The government of
Chad (GoC) through the Ministry of Petroleum and Energy (MoPE) approached IFC
to assist in the design and implementation of this mini-grid program as part of
its Scaling Mini-Grid initiative (SMG) powered by the World Bank Group (WBG), which
offers governments a comprehensive package for mini-grid deployment, including
project preparation, transaction documents, and risk mitigation instruments.
IFC's advisory role
involves helping the Ministry of Petroleum and Energy (MoPE) to design, finance,
build, operate, and maintain mini-grids, focusing on electrifying secondary
cities, towns, and areas near refugee camps. This PPP project will leverage the
IFC SMG initiative for regional deployment, with the IFC identifying and
selecting private operators for the PPP scheme based on potential sites
identified after pre-assessment.
As a preliminary step, IFC conducted a preliminary
geospatial mapping to identify potential mini-grid sites as the least-cost
electrification solutions across Chad. Three main areas with 278 sites were
identified. The preselected sites will need to go through further detailed
feasibility studies to refine demand predictions and estimate generation
capacity and costs, moving towards the implementation of the PPP project to
improve electricity access across Chad.
The project is
aligned with GoC aiming to develop a structured mini-grid Public Private
Partnership (PPP) program and the National Electricity Emergency Plan (NEEP) in
July 2020, aiming to significantly increase electricity access from an
extremely low rate of 11% to 38% by 2023, and to 53% by 2030.
IFC will support the GoC as lead transaction advisor in a
two-phase approach composed of (i) the due diligence and structuring phase; and
(ii) the tender phase. To advise the GoC, IFC is considering hiring a consulting
firm (the “Consultant” or the “Contractor”) to perform the Technical, Environmental, and Social support with the Project. The assignment will be divided
in two main phases composed of (i) the due diligence
and structuring phase; and (ii) the tender phase.
As part of the assignment, the Consultant will (i) perform E&S and
technical site screening; (ii) complete high-level site studies with sound
technical and E&S information for mini-grid projects; (iii) provide CAPEX
and OPEX estimates for the project; and (iv) ensure that project alignment with
IFC performance standards.
Please
note that mobilization is expected in May 2024 and the Consultant is expected
to conduct site visits.