As China continues to make rounds throughout the continent’s hydropower sector, Cote d’Ivoire is next up with a 275-MW hydrodam.
The Chinese Export-Import Bank (ExIm) will begin construction of the plant by 2013, providing the African country with a $556-million loan. The Asian superpower has created a loan program that is ideal for many African countries: little to no transparency required as well as low interest rates. The ExIm funding will constitute around 85% of the hydrodam’s costs with the Ivorian government set to inject the remaining 15%, according to the Ministry of Mines and Energy energy director Sabati Cisse in a Reuters interview.
The 20-year Chinese loan will have a 2% interest rate and a nine-year grace period as the completion of the dam is expected to take five years. A power station will be located in the southern part of the country in Soubre. Cisse said, “The last signatures [required for the finalization of the loan agreement] will be done in the first half of November at the latest.”
Suggested Reading:
China Continues African Strategy August 5, 2012
China’s Aggressive Energy Plan, African Implications March 7, 2011
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