Malawi: Prequalification underway for solar EPC

08 Feb 2018

Expressions of interest (EoIs) are being sought from potential engineering, procurement construction (EPC) and operations and maintenance (O&M) contractors for the 40MW Salima solar PV project in Malawi. Salima is being developed by project company JCM Matswani Solar Corp Ltd, owned by Canada’s JCM Power, InfraCo Africa Ltd – part of the Private Infrastructure Development Group – and Johannesburg headquartered investment company Matswani Capital Ltd.

The project was selected by national utility Escom as a preferred bidder in June 2017 following a competitive tender process in which it offered a price between 8.259-9.235c/kWh. The tender, which selected four solar projects in total, was temporarily suspended following an application for review by one of the unsuccessful bidders.

Salima will occupy an 80ha site and will connect to the grid via a 4km 132kV line to the Salima (Nanjoke) substation. Prefeasibility studies, land acquisition and initial permiting have been concluded. Escom and JCM have signed a non-binding term sheet and are negotiating a 20-year PPA. The project lies within JCM's $150m Clean Power Development Fund V, which is destined for solar projects in Latin America and Africa.

The sponsors expect the project, including the transmission line, to be built under a full-wrap turnkey, lump sum fixed price, date-certain EPC contract with a long term O&M contract. EoIs are due by 2 March, with prequalified bidders to be announced on 9 March. Contact: salima_epc@jcmpower.ca.

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