The Grand Bara solar project has finally been unearthed. This is thanks to Amea Power, which has just signed a power purchase agreement (PPA) with Électricité de Djibouti (EDD) for this 25 MW photovoltaic solar power plant. The plant will be equipped with a battery storage system to guarantee the Contact online >>
The Grand Bara solar project has finally been unearthed. This is thanks to Amea Power, which has just signed a power purchase agreement (PPA) with Électricité de Djibouti (EDD) for this 25 MW photovoltaic solar power plant. The plant will be equipped with a battery storage system to guarantee the supply of electricity a few hours after sunset or in bad weather.
The plant will produce an estimated 55 GWh per year. The electricity will be sold to the public utility EDD for 25 years. “Amea Power is proud to take this step and to support Djibouti in its energy transition. East Africa is an important market for Amea Power, as it is a region with immense potential for the development of clean, reliable and affordable energy,” says Hussain Al Nowais, Chairman of Amea Power, who signed the PPA with Djama Ali Guelleh, Managing Director of EDD.
According to Hussain Al Nowais, the solar power plant will be capable of supplying 66,500 people, and should contribute to the Djibouti government’s strategy of reducing its carbon dioxide (CO2) emissions by 40% by 2030. According to Power Africa, Djibouti has an installed capacity of 126 MW generated entirely from fossil fuels. Amea will build the plant under a public-private partnership (PPP).
The independent power producer (IPP) based in Dubai in the United Arab Emirates will be joined by the Sovereign Wealth Fund of Djibouti (SDF) “before financial close as a minority shareholder”, according to Amea Power, which will thus contribute to the relaunch of the Grand Bara solar complex project. A few years ago, the Djibouti government was counting on an installed capacity of 300 MW for an investment of 360 million euros.
In 2019, Engie signed a framework agreement for 30 MW. According to Africa Intelligence, the French company subsequently walked away from the project. Be that as it may, Grand Bara and many other clean energy projects currently being developed in this country in the Horn of Africa aim to meet the growing demand for electricity. According to Djibouti’s Minister of Energy and Natural Resources, Yonis Ali Guedi, household demand for electricity is increasing by 10% every year.
Pending the completion of projects that have been slow to materialise, Djibouti imports electricity from Ethiopia via a 283 km high-voltage line linking Dire Dawa to Djibouti city, injecting 95 MW into the country’s electricity grid. This represents 65% of the electricity consumed in Djibouti, according to Minister Yonis Ali Guedi. Ethiopia, which is preparing to become the energy powerhouse of the Horn of Africa thanks to its Renaissance Dam (6,450 MW), will inject a further 60 MW into the Djibouti grid thanks to a new 190 km high-voltage line currently under construction.
Amea Power continues its expansion in Africa. This time, the independent power producer (IPP) based in Dubai in the United Arab Emirates is setting up shop in Djibouti and has won the construction of a 30 MWp solar photovoltaic plant. The agreement for the implementation and joint development of the project was signed on Monday, July 18, 2022, between the managers of Amea Power and Yonis Ali Guedi, the Djiboutian Minister of Energy and Natural Resources.
This was in the presence of the Djiboutian Head of State Ismaïl Omar Guelleh. Amea Power will develop its project in partnership with the Sovereign Wealth Fund of Djibouti (SDF). The electricity produced will be sold to the state-owned company Électricité de Djibouti (EDD) under a power purchase agreement (PPA).
Djibouti’ has set an ambitious target for renewable energy and Amea Power is pleased to help the nation increase the share of renewable energy in its electricity mix. East Africa is an important market for Amea Power, as it is a region with great potential for the development of clean, reliable and affordable energy,” says Hussain Al Nowais, president of Amea Power.
Currently, Djibouti has an installed capacity of 126 MW according to Power Africa. But only 57 MW are reliably available to serve a population estimated by the World Bank at 988,000 and its main industries. Recently, however, the government has decided to exploit Djibouti’s renewable energy potential, relying on IPPs.
Djibouti is also banking on its geothermal potential with the start of drilling in the Lake Assal area. In addition to electricity production, this East African country wants to exploit the natural heat of its subsoil for various uses, particularly in the industrial and agricultural sectors.
The government of Djibouti is committed to providing the population with sustainable, abundant, diversified energy at a lower cost. With the help of its partners like the UNDP and the Global Environment Facility, a multitude of projects are being implemented in order to concretize in the near future the use of 100% green energy and thus respond to SDG7 which aims guarantee access to affordable, reliable and sustainable energy.
The objective for Sustainable Development (SDG7) is to guarantee access to affordable, reliable, sustainable and modern energy for all. In the case of Djibouti, the government is very committed to increasing renewable and sustainable energy in the general energy supply. The fact that the government imports hydroelectricity from Ethiopia, the development of geothermal energy and investments in solar energy technology shows that Djibouti supports Goal 7.
Renewable energy is a form of sustainable energy and with new technological advances, renewable energy has the potential to be the main source of energy to support development and the national economy. Take the example of rural areas where the national main network has not yet been put in place. For a country like Djibouti where the sun shines a lot, the production of solar energy is very good. There are villages that are not connected to the grid but still have access to the energy provided by solar panels.
As required, solar panels can be installed even to operate small businesses, household power, health centers and schools. UNDP supported the community of 700 families in Damerjog by providing individual solar home systems, transforming their lives overnight.
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