SMALL-SCALE SOLAR PROGRAM IN SSA

The operation concerns the financing of the sub-Saharan investment programme of the Promoter for small-scale solar electrification: (i) solar photovoltaic (PV) with battery storage to power a mini-grid in Comoros, and (ii) a small solar PV project with battery storage in Chad.

The electrification programme can be expected to generate a significant, positive development impact, but providing sustainable, and reliable electricity to populations and social infrastructure facilities that have currently no access to reliable electricity supply and are thereby reliant on expensive and polluting back-up alternatives. At the same time, these projects are situated in difficult environments, due to the low capacity and financial situation of the off-takers, as well as the nascent and untested regulatory settings.

The operation is expected to have overall positive environmental and social impact by providing clean energy to populations that are currently un-served or under-served by the grid and thereby mostly reliant on expensive and polluting electricity generation from fossil fuels. If the project was located within the EU it would fall under Annex II of the Directive 2014/52/EU amending the EIA Directive 2011/92/EU, requiring the competent authorities to determine whether an environmental impact assessment (EIA) is required. In line with the applicable local legislations, environmental and social (E&S) studies have been prepared for both plants. The E&S process will be assessed in light of the Bank's environmental and social standards. The Bank will also assess the Promoter's capacity, approach and procedures to implement the project in line with the Bank's environmental and social standards.

The Bank will require the Promoter to ensure that implementation of the project will be done in accordance with the Bank's Guide to Procurement.