World Bank Suspends Funding For Africa’s Largest Power Project

World Bank Suspends Funding For Africa’s Largest Power Project

From BERNAMA.com (Africa’s Largest Power Project)

The US$14 billlion Inga 3 power project in the Democratic Republic of Congo (DRC) may be in jeopardy after the World Bank suspended its funding.

The bank said that it withdrew its funding on Monday July 25 following disagreements over the “strategic direction” of the project.

“This follows the Government of DRC’s decision to take the project in a different strategic direction to that agreed between the World Bank and the government in 2014,” the bank said in a statement.

In 2014, World Bank had approved a US$73.1 million grant for the first phase of the mega hydro-power project and went ahead to disburse 6.0 per cent of the funding.

At stake is a project that has the capacity to generate a record 44,000 megawatts (MW) of electricity at a cost of nearly US$100 billion upon completion and could power half of Africa, while some say it will be the largest dam in the world.

Inga 3 which sits on Congo River has had false starts due to red tape and disagreements between the Congolese government and its partners on the project.

However, Congo’s government remains confident that the project will continue, adding that construction is expected to begin in June next year and last for about five years.

“It’s nothing serious, Inga is a private-public partnership the process continues,” said Bruno Kapandji the head of the government agency overseeing the Inga 3 project.

Two rival consortiums, one led by China Three Gorges Corporation and the other includes Spanish engineering giant Activdades de Construccion y Servicios SA,are expected to submit their final bids on Sunday July 31.

Congo’s government had agreed to deliver 2,500 MW of electricity to South Africa by 2021.

Read more at BERNAMA.com