In 2023 we look forward to executing our PPA for the 25 MW Ilute Solar Pilot PPA and the other PPAs that we are negotiating at the moment in Zambia and other countries in the region.
The Ilute Solar PV project in Zambia might be the first of its kind in Sub-Saharan Africa with a private sector intermediary trader as the buyer therefore acting as a concrete demonstration of the implementation of the open access regime in Zambia. Moreover, the project will require no fiscal support from the Government of Zambia and will rely on the SAPP competitive markets for its bankability.
Toward the end of 2022, the Ilute project has managed to make significant headway with regards to the financing of the project. The Dutch Development Bank, FMO, has been mandated as the lead arranger and senior debt. A market specialist, Africa Power Venture, was contracted to do a fundamental market assessment on the SAPP Day Ahead Market, which is the commercial underpinning of the project. Ilute also procured the services of Hogan Lovells to act as the lenders legal advisor. ZESCO has approved the Grid Impact Study and Ilute has requested the utility to start with the connection process. All other technical and environmental work has been completed up to international compliance standards.
See below a link to our GreenCo-Ilute Solar PV Benefits paper and summary: