Electrical Interconnection between Mauritania and Senegal
A loan agreement for KD 30 million was signed in Nouakchott on the 2nd of February 2016 between the Government of the Islamic Republic of Mauritania and the Arab Fund for Economic and Social Development to help finance a project for Reinforcing the Electrical Interconnection between Mauritania and Senegal (Nouakchott – Tobein Line).
The loan agreement was signed by H.E. Mr. Sayed Ahmed Ould Al-Rayes, Minister of Economic Affairs and Development, on behalf of the Government of the Islamic Republic of Mauritania, while H.E. Mr. Abdlatif Yousef Al-Hamad, Director General/Chairman of the Board of Directors of the Arab Fund, signed on behalf of the Fund.
The project aims at reinforcing the electrical interconnection between Mauritania and Senegal, in order to allow Mauritania to export the excess energy it expects to produce from the existing and planned generation projects to the Senegalese grid, which currently suffers from severe energy shortages.
The project includes the following main components:
1- Portion of works in Mauritania.
2- Portion of works in Senegal.
3- Consultancy services.
4- Study to Assess the Feasibility of Reinforcing the Mauritania – Mali Interconnection.
5- Institutional Support.
The loan will carry interest at 2.5% per annum, and will be repayable over 25 years including a 7-year grace period.
SOMELEC will be the beneficiary of the loan, and will be responsible for supervising and implementing the project, which is expected to be completed by the end of 2018.
With the signing of this loan, the Arab Fund’s total contribution to financing projects in the Islamic Republic of Mauritania now amounts to KD 522.70 million.