According to Angola’s recent report, the World Bank approved US$250 million to improve the operational performance of public utilities in the Angolan power sector and increase power supply in some cities in Angola.
The power sector improvement and access project will fund electrification investments in the provinces of Luanda, Benguela, Huila and Huambo, providing 196,500 new power connections, benefiting nearly 1 million people, and providing 93,857 public lighting.
The project will focus on expanding power supply and improving taxation, improving power services, increasing the capacity of public power producers, and strengthening the sustainable management of power plants. The project also aims to improve the commercial performance of the national power distribution company and provide financing for the national transportation network Rede Nacional de Transporte, RNT, to take targeted interventions to improve and optimize the power supply. Power supply dispatch and overall management of the national transmission network.
In addition, the project will also fund immediate measures to improve operations. “Investment in infrastructure, especially energy, is the key to economic development,” said Jean-Christophe, World Bank Country Director in Angola. Carre Aid said.
Angola’s power generation capacity is mainly based on hydropower, which has developed rapidly. The country’s installed capacity has quadrupled in just ten years, but transportation, distribution and cost recovery are still very difficult. Less than 40% of people in Angola have access to electricity, and insufficient electricity services can affect poverty, productivity and regional disparities.
This project aims to take the most critical actions to help expand the power supply, improve the operation and commercial performance of the utility, and ultimately improve its reputation. This in turn will help reduce extreme poverty, improve the ability of communities to respond to the impact of COVID-19, and promote shared prosperity.
The total cost of the project is US$417 million, including a loan of US$250 million provided by the World Bank and US$167 million of credit from the French Development Agency.