Ethiopia: The Public-Private Partnership Directorate General (“PPP-DG”) within the Ethiopian Ministry of Finance has launched a request for quotation (“RFQ”) for up to 500 MW of solar photovoltaic energy projects

• Global

• Energy and infrastructure - Clean energy

18-04-2019

Background

The RFQ will be launched as part of the second round of the scaling solar program, a World Bank initiative that aims to create a viable market for solar power in each client country (“Scaling Solar”). The Ethiopian round 1 tender prequalified twelve bidders, who are currently preparing final bids for two solar projects with a capacity of 125 MW each.

In parallel to round 1, the PPP-DG has kickstarted the second round of projects under Scaling Solar by issuing an RFQ for up to 500 MW of solar photovoltaic energy projects.

Scaling Solar Round 2

The RFQ is for four separate PV projects at Weranso, Welencheti, Humera and Mekelle (the “Projects”) that will be developed using a PPP model. The Projects form part of the USD 7 billion pipeline recently announced by Ethiopia’s PPP Office, and build on initial deployments of the PPP framework in the energy sector. International firms are encouraged to form consortiums and bid with local firms and the former will be able to avail of a 4 to 5 year corporation tax exemption if they are selected by the PPP-DG by virtue of foreign investment in electricity generation.

Furthermore, land sites for the Projects have been identified and the process for the transfer of land use rights has begun in order to mitigate previous identified risks.

Interested parties will need to register with the office of the PPP-DG and purchase the RFQ for ETB 10,000 (approximately USD 350).

The deadline for clarifications is 14 May 2019, while final quotations will need to be submitted by 16:00 (GMT +3) on 29 May 2019.

If you would like to discuss clean energy opportunities in Ethiopia, the above or the market generally, please contact the team below.