Please click here to review the February 2018 edition of our quarterly stakeholder update.
Highlights from this quarter include:
- Ratification of Project Documents
- Public Consultation in Sierra Leone
- Feasability Study begins in Cameroon
On 29 November, the Parliament of Sierra Leone voted unanimously to ratify the Bumbuna II project agreements – a clear sign of the strong cross-party support for this project.
Following on from the Government of Sierra Leone’s signing of the 25-year Power Purchase and Implementation Agreements in August 2017, Parliamentary ratification marks another important milestone in the development of the Bumbuna II hydropower project which, when completed, will provide much-needed all-year round power to Sierra Leone.
Under the conditions of the agreement, local project company Seli Hydropower, jointly owned by Joule Africa and its local partner Energy Services Company (ESCO), will build an extension to the existing 50 MW hydro station, Bumbuna I, and construct a new regulation dam 30km upstream, adding a further 143 MW of power capacity. Construction on the extension is anticipated to start in the second half of 2018 with operations forecast to start four years later. Seli Hydropower, will be responsible for building, owning and operating Bumbuna II, while the ownership of the Bumbuna I assets shall continue to remain with the Government of Sierra Leone.
Commenting on the achievement of this important milestone, Patrick Beckley, Executive Chairman of Seli Hydropower, said:
‘We would like to thank His Excellency The President, Dr. Ernest Bai Koroma, the Government and the people of Sierra Leone for their ongoing support and maintaining their commitment to the Bumbuna II project. I am delighted that we received unanimous approval for ratification in Parliament– a clear indication of the strong cross-party support for this project.
“The development of Bumbuna II has always been a key part of the country’s long-term energy strategy and we look forward to being able to deliver affordable, all-year round power for the consumers of Sierra Leone.”
Andrew Cavaghan, Joule Africa’s Chairman and a Director of Seli Hydropower, added:
“I am pleased that we have reached another important milestone in the development of the Bumbuna II project. We are making good progress on all fronts and will look to build on this momentum in the coming weeks and months as we conclude the financing of the project.”
Joule Africa is pleased to announce that it has partnered with Power Africa, an initiative, led by the U.S. Government, aimed at stimulating the public and private sectors to help provide 30,000 MW of new cleaner, generating capacity and to increase electricity access by 60 million new connections in sub-Saharan Africa.
Paul Kunert, CEO of Joule Africa, comments:
As part of its commitment to Power Africa, Joule Africa intends to continue to develop and invest in sustainable power projects in Africa. We are currently focused on two power projects which are expected to deliver over 600 MW of power capacity. Joule Africa works closely with all of its stakeholders to create infrastructure assets that will generate long-term, sustainable value. Joule Africa is focused on projects that provide affordable, reliable, electricity to those countries which need it most: a fundamental factor in any country’s ability to achieve significant economic growth.
In a clear sign that the Government of Sierra Leone is taking steps to get the country back on its feet following the Ebola crisis, it has today signed a 25-year Power Purchase Agreement (PPA) with Joule Africa to provide much-needed, all-year round power to the country.
Click to download full press release.
As Joule Africa, the renewable power developer and operator, continues to build its senior team ahead of the construction of Sierra Leone’s largest infrastructure project, Bumbuna II*, it has today appointed Paul Kunert as its new chief executive. Kunert, with 20 years’ African power experience gained at CDC, Actis and Globeleq, joined Joule Africa in September 2016 as Chief Operating Officer.
Joule Africa was co-founded by entrepreneurs Mark Green and Andrew Cavaghan, who have been responsible for originating Bumbuna II, securing the initial funding and finalising the necessary Power Purchase Agreement with the Government of Sierra Leone. Both will continue as Executive Chairman, devoting their time to new business origination, key stakeholder management, equity fundraising, and strategy. This comes at a time when the business, in addition to developing Bumbuna II, is looking to secure its longer-term funding; is developing KPEP, a hydropower project it owns in Cameroon; is negotiating other opportunities; and is targeting a potential London listing in the medium-term.
Commenting on this announcement, Paul Kunert says:
“I am delighted to take over the reins as CEO of Joule Africa. I have enjoyed the last six months and look forward to continuing to work closely with Mark and Andrew in the future. We share the same values and are committed, on a commercial basis, to significantly increasing access to energy for those African countries where it is most needed, a fundamental factor in any country’s ability to develop.”
Mark Green, Chairman and President, adds:
“We recognised that, as Joule Africa continues to grow, we required a successful power professional to run the business for us day-to-day. Paul’s background in financing, developing and managing power businesses across Africa is an ideal fit for us. His on-the-ground experience as CEO of gas processing and generation business Songas in Tanzania and his Chairmanship of Ugandan electricity distributor Umeme, coupled with his relationships across the African power industry and the power investment community, are invaluable.”
Andrew Cavaghan, Chairman, continues:
“Paul’s appointment comes at an exciting time for Joule Africa. We are building up a team who are experienced in developing and operating critical renewable power assets across Africa. We aim to raise and invest $100m over the next five years to maintain a majority equity stake in three utility-scale base-load power projects in sub-Saharan Africa with a combined capacity of approximately 1GW.”
Joule Africa is currently securing the necessary funding for the construction of Bumbuna II and will be announcing its preferred construction partner in the coming weeks. Work is starting on the feasibility study for its second project, the 485MW Kpep HPP in Cameroon following signature of an Letter of Intent with ENEO and the Government of Cameroon.
For further information, please contact:
Paul Kunert, Chief Executive, Joule Africa
M: +44 (0) 7375 392545
Ben Morton, Director, Corporate Affairs, Joule Africa
M: +44 (0)7899 792902
Notes to editors:
*Bumbuna II Hydropower project:
The Bumbuna II hydropower project is Sierra Leone’s largest infrastructure project and is a key part of the Government of Sierra Leone’s long term Energy Plan.
Bumbuna II will be located on the Upper Seli River in North East Sierra Leone.
The project involves building an extension to the existing Bumbuna I facility which will include 3 new turbines and a 36 km transmission line and building a new dam 32 km upstream at Yiben which will include 2 new turbines.
When complete, Bumbuna II will add 143MW of new capacity and will provide Sierra Leone with reliable, all-year round affordable electricity.
Joule Africa is engaged in the development of 1GW of renewable energy projects in Africa with offices in London, Freetown, Yaounde and Port Louis.
Joule Africa puts sustainable development and transparency at the heart of its business practice. The company works closely with all of its stakeholders to create infrastructure assets that will generate long-term value and is dedicated to working closely with Governments to help deliver projects that complement existing plans for social and economic development.
Click to download press release as PDF.
London: International power project developer, Joule Africa has hired Paul Kunert as Chief Operating Officer to help build the team that will deliver Bumbuna II HPP and the pipeline of projects under development.
Mr Kunert has 17 years’ experience in power project development in Africa, including time spent with CDC, Actis and Globeleq, where he was most recently Head of Business Development for Africa. During his time with Globeleq he saw the company increase power under management from 200MW to 1.2GW. He also lived and worked in Tanzania for four years where he was Chief Executive of the 180MW Songas project in Tanzania, leading the business through construction and into commercial operations.
Mr Kunert joins Joule to help build its operational capability to manage the construction, operations and maintenance and asset management of the 140MW Bumbuna Phase II HPP, as well as developing the pipeline of other projects Joule has under development. This includes the 485MW Kpep HPP in Cameroon, 100MW Khepri solar PV project in Cameroon, and a portfolio of run-of-river hydro projects in Chile.
Joule Africa will complete the ESIA for Bumbuna II this month which will coincide with the commencement of lender due diligence. Simultaneously, a revised EPC procurement has been launched, encompassing a Value Engineered design that reduced installed capacity from 202MW to 140MW while reducing forecast energy by only 1%. Prospective lenders to the project include EIB, IFC, CDC, AfDB, EAIF and IDB. Equity for the project will be provided by Joule Africa and its partner, AIIM. Financial Close is being targeted for the second half of 2017.
Andrew Cavaghan, Chief Executive of Joule Africa, commented: “we are delighted that Paul has joined the team at this important inflexion point for Joule and the Bumbuna II project. His experience and track record in helping to build and operate both power projects and credible power platforms in Africa will aid us considerably in the next phase of our business as we gear up to deliver this important renewable project for Sierra Leone, and to develop the other projects in our pipeline.”
London: Joule Africa, the international energy developer behind Cameroon’s proposed 607MW Kpep hydroelectric project, has entered into a Memorandum of Understanding (MoU) with the Government of Cameroon to develop 100MW of new solar PV facilities. The MoU was signed at the first ever UK-Cameroon Trade and Investment Forum, held 7 – 9 May in London and led by His Excellency Prime Minister Philemon Yang.
Joule Africa and Bethel Industrievertretung (BIIL), its local partner on this and the Kpep hydroelectric project, will now work together with the Government of Cameroon to identify up to five sites that are suitable to host the new facilities. These are likely to be in the north of the country, where solar irradiance levels are higher.
The solar project will bring further capital investment of around US$200m to Cameroon’s energy sector, increase current generating capacity by approximately 15 per cent and underscore the country’s commitment to renewable energy sources as a key component in its energy mix. The new facilities will be built in phases, with first commissioning scheduled to occur as early as 2015 and full commercial operation during 2017.
His Excellency Dr. Basile Atangana Kouna, the Minister of Water Resources and Energy, who signed for the Government of Cameroon in the presence of the Prime Minister, commented: “We are delighted with the commitment Joule Africa and Bethel Industrievertretung have shown on the Kpep hydroelectric project and look forward to working with the team on this important and exciting solar PV initiative.”
Mark Green, President of Joule Africa, added: “Cameroon is an investment destination of choice for Joule Africa. We are delighted to make this further commitment to the country. These solar PV facilities, which will ultimately sit alongside the Kpep HEP, represent an opportunity to deliver renewable generating capacity within a relatively short timeframe. The next few months will be devoted to site selection, after which we will conduct detailed feasibility studies, with the phased construction process due to begin during the first half of 2015. We remain committed to the highest standards in our execution of this project, including transparency and open communication during the development process and ensuring that we have a highly positive impact on the communities we work amongst.”
The Government of Sierra Leone, Endeavor Energy and Joule Africa agree development plan for 202-megawatt hdroelectric power project.
Endeavor Energy, a privately-owned independent power development and generation company backed by Denham Capital, and Joule Africa, the international power developer, have entered into an agreement to jointly develop the Bumbuna Phase II Power Project, a hydroelectric power (HEP) project, located in Sierra Leone.
Bumbuna Phase II will add an additional 202 megawatts to the existing 50 megawatts at Bumbuna HEP.
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Endeavor Energy and Joule Africa have entered into an agreement for the joint development of a 202 MW expansion of Sierra Leone's 50-MW Bumbuna hydropower plant.
Joule Africa recently completed feasibility studies for the project, allowing the partners to being the engineering, procurement and construction (EPC) process.
Click here for the fully story.
Endeavor Energy, a privately owned independent power development and generation company backed by Denham Capital, and Joule Africa, the international power developer, have entered into an agreement to jointly develop the Bumbuna Phase II Power Project, a hydroelectric power (HEP) project, located in Sierra Leone.
Bumbuna Phase II will add an additional 202 megawatts to the existing 50 megawatts at Bumbuna HEP. Endeavor Energy, which received an initial commitment from Denham's $3 billion Fund VI in June, has agreed to fund the remaining development costs for the project and will invest up to 75 percent of the equity at financial close (estimated $150m).
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The $700-million expansion of the Bumbuna Phase 2 hydroelectric power project has gained traction after five engineering, procurement and construction (EPC) contractors were shortlisted for the project.
The project, which is a public–private partnership between independent power producer Endeavor Energy, the government of Sierra Leone and international power developer Joule Africa, would add 202 MW of power generation capacity to the existing 50 MW being generated by the Bumbuna Phase 1 project.
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The Government of Sierra Leone, Africa Endeavor Energy Joule and agree on a development plan in the Power Development 202 megawatt project.
The private company Endeavor Energy, supported by Denham Capital, specializes in the production and development of independent power projects. It has an agreement with Joule Africa, developer of world-class power, to jointly develop the energy project phase II Bumbuna Hydroelectric Project (HEP) in Sierra Leone.
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Freetown: Endeavor Energy, a privately owned independent power development and generation company backed by Denham Capital, and Joule Africa, the international power developer, have entered into an agreement to jointly develop the Bumbuna Phase II Power Project, a hydroelectric power (HEP) project, located in Sierra Leone.
Bumbuna Phase II will add an additional 202 megawatts to the existing 50 megawatts at Bumbuna HEP. Endeavor Energy, which received an initial commitment from Denham’s $3 billion Fund VI in June, has agreed to fund the remaining development costs for the project and will invest up to 75 percent of the equity at financial close (estimated $150m).
Joule Africa has completed the feasibility study for the development of the second phase of Bumbuna and, the parties are now ready to launch the Engineering, Procurement and Construction (EPC) tender.
A shortlist representing some of the most respected EPC firms from across five continents has been selected. International hydro engineering firm, Lahmeyer International, has already carried out the feasibility and design work, whilst Environmental and Social studies are also being carried out by Environmental Resources Management, the world's leading sustainability consultancy.
Lenders to the project will likely include the African Development Bank, IFC and Emerging Markets Infrastructure Fund along with a club of European development finance institutions.
Sean Long, CEO of Endeavor Energy stated: “We are pleased to have teamed up with Joule Africa and the Government of Sierra Leone to jointly complete the expansion of the Bumbuna Phase II in a public private partnership. We are also delighted by the work Joule Africa has done thus far on the project with the Government of Sierra Leone and welcome the opportunity to help complete the project in order to provide much needed low cost power generation to the citizens of Sierra Leone.”
Andrew Cavaghan, CEO of Joule Africa commented: “Today’s announcement follows two years of hard work as we jointly structured this important and essential expansion to the Bumbuna HEP with the Government of Sierra Leone. We are very much looking forward to moving this project forward with Endeavor Energy, and are confident in the level of support from the international financing community. We are also delighted by the short list of EPC contractors to which we will be launching, as this project promises to be a landmark development for Sierra Leone and the sub region.”
Honorable Oluniyi Robbin-Coker, Minister of Energy, added: “We are delighted by the progress made by Joule Africa and the manner in which they have engaged in the issues of concern to the Government of Sierra Leone. We are hopeful that this important project will be developed to the highest international standards, delivering a timely expansion to the current installed energy generation capacity in Sierra Leone.”
Outgoing British High Commissioner to Cameroon, Bharat Suresh Joshi, in an exclusive interview with Cameroon Tribune, throws light on the growing dynamism in ties between his country and Cameroon.
He talks about the fight against corruption, British business interest and the business climate in Cameroon and so on.
Click here for the fully story.
7th November, FREETOWN: Speaking to AYV Radio FM 101.6 on Wednesday November 7th 2012, a day after the third anniversary of the commissioning of Bumbuna Phase I Hydropower dam, Sierra Leone’s Minister of Energy and Water Resources, Hon. Oluniyi Robbin-Coker, reiterated Sierra Leone Government’s commitment to the generation, transmission and distribution of up to 500MW of electricity nationwide in the medium term [up to four times the current capacity].
The Hon. Robbin Coker outlined government’s plans to achieve this goal through combined sources; thermal; hydro and the development of other renewable energy technologies.
The Minister also reiterated that the Government of Sierra Leone continues to effectively collaborate with Joule Africa for the delivery of Bumbuna Phase II hydrodam.
Cameroon to develop new 450MW hydro power project in partnership with Joule Africa. The project is expected to increase the country’s electricity supply by at least 40%
(YAOUNDE, 8 March 2012) – Emerging markets energy developer Joule Africa and the Government of The Republic of Cameroon announced today that they have entered into a Memorandum of Understanding for the development of the Kpep Hydroelectric Project, an undertaking which will increase the country’s current installed power generation capacity by at least 40%. When completed, the project is expected to have an installed capacity of more than 450 MW.
Located on the Katsina-Ala River in Menchum Division, north of the city of Bamenda (capital town of the Northwest region), and near the Nigerian border, the Kpep Hydroelectric Project is expected to greatly benefit the people of Cameroon. In addition to the increase in power capacity, which will boost economic development, the project will create jobs, as well as opportunities for training and the transfer of industry expertise to local residents.
The Government of Cameroon has identified increased power capacity as a key driver to realising the country’s ambitions of becoming an emerging economy by 2035. Demand for electricity in Cameroon is projected to triple over the coming decade, requiring at least an estimated 3 GW of additional energy infrastructure by 2020. The Minister of Water Resources & Energy, His Excellency Dr. Basile Atangana Kouna, said of the new partnership:
“Independent Power Projects (IPPs), such as this one with Joule Africa, are at the core of the Government of Cameroon’s strategy for increasing access to water and energy. The involvement of the private sector is key to building necessary infrastructure and to realising the development goals that the country has set. Choosing to work with Joule Africa on this project further demonstrates the commitment of the Government to mobilising international investment for the development of Cameroon.”
On his part, Joule Africa Managing Partner, Mark Green, said:
“We are delighted that the Government of Cameroon has identified Joule Africa as the appropriate partner for the development of the Kpep Hydroelectric Project. This is the second project under development for us in sub-Saharan Africa. We are committed to working closely with both the technical and financial community in Cameroon to make this a genuine partnership between Joule Africa and the people and Government of Cameroon. We are privileged to be a part of this project and of the growth and development that it signifies for the country.”
Joule Africa will undertake the development with local partner Bethel Industrievertretung Inc. Ltd of Bamenda-Cameroon, whose consulting services enabled this IPP, and leading European engineering firm, Lahmeyer International GmbH. Lahmeyer International GmbH is recognised as one of the top hydro engineering firms in the world and has extensive experience designing hydroelectric projects in Africa.
Sierre Leone's President, Ernest Bai Koroma aims to move on from the country's long civil war and attracts investment and tourism.
Freetown - Two weeks after signing a Memorandum of Understanding with the Government of Sierra Leone, Joule Africa, the emerging markets alternative energy developer, has appointed Lahmeyer International, a European engineering firm, to undertake feasibility studies for the second phase of development for the Bumbuna hydroelectric facilities. The Lahmeyer team arrived in Freetown THIS WEEK to start on an initial pre-feasibility study which will take up to six months. Lahmeyer International has a long-standing reputation of working successfully in Africa and extensive experience designing hydroelectric plants across the world. The firm previously worked in Sierra Leone in 1996 undertaking a Power Sector Master Plan for the government. This report included a survey of a number of possible hydroelectric sites, including Bumbuna and the subsequent phases for its development.
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Sierra Leone to receive an additional 350MW of power via development of second phase of Bumbuna Hydroelectric project
(Freetown - Coinciding with the 50-year anniversary of Independence, the people of Sierra Leone will celebrate a planned THREEFOLD increase in the Total Power Output for their country, firmly establishing it as an attractive location for industrial and commercial investors in the region.
Following an extensive two-year search for a suitable partner to develop the second phase of the famous Bumbuna Hydroelectric power station, the Government of Sierra Leone has agreed to partner with Joule Africa through a Memorandum of Understanding signed with the Ministry of Energy & Water Resources. The first phase of Bumbuna was commissioned by His Excellency, Dr Ernest Bai Koroma, in 2009, marking a momentous conclusion to a thirty-year project. Joule Africa is committing to complete the second phase of the project within six years, allowing Sierra Leone to enjoy the full benefits of the additional power by the beginning of 2017. The Government of Sierra Leone has insisted on a strict timetable to completion for Joule Africa with deliverable milestones every six months. Work is anticipated to start on the initial feasibility studies within thirty days.
Initial estimates put the incremental increase in power capacity at up to 350 MW, bringing the total Bumbuna power capacity to 400 MW. Sierra Leone currently has one of the lowest levels of electricity in Sub Saharan Africa at under 100MW, making it a top priority for Dr. Earnest Bai Koroma and his Government when he was elected.
Commenting on the new partnership, His Excellency Dr Ernest Bai Koroma said:
“Increasing the availability of affordable power has been a top priority for the APC since coming to power in 2007. I was delighted to commission the first phase of the Bumbuna Hydroelectric project, which has delivered a significant increase in energy to Freetown. The signing of this partnership with Joule Africa makes possible the next major step in this journey. The completion of Bumbuna Phase Two will not only significantly increase the supply of consistent year-round energy to Freetown, but will make it increasingly attractive for international commercial and industrial businesses to invest in our country, bringing increased wealth, employment and training to the people of Sierra Leone.”
On his part, Joule Africa Managing Partner, Greg Newman, said:
“We have a significant track record of working with developing countries and have at our disposal significant financial resources to make this project a reality. We are committed to work closely with both the technical and financial community in Sierra Leone to make this a genuine partnership between Joule Africa and Sierra Leone, at every level. We are excited to be part of such an important national project which has the capacity to transform the industrial and commercial sectors within Sierra Leone.”