Senegalese firm Energy Resources Senegal (ERS) and South Africa-based investment firm Climate Fund Managers (CFM) agreed to jointly develop a $40 million solar power plant in Niakhar, Senegal. The solar plant will have a capacity of 30 MW and will be equipped with a battery system that has a storage capacity between 15 MWh and 45 MWh. This will be Senegal's first solar plant with a large battery storage system. Once developed, the project will serve clean power to over 150,000 people.
As per the agreement, ERS will be responsible for the construction and operation of the $40 million plant. Confirming this, the CEO of ERS, Moustapha Sène, said, "After the commissioning of our first photovoltaic solar power plant in Senegal in 2018, this project confirms our ambition to become a key player in carbon-free energies on the continent."
ERS, is emerging in energy development in Senegal and Western Africa, with an objective to realize 500 MW in various types of energy projects by 2025.
Sebastian Surie, CFM's Regional Head for the African region, added, "We are excited to partner with ERS to deliver a first of its kind renewable solution to the Senegalese energy market. The ERS team has an ambitious pipeline of projects that strongly align with Climate Investor One's key objectives."
Being Senegal's major hybrid solar power plant with battery storage, this project is anticipated to give way for further applications of this technology not just in Senegal, but also in other African countries who are ambitious about increasing their reliance on flexible renewable energy solutions. The project will provide cleaner energy to the grid, displacing some of the more expensive and carbon intensive energy sources. The project will also add base load capacity, improving overall grid stability.
Senegal's installed capacity is currently largely driven by expensive HFO fuelled thermal power and the country is one of the first to pass a renewable energy law in West Africa. However, it was one of the first country's of the World Bank's Scaling Solar Program. Already in April 2018, Senegal awarded 60 MW capacity out of a 100 MW PV tender it launched as part of the World Bank Group's Scaling Solar program. The winners were France's energy company Engie and investment firm Meridiam (see Engie Wins 60 MW In 100 MW Senegal PV Tender).