Name and Location
Grand Inga hydroelectric project, Democratic Republic of Congo (DRC).

Client
DRC government.

Project Description
The Grand Inga project, which will be located on the Congo river, is expected to generate 40 000 MW of electricity once all the phases are complete.

Inga 3, the first stage of the much larger Grand Inga scheme, will produce 4 800 MW of electricity and will be completed in two phases.

The first phase, the Inga 3 low-head project will have a capacity of 1 800 MW and will not require the damming of the Congo river.

The second phase, the Inga 3 high-head project, will add an additional 3 000 MW and includes construction of the Grand Inga Dam.

Five other hydropower plants will then be built on the same dam, eventually raising the plant’s cumulative capacity to 40 000 MW.

South Africa is expected to purchase 2 500 MW of Inga 3’s capacity.

Value
Inga 3 is expected to cost an estimated $12-billion to complete. Funding will come from several sources, including the African Development Bank, the World Bank, French Development Agency, the European Investment Bank and the Development Bank of Southern Africa.

Duration
October 2015 has been announced as the launch date for construction of the first phase of the Grand Inga project.

Latest Developments
Following the signing of the Grand Inga Hydropower Project Treaty the South African and Democratic Republic of Congo (DRC) governments are planning a series of engagements with other countries in Southern Africa to assess their role or interest in participating in the project.

South Africa, through State-owned power utility Eskom, has committed to taking an initial 15% equity position in the first 4 800 MW phase of the project and supporting efforts to secure funding for the scheme.

Significantly, Eskom has also committed itself to a power purchase agreement for an initial 2 500 MW, with the 2 300 MW balance to flow to DRC. In addition, offtake commitments for a minimum of 30% of any future phases have also been agreed, with experts estimating that the mighty Congo river has hydropower potential of about 44 000 MW.

The South African Cabinet has welcomed the treaty, saying the project will extend energy access to support agriculture, mining and manufacturing in Africa.

In addition, Energy Minister Dikobe Ben Martins has told Engineering News Online that there is a sense of optimism that the scheme, which has had several false starts, is poised to move forward under the treaty framework.

Bilateral meetings have already been held with Angola and are being planned with transit countries Zambia and Zimbabwe. Meetings will also be held with countries, such as Botswana, Namibia and a number of East African countries, which may wish to add tributary lines off the main truck transmission network.

Given the scale of the project and the transmission distances involved, the funding challenges are likely to prove significant, but Martins insists that the commitment to seeing the project through is higher than ever before.

However, close energy-market observers believe it will still be some time before the project is realised, partly owing to the challenges associated with having multiple countries involved.

Another key consideration is the currency risk for a utility such as Eskom, which will have to deal with the likelihood of having to finance a dollar-based project and tariffs through rand-based revenues.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
The Grand Inga project has been delayed several times over the past 40 years.

Contact Details for Project Information
Embassy of DRC in South Africa, tel +27 12 344 6475 and fax +27 12 344 4054.