| Project Detail |
The project company, ARPE Limited (“ARPE”), has built two cascading Hydro Power Plants totaling 83MW located in Pader District in Northern Uganda, namely Achwa 1 and Achwa 2. ARPE is an existing client of the Bank through the financing provided for Achwa 2 in 2017. Achwa 1 was financed using short term bridge loans maturing between 2024 and 2026. The proposed refinancing for the short-term bridge loans will resolve the debt maturity mismatch vis-a-vis the economic life of the project and preserve the long-term financial sustainability of ARPE.
Project Objectives
The proposed financing focuses on the preservation and sustainability of development outcomes envisaged for this project by bolstering the financial viability of ARPE, preventing potential default and the possible interruption of ARPE’s services to the private sector.
Beneficiaries
Key development outcomes expected to be sustained include: i) preserve an essential input for businesses by sustaining an annual electricity generation of about 193.1 GWh and resulting in increased electricity supply to enterprises in Northern Uganda, a region characterized by extremely low electrification; ii) to support electricity supply to potentially 280,000 people in rural and underserved areas; iii) Sustain the contribution to CO2 emissions avoidance with an is estimated at 94 ktCO2 e annually and the total over lifetime is 3,761.5 ktCO2 e; iv) sustain USD 38.1 million in taxes. |
