefit the productive sectors of the economy in the project areas, in particular handicrafts. Finally, local businesses specialising in electrical trades will be invited to bid for the household connection works.

Investment Description
  • African Development Bank (AFDB)
Contact Information

GABA OUEDRAOGO Fatimata

f.gaba-ouedraogo@afdb.org

ACCOUNTABILITY MECHANISM OF AfDB

The Independent Review Mechanism (IRM), which is administered by the Compliance Review and Mediation Unit (CRMU), is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an African Development Bank (AfDB)-financed project. If you submit a complaint to the IRM, it may assist you by either seeking to address your problems by facilitating a dispute resolution dialogue between you and those implementing the project and/or investigating whether the AfDB complied with its policies to prevent environmental and social harms. You can submit a complaint electronically by emailing crmuinfo@afdb.org, b.kargougou@afdb.org, b.fall@afdb.org, and/or s.toure@afdb.org. You can learn more about the IRM and how to file a complaint at https://www.afdb.org/en/independent-review-mechanism/.