Port-au-Prince, Haiti, July 22, 2009
—IFC, a member of the World Bank Group, is financing E-Power S.A., a 30-megawatt heavy fuel oil power plant, to help mitigate acute power shortages and restore basic public services in Haiti.
IFC is providing a $16 million loan and syndicating $14 million through FMO, the entrepreneurial development bank of the Netherlands, for the project. Two local banks, Sogebank and BNC, are providing $14 million in cofinancing.
Today, only 25 percent of Haiti’s population has access to electricity, with the best served areas receiving a maximum of eight hours of electricity a day. The project will supply electricity at more competitive prices. The electricity will be sold to the state-owned utility, Electricité d’Etat d’Haiti, under a 15-year power purchase agreement.
E-Power, which is majority-owned by a consortium of local investors led by Daniel Rouzier, a Haitian businessman, is Haiti’s first private sector generation project open to international bidding with assistance from the World Bank. Together with other power improvements, E-Power will contribute significantly to a sector turn-around by setting a benchmark for future private sector participation in Haitian projects.
Speaking at a signing ceremony attended by Haitian President Rene Preval, and local and international high-level public and private sector representatives, E-Power Chairman Daniel-Gerard Rouzier said, “E-Power makes an eloquent statement that Haiti is open for business again. We are very thankful for IFC’s support for our project, which will help restore social stability and economic growth.”
Salem Rohana, IFC Representative for Haiti and the Dominican Republic, said: “IFC is very pleased to support E-Power, a project addressing a fundamental energy need that will improve the living standards of people in Haiti and the country’s productivity. This first international open-bidding process and IFC’s participation will send a sign of confidence to investors about investment opportunities in Haiti.”
IFC’s strategy in Haiti focuses on promoting economic growth and improving access to basic services, particularly for the most vulnerable groups. IFC has ramped up its activities in this country in the past two years and has opened a local office.
About IFC
IFC, a member of the World Bank Group, creates opportunity for people to escape poverty and improve their lives. We foster sustainable economic growth in developing countries by supporting private sector development, mobilizing private capital, and providing advisory and risk mitigation services to businesses and governments. Our new investments totaled $16.2 billion in fiscal 2008, a 34 percent increase over the previous year. For more information, visit
www.ifc.org
.
