NICARAGUA HYDRO DEVELOPMENT AND TRANSMISSION

Promoteur – Intermédiaire Financier

EMPRESA NACIONAL DE TRANSMISION ELECTRICA

Lieu

• Nicaragua

Description

The project consists of 480 km of 230 kV east-west transmission lines in Nicaragua, which will connect a large hydro power plant (253 MW power, 40 km2 regulating reservoir) to the main and regional network, including as well five new/extended substations. The present project involves both public and private sectors; the EIB support will go to the public sector investment. The public sector investment concerns the transmission line which is to be implemented by the Nicaraguan government via the state-owned transmission company.

Objectifs

The project consists of transmission investments that are necessary to allow access of a renewable electricity project to the main consumption centres of the country, to replace present and future fossil-based generation. The project therefore contributes to the mandate objectives of climate change mitigation and economic infrastructure development.

Secteur(s)

• Énergie - Production et distribution d'électricité, de gaz, de vapeur et d'air conditionné

Garantie au titre du MPE

This operation is covered by the EU Guarantee for EIB loans outside the EU.

Montant BEI envisagé (montant approximatif)

USD 160 million

Coût total (montant approximatif)

USD 448 million

Aspects environnementaux

Due to its size and technical characteristics, the project, if located within the EU, would fall under Annex I of Environmental Impact Assessment (EIA) Directive 2011/92/EU, requiring mandatory EIAs for the transmission lines and hydro power plant. Therefore, the environmental and social impact has been evaluated through appropriate environmental and social impact assessment (ESIA) procedures, including public consultation. The ESIA procedures and the issuance of the relevant environmental permits for the hydro power plant and transmission lines have been completed, identifying the relevant environmental and social impact and risks and developing relevant environmental and social management plans (ESMPs) to manage the impact. The EIB will ensure that appropriate measures are taken to protect the environment and the rights of the project-affected people and avoid, reduce, mitigate, compensate and remedy the impact.

Passation des marchés

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

Statut

Signé - 29/12/2015