Tanzania Singida Wind Power Project

The Government of Tanzania (GOT) intends to develop the 100MW Singida Wind Project in Northern Tanzania in form of a Public Private Partnership. The current lead investor of this Project is a consortium of private local firms and Aldwych International PLC, of the UK ('Wind EA'). Wind EA intends to conclude a 25 year Power Purchase Agreement with the state owned utility TANESCO. The Project encompasses the construction and operation of a 100MW Windpark east of the town of Singida.Financing of this power generation project is expected to be through private sponsors' equity contributions (about 20% of Project costs) and commercial/multilateral debt facilities. GOT has requested the World Ban (IDA) to support the financing of the project with a Partial Risk Guarantee (PRG) that would cover commercial lenders to the project.The IDA has offered already the financing of a Transaction Adviser to TANESCO under an existing IDA project and it is expected that TANESCO will select and contract an adviser in the coming months, before TANESCO and the GOT start negotiating major Project Agreements for this project.This project is currently expected to be structured and prepared in 2011/2012 and could reach financial close in Bank FY 2013. If built, this project would be the first major Wind generation facility in Tanzania and one of the largest facilities in East Africa.The Government of Tanzania (GOT) intends to develop the 100MW Singida Wind Project in Northern Tanzania in form of a Public Private Partnership. The current lead investor of this Project is a consortium of private local firms and Aldwych International PLC, of the UK ('Wind EA'). Wind EA intends to conclude a 25 year Power Purchase Agreement with the state owned utility TANESCO. The Project encompasses the construction and operation of a 100MW Windpark east of the town of Singida.Financing of this power generation project is expected to be through private sponsors' equity contributions (about 20% of Project costs) and commercial/multilateral debt facilities. GOT has requested the World Ban (IDA) to support the financing of the project with a Partial Risk Guarantee (PRG) that would cover commercial lenders to the project.The IDA has offered already the financing of a Transaction Adviser to TANESCO under an existing IDA project and it is expected that TANESCO will select and contract an adviser in the coming months, before TANESCO and the GOT start negotiating major Project Agreements for this project.This project is currently expected to be structured and prepared in 2011/2012 and could reach financial close in Bank FY 2013. If built, this project would be the first major Wind generation facility in Tanzania and one of the largest facilities in East Africa.