The project consists of three components aimed at refurbishing and extending the promoter's transmission network, which will help avoiding major power supply disruptions. The new lines will extend the reach and quality of the transmission infrastructure in the beneficiary countries, creating a better environment for private sector investment and growth and, in turn, contributing to poverty alleviation.
The ITF Grant will be used to subsidise the interest rate of EIB's loan with Communauté Electrique du Bénin (CEB). As HIPC countries, both Benin and Togo are constrained in terms of the financing costs they can bear for their respective public sector investments; the ITF Grant is therefore of significant importance.
Parakou-Onigbolo, the main project component, comprises the new overhead line between Parakou and Onigbolo (280 km, 161 kV, double circuit) and the extension/modification of the existing Onigbolo and Parakou substations and will result in a substantial reduction of losses and power cuts in the region. This line is fully located in Benin and will run in a north-south direction from north-east to south-east of the country. The new line will complete the transmission ring interconnecting Togo and Benin, as well as secure the energy supply of the Nangbeto power station.
Sakété-Tanzoun-Ouando, the second project component, consists of the construction of an overhead line between Sakété and Tanzoun (28 km, 161 kV), the 161/63/20 kV substation in Tanzoun and the 63 kV underground connection between Tanzoun and Ouando (5 km), as well as the extension of the existing substations of Sakété and Ouando (Porto Novo). It is located in south-east Benin and is aiming at completing the network ring supplying the important industrial zone located around Porto Novo, and Cotonou, the capital of Benin.
The rehabilitation of the Lomé-Cotonou-Sakété-Onigbolo, which is the third and final project component (289.5 km, 161 kV, double circuit with Sakété-Onigbolo single circuit) is located partly in Togo and partly in Benin and interconnects the southern areas of both countries. This rehabilitation will extend by 20 years the technical life of the transmission corridor, the construction of which dates back to the seventies. The obsolete substation equipment in the substations of Lomé Aflao, Momé Hagou and Cotonou Vèdoko will be replaced by new equipment so that the energy supply of the populated coastal areas of both countries can be secured.