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Benin-Togo Power Rehabilitation

Region
Western Africa
Sector
Energy
Scope
IRS
Grant Amount
EUR 12,250,000
Total project cost
EUR 73,200,000
Status
Completed
PFG Lead Financier
EIB
PFG co-Financier
KfW

The project aims at refurbishing and extending the transmission networks of Togo and Benin and will enable the promoter to substantially improve the reliability of supply, to reduce the use of low-efficiency local generators and to decrease network losses. The project is co-financed by the World Bank (WB) and Kreditanstalt für Wiederaufbau (KfW).

It consists of three components aimed at refurbishing and extending the promoter’s transmission network. In terms of new assets, the project includes 308 km of 161 kV lines, 5 km of 63 kV underground cables and 1 substation. It also includes the refurbishment of 289 km of 161 kV lines, and the refurbishment/enlargement of eight substations. As of end-2018, the project is still in construction phase.

The EU-AITF grant is being used to subsidise the interest rate of the EIB’s EUR 32m loan to the Republic of Benin and EUR 3m loan to the Republic of Togo. The grant amount of EUR 12.25m was necessary to reach the concessionality levels required for the two HIPC countries. EUR 33.5m has been disbursed so far and only EUR 1.2m of the subsidy has been used.