Share

World Bank approves $73m for DRC project

Washington -The World Bank approved Thursday $73.1m in financing to the Democratic Republic of Congo (DRC) to support development of the massive Inga 3 hydropower project in the energy-hungry country.

In mid-February the IMF executive board delayed an official review of the proposed technical assistance package for the project that faces opposition from Congolese social and environmental groups.

The $73.1m grant, along with $33.4m approved by the African Development Bank late last year, will provide the DRC with the world-class expertise to develop its hydropower potential, the World Bank said in a statement.

"By being involved in the development of Inga 3 BC from an early stage we can help ensure that its development is done right so it can be a game changer by providing electricity to millions of people and powering commerce and industry," Makhtar Diop, the World Bank's vice president for Africa, said in the statement.

DR Congo, Africa's third-largest country, is estimated to have the world's third-largest hydropower potential, after China and Russia.

The huge Inga 3 Basse Chute project near Matadi would divert Congo River waters into a 12km channel and then pass them through a 100m high hydropower dam on the Bundi Valley before releasing the water back into the river.

Intake

The intake would be above the existing Inga 1 and Inga 2 dams, and the outflow downstream from both.

Inga 3 is expected to generate 4 800 MW of power, equivalent to the output of three third-generation nuclear reactors.

The World Bank said the technical assistance project will finance environmental and social assessments to guide the development of the project. It does not include any construction or operational activities.

No decision has been taken on whether it will support the eventual construction of Inga 3, the global development bank said.

South Africa a backer

The DRC prime minister, Matata Ponyo Maponi, welcomed the grant, saying: "The World Bank Group's involvement in this project reinforces its mission to fight poverty, and its ongoing commitment to help the Congolese government in its goal to move the country along the path to a strong development future."

The Inga 3 project, whose construction is expected to begin in late 2016, was revived after South Africa promised to buy more than half of the power generated, guaranteeing the project's financial viability.

DRC plans to sell some 1 300 MW of power to mining companies in its Katanga Province, in the southeast of the country, whose development has been limited because of a lack of available energy.

The remainder will provide electricity to DRC, where only nine percent of the population has access to electricity.

In a letter to the World Bank in late January, a dozen Congolese non-profit organizations expressed doubt about how much the project will ease the country's energy gap and raised concerns about its impact on local populations that depend on the Congo River.

The total cost of the project, to be shared by the public and private sectors, is estimated at $12.0-12.5bn, including $8.5bn for the construction.

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.89
+0.2%
Rand - Pound
23.83
+0.3%
Rand - Euro
20.36
+0.3%
Rand - Aus dollar
12.31
+0.3%
Rand - Yen
0.12
+0.2%
Platinum
908.05
0.0%
Palladium
1,014.94
0.0%
Gold
2,232.75
-0.0%
Silver
24.95
-0.1%
Brent Crude
87.00
+1.8%
Top 40
68,346
0.0%
All Share
74,536
0.0%
Resource 10
57,251
0.0%
Industrial 25
103,936
0.0%
Financial 15
16,502
0.0%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders