📋 Tender Overview
Project ID: P173088
Region: Africa east
The proposed project aims to support the reestablishment of the Somalia Electricity Supply Industry(ESI)for improved delivery of electricity services to enhance job creation and improved public services delivery. Currently, sector operations are owned, managed and operated by the private sector (ESPs) whereas the government institutions are inthe formative stage with the policy, legal and regulatory frameworks at various stages of development. The proposed project will help address some of the key sector challenges that contributes to lack of efficient, reliable and low cost electricity services, namely: (i) absence of an integrated national grid and duplication of distribution networks by the ESPs; (ii) poor operations practices leading to low generation efficiency and high distribution network technical and commercial losses; and (iii) lack of an appropriate institutional and regulatory enabling environment.Proposed Project Components.30.The total cost of the proposed project is estimated at US$ 150million. The project will consist of the following four main components: 31.Component 1 –Distribution network reconstruction, reinforcement and operations efficiency in the major load centers. Sub-transmission and distribution network reconstruction and reinforcement in the major load centers through integration of ESPs’ distribution networks and existing generation to optimize distribution network operationsand scale-up of generation capacity. These activities will support the electricity service providers to: (a) decrease in the cost of operations; and (b) improve electricity supply and reliability. The proposeddistribution and sub-transmission investments will enable the establishment of integrated distribution offtake infrastructure to enable scale-up of generation and interconnection with neighboring countries. 32.Component 2 –Renewable energy generation optimization. Hybridization and optimization of existing generation for increased electricity supplythrough installation of Battery Energy Storage Systems(BESS) and solar PV systems at existing diesel-based generation stations. Such hybrid opportunities offer significant improvements in fuel efficiency, fuel consumption, extended generator lifespans, reducing GHG emissions and combustion pollution, along with less reliance on fuel imports. Further to the proposed efficiency enhancements under component 1, this subcomponent will support to increase the level of renewable energy penetration.
