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Lower Orange River Hydro-Electric Power Scheme (LOHEPS)

Region
Southern Africa
Sector
Energy
Scope
TA
Grant Amount
EUR 1,600,000
Status
Approved
PFG Lead Financier
EIB

The LOHEPS project consists of the development of up to 9 small hydro-electric power stations in two phases: Phase one will be the construction of up to three sites and phase two will be the construction of the remaining sites. The overnight project cost for Phase One is estimated at EUR 167m.  The concept of the project is to divert the flow of the Orange River through canals and tunnels into a water turbine which in turn will drive an electric generator. 

Although the promoters, NamPower and Clackson Power, have already spent in excess of total of EUR 4m for the project preparation studies, some activities are still needed to finalise the project preparation and reach financial close and some of these activities will be financed by the ITF Grant: 1) Arial Survey, 2) Geological drilling, 3) Specifications and prepare tender documents, 4) Financial Model Auditing.  The geological test drilling will help to considerably reduce construction risk and to improved cost estimates of the project